The benchmark S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has had another disappointing day. In afternoon trade the index is down around 0.3% to 5,871.
Four shares which have acted as a drag on the market today are listed below. Here's why they have tumbled lower:
The Adacel Technologies Limited (ASX: ADA) share price has fallen 11% to $2.25 after the air traffic management systems provider downgraded its profit guidance. Due to a delay in the award of certain contracts, management has downgraded its full-year profit before tax guidance to between $7 million and $7.5 million. Whilst this is disappointing, today's sell-off could be an opportunity for patient investors.
The Eclipx Group Ltd (ASX: ECX) share price has dropped 3% to $3.68. This morning the fleet management and novated leasing company announced a 20% jump in half-year NPATA to $31.2 million. As well as this the company advised that it plans to acquire Grays Ecommerce Group Ltd (ASX: GEG) for $178.9 million. Judging by the reaction, investors appear to think that Grays Ecommerce's shareholders are the biggest winners from the transaction.
The Fortescue Metals Group Limited (ASX: FMG) share price has tumbled 5% to $4.95. According to Business Insider, iron ore futures have crumbled during trade today, falling almost 8%. Unfortunately I think this could only be the beginning of greater declines due to lower demand and increasing supply. For this reason I would avoid Fortescue for the time being.
The Mesoblast limited (ASX: MSB) share price has dropped a massive 15% to $2.67 despite there being no news out of the regenerative medicine business. Even after today's decline Mesoblast's shares are still up a remarkable 86% year-to-date.
