Last week the S&P/ASX 200 Index (ASX: XJO) managed to keep its winning streak alive and recorded its sixth straight week of gains. The benchmark index rose 0.1% to finish the period at 6,642.6 points.
Not all shares were able to climb higher with the market. Here's why these were the worst performers on the ASX 200 over the period:
Appen Ltd (ASX: APX)
The Appen share price was the worst performer on the ASX 200 last week with a disappointing 14.5% decline. Investors were selling the artificial intelligence services company's shares after it downgraded its FY 2020 guidance. Due to COVID-19 headwinds, Appen expects to report full year underlying earnings before interest, tax, depreciation and amortisation (EBITDA) of $106 million to $109 million (or $108 million to $111 million when applying the originally assumed exchange rate). This is a reduction from its previous guidance of $125 million to $130 million. Management advised that many of its major customers in California have been hit by lockdowns, which has impacted investment decisions.
IDP Education Ltd (ASX: IEL)
The IDP Education share price was out of form and dropped 8.9% lower over the five days. This appears to have been driven by concerns over the impact that the Australia-China trade war could have on the language testing and student placement company's performance. Analysts at Morgan Stanley estimate that 10% of its profit come from Chinese students and this could decline if they stop coming to Australia to study. Though, it is worth noting that this hasn't stopped the broker giving its shares an overweight rating with a $24.00 price target.
Webjet Limited (ASX: WEB)
The Webjet share price wasn't far behind with a decline of 8.7% last week. This decline appears to have been driven by profit taking after a particularly strong gain in November by the online travel agent. The company's shares stormed a massive 65% higher during the month thanks to border re-openings and positive COVID-19 vaccine developments.
Pendal Group Ltd (ASX: PDL)
The Pendal share price was a poor performer over the five days and dropped 8.2%. Last week the fund manager held its annual general meeting. Not even some positive commentary from management was enough to keep investors from selling shares. It commented: "As we enter FY21 we do so in a much-improved position despite the global uncertainty. We have seen an improvement in investment performance, and we are investing in areas that will grow our funds under 5 management, with a team that is focused and motivated. Our strategy is clear and we are working hard to make it successful."