Why Domino's, Macmahon, Star, and Zip shares are sinking today

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a very disappointing decline. At the time of writing, the benchmark index is down 2% to 7,595.1 points.

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

The Domino's Pizza share price is down 5% to $36.53. This pizza chain operator's shares have been under pressure this month after the market responded very poorly to its strategy update. Goldman Sachs wasn't impressed with the update. It said: "We do not believe the company dissected the core issues of the problem regions such as France and Japan sufficiently and hence there remains a lack of transparency and conviction on how they will fix these issues. We remain unconvinced post this Strategy Day that there is a path to clear recovery other than further discounting and pausing of store roll-out in Japan/France to restore profitability."

The Macmahon share price is down 8% to 22.5 cents. Investors don't appear keen on the company's plan to acquire Decmil Group Limited (ASX: DCG). This morning, the two companies announced that they have agreed a deal that will see Macmahon acquire Decmil for 30 cents per share. This represents a sizeable 76% premium to where Decmil's shares ended yesterday's session. Management advised that it believes the deal is "consistent with Macmahon's strategic focus of achieving continued earnings growth while diversifying earnings into the less capital intensive civil infrastructure business."

The Star Entertainment share price is down a further 12% to 42.5 cents. Investors have been selling off this casino and resorts operator's shares this week after the Bell Two Inquiry commenced. Investors appear nervous that the company could be found to be unsuitable to retain its NSW licence. In addition, a poor trading update last week also had investors rushing to the exits.

The Zip Co share price is down 11% to $1.18. This follows the release of the buy now pay later provider's third-quarter results. While the initial reaction was positive and Zip's shares raced higher, investors soon turned sour on the results. They may be concerned by the performance of the company's Zip AU business. While Zip AU revenue was up 9.3% over the prior corresponding period, it reported a 20%+ reduction in both transaction volume and transactions.