Why Chorus, Douugh, IOUpay, & Reliance shares are tumbling lower

IOUpay Ltd (ASX:IOU) and Reliance Worldwide Corporation Ltd (ASX:RWC) are two of four ASX shares tumbling lower today…

| More on:

Image source: Getty Images

In afternoon trade the S&P/ASX 200 Index (ASX: XJO) has given back its gains and is edging lower. At the time of writing, the benchmark index is down a few points to 6,792.5 points.

Four ASX shares that are falling more than most today are listed below. Here’s why they are tumbling lower:

Chorus Ltd (ASX: CNU)

The Chorus share price is down 3.5% to $7.21 following the release of its half year results. For the six months ended 31 December, the New Zealand-based telco reported a 2.1% decline in revenue to NZ$473 million and a 22.5% decline in net profit to NZ$24 million. This was despite the company reporting a 62,000 increase in fibre connections to 813,000. Approximately 17% of these connections are on gigabit plans.

Douugh Ltd (ASX: DOU)

The Douugh share price is down 2% to 23 cents. Investors continue to sell the financial app company’s shares following the release of user numbers last week. The company revealed that since its launch last year, there have been just 8,001 customers onboarded. Investors may not believe this justifies its current valuation.

IOUpay Ltd (ASX: IOU)

The IOUpay share price has crashed 12% lower to 54 cents. Investors have been selling the Malaysia-based buy now pay later (BNPL) provider’s shares since its surprise $50 million placement last week. Sophisticated and institutional investors were offered 100 million shares at 50 cents per share. This represented a 28.6% discount to its last close price at the time of 70 cents. The proceeds will be used for growth initiatives including digital payments and to accelerate new business development opportunities in the BNPL sector in South East Asia.

Reliance Worldwide Corporation Ltd (ASX: RWC)

The Reliance share price has fallen 3% to $4.58. This follows the release of the plumbing parts company’s half year results today. Although Reliance delivered stellar profit growth, its outlook appears to have spooked investors. Management warned that the strong sales growth may not persist.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

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 Reliance Worldwide Limited. The Motley Fool Australia has recommended Reliance Worldwide Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Fallers

Share Fallers

Why Boral, Eagers Automotive, PolyNovo, and Serko shares are dropping

These ASX shares are under pressure on Wednesday...

Read more »

Rede arrow on a stock market chart going down.
Share Fallers

Why Brambles, James Hardie, Seek, and Sezzle shares are sinking

These ASX shares are under pressure on Tuesday...

Read more »

man bending over to look at red arrow crashing down through the ground
Share Fallers

Australian Strategic Materials share price sinks 12% following rally

Here's what's going wrong for the critical metals producer today.

Read more »

Sad woman with her hand on her head and holding a credit card.
BNPL shares

Why is the Sezzle share price tumbling on Tuesday?

Sezzle shares are falling today after the BNPL provider released an update...

Read more »

Rede arrow on a stock market chart going down.
Share Fallers

Why the Integrated Research share price is cascading 15% today

Clouds gather around Integrated Research amid latest trading update.

Read more »

Red arrow going down, symbolising a falling share price.
Share Fallers

Why Imugene, Integrated Research, Monash IVF, and Step One shares are sinking

These ASX shares are falling on Monday...

Read more »

Share Fallers

These were the worst performers on the ASX 200 last week

These ASX 200 shares were sold off last week...

Read more »

a woman holds her hands to her temples as she sits in front of a computer screen with a concerned look on her face.
Share Fallers

Why A2 Milk, Gold Road, GrainCorp, and Monash IVF shares are dropping

These ASX shares are falling on Friday...

Read more »