The S&P/ASX 200 Index (ASX: XJO) is on course to bounce back strongly from yesterday's weakness. In late morning trade the benchmark index is up 1.2% to 6,687.8 points.
Four shares that have failed to follow the market higher today are listed below. Here's why they are dropping lower:
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Nick Scali Limited (ASX: NCK)
The Nick Scali share price is down 2% to $10.95. This appears to have been driven by profit taking from investors after some very strong gains over the last couple of days. In fact, the furniture retailer's shares hit a new record high on Wednesday. Investors have been buying the company's shares after it revealed that its profits would double in the first half of FY 2021.
Nitro Software Ltd (ASX: NTO)
The Nitro share price is down 2% to $3.21 despite there being no news out of the software company. However, prior to today, the Nitro share price was up over 100% over the last 12 months. This may have led to a spot of profit taking from investors this morning.
Silver Lake Resources Limited (ASX: SLR)
The Silver Lake share price has tumbled 4% lower to $1.92. Investors have been selling the gold miner's shares on Thursday after the price of the precious metal pulled back sharply overnight. This was driven by a stronger US dollar and the widening on treasury yields. It isn't just Silver Lake that is dropping lower. The S&P/ASX All Ordinaries Gold index is down 0.9% at the time of writing.
Xero Limited (ASX: XRO)
The Xero share price has fallen 4% to $141.50. Once again, this appears to have been driven by profit taking. This has particularly been the case in the tech sector on Thursday, which has led to the S&P ASX All Technology Index (ASX: XTX) sinking 1.3% lower today. Despite today's decline, the Xero share price is still up 75% since this time last year.
