In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a decent gain. At the time of writing, the benchmark index is up 0.6% to 7,159.7 points.
Four ASX shares that have failed to follow the market higher today are listed below. Hereâs why they are dropping:
29Metals Ltd (ASX: 29M)
The 29Metals share price is down a massive 18% to $1.92. Investors have been selling this copper minerâs shares following the release of disappointing guidance for 2023. 29Metals revealed that copper production is expected to be flat year-on-year. The miner also advised that its gold and silver production is likely to fall between 10% to 15% compared to 2022. In response, Macquarie has downgraded its shares to an underperform rating from outperform.
BWX Ltd (ASX: BWX)
The BWX share price is down a further 10% to another new record low of 19 cents. The Sukin skincare manufacturerâs shares have been hammered this week after returning from a suspension of almost four months. Its return followed the release of shocking business update. BWX now has a mountain of debt more than double its market capitalisation and is on track to breach its debt covenants.
Readytech Holdings Ltd (ASX: RDY)
The Readytech share price is down 11% to $3.49. This morning, the enterprise software company revealed that Pacific Equity Partners has withdrawn its original $4.50 per share takeover proposal. The company advised that the investment firm is now working on an alternative proposal that could still deliver a $4.50 per share consideration.
Synlait Milk Ltd (ASX: SM1)
The Synlait Milk share price is 3.5% to $3.28. Investors have been selling this dairy processorâs shares following the release of a profit update. Synlait has warned that its first half profit will be down over the prior corresponding period. This has been driven by delays to shipments, reduced lactoferrin volumes, and increased costs.
The post Why 29Metals, BWX, Readytech, and Synlait shares are dropping appeared first on The Motley Fool Australia.
Turn the market pullback to your advantage today
The recent market pullback in stocks has been eye watering…
But there is a silver lining because historically, some millionaires are made in bear markets.
And when investors can find world-class stocks at severe discounts you have to wonder…
Have you got these four ‘pullback stocks’ in your portfolio?
See The 4 Stocks
*Returns as of December 1 2022
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More reading
- Why did this ASX 300 mining share just crash 20%?
- Why BWX, Novonix, Symbio, and TPG shares are dropping today
- Why BWX, City Chic, Domain, and John Lyng shares are sinking today
- Why is the BWX share price crashing 48% on Tuesday?
- BWX share price on watch amid $335m loss and guidance downgrade
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 ReadyTech. The Motley Fool Australia has recommended ReadyTech. 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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