The S&P/ASX 200 Index (ASX: XJO) is on course to record another strong gain on Tuesday. In late morning trade the benchmark index is up 1.4% to 5,695.1 points.

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

The Cann Group Ltd (ASX: CAN) share price has jumped 8.5% higher to $1.13. This morning the cannabis company announced that it has executed two new export supply agreements with European and UK partners. This is for the supply of a range of medicinal cannabis formulated oil and dried flower products for sale in Germany, the United Kingdom, and other European Union markets.

The Insurance Australia Group Ltd (ASX: IAG) share price is up over 2% to $5.74. Investors have been buying the insurance giant’s shares after analysts at Credit Suisse upgraded them to an outperform rating with a $6.40 price target. The broker believes its premiums will more than cover claims inflation and that its shares are trading an attractive level.

The Monadelphous Group Limited (ASX: MND) share price has jumped 11.5% higher to $11.79. The catalyst for this strong gain appears to be a broker note out of Citi this morning. Its analysts have upgraded the engineering company’s shares to a buy rating with a $14.35 price target. Citi likes Monadelphous due to its strong balance sheet and decent medium term prospects.

The Webjet Limited (ASX: WEB) share price has rocketed a further 8.5% higher to $4.51. Investors have been buying Webjet and other travel shares on the belieft that tourism markets could recover quicker than anticipated. This follows the easing of restrictions and speculation that a trans-Tasman travel bubble could soon be created. This would be great news for travel bookers like Webjet which are burning through cash right now.

More reading

• Is it too early to buy Webjet shares?
• ASX 200 jumped higher, rises more than 2%
• These ASX 200 share prices were cut in half. Where are they now?
• Why Flight Centre and Webjet shares are zooming higher today
• ASX 200 up 1.7%: Flight Centre and Webjet rocket, Afterpay hits record high

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Webjet Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Why Cann, IAG, Monadelphous, & Webjet shares are storming higher appeared first on Motley Fool Australia.

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The National Australia Bank Ltd. (ASX: NAB) share price has been smashed in 2020, but if you’re a Foolish investor, you’re probably thinking longer term.

While the S&P/ASX 200 Index (ASX: XJO) is down around 15% this year, the Aussie bank’s shares have slumped 35%. It’s far from the only ASX bank to feel the heat from investors amid the recent bear market.

But rather than focus on the NAB share price right now, where will it be in 1 year?

Where the NAB share price will be in 1 year

I think there are a lot of factors weighing on the bank’s shares right now. Let’s look at the current situation.

NAB recently announced a soft half-year earnings result headlined by a 51.4% drop in cash profit. The popular measure of profitability fell to $1,436 million or $1,035 million on an adjusted basis.

On top of that, the bank announced $807 million worth of impairments in relation to COVID-19. That’s not good news for the NAB share price which has slumped in 2020.

But let’s look ahead to May 2021. Where will the NAB share price be after  next year’s half-year result?

The economy is already starting to come back to life after the brief coronavirus lockdown period. If Australia continues to flatten the curve, the business impact could be mitigated and the bank’s balance sheets may remain intact.

There is still the issue of real estate valuations. While stimulus measures have helped the economy, Aussies could be under pressure with their home loan repayments.

Add to that the commercial real estate side of things. Shopping centres and CBD office buildings may not be at full capacity by May 2021. This could mean more writedowns and impairments for the Aussie bank which could weigh on the NAB share price.

On the plus side, Australia’s tourism and education sectors may pickup. A weaker Aussie dollar could drive exports in 2020 and mitigate the economic impact of COVID-19.

Foolish takeaway

There’s a lot of weighing up to do for investors right now. I think the Aussie banks will remain in good shape and I believe the NAB share price will recover.

The bank’s shares are trading at $16.03 this morning but that could look like a bargain when we look back in 1 year’s time.

More reading

• The one sector that could experience a V-shape COVID-19 recovery
• Is $1,000 in Scentre shares a good investment?
• Where to invest $5,000 in ASX growth shares today
• 5 things to watch on the ASX 200 on Tuesday
• CSL shares have underperformed the ASX 200 over the past month. What’s going on?

Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Where will the NAB share price be in 1 year? appeared first on Motley Fool Australia.

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In late morning trade the S&P/ASX 200 Index (ASX: XJO) is on course to extend its positive run with another solid gain. At the time of writing the benchmark index is up 1.3% to 5,686.7 points.

Four shares that have failed to follow the market higher today are listed below. Here’s why they are dropping lower:

The Fortescue Metals Group Limited (ASX: FMG) share price is down 1.5% to $13.63. Investors have been selling the iron ore producer’s shares on Tuesday after Chinese iron ore prices dropped lower overnight. Traders may have been taking profit after some stellar gains by the steel-making ingredient over the last few weeks.

The Freedom Foods Group Ltd (ASX: FNP) share price has continued its slide and is down 1.5% to $4.22. The diversified food company’s shares have fallen hard over the last few months. This could be due to concerns over the premium its shares trade at. One broker that believes it deserves the premium is Goldman Sachs. It is forecasting exceptionally strong earnings growth over the coming years and has a buy rating and $6.55 price target on its shares.

The Pushpay Holdings Ltd (ASX: PPH) share price is down 1.5% to $6.55. This decline appears to have been driven by profit taking after the donation platform provider’s shares rocketed higher over the last few months. Pushpay’s shares are up almost 70% year to date thanks to its strong FY 2020 result and positive guidance for the next 12 months.

The QBE Insurance Group Ltd (ASX: QBE) share price has fallen 1.5% to $8.06. The insurance giant’s shares have dropped lower today despite being the subject of a positive broker note this morning. Analysts at Morgan Stanley have retained their overweight rating and sizeable $12.00 price target on QBE’s shares.

More reading

• Where to invest $10,000 into ASX shares immediately
• Got $2,500? I’d buy these 2 ASX shares in a heartbeat
• 5 things to watch on the ASX 200 on Tuesday
• The smartest shares to buy if you have $2,000
• ASX 200 Weekly Wrap: ASX rallies on mining highs

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended PUSHPAY FPO NZX. The Motley Fool Australia has recommended Freedom Foods Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Why Fortescue, Freedom Foods, Pushpay, & QBE shares are dropping lower appeared first on Motley Fool Australia.

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