The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has rebounded today after last week's horror show, although several stocks have posted big falls for varying reasons. Let's take a look at what might be behind the falls.
Liquefied Natural Gas Ltd (ASX: LNG) has tumbled 4.5% today and nearly 30% over the past month as falling energy prices spell trouble for its valuation. The business is constructing two LNG tolling facilities in North America and selling for $2.75 it remains a risky prospect given the uncertain outlook around its ultimate goal of posting big profits in the future.
Ansell Limited (ASX: ANN) has declined a whopping 15.8% in afternoon trade after the company revealed full year earnings of US$245 million, which is an amount reportedly below analysts' expectations. Management's predictions for a fall in earnings per share in 2016 sent investors running for the exits, although the company remains of reasonable quality with overseas exposure.
Nine Entertainment Holdings Company Ltd (ASX: NEC) slumped 2.8% to close at a new low of $1.40 since listing as a public business at the end of 2013. Today the company announced it has secured the rights to broadcast Nataional Rugby League from 2018 to 2022. Free-to-air television stocks do receive some regulatory support in Australia, but whether that will be sufficient to fend off overseas competition from the likes of Netflix remains to be seen.
Acrux Limited (ASX: ACR) is a testosterone therapy manufacturer that recently posted a big quarterly sales fall for its key Axiron product. Sales appear to have been hit after the US regulator the Food and Drug Administration (FDA) issued a warning over the use of testosterone products. The stock closed down 2.3% to 65 cents and investors should keep a close eye on whether or not it is able to reverse its sales declines. The stock looks one to watch from the sidelines for now, unless you are prepared to take on a significant amount of risk.
