Why Core Lithium, Creso Pharma, Nickel Industries, and Perpetual shares are dropping

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 0.1% to 7,132.1 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are dropping:

Core Lithium Ltd (ASX: CXO)

The Core Lithium share price is down a further 4.5% to $1.42. This means the lithium miner’s shares are down 24% since Monday’s close. Investors have been hitting the sell button following a broker downgrade by Macquarie and concerns over demand for the battery making ingredient in China.

Creso Pharma Ltd (ASX: CPH)

The Creso Pharma share price has sunk 9% to 2.1 cents. Investors have been selling this cannabis company’s shares after the company kicked out its chairman, James Ellingford, with immediate effect. While the company didn’t comment on the reason for Ellingford’s exit, it could be due to his deplorable behaviour on TikTok.

Nickel Industries Ltd (ASX: NIC)

The Nickel Industries share price is down 6% to 93.2 cents. This appears to have been driven by a sharp pullback in nickel prices overnight. According to CommSec, the nickel price recorded a 9.1% decline on Wednesday night. Prices were down as much as 12% in volatile and illiquid conditions. In response, the London Metal Exchange (LME) said it would be conducting enhanced monitoring of nickel trading.

Perpetual Limited (ASX: PPT)

The Perpetual share price is down 14% to $27.09. This follows news that the courts are enforcing its acquisition of rival fund manager Pendal Group Ltd (ASX: PDL). This is likely to scupper the potential takeover of Perpetual by a consortium comprising BPEA Private Equity Fund VIII and Regal Partners.

The post Why Core Lithium, Creso Pharma, Nickel Industries, and Perpetual shares are dropping appeared first on The Motley Fool Australia.

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More reading

• ASX lithium shareholders rejoice! Expert tips lithium price to hit $100K
• Here are the top 10 ASX 200 shares today
• Here are the 3 most traded ASX 200 shares on Wednesday
• Dig this! Look how many of the top-performing ASX 200 shares today are miners
• Why Aristocrat, CBA, Core Lithium, and GrainCorp shares are dropping today

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 no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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