The S&P/ASX 200 index is on course to follow the lead of U.S. markets and record a solid gain on Tuesday. In afternoon trade the benchmark index is up 0.25% to 6,704.5 points.
Four shares that have failed to follow the market higher today are listed below. Here’s why they have dropped lower:
The GR Engineering Services Ltd (ASX: GNG) share price has returned to trade and dropped 19.5% to 70 cents. This morning the engineering company warned that its financial results could be impacted by Timor Sea Oil & Gas Australia going into voluntary administration. GR Engineering’s assessment of the group’s exposure is ~$17.4 million. This represents receivables and work in progress of $15.9 million and the finalisation of commitments to vendors and suppliers of $1.5 million.
The LiveHire Ltd (ASX: LVH) share price has sunk almost 9% lower to 26.5 cents. Investors have been heading to the exits despite an announcement on Monday revealing that the talent technology company has entered into four new or extended agreements recently across ANZ and the US. Investors don’t appear overly optimistic that this will make a meaningful difference to its performance in FY 2020. Last year LiveHire posted revenue of $2.6 million and a sizeable loss of $13.8 million.
The Oil Search Limited (ASX: OSH) share price is down 1.5% to $7.20 after oil prices tumbled lower overnight due to weak economic data out of China. In other news, this morning the energy producer revealed that Dr Keiran Wulff will replace the retiring Peter Botten as the company’s managing director in February. Dr Wulff is currently Oil Search’s Executive Vice President, Alaska and President of Oil Search Alaska.
The Resolute Mining Limited (ASX: RSG) share price has fallen 2.5% to $1.38 after the gold price tumbled lower. According to CNBC, overnight the spot gold price dropped 1.8% to US$1,479.10 an ounce after the U.S. dollar strengthened. The precious metal has continued to fall during Asian trade, leading to the S&P/ASX All Ords Gold index falling 1.7% today.
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