Day: 11 January 2022

The Flight Centre Travel Group Ltd (ASX: FLT) share price went on a rollercoaster ride throughout 2021. Its shares reached a post-COVID high of $25.28 in October before sharply pulling back by almost 30% to today’s prices.

It appears that investors have mixed feelings about the value of Flight Centre shares in the current climate.

At the time of writing, Flight Centre shares are down 0.22% at $18.29 apiece.

What happened to Flight Centre in 2021?

The volatility in the Flight Centre share price last year was driven by new COVID-19 variants, resulting in a staggered recovery across travel markets.

Extended lockdowns and restrictions caused by the Delta variant impacted the company’s operations up until late August. The company spent the first half of the year in hibernation mode as vaccination programs began rolling out. In response, Flight Centre shares were trading around the $15 mark.

However, clearer visibility surrounding the resumption of travel led to Flight Centre shares accelerating above the $20 barrier in September and October. This was due to COVID-19 vaccination targets being met nationally, which provided passengers with more freedoms to travel outside Australia.

The company noted a return to leisure and corporate profitability. Corporate transaction numbers were at 50% of pre-COVID levels, representing around 40% of Flight Centre’s total transaction value (TTV).

A surge in cases overseas in November saw Flight Centre shares nosedive by 20% to roughly $16. Then the emergence of the Omicron variant on the world stage brought further troubles for the Flight Centre share price.

With seemingly no end in sight, investors will be wondering how the company is tracking financially for FY22. It is worth noting the business is a much leaner and more efficient cost base model compared to pre-COVID.

All eyes will be on Flight Centre’s FY22 half-year results which are expected to be released on 24 February.

Is the Flight Centre share price attractively valued?

A couple of brokers weighed in on the Flight Centre share price during the final months of 2021.

Multinational investment bank Citi raised its 12-month price target by 8.1% to $18.31 for Flight Centre shares. This is relatively in line with the current share price.

On the other hand, Goldman Sachs cut its assessment on the Flight Centre share price by 1.4% to $20.40. Its analysts believe there is still some value left in the travel agent over the next 12 months.

A recap on Flight Centre shares

It’s been a challenging year for Flight Centre shareholders, despite gaining around 20% over the past 12 months of trading.

While hitting a low of $16.27 in December, the company’s shares have staged a small rebound. There is currently a support level around the $17.50 mark for Flight Centre shares.

The post Why did the Flight Centre (ASX:FLT) share price have such a volatile year in 2021? appeared first on The Motley Fool Australia.

More reading

• These are the 10 most shorted ASX shares
• Buying ASX shares in 2022? Here’s what you need to know: expert
• 5 best ASX 200 travel shares of 2021
• 2 ASX travel shares that flew higher than Flight Centre (ASX:FLT) in 2021
• Why didn’t Flight Centre (ASX:FLT) shares enjoy any Christmas cheer in December?

Motley Fool contributor Aaron Teboneras 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 recommended Flight Centre Travel Group Limited. 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 price of uranium could be about to take off and ASX stocks producing the energy commodity might be set to benefit, according to a major broker.

Macquarie’s equities division has reportedly flagged political unrest in Kazakhstan as a potential driver of uranium spot prices. That’s because the Central Asian country produces around 40% of the world’s uranium.

The broker is said to have reiterated its outperform rating on the Boss Energy Ltd (ASX: BOE) and Paladin Energy Ltd (ASX: PDN) share prices as a result of the now-eased tensions.

Let’s take a closer look at what Macquarie is expecting from ASX uranium shares.

Why is Macquarie bullish on ASX uranium shares?

According to reporting by The Australian, after spot prices of uranium surged 7% to US$46.35 per pound over the last week, the top broker is concerned about the market’s reliance on a few global jurisdictions.

More than 2 thirds of the globe’s uranium is produced in Kazakhstan, Australia, and Canada.

However, a recent conflict in the former Soviet state, which its president is calling an attempted coup d’etat reports ABC News, has piqued the interest of Macquarie Equities.

The broker reportedly believes the unrest emphasised the need to diversify the world’s uranium production, which could drive prices higher. The Australian quoted it as saying:

Given the low level of utility contracting currently, we believe that a price rally would induce contracting for surety of supply which would result in an increase of contracting driving up uranium prices in the near to medium term.

In the longer term, we expect price support new supply requires incentive pricing above US$55/lb.

Right now, the share price of ASX uranium producer Paladin Energy is up 0.27%, trading at 94 cents. Meanwhile, the Boss Energy share price is $2.42, 2.5% higher than its previous close.

For context, the S&P/ASX 200 Index (ASX: XJO) has slipped 0.51%. At the same time, the All Ordinaries Index (ASX: XAO) is down 0.44%.

The post Here’s why ASX uranium shares could be in for a boost appeared first on The Motley Fool Australia.

More reading

• These were the 5 best performing ASX uranium shares of 2021
• Why are ASX uranium shares charging higher today?
• These 3 ASX 200 shares are topping the volume charts this Tuesday
• Here’s why Bell Potter is tipping 52% upside for the Boss Energy (ASX:BOE) share price

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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Brainchip Holdings Ltd (ASX: BRN) shares have emerged from a trading pause and are shooting higher on Tuesday.

In morning trade, the artificial intelligence technology company’s shares are up 10% to a record high of $1.13.

This means that BrainChip’s shares are now up 66% since closing at 68 cents on New Year’s Eve.

Why have BrainChip shares become such hot property?

Investors have been bidding BrainChip shares higher in response to a number of positive developments.

In fact, the rise was so strong it led to the company receiving a speeding ticket on Monday. The ASX Ltd (ASX: ASX) sent the company a price query, highlighting the “change in the price of BRN’s securities from a close of $0.885 on 6 January 2022 to a high of $1.035 today.”

This morning BrainChip’s shares were briefly paused while it responded to the query.

What was the response?

BrainChip advised that there was no information concerning it that has not been announced to the market which, if known by some in the market, could explain the rise in its share price.

However, it did provide an explanation for why it believes investors may have been buying shares.

The company notes that last week it appointed a new non-executive director and then on Monday it issued a press release which revealed that Information Systems Laboratories is using BrainChip technology in an artificial Intelligence-based radar research project for the Air Force Research Laboratory. Though, it believes the latter is immaterial in nature at this stage and there are no ongoing commercial arrangements in place.

Finally, it highlighted that there has been an increase in editorial tech media coverage regarding the artificial intelligence market in various segments where it operates. It notes that this coverage has grown since the completion of its chip, which management feels “could be a factor regarding increasing market confidence in our technology.”

The coverage above includes, as we highlighted here last week, Mercedes using BrainChip’s Akida chip in its Vision EQXX concept car. The chip is being used in the electric car to power the car giant’s “Hey Mercedes” smart assistant feature.

All in all, this could make BrainChip shares one to watch in 2022. Though, with a market capitalisation approaching $2 billion, expectations are sky high.

The post Why have BrainChip (ASX:BRN) shares become such hot property? appeared first on The Motley Fool Australia.

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• The Brainchip (ASX:BRN) share price soared another 19% today. What’s going on?
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• Why is the BrainChip (ASX:BRN) share price leaping 7% on the first trading day of the year?

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. 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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The Allkem Ltd (ASX: AKE) share price has started the year off with a bang. Previously known as Orocobre, Allkem was formed after the merger between Orocobre and Galaxy Resources. It has gained 26.7% over the past month, amid a suite of price-sensitive updates and broker upgrades.

The momentum from the end of 2021 has also continued into the new year. Since the onset of 2022, shares have climbed 7.5% and touched new 52-week highs last week.

Underpinning the upside in Allkem shares are hot-running lithium markets spurred on by heightened demand for electric vehicles. Allkem’s position in the lithium value chain ensures it is a price taker, whose share price will fluctuate with volatility in these markets, say the experts.

JP Morgan also upgraded its baseline lithium forecasts for 2022/23 back in December, bumping up estimates by 30-70% depending on various scenarios. Let’s take a closer look.

What’s driving momentum in the Allkem share price?

The Allkem share price spiked in linear fashion in December. This came as the company released the feasibility study and maiden ore reserve estimate for its James Bay lithium project in Canada.

Allkem advised it had developed a sustainable, high-value hard rock lithium operation using “renewable hydropower” at the site.

The developments enable Allkem to widen its footprint in the North American and European markets for electric vehicles.

These updates also bump up the net present value (NPV) for the site by 2.5x compared to a preliminary economic assessment finished back in March 2021.

As such, Allkem says construction will start at James Bay towards the end of 2022. It hopes to have first commissioning in situ by Q1 2024.

The Allkem share price spiked more than 12% and touched $10.30 apiece in the days following the announcement, and the momentum hasn’t slowed since.

What are brokers saying?

With lithium markets poised to continue their extended run in the green according to several experts, the analyst teams at a number of leading brokers are constructive on the Allkem share price.

UBS thinks Allkem is a buy and values the company at $10.75 per share. The broker opines that Allkem is well positioned to benefit from any continued upside in lithium prices. That is due to it being the owner of a plant that can produce up to 6% lithium oxide from 2 million tonnes of mined ore.

JP Morgan is equally as bullish on the company but reckons Allkem’s earnings multiples are heading into the “expensive” category.

Still, the broker remains optimistic about Allkem “as it builds out its project pipeline with production to quadruple from FY21 levels over the decade”.

The investment case is backed by a period of forecasted dividend growth and return on assets of 20% in FY23/24.

Meanwhile, Macquarie also reckons Allkem is a buy, recently lifting its price target by 13% to $13.60.

In the past month Allkem shares have gained almost 27%. Checking the trade depth on the company we see it has good fountain of momentum behind it, seeing as its 4-week average trading volume has crept up considerably to almost 4 million shares at the open today.

The post Why has the Allkem (ASX:AKE) share price surged 27% in a month? appeared first on The Motley Fool Australia.

More reading

• Brokers name 3 ASX shares to buy today
• Here are the 5 best performing ASX 200 mining and resource shares of 2021
• What is JP Morgan saying about ASX lithium shares?
• LNG hit record highs in 2021 so why did the Santos (ASX:STO) share price struggle?
• 2 ASX 200 mining shares to buy in January

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 Macquarie Group Limited. 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

What happened

The crypto market sell-off has continued into Monday, with most tokens down considerably in morning trading. Mega-cap tokens Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) both broke through psychological barriers, with Bitcoin dipping below $40,000 per token and Ethereum diving below $3,000 per token this morning. Currently, both tokens are down, though losses have been limited to 0.6% and 2.5%, respectively, for Bitcoin and Etheruem over the past 24 hours, as of noon ET.

Notably, Bitcoin is outperforming the overall crypto market today, which is much deeper in the red on the whole. The entire crypto market has lost 1.7% over the past 24 hours as of noon Monday, also dipping below the psychological threshold of $2 trillion in terms of market capitalization.

Once again, meme tokens such as Dogecoin (CRYPTO: DOGE) are leading the way in terms of losses today. Dogecoin is currently down 4.4% over the past 24 hours.

So what

Investors appear to be continuing to move away from risky, growth-related investments toward more defensive asset classes today. In the stock market, the Nasdaq is once again leading losses among major indexes, as investors look toward safe havens. Guidance given by the Federal Reserve via meeting minutes published last week continues to haunt growth investors, who are now pricing in much more meaningful rate increases, sooner than expected.

In the crypto world, levels of “extreme fear” are being noted by various gauges of investor sentiment. For meme tokens such as Dogecoin relying on positive sentiment and investor interest, this current environment is one that’s not friendly to the sort of parabolic growth trends many investors initially hoped for coming into 2022.

Now what 

This macro environment is one that is likely to test the mettle of the crypto market. Whether this is a market that is currently in bubble territory or not will likely be decided by the price action among major cryptocurrencies in the coming months. We’ve seen large declines before, and this could be yet another test for how resilient these digital currencies will be over the longer term.

For investors in more defensive tokens such as Bitcoin, often dubbed “digital gold,” the relative strength investors are once again seeing today may be viewed positively. That said, outside of a few niche tokens, the crypto market is once again moving in high correlation, as capital flows out of the crypto world continue. 

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Why Bitcoin, Ethereum, and Dogecoin plunged today appeared first on The Motley Fool Australia.

More reading

• Forget Bitcoin! These were the 5 crypto assets you wish you’d held in 2021
• Bitcoin and Ethereum are crashing: Is now the time to invest?
• Could Shiba Inu Surpass Dogecoin in 2022?
• The Bitcoin (CRYPTO:BTC) price has tumbled 10% since the start of 2022. Is it a buy?
• This cryptocurrency could 10x by 2026

Chris MacDonald owns Ethereum. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and recommends Bitcoin and Ethereum. 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.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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It’s been a rough 6 months for many S&P/ASX 200 Index (ASX: XJO) tech shares, with giants such as Afterpay Ltd (ASX: APT) and Zip Co Ltd (ASX: Z1P) tumbling 39% and 53% respectively.

The broader technology market has also been suffering. The S&P/ASX All Technology Index (ASX: XTX) slid 4.4% over the same period. For context, the ASX 200 has gained 1.5% since mid-July.

Fortunately, not all ASX 200 tech shares have slumped alongside the index. In fact, these two have positively taken off.

The 2 outperforming ASX 200 tech shares

WiseTech Global Ltd (ASX: WTC) and TechnologyOne Ltd (ASX: TNE) have each bested the technology market’s performance over the last 6 months.

In that time, the TechnologyOne share price has gained 27%, spurred by a major acquisition and despite tumbling on the release of its full-year results.

Meanwhile, the share price of WiseTech has surged a mammoth 77%, helped along by its financial year 2021 earnings.

Right now, the WiseTech share price is $54.63. Its ASX 200 tech peer TechnologyOne is at $11.68 a share.

The two ASX 200 tech shares have managed to dodge what might have been the start of a concerning period for ASX tech investors.

What’s weighing on tech stocks?

As The Motley Fool Australia reported last week, the US Federal Reserve has hinted at interest rate increases in the near future. That might see liquidity removed from equity markets.

Unfortunately, tech shares, including those on the ASX 200, are uniquely positioned to be impacted the move.

That’s because they’re often valued higher than their current earnings – the market generally expects tech companies’ profits to boom in the future.

When interest rates rise, expected future profits are worth less at current monetary values.

While apparent confirmation that interest rates increases are on the table for 2022 is a relatively recent phenomenon, it’s likely been in investors’ peripherals for some time.

That could explain the sluggish performance of the All Tech Index.

The post These 2 ASX 200 tech shares have withstood the selloff to surge higher over the last 6 months appeared first on The Motley Fool Australia.

More reading

• Sticky revenue winners. Here are the 5 best ASX SaaS shares of 2021
• Why Afterpay, BrainChip, Medibank, and WiseTech shares are racing higher
• 5 things to watch on the ASX 200 on Thursday
• Why are ASX 200 tech shares getting hammered today?
• 2 ASX shares analysts rate as buys in January

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. owns and has recommended Afterpay Limited, WiseTech Global, and ZIPCOLTD FPO. The Motley Fool Australia owns and has recommended Afterpay Limited and WiseTech Global. 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

What happened

Amid a broad market sell-off, meme token Shiba Inu (CRYPTO: SHIB) has posted a decline of 7.5% over the past 24 hours, as of 12:30 p.m. ET. This decline significantly outpaces the broader crypto market, which is down cumulatively 3.3% over the same time frame. Accordingly, it appears that the market-based selling focused on higher-risk tokens such as Shiba Inu is continuing into a new week.

Various bullish takes on the potential for this meme token to head for the moon have driven incredible performance for Shiba Inu over the past year. Despite dropping more than 65% from its recent peak, Shiba Inu remains more than 20,000,000% higher over the past 12 months alone.

However, more conservative investors seem to be skeptical. As investors continue to sell their winners — and rotate more of their capital into lower-beta, defensive investments — the sell-off with the SHIB token has continued to outpace the overall market once again today.

So what

The bullish camp behind Shiba Inu continues to tout a number of reasons that this meme token could shoot to the moon in 2022. Rising demand for speculative tokens via a listing on platforms such as Robinhood is one potential factor crypto speculators are looking at. Shiba Inu’s recently announced Layer 2 blockchain, named the Shibarium, is also driving investor enthusiasm as developer interest picks up on this network. And the potential for metaverse-themed projects and stablecoins to be added to the Shiba Inu network has many considering the utility angle with this token.

Bears note that many of these projects remain in the conceptual stage for the time being. And while the crypto market is certainly forward looking, the extent to which developer interest turns into real, meaningful progress remains to be seen. Right now, concerns around higher interest rates and a reduced Federal Reserve balance sheet appear to be of bigger concern to investors.

Now what

Rising bond yields, and a search for safety in capital markets, have put crypto investors on edge. This current environment is one that is certainly not friendly for moon shot hopefuls. Those invested in Shiba Inu are seeing what can happen when market sentiment shifts in a meaningful way.

Perhaps Shiba Inu hasn’t mooned yet. Perhaps this token is still on its rocket, headed for new highs shortly. However, the temperature of the market right now suggests investors are more concerned with the risks of this token than its potential near-term returns. Accordingly, investors are taking cover today. 

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Why the Shiba Inu token is sinking appeared first on The Motley Fool Australia.

More reading

• Forget Bitcoin! These were the 5 crypto assets you wish you’d held in 2021
• Could Shiba Inu Surpass Dogecoin in 2022?
• How interest paying crypto accounts could be a gamechanger
• Better crypto to own in 2022: Dogecoin or Shiba Inu?
• Meme coin selling: Why Shiba Inu, Dogecoin, and The Sandbox are down

Chris MacDonald 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.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The PolyNovo Ltd (ASX: PNV) share price has been a strong performer on Tuesday.

At the time of writing, the medical device company’s shares are up 13% to $1.62.

Why is the PolyNovo share price jumping?

The rise in the PolyNovo share price today has been driven by the release of its second quarter and first half trading update this morning.

According to the release, during December, PolyNovo achieved record monthly US sales (ex Barda) of A$3.4 million (US$2.43 million). This was an increase of 76% over the prior corresponding period. Combined with strong sales results in October and November, this led to record second quarter US sales of US$2.43 million (US$5.86 million). This is an increase of 105% over the same period last year.

In light of the above, the company expects to report first half US sales of A$14.20 million (US$10.38 million). This will mean first half group sales growth of 45% year on year to A$16.28 million excluding Barda revenue and 43% including Barda revenue to A$18.04 million.

What drove its growth?

Underpinning this growth was the addition of a number of new customer accounts. During the first quarter, the company added 16 new accounts and then followed this up with 19 new accounts in the second quarter. This brought its total US accounts to 154.

Pleasingly, with the company intending to increase the size of the US sales team with a further 10 representatives, management expects to be able to expand its coverage across key cities and regions.

PolyNovo’s Senior VP Sales & Marketing Americas, Ed Graubart, said: “We have recruited top talent and they in turn are transitioning new accounts at a record pace. We have also filled some critical internal positions that allow for a more efficient and effective organisation. The team are buoyed by the strong results and opportunities.”

The company’s Chairman, David Williams, added: “While US sales are very encouraging, there is more to achieve as we still have new sales staff being onboarded and more staff to be employed. In addition, we are retraining existing staff to follow surgeon leads using the product in new indications. While the US is the engine room of our growth in the immediate future, there are many opportunities in the rest of the world where we are just starting out.”

The post Here’s why the PolyNovo (ASX:PNV) share price is jumping 13% today appeared first on The Motley Fool Australia.

More reading

• These are the 10 most shorted ASX shares
• Here’s what happened to the Polynovo (ASX:PNV) share price in 2021?
• These were the 5 worst performing ASX 200 shares in 2021
• ASX 200 falls on Friday but records 13% gain in 2021
• These are the 10 most shorted ASX shares

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 and has recommended POLYNOVO 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.

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The Inghams Group Ltd (ASX: ING) share price is falling, down 7% in early trading, after the poultry company told that the market that the Omicron COVID variant is impacting its operations.

A couple of months ago the business told investors that lockdowns and global COVID effects were a key feature of early FY22 and were causing challenges. But the rapid spread of the Omicron variant is now causing substantial effects too.

Omicron impacts operations and Inghams share price

There were four areas that Inghams updated the market about.

First, the large amount of COVID transmission in the Eastern Australian States from December 2021 is resulting in staff shortages and is now also having an impact on the Australian supply chain, operations, logistics and sales performance of the ASX share, as well as some suppliers and customers. Management re-iterated that there are disruptions to production and distribution capability, as well as an impact on sales.

Second, however, the company has managed to keep all of its major Australian sites operational and it hasn’t experienced any “significant” on-site transmission of COVID. But, those sites are currently experiencing significantly lower levels of staff availability. This is impacting production volumes and operational efficiency.

To combat this, Inghams’ third message was that operational changes are being made to volume and mix across the Australian business. It isn’t possible for management to predict how long this disruption will continue for. It is “premature” to draw any conclusions on the overall impacts on the business and trading results.

Finally, Inghams noted that feed costs continue to remain elevated.

The Inghams share price had drifted lower after the company’s operational update in early November 2021 which included a warning on higher feed costs.

However, it was noted that both the Federal and State Governments recently changed isolation rules for close contacts in the food sector which should help some of the current staff shortages. It’s expecting production capacity to recover relatively quickly to meet demand.

Management commentary

Noting the difficulties, the Inghams CEO and managing director Andrew Reeves said:

The operational and trading difficulties have resulted in significant operational inefficiency, additional costs and the temporary suspension of a number of Ingham’s products. Ingham’s is working closely with our customers and we are focused on supplying as much product as possible to customers while the current disruption continues.

The company continues to manage the cumulative impacts associated with COVID issues which have arisen through FY22. We will continue to closely manage our working capital and inventory and seek to implement initiatives to minimise the financial and other impacts of COVID through the second half.

Inghams share price snapshot

Prior to today’s announcement, Inghams shares had fallen 15% over the past four months. Only part of that decline came after the November 2021 AGM update. Now it is down around 22% in four months.

The post Inghams (ASX:ING) share price sinks as Omicron bites appeared first on The Motley Fool Australia.

More reading

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Motley Fool contributor Tristan Harrison 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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The AVITA Medical Inc (ASX: AVH) share price is pushing higher on Tuesday morning.

In morning trade, the regenerative medicine company’s shares are up 3.5% to $3.25.

Why is the AVITA share price pushing higher?

Investors have been bidding the AVITA share price higher today after it released its preliminary unaudited second quarter results.

According to the release, for the three months ended 31 December, AVITA delivered a 35% increase in quarterly revenue to US$6.9 million.

Combined with the US$7 million revenue it recorded in the first quarter, this brings its half year revenue to US$13.9 million. This represents an increase of approximately 37% over the US$10.16 million recorded during the prior corresponding period.

It is also worth noting that the company has changed its financial year-end. So, although this is only technically the end of the first half, the company is now starting FY 2022.

What about its earnings?

No margin or profit (or loss) data was provided with today’s update. However, management did provide an update on its balance sheet. The release reveals that AVITA ended the period with US$55.5 million in cash and cash equivalents. This compares to US$60.5 million at the end of the first quarter.

AVITA also advised that it has US$49.3 million in short-term and long-term marketable securities and no debt.

These funds will come in handy for the year ahead. In December, the company completed the enrolment of pivotal clinical trial evaluating the safety and effectiveness of the RECELL System for the repigmentation of stable vitiligo lesions. And this month AVITA completed the enrolment of a pivotal study of the RECELL System for soft tissue reconstruction (trauma).

AVITA’s Medical Chief Executive Officer, Dr. Mike Perry, said: “Our recent successes in getting two pivotal clinical trials fully enrolled, and also demonstrating proof of concept in two other potential indications, underscore our commitment to further growing the market opportunities for the RECELL system. Looking ahead, we will be preparing our vitiligo and soft tissue dossiers to submit PMA supplement applications to the FDA in late 2022 for commercial launches for those indications in 2023.”

The post Why the AVITA (ASX:AVH) share price is charging higher today appeared first on The Motley Fool Australia.

More reading

• Avita Medical (ASX:AVH) share price sinks to 52-week low despite ‘pivotal’ trial update
• Down 22% in a month: Why is the Avita Medical (ASX:AVH) share price sliding again today?

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 and has recommended Avita Medical Limited. The Motley Fool Australia has recommended Avita Medical Limited. 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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