In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a small gain. At the time of writing, the benchmark index is up 0.3% to 6,799.7 points.
Four ASX shares that have failed to follow the market higher today are listed below. Hereâs why they are dropping:
Ampol Ltd (ASX: ALD)
The Ampol share price is down 12% to $27.52. This morning this fuel retailer released its third quarter update. Although Ampol reported further strong earnings growth in FY 2022, it appears to have fallen short of expectations.
Cann Group Ltd (ASX: CAN)
The Cann share price is down 13% to 23.5 cents. This follows news that the cannabis company is seeking further funds from shareholders. The company has launched a share purchase plan to raise between $8 million and $10 million at an 18.8% discount of 22 cents per new share. Funds from the share purchase plan will contribute to the companyâs strategic investment in expanding GMP manufacturing capabilities at its Mildura operation.
Reliance Worldwide Corporation Ltd (ASX: RWC)
The Reliance Worldwide share price has sunk over 13% to $3.11. Investors have been selling this plumbing parts companyâs shares following the release of a disappointing trading update. For the first quarter, Reliance reported sales of US$303.1 million. While this was up 23% over the prior corresponding period, this was due largely to a US$53.8 million contribution from the EZ-Flo acquisition. Excluding this acquisition, its sales growth was 6%. And due to margin weakness, normalised EBITDA fell 4% to $63.2 million.
South32 Ltd (ASX: S32)
The South32 share price is down over 1.5% to $3.59. This appears to have been driven by a lukewarm response to the minerâs quarterly update on Monday. For example, this morning Goldman Sachs retained its neutral rating but trimmed its price target on the companyâs shares to $3.60.
The post Why Ampol, Cann, Reliance Worldwide, and South32 shares are dropping appeared first on The Motley Fool Australia.
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More reading
- Why is ASX 200 share Reliance Worldwide crashing 16% today?
- Here are the top 10 ASX 200 shares today
- Here are the 3 most heavily traded ASX 200 shares on Monday
- Why Austal, New Hope, Playside, and South32 shares are dropping
- Why is the BHP share price leaping 4% on Monday?
Motley Fool contributor James Mickleboro 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 Reliance Worldwide Corporation Limited. The Motley Fool Australia has recommended Reliance Worldwide Corporation 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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