Why AGL, Breville, CBA, & Telstra shares are dropping lower today

Commonwealth Bank of Australia (ASX:CBA) and Telstra Corporation Ltd (ASX:TLS) shares are two of four dropping lower today…

| More on:

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 early afternoon trade the S&P/ASX 200 Index (ASX: XJO) has given back its morning gains and is dropping lower. At the time of writing the benchmark index is down 0.6% to 6,096.2 points.

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

The AGL Energy Limited (ASX: AGL) share price has crashed 9.5% lower to $15.35. This follows the release of the energy company's full year results. AGL Energy reported an underlying profit after tax of $816 million. This was a 22% decline on the prior corresponding period but within its guidance range. It appears to be its guidance that has spooked investors. It expects underlying profit after tax of $560 million and $660 million in FY 2021.

The Breville Group Ltd (ASX: BRG) share price has dropped 5.5% to $25.77. This morning the appliance manufacturer released its full year results. Breville delivered a 25.3% increase in revenue and an 11.2% increase in normalised net profit after tax to $75 million. Investors may have been expecting an even stronger result.

The Commonwealth Bank of Australia (ASX: CBA) share price is down 2.5% to $72.35. This appears to have been driven by a broker note out of Morgan Stanley this morning. The broker still has concerns over the bank's credit quality and suspects that dividend restrictions could remain in place in 2021. As a result, it has held firm with its underweight rating and cut its price target to $62.00.

The Telstra Corporation Ltd (ASX: TLS) share price has fallen almost 6% to $3.19 following the release of its full year results. Investors have been selling Telstra's shares despite it achieving its guidance and maintaining its 16 cents per share dividend in FY 2020. This selling may be due to concerns over the pandemic's impact on its performance in FY 2021. Management expects a negative COVID-19 impact of $400 million.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra 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

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

Why Charter Hall Retail, DroneShield, FBR, and St Barbara shares are tumbling today

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

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 EML, GQG Partners, IGO, and Integrated Research shares are sinking today

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a strong gain. At the time of…

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 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 »