Why these 4 ASX shares are sinking lower today

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has continued its disappointing run and has dropped notably lower again on Thursday. In afternoon trade the benchmark index is down a further 1% to 6,168.2 points.

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

The Afterpay Touch Group Ltd (ASX: APT) share price has dropped over 5.5% to $15.78 despite there being no news out of the fintech star. I suspect that today’s decline is a case of profit taking after U.S. tech shares fell heavily overnight. Many of Afterpay Touch’s industry peers are also deep in the red today.

The Freedom Insurance Group Ltd (ASX: FIG) share price has plunged a further 10% to 17.5 cents after the embattled insurance company announced the launch of a review of strategic options. The commencement of this review follows consideration of a report released by ASIC last week regarding direct life insurance sales and an initial discussion with ASIC regarding that review. It looks to me as though its business model may need to be overhauled to satisfy the regulator.

The Lynas Corporation Ltd (ASX: LYC) share price is down 7.5% to $1.90 following the release of its full year results. Although the company posted a 45% increase in revenue to $374.1 million and swung from a loss to a net profit after tax of $53.1 million, it seems some investors were expecting even more.

The Sigma Healthcare Ltd (ASX: SIG) share price has tumbled 8% lower to 55.5 cents after announcing its half year results. In the first half of FY 2018 Sigma saw revenue fall 2% to $1,960 million and reported NPAT drop 50.6% to $13.8 million. Although it expects a stronger second half, its short-term future looks set to remain reasonably gloomy. Profits are expected to decline significantly in FY 2020 when a key supply contract finishes. I would suggest investors stay clear of Sigma.

OUR #1 dividend pick to grow your wealth now is revealed for FREE here!

You might not know this market leader's name, but it's rapidly expanding into a highly profitable niche market here in Australia. Even better, the shares boast a strong, fully franked dividend that should balloon in the years to come. In other words, we're looking at the holy grail of incredible long-term growth potential AND income you can watch accruing in your account in real time!

Simply click here to grab your FREE copy of this up-to-the-minute research report on our #1 dividend share recommendation now.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…


The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!