The S&P / ASX 200 (ASX: XJO) is marginally down again in lunchtime trade today after Wall St and major European indices posted flat sessions ahead of a highly anticipated meeting between US President Trump and Chinese President Xi at the G20 summit this weekend. Locally there are a few shares that are having a bad day on the back of different news, so let's take a look at what might be causing investors to hit the sell button.
The Redbubble Ltd (ASX: RBL) share price is down 11% to 98 cents today after the online market place for fashionable consumer goods and apparel warned that trading over the important Thanksgiving weekend that includes Black Friday may have been a little weaker-than-expected. This means there is "some downside risk" to previous revenue growth and operating EBITDA guidance. The group also flagged how recent changes to Google's algorithm had impacted "organic search sales" by negative 3% year-on-year since October.
The AMP Limited (ASX: AMP) share price is down 4% to $2.33 today probably due to the fallout from the grilling of its chief executive, Mike Wilkins, at the Royal Commission. Today AMP was forced to clarify to the market via an announcement exactly what it expects the total costs to be for updating its operational processes and compensating customers as a result of the scandalous allegations levelled against it. AMP confirmed it now expects total pre-tax costs of $778 million (or $545 million post tax), although it warned this figure was just as an estimate for now. The news seems to have sent shares lower again.
The Saracen Mineral Holdings Limited (ASX: SAR) share price was down 7% to $2.37 today after the WA-based gold miner reported on November 27 about two significant new gold discoveries at its Carosue Dam Corridor mine. Saracen has guided for it to produce 325,000 – 345,000 ounces of gold in FY 2019 at an all-in sustaining cost of (AISC) $A1,050 – $A1,100 per ounce. It also has a long-term "strategy" to produce 400,000 ounces of gold per annum. It appears the stock may be subject to some profit taking after a strong run of gains recently.
The Coca-Cola Amatil Ltd (ASX: CCL) share price is down 1.9% to $9.80 today after the Fairfax media reported that analysts at Citigroup have downgraded the fizzy drinks group to a "sell" rating and $8.90 share price target. Apparently Citi's analysts are worried Coca-Cola won't meet its 5% earnings per share growth targets for FY 2019 and FY 2020. Coca-Cola faces a number of headwinds as consumers prefer healthier drinks and some governments globally have even started taxing sugary drinks.
