With the Australian share market sinking notably lower again today, it will not come as surprise to learn that a number of shares have fallen to 52-week lows or worse.
Three that caught my eye are listed below. Is this a buying opportunity?
The MNF Group Ltd (ASX: MNF) share price continued its poor run and hit a 52-week low of $4.38 on Friday. MNF Group, previously known as My Net Fone, has seen its shares come under significant selling pressure in recent weeks following the release of disappointing guidance for FY 2019 and FY 2020. According to the update, management expects earnings per share to rise just 7.3% this year before accelerating to between 16.5% and 28% growth in FY 2020. Given that its shares were trading at 32x earnings at that point, I think a derating was unfortunately appropriate. While I'm not yet a buyer of its shares, if they were to fall below $4.00 I would be interested.
The Nufarm Limited (ASX: NUF) share price sank to a multi-year low of $5.76 today. The crop protection company's shares have been under significant pressure this year due to concerns over the negative health impacts of glyphosate use, weak demand for its products because of droughts, and a recent entitlement offer to raise $303 million. While I think Nufarm's shares are trading at a reasonably attractive level now, I would suggest investors wait to see how it performs in the first half of FY 2019 before considering an investment.
The WAM Global Ltd (ASX: WGB) share price tumbled to an all-time low of $2.10 on Friday. This is certainly disappointing for investors that picked up shares in the listed investment company's IPO in June at $2.20 per share. But it is worth noting that its NTA has increased since its listing. Though admittedly the last update was prior to the global market selloff this month, so things could be different now. While I'm not ready to make an investment in a global fund right now, when market volatility settles I intend to revisit WAM Global.
