The S&P/ASX 200 Index (ASX: XJO) is having a strong start to the week. In afternoon trade, the benchmark index is up 0.6% to 7,672.7 points.
Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are falling:
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Block Inc (ASX: SQ2)
The Block share price is down 9% to $105.66. Investors have been selling this payments company's shares after their NYSE-listed shares tumbled on Friday night. That may have been driven by profit-taking after a very strong gain on Thursday night after investors responded very positively to its quarterly update. Block's shares remain up almost 40% over the last six months despite this pullback.
Graincorp Ltd (ASX: GNC)
The Graincorp share price is down 4% to $8.05. This morning, this grain exporter downgraded its earnings guidance for FY 2024. Since the end of the first half, the company's performance has been below expectations. As a result, GrainCorp expects to report FY 2024 underlying EBITDA in the range of $250 million to $280 million. This is down from its previous guidance range of $270 million to $310 million. It also revealed that underlying net profit after tax is now expected to be $60 million to $80 million. This is down from its previous guidance of $65 million to $95 million.
Spark New Zealand Ltd (ASX: SPK)
The Spark New Zealand share price is down 4.5% to $4.06. This has also been driven by an earnings guidance downgraded this morning. The telco now expects FY 2024 EBITDAI to be NZ$1,170 million to NZ$1,210 million. This is down from NZ$1,215 million to NZ$1,260 million previously. Management blamed the downgrade on challenging trading conditions intensifying in some parts of the business. It said: "Since the half, public and private sector spending cuts have deepened, and Spark has seen significantly reduced demand in IT service management and professional services and delays to planned digital transformation projects."
Tourism Holdings Ltd (ASX: THL)
The Tourism Holdings share price is down 37% to $1.64. This is a third company that has downgraded its earnings guidance today. In February, the recreational vehicle company was forecasting full-year net profit of approximately NZ$75 million. However, following a review of all its divisions, management has now reduced its guidance to between NZ$50 million and NZ$53 million. Tough economic conditions have "impacted most regions and business divisions negatively and lowered expectations into Q4."
