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Why Droneshield, Monadelphous, OFX, and Star Shares Are Falling Today

The Motley Fool ·  Jul 31 22:39

The $S&P/ASX 200 (.XJO.AU)$ is having another solid session on Thursday. The benchmark index is up 0.4% to 8,126.4 points.

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

$Droneshield Ltd (DRO.AU)$

The DroneShield share price is down 14% to $1.19. Investors have been hitting the sell button today after the counter-drone technology company completed a $120 million institutional placement. These funds were raised at $1.15 per new share, which represents a 17.3% discount to its last close price. DroneShield's CEO, Oleg Vornik, commented: "This placement is enabling us to undertake a number of rapid R&D programs in response to end-user requirements, over the next 12-24 months. This favourably positions DroneShield to fuel its revenue growth and further increase its margins, due to anticipated increase in AI SaaS offerings."

$Monadelphous Group Ltd (MND.AU)$

The Monadelphous Group share price is down 5% to $12.33. This has been driven by news that Albemarle has terminated Monadelphous' contracts at the Kemerton Project in the south-west region of Western Australia. This termination follows Albemarle's announcement regarding a comprehensive review of its asset and cost structure. Management was expecting to generate revenue of $75 million to $85 million in FY 2025 from the project. It also estimates that it reduces its current construction work-in-hand by approximately $200 million.

$OFX Group Ltd (OFX.AU)$

The OFX Group share price is down 4% to $2.21. This follows the release of a trading update at the international payment services company's annual general meeting. At the event, management advised that trading has been in line with expectations. And with its management of margin and expenses remaining strong, its underlying EBITDA is in line with expectations. It seems that the market was expecting stronger rhetoric or was looking for more detailed commentary on how it is performing in FY 2025.

$The Star Entertainment Group Ltd (SGR.AU)$

The Star Entertainment share price is down over 2% to 56.7 cents. This follows media speculation in relation to recommendations made during the 2024 Independent Inquiry into The Star. However, the company responded this morning, stating that the "report prepared by Mr Adam Bell SC and submitted to the New South Wales Independent Casino Commission has not yet been publicly released and The Star has not received a copy of the Report or been advised of its contents."

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