In afternoon trade the S&P/ASX 200 index has followed the lead of U.S. markets and is on course to record a strong gain. At the time of writing the benchmark index is up 0.65% to 6,948.9 points.
Four shares that have failed to follow the market higher today are listed below. Here’s why they are dropping lower:
The Lycopodium Limited (ASX: LYL) share price is down 2.5% to $5.74. This decline means the engineering company’s shares have given back the gains they made on Monday following a positive announcement. That announcement revealed that its joint venture with Monadelphous Group Limited (ASX: MND), Mondium, has won a major contract with Rio Tinto Limited (ASX: RIO).
The Mosaic Brands Ltd (ASX: MOZ) share price has crashed 18.5% lower to $1.84. This morning the fashion retailer, formerly known as Noni B Limited (ASX: NBL), revealed that the devastating bushfires burning across Australia have impacted its businesses. Approximately 20% of the company’s stores have been directly impacted by the fires. Furthermore, almost one-third of its total 1,386 stores are located in regional areas, where consumer confidence has been particularly fragile. This led to same store sales falling 8% during the first half.
The Newcrest Mining Limited (ASX: NCM) share price is down 2% to $30.15. Newcrest and the rest of the gold miners have come under pressure today after improving investor sentiment led to softening demand for safe haven assets. The S&P/ASX All Ords Gold index is down 1.5% at the time of writing.
The Pendal Group Ltd (ASX: PDL) share price has dropped 3% to $8.71 following its latest quarterly funds under management update. That update revealed that at the end of December Pendal Group’s funds under management climbed 1% to $101.4 billion. However, this was due to favourable market movements which offset $1.3 billion of net outflows over the quarter.
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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.