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 0.7% to 7,063.2 points.
Four shares that have failed to follow the market higher today are listed below. Here's why they are sinking lower:
The Beach Energy Ltd (ASX: BPT) share price has fallen 3.5% to $2.28. This follows the further weakening of oil prices and updates to its FY 2020 guidance. Following the release of a weaker than expected half year update, Beach downgraded its production guidance for the full year. The company also narrowed its EBITDA guidance down to $1.275 billion to $1.35 billion and increased its capex guidance.
The Cochlear Limited (ASX: COH) share price is down 2% to $239.74. The hearing solutions company's shares are dropping lower after it downgraded its FY 2020 guidance. According to the release, Cochlear now expects full year underlying net profit growth in the range of 2% to 9%. This compares to its previous guidance of 9% to 13% growth in FY 2020. This downgrade was due to the impact of the coronavirus outbreak on its sales in Greater China.
The Suncorp Group Ltd (ASX: SUN) share price has dropped 2% to $12.26 following the release of its half year results. The insurance and banking giant disappointed the market with a first half profit from continuing operations of $396 million. This was down 6.2% on the prior corresponding period and driven by profit declines from all three of its segments.
The Treasury Wine Estates Ltd (ASX: TWE) share price has fallen 3% to $11.40. Investors have been selling the shares of the wine giant following Cochlear's guidance downgrade. They appear concerned that demand for Treasury Wine's products in China could also be impacted by the coronavirus outbreak.
