The Motley Fool

Why a2 Milk, Bank of Queensland, Super Retail, & Volpara shares tumbled lower today

The S&P/ASX 200 index is on course to finish the day notably higher thanks to gains in the banking sector. In afternoon trade the benchmark index is 0.8% higher at 6,375.5 points.

Four shares that have failed to follow the market higher today are listed below. Here’s why they have tumbled lower:

The A2 Milk Company Ltd (ASX: A2M) share price has dropped 4% to $15.35 following the release of a trading update this morning. Although the fresh milk and infant formula company reported further strong growth and market share gains in the third quarter, it held firm with its full year guidance. I suspect that some investors had been expecting an upgrade from the fast-growing company.

The Bank of Queensland Limited (ASX: BOQ) share price has tumbled 4% lower to $8.91. Today’s decline is attributable to the company’s shares trading ex-dividend this morning for its interim dividend. Eligible Bank of Queensland shareholders can now look forward to being paid its 34 cents per share fully franked interim dividend in three weeks on May 22. Alternatively, they can take advantage of the company’s dividend reinvestment plan which offers a 1.5% discount.

The Super Retail Group Ltd (ASX: SUL) share price has sunk 7% lower to $8.04 after being downgraded by a leading broker. According to a note out of UBS, its analysts downgraded Super Retail’s shares to a neutral rating from buy and trimmed the price target on them to $8.50. The broker felt its trading update was mixed and appears concerned by margin pressures.

The Volpara Health Technologies Ltd (ASX: VHT) share price has dropped 6.5% lower to $1.73 after analysts at Ord Minnett downgraded the healthcare technology company’s shares to a lighten rating from buy. According to the note, the broker believes the market has got ahead of itself and believes earnings forecasts may need to be reduced. Ord Minnett has a $1.54 price target on Volpara’s shares.

NEW. The Motley Fool AU Releases Five Cheap and Good Stocks to Buy for 2020 and beyond!….

Our experts here at The Motley Fool Australia have just released a fantastic report, detailing 5 dirt cheap shares that you can buy in 2020.

One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…

Another is a diversified conglomerate trading over 40% off its high, all while offering a fully franked dividend yield over 3%...

Plus 3 more cheap bets that could position you to profit over the next 12 months!

See for yourself now. Simply click here or the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.

CLICK HERE FOR YOUR FREE REPORT!

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of A2 Milk, Super Retail and Volpara. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.