These ASX shares are having bad days…
The post Why Cooper Energy, Lake Resources, Leo Lithium, and Zip shares are sinking appeared first on The Motley Fool Australia. –
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 0.4% to 6,534.1 points.
Four ASX shares that have failed to follow the market higher today are listed below. Hereâs why they are sinking:
Cooper Energy Ltd (ASX: COE)
The Cooper Energy share price is down 22% to 24.5 cents. This follows the completion of the energy companyâs institutional entitlement offer and placement. Cooper Energy raised $183 million at a 22% discount of 24.5 cents per new share. The proceeds will be used to fund the transformational acquisition of the Orbost Gas Processing Plant.
Lake Resources N.L. (ASX: LKE)
The Lake Resources share price has crashed a further 16% to 70.7 cents. This lithium developerâs shares have been hammered this week amid the sudden exit of its CEO and concerns over future prices of the white metal. In respect to the former, Lakeâs CEO left without comment and sold all his 10.2 million shares the following day.
Leo Lithium (ASX: LLL)
The Leo Lithium share price has dropped 23% to 54 cents. This morning this lithium developerâs shares hit the ASX boards following a demerger from Firefinch. As part of the demerger, the company raised $100 million via an IPO at 70 cents per new share.
Zip Co Ltd (ASX: ZIP)
The Zip share price is down 3% to 45 cents. Not even a business update has been able to stop the rot. This latest decline means that Zip now has a market capitalisation of just over $300 million. To put that into context, this is less than the adjusted loss before tax it recorded in FY 2021 of $359.6 million.
The post Why Cooper Energy, Lake Resources, Leo Lithium, and Zip shares are sinking 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 over ten 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
See The 5 Stocks
*Returns as of January 12th 2022
setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()
More reading
The Lake Resources share price has crashed 50% since joining the ASX 200 on Monday. What’s going on?
Own Zip shares? Here’s how much debt the company has and what this could mean amid rising interest rates
ASX 200 midday update: Pilbara Minerals’ lithium price update, BHP tumbles
Leo Lithium share price fails to roar and sinks 26% following demerger
Zip share price dives 11%, closing below 50c for first time in 6 years
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 ZIPCOLTD FPO. 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 Scott Phillips.
