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The S&P/ASX 200 Index (ASX: XJO) gave back its midweek gains on Friday and dropped notably lower. As a result, the index recorded a weekly decline of 0.2% to 6024 points.
While a good number of shares dropped lower last week, some stood out with particularly sharp declines. Here's why these were the worst performing ASX 200 shares over the period:
The Alumina Limited (ASX: AWC) share price was the worst performer on the index last week with a 7.2% decline. Investors appear to have been taking profit after the alumina and bauxite producer's shares surged higher a week earlier following its quarterly update. One broker that believes this has created a buying opportunity is Morgan Stanley. Last week it retained its overweight rating and price target of $2.00.
The Cooper Energy Ltd (ASX: COE) share price wasn't far behind with a 7.1% decline. This appears to have been driven by a broker note out of Macquarie. According to the note, the broker downgraded the gas producer's shares to a neutral rating and cut the price target on them to 44 cents. Macquarie made the move after Cooper Energy's guidance for FY 2021 disappointed. The broker doesn't expect its earnings to be positive until FY 2022 now.
The Western Areas Ltd (ASX: WSA) share price was out of form and dropped 6.6% lower last week. The majority of this decline came on Friday when the nickel producer released its fourth quarter and full year production update. Western Areas produced 5,114 nickel tonnes in concentrate for the quarter, bringing its full year production to 20,926 tonnes. This was just a touch short of its guidance. Operating cashflow came in at $22.9 million, leaving Western Areas with cash at the bank of $144.8 million and no debt.
The TPG Telecom Ltd (ASX: TPG) share price was a poor performer and fell 6.1% last week. The catalyst for this appears to be a broker note out of Credit Suisse. It reinitiated coverage on the newly merged telco with an underperform rating and $7.35 price target. It is expecting a step down in the company's operating income in FY 2020 because of lower sales in mobile services and roaming revenues.
