In afternoon trade the S&P/ASX 200 index is on course to finish the day lower. At the time of writing the benchmark index is off its lows but still down 0.2% to 6,658.2 points
Four shares that have fallen more than most today are listed below. Here’s why they have tumbled lower:
The CIMIC Group Ltd (ASX: CIM) share price has crashed 21% lower to $36.26 following the release of the contractor’s half year results after the market close on Wednesday. In the first half of FY 2019, CIMIC delivered a 1% increase in net profit after tax to $367 million. This was well short of Goldman Sachs’ estimate for a 9% increase in profits. Another disappointment was that CIMIC reported very weak cash flows during the half.
The Superloop Ltd (ASX: SLC) share price has sunk 6% lower to 99 cents after the telco company released its chairman’s letter to shareholders. That letter provided the market with an explanation for the recent earnings guidance downgrade and revealed that the company is withdrawing its guidance for FY 2020. In February the company advised that it expected statutory EBITDA in the range of $26 million to $30 million next year. New guidance will be provided next month.
The Syrah Resources Ltd (ASX: SYR) share price has tumbled 5% to $1.00. Today’s decline appears to be in response to a broker note out of the Macquarie equities desk this morning. According to the note, the broker has downgraded the graphite producer’s shares all the way from outperform to underperform and slashed the price target on them to 90 cents.
The Wattle Health Australia Ltd (ASX: WHA) share price has sunk 11.5% lower to 46.5 cents following the release of an update on its Indian operations. According to the release, Wattle Health has taken legal action against its Indian supply partner after it failed to provide its bank guarantee. This means that Vasudevan and Sons Exim Private is in breach of its supply agreement with the struggling infant formula and baby food company.
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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 SUPERLOOP FPO. The Motley Fool Australia has no position in any of the stocks mentioned. 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.