The S&P/ASX 200 index has followed the lead of U.S. markets and dropped lower today. In afternoon trade the benchmark index is down 0.1% to 6,643.2 points.
Four shares that have fallen more than most today are listed below. Here's why they have dropped lower:
The Aveo Group (ASX: AOG) share price has crashed 10% to $1.87 following the release of a disappointing trading update out of the owner, operator and manager of retirement communities. Aveo warned that its FY 2019 result will be adversely affected by tough trading conditions caused by a subdued Australian residential market. It also revealed that it plans to halve its annual distribution to 4.5 cents per share.
The Bubs Australia Ltd (ASX: BUB) share price has tumbled 5% lower to 94 cents despite there being no news out of the baby food and infant formula company. Investors may have been hitting the sell button due to concerns over plans by Chinese regulators to grow the market share of domestic infant formula manufacturers at the expense of overseas players.
The Metcash Limited (ASX: MTS) share price has sunk 10% lower to $2.83 following the release of the wholesale distributor's full year results. Metcash posted revenue growth of 1.8% to $12.7 billion and a 3% decline in underlying profit after tax to $210.3 million. Whilst this result was only a touch short of expectations, investors appear to have been spooked by a poor start to FY 2020 for its Hardware segment after the loss of a major customer.
The Syrah Resources Ltd (ASX: SYR) share price has dropped over 5% to 82.5 cents. As well as being weighed down by its recent capital raising which was conducted at a material discount, the graphite producer's shares could be coming under pressure after being removed from the S&P/ASX 200 index this morning. This means that index tracking ETFs will have been forced to offload shares if they hadn't already done so, adding to the selling pressure.
