These were the worst performing ASX 200 shares last weekby James Mickleboro
The S&P/ASX 200 index put aside coronavirus concerns and pushed higher last week. The benchmark index rose a solid 1.5% to close it at 7130.2 points.
Not all shares were able to climb higher with the market, though. Here’s why these shares were the worst performers on the benchmark index:
Blackmores Limited (ASX: BKL)
The Blackmores share price was the worst performer on the ASX 200 last week with a 17.7% decline. Investors sold off the health supplements company’s shares after it downgraded its underlying NPAT guidance to $18 million. This represents a 47% decline on the prior corresponding period. Also weighing on its shares was management’s guidance for the full year. Despite guiding to a profit of $18 million in the first half, full year profit is expected in the range of just $17 million to $21 million. In light of the significant deterioration in its outlook, the Blackmores board decided not to pay an interim dividend in order to conserve cash.
Beach Energy Ltd (ASX: BPT)
The Beach Energy share price wasn’t too far behind with a decline of 11.3%. Beach and other energy producers came under pressure last week after oil prices continued to slide. This was caused by concerns that the coronavirus outbreak could impact demand for oil in China. In addition to this, a weaker than expected half year update also weighed on its shares. Beach downgraded its production guidance for the full year and lowered its EBITDA guidance range.
Adelaide Brighton Ltd (ASX: ABC)
The Adelaide Brighton share price was out of form last week and dropped 9.6%. This was despite there being no news out of the building products company. However, at the end of last month Macquarie downgraded the company’s shares to an underperform rating. It was concerned by the challenges it is facing in its strategically important South Australian market.
Orora Ltd (ASX: ORA)
The Orora share price was a disappointing performer with a 9.4% decline last week. The packaging company’s shares came under pressure after it reported a softer than expected half year result. Orora posted a 13.3% increase in revenue to $1,835.2 million, but a 4.1% decline in EBIT to $133.1 million. Its North American business was largely to blame for the decline in earnings.