Why Bigtincan, Core Lithium, Pinnacle, and Warrego shares are dropping today

These ASX shares are ending the week in the red…

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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to end the week with a solid gain. At the time of writing, the benchmark index is up 0.5% to 7,210.4 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are falling:

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.

Image source: Getty Images

Bigtincan Holdings Ltd (ASX: BTH)

The Bigtincan share price is down 18% to 59 cents. This follows the company's strange decision to raise capital while it is the subject of a takeover approach. Bigtincan has raised $30 million from institutional investors at 60 cents per new share. SQN, which is aiming to acquire Bigtincan for 80 cents per share, described the decision as "value-destructive" for shareholders. Investors appear concerned it could now withdraw its offer.

Core Lithium Ltd (ASX: CXO)

The Core Lithium share price is down 2.5% to $1.15. Investors have been selling this lithium developer's shares this week after it was the subject of a bearish note out of Goldman Sachs. The broker initiated coverage on Core Lithium with a sell rating and $1.00 price target. Goldman is expecting lithium prices to tumble materially from the second half of next year.

Pinnacle Investment Management Group Ltd (ASX: PNI)

The Pinnacle share price is down 4.5% to $8.38. This morning, this investment management company released an update on its performance fees. According to the release, for the 12 months ended 31 December, Pinnacle expects its net share of performance fees from affiliates to be potentially less than $1 million. This compares with $6.4 million for the corresponding period.

Warrego Energy Ltd (ASX: WGO)

The Warrego Energy share price is down 2.5% to 29.75 cents. Investors have been selling this energy explorer's shares after Beach Energy Ltd (ASX: BPT) withdrew from the race to acquire the company. This leaves Hancock Energy in pole position to complete the deal.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Bigtincan and Pinnacle Investment Management Group. The Motley Fool Australia has positions in and has recommended Bigtincan and Pinnacle Investment Management Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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