The Australian share market is home to a number of companies with the potential to grow at a strong rate in the future.

Two such shares that analysts rate highly are listed below. Here’s what you need to know about these ASX 200 shares:

Allkem Ltd (ASX: AKE)

The first ASX 200 share that is rated highly is lithium miner Allkem.

It is the owner of a collection of quality projects across several lithium types. These include Olaroz, Mt Cattlin, and the Sal de Vida brine project.

With lithium prices at sky high prices and looking likely to stay that way in the near term, Allkem appears well-placed to deliver strong earnings growth. Particularly given the end of older supply contracts at much lower prices and increasing production.

In respect to the latter, management is aiming to grow its production three-fold by 2026 and command a 10% share of global lithium production over the long term.

Bell Potter is a big fan of the company. It has a buy rating and $21.58 price target on its shares.

Altium Limited (ASX: ALU)

Another ASX 200 share to look at is Altium. It is a printed circuit board design software (PCB) provider.

PCBs are the boards you find in almost all electronic devices. They are integral to the operation of the device and come in all shapes and sizes. As a result, the design of them is an extremely complex process and requires specialist software.

Altium’s software is regarded as the best in the industry. A testament to this is its customer base, which includes the likes of NASA and Tesla.

Management is very confident on its future and is aiming to double its revenue to US$500 million by 2026 with stronger margins. This bodes well for its earnings growth over the coming years.

Jefferies is a fan of the company. Its analysts currently have a buy rating and $38.13 price target on its shares. 

The post 2 fantastic ASX 200 shares analysts say are buys appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in Allkem Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Altium. 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 Scott Phillips.

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Several ASX materials shares will receive $50 million in grants from the Australian Federal Government, according to an announcement this afternoon.

The release said the grants would help the government reach its net zero ambitions by 2050. They would also “bolster development across Northern Australia, generate new jobs and drive regional economic growth”.

Minister for Resources and Minister for North Australia Madeline King, made the following comments:

Australia has the potential to become a major global supplier of critical minerals and rare earths which will be essential to help Australia and the world transition to low-emissions technology and achieve net zero emissions by 2050.

The grants will accelerate early and mid-stage projects, driving new investment in our processing and manufacturing capabilities as we develop our critical minerals sector.

King said Australia’s vast reserves of critical minerals were “crucial” to the production of batteries and electric vehicles, as well medical equipment, defence, aerospace, automotive and agritech industries. She added:

These junior projects, should they be successful in scaling up to full production, will help diversify global critical minerals supply chains.

Which companies will receive grants?

A total of six companies will receive part of the $50 million in funding.

The companies include:

• Alpha HPA Ltd (ASX: A4N): $15.5 million for its “ultra-pure” aluminium chemical plant in Gladstone, Queensland
• Cobalt Blue Holdings Ltd (ASX: COB): $15 million for its Broken Hill Cobalt project in New South Wales.
• EQ Resources Ltd (ASX: EQR): $6 million for tungsten production and to restart production at its Mount Carbine site in Queensland
• Global Advanced Metals Pty Ltd: $4 million for its recovery plant in Western Australia
• Lava Blue: $5.24 million for developing modular re-processing technology
• Mineral Commodities Limited (ASX: MRC) $3.94 million to develop its integrated ore-to-battery anodes business

What will the grants produce?

Materials investors may well be hoping the grants will bring new life to the materials sector amid China’s fears of a slowdown in economic activity.

While ASX lithium shares are doing what they can to keep S&P/ASX 200 Materials Index (ASX: XMJ) above water, which is down 9.51% year to date, some other materials are falling far behind.

Iron ore has been hit especially hard due to China’s real estate crisis, and precious metals gold and silver are suffering from a stronger US dollar.

On the positive front, ASX graphite shares are emerging as an alternative to lithium, and copper’s outlook was recently upgraded for the long-term.

The post These ASX critical minerals companies just received millions in government grants appeared first on The Motley Fool Australia.

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Motley Fool contributor Matthew Farley 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 Scott Phillips.

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ASX 200 gold shares had a tough end to the week amid the falling gold price.

Gold shares on the ASX include Evolution Mining Ltd (ASX: EVN), Newcrest Mining Ltd (ASX: NCM) and Northern Star Resources Ltd (ASX: NST).

Let’s take a look at why today was a shocker for these ASX 200 gold shares.

Gold price tumbles

Evolution shares lost 5% today, while the Newcrest share price fell 2.75%. Meanwhile, the Northern Star Resources share price dropped 4.15%.

Newcrest, Evolution and Northern Star are all major gold producers.

The gold price dropped to the lowest level since April 2020 at US$1,659.47 overnight. The gold price has since recovered slightly to US$1,668.40 an ounce at the time of writing.

The gold price fell amid concerns the US Federal Reserve will raise rates sharply next week to fight inflation.

In comments cited by Reuters, Next Generation Research head Julius Baer said:

The gold market has clearly priced in a more aggressive US Federal Reserve ahead of next week’s meeting, reflecting the central bank’s determination to fight inflation.

Northern Star expects to deliver 1,560koz to 1,680koz (thousand ounces) of gold in FY23. Meanwhile, Newcrest is expecting to produce 2100 to 2,400 koz of gold in FY23. Evolution is planning to increase gold production in FY23 by 12.5% to about 720,000 ounces.

Share price snapshot

The Northern Star share price has slid 22% in the past year. Meanwhile, Evolution shares have dropped 48%, while Newcrest shares have fallen 32%.

For perspective, the S&P/ASX 200 Materials Index (ASX: SMJ) has fallen 3.51% in a year.

The post Why did ASX 200 gold shares have such a rough day? appeared first on The Motley Fool Australia.

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More reading

• Why is the Northern Star share price trading 4% down today?
• Why is the Newcrest share price getting hammered on Friday?
• 5 things to watch on the ASX 200 on Friday
• 5 things to watch on the ASX 200 on Thursday
• Evolution Mining share price craters in brutal market sell-off

Motley Fool contributor Monica O’Shea 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 Scott Phillips.

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The Imugene Limited (ASX: IMU) share price finished flat for today, but has been in the red for week.

At Friday’s market close, the clinical stage immuno-oncology company’s shares ended at 22 cents a pop.

This means the share is down 6.38% for the week.

What’s up with Imugene shares?

Investors are drove the Imugene share price to a two-month low on the day of company’s announced institutional placement.

Imugene advised it successfully received firm commitments to raise $80 million from a number of institutional investors.

However, with new Imugene shares to come onto the market, this will dilute the existing shareholder value.

Nonetheless, Imugene released its prospectus to the ASX today for the issue of the institutional placement options.

The offer is an issuance of one new option for every two new shares to eligible participants, to raise up to approximately $66 million.

In total, Imugene will offer 200 million new options at an exercise price of 33 cents per option.

They expire on 31 March 2026 and can be exercisable at any time up to and including the expiry date.

Allotment of the new options under the offer is expected on 19 September.

Imugene is seeking to raise the funds to accelerate the development of its anti-cancer drugs.

Imugene share price snapshot

Adding to this week’s decline, the Imugene share price has tanked almost 50% since this time last year.

Half of these losses have come in the past month alone.

Based on today’s price, Imugene commands a market capitalisation of roughly $1.29 billion, with 5.87 billion shares on issue.

The post Why did the Imugene share price have such a lousy end to the week? appeared first on The Motley Fool Australia.

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More reading

• Imugene share price sinks on $80 million cap raise
• Why is the Imugene share price on ice today?
• Imugene share price leaps 5% on trial news
• What’s going on with the Imugene share price on Thursday?
• Here are the top 10 ASX 200 shares today

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 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 Scott Phillips.

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