Why Afterpay, Nickel Mines, Nitro, & St Barbara shares are sinking

It has been a red day for these ASX shares…

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The S&P/ASX 200 Index (ASX: XJO) has followed the lead of US markets and tumbled lower today. In afternoon trade, the benchmark index is down 0.7% to 7,377.9 points.

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

Afterpay Ltd (ASX: APT)

The Afterpay share price is down 3.5% to $99.12. This decline appears to have been driven by weakness in the tech sector today. This follows a pullback on the Nasdaq index overnight and the expectation for further declines tonight. The S&P/ASX All Technology Index is down a very disappointing 1.85% in afternoon trade.

Nickel Mines Ltd (ASX: NIC)

The Nickel Mines share price has crashed 9.5% lower to $1.06. Investors have been selling this nickel producer’s shares following the release of a disappointing second quarter update. Although Nickel Mines delivered solid quarter on quarter sales growth, a jump in costs meant its operating earnings were largely flat over the three months. Management blamed the weaker margins on a jump in energy costs relating to rising coal prices.

Nitro Software Ltd (ASX: NTO)

The Nitro Software share price is down 5% to $3.28. This follows the release of the document productivity software company’s second quarter update. Investors have been selling the company’s shares despite it reaffirming its annualised recurring revenue guidance and lowering its operating loss guidance. Weakness in the tech sector could be outweighing the positives from the result.

St Barbara Ltd (ASX: SBM)

The St Barbara share price is down 2.5% to $1.73. This morning the gold miner released its fourth quarter update and revealed a 24% reduction in quarterly production to 82,698 ounces. This led to full year gold production coming in at 327,662 ounces with an AISC of $1,616 per ounce. Looking ahead, management is guiding to FY 2022 production of 305,000 to 355,000 ounces with a higher AISC of $1,710 to $1,860 per ounce.

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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 AFTERPAY T FPO. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO. The Motley Fool Australia has recommended Nitro Software Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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