DGL share price tumbles again, down 45% so far this week

The DGL Group Ltd (ASX: DGL) share price is down 45% so far this week, including a fall of 15.7% today.

Shares of the logistics company are currently trading for $1.55. Earlier, they made an intraday high of $1.85 at the market opening.

By comparison, the S&P/ASX 200 Industrials Index (ASX: XNJ), which the DGL Group is part of, is only down 0.7%.

The broader market is down more. The S&P/ASX 200 Index (ASX: XJO) is recording a 1.7% loss at the time of writing. The S&P/ASX All Ordinaries Index is also down 1.8%.

So what could be causing this surge of red in the DGL share price? Let’s cover some recent news about the company over the past week.

What’s going on with the DGL share price?

No news has been released by the company today, but yesterday, it posted its FY22 earnings card. DGL shares cratered 23% as a result.

Curiously, the company noted that its revenues and underlying earnings before interest, taxes, depreciation, and amortisation (EBITDA) beat consensus forecasts. Revenue surged to $369.8 million, up 4% on guidance, and EBITDA rose to $65.6 million, 1% above prospectus guidance.

Higher growth was reported in all of its operating segments. However, no guidance was provided for FY23. Instead, it will be announced at its annual general meeting.

In his reporting, my Foolish colleague Zach pointed out that some bad news from the earnings included “many uncertainties in its operations and operating environment looking ahead,” so this may have spooked ASX investors.

DGL shares in review

The DGL Group share price is down 49% year to date.

Meanwhile, the ASX 200 is down 9% over the same period.

The company’s market capitalisation is $513.81 million.

The post DGL share price tumbles again, down 45% so far this week appeared first on The Motley Fool Australia.

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Motley Fool contributor Matthew Farley has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DGL Group Limited. The Motley Fool Australia has recommended DGL Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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