In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is fighting hard to stay in positive territory. At the time of writing, the benchmark index is up a fraction to 7,480.8 points.
Four ASX shares that haven't fared as well today are listed below. Here's why they are dropping:
A2 Milk Company Ltd (ASX: A2M)
The A2 Milk share price is down 4.5% to $4.80. This decline appears to have been driven by a broker note out of Credit Suisse this morning. In response to lockdowns in China and lower birth rate assumptions, its analysts have trimmed their earnings estimates and valuation accordingly. The broker has retained its neutral rating and cut its price target down by 10% to $5.15.
Ionic Rare Earths Ltd (AX: IXR)
The Ionic Rare Earths share price is down 5% to 7.8 cents. This morning the rare earths explorer announced the completion of a $30 million institutional placement. These funds were raised a 7.4 cents per new share, which represents a 10% discount to its last close price. Ionic will use the proceeds for a number of activities including completing the Makuutu Feasibility Study and its application for a mining licence.
Pilbara Minerals Ltd (ASX: PLS)
The Pilbara Minerals share price is down 3.5% to $3.08. This morning the lithium miner provided an update on its joint venture with Korea's Posco. The two companies will push ahead with the construction of a downstream lithium chemicals conversion facility in South Korea. Management believes the facility will put it in a very strong position to participate as one of the few near-term lithium fine chemicals producers with underwritten raw materials supply. However, the cost of the facility was higher than previous estimates.
Tyro Payments Ltd (ASX: TYR)
The Tyro share price is down 4% to $1.49. This follows weakness in the tech sector, which has offset the release of the payments company's weekly trading update. The latter revealed that payment volumes were up 53% over the prior corresponding period last week.
