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Why these ASX shares just crashed to 52-week lows

Despite the recent market volatility brought about by trade war concerns, the All Ordinaries index is still trading within sight of its highest level of the year.

Unfortunately, not all shares have been able to replicate this positive form.

The three shares listed below, for example, have just crashed to 52-week lows or worse. Here’s why:

The Mayne Pharma Group Ltd (ASX: MYX) share price has fallen heavily this week and reached a multi-year low of 55 cents on Wednesday. Investors were scrambling for the exit after the pharmaceutical company released a disappointing market update which revealed that its key Generics Products division has been struggling once again. Although it wasn’t the strongest performer during the first half, there were signs that it had turned a corner. Unfortunately, that was short-lived and its performance has deteriorated materially. During the first four months of the second half the division has posted a 32% decline in revenue compared to the prior corresponding period.

The OFX Group Ltd (ASX: OFX) share price hit a 52-week low of $1.43 on Wednesday. The shares of the global provider of online international payment services have been on a downward trajectory since the release of a trading update in March. That update revealed that market conditions had been challenging due to lower levels of currency volatility and softer global spot transaction volumes. As a result, its EBITDA is expected to rise only modestly in FY 2019.

The Praemium Ltd (ASX: PPS) share price continued its slide on Wednesday and hit a 52-week low of 38 cents. When the investment platform company’s shares hit that level, it meant they had lost a whopping 68% of their value since hitting a 52-week high of $1.18 in September. Its shares have come under pressure since it announced the loss of ANZ Private as a customer to rival Netwealth Group Ltd (ASX: NWL). ANZ Private was one of the company’s biggest customers, contributing 8% of its total revenue.

These 3 stocks could be the next big movers in 2020

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In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

*Returns as of 6/8/2020

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Praemium Limited. The Motley Fool Australia owns shares of Netwealth. The Motley Fool Australia has recommended Praemium Limited. 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.

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