Why these ASX shares have fallen to multi-year lows

The Helloworld Travel Ltd (ASX:HLO) share price and two others tumbled to multi-year lows on Tuesday. Here's why they are sinking lower…

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Although the S&P/ASX 200 index rebounded on Tuesday, not all shares pushed higher.

Some have even continued to slide lower and hit 52-week lows or worse. Here's why these ASX shares are down in the dumps:

The Helloworld Travel Ltd (ASX: HLO) share price continued its slide and hit a multi-year low of $3.00 on Tuesday. The catalyst for this is of course the coronavirus outbreak and the impact it could have on the travel and tourism markets. Helloworld has meaningful exposure to the coronavirus through businesses which generate revenue from cruise ship ticket sales and air ticket sales to the Asia market. Its shares have now fallen so far that they offer a trailing 7% dividend yield.

The HUB24 Ltd (ASX: HUB) share price was out of form on Tuesday and dropped to a multi-year low of $9.35. Although the investment platform provider delivered a record half year result last month, investors appear to be focusing more on the negative impact that rate cuts could have on its business. This is because HUB24 benefits greatly from the interest income earned on cash balances on its platform that are waiting to be deployed. But with rates now down at 0.5% and potential going lower, this revenue could dry up.

The Tabcorp Holdings Limited (ASX: TAH) share price tumbled to a multi-year low of $3.72 on Tuesday. Investors have been hitting the sell button since the gambling and entertainment company released its half year result last month. Although it delivered growth on both the top and bottom line, investors appear concerned by the poor performance of its Wagering business. Another disappointment was its update on the Tabcorp-Tatts integration. The company revealed that total implementation costs are now expected to be $135 million versus the previous guidance of $95 million. Management advised that the $40 million increase reflects the deployment of additional resources to ensure the successful migration of UBET customers to the TAB platform.

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 Hub24 Ltd. The Motley Fool Australia owns shares of and has recommended Helloworld Limited. The Motley Fool Australia has recommended Hub24 Ltd. 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.

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