The S&P/ASX 200 Index (ASX: XJO) is on course to record another solid gain on Tuesday. At the time of writing the benchmark index is up 0.7% to 6,152.9 points.
Four shares that have failed to follow the market higher today are listed below. Here’s why they are dropping lower:
The Afterpay Ltd (ASX: APT) share price is down over 3% to $70.13. This decline may have been driven by one of its substantial shareholders selling down its stake. According to a notice, Lone Pine Capital sold around $35 million Afterpay shares during the month of July. Lone Pine Capital appears to have made a large profit on these sales after investing heavily near the bottom in March.
The Challenger Ltd (ASX: CGF) share price is down 3% to $4.20 after the release of its full year results. The annuities company posted an 8% decline in normalised net profit before tax to $507 million and a statutory loss after tax of $416 million. In FY 2021 Challenger expects to record a normalised net profit before tax in the range of $390 million to $440 million. This represents a 13.2% to 23% decline year on year.
The IVE Group Ltd (ASX: IGL) share price has crashed 17.5% lower to 66 cents. This morning the commercial printing company advised that Coles Group Ltd (ASX: COL) will be cease the distribution of its weekly catalogue. This is expected to hit IVE’s revenue by approximately $35 million to $40 million per annum.
The Mesoblast limited (ASX: MSB) share price has plunged 21% lower to $3.85. The biotechnology company’s shares have been sold off today despite there being no news out of it. This could be down to profit taking after some stellar gains over recent months. Alternatively, it could be due to nerves ahead of a meeting with the FDA later this week.
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More reading
- 3 tips for beginners investing in ASX shares
- Challenger share price on watch after full year results and FY 2021 guidance
- Up 377% since March: Is the Mesoblast share price a buy?
- If you invested $10,000 in Afterpay shares last year, you’d have this much today…
- Why Kogan and these ASX shares just hit new record highs
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Challenger Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO and COLESGROUP DEF SET. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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