Why BHP, Megaport, OZ Minerals, and Zip shares are dropping

These ASX shares are ending the week in the red…

| More on:
Red arrow going down on a chart, symbolising a falling share price.

Image source: Getty Images

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 (ASX: XJO) is a sea of red on Friday and on course to record a disappointing decline. In afternoon trade, the benchmark index is down 1.6% to 7,471.6 points.

Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:

BHP Group Ltd (ASX: BHP)

The BHP share price is down 4% to $48.57. Investors have continued to sell this mining giant's shares after its third quarter update revealed a cut to some of its guidance due to COVID-19 related disruptions. While analysts at Macquarie Group Ltd (ASX: MQG) expect strong commodity prices to offset much of this, the broker has still cut its price target slightly.

Megaport Ltd (ASX: MP1)

The Megaport share price has tumbled again and is down a further 9.5% to $9.06. This morning Morgans responded to Megaport's third quarter update by retaining its hold rating but cutting its price target by 27% to $10.65. It said: "We remain convinced that MP1 has global potential. That said, investors need to see proof points of the scalability, so a lot hangs on a sales acceleration."

OZ Minerals (ASX: OZL)

The OZ Minerals share price is down 6% to $24.59. The catalyst for this was the miner's quarterly update. That update revealed that its gold and copper production fell 6% and 16%, respectively, over the previous quarter. OZ Minerals also reported an increase in its all-in sustaining costs for the period. And while management expects its performance to improve as the year progresses, it hasn't been enough for some investors to stick with the company.

Zip Co Ltd (ASX: ZIP)

The Zip share price is down 3% to $1.11. This buy now pay later provider's shares have come under pressure again on Friday after brokers responded negatively to its third quarter update. For example, the team at Jefferies retained their underperform rating and slashed their price target by 46% to $1.00. The broker was disappointed by Zip's softening transaction volumes, which it feels will only get worse as it tightens its credit settings to combat worsening credit losses.

Should you invest $1,000 in The A2 Milk Company Limited right now?

Before you buy The A2 Milk Company Limited shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and The A2 Milk Company Limited wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns and has recommended MEGAPORT FPO. The Motley Fool Australia has recommended MEGAPORT FPO. 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 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 Healius, Light & Wonder, REA Group, and Regis Resources shares are falling today

These shares are ending the week in the red. Let's find out 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 ANZ, Brainchip, Light & Wonder, and Pilbara Minerals shares are falling today

These shares are tumbling on Thursday. 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 Aurizon, JB Hi-FI, Nuix, and Platinum shares are tumbling today

These shares are falling on hump day. 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 HMC Capital, Platinum, Sigma, and Skycity shares are dropping today

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

Read more »

Oil worker using a smartphone in front of an oil rig.
Energy Shares

ASX 200 energy shares plunge on shock OPEC move

ASX 200 energy shares like Woodside and Santos are tumbling on Monday. Let’s find out why.

Read more »

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

Why Brainchip, Helia Group, Reliance Worldwide, and Westpac shares are dropping today

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

Read more »

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

Why Block, Corporate Travel Management, Judo, and Zip shares are sinking today

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

Read more »

Man with a hand on his head looks at a red stock market chart showing a falling share price.
Share Fallers

These were the worst-performing ASX 200 shares in April

These shares were out of form last month. But why?

Read more »