It was another disappointing week for the S&P/ASX 200 index. Due to concerns over the rapid spread of the coronavirus globally, the benchmark index fell 3.5% to close the week at 6216.2 points.
Whilst a large number of shares tumbled lower last week, some fell more than most. Here's why these were the worst performing ASX 200 shares last week:
The Corporate Travel Management Ltd (ASX: CTD) share price was the worst performer on the index last week with a decline of 22.5%. The corporate travel specialist's shares were sold off amid concerns that the coronavirus outbreak could impact its business materially in 2020. This latest decline means that the company's shares are now down 47.3% since the start of the year.
The HUB24 Ltd (ASX: HUB) share price wasn't far behind with a decline of 20.5%. Investors were selling the investment platform provider's shares after the Reserve Bank cut the cash rate down to a record low of 0.5%. As HUB24 benefits from the interest income earned on cash balances on its platform that are waiting to be deployed, this could weigh on its revenue in the medium term, especially if rates go even lower from here.
The Flight Centre Travel Group Ltd (ASX: FLT) share price was out of form again last week and dropped 18.8%. Flight Centre and its peers were sold off due to concerns that the global travel market could face significant disruption from the coronavirus outbreak. In addition to this, a broker note out of Ord Minnett weighed on Flight Centre's shares. According to the note, the broker downgraded the travel company's shares to a lighten rating and cut the price target on them to $25.49.
The G8 Education Ltd (ASX: GEM) share price wasn't far behind with a sizeable 18.5% decline. The childcare centre operator's shares have fallen heavily since the release of its full year results last month. As well as posting a disappointing 3.9% decline in underlying net profit after tax to $76.4 million, management warned that the bushfires and coronavirus outbreak has made trading conditions tough. With the outbreak intensifying since then, investors appear concerned that its occupancy rate could take a big hit in FY 2020.
