Insights

Why Altium, Challenger, Lynas, & Sydney Airport shares are sinking

Altium Limited (ASX:ALU) and Challenger Ltd (ASX:CGF) are two of four ASX shares tumbling lower on Tuesday. Here’s why…
The post Why Altium, Challenger, Lynas, & Sydney Airport shares are sinking appeared first on The Motley Fool Australia. –

downward red arrow with business man sliding down it signifying falling asx share price

The S&P/ASX 200 Index (ASX: XJO) is out of form on Tuesday and tumbling lower. At the time of writing, the benchmark index is down 0.65% to 7,019.2 points.

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

Altium Limited (ASX: ALU)

The Altium share price is down 5% to $28.50. Today’s decline appears to have been driven by a broker note out of Citi this morning. Although the broker retained its buy rating and $33.50 price target, it did warn that Altium has been discounting its platform subscriptions. It feels this could be an indication of weak trading conditions. Though, the broker remains positive on the company on the belief that its downgrade cycle is nearing an end.

Challenger Ltd (ASX: CGF)

The Challenger share price has crashed 16% lower to $5.55. Investors have been selling the annuities company’s shares following the release of its third quarter update. While Challenger’s performance has been solid, investors appear disappointed that it is only guiding to the low end of its guidance range. The company advised that its earnings have been impacted by a sharp decline in credit spreads over the year, which were not fully reflected in customer pricing.

Lynas Rare Earths Ltd (ASX: LYC) 

The Lynas share price has sunk 8% lower to $.5.87. This follows the release of the rare earths producer’s third quarter update. Total rare earth oxide production for Lynas was 4,463 tonnes for the quarter. This was up from 3,410 tonnes during the second quarter. In addition to this, the company reported strong pricing for its rare earths. Despite this, investors appear to have been expecting an even stronger update.

Sydney Airport Holdings Pty Ltd (ASX: SYD)

The Sydney Airport share price is down 2% to $6.01. This morning the airport operator released its latest monthly update. According to the release, total passenger traffic in March 2021 was 1,153,000 passengers. This is down 42.6% on the prior corresponding period in 2020 and 68.4% on the corresponding period in 2019. In other news, this morning Credit Suisse retained its underperform rating but lifted its price target to $5.30.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of February 15th 2021

More reading

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Altium. The Motley Fool Australia owns shares of and has recommended Challenger Limited. The Motley Fool Australia owns shares of Altium. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Why Altium, Challenger, Lynas, & Sydney Airport shares are sinking appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!