It turned out to be a fairly dreadful day of trading for ASX shares and the S&P/ASX 200 Index (ASX: XJO) on Tuesday's session. At market close, the ASX 200 had dropped a painful 1.21% to 6,961.8 points. But that drop was nothing compared to the cliff that the EML Payments Ltd (ASX: EML) share price went over.
While the ASX 200 lost 1.21%, EML shares ended up closing at a flat $99.5 each, down a depressing 11.56% from yesterday's close of $1.12.
So what went wrong for this ASX 200 payments company that might have elicited such a dramatic fall?
Why did the EML Payments share price crash 12% today?
Well, there wasn't any fresh news out of EML today. However, it was only yesterday that the company dropped its full-year earnings report for FY2022.
As we went through yesterday, this saw EML report record revenues of $234.1 million, up 21% on the previous year. Earnings and profits were a bit more mixed, but EML also announced a new $20 million share buyback program.
Yesterday, investors' reaction was unequivocal, with EML shares ending the trading day up a pleasing 6.6% after trading more than 13% higher at one point during the session.
But it seems today, investors have gotten a major case of 'cold feet'. Since there is no additional news or announcements out of the company, this could be the most likely explanation for the shocker that EML shares had today.
It's probably the last thing investors needed too. After this session, the EML share price is down a painful 70% or so over 2022 year to date. It's also down almost 74% over the past 12 months.
At the last EML Payments share price, this ASX 200 payments share had a market capitalisation of $371 million.
