It’s a disastrous day for plenty of ASX shares, with both major indexes tumbling more than 2%. But not all stocks are suffering – the Perseus Mining Limited (ASX: PRU) share price has surged a whopping 13.21% to trade at $1.80.
That’s despite no news having been released by the gold producer, developer, and explorer.
And while it’s surging higher, the S&P/ASX 200 Index (ASX: XJO) is tumbling 3.29% and the All Ordinaries Index (ASX: XAO) is plunging 3.21%.
So, what’s sending the Perseus Mining share price into the clouds today? Let’s take a look.
Why is this ASX gold miner’s share price launching 15%?
The Perseus Mining share price has had an eventful few days.
Just yesterday, the ASX 200 constituent’s share price tumbled 2.4% on the release of its earnings for the first half of financial year 2022.
Within its results, the company announced its revenue had increased 90% – reaching $545.7 million – and its earnings before interest, tax, depreciation, and amortisation (EBITDA) had surged 101% – hitting $252.4 million – compared to the first half of financial year 2021.
On top of that, the company announced it has hit its targeted production rate of 500,000 ounces of gold per annum for the first time in financial year 2022.
While the market wasn’t initially impressed yesterday, today’s gains might be a delayed reaction to its earnings for the half.
Or, it could be due to seemingly strong sentiment surrounding gold producers.
As The Motley Fool Australia’s Bernd Struben reported earlier, other ASX 200 gold miners such as Newcrest Mining Ltd (ASX: NCM), Northern Star Resources Ltd (ASX: NST), and Evolution Mining Ltd (ASX: EVN) are booming today.
Their share prices have gained 3.2%, 4.9%, and 3.9% respectively, placing them among the index’s top performers.
Meanwhile, the S&P/ASX All Ordinaries Gold Index (ASX: XGD) has surged 3.6%. That could assume it’s not just the big golden players winning on Thursday.
Perhaps unsurprisingly, the price of the golden metal is also in the green today. April gold futures have gained 1.05% to trade at US$1930.60 per ounce, according to data from CNBC.
The post This ASX 200 mining share is combatting the carnage to rise 13% today. Here’s why appeared first on The Motley Fool Australia.
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More reading
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- These are some of the only ASX shares in the green today. Here’s why
- ASX 200 (ASX:XJO) midday update: Appen and Life360 crushed, Flight Centre posts $188m loss
- Will 2022 be the year of the cash or the crash for ASX shares?
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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