Day: October 17, 2021

Why the Hazer (ASX:HZR) share price is lifting today

A mum lifts her superhero-face-mask-clad little girl on her shoulders as they both outstretch their arms in flight.

The high flying share price of Hazer Group Ltd (ASX: HZR) is pushing upwards on Monday. Shares in the hydrogen production company are front and centre today after the release of its quarterly activities report.

At the time of writing, the Hazer share price is fetching $1.45, up 3.93%. This boost puts the company’s year-to-date performance at 82%.

This brings us to the information contained in Hazer’s report for the quarter ending 30 September 2021. It was a busy time for the ASX-listed small cap. So, let’s delve into what occurred during Q1 FY22.

Hazer share price lifts on progress

Investors are displaying optimism following Hazer’s update, as the daily share volume surpasses the average amount traded. Presently, more than 1.7 million shares have swapped hands during Monday’s session.

Today’s report shares Hazer’s progress on its Commercial Demonstration Project (CDP), under development at the Woodman Point waste-water treatment facility. Following the commencement of site works in March this year, the company has completed site civil preparation and civil construction works.

The project is moving forward to the mechanical, instrument, and electrical works. However, Hazer has revised the project schedule due to delays caused by supply issues for specialist high-temperature materials. As a result, the commissioning of the project will move to the first quarter of the 2022 calendar year.

A quick recap, the CDP is a low-emission hydrogen production facility that is expected to produce 100 tonne per annum. The biogas generated by the treatment plant will be used as feedstock to produce hydrogen and graphite. Given the recent trend in hydrogen power, this development by Hazer has helped push its share price higher.

At this stage, Hazer is forecasting a final cost of $21 million to $22 million for the sizeable engineering project. Although, the company noted that it continues to see cost pressures across materials, equipment, labour, and freight.

Capitalising on the booming interest, Hazer is progressing an engineering study with Chiyoda Corporation which will feed into the concept study for a Hazer plant capable of 2,500 tonne per annum. Furthermore, the company will use this study to advance discussions with potential collaborators across Japan, Europe, Asia, North America, and more.

What’s the cash position of Hazer Group?

At the end of the quarter, the company maintained $27.3 million in cash and cash equivalents. Part of this stash is $5.4 million in grant proceeds from the Australian Renewable Energy Agency (ARENA). Hazer managed to fulfil the milestone conditions to unlock $1.77 million of this capital.

Regarding cash flow, net operating cash outflows of $1.44 million were recorded during the quarter. Meanwhile, net cash inflows from financing activities amounted to $8.67 million – $7 million of which came from the issue of new shares.

Lastly, based on the current Hazer share price, the company commands a market capitalisation of $231 million.

The post Why the Hazer (ASX:HZR) share price is lifting today appeared first on The Motley Fool Australia.

Should you invest $1,000 in Hazer Group right now?

Before you consider Hazer Group, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Hazer Group wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

More reading

Motley Fool contributor Mitchell Lawler 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.

from The Motley Fool Australia https://ift.tt/3vk8FS6

Why is the WAM Capital (ASX:WAM) share price sliding 4% today?

a man holds his hand to his chin with a furrowed brow, making an expression of puzzlement or confusion.

The S&P/ASX 200 Index (ASX: XJO) is having a good, albeit bumpy, start to the trading week this Monday. At the time of writing, the ASX 200 is up 0.18% to 7,375.6 points after an initial stumble into negative territory soon after open this morning.

But one ASX share isn’t sharing in this positive sentiment today. That would be the WAM Capital Ltd (ASX: WAM) share price.

WAM shares are currently down a nasty 4.58% from Friday’s close to $2.29 a share, at the time of writing. That’s a pretty steep fall for a Listed Investment Company (LIC) not known for its volatility.

So what’s going on with WAM Capital, one of the ASX’s largest LICs, today?

WAM gets an ASX whamming

Well, there has been some movement at the station for WAM today. This morning, Wilson Asset Management (the WAM in WAM Capital) sent shareholders a notice that this LIC has “acquired all the issued capital of an unlisted investment company with net assets of approximately $36.3 million”. No further details were given about this “unlisted investment company”.

This acquisition has been paid for with new WAM Capital shares. The LIC released an ASX notice this morning confirming that 16,678,217 additional shares have been issued.

But $36.3 million is little more than a drop in the ocean for a company with a market capitalisation north of $2 billion.

Don’t worry, it’s probably just a dividend…

Instead, the real culprit for today’s steep drop is likely to be WAM Capital’s upcoming ASX dividend. Yes, WAM shares have today traded ex-dividend for the LIC’s upcoming final dividend payment. WAM Capital will be shelling out 7.75 cents per share, fully franked, on 29 October. But only shareholders who held WAM shares before today will be eligible to receive this payout.

As such, the rough value of this dividend has been drawn out from the WAM Capital share price today, since new shareholders won’t enjoy this benefit. It’s probably the best reason there is to have one of your shares fall in value.

Yes, a ~4% drop is a large one for WAM Capital. But it does reflect the large value of this upcoming payment. On Friday’s closing share price, 7.75 cents per share equates to a yield of 3.14% (or 6.49% annualised). With the value of this LIC’s full franking, these yields gross-up to 4.49% and 9.27% respectively. With such a hefty dividend payment going out the door, it’s no surprise that we see a big drop in the value of WAM Capital shares today.

At WAM Capital’s current share price of $2.29, this ASX LIC has a market capitalisation of $2.02 billion and a dividend yield of 6.74%.

The post Why is the WAM Capital (ASX:WAM) share price sliding 4% today? appeared first on The Motley Fool Australia.

Should you invest $1,000 in WAM Capital right now?

Before you consider WAM Capital, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and WAM Capital wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

More reading

Motley Fool contributor Sebastian Bowen 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.

from The Motley Fool Australia https://ift.tt/3aIXp8y

Why MyDeal, Senex, Superloop, and Vulcan shares are surging higher

green arrow representing a rise in the share price

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to start the week with a small gain. At the time of writing, the benchmark index is up 0.2% to 7,375.6 points.

Four ASX shares that are climbing more than most today are listed below. Here’s why they are surging higher:

Mydeal.Com Au Ltd (ASX: MYD)

The MyDeal share price has jumped over 10% to 81.5 cents. Investors have been fighting to get hold of the ecommerce company’s shares after it delivered a very strong first quarter update. MyDeal reported record quarterly gross sales of $68.5 million, up 49% quarter-on-quarter and 22.6% year on year. Key drivers of this growth were a 38.8% increase in active customers to 929,461 and high levels of returning customers.

Senex Energy Ltd (ASX: SXY)

The Senex share price is up 15% to $4.38. This morning the energy company revealed that Korean giant POSCO has tabled a $4.40 per share takeover approach. Due diligence has been granted to provide POSCO with additional time to assess a further revised proposal at a price higher than $4.40 per share.

Superloop Ltd (ASX: SLC)

The Superloop share price has rocketed 20% higher to $1.16. This follows news that the telco is selling its Hong Kong operations, as well as select Singapore assets for $140 million. According to the release, Superloop has entered a binding agreement with funds affiliated with Columbia Capital and DigitalBridge Investment Management. The release notes that the sale price is a 30% premium above the assets’ current carrying value.

Vulcan Energy Resources Ltd (ASX: VUL)

The Vulcan Energy share price has jumped 10% to $12.72. Investors have been buying the lithium developer’s shares after it announced a new binding offtake agreement. According to the release, Vulcan has signed a binding lithium hydroxide offtake agreement with Umicore. It is a leader in cathode materials production used in lithium-ion batteries for electrified transportation. The deal is for five years from 2025 and for a total of 28,000 tonnes to 42,000 tonnes of battery grade lithium hydroxide.

The post Why MyDeal, Senex, Superloop, and Vulcan shares are surging higher appeared first on The Motley Fool Australia.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of August 16th 2021

More reading

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. owns shares of and has recommended SUPERLOOP FPO. 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.

from The Motley Fool Australia https://ift.tt/3nkqygj

Why has the Webjet (ASX:WEB) share price taken off 11% in the past month?

A girl runs with model plane in a park with her parents in the background lying on the grass watching her.

It’s been a big month for the Webjet Limited (ASX: WEB) share price despite no news having been released by the company. However, the travel sector has had several recent victories.

At the time of writing, the Webjet share price is $6.50, 1.09% higher than its previous close and 11.5% higher than it was this time last month.

So, what exactly has sent Webjet’s stock soaring? Let’s take a look.

What’s driving the Webjet share price lately?

The Webjet share price has had 3 days of excellent trade over the past month, each seemingly spurred by outside influences.

The first was on 23 September when the Webjet share price surged 5.5% higher.

That same day, the United States government announced its plan to scrap travel restrictions for arrivals from 33 countries. The catch is, of course, international travellers arriving in the United States must be fully inoculated against COVID-19.

The next time Webjet’s shares recorded a notable gain came just days later. The company’s stock lifted 5.2% on 27 September.

That was also the first ASX trading day after Prime Minister Scott Morrison announced Australia’s international borders should reopen before Christmas.

 Finally, Webjet’s third-best session of the last 30 days was its most recent.

On Friday, the Webjet share price soared 4% higher after New South Wales Premier Dom Perrottet announced the state will soon scrap quarantine for vaccinated international arrivals.

The initial idea was the state would become Australia’s tourism mecca. That is, until other states catch up with its vaccination rate. Currently, 80.8% of those eligible to receive a COVID-19 vaccine in New South Wales have had both doses. That vaccination rate is only bested by the ACT.

However, Morrison soon overruled Perrottet’s plans. He announced the federal government would only be allowing Australian citizens and residents into the country for the time being.

The post Why has the Webjet (ASX:WEB) share price taken off 11% in the past month? appeared first on The Motley Fool Australia.

Should you invest $1,000 in Webjet right now?

Before you consider Webjet, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Webjet wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

More reading

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 owns shares of and has recommended Webjet Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/2Z06NlD