The S&P/ASX 200 Index (ASX: XJO) is having a volatile day but remains on course to record the smallest of gains. In afternoon trade, the benchmark index is up slightly to 6,603.5 points.
Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are falling:
Humm Group Ltd (ASX: HUM)
The Humm share price is down over 7% to 62.5 cents. This morning this financial services company released a trading update which revealed that its Humm Consumer Finance (HCF) business remains under significant pressure. And given that a major shareholder is loading up on shares with the aim of blocking the sale of the HCF business, investors appear concerned that the company’s overall performance will underwhelm.
Inghams Group Ltd (ASX: ING)
The Inghams share price is down 5% to $2.56. This appears to have been driven by a broker note out of Credit Suisse. This morning the broker downgraded this poultry producer’s shares to a neutral rating and slashed the price target on them to $2.90. Higher input costs are a major concern for Credit Suisse.
Link Administration Holdings Ltd (ASX: LNK)
The Link share price has tumbled 10% to $3.36. Investors have been selling the administration company’s shares following legal action against it in the UK and the prospect of its takeover collapsing. The latter has been driven by ACCC concerns over the deal. The Link share price is now trading 39% lower than the offer price, which appears to indicate that the market believes the deal is dead.
Smartgroup Corporation Ltd (ASX: SIQ)
The Smartgroup share price is down 11% to $6.52. This morning this salary packaging and fleet management company revealed that it has lost a major contract with the Department of Education and Training Victoria. This contract represents approximately 5% of its revenue.