Insights

Why Bubs, Harvey Norman, Mesoblast, & Regis shares are dropping

These ASX shares are having bad days…
The post Why Bubs, Harvey Norman, Mesoblast, & Regis shares are dropping appeared first on The Motley Fool Australia. –

It has been another positive day for the S&P/ASX 200 Index (ASX: XJO). In afternoon trade, the benchmark index is up 0.4% to 7,536.5 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are dropping:

Bubs Australia Ltd (ASX: BUB)

The Bubs share price is down 5% to 40 cents. This follows the release of another disappointing full year result. For the 12 months ended 30 June, the struggling infant formula company reported a loss after tax of $74.7 million. This follows a sharp decline in sales, weaker margins, and a $44.6 million non-cash impairment. Bubs was left with a cash balance of $27.9 million, which management believes is sufficient to fund its FY 2022 growth plans.

Harvey Norman Holdings Limited (ASX: HVN)

The Harvey Norman share price is down 3% to $5.38. This is despite the retail giant delivering a record profit in FY 2021. For the 12 months ended 30 June, Harvey Norman posted a 15.3% increase in total aggregated sales to $9,491 million and a 63% jump in profit after tax to a record $743.1 million. Overshadowing this was news that sales were down sharply in July and August due to lockdowns.

Mesoblast limited (ASX: MSB)

The Mesoblast share price has crashed 14% to $1.69. Investors have been selling the biotech company’s shares following the release of its full year results. Mesoblast burned through more cash in FY 2021, ending the period with a loss after tax of US$99 million. However, the biggest impact to its share price was likely news that it will have to run another COVID ARDS trial in the US before being considered for emergency use. This will come at a cost, sparking fears that another capital raising will be required.

Regis Resources Limited (ASX: RRL)

The Regis Resources share price is down 3.5% to $2.47. Investors have been selling the gold miner’s shares after it reported a 27% decline in net profit after tax to $146 million in FY 2021. This was driven by an increase in costs, which offset stronger production and pricing.

The post Why Bubs, Harvey Norman, Mesoblast, & Regis shares are dropping appeared first on The Motley Fool Australia.

Wondering where you should 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 could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of August 16th 2021

More reading

Regis Resources (ASX:RRL) share price slides as profits fall 27% in FY21
ASX 200 midday update: Harvey Norman’s record profit, PointsBet posts large loss

Which ASX shares are leading the way on the ASX 300 today?

Harvey Norman (ASX:HVN) share price down 5% despite strong FY21 growth
Mesoblast (ASX:MSB) share price slides 10% following FY21 earnings

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 recommended BUBS AUST FPO and Harvey Norman Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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!