It's been a bouncy, yet positive session for the S&P/ASX 200 Index (ASX: XJO) and most ASX 200 shares so far this Tuesday. At the time of writing, the ASX 200 has added a decent 0.17%, putting the index at around 7,830 points. But it would probably be far higher if it weren't for ASX healthcare shares.
Most of the ASX 200's heaviest hitters are up by far more than the broader market. Take the Commonwealth Bank of Australia (ASX: CBA) share price. It's currently enjoying a 0.99% surge at $131.82 a share. The other major bank shares are faring similarly.
BHP Group Ltd (ASX: BHP) stock is also in demand, up 0.6% at $40.88.
So why is the ASX 200 'only' up by 0.17%?
Well, it seems we have ASX healthcare shares to blame.
Take the ResMed Inc (ASX: RMD) share price. It's currently down a painful 0.74% at $32.78.
Telix Pharmaceuticals Ltd (ASX: TLX) is faring even worse, nursing a 1.28% loss at $17.76 a share.
However, the real culprit is the ASX's largest healthcare share by a mile – CSL Ltd (ASX: CSL).
ASX 200 healthcare share CSL drags down the entire market
The blood plasma medicines and vaccine giant is having an awful day this Tuesday. CSL shares closed at $308.93 each yesterday afternoon. But this morning, those same shares opened at $300.03 before falling to their current price of $292.34. That's a drop worth a calamitous 5.33%.
This matters a great deal to the ASX 200 Index because CSL is presently the third-largest stock on the entire market.
Right now, the ASX healthcare share occupies approximately 6.44% of the ASX 200 by weighting (based on market capitalisation), behind only CBA and BHP.
The fourth-largest ASX 200 share is National Australia Bank Ltd (ASX: NAB), with a weighting of 4.78%.
So CSL is a real heavyweight here. And it's why the ASX 200 isn't up by a lot more right now.
It's not too difficult to ascertain what's going on with CSL shares today, though.
This morning, the ASX healthcare share reported its latest earnings, covering the full 2024 financial year. As we went through at the time, most of CSL's metrics were impressive. These included an 11% hike in full-year revenues to US$14.8 billion, as well as an 11% bump in net profits to US$2.91 billion.
The company also revealed its highest-ever final dividend.
But it seems that CSL's guidance for FY2025 is what has spooked investors. The ASX healthcare share told shareholders to expect 10-13% growth in net profits next year, which is below what some analysts were expecting.
So, it seems that CSL stock is responsible for the woes of many ASX healthcare shares today and, by extension, the muted performance of the entire market. At least compared to what it could have been without its third-largest constituent.
