Why Boss Energy, Digico, Platinum, and Resolute shares are dropping today

The S&P/ASX 200 Index (ASX: XJO) is having another poor session. At the time of writing, the benchmark index is down 0.35% to 8,267.6 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 6.5% to $2.44. This follows broad weakness in the uranium industry which is weighing on most miners of the chemical element. In addition, short sellers have been going after Boss Energy. So much so, it is the second most shorted share on the Australian share market. They appear to believe that the company's costs will be significantly higher than forecast. Boss Energy's shares are now down over 40% since the start of the year.

Digico Infrastructure REIT (ASX: DGT)

The Digico Infrastructure REIT share price is down over 9% to $4.14. This data centre focused property company's shares have had a difficult time since completing an initial public offering (IPO) on Friday. Digico Infrastructure REIT listed at a price of $5.00 per share. This means they are now down by 17% since their IPO. Investors may believe that its shares are overvalued relative to other players in the data centre market.

Platinum Asset Management Ltd (ASX: PTM)

The Platinum share price is down a further 3.5% to 63.7 cents. This struggling fund manager's shares have been sold off this month for a couple of reasons. One is that its proposed takeover by Regal Partners Ltd (ASX: RPL) collapsed. In addition, Platinum released a funds under management (FUM) update which revealed that its FUM took a large hit in November. Investors appear concerned that a recovery could be some way off. Especially after Regal Partners had a look under the hood and ended takeover talks.

Resolute Mining Ltd (ASX: RSG)

The Resolute Mining share price is down almost 6% to 40.5 cents. Investors have been selling Resolute Mining and other gold miners today following a pullback in the gold price on Friday night. This has led to the S&P/ASX All Ordinaries Gold index falling almost 1.9% on Monday. One broker that is likely to see this weakness as an opportunity is Macquarie. Last week, its analysts put an outperform rating and 60 cents price target on the gold miner's shares. This implies potential upside of almost 50% for investors between now and this time next year.

The post Why Boss Energy, Digico, Platinum, and Resolute shares are dropping today appeared first on The Motley Fool Australia.

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. has positions in and has recommended Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2024