In afternoon trade the S&P/ASX 200 Index (ASX: XJO) looks set to end a very positive week on a disappointing note. The benchmark index is down 0.55% to 6,382.5 points.
Four shares that are falling more than most today are listed below. Here's why they are dropping lower:
Orocobre Limited (ASX: ORE)
The Orocobre share price is down 2% to $2.96. This follows the release of its annual general meeting update this morning. At the meeting the company spoke about its tough time in FY 2020 due to difficult lithium market conditions. It notes that COVID-19 made the situation worse with lithium supply remaining resilient while battery and electric vehicle (EV) manufacturing was reduced. Positively, management advised that it is now starting to see increased spot prices for lithium chemicals with increasing demand for EVs.
Ramsay Health Care Limited (ASX: RHC)
The Ramsay share price has fallen 2% to $66.75 following the release of its first quarter update. Although the private hospital operator revealed that its Australian operations delivered a 1.5% increase in revenue, its earnings have suffered. Management advised that its Australian earnings decline is due to restricted surgical activity in Victoria, increased costs, and reduced procurement benefits as a result of operating in a COVID safe environment.
Webjet Limited (ASX: WEB)
The Webjet share price has dropped 2.5% to $4.91. This appears to have been driven by profit taking after strong gains earlier this week amid the COVID-19 vaccine news. It is also worth noting that last week Morgan Stanley put a neutral rating and $3.40 price target on its shares. This is notably lower than where it shares trade at today.
Xero Limited (ASX: XRO)
The Xero share price is giving back some of yesterday's gains and is down 2.5% to $120.43. This morning analysts at UBS retained their sell rating and lifted the price target on the company's shares to $77.00. Although Xero delivered a stronger than expected half year result, it isn't enough for the broker to change its view. It still feels its shares are expensive at the current level.
