Thanks to the rally in the financial and information technology sectors yesterday, the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is on the verge of hitting a new 52-week high.
Unfortunately not all shares on the market have followed suit. In fact, three shares in particular have just sunk to their lowest levels in the last 12 months. Here's why:
The Domino's Pizza Enterprises Ltd. (ASX: DMP) share price hit a 52-week low of $52.18 yesterday after the release of its half-year results. Despite reporting a 30.8% jump in half-year profits, its shares tumbled over 14%. Following the sell-off its shares are now changing hands at 40x trailing earnings. I believe this could be a reasonably good entry price for buy and hold investors.
The Integral Diagnostics Ltd (ASX: IDX) share price hit a 52-week low of $1.04 yesterday. The diagnostic imaging services provider's shares have come under heavy selling pressure since the company's AGM in November. At the meeting management advised that half-year earnings are likely to be 10% lower than the same period in FY 2016. I would stay clear of Integral Diagnostics until its performance shows signs of improvement.
The OrotonGroup Limited (ASX: ORL) share price hit a 52-week low of $1.52 during Wednesday's trade. Yesterday's decline means that the retailer's shares have now fallen by around 30% since mid-January. Its shares started their decline when management advised that aggressive discounting and a weak women's range meant like-for-like sales had fallen a massive 10% so far in the first half of its fiscal year. Despite how cheap its shares might look now, I would suggest investors avoid Oroton and focus on other retail shares instead.
