Why A2 Milk, Magellan, Santos, & Whitehaven Coal shares are falling

These ASX shares are in the red on Thursday…

| 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

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on form and charging higher. At the time of writing, the benchmark index is up 0.7% to 7,258.3 points.

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

ASX shares skills shortage downgrade arrow causing the ground to crack symbolising a recession

Image source: Getty Images

A2 Milk Company Ltd (ASX: A2M)

The A2 Milk share price is down 2% to $5.90. Investors have been selling this embattled infant formula company's shares this week after it was hit with a class actionSlater & Gordon Limited (ASX: SGH) alleges that a2 Milk was or ought to have been aware that it would not achieve its FY 2021 guidance.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price is down 1.5% to $32.04. This morning the team at UBS retained their sell rating and cut their price target on this fund manager's shares to $29.00. This follows the release of a disappointing funds under management update. Magellan recorded a greater than expected outflow of funds. UBS suspects the underperformance of its flagship global fund is to blame.

Santos Ltd (ASX: STO)

The Santos share price is down 2% to $7.28. This appears to have been driven by a pullback in oil prices overnight and profit taking from some investors. In respect to the latter, prior to today, the Santos share price was up a massive 20% in the space of a month. Some investors may have decided to lock some of these gains in after the oil price rally stalled.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price has dropped 7% to $3.34. Investors have been selling this coal miner's shares after a poor night of trade for the thermal coal price. According to CommSec, the thermal coal price fell a sizeable 10.2% to US$242.00 per tonne.

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 A2 Milk. 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

Lines of codes and graphs in the background with woman looking at laptop trying to understand the data.
Share Fallers

Why Aussie Broadband, Coles, EOS, and Santos shares are falling on Monday

These shares are missing out on the good times today.

Read more »

A man with his back to the camera holds his hands to his head as he looks to a jagged red line trending sharply downward.
Share Fallers

Why Larvotto, Newmont, Qantas, and Steadfast shares are dropping today

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

Read more »

A woman in high visibility clothing and a hard hat stands in front of an aluminium smelter.
Share Fallers

Why this ASX 200 stock is crashing after doubling in a year

Alcoa shares are down 20% in a week. What's changed?

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 Evolution Mining, REA Group, Sigma Healthcare, and TechnologyOne shares are tumbling today

These shares are having a tough time on hump day. What's going on?

Read more »

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

Why Aeris Resources, Northern Star, REA Group, and Weebit Nano shares are falling today

These shares are starting the week in the red. What's happening?

Read more »

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

Why CBA, PLS, Resolute Mining, and Silver Mines shares are dropping today

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

Read more »

Disappointed man with his head on his hand looking at a falling share price his a laptop.
Share Fallers

Why IperionX, Northern Star, Opthea, and Superloop shares are tumbling today

These shares are out of form and taking a dive today. But why?

Read more »

Frustrated and shocked business woman reading bad news online from phone.
Share Fallers

Why is this ASX 300 stock crashing 14% today?

Investors are sending this dividend paying ASX 300 stock tumbling today. But why?

Read more »