Why MNF, Mosaic, Wagners, & Webjet shares are dropping lower today

MNF Group Ltd (ASX:MNF) and Webjet Limited (ASX:WEB) shares are two of four dropping notably lower on Tuesday. Here's why…

| 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

In afternoon trade the S&P/ASX 200 index has recovered some of its morning losses but is still trading notably lower.  The benchmark index is down 1.1% to 6,901.8 points at the time of writing.

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

The MNF Group Ltd (ASX: MNF) share price has dropped almost 9% to $4.29 following its first half results release. During the half, MNF delivered a 14% increase in revenue to $112 million and a 52% lift in EBITDA to $16.9 million. Whilst this was strong, management's guidance for the full year appears to have spooked investors. It has downgraded its net profit after tax guidance from between $13.5 million and $15.5 million to the range of $10 million to $12 million.

The Mosaic Brands Ltd (ASX: MOZ) share price has fallen 13.5% to $1.55. Investors have been selling the fashion retailer's shares after the release of a disappointing half year result this morning. Due largely to the negative impact of the bushfire tragedy on 20% of its stores, Mosaic reported 10.9% decline in half year revenue to $413.8 million. And while the bushfire impact appears to be easing, the company now faces potential disruption to its China supply chain caused by the coronavirus outbreak.

The Wagners Holding Company Ltd (ASX: WGN) share price has crashed 17.5% lower to $1.47. This follows the release of the building products supplier's half year results. Although Wagners posted just a slight decline in revenue, its EBIT fell by over 84% to $2.5 million during the half. Management blamed this profit decline on higher operating costs. Looking ahead, the company has downgraded its full year EBIT guidance to a range of $12.5 million to $17.5 million.

The Webjet Limited (ASX: WEB) share price is down 6% to $11.65. Global travel stocks were sold off overnight after the market began factoring in the increase in coronavirus cases in Italy and South Korea. There are concerns that travel bookings will be subdued for a longer than expected period if coronavirus cases outside of China continue to increase.

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 MNF Group Limited. The Motley Fool Australia has recommended MNF Group Limited and Webjet Ltd. 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

Person with thumbs down and a red sad face poster covering the face.
Share Fallers

The worst 3 ASX 200 stocks to buy and hold in October unmasked

You would have done well to avoid these three ASX 200 stocks in October.

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why AFT, Amcor, Corporate Travel, and Macquarie shares are falling today

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

Read more »

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

Why AGL, Imugene, Star, and Woolworths shares are dropping today

These shares are dropping on Thursday. Let's see why investors are selling them.

Read more »

A young man punches the air in delight as he reacts to great news on his mobile phone.
Share Fallers

Why Corporate Travel Management, JB Hi-Fi, Mineral Resources, and Syrah shares are rising

These shares are having a strong session. Why are investors buying their shares?

Read more »

A guys points his fingers down.
Share Fallers

Why Brainchip, Cettire, Star, and Woolworths shares are being sold off today

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

Read more »

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

Why Black Cat, BlueScope, Cettire, and Coronado shares are falling today

These shares are missing out on the good times on Tuesday. But why?

Read more »

a business man in a suit holds his hand over his eyes as he bows his head in a defeated post suggesting regret and remorse.
Share Fallers

Why Adriatic Metals, Metcash, Paladin Energy, and Westgold shares are tumbling today

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

Read more »

A young woman holds an open book over her head with a round mouthed expression as if to say oops as she looks at her computer screen in a home office setting with a plant on the desk and shelves of books in the background.
Share Fallers

Down 36% in 3 weeks, why is the Mineral Resources share price getting hammered again on Friday?

ASX investors are bidding down Mineral Resources shares again on Friday.

Read more »