The S&P/ASX 200 Index (ASX: XJO) is on course to record a decent gain. In afternoon trade, the benchmark index is up 0.35% to 6,957.1 points.
Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are dropping:
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Baby Bunting Group Ltd (ASX: BBN)
The Baby Bunting share price is down 4.5% to $2.55. This morning Macquarie downgraded this baby products retailer's shares to a neutral rating and slashed the price target on them to $2.80. The broker has reduced its margin estimates to reflect the company's trading update at its recent annual general meeting.
James Hardie Industries plc (ASX: JHX)
The James Hardie share price has sunk 14% to $28.63. Investors have been selling this building products company's shares following the release of its half year update. Although James Hardie delivered solid top and bottom line growth, it downgraded its full year guidance. It also scrapped its dividend in favour of a share buyback.
Sims Ltd (ASX: SGM)
The Sims share price is down 9% to $11.65. This follows the release of the scrap metal company's trading update at its annual general meeting. Sims advised that tough trading conditions have tightened trading margins in both percentage and dollar per tonne terms. As a result, it expects first half underlying EBIT to be in the range of $65 million to $75 million. This is a significant decline on the underlying EBIT of $361.7 million that it reported during the first half of FY 2022.
Temple & Webster Group Ltd (ASX: TPW)
The Temple & Webster share price is down 3.5% to $5.35. This also appears to have been driven by a Macquarie downgrade. Its analysts have downgraded the online furniture retailer's shares to an underperform rating and cut the price target on them to $4.00. Macquarie has concerns about trading conditions given the housing market downturn and rising rates.
