Why Audinate, Home Co Daily Needs, Infomedia, and Temple & Webster are falling

In late afternoon trade, the S&P/ASX 200 Index (ASX: XJO) has given back the majority of its earlier gains and…

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

Image source: Getty Images

In late afternoon trade, the S&P/ASX 200 Index (ASX: XJO) has given back the majority of its earlier gains and is trading just a fraction higher. At the time of writing, the benchmark index is up slightly to 7,367.4 points.

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

Audinate Group Ltd (ASX: AD8)

The Audinate share price is down 8% to $9.02. Investors have been selling the media networking solutions provider’s shares following the release of its first quarter update. For the three months, Audinate delivered a 46.1% increase in unaudited revenue to US$7.6 million. However, taking the gloss off the record quarter was management warning that component shortages are expected to impact its second half performance.

HomeCo Daily Needs REIT (ASX: HDN)

The HomeCo Daily Needs share price is down over 8% to $1.47. This morning HomeCo Daily Needs agreed to merge with Aventus Group (ASX: AVN) and Home Consortium Ltd (ASX: HMC). The agreement will see Aventus shareholders receive 2.2 HomeCo Daily Needs shares and either $0.285 cash or 0.038 Home Consortium shares for every Aventus share they own. This implies an offer price of $3.82, which represents a 15.3% premium to the Aventus share price at the end of last week.

Infomedia Limited (ASX: IFM)

The Infomedia share price has sunk 15% to $1.39. Investors have been selling the shares of the global provider of software as a service solutions to the automotive parts and service sector after it announced the surprise exit of its CEO, Jonathan Rubinsztein. According to the release, Mr Rubinsztein will leave Infomedia later this month to pursue another opportunity within the technology sector.

Temple & Webster Group Ltd (ASX: TPW)

The Temple & Webster share price is down 3% to $12.99. This is despite the online furniture and homewares retailer providing a strong trading update at its annual general meeting. According to the release, Temple & Webster’s revenue for the period July 1 to 15 October increased 56% over the prior corresponding period.

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 more than eight 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 August 16th 2021

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 AUDINATEGL FPO, Infomedia, and Temple & Webster Group Ltd. The Motley Fool Australia owns shares of and has recommended AUDINATEGL FPO. The Motley Fool Australia has recommended AVENTUS RE UNIT, Infomedia, and Temple & Webster Group 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