Why DroneShield, Lynas, PLS, and TechnologyOne shares are falling today

These shares are having a poor session on Tuesday. What's going on?

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The S&P/ASX 200 Index (ASX: XJO) is having a better session on Tuesday. At the time of writing, the benchmark index is up 0.95% to 8,586.2 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are falling:

A male investor wearing a blue shirt looks off to the side with a miffed look on his face as the share price declines.

Image source: Getty Images

DroneShield Ltd (ASX: DRO)

The DroneShield share price is down 5% to $2.98. This counter-drone technology company's shares have come under pressure this month following the announcement of an ASIC investigation. The company said: "DroneShield advised that it will cooperate fully with the investigation regarding announcements and information provided to the Australian Securities Exchange between 1 and 20 November 2025, and trading in Droneshield shares between 6 and 12 November 2025 (inclusive). […] It is not clear what action, if any, may result from ASIC's investigation."

Lynas Rare Earths Ltd (ASX: LYC)

The Lynas Rare Earths share price is down 4% to $18.10. This is despite there being no news out of the company. However, there are reports that China will soon address U.S. concerns ​about shortages of critical minerals and rare earths. Reuters also reported that China plans to address U.S. concerns over export restrictions on rare ​earth processing technology. This could potentially put pressure on rare earths prices in the near term.

PLS Group Ltd (ASX: PLS)

The PLS share price is down 4% to $5.75. This appears to have been driven by continued weakness in the lithium industry. This latest decline means that PLS shares are now down 10% since this time last week. Some of this selling could have been due to profit taking from investors. After all, PLS shares are still up over 300% since this time last year.

TechnologyOne Ltd (ASX: TNE)

The TechnologyOne share price is down 4% to $27.54. This follows the release of the enterprise software provider's half-year results. TechnologyOne posted a 9% increase in profit before tax to $89.1 million and a 17% jump in annual recurring revenue (ARR) to $598 million. While this was in line with consensus estimates, it seems that some investors were expecting a surprise to the upside. Commenting on the half, TechnologyOne's CEO, Ed Chung, said: "There is huge momentum and confidence in the business today, in our strategy of SaaS+, which is fuelling the results we delivered today, and allows us to continue to invest into the future. Now with our AI strategy, the adoption of AI and the feedback we are receiving is surpassing our expectations. All of this also gives us confidence in our pipeline and we don't guide up unless we see it day in and day out."

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 DroneShield and Technology One. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Lynas Rare Earths Ltd. 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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