Why Challenger, SG Fleet, Sims, and Universal Store shares are rising

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a decent gain. At the time of writing, the benchmark index is up 0.25% to 7,437 points.

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

Challenger Ltd (ASX: CGF)

The Challenger share price is up 5% to $7.65. Investors have been buying this annuities company’s shares following the release of its half year results. Challenger reported a 5% increase in normalised profit before tax to $250 million. This allowed the company to increase its interim dividend by 4% to 12 cents per share.

SG Fleet Group Ltd (ASX: SGF)

The SG Fleet share price is up 10% to $2.29. This morning, this fleet management company reported a 16% lift in revenue to $178.4 million and a 41% jump in half year profit to $41.9 million. Management commented: “We have demonstrated the strength of our competitive position and our ability to turn the steady stream of new business opportunities into further customers wins and vehicle orders.”

Sims Ltd (ASX: SGM)

The Sims share price is up 8% to $15.91. The catalyst for this has been the release of the scrap metal company’s half year results. Sims reported a 10% decline in revenue and a whopping 80% decline in underlying net profit after tax. However, investors appear to have been expecting even worse.

Universal Store Holdings Ltd (ASX: UNI)

The Universal Store share price is up 5% to $5.69. This appears to have been driven by a bullish broker note out of Citi. According to the note, the broker has upgraded this retailer’s shares to a buy rating with a $6.00 price target. Citi believes consensus estimates are too low.

The post Why Challenger, SG Fleet, Sims, and Universal Store shares are rising appeared first on The Motley Fool Australia.

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More reading

• 3 ASX All Ordinaries shares rocketing over 5% on strong earnings updates
• Challenger share price screams 7% higher on half-year results
• 3 ASX 200 shares just upgraded by brokers, one with 50% upside
• If I had a spare $1,000, here’s where I’d invest in the stock market now
• 2 ASX growth shares that also offer incredible dividends

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 recommended Challenger. 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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