Why Baby Bunting, Galan Lithium, Suncorp, & Vulcan shares are sinking

These ASX shares are under pressure on Friday…

| More on:

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

The S&P/ASX 200 Index (ASX: XJO) has followed the lead of US markets and is pushing higher. In afternoon trade, the benchmark index is up 0.5% to 7,625.2 points.

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

A man stands in front of a chart with an arrow going down and slaps his forehead in frustration.

Image source: Getty Images

Baby Bunting Group Ltd (ASX: BBN)

The Baby Bunting share price is down 5% to $5.68. This follows the release of the baby products retailer's full year results for FY 2021. That release revealed that Baby Bunting achieved a 15.6% increase in sales to $468.4 million and a 34.8% jump in net profit after tax to $26 million. Although this was strong, its subdued start to FY 2022 appears to have spooked investors. Baby Bunting advised that same stores sales are down 6.4% as of 12 August.

Galan Lithium Ltd (ASX: GLN)

The Galan Lithium share price has fallen 4.5% to $1.22. This morning the lithium explorer announced firm commitments to raise $50 million through a two-tranche institutional placement. These funds will be raised at $1.15 per share, which represents a 10.2% discount to its last closing price. Galan Lithium plans to use the proceeds to accelerate the development of its lithium projects.

Suncorp Group Ltd (ASX: SUN)

The Suncorp share price has dropped 3.5% to $12.34. The insurance and banking giant's shares have tumbled today after they traded ex-dividend for its upcoming final and special dividends. Eligible shareholders can now look forward to receiving fully franked dividends totalling 48 cents per share on 22 September.

Vulcan Energy Resources Ltd (ASX: VUL)

The Vulcan share price is down 4% to $14.64. This is despite there being no news out of the lithium developer. However, with the lithium sector running hot this week, profit taking appears to be weighing on Vulcan's shares. In fact, even after today's gain, the Vulcan share price is up almost 15% since this time last week.

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. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Baby Bunting. 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 couple stands next to a real estate agent in an empty apartment they are inspecting.
Real Estate Shares

Mirvac shares sink to their lowest level since 2015. Is this ASX property giant back on the radar?

Multi-year lows put Mirvac shares back on investors’ watchlists today.

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 Orora, Select Harvests, Tamboran, and WiseTech shares are sinking today

These shares are under pressure on Thursday. What's going on?

Read more »

A boy with sad eyes pulls the zip over his mouth and nose while doing up a large jacket where the collar stands up at head height.
BNPL shares

Zip shares plunge again after yesterday's 19% surge. Here's what changed

Zip shares tumble as ceasefire hopes fade and volatility returns.

Read more »

a group of business people sit dejectedly around a table, each expressing desolation, sadness and disappointment by holding their head in their hands, casting their gazes down and looking very glum.
Share Fallers

DroneShield shares tumble 17% as CEO exit revives leadership fears

Investors bank gains as DroneShield leadership reset unsettles sentiment...

Read more »

A young man clasps his hand to his head with a pained expression on his face and a laptop in front of him.
Share Fallers

Why Challenger, Lotus Resources, Mesoblast, and Wildcat shares are falling today

These shares are starting the week in the red. But why?

Read more »

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

Why KMD, Tamboran Resources, Whitehaven Coal, and WiseTech Global shares are falling today

These shares are out of form on Thursday. What's going on?

Read more »

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

Why Dateline, Karoon Energy, Lindian, and PEXA shares are falling today

These shares are missing out on the good times on Wednesday. But why?

Read more »

A man slumps crankily over his morning coffee as it pours with rain outside.
Share Fallers

These were the worst-performing ASX 200 shares in March

These shares were out of form in March. Let's see why investors sold them off.

Read more »