The S&P/ASX 200 Index (ASX: XJO) is on course to record a disappointing decline. In afternoon trade, the benchmark index is down 0.95% to 7,165 points.
Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:
Nanosonics Ltd (ASX: NAN)
The Nanosonics share price is down 5.5% to $3.49. This appears to have been driven by a broker note out of Citi. According to the note, its analysts have retained their sell rating and cut their price target on its shares to $3.65. Citi has reduced its earnings estimates for the coming years on the belief that the company's costs are going to rise due to its direct sales model transition in North America.
REA Group Limited (ASX: REA)
The REA share price is down 3.5% to $109.35. This follows the release of the property listings company's investor day update this morning. Investors don't appear confident in management's plan to deliver double-digit revenue and earnings growth in the coming years. The latter is despite management anticipating its Indian EBITDA losses to widen in FY 2023 before reducing in subsequent years.
Sayona Mining Ltd (ASX: SYA)
The Sayona Mining share price has dropped 5.5% to 17 cents. Sayona recently released the pre‐feasibility study (PFS) for the North American Lithium (NAL) operation in Canada. That PFS found that the operation has a pre‐tax net present value (NPV) of approximately A$1 billion based on a long run lithium spodumene price of US$1,242 per tonne. Given recent developments in the industry, investors may be doubting the price estimate its valuation is based on.
Zip Co Ltd (ASX: ZIP)
The Zip share price is down a further 5.5% to a new multi-year low of 79 cents. This follows broad weakness in the tech sector, with loss-makers like Zip among the hardest hit. This has led to the S&P/ASX All Technology Index losing 2.1% of its value this afternoon.
