The IDP Education Ltd (ASX: IEL) share price has been a disappointing performer over the last 30 days.

Since this time last month, the language testing and student placement company’s shares are down 15%.

This means the IDP Education share price is now trading broadly flat in 2021.

Why is the IDP Education share price down 15% in a month?

Investors have been selling the company’s shares over the last 30 days amid weakness in the tech sector and concerns about rising COVID-19 cases in India.

Given that the Indian market is the company’s largest market and contributes over a third of its revenue, the terrible situation unfolding in the country looks set to derail IDP Education’s recovery.

Is this a buying opportunity?

According to a note out of Morgans, its analysts believe the recent weakness in the IDP Education share price is a buying opportunity for investors.

This morning the broker retained its add rating but trimmed its price target slightly to $28.48.

Based on the current IDP Education share price of $20.85, this represents potential upside of almost 37% over the next 12 months.

What did the broker say?

Morgans said: “The recent COVID-19 outbreaks in India provide a headwind to the recovery. We estimate that India accounts for ~40% of IEL’s IELTS testing revenue, which assuming 115k tests per month would equate to ~A$11.8m revenue and ~A$5.2m GP/EBITDA per month.”

“Additionally, recent border shutdowns to Indian outbound immigrants (e.g. Canada/Australia) does have the potential to impact Student Placement volumes, however the estimated financial impact is more difficult to ascertain given online vs physical starts,” it added.

However, the broker feels it is worth sticking with the company. Especially as it believes IDP Education is well-placed for growth when trading conditions normalise. Morgans is anticipating market share gains and sees opportunities for M&A activities.

It explained: “We believe IEL is well-placed to capitalise on recovering international student demand via improved market share across IELTS/student placement. We note prior to COVID-19, IEL was delivering on its multi-destination student placement expansion well ahead of consensus estimates – a thematic we expect can return in time.”

Morgans concluded: “We continue to like IEL as a structural growth story with meaningful leverage to a global reopening. We believe earnings risk lies to the upside as pent-up demand levels are quantified, with M&A providing a potential further catalyst. ADD maintained.”

More reading

• 3 buy rated mid cap ASX shares for the long term
• 2 top ASX growth shares rated as buys
• Top brokers name 3 ASX shares to buy today
• IDP Education (ASX:IEL) share price sinks 5%: Time to buy?
• Brokers think these 2 top ASX shares are buys in May 2021

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Idp Education Pty Ltd. 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 Bruce Jackson.

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The Xero Limited (ASX: XRO) share price is down 11% at the time of writing. The sell-off could prove to be an opportunity for investors over the long-term.

Why is the Xero share price falling?

Not only is there a wide selldown of ASX growth share names, but Xero just released its FY21 result which wasn’t quite as strong as some investors were expecting.

Operating revenue grew by 18% to NZ$848.8 million, with total subscriber growth of 20% to 2.74 million. Annualised monthly recurring revenue (AMRR) grew 17% to NZ$963.6 million. Earnings before interest, tax, depreciation and amortisation (EBITDA) went up 39% to NZ$191.2 million and free cashflow rose 110% to NZ$56.95 million. Net profit after tax (NPAT) grew from NZ$3.3 million to NZ$19.77 million.

The total lifetime value of subscribers went up 38% to NZ$7.65 billion.  

Here’s why the Xero share price could be an opportunity

A lower share price can present a better time to buy shares. But there still have to be compelling reasons to believe there can be long-term growth of the business.

Continuing growth of the profit margin

One of Xero’s best selling points is how profitable it is. Not necessarily at the net profit line – it only made NZ$20 million of profit – but at the gross profit line. Xero has one of the highest gross profit margins on the ASX. This shows how low cost it is to deliver its exceptional cloud accounting software product to clients.

How high is the gross profit margin? A year ago in FY20 it was 85.2% and in FY21 it grew by another 0.8 percentage points to 86%. This means that most of the new revenue can fall to the next profit line without losing much to unavoidable variable costs.

But Xero can use a lot of that new revenue to re-invest for better products and win over even more customers.

Large international growth

Australia and New Zealand are great countries. However, they have relatively small populations and that means the addressable markets are quite small. But when a high-quality ASX share can expand significantly overseas, then it means that company has a very long growth runway.

The local markets are still seeing very strong growth for. New Zealand subscribers rose by 14% – this was the best year for net subscriber growth in three years. Australian subscribers went up 22% to 1.11 million – this was the best ever year of growth.

Internationally, Xero is also doing very well. UK subscribers grew 17% to 720,000 – there was a good recovery in the second half of the year, leading to the second strongest half period. North American subscribers went up by 18% in the year to 285,000.

There was particularly strong growth in the rest of the world with a 40% increase of subscribers. The largest contributors to subscriber growth here was South Africa and Singapore.

Long-term focus

Xero is focused on the long-term for shareholders. During the year it made acquisitions (called Planday, Tickstar and Waddle) to improve the overall offering for subscribers.

The company said:

Xero will continue to focus on growing its global small business platform and maintain a preference for reinvesting cash generated, subject to investment criteria and market conditions, to drive long-term shareholder value.

Xero plans that its total operating expenses (excluding acquisition integration costs) as a percentage of operating revenue in FY22 will be in the range of 80% to 85%, which is consistent with levels seen in the second half of FY21 and the pre-pandemic period.

As the business invests to win higher market share, it aims to increase the underlying value of the entity to shareholders.

More reading

• Why American Pacific Borates, NAB, Perenti, & Xero are tumbling lower
• Is the 11% drop in the Xero (ASX:XRO) share price a buying opportunity?
• Why are ASX tech shares like Afterpay (ASX:APT) crashing today?
• ASX 200 down 0.4%: Xero sinks, Telstra hit with $50m fine
• Xero (ASX:XRO) share price on watch after delivering strong growth in FY 2021

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Xero. 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 Bruce Jackson.

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The ASX is sliding again today. It looks to be shaping up for the third straight day of losses.

At the time of writing, the All Ordinaries Index (ASX: XAO) is down 0.8%. That brings the All Ords down more than 2.5% from the all-time highs it reached on Monday.

Now, these types of price swings are quite ordinary. But that won’t stop some investors from wondering if the market will keep falling and whether now could be the time to sell some shareholdings. At the same time, other investors are sure to ponder if this week’s retrace might not represent a good time to buy the dip.

Lacking a crystal ball, I can’t tell you which way the ASX will move over the coming days.

The best I, or anyone, can do is make an educated guess.

Which, according to Shane Oliver, head of investment strategy and chief economist at AMP Capital – is often a mistake.

Five essential lessons for ASX investors

Yesterday, I sat in on AMP Capital’s Webinar, where Oliver offered his analysis of the Federal Budget and provided an outlook for the ASX and global share markets.

One of the key takeaways was the 5 lessons investors should learn from the past COVID-focused year.

A question of timing

First, timing markets is hard.

As difficult as it is to call a near market high, it’s just as hard to call the near market low. Which means trying to time the markets correctly is largely a function of luck.

Oliver said:

You may have got out in January or February last year when markets were at record highs. Maybe you saw the pandemic coming. But the question is, did you get back in in March? And I reckon most investors [who sold out] didn’t. Then you end up getting in 6 or 12 months later when the market is very much higher.

Central banks rule, okay

The second essential lesson for ASX investors is: don’t fight the central banks.

You’ve likely heard the investor adage, “Don’t fight the Fed.” But following the outbreak of COVID-19, it wasn’t just the US Federal Reserve moving in to support markets. It’s been a concerted effort from the Fed, the Reserve Bank of Australia (RBA), the People’s Bank of China (PBoC), the European Central Bank (ECB), and more. Not a team you want to bet against.

No time for depression

Which brings us to Oliver’s third essential lesson ASX investors should take aboard from the past year: depressions can be avoided.

“Twelve months ago, everyone was talking about a depression. Not just a recession but a depression. And we avoided that,” Oliver said. He added that the government’s temporary support measures worked. Despite dire unemployment predictions, a lot of people didn’t lose their jobs thanks to measures like JobKeeper.

Though things still looked bleak on the ground on 23 March 2020, share markets look ahead. And hence the ASX surged from the 23 March lows, with the All Ords now up more than 49% since then.

Don’t overlook interest rates

Oliver’s fourth essential lesson for ASX investors is not to lose sight of the impact of record low interest rates.

You may have read some rather frightening figures on valuations on the ASX in terms of price to earnings (P/E) ratios. But it would help if you kept those in the context of the low rates.

According to Oliver, investment valuations need to be assessed relative to interest rates.

Even when you look at the forward P/E, in Australia we’re at 19-times, which sounds high, but you’ve got to allow that the yield you’re getting out of the share market is still much higher than the level of interest rates.

And that higher yield, he said, is what’s keeping money flowing into the ASX.

Noise-cancelling headphones, anyone?

Finally, Oliver’s fifth lesson for ASX investors is to turn down the noise.

“This is very important,” he said. “I reckon if you focus on the long-term rather than all the short-term noise, you’ll actually do reasonably well with your investments.”

Oliver pointed to the long-term trend of the value of the Aussie share market, which is strongly higher.

“The way to take advantage of that is to take a long-term strategy, make the most of compound interest… But don’t get thrown off by the cycle. In other words, try and turn down the noise.”

More reading

• 3 reasons why the Xero (ASX:XRO) share price selloff could be an opportunity
• Why the Immuron (ASX:IMC) share price is surging 8% higher
• Lynas (ASX:LYC) share price slides following Malaysian update
• Pure Foods (ASX:PFT) share price surges on major revenue deal
• The Perenti (ASX:PRN) share price is collapsing 29%. Here’s why

Motley Fool contributor Bernd Struben 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 Bruce Jackson.

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The Immuron Ltd (ASX: IMC) share price is a strong performer on the ASX today. This follows the biotechnology company’s update on the anti-viral activity of its drug candidate, IMM124E.

At the time of writing, Immuron shares are swapping hands for 18.5 cents, up 8.8%

What did Immuron announce?

Investors are buying up Immuron shares after the company provided a positive result on its SARS-CoV-2 (COVID-19) program.

According to its release, Immuron advised that Monash University scientists have conducted two tests using IMM124E against SARS-CoV-2. The immunologically-based assays were developed with two recombinant reagents, the SARS-CoV-2 spike protein and a receptor protein. The latter was obtained from Melbourne’s Peter Doherty Institute for Infection and Immunity.

Initial findings indicate that IMM124E neutralises activity in which the SARS-CoV-2 virus does not bind with the spike protein or receptor. Essentially, this means that when the virus comes into contact with IMM124E, it cannot latch and infect cells.

Pleasingly, the research team will now look into identifying the inhibitory molecule in IMM124E which causes the reaction.

Deputy director of the Monash Biomedicine Discovery Institute, Professor Lyras commented:

Our initial results suggest the inhibitory substance/s in the products are binding to other antigens present on the SARS-CoV-2 virus which interfere with the mechanism the virus uses to gain entry and infect human cells. We do not yet know which compound/s in the products are responsible for this interference. However, we are excited to try and identify them.

He went on to say, “it does not matter whether antagonists to the SARS-CoV-2 virus block the binding of the spike protein directly or indirectly as long as they can prevent or reduce infection”

In addition to the encouraging announcement, Immuron will appoint Dr Dan Peres as its chief medical officer. Dr Peres will oversee the company’s clinical development programs, predominately focusing on COVID-19.

Immuron share price snapshot

Since the beginning of the year, Immuron shares have recorded a loss of almost 20%, despite clinical progress. Over the last 12 months, however, the company’s shares have soared to register a gain of more than 110%.

Immuron has a market capitalisation of roughly $42 million, with approximately 227 million shares on issue.

More reading

• 3 reasons why the Xero (ASX:XRO) share price selloff could be an opportunity
• Five essential lessons for ASX investors from the year gone by
• Lynas (ASX:LYC) share price slides following Malaysian update
• Pure Foods (ASX:PFT) share price surges on major revenue deal
• The Perenti (ASX:PRN) share price is collapsing 29%. Here’s why

Motley Fool contributor Aaron Teboneras 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 Bruce Jackson.

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Lynas Rare Earths Ltd (ASX: LYC) shares are slumping today after the company provided an update to investors on its Malaysia operations. At the time of writing, the Lynas share price is trading 1.38% lower at $5.70.   

Lynas is the world’s second-largest producer of rare earths and the only significant producer outside China. Rare earth materials are key components in the production of renewable energy technologies. 

Lynas Malaysian operations 

Lynas operates the Lynas Advanced Materials Plant in Pahang, Malaysia. It first built the facility in 2012 to process rare earth material at a lower cost than it could in its home of Western Australia.

Late yesterday, the company provided an update on how the latest coronavirus lockdown regulations in Malaysia are likely to affect its rare earth processing plant there. The Malaysian Government also announced yesterday that the movement control order (MCO) it had implemented last year in response to the pandemic is being extended until early next month. An MCO is a national governmental restriction on public and business behaviour to help curtail the spread of the virus.

The country is currently experiencing a third wave of infections and has placed restrictions on social gatherings as well businesses and the education system. 

While Lynas was quick to provide some reassurance to investors regarding its operation in Malaysia, judging by today’s share price movements, it seems some investors are a little concerned. 

In a market update yesterday, the company insisted that the plant will continue to operate with “standard procedures”:

The MCO, which is in effect for the period from 12 May 2021 until 7 June 2021, permits all economic sectors to continue to operate during the period of the MCO. Consistent with the MCO and previous updates, the Lynas Malaysia plant continues to operate with Standard Operating Procedures (SOPs) in place.

Lynas Malaysia has already implemented strict health and hygiene protocols that meet and exceed the Ministry of Health’s requirements. Products produced at the Lynas Malaysia plant are essential to the manufacturing supply chains for critical industries including automotive, medical devices, oil refining and machinery & equipment.

Lynas share price snapshot

The Lynas share price has lost around 8% over the past month and also fell by 11% in April. Lynas shares are, however, still up by around by more than 40% year to date and over 200% in the past year. 

More reading

• Why has the Lynas (ASX:LYC) share price fallen 11% in April?
• Why is Australian Strategic Materials (ASX:ASM) share price higher today?
• Province Resources and Zip were among the most traded ASX shares last week
• Why some of your favourite ASX growth shares are free-falling this week
• How the Lynas share price (ASX:LYC) sunk 90% last time this happened 

Motley Fool contributor Lucas Radbourne-Pugh 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 Bruce Jackson.

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The Pure Foods Tasmania Ltd (ASX: PFT) share price went nuts earlier today after the company released a sterling customer update.

After reaching an intraday high of 72 cents in mid-afternoon trade, the Pure Foods share price lost its beans and has since retreated to 65 cents apiece, up 3.17%.

Let’s see why the smoked salmon and trout producer is performing so well today.

Pure Foods’ new distribution deal

Pure Foods advised its subsidiary Woodbridge Smokehouse has just signed a new distribution deal with international food distribution company Monde Nissin Australia. 

The distribution deal makes Woodbridge the sole supplier of trout and salmon products for Monde Nissin, which sells its foodstuffs to independent grocers in 45 countries.

Pure Foods reports that the deal is expected to increase Woodbridge’s total revenue by 50% in FY22 against the previous year, and increase Pure Foods’ total group revenue by 15%. 

The deal will include four new Woodbridge products the company recently brought to market. Monde Nissin is currently also in the process of expanding its market into Queensland, which has the potential to further increase revenue from the deal.

Management comments

Pure Foods managing director Michael Cooper said:

We are very excited to be further strengthening our relationship with Monde Nissin Australia. MNA has strong customer relationships covering the Australian FMCG network. The position of PFT as the sole supplier of Atlantic Salmon and Trout products to the Monde Nissan distribution network will provide significant growth opportunities for our Woodbridge Smokehouse brand.

The agreement with MNA further supports the large growth that WBSH has been able to deliver over recent quarters. With forecasted growth for WBSH of over 50% versus last year, it is great to see continued demand and increased availability of our premium brands nationally.

Pure Foods share price snapshot

The Pure Foods share price rose significantly in 2020 – up 220% for the past 12 months – but hasn’t performed nearly as well this year-to-date, down 32%.

It has, however, been bolstered with its diversifying news of plant-based food brand acquisitions, such as its buyout of Cashew Creamery in March.

More reading

• The Perenti (ASX:PRN) share price is collapsing 29%. Here’s why
• Is the NAB (ASX:NAB) share price a buy at $26?
• Why the Harmoney (ASX:HMY) share price is storming 10% higher today
• Why American Pacific Borates, NAB, Perenti, & Xero are tumbling lower
• Why AMP Capital’s chief economist is optimistic on the Federal Budget

Motley Fool contributor Lucas Radbourne-Pugh 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 Bruce Jackson.

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The Perenti Global Ltd (ASX: PRN) share price is taking a shellacking on the trading floor today. At the time of writing, shares in the diversified mining company are down an astonishing 28.72% to 69.5 cents each.

The Perenti freefall comes after the company downgraded revenue and earnings guidance for the rest of this financial year and into the next.

Let’s take a closer look at today’s update.

Perenti share price plunges

In a statement to the ASX, Perenti Global said it expects revenue and earnings for the second half of this financial year and into FY22 to be lower than anticipated. No specific percentages or figures were provided in terms of the scale of the lower revision.

The company said the reason for its financial difficulties are threefold: the ongoing impacts of COVID-19, a tightening labour market, and a strengthening Aussie dollar. Investors are not taking the news well, judging by today’s Perenti share price sell-off.

Perenti also said today its underground operations will be more significantly impacted by these factors than its surface operations. The company’s investment outlook, while affected by the changing labour market, remains the same as it was in its half-year update.

COVID-19

In its update, Perenti says restrictions resulting from the pandemic have had an adverse impact on productivity. Specifically, quarantining rules, travel restrictions, and an operational shut-down due to an outbreak at a worksite, were all cited as factors dragging on the company’s productivity. Direct costs related to the pandemic, however, were recoverable from clients.

Tighter labour market

Perenti claims it has become apparent to the business that demand for domestic labour is increasing at a faster rate than supply. As a result, wages are increasing and this is affecting the company’s bottom line, according to the statement.

Stronger Aussie dollar

Between its half-year update and today, Perenti says the value of the Australian dollar against the US dollar has increased by an average of 1 cent to 77 US cents. The miner believes this small increase will result in a $1.4 million hit to earnings before interest and taxes (EBIT) per year.

Positive update

Surprisingly, given the devastation of the Perenti share price today, there were some positive announcements in today’s statement.

Since 31 December 2020, $700 million of contracts have been awarded to Perenti. Furthermore, there is around $320 million worth of letters of intent in the pipeline. Perenti also says it increased the growth pipeline for the business by 20%, mostly related to gold and nickel opportunities in Australia and North America.

Risks to its African surface operations have improved “significantly”, according to the company. It believes there is some potential for the surface business to also improve further from the last estimate.

Finally, Perenti received a $7 million payment from the finalisation of work at one of the African projects. Total funds received from the sale of two African projects has totalled $87 million.

Perenti share price snapshot

Over the past 12 months, the Perenti share price has fallen by around 30% – most of that occurring today. Today’s losses have also resulted in the company’s shares trading almost 50% lower year to date. 

Given today’s current market price and 704.3 million shares outstanding, Perenti has a market capitalisation of $496.5 million. Yesterday this was $686.7 million.

More reading

• Why American Pacific Borates, NAB, Perenti, & Xero are tumbling lower
• ASX 200 dips, NIB soars, Perenti rises
• ASX 200 flat: NIB update impresses, Altium upgraded
• Perenti (ASX:PRN) share price climbs on North American expansion plans

Motley Fool contributor Marc Sidarous 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 Bruce Jackson.

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The National Australia Bank Ltd (ASX: NAB) share price is bouncing around today. At one point, it was up, at another, down. At the time of writing, NAB shares are trading at $25.90. That’s down more than 2% from where it was trading yesterday at close. But as my Fool colleague James Mickleboro pointed out this morning, this probably has more to do with NAB shares trading ex-dividend this morning than anything else. Shareholders will be receiving NAB’s 60 cents per share, fully franked, on 2 July. Well, shareholders who owned NAB shares yesterday or earlier. Any late entrants today will have to wait for the next dividend. Hence the share price drop.

But this ex-dividend dip could mask some deeper weakness in the NAB share price. Just last week, the ASX bank was hitting a new 52-week high of $27.84, the highest level NAB shares have traversed since late 2019. Investors were initially buoyed by the bank’s half-year earnings report that was released a week ago. And fair enough too. This report detailed a 94.8% increase in cash earnings for the bank to $3.34 billion, with rises spread across all divisions. NAB also doubled its dividend. All of the other major banks have also recently reported well-received earnings (or quarterly updates), with the possible exception of Australia and New Zealand Banking GrpLtd (ASX: ANZ). But all of this has seemingly been forgotten. On today’s pricing, NAB is now down around 5.3% from its high from last Wednesday

But perhaps this dip is a buying opportunity for NAB. After all, lower share prices are cheaper share prices. And NAB is still a long way from its glory days. Remember, back in 2015 this bank was a $37, $38 share. And way back in 2007, NAB saw upwards of $42 at one point.

Is the NAB share price a buy today?

Well, one commentator who does indeed see some further upside for NAB is Goldman Sachs. According to CommSec, Goldman still has a ‘buy’ rating on NAB after its earnings report, with a price target of $29.97. That implies an upside of more than 15% on the current price, as well as some dividend returns on top. Goldman likes the look of NAB’s cost management initiatives, its dominance of the business banking market, and its well-capitalised capital base.

More reading

• Why American Pacific Borates, NAB, Perenti, & Xero are tumbling lower
• The real reason the NAB (ASX:NAB) share price is under pressure today
• What do the CEOs of the Big Four banks think of the Federal Budget?
• Which ASX bank share is the cheapest after earnings?
• Does the NAB (ASX:NAB) share price offer a 7% dividend yield?

Motley Fool contributor Sebastian Bowen owns shares of National Australia Bank Limited. 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 Bruce Jackson.

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Shares in Harmoney Corp Ltd (ASX: HMY) are shooting up today following the release of a business update on the company’s robust performance for April.

The Harmoney share price is up 10.7% during afternoon trade, swapping hands for $1.75.

The consumer credit company provides online direct personal lending services in Australia and New Zealand. Let’s take a closer look.

What did Harmoney announce?

In its release, Harmoney reported total group originations for the month grew to NZ$37.8 million. This represents an 800% increase on the NZ$4.2 million achieved over the prior corresponding period.

The record results saw a surge in customer numbers after suffering a heavy impact from COVID-19 during 2020. In New Zealand particularly, loan originations stood at NZ$25.3 million, reflecting a 1,388% jump over the same time last year. Across the Tasman, Australia delivered NZ$11.5 million, a lift of 379% from the previous comparable period.

In addition, the company highlighted its Libra 1.7 technology in doubling the conversion of new customer loans in Australia. Cumulative origination volumes are forecasted to exceed $300 million by FY20, signalling a compound annual growth rate (CAGR) of 180%.

A new updated version, Libra 1.8, is slated for launch in New Zealand around early July this year. Harmoney is predicting that the newer technology will have a similar effect by boosting new lending in New Zealand.

Group receivables at the end of April came to NZ$490 million, slightly above the $485 million attained the month before. Harmoney stated that this metric is forecasted to grow considerably during the second half of 2021.

Lastly, the company also expanded its Australian bank warehouse facility to $177 million and extended it until January 2023. This brings undrawn warehouse capacity to more than $247 million.

Harmoney CEO, David Stevens commented:

Harmoney has accelerated its data-driven marketing program following our listing last November, significantly increasing new customer originations.

…The business is building strong momentum in Australia and has a clear and immediate plan in place for New Zealand originations growth.

About the Harmoney share price

Since listing in late November, Harmoney shares have failed to take off, down almost 50%. Year-to-date performance has fared no better, also sinking roughly 40% for investors.

Harmoney presides a market capitalisation of around $184 million, with approximately 100 million shares on issue.

More reading

• The Perenti (ASX:PRN) share price is collapsing 29%. Here’s why
• Is the NAB (ASX:NAB) share price a buy at $26?
• Why American Pacific Borates, NAB, Perenti, & Xero are tumbling lower
• Why AMP Capital’s chief economist is optimistic on the Federal Budget
• Top brokers name 3 ASX shares to sell today

Motley Fool contributor Aaron Teboneras 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 Bruce Jackson.

The post Why the Harmoney (ASX:HMY) share price is storming 10% higher today appeared first on The Motley Fool Australia.

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The S&P/ASX 200 Index (ASX: XJO) looks set to continue its poor run on Thursday. In afternoon trade, the benchmark index is down 0.6% to 7,000.8 points.

Four ASX shares that have fallen more than most today are listed below. Here’s why they are tumbling lower:

American Pacific Borates Ltd (ASX: ABR)

The American Pacific Borates share price has sunk 15% to $1.45. This mineral exploration company’s shares have come under significant pressure this week after announcing that it would defer its Phase 1A plans for the Fort Cady Borate Mine. Instead, the company intends to shift its focus to a larger borate operation and production of borate specialties combined with sales of boric acid.

National Australia Bank Ltd (ASX: NAB)

The NAB share price is down 2.5% to $25.90. Almost all of this decline is attributable to the banking giant’s shares going ex-dividend this morning for its fully franked 60 cents per share interim dividend. This dividend will now be paid to eligible shareholders in just over seven weeks on 2 July.

Perenti Global Ltd (ASX: PRN)

The Perenti Global share price has crashed 28% lower to 70.5 cents. This follows the release of an operational update this morning by the mining services company. That update reveals that Perenti will no longer be delivering on its guidance for second half revenue and margins in line with what it reported in the first half. Instead, due to the combined impact of COVID-19, Australian labour market shortages, and the stronger Australian dollar, it is expecting softer earnings in the second half. It also expects these headwinds to continue for the next 12 to 18 months.

Xero Limited (ASX: XRO)

The Xero share price has sunk 12% to $118.87. Investors have been selling the cloud-based business and accounting platform provider’s shares following the release of its full year results. Although Xero delivered strong growth on both the top and bottom lines, it was still short of the market’s expectations. In addition to this, weakness in the tech sector is adding to the selling pressure.

More reading

• Is the 11% drop in the Xero (ASX:XRO) share price a buying opportunity?
• Why are ASX tech shares like Afterpay (ASX:APT) crashing today?
• ASX 200 down 0.4%: Xero sinks, Telstra hit with $50m fine
• Here’s why the ABR (ASX:ABR) share price has dived 9%
• The real reason the NAB (ASX:NAB) share price is under pressure today

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Xero. 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 Bruce Jackson.

The post Why American Pacific Borates, NAB, Perenti, & Xero are tumbling lower appeared first on The Motley Fool Australia.

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