After a strong start to the shortened week, the S&P/ASX 200 Index (ASX: XJO) gave back its gains and more to end notably lower. The benchmark index fell 2.5% over the period to 5847.8 points.

Not all shares tumbled lower last week. Here’s why these ASX 200 shares defied the market weakness and stormed higher:

The IPH Ltd (ASX: IPH) share price was the best performer on the ASX 200 last week with a gain of 6.6%. This follows the announcement of its acquisition of New Zealand intellectual property firm Baldwins Intellectual Property. IPH will be paying approximately NZ$7.9 million, including deferred consideration of NZ$0.4 million. Baldwins’ FY 2020 EBITDA after normalisation adjustments for partner salaries was approximately NZ$2 million. This news went down well with analysts at Morgans. They upgraded the company’s shares to an add rating with an $8.69 price target

The Mineral Resources Limited (ASX: MIN) share price was some way behind with a gain of 3.8% over the period. This was despite there being no news out of the miner and mining services company. However, given its exposure to iron ore, investors may believe it is well-positioned to profit from the high prices of the steel making ingredient.

The Coca-Cola Amatil Ltd (ASX: CCL) share price was on form last week with a 3.75% gain. Last week the beverage giant held a conference call with analysts at Goldman Sachs. That call revealed that trading conditions remain tough because of the pandemic. And while this led to Goldman retaining its neutral rating, its price target of $9.50 implied decent upside for its shares. This could have been enough for some investors to invest.

The Newcrest Mining Limited (ASX: NCM) share price wasn’t far behind with a gain of 3.6%. This appears to have been driven by the combination of a rise in the gold price and an exploration update. In respect to the latter, the gold miner revealed positive drilling results at Havieron and Red Chris orebodies. Management notes that Havieron returned its best drill result to date and sees real potential to further expand this orebody.

More reading

• Why the Nearmap share price and one other are on my buy list
• Got $20,000? These are the ASX shares I’d buy during COVID-19
• 3 ASX shares I’d buy if the market hits 23 March levels again
• Leading fund manager names 4 ASX stocks set to benefit from a faster re-opening of the Australian economy
• ASX 200 falls 1.9%, big 4 ASX banks retreat

Motley Fool contributor James Mickleboro 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.

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The S&P/ASX 200 Index (ASX: XJO) was out of form last week and tumbled notably lower. The benchmark index lost 2.5% over the shortened week to end at 5847.8 points.

A number of shares on the index fell more than most. Here’s why these ASX 200 shares were the worst performers over the period:

The Unibail-Rodamco-Westfield (ASX: URW) share price was the worst performer on the index last week with a 14.1% decline. On Friday the shopping centre operator was dumped out of the ASX 100 index along with coal miner Whitehaven Coal Ltd (ASX: WHC). They are being replaced with data centre operator NEXTDC Ltd (ASX: NXT) and gold miner Saracen Mineral Holdings Limited (ASX: SAR) in the index from 22 June.

The Estia Health Ltd (ASX: EHE) share price wasn’t far behind with a decline of 13.7% last week. The majority of this decline occurred on Friday when the aged care operator’s shares crashed notably lower. This followed news that it was being kicked out of the ASX 200 index at the next rebalance on 22 June. Though, given the material decline in its share price over the last 12 months, this news shouldn’t have come as a big surprise to investors. Also falling heavily for the same reason was the Mayne Pharma Group Ltd (ASX: MYX) share price.

The Southern Cross Media Group Ltd (ASX: SXL) share price was out of form last week and fell 13%. This was despite there being no news out of the media company. However, with its shares up a massive 70% in May, there could have been some profit taking happening last week. Southern Cross Media’s shares are still down 86% from their 52-week high.

The Orocobre Limited (ASX: ORE) share price dropped a sizeable 12.9% lower last week. Investors have been selling the lithium miners after the price of the battery making ingredient sank lower again in 2020. Unfortunately, with demand remaining extremely subdued, a rebound in prices looks unlikely to happen in the near term.

More reading

• ASX 200 falls 1.9%, big 4 ASX banks retreat
• ASX 200 down 2.2%: Westpac tumbles, TPG reveals special dividend plans
• Estia Health share price tumbles after being cut from the ASX 200
• S&P quarterly rebalance: A2 Milk added to ASX 50 & NEXTDC in the ASX 100
• ASX 200 Weekly Wrap: ASX bulls crash through 6,000 points

Motley Fool contributor James Mickleboro owns shares of NEXTDC Limited. 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.

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ASX growth shares can be a little more volatile than the market as a whole. They often experience considerable swings in value created largely by market sentiment. However, I believe it’s important to focus more on business fundamentals rather than short-term share price movements. This is because in the short term, a company’s share price is often not representative of the value of its underlying business. However, I believe this changes over longer-term holding periods.

With this in mind, following are 2 ASX growth shares I currently own but would be happy to double down on next week, based on today’s prices.

The Nearmap Ltd (ASX: NEA) share price

Despite Nearmap being one of the 10 most shorted shares in June, I would still place this ASX growth share on my buy list. The Nearmap share price has soared more than 150% since its March lows. This is despite it recently pulling back along with the rest of the S&P/ASX 200 Index (ASX: XJO) amid concerns over a second wave of coronavirus.  

In fact, the Nearmap share price has been on a crazy rollercoaster over the last two years. However, its business has been growing strongly. Both here in Australia and New Zealand (ANZ), as well as in North America (NA). The company’s NA market includes both the United States and Canada. Not only has Nearmap’s subscription base been growing at an 11% compound annual growth rate, but its average revenue per subscription (ARPS) has also been growing at a compound annual growth rate of 22% in NA and 12% for the more mature ANZ region. Combining these for its most recent half, the group achieved growth in its annualised contract value of 23% over the prior corresponding period. 

In addition, the company has recently launched ‘Nearmap AI’ which should help to drive ARPS growth in the future. It also has a massive total addressable market (TAM). Nearmap’s TAM is estimated to be around $1.6 billion to $2.75 billion. Moreover, these figures only represent markets the company currently operates in. On this note, Nearmap’s CEO Rob Newman has expressed a desire to become a global leader and believes the company’s unique business model has the potential to scale to multiple geographies around the world.

I believe Nearmap’s business model has proven itself in ANZ and shown scalability in the NA market. Additionally it is on track to reach cash flow breakeven by the end of June 2020. Nearmap’s closing cash balance is expected to be between $32 million and $35 million by the financial year’s end. I believe the company will continue to grow in its current markets and push into new ones. In my eyes, this makes today’s Nearmap share price a very compelling buy. 

The Medical Developments International Ltd (ASX: MVP) share price

You’ve probably heard of Medical Developments’ flagship product, the ‘green whistle’. The green whistle is used by medical practitioners, paramedics, life savers and others to administer emergency pain relief. It contains the drug Penthrox and is advocated by many as superior to other pain relief medications. This is thanks to it being fast-acting, non-addictive and able to be self-administered. Uptake of the green whistle has exploded, with the number of countries around the world selling it rapidly increasing over the past decade. This is reflected in the company’s sales which have increased 42% for its UK market and 35% for the European market for H1FY20.

However the Medical Developments business doesn’t start and end with the green whistle. In fact, the green whistle only accounts for a little over half its revenue. A stat which may soon change. The remaining majority of the company’s revenue comes from its medical devices segment, followed by a much smaller veterinary segment. The medical devices segment includes space chambers, masks and other devices and was the company’s fastest growing segment in H1FY20. Total sales in this segment grew 49% compared to the prior corresponding period, with US sales up 49% and UK/Europe sales climbing by 73%.

Medical Developments also noted an increase in R&D investment. I believe this should also bode well for this ASX growth share’s future. While I don’t think today’s prices are necessarily ‘cheap’, thanks to its future growth prospects as it increases sales and enters more markets, I would be happy making a long term investment in Medical Developments next week.

More reading

• These were the best performing shares on the ASX 200 last week
• Got $20,000? These are the ASX shares I’d buy during COVID-19
• 3 ASX shares I’d buy if the market hits 23 March levels again
• Leading fund manager names 4 ASX stocks set to benefit from a faster re-opening of the Australian economy
• ASX 200 falls 1.9%, big 4 ASX banks retreat

Michael Tonon owns shares of Medical Developments International Limited and Nearmap Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Medical Developments International Limited and Nearmap Ltd. The Motley Fool Australia has recommended Medical Developments International Limited and Nearmap 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 the Nearmap share price and one other are on my buy list appeared first on Motley Fool Australia.

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