Have you got room for a blue chip or two in your portfolio in December? If you are, then take a look at the blockbuster blue chip ASX 200 shares listed below.

Here’s why they are highly rated by analysts:

REA Group Limited (ASX: REA)

The first blue chip ASX 200 share to look at is REA Group. It is the leader in real estate listings in the Australian market. The company’s local operations have a significant lead over the competition and are commanding more than triple the visits (121.9 million monthly visits) of its nearest rival.

In light of this, REA Group looks well-placed for growth thanks to the booming housing market. This should be supported by new revenue streams, cost cutting, price increases, its international operations, and acquisitions. The latter has seen the company grow its presence in mortgage broking through the acquisition of Mortgage Choice.

One leading broker that is particularly bullish on REA Group is Macquarie. Its analysts currently have an outperform rating and $192.00 price target on its shares.

Westpac Banking Corp (ASX: WBC)

Another blue chip ASX 200 share that could be in the buy zone is Westpac. Australia’s oldest bank has seen its shares crash lower in recent weeks following a disappointing full year result.

Investors were spooked by its weak margin outlook and appeared concerned that it would not achieve its cost cutting plans.

The team at Morgans believe this is a buying opportunity, noting that Westpac’s shares offer the most compelling valuation among the big four. Its analysts currently have an add rating and $29.50 price targets on the bank’s shares.

Morgans commented: “We find the management of the margin-volume tradeoff in Australian home lending in FY21 to be disappointing and we hope for better management of this tradeoff going forward.”

“Having said this, our view has been that the stock was not being priced for perfection and was offering considerable value. While the NIM has now re-based notably lower, we continue to see considerable value in the stock particularly due to our expectation of significant cost out by FY24F,” it concluded.

The post 2 blue chip ASX 200 shares named as buys in December appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro owns Westpac Banking Corporation. 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 recommended REA Group Limited and Westpac Banking Corporation. 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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The Chalice Mining Ltd (ASX: CHN) share price finished in the red on Wednesday amid the company completing a major demerger.

At the close of trade, shares in the mining company were down 4.26% to $8.55.

Let’s take a look at what happened with Chalice Mining on Wednesday.

What did Chalice tell investors today?

Chalice advised the market it had completed its demerger, spinning off its gold-focussed Falcon Metals business.

The company announced it has completed the distribution of Falcon shares to eligible Chalice shareholders.

Investors involved in Falcon’s $30 million initial public offering (IPO) have also been issued their shares today.

Falcon Metals Limited is earmarked for listing on the ASX on Monday with the ASX code FAL. Its shares are scheduled to start trading at 11am next Wednesday although the listing is subject to the company satisfying ASX conditions.

The drop in the Chalice Mining share price today should come as no surprise. As previously reported by my Foolish colleague, it was tipped Chalice shares would trade lower on the day of the demerger announcement, reflecting Falcon’s departure.

However, this is expected to be offset when Falcon Metals shares are distributed.

With the spin-off of its gold assets, Chalice Mining is now expected to focus on its Julimar Nickel-Copper-PGE Project in the Avon region of Western Australia.

This leaves Falcon to go for gold at its key exploration assets in Victoria and Western Australia.

Chalice Mining share price snap shot

The Chalice Mining share price has surged in the past 12 months, up 141%. Year to date, the company’s shares have gained 120%.

However, in the past month, Chalice shares have slipped 12% and have fallen more than 7% in the past week.

At its current share price, the company’s market capitalisation is just over $3 billion.

The post Why did the Chalice Mining (ASX:CHN) share price slide today? appeared first on The Motley Fool Australia.

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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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Shares in Booktopia Group Ltd (ASX: BKG) have had a mixed day today after the company announced a collaboration with an international publisher.

Booktopia has entered into a publishing and distribution partnership with Welbeck Publishing Group based in the United Kingdom.

The Booktopia share price leapt 6% to an intraday high of $1.80 near the market open, before plummeting back to its previous closing price of $1.70. At the close of trade today, shares in the company had lifted again and were trading 2.05% higher at $1.74.

More on the partnership…

Earlier this year, the publisher told investors it would secure a 25% stake in the UK-based company’s new standalone subsidiary, Welbeck Australia (WPGANZ) for around $3 million.

In today’s announcement, the company advised that these agreements had been executed.

Now, under this new partnership, Booktopia will distribute WPGANZ’s catalogue of around 300 new titles per year.

Welbeck’s existing distribution agreement with giant Allen & Unwin and United Book Distributors will be transferred to Booktopia Publisher Services (BPS) by the end of the first quarter next year. 

The company noted that the move would not only make WPGANZ the local publisher for Welbeck UK’s backlist of around 4,500 titles, it would also create an opportunity for Welbeck to build a local editorial team to publish Australian and New Zealand authors. The aim would be to bring in 50 new titles to the market each year.

Booktopia founder and chief executive Tony Nash welcomed the news, saying:

Welbeck is a highly-regarded and significant player in the book industry, and we are very excited about the opportunity to partner with them as they grow their presence in Australia and New Zealand.

The partnership and investment in Welbeck Australia will diversify and enhance our future income streams while growing our scale and strategic presence in the publishing and distribution segments of the book industry.

Booktopia share price snapshot 

The Booktopia share price has fallen more than 37% in the past 12 months, with much of the drop happening since its 52-week high of $3.06 in September. The publisher has fallen 33.5% this year to date.

The company has a market cap of $245.86 million at the time of writing.

The post What happened with the Booktopia (ASX:BKG) share price today? appeared first on The Motley Fool Australia.

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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Booktopia Group Limited. 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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Not all initial public offerings (IPO) can be a roaring success. Sadly, some must flop, and the Armada Metals Limited (ASX: AMM) share price has done just that on its first day on the ASX.

The company’s stock floated on the market at 12:30 pm AEDT today after raising $10 million through its IPO, wherein it offered shares for 20 cents apiece.

Unfortunately, the Armada Metals share price has ended its first day on the ASX 22% lower, with its shares trading at 15.5 cents.

Let’s take a closer look at the ASX newbie and the IPO process that led it here.

What does Armada Metals do?

Armada Metals is a base metals explorer with a focus on under-explored regions of Africa.

Armada believes the electric vehicle market will demand increasing amounts of ‘green’ metals in the coming years, and Africa is a great place to find them.

It’s currently exploring a multi-target project opportunity for magmatic nickel-copper sulphides in the Nyanga area in southern Gabon. There, it has 2 exploration licences covering 2,991 square kilometres.

Armada Metals has already spent more than US$10 million at the mining sites and has targets ready to drill.

Armada Metals share price slumps on ASX debut

Today was tough for the Armada Metals share price.

The company sold 50 million shares – its maximum planned issuance – during its IPO and raised $10 million in the process.

Most of those funds will go towards exploration activities, mainly drilling programs and regional exploration. The rest will be used as working capital and for covering administration expenses.

At its offer price, the company expected to list with a market capitalisation of $20.8 million.

Instead, at its current share price, Armada Metals has an ASX valuation of about $7.75 million.

On the company’s ASX float, Armada managing director, Dr Ross McGowan commented:

Today signifies the beginning of Armada’s exploration journey as a public listed company… The company is excited to commence its maiden drilling program in the new year, and we look forward to providing shareholders with exploration updates as we prepare the company for growth and future success.

The post Armada Metals (ASX:AMM) share price plunges 22% following IPO appeared first on The Motley Fool Australia.

More reading

• What happened with the Booktopia (ASX:BKG) share price today?
• Here are the top 10 ASX shares today
• Why the Graincorp (ASX:GNC) share price is harvesting some stellar gains this week
• ANZ (ASX:ANZ) will hold its AGM tomorrow. Here’s what you need to know
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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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