Why Kogan, Service Stream, Whispir, & Zip shares are sinking

It hasn't been a good day for these ASX shares…

| More on:
A shocked and stressed man looking at his laptop and trying to absorb bad news about the Netwealth share price falling

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is charging higher again. At the time of writing, the benchmark index is up a sizeable 1% to 7,380.1 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are sinking:

Kogan.com Ltd (ASX: KGN)

The Kogan share price is down 3% to $11.22. There may be a couple of catalysts for the weakness in this ecommerce company's shares today. One is the ACCC revealing that it plans to look into online marketplace practices. The other is a broker note out of Credit Suisse. Although the broker has retained its outperform rating, it has slashed its price target by 15% to $15.21. This was in response to Kogan's business update yesterday.

Service Stream Limited (ASX: SSM)

The Service Stream share price has fallen 1.5% to 94.5 cents. This morning the essential network services company revealed that it successfully completed its placement and institutional entitlement offer to raise $130 million at 90 cents per new share. It will now seek to raise a further $55 million from retail shareholders. These funds will be used to acquire the Lendlease Group (ASX: LLC) Services business.

Whispir Ltd (ASX: WSP)

The Whispir share price is down 1.5% to $2.78. This is despite the company being the subject of a positive broker note this morning. According to a note out of Ord Minnett, its analysts have responded to Whispir's quarterly update by retaining their buy rating and lifting their price target to $4.30. Though, with its shares rising strongly yesterday, some investors may be taking profit today.

Zip Co Ltd (ASX: Z1P)

The Zip share price is down 7.5% to $7.00. Investors have been selling the buy now pay later provider's shares following the release of its fourth quarter update. Although Zip reported a 116% year on year increase in quarterly total transaction volume (TTV) to $1.8 billion and a 104% increase in quarterly revenue to $129.9 million, this was still short of the market's lofty expectations.

Motley Fool contributor 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 and has recommended Kogan.com ltd, Whispir Ltd, and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Kogan.com ltd. The Motley Fool Australia has recommended Whispir Ltd. 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

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Share Fallers

Why Burgundy Diamond Mines, Clarity Pharmaceuticals, EML, and Zip are sinking today

These ASX shares are ending the week in the red. But why?

Read more »

A worried man holds his head and look at his computer.
Share Fallers

Why 29Metals, Brainchip, Platinum, and Premier Investments shares are falling today

These ASX shares are having a tough time on hump day.

Read more »

Man with his head in his head because of falling share price.
Share Fallers

Why 29Metals, Atlas Arteria, IDP Education, and Mineral Resources shares are falling

These ASX shares are having a tough time on Tuesday. But why?

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why ALS, EOS, NRW, and Patriot Battery Metals are dropping today

These ASX shares are starting the week in the red.

Read more »

A man looking at his laptop and thinking.
Technology Shares

Why are these ASX tech shares getting smashed today?

Owners of these two stocks are missing out today.

Read more »

a man weraing a suit sits nervously at his laptop computer biting into his clenched hand with nerves, and perhaps fear.
Share Fallers

Why AGL, Brickworks, IGO, and New Hope shares are dropping today

These ASX shares are having a poor session. But why?

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why Amcor, Arafura, Brainchip, and South32 shares are tumbling today

These ASX shares are having a tough time on hump day. But why?

Read more »

A young woman holds an open book over her head with a round mouthed expression as if to say oops as she looks at her computer screen in a home office setting with a plant on the desk and shelves of books in the background.
Share Fallers

Why Aussie Broadband, Liontown, Metals Acquisition, and Seek shares are falling

These ASX shares are having a poor session. But why?

Read more »