The S&P/ASX 200 Index (ASX: XJO) is out of form on Friday and on track to end the week in the red. In afternoon trade, the benchmark index is down 0.3% to 7,759.9 points.
Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:
Arafura Rare Earths Ltd (ASX: ARU)
The Arafura Rare Earths share price is down 2.5% to 20 cents. This may have been caused by a broker note out of Bell Potter this week. In response to a strong rebound this month, the broker has downgraded the rare earths developer's shares to a speculative neutral rating with a 19 cents price target.
Pentanet Ltd (ASX: 5GG)
The Pentanet share price is down 5% to 7.8 cents. This has been driven by the telco raising funds via a placement. Pentanet has received binding commitments for a placement of shares to multiple international and domestic institutional and high-net worth investors. The company will raise $4.28 million at a discount of 7.2 cents per new share. These funds will be used to invest in Nvidia cloud servers and infrastructure, working capital for growth, and the costs of the placement.
Sigma Healthcare Ltd (ASX: SIG)
The Sigma Healthcare share price is down 1.5% to $1.21. This may have been driven by a broker note out of Morgans this morning. According to the note, the broker has downgraded the pharmacy chain operator and distributor's shares to a hold rating with a $1.14 price target. It made the move on valuation grounds.
Webjet Ltd (ASX: WEB)
The Webjet share price is down over 1% to $8.59. This also appears to have been driven by a broker downgrade. According to a note out of Macquarie, its analysts have downgraded the online travel agent's shares to a neutral rating with an $8.88 price target. As with Sigma, Macquarie made the move on valuation grounds.
