The S&P/ASX 200 Index (ASX: XJO) is having a tough start to the week. In afternoon trade, the benchmark index is down 1.4% to 8,507.7 points.
Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:
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A2 Milk Company Ltd (ASX: A2M)
The A2 Milk share price is down 4.5% to $5.85. This appears to have been driven by a broker note out of Citi. According to the note, the broker has downgraded the infant formula company's shares to a sell rating with a reduced price target of $5.85. Citi made the move in response to ongoing supply challenges. In addition, it points out that lower birth rates are weighing on the industry and its shares are looking expensive at current levels.
Brambles Ltd (ASX: BXB)
The Brambles share price is down 18% to $18.08. This has been driven by a guidance downgrade from the supply chain solutions company this morning. Brambles now expects sales revenue growth of 2% to 3% (previously 3% to 4%) and underlying profit growth of 3% to 5% (from 8% to 11%). Brambles CEO, Graham Chipchase, said: "Our immediate priority is to meet our customers' needs and to restore stability and service in the affected parts of our US network. Our response and ongoing investments in quality reinforce that meeting our customers' needs is non-negotiable. We will not compromise on the investment required to meet the quality, network resilience and service outcomes our customers expect."
Elders Ltd (ASX: ELD)
The Elders share price is down 22% to $5.61. Investors have been selling the agribusiness company's shares following the release of its half-year results. Elders posted a 32% increase in underlying sales to $1.77 billion and a 33% jump in underlying EBIT to $76.6 million. This was driven largely by the addition of Delta Agribusiness, which was acquired in November. While this was a strong result on paper, its earnings fell short of consensus estimates. Nevertheless, Elders' managing director and CEO, Mark Allison, was pleased with the half. He said: "The first half of FY26 has been eventful for Elders, with Delta Agribusiness welcomed into the Elders Group and seasonal improvements driving optimism for the winter crop. Our decision to implement a new divisional structure in FY26 is already reaping benefits through improved alignment and efficiency gains."
Tuas Ltd (ASX: TUA)
The Tuas share price is down 64% to $2.20. Investors have been selling this Singapore-based telco after it revealed that its SIMBA business has allegedly been using spectrum that it doesn't own. In light of this, the Infocomm Media Development Authority of Singapore (IMDA) has suspended its review of Tuas' proposed acquisition of M1 Limited for S$1.43 billion. It said: "The circumstance identified by the IMDA as giving rise to its decision to suspend the review is that it had learned that Simba may have been using radio frequency bands that it was not authorised to use, which would be a breach of the Telecommunications Act and the conditions of Simba's Facilities-Based Operations Licence."
