The S&P/ASX 200 Index (ASX: XJO) is back on form on Thursday and pushing higher. In afternoon trade, the benchmark index is up 0.4% to 6,619.4 points.
Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are dropping:
Block Inc (ASX: SQ2)
The Block share price is down 2% to $96.44. This follows weakness in the tech sector on Thursday and a pullback from its NYSE listed shares during overnight trade. The company’s shares fell 2.5% on Wall Street on Wednesday night.
Bubs Australia Ltd (ASX: BUB)
The Bubs share price has sunk 10% to 55 cents. Investors have been selling this infant formula company’s shares despite the release of another update on its US operations. Today’s decline could be a delayed reaction to Bubs’ capital raising on Wednesday, which raised a total of $40.1 million from institutional investors at an 18.8% discount of 52 cents.
Infomedia Limited (ASX: IFM)
The Infomedia share price is down 6% to $1.58. This morning the auto industry software company revealed that Battery Ventures has withdrawn its takeover proposal. While there are still two $1.70 per share bids on the table, Battery Ventures was the highest bidder with a $1.75 per share proposal.
Zip Co Ltd (ASX: ZIP)
The Zip share price is down 7.5% to 53.2 cents. This decline appears to have been driven by a bearish broker note out of UBS this morning. According to the note, UBS has retained its sell rating and slashed its price target on the buy now pay later provider’s shares to 45 cents. The broker is concerned that Zip could inadvertently worsen its credit performance if it raises fees in an effort to improve profitability.