Guess which ASX 200 stock is crashing 20% today

GrainCorp Ltd (ASX: GNC) shares are having a day to forget on Wednesday.

In morning trade, the ASX 200 stock crashed as much as 20% to $6.70.

The grain exporter’s shares have since recovered a touch but remain down 12% at the time of writing.

Why is this ASX 200 stock crashing?

Investors have been hitting the sell button today after it announced the sale of a non-core asset and released a weaker than expected trading update.

According to the release, GrainCorp has agreed to sell GrainsConnect Canada to Parrish & Heimbecker.

The release notes that the decision to sell the Canadian grain handling joint venture followed a strategic review triggered by the challenging financial performance at the business.

GrainCorp and its joint venture partner assessed recent results, global grain and oilseed market conditions, and structural changes in the Canadian market before determining that a sale was the most value-accretive option available

The transaction values GrainsConnect at C$150 million on a cash-free, debt-free basis, with an additional payment to be made for net working capital at completion.

GrainCorp expects to recognise a loss on sale of approximately $5 million to $10 million, though it noted that the transaction does not affect its through-the-cycle EBITDA target of $320 million

Importantly, GrainCorp will retain its Canadian marketing offices in Winnipeg, which will continue to support customers and provide market intelligence to the broader group. Completion of the sale is expected in the first half of 2026

The ASX 200 stock’s managing director and CEO, Robert Spurway, commented:

This transaction reflects GrainCorp’s ongoing commitment to portfolio optimisation and our readiness to rationalise assets where necessary to improve returns. Divestment of GrainsConnect allows GrainCorp to focus on alternative value-creating opportunities that are in the best interests of our shareholders

Softer outlook

Alongside the divestment, GrainCorp provided a trading update on the 2025–26 east coast Australian winter harvest, which appears to have weighed heavily on investor sentiment.

The company said harvest activity is largely complete in Queensland and northern New South Wales, but ongoing weather interruptions continue to affect southern New South Wales and Victoria. As a result, GrainCorp expects lower receival volumes year on year

Preliminary estimates suggest total FY 2026 receivals of 11 to 12 million tonnes, down from 13.3 million tonnes in FY 2025. GrainCorp also highlighted that prevailing commodity prices have reduced grain coming to market and, when combined with near-record global grain and oilseed production, are placing continued pressure on margins for grain handlers

An update on its earnings guidance will be provided at its annual general meeting in February.

The post Guess which ASX 200 stock is crashing 20% today appeared first on The Motley Fool Australia.

More reading

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• Macquarie names 3 top dividend-paying ASX 200 shares to buy today
• 5 things to watch on the ASX 200 on Wednesday
• 3 ASX agriculture shares just re-rated by experts
• Why did the ASX 200 dive to a near six-month low last week?

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.