The Novonix Ltd (ASX: NVX) share price is surging today despite silence from the company.
Right now, Novonix shares are trading for 19.95% more than they were at Friday’s close, swapping hands for $4.93 apiece. That’s a new record high for the company’s stock.
While there’s been no news from Novonix today, last week was a busy one for the battery technology company. Additionally, it managed to garner some attention from Australian media over the weekend. Finally, the materials sector as a whole is gaining today.
Let’s take a closer look at the news from, and of Novonix, that might be boosting its share price today.
The latest from Novonix
The last time the market heard from Novonix was on Thursday when the company released its earnings for financial year 2021.
For the financial year just been, Novonix reported a 22.9% increase in revenue compared to that of the prior financial year. However, it posted an increased pre-tax loss.
Despite its relatively positive results, the Novonix share price slipped 4% on Thursday before ending Friday in the red.
Novonix in the headlines
Today’s movement from the Novonix share price could have been spurred by some good press the company received yesterday.
Novonix’s future plans hit the mainstream media when The Australian published an article stating the Biden administration’s push for electric vehicles could boost demand for the company’s synthetic graphite-based material.
In the company’s full year report, it noted it’s recently received US$5.6 million of funding from the US Department of Energy. The funding was to help boost the production of its synthetic graphite material.
Additionally, Phillips 66 (NYSE: PSX) recently strategically invested into Novonix due to its production of the material, while Novonix closed on the purchase of a facility to help it produce an extra 8,000 tonnes of anode material annually.
Material sector gaining
Finally, Novonix’s shares might simply be enjoying the material sector’s great day.
It’s a fabulous Monday to be an ASX-listed materials company, as many commodities, including gold, iron ore, and copper are booming.
Novonix share price snapshot
Even discounting today’s impressive gains, the Novonix share price has been performing exceptionally well.
It is currently 298% higher than it was at the start of 2021. It has also gained 208% since this time last year.
The post Why the Novonix (ASX:NVX) share price is rocketing 20% appeared first on The Motley Fool Australia.
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More reading
- Which ASX companies are starting off the week as the top movers in the ASX 300 today?
- Novonix (ASX:NVX) share price slides despite 23% revenue growth
- Here are 3 of the most heavily traded ASX 200 shares today
- Novonix (ASX:NVX) share price surges another 12%. Here’s why
- Top brokers name 3 ASX shares to buy today
Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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