Last week the S&P/ASX 200 index was out of form due to concerns over the outbreak of coronavirus. The benchmark index fell 1% to end the period at 7017.2 points.
Whilst a good number of shares tumbled lower. The shares listed below were the worst performers on the S&P/ASX 200 last week. Here's why they were sold off:
The Nearmap Ltd (ASX: NEA) share price was the worst performer on the index last week with a massive 33% decline. The aerial imagery technology and location data company's shares were sold off following a surprise guidance downgrade. The loss of a major contract and two churn/downgrade events led to management reducing its FY 2020 annualised contract value (ACV) guidance to the range of $102 million to $110 million. This compares to its previous guidance of $116 million to $120 million.
The Treasury Wine Estates Ltd (ASX: TWE) share price wasn't far behind with a decline of 26.4%. The wine company's shares crashed lower after it downgraded its FY 2020 EBITS guidance. Treasury Wine's first half performance fell short of expectations due to tough trading conditions in the United States market. Treasury Wine now expects EBITS growth of 5% to 10%, compared to its previous guidance of 15% to 20% growth.
The Webjet Limited (ASX: WEB) share price was out of form and sank 18.2% last week. This decline was driven by a combination of concerns over the impact of coronavirus on the travel industry and a bearish broker note out of Morgan Stanley. In respect to the latter, Morgan Stanley downgraded Webjet's shares to an underweight rating and slashed the price target on them by almost 20% to $10.00. It believes Google Travel is negatively impacting its B2C business. It is worth noting that this has since been refuted by the online travel agent.
The Pilbara Minerals Ltd (ASX: PLS) share price tumbled a sizeable 18% last week. The majority of this decline came on Thursday when the lithium miner handed in its quarterly report. That update revealed that lithium prices may yet fall further. The company said: "Roskill predicts that the price for both concentrate and battery grade carbonate and hydroxide could fall even further in the first half of the 2020 calendar year before reaching a floor sometime during this same year."
