Why Catapult, Iperionx, TechnologyOne, and Unico Silver shares are sinking today

These shares are under pressure on Tuesday. But why?

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Key points

  • Catapult Sports and Iperionx are both down around 7% as Catapult's strong growth figures were underwhelming for some investors, while Iperionx faces ongoing fallout from a critical short seller report.
  • TechnologyOne experiences a 14% drop despite delivering strong financial results and setting ambitious future targets, indicating potential investor skepticism or broad market pressures in the tech sector.
  • Unico Silver shares are plummeting 24% after announcing a significant capital raise at a discounted price, unsettling investors as the company seeks to expand its drilling operations.

The S&P/ASX 200 Index (ASX: XJO) is having a tough session on Tuesday. In afternoon trade, the benchmark index is down 1.2% to 8,530.3 points.

Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:

Catapult Sports Ltd (ASX: CAT)

The Catapult Sports share price is down 7% to $5.08. This follows the release of the sports technology company's half-year results. Catapult posted an impressive 19% increase in annualised contract value to US$115.8 million and a 50% jump in operating profit to US$9.7 million. However, it seems that some investors were expecting even stronger growth during the first half.

Iperionx Ltd (ASX: IPX)

The Iperionx share price is down a further 7% to $5.04. Investors have been selling this titanium powder producer's shares this week after it was the subject of a short seller report from Spruce Point Management. It said: "After conducting a forensic review of IperionX Ltd and its ambitions of becoming a vertically integrated producer (mining to production) of titanium powders and products, we believe that investor expectations are too high, and it faces significant challenges in commercial efforts that may not be fully reflected in its valuation. We also express concerns with the accuracy of its financial reporting."

TechnologyOne Ltd (ASX: TNE)

The TechnologyOne share price is down 14% to $30.32. This is despite the enterprise software company releasing another record full year result this morning. TechnologyOne outperformed its guidance, announced a special dividend, and reiterated its 2030 $1 billion+ annualised recurring revenue (ARR) target. The company's CEO, Ed Chung, said: "iPhones changed the market for mobile phones, Tesla changed the market for vehicles, UBER changed the market for how to catch a cab and now that we have Ai and SaaS+, TechnologyOne is changing the market for ERP and unlocking value for our customers."

Unico Silver Ltd (ASX: USL)

The Unico Silver share price is down 24% to 51.5 cents. This morning, this silver developer announced that it has received firm commitments from a number of high-quality existing and new domestic and offshore institutional investors for a $40 million placement. These funds are being raised at a discount of 55 cents per new share. Managing Director Todd Williams commented: "This capital raise allows us to immediately increase drilling capacity at Joaquin from three rigs to five, scaling up the planned 30,000m infill and extensional program."

Motley Fool contributor James Mickleboro has positions in Technology One. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Catapult Sports and Technology One. The Motley Fool Australia has positions in and has recommended Catapult Sports. The Motley Fool Australia has recommended Technology One. 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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