On Tuesday the S&P/ASX 200 index returned to form and climbed a solid 0.5% to 6,724.6 points. This left the benchmark index trading not too far away from its all-time high.
Unfortunately, not all shares are faring as well the benchmark index. The three ASX shares listed below all hit 52-week lows or worse on Tuesday. Here’s why they are down in the dumps:
The CIMIC Group Ltd (ASX: CIM) share price continued its slide and fell to a 52-week low of $34.63 yesterday. Investors have been selling the contractor’s shares after the release of a disappointing half year result last week. In the first half of FY 2019, CIMIC delivered a 1% increase in net profit after tax to $367 million, which was well short of the expectations. Another disappointment was that CIMIC reported very weak cash flows during the half.
The Computershare Limited (ASX: CPU) share price dropped to a 52-week low of $15.82 on Tuesday. The share transfer and share registration services provider’s shares have come under pressure this year after its growth failed to live up to expectations. The company recently reaffirmed its management earnings per share growth guidance of 12.5% in FY 2019, which appears to have disappointed investors. In addition to this, there are concerns that its UK business could weigh on its performance in the near term.
The Superloop Ltd (ASX: SLC) share price tumbled to a 52-week low of 88 cents on Tuesday before rebounding higher. Investors have been racing to the exits this month after the telco company downgraded its FY 2019 guidance materially. Its shares then came under further pressure last week when its chairman revealed that the company was withdrawing its guidance for FY 2020. It plans to provide an update to its guidance at the start of next month. I suspect this will reveal a sizeable downgrade to its original guidance.
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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 has recommended Computershare. 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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