The Motley Fool

Why Afterpay, Bingo, Fortescue, & Regis Healthcare shares sank lower

In afternoon trade the S&P/ASX 200 index has followed the lead of U.S. markets and charged higher again. At the time of writing the benchmark index is up 0.55% to 6,393.4 points.

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

The Afterpay Touch Group Ltd (ASX: APT) share price is down 3% to $23.21 following the release of a business update. That update revealed that the company has continued to grow strongly since the release of its half year results in February. The company advised that unaudited underlying sales for the 11 months ended May 31 were $4.7 billion, up 143% on the prior corresponding period. The payments company’s shares were up as much as 5% at one stage today but faded soon after.

The Bingo Industries Ltd (ASX: BIN) share price has dropped 3.5% to $1.84 despite there being no news out of the waste management company. However, its shares charged notably higher on Wednesday, which may have led to profit taking today. In addition to this, it is worth noting that Bingo is one of the most shorted shares on the ASX with ~11.4% of its shares held short. High levels of short interest can make shares volatile at times.

The Fortescue Metals Group Limited (ASX: FMG) share price is down almost 3% to $7.72 after base metal prices came under pressure following the release of weak manufacturing data. This has sparked fears that a trade war between the world’s two largest economies could result in a global slowdown in manufacturing and ultimately economic growth. The iron ore price remained unchanged on Wednesday due to a Singapore national holiday, but is likely to tumble lower when the market reopens.

The Regis Healthcare Ltd (ASX: REG) share price has crashed 6.5% lower to $2.56 after providing a trading update. This morning the aged care provider advised that it expected to achieve the low end of its net profit after tax guidance in FY 2019. Looking ahead, management expects its profits to fall ~19% in FY 2020 due to higher costs and increased depreciation expense.

These ASX shares have shot up 204% and even 954%, but we think they’re just getting started

The $700 billion “war on cash” is on… and even The New York Times is calling it “a goldmine of staggering proportions”…

That’s why The Motley Fool has just released a brand-new research report: “Leave Your Wallet at Home: 2 Stocks for the Digital Payments Revolution.” Inside, you’ll find 2 expert-picked ASX shares poised to profit from this sweeping tech revolution.

Heck, stock #1 is already up 204% in just the last two years. While Stock #2 has climbed an eye-watering 954% since 2015 alone…

Yet we’re convinced the sheer biggest returns could be still ahead, with 10X or more potential profits still on the table. Simply click the link below now and we’ll show you how to snap up this timely (and potentially highly profitable) new research for FREE.

Click here to snap up your copy of “Leave Your Wallet at Home: 2 Stocks for the Digital Payments Revolution.”

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.

NEW. Five Cheap and Good Stocks to Buy in 2019…

Our Motley Fool experts have just released a brand new FREE report, detailing 5 dirt cheap shares that you can buy today.

One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…

Another is a diversified conglomerate trading near a 52-week low all while offering a 2.8% fully franked yield…

Plus 3 more cheap bets that could position you to profit over the next 12 months!

See for yourself now. Simply click the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.

CLICK HERE FOR YOUR FREE REPORT!