Why AMP, Ecofibre, Magellan, & Vita shares are sinking today

AMP Ltd (ASX:AMP) and Vita Group Limited (ASX:VTG) shares are two of four sinking notably lower on Thursday. Here's why…

| 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 late morning trade the S&P/ASX 200 Index (ASX: XJO) has fought back from a poor start to trade slightly higher. The benchmark index is currently up 2 points to 6,858.9 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are sinking lower:

AMP Ltd (ASX: AMP)

The AMP share price is down 10% to $1.39 following the release of its full year results. The financial services company reported an underlying net profit after tax of $295 million for the 12 months ended 31 December. This is down 33% on the prior corresponding period. Management advised that it reflects the impacts of COVID-19 on its clients, its business, and the broader economy and financial markets.

Ecofibre Ltd (ASX: EOF)

The Ecofibre share price is down 13% to $1.57. Investors have been selling the hemp company's shares following the release of a very disappointing half year result. Ecofibre reported a 49% decline in revenue to $14.7 million and a sizeable $5.5 million loss after tax. The latter compares to a $7.1 million profit in the prior corresponding period.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price has fallen 4% to $49.09. This follows the release of the fund manager's half year results this morning. For the six months ended 31 December, Magellan reported a 9% increase in its average funds under management (FUM) to $100.9 billion. However, due to a sharp decline in performance fees, the company posted a 2% decline adjusted net profit after tax to $213.1 million.

Vita Group Limited (ASX: VTG)

The Vita share price has crashed 27% lower to 82.5 cents. This follows news that Telstra Corporation Ltd (ASX: TLS) intends to transition to full ownership for all of its branded retail stores across Australia. At present, Vita operates 104 Telstra retail stores on behalf of the telco giant. This makes up the vast majority of its revenue. According to Vita, the agreement will end in June 2025.

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. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Fallers

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 Megaport, Pilbara Minerals, Vysarn, and WiseTech shares are falling today

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

Read more »

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Share Fallers

Why Accent, Sayona Mining, Web Travel, and Weebit Nano shares are dropping today

These shares are having a tough time on Thursday. Why are they being sold off?

Read more »

A smartly-dressed man screams to the sky in a trendy office.
Share Fallers

Why Appen, DroneShield, PWR, and Webjet shares are sinking today

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

Read more »

a car driver sits up and looks alert with wide eyes and an expression of concentration while he holds the wheel of a car.
Share Fallers

Why this ASX All Ordinaries stock just crashed 24%!

Investors are punishing the ASX All Ords company today. Let’s find out 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 Elders, KMD, Lovisa, and Telix shares are dropping today

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

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 Life360, Lovisa, NAB, and Resolute shares are falling 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.
Healthcare Shares

This ASX All Ords share is diving 18% as inflation pain draws blood

This healthcare company delivered a trading update at its annual general meeting today.

Read more »

A woman with a sad face looks to be receiving bad news on her phone as she holds it in her hands and looks down at it.
Share Fallers

Why Healius, Opthea, Peninsula Energy, and Wildcat shares are falling today

These shares are having a tough finish to the week. But why?

Read more »