The S&P/ASX 200 Index (ASX: XJO) has started 2021 in style and stormed notably higher last week. The benchmark index rose a sizeable 2.6% to end the five days at 6,757.9 points.
Unfortunately, not all shares on the index climbed higher with the market. Here’s why these ASX 200 shares were the worst performers last week:
Link Administration Holdings Ltd (ASX: LNK)
The Link share price was the worst performer on the ASX 200 last week by some distance with a 16.2% decline. Investors sold off the administration services company’s shares after its released an update on a takeover approach by SS&C Technology Holdings. Last month the NASDAQ listed global provider of investment and financial software made a conditional offer of $5.65 per share to acquire 100% of Link. While management felt the offer undervalued the company, it granted SS&C Technology due diligence. However, last week it revealed that the takeover proposal has now been withdrawn.
PolyNovo Ltd (ASX: PNV)
The PolyNovo share price was out of form and dropped 9% lower over the five days. This was despite there being no news out of the medical device company. However, it is worth noting that the PolyNovo share price was an exceptionally strong performer in 2020, so this decline could be due to profit taking. PolyNovo’s shares recorded a gain of 97% last year.
EML Payments Ltd (ASX: EML)
The EML Payments share price wasn’t far behind with an 8.9% decline last week. This decline may have been driven by concerns that its gift card segment will struggle for longer than expected due to lockdowns in the UK, growing COVID cases in the US, and recent outbreaks in New South Wales and Victoria. Brokers remains positive on the company, though. Last month Wilsons put an overweight rating and $4.55 price target on its shares.
Megaport Ltd (ASX: MP1)
The Megaport share price was out of form last week and dropped 8.5% over the five days. This was despite there being no news out of the global provider of elastic interconnection services. Though, with its quarterly report potentially going to be released in the coming days, some investors may be nervous. Megaport’s first quarter update was a touch weaker than many were expecting.
This Tiny ASX Stock Could Be the Next Afterpay
One little-known Australian IPO has doubled in value since January, and renowned Australian Moonshot stock picker Anirban Mahanti sees a potential millionaire-maker in waiting…
Because ‘Doc’ Mahanti believes this fast-growing company has all the hallmarks of genuine Moonshot potential, forget ‘buy now pay later’, this stock could be the next hot stock on the ASX.
Doc and his team have published a detailed report on this tiny ASX stock. Find out how you can access what could be the NEXT Afterpay today!
See how you can find out the name of this stock
Returns as of 6th October 2020
More reading
- ASX 200 rises 0.7% on Friday
- The Megaport (ASX:MP1) share price is down 8% this week
- Mesoblast (ASX:MSB) share price could be facing more pressure in 2021
- Citi picks the best international share markets that can beat the ASX in 2021
- The Energy Resources (ASX:ERA) share price is falling. Here’s why.
James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends EML Payments and MEGAPORT FPO. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Link Administration Holdings Ltd and POLYNOVO FPO. The Motley Fool Australia has recommended EML Payments, Link Administration Holdings Ltd, and MEGAPORT FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
The post These were the worst performing ASX 200 shares last week appeared first on The Motley Fool Australia.
from The Motley Fool Australia https://ift.tt/3hWKNxe
Leave a Reply