Although it is off its lows, the S&P/ASX 200 index is still on course to end the week with a sizeable decline on Friday. In afternoon trade the benchmark index is down 2.55% to 6,487.9 points.
Four shares that have fallen more than most today are listed below. Here's why they are dropping lower:
The Afterpay Ltd (ASX: APT) share price has crashed 9% lower to $33.21. As well as coming under pressure due to the broad market selloff, Afterpay was dealt a blow today when a previously bullish broker downgraded its shares. This morning Goldman Sachs took Afterpay off its conviction buy list and downgraded it to a neutral rating with a reduced price target of $37.70. It made the move after revising its earnings estimates lower to account for its increasing expenses.
The AMA Group Ltd (ASX: AMA) share price is down a further 15.5% to 49.5 cents. Investors have continued to sell the smash repair company's shares following the release of its half year results on Thursday. Although the company revealed a 32% increase in revenue, it recorded a loss after tax of $11 million. This compares to a profit of $10 million in the prior corresponding. Management advised that this reflects challenging market conditions which has seen declining repair volumes, pressure on pricing, and the cost associated with new vehicle technologies. This led to the AMA board suspending its dividend.
The AusCann Group Holdings Ltd (ASX: AC8) share price has sunk 12% lower to 22.5 cents. This morning the cannabis company released its half year results and revealed a loss of $3.4 million. The company also posted a cash outflow of $9.2 million for the period, leaving it with a balance of just over $26 million.
The Harvey Norman Holdings Limited (ASX: HVN) share price has fallen 10% to $3.88. This follows the release of a half year result that fell short of expectations. During the first half of FY 2020, the retailer delivered a reported net profit after tax of $213.59 million, down 4.1% over the prior corresponding period. It also warned that the second half had started poorly, with aggregated franchisee sales for the period from January 1 to February 27 down by 3.2%.
