In late morning trade the S&P/ASX 200 Index (ASX: XJO) is on course to record another strong gain. At the time of writing the benchmark index is up 1.45% to 5,396.3 points.
Four shares that have failed to follow the market higher today are listed below. Here's why they are dropping lower:
The Inghams Group Ltd (ASX: ING) share price is down 3.5% to $3.26. This follows the release of a market update on Monday. That update warned that changes in volume and channel mix across its business have made it difficult to forecast what its full year results will look like in August. Management revealed that it has experienced a decline in out of home consumption of poultry products due to social distancing measures.
The Orora Ltd (ASX: ORA) share price is down 2.5% to $2.46. This decline appears to have been driven by a broker note out of Macquarie this morning. According to the note, the broker has resumed coverage on the packaging company with a neutral rating. While Macquarie is quite positive on most aspects of the business, it has a few concerns over the extent of the weakness in the North American business.
The Redbubble Ltd (ASX: RBL) share price has fallen 2.5% to 76 cents despite there being no news out of it. However, last week the ecommerce company was the subject of a reasonably bearish broker note out of Morgans. Its analysts have retained their reduce rating and put a 54 cents price target on its shares. The broker has concerns over its near term prospects and feels it could struggle during a U.S. recession.
The ResMed Inc. (ASX: RMD) share price is down 2.5% to $24.00. This appears to have been driven by a broker note out of JP Morgan this morning. The broker has downgraded the medical device company's shares to an underweight rating with a $21.90 price target. It has concerns that its sleep treatment segment will be negatively impacted by the coronavirus pandemic and that other areas of the business will be unable to offset this fully.
