Due largely to weakness in the banking sector, the Australian share market took a tumble last week.
The S&P/ASX 200 Index dropped 70.1 points or 1% to finish the week at 6669.1 points.
Whilst a good number of shares tumbled dropped lower last week, some fell more than most. Here's why these were the worst performers on the index:
The Costa Group Holdings Ltd (ASX: CGC) share price was the worst performer on the index last week with a 22% decline. The horticulture company's shares were sold off after it downgraded its guidance for the fourth time in 12 months. Costa now expects calendar year adjusted net profit of $28 million. This compares to its previous guidance of $57 million to $66 million. In addition to this, the company completed its institutional entitlement offer and raised $87 million. These funds were raised at a discount of $2.20 per share. Costa is now seeking to raise a further $90 million from retail investors.
The Jumbo Interactive Ltd (ASX: JIN) share price was out of form last week and dropped a sizeable 21.2%. This sell off appears to be down to profit taking after an impressive run this year following a very strong full year result. It is worth noting that even after this week's decline, the online lottery ticket seller's shares are still up 184% year to date.
The Bega Cheese Ltd (ASX: BGA) share price came under pressure again last week and fell 17.5%. Investors were selling the food company's shares after the release of a disappointing market update at its annual general meeting. According to the update, Bega Cheese has continued to experience unprecedented competitive milk supply conditions. As a result, it expects its earnings to slide in FY 2020. According to the release, normalised EBITDA is expected to be in the range of $95 million to $105 million. This will be a decline of 8.7% to 17.5% on FY 2019's result.
The Pro Medicus Limited (ASX: PME) share price was amongst the worst performers on the market for a second week in a row with a 10% decline. The healthcare technology company's shares have fallen heavily recently. This appears to have been driven by news that rival medical imaging software provider Canon has won a major contract in its home market. Canon signed a $47.2 million contract which will see it roll out a new medical imaging system for WA Health.
