Mayne Pharma Group Ltd (ASX:MYX) and Zip Co Ltd (ASX:Z1P) are two of four ASX shares tumbling lower on Monday. Here’s why…
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The S&P/ASX 200 Index (ASX: XJO) has started the week in a mildly positive fashion. In afternoon trade, the benchmark index is up 0.2% to 7,076.3 points.
Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are tumbling lower:
GPT Group (ASX: GPT)
The GPT share price is down 3% to $4.67. Investors have been selling the property investment company’s shares after it released its guidance for the full year. According to the release, GPT advised that it expects to deliver year on year funds from operations (FFO) growth of 8% and distribution per security growth of 12% in FY 2021. While this is positive, it appears as though the market was expecting more.
Mayne Pharma Group Ltd (ASX: MYX)
The Mayne Pharma share price has fallen 6.5% to 47.7 cents. This appears to have been driven by a broker note out of Macquarie this morning. According to the note, the broker has downgraded the pharmaceutical company’s shares to an underperform rating with an improved price target on 38 cents. While it notes that the FDA has just approved its Nextstellis contraceptive product, it isn’t enough to become more positive. Macquarie expects business conditions to remain subdued in the short term.
Talga Group Ltd (ASX: TLG)
The Talga share price has tumbled 5% lower to $1.37. This is despite the company providing an update on its electric vehicle anode (EVA) qualification plant. According to the release, designs for the plant have been finalised and engineering work is progressing well. It has now placed orders for the materials and equipment needed to build the plant. Talga hopes to commence its EVA plant’s installation in the fourth quarter of 2021.
Zip Co Ltd (ASX: Z1P)
The Zip share price has dropped 4% to $9.00. This decline appears to have been driven by profit taking following a very strong gain last week. In fact, the Zip share price was the best performer on the ASX 200 last week with a gain of 13%. One broker that believes it can still go higher is Citi. Last week it upgraded its shares to a buy rating with an $11.30 price target.
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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 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 Bruce Jackson.
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