Kogan.com Ltd (ASX: KGN) shares had a bumper start to the week. In early trade, the Kogan share price leapt by 10.2% to an intraday high of $13.45. At the time of writing, however, Kogan shares have retreated back to $12.20 — flat for the day so far.
With no market-sensitive news from the company, let’s take a look at what might have been boosting Kogan shares on Monday.
COVID-19 winners making a comeback?
Major COVID-19 winners in the e-commerce sector seem to be making a comeback on Monday.
Alongside the rising Kogan share price, Redbubble Ltd (ASX: RBL) and Temple & Webster Group Ltd (ASX: TPW) shares are also up 6.3% and 7.18% respectively.
These e-commerce shares are grinding higher despite the S&P/ASX 200 Index (ASX: XJO) sliding 0.07% at the time of writing. Meanwhile, the S&P/ASX Consumer Discretionary Index (ASX: XDJ) has also slipped 0.02% today.
Today’s bounce for Kogan and its e-commerce peers comes following increasing travel restrictions around Australia, including lockdowns across Greater Sydney, Western Australia and the Northern Territory.
Credit Suisse is bullish on the Kogan share price
Credit Suisse is looking past the near-term challenges for Kogan and is an avid believer in its medium-term growth trajectory.
On 25 June, the broker had an outperform rating and $17.93 target for the Kogan share price.
Foolish takeaway
A disappointing third-quarter update in April and profit downgrade in May sent the Kogan share price to as low as $8.70.
By June, Kogan shares managed to find their footing around the $10 level and are now up by almost 20% this month.
The company’s shares temporarily clawed their way back up to a 2-month high this morning but are currently still down by around 36% year to date.
Based on the current share price, Kogan has a market capitalisation of around $1.37 billion.
The post The Kogan (ASX:KGN) share price jumped 10% this morning appeared first on The Motley Fool Australia.
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More reading
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- ASX 200 Weekly Wrap: Share market breaks 5 week winning streak
- These were the best-performing ASX 200 shares last week
- 3 stellar ASX growth shares named as buys
- The Kogan (ASX:KGN) share price has fallen 44% in 2021
Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Kogan.com ltd and Temple & Webster Group Ltd. The Motley Fool Australia owns shares of and has recommended Kogan.com ltd. The Motley Fool Australia has recommended Temple & Webster Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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