Why Decmil, Jumbo, Nearmap, & Pioneer Credit shares are tumbling lower

The Jumbo Interactive Ltd (ASX:JIN) share price and the Nearmap Ltd (ASX:NEA) share price are two of four sinking lower on Monday…

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The S&P/ASX 200 index is on course to start the week in the red. At the time of writing the benchmark index is down 0.35% to 6,792.6 points.

Four shares that have fallen more than most today are listed below. Here's why they are tumbling lower:

The Decmil Group Limited (ASX: DCG) share price has crashed over 32% lower to 45.5 cents. This morning the construction and engineering group downgraded its earnings guidance and announced the resignation of its CFO. Decmil revealed that following an independent valuation, its Homeground Gladstone accommodation village will be revalued from $92.4 million to $85.4 million. The devaluation will result in a non-cash, pre-tax charge of $7 million to its results for the half year.

The Jumbo Interactive Ltd (ASX: JIN) share price has continued its slide and is down a further 8.5% to $14.38. This follows a very heavy decline last week after the release of underwhelming guidance for the first half of FY 2020. Due partly to an increase in business development costs, Jumbo expects to report net profit after tax growth of just 13% to $14.3 million. A year earlier it more than doubled its first half profit. This slowdown appears to have alarmed investors. In addition to this, Morgans downgraded its shares to a hold rating this morning.

The Nearmap Ltd (ASX: NEA) share price is down 6% to $2.50 despite there being no news out of the aerial imagery technology and location data company. This decline could be due to short sellers betting against the company due to growing competition and its increasing investment in R&D and sales and marketing. As of the latest data, Nearmap is the 10th most shorted share on the ASX.

The Pioneer Credit Ltd (ASX: PNC) share price has sunk 28% lower to $1.76. This morning Pioneer Credit returned from a four-month suspension after entering into a confirmation deed with its existing senior financiers and Carlyle Group. This will now allow the latter to push ahead with a takeover of the financial services company. Carlyle Croup has offered $1.82 per share, excluding any dividends paid between now and completion.

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and recommends Jumbo Interactive Limited. The Motley Fool Australia owns shares of and has recommended Nearmap Ltd. The Motley Fool Australia has recommended Jumbo Interactive Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Fallers

A woman with short brown hair and wearing a yellow top looks at the camera with a puzzled and shocked look on her face as the Westpac share price goes down for no reason today
Share Fallers

Why Bellevue Gold, Mesoblast, Pilbara Minerals, and Wesfarmers shares are dropping today

These shares are ending the week deep in the red. What's going on?

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why AGL, CBA, Deep Yellow, and Megaport shares are sinking today

These shares are falling more than most today. What's going on?

Read more »

A wide-eyed man peers out from a small gap in his black zipped jumper conveying fear over the weak Zip share price
BNPL shares

Why did the Zip share price just crash 9%?

Investors seem to be singling Zip out for punishment today...

Read more »

a woman holds her hands to her temples as she sits in front of a computer screen with a concerned look on her face.
Share Fallers

Why Capricorn Metals, Insignia, Sayona Mining, and Southern Cross Gold shares are falling today

These shares are having a tough time on hump day. But why?

Read more »

Three guys in shirts and ties give the thumbs down.
Share Fallers

Why Data#3, Elders, Karoon Energy, and Tyro shares are falling today

These shares are having a tough session on Tuesday. But why?

Read more »

A man in a suit looks sad as oil is spilled from a barrel.
Energy Shares

This $1 billion ASX 200 energy stock is diving 7%! Here's why

This ASX energy company is taking a beating on Tuesday. But why?

Read more »

A man looking at his laptop and thinking.
Technology Shares

Why did the Appen share price crash 15% today?

Appen shares remain up more than 250% this year.

Read more »

A woman with short brown hair and wearing a yellow top looks at the camera with a puzzled and shocked look on her face as the Westpac share price goes down for no reason today
Share Fallers

Why Boss Energy, Digico, Platinum, and Resolute shares are dropping today

These shares are starting the week in the red. But why?

Read more »