Saturday, November 9, 2024

Why Boss Energy, Elders, Peter Warren, and Serko shares are sinking today

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The S&P/ASX 200 Index (ASX: XJO) is having a subdued session on Tuesday. In afternoon trade, the benchmark index is on course to record a small decline. It is currently down 0.25% to 7,768.7 points.

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

Boss Energy Ltd (ASX: BOE)

The Boss Energy share price is down almost 10% to $4.82. This follows news that the uranium miner’s CEO and managing director Duncan Craib, chair Wyatt Buck, and director Bryn Jones have sold a significant portion of their personal holdings. In respect to its CEO, Duncan Craib sold 3.75 million shares at an average price of $5.63 per share between Tuesday and Friday last week. The company’s leader received a total consideration of over $21 million for the shares. Insider selling rarely goes down well with investors and is considered to be a bearish indicator by many.

The Elders share price is down 3% to $8.21. This has been driven by the agribusiness company’s shares going ex-dividend on Tuesday. Last week, Elders released its half year results and reported a sharp profit decline. This led to the Elders board cutting its interim dividend by 22% to 18 cents per share. Eligible shareholders can now look forward to receiving this partially franked dividend in their bank accounts next month on 26 June.

Peter Warren Automotive Holdings Ltd (ASX: PWR)

The Peter Warren Automotive Holdings share price is down 12% to $1.88. This follows the release of a trading update from the automotive retailer this morning. Peter Warren advised that while revenue has continued to grow, it now expects its underlying profit before tax for FY 2024 to be in the range of $52 million to $57 million. Management notes that this is lower than market expectations and has been driven by a significant increase in vehicle supply, which has led to greater competition between dealerships and lower gross profit margins on new vehicles. In addition, customer demand for new vehicles has fallen due to cost-of-living pressures.

The Serko share price is down 5.5% to $2.87. Investors have been selling this travel technology company’s shares following the release of its full year results. This was despite Serko reporting a 48% jump in total income to NZ$71.2 million and a 48% improvement in its net loss to NZ$15.9 million. Looking ahead, management is guiding to revenue of NZ$85 million to NZ$92 million in FY 2025. It also expects to become cashflow positive during the year.

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