The S&P/ASX 200 index has had a positive start to the new financial year. At the time of writing the benchmark index is 0.4% higher to 6,647.3 points.
Four shares that have failed to follow the market higher today are listed below. Here’s why they have tumbled lower:
The Afterpay Touch Group Ltd (ASX: APT) share price is down almost 4% to $24.11 amid concerns that Visa could disrupt its business model. At the end of last week the payments giant announced the start of a pilot program that will allow participating issuers and merchants to offer their customers an instalment payment option at the checkout by using a Visa card. At one stage today the Afterpay share price fell as much as 10%.
The Northern Star Resources Ltd (ASX: NST) share price is down over 4% to $11.15. Northern Star and the rest of the gold miners have come under pressure today after improving investor sentiment led to a decline in demand for risk-off assets. In afternoon trade the S&P/ASX All Ords Gold index has fallen almost 3%.
The Regional Express Holdings Ltd (ASX: REX) share price has hit a spot of turbulence and is down over 7% to $1.31. Investors have been hitting the sell button after the airline was accused of having a poor safety culture by a disgruntled engineer. The company has labelled the accusations “baseless” and stressed that its safety culture is second to none.
The Superloop Ltd (ASX: SLC) share price is down almost 10% to $1.39 after the fibre-optic internet infrastructure company downgraded its full year EBITDA guidance significantly. According to the release, Superloop now expects full year EBITDA to be between $7 million and $8 million in FY 2019, compared to its prior guidance of between $13 million and $18 million. The downgrade has been blamed on delays to a major commercial agreement being signed.
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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 SUPERLOOP FPO. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended SUPERLOOP FPO. 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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