Category: Stock Market

The S&P/ASX 200 Index (ASX: XJO) has followed Wall Street’s lead and dropped into the red on Thursday. In afternoon trade, the benchmark index is down 0.3% to 7,324 points.

Four ASX shares that are not letting that hold them back are listed below. Here’s why they are racing higher:

Corporate Travel Management Ltd (ASX: CTD)

The Corporate Travel Management share price is up 10% to $20.87. Investors have been buying this corporate travel specialist’s shares after it announced a huge contract win. That contract is the Bridging Accommodation and Travel Services contract from the UK Home Office. Management estimates it to be worth nearly £1.6 billion in total transaction volume (TTV) over two years, which equates to approximately $2.99 billion Australian dollars.

Leo Lithium Ltd (ASX: LLL)

The Leo Lithium share price is up 5% to 51 cents. This follows the announcement of further high-grade drilling results from this lithium developer’s Goulamina project in Mali. Managing Director, Simon Hay, commented: “The latest set of results from our ongoing drilling campaign are again set to enhance the already high-quality Goulamina Resource.”

Regis Resources Ltd (ASX: RRL)

The Regis Resources share price is up 4% to $2.34. This has been driven by another rise in the gold price and the release of a bullish broker note out of Credit Suisse. In respect to the latter, the broker has upgraded this gold miner’s shares to an outperform rating with a $2.70 price target.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price is up 3% to $6.94. This morning, analysts at Citi reaffirmed their buy rating on the coal miner’s shares following its guidance downgrade. And while the broker has trimmed its price target to $8.80, this still implies material upside from current levels.

The post Why Corporate Travel, Leo Lithium, Regis Resources, and Whitehaven Coal are charging higher appeared first on The Motley Fool Australia.

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More reading

• Could these 2 ASX 200 gold shares be index-beaters in the making?
• Why is this ASX All Ords travel share surging 10% today?
• This ASX 200 share could pay an 11% dividend yield in 2024
• 5 things to watch on the ASX 200 on Thursday
• Why Future Generation, Pilbara Minerals, Platinum, and Whitehaven Coal shares are dropping

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2023 has been a good year to be invested in S&P/ASX 200 Index (ASX: XJO) gold shares.

The ASX 200 has gained 5.5% since the opening bell on 4 January.

That’s a very solid run for the benchmark index. But it’s far behind the 26.8% returns posted by the S&P/ASX All Ordinaries Gold Index (ASX: XGD), which also contains some smaller gold stocks outside of the ASX 200.

ASX 200 gold shares and the junior miners alike have benefited from a resurgent gold price. Investors have been seeking out the haven asset amid global inflation concerns and rising geopolitical unrest.

Of course, not all stocks are created equal.

So, which miners look primed to shine the brightest?

Could these ASX 200 gold shares be index-beaters in the making?

Which brings us to Northern Star Resources Ltd (ASX: NST) and Regis Resources Ltd (ASX: RRL).

The Northern Star share price, pictured below, is up 1% in afternoon trading today and up 24.7% in 2023.

Rival ASX 200 gold share Regis Resources is up 4.9% today, bringing the miner’s 2023 share price gains to 14.5%.

But even after this, erm, golden run, Credit Suisse forecasts a large upside potential for both these stocks.

Credit Suisse has raised Northern Star to outperform with a price target of $14.50 on the miner’s shares. That’s 4.8% above the current share price of $13.83.

Credit Suisse sees even more upside for Regis Resources, which it also raised to an outperform rating with a price target of $2.70. That’s 14.4% above the current share price of $13.83.

Atop the potential share price gains, both ASX 200 gold shares also pay dividends.

Northern Star’s last fully franked interim dividend of 11 cents per share was paid out on 29 March. The stock trades on a current trailing yield of 1.7%.

Regis Resources last paid a fully franked final dividend of 2 cents per share on 28 October. At today’s share price, Regis trades on a trailing yield of 0.9%.

The post Could these 2 ASX 200 gold shares be index-beaters in the making? appeared first on The Motley Fool Australia.

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More reading

• Why Corporate Travel, Leo Lithium, Regis Resources, and Whitehaven Coal are charging higher
• 5 things to watch on the ASX 200 on Thursday
• 5 things to watch on the ASX 200 on Wednesday
• Gold bug bites central banks: Is it time to buy Northern Star shares?
• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor Bernd Struben 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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There are plenty of blue chip ASX 200 shares to choose from on the Australian share market.

But three of the best to buy in April, according to analysts at Morgans, are named below. Here’s why the broker is bullish on these blue chip shares:

CSL Limited (ASX: CSL)

The first blue chip ASX 200 share to look at is CSL. Morgans believes the biotherapeutics giant should be considered a key portfolio holding. Particularly this year, with the headwinds of COVID-19 firmly behind the company. The broker explains:

A key portfolio holding and key sector pick, we believe CSL is poised to break-out this year, a COVID exit trade, offering double-digit recovery in earnings growth as plasma collections increase, new products get approved and influenza vaccine uptake increases around ongoing concerns about respiratory viruses, with shares offering good value trading around its long-term forward multiple of ~30x

Morgans has an add rating and $337.92 price target on the company’s shares.

Endeavour Group Ltd (ASX: EDV)

Another blue chip ASX 200 share that could be a buy according to Morgans is drinks company Endeavour. Its analysts are very positive on the company’s outlook thanks to its market leadership and easing regulatory concerns. It commented:

We believe concerns around gaming regulatory changes with the potential introduction of cashless gaming cards in NSW have eased following the Labor election victory given the party’s stance on the issue was less onerous than the Liberals. Notwithstanding external factors, EDV’s underlying business remains strong with a broad network of retail liquor stores/hotel venues, well-known brands (eg, Dan Murphy’s and BWS) and dominant market positions.

The broker has an add rating and $7.80 price target on Endeavour’s shares.

QBE Insurance (ASX: QBE)

Morgans also has this ASX 200 blue chip share on its best ideas list again this month. The broker is a fan of the insurance giant due to premium increases, cost outs, and its attractive valuation. It commented:

With strong rate increases still flowing through QBE’s insurance book, and further cost-out benefits to come, we expect QBE’s earnings profile to improve strongly over the next few years. The stock also has a robust balance sheet and remains relatively inexpensive overall trading on 9x FY23F PE

Its analysts have an add rating and $16.96 price target on QBE’s shares.

The post Morgans says these are among the best blue chip ASX 200 shares you can buy appeared first on The Motley Fool Australia.

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More reading

• If I’d invested $1,000 in CSL shares 24 years ago, here’s how much I’d have now!
• Why did the CSL share price lag the ASX 200 in the first quarter of 2023?
• Build your portfolio around these ASX 200 blue chip shares: brokers
• Top defensive ASX shares to buy in April 2023
• Top brokers name 3 ASX shares to buy next week

Motley Fool contributor James Mickleboro has positions in CSL. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL. 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 BHP Group Ltd (ASX: BHP) share price is trading lower on Thursday despite the miner being given some good news.

At the time of writing, the mining giant’s shares are down 0.5% to $46.62.

What was the good news?

This morning, OZ Minerals Limited (ASX: OZL) shareholders were invited to vote on BHP’s proposed acquisition of the copper miner at a scheme meeting.

The Big Australian has tabled an offer of $28.25 per share, which values OZ Minerals at $9.8 billion on an enterprise value basis.

The good news for BHP is that the deal took a big step forward today after OZ Minerals shareholders gave the deal the thumbs up.

According to the release, 98.33% of the votes cast by OZ Minerals shareholders were in favour of the scheme.

BHP’s CEO, Mike Henry, was pleased with the results of the meeting. He said:

This is a strong endorsement from OZ Minerals shareholders on the value they will receive under the scheme and the hard work of the OZ Minerals team over many years to create a successful business. We look forward to bringing together our talent and resources to create an even stronger organisation.

This sentiment was echoed by OZ Minerals’ management team, which commented:

Today’s strong endorsement from our shareholders enables the next chapter for OZ Minerals as, pending endorsement of the Court, we will become part of a major global mining company which values our strategy of creating value for stakeholders, enabled by our agile culture of inclusion, innovation and collaboration, as well as our portfolio of modern minerals operating assets and our pipeline of growth opportunities. We thank all our stakeholders for their contribution over the years.

What’s next?

The deal is not quite done just yet, but it is almost there. That’s because the scheme still requires the approval of the Federal Court of Australia.

OZ Minerals is expected to apply for court orders approving the scheme on 17 April 2023. If approved by the court, the scheme is expected to become effective on 18 April 2023 and be implemented on 2 May 2023.

The post BHP share price lower despite OZ Minerals’ shareholders approving takeover appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Thursday
• Buy Rio Tinto shares ahead of BHP: Goldman Sachs
• If I buy BHP shares now, what could my return be in a year’s time?
• The BHP share price is taking off today. Could this be why?
• What’s going on with BHP shares and lithium?

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 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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Every few months it seems, the ASX share market welcomes a new exchange-traded fund (ETF) to its boards. ETFs are a wildly popular investment vehicle, and investors seem open to all kinds of permutations and combinations when choosing an ETF that works for them.

The ASX is home to many of the most popular ETFs – index funds. There are index funds tracking the S&P/ASX 200 Index (ASX: XJO), the S&P/ASX 300 Index (ASX: XKO), as well as international indexes like the US S&P 500.

But there are also a bevvy of thematic and actively managed funds on the ASX as well.

For example, the Global X Physical Gold ETF (ASX: GOLD) allows investors to invest in gold bullion. The BetaShares Global Cybersecurity ETF (ASX: HACK) allows for exposure to only cybersecurity companies. And the BetaShares Crude Oil Index ETF (ASX: OOO) grants unitholders access to the gains or losses of the global oil price.

Well, today has seen the launch of yet another new ASX exchange-traded fund. It’s the Global X Australia ex Financials & Resources ETF (ASX: OZXX).

The ASX welcomes its latest ETF

This ETF is one that is difficult to classify. It functions in a similar manner to an index fund, holding the 100 largest companies on the ASX by market capitalisation. However, it also actively excludes a huge chunk of our share market – bank and mining shares.

A normal ASX index fund is dominated by banks and miners. Just take the iShares Core S&P/ASX 200 ETF (ASX: IOZ). This ASX 200 index fund tracks the largest 200 companies on the ASX share market without further qualification.

This means that Commonwealth Bank of Australia (ASX: CBA), National Australia Bank Ltd (ASX: NAB), Westpac Banking Corp (ASX: WBC), and ANZ Group Holdings Ltd (ASX: ANZ) are the second, fourth, fifth, and sixth largest positions in this ETF, accounting for just over 18.5% of the entire ETF’s weighting.

Mining and energy giants BHP Group Ltd (ASX: BHP), Woodside Energy Group Ltd (ASX: WDS), and Rio Tinto Limited (ASX: RIO) add another 15.6%.

So that’s a lot of concentration in just two sectors.

The Global X Australia ex Financials & Resources ETF takes these sectors out of the equation. Instead, this ETF’s current largest holdings (in order) consist of CSL Limited (ASX: CSL), Wesfarmers Ltd (ASX: WES), Telstra Group Ltd (ASX: TLS), Woolworths Group Ltd (ASX: WOW), and Transurban Group (ASX: TCL).

Because this is a new ETF, we don’t yet have any kinds of performance metrics to analyse it. But it would certainly make for a closer look for any investor worried about overexposure to banks or miners in an ordinary ASX index fund.

The Global X Australia ex Financials & Resources ETF charges a management fee of 0.25% per annum, or $25 a year for every $10,000 invested.

The post Say hello to the ASX’s newest ETF appeared first on The Motley Fool Australia.

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More reading

• 3 ASX ETFs I’d buy and hold for 10 years
• I’d buy and hold these 2 ASX shares to cash in on a surging gold price
• Here are 3 fantastic ETFs for ASX investors to buy and hold this month
• Top ASX ETFs to buy in April 2023
• 2 amazing ASX ETFs I’d love to buy for my portfolio

Motley Fool contributor Sebastian Bowen has positions in National Australia Bank and Telstra Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended BetaShares Global Cybersecurity ETF and CSL. The Motley Fool Australia has positions in and has recommended BetaShares Global Cybersecurity ETF, Telstra Group, and Wesfarmers. The Motley Fool Australia has recommended Westpac Banking. 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 Aristocrat Leisure Limited (ASX: ALL) share price is edging lower on Thursday.

At the time of writing, the ASX 200 gaming technology company’s shares are down 1% to $37.45.

Should you buy the dip with this ASX 200 share?

One leading broker that is likely to see today’s weakness as a buying opportunity is Goldman Sachs. In fact, this morning, the broker released a very bullish broker note relating to Aristocrat.

According to the note, the broker has added the ASX 200 share to its coveted conviction list with a buy rating and $45.70 price target.

Based on the current Aristocrat share price, this implies potential upside of 22% for investors over the next 12 months.

Goldman also expects a modest 2% dividend yield, which bumps up the total potential return to 24%.

Why is Aristocrat on Goldman’s conviction list?

Goldman notes that there are concerns about how to “factor in game decay and new game pipeline for Pixel United.” However, the broker isn’t concerned and explains why:

For Pixel United, we believe that there is less concern on the outlook for Social casino games vs. games like RAID where decline in game revenue is more likely. We update our outlook for RAID to factor in a natural game decline based on similar Squad RPG games, although recent in-game activations offer further upside to this view. Excluding these, it is notable that earnings from New Game pipeline only contributes to c. 11% return on the cumulative D&D spend for new game development.

Another key reason for its positive view on this ASX 200 share is its valuation. The broker believes that the market is underestimating the potential of its new Anaxi (iGaming) business and sees scope for a major rerating in the near future. It explained:

If we remove our valuation for Anaxi of A$2.3bn in EV (adjusted for D&D), ALL’s current market cap implies 15.7x P/E for rest of ALL’s portfolio which translates to 1.8x PEG, compared to historical averages of 21.3x and 2x respectively, both at unwarranted discounts in our view. We believe that ALL could re-rate strongly as the market gains more confidence on 1/ the outlook for the mobile gaming business and 2/ the potential for growth in Anaxi. At current valuation levels, the market only factors in Anaxi as more of a free-optionality that comes along with the more established gaming businesses in our view.

The post Goldman Sachs just added this ASX 200 share to its coveted conviction list appeared first on The Motley Fool Australia.

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More reading

• Buy Pilbara Minerals and these ASX growth shares in April: experts
• Top ASX growth shares to buy in April 2023
• Top brokers name 3 ASX shares to buy next week
• Want big returns? Buy these ASX growth shares: analysts
• Leading brokers name 3 ASX shares to buy today

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 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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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to snap its winning streak with a small decline. At the time of writing, the benchmark index is down 0.2% to 7,327.4 points.

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

29Metals Ltd (ASX: 29M)

The 29Metals share price is down 6% to $1.22. This may due to ongoing concerns over the impact that inclement weather is having on its Capricorn Copper operation. Last month, the company warned that extreme weather had led to the Mount Isa Shire (including Capricorn Copper) being declared a natural disaster zone.

Block Inc (ASX: SQ2)

The Block share price is down 6% to $94.01. This follows a similarly severe drop from the payments company’s NYSE listed shares during overnight trade. However, it is worth remembering that Block is currently being targeted by a well-known short seller, Hindenburg Research. Fellow payments shares also dropped overnight.

Champion Iron Ltd (ASX: CIA)

The Champion Iron share price is down 3% to $7.10. This may have been driven by profit taking from some investors after a strong gain by the coal miner’s shares on Wednesday. Despite this pullback, the Champion Iron share price remains up 44% over the last six months.

Zip Co Ltd (ASX: ZIP)

The Zip share price is down 2% to 53 cents. This is despite the buy now pay later provider becoming the new partner of Peloton in Australia. Management believes this is a timely deal given that Zip users have shown an increased desire in prioritising their health and wellness aspirations. Broad weakness in the payments industry appears to have offset this news.

The post Why 29Metals, Block, Champion Iron, and Zip shares are dropping today appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Which ASX 200 mining share is rocketing 9% today?
• Why 29Metals, NextDC, Sims, and South32 shares are racing higher
• Could buying Zip shares be a classic ASX beginner’s error?
• These are the 10 most shorted ASX shares this week

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 positions in and has recommended Block and Zip Co. The Motley Fool Australia has positions in and has recommended Block. 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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What would a $50,000 annual passive income get you? Perhaps a new car every year, multiple luxury international holidays, or even an early retirement. That passive income could be yours in just 11 years with some strategic – and perhaps intense – investing on the ASX.

It’s no doubt been done before, and it might even be done again. But it won’t be easy.

It will likely take a lot of capital, a diverse portfolio of quality dividend shares, a pinch of good luck and, of course, the magic that is compounding.

Indeed, compounding is a key part of billionaire investor Warren Buffett’s “secret sauce”.

So, how exactly might one build a $50,000 passive income in just 11 years? Let’s take a look.

How much do you need to invest to realise a $50k passive income?

First, one should consider the average dividend yield on offer from their prospective ASX shares. That is, the ratio between their cost and how much they pay out in dividends each year.

The higher the dividend yield, the less an investor will need to fork out to earn $50,000 in passive income each year.

However, sustaining a high dividend yield can be challenging for a company. Thus, I personally believe a lower, reliable dividend yield is more attractive than higher, less sustainable offerings.

Let’s say one could earn an above-average dividend yield of 6%. At that rate, an ASX investor would need a portfolio worth around $835,000 to receive $50,000 of passive income a year.

That’s a hefty sum for most. Fortunately, it doesn’t need to be invested in one sweep.

How to build an $835k dividend portfolio in 11 years

The S&P/ASX 200 Index (ASX: XJO) rose 9.55% on average each year over the last three decades. While such a return isn’t guaranteed for the coming three decades, let’s assume it will hold out for the next 11 years.

At that rate, one would need to invest $46,150 each year – or $887.50 a week – for 11 years to build a portfolio worth $835,000.

Though, in that time, they would have forked out just $507,650 – that’s compounding, folks!

On the other hand, if you had a sizeable nest egg to invest initially – say $200,000 – it would take just $16,000 of additional annual investment to reach our figurative target in 11 years.

Expanding the horizon

Of course, such an intense investing strategy won’t suit most Aussies’ budgets. But what if you had 25 years to play with?

Well, a $9,100 annual investment – assuming a 9.55% return – could see one with an ASX portfolio capable of providing $50,000 of passive income in that time. That equals just $175 a week.

It’s worth remembering, however, that no investment is guaranteed to provide returns and past performance isn’t an indication of future performance.

The post Starting from scratch: How ASX investors can grow a $50k passive income in just 11 years appeared first on The Motley Fool Australia.

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More reading

• ASX 200 dips as Aussie unemployment remains near historic lows
• 5 things to watch on the ASX 200 on Thursday
• I’m buying ASX 200 dividend stocks ahead of the next bull market
• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• I’m looking for once-in-a-decade opportunities in the stock market recovery

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 Scott Phillips.

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The S&P/ASX 200 Index (ASX: XJO) dropped more than 0.2% at 11:30am AEST.

That’s when the Australian Bureau of Statistics (ABS) released the latest unemployment figures for March.

Here’s what the ABS reported.

Low jobless rate pressuring the ASX 200

Consensus estimates had expected the unemployment rate in Australia to tick up from the historic low level of 3.5% posted in February.

That did not eventuate, with the jobless rate remaining at 3.5% in March.

Among other key statistics, the ABS reported that:

• The participation rate increased to 66.8%
• Employment increased to 13,883,100
• Employment to population ratio remained at 64.4%
• The underemployment rate increased to 6.1%
• Monthly hours worked increased to 1.91 billion

In a case of good news (Who doesn’t like a strong labour market, after all?) being bad news, the ASX 200 slipped on the report.

That’s because a tight labour market is likely to put upward pressure on wages, adding fuel to the simmering inflation fire.

This in turn increases the odds of at least one more interest rate hike from the Reserve Bank of Australia. The RBA’s next rate decision is due on 2 May. And higher rates, as you’re likely aware, tend to throw up headwinds for most ASX 200 shares.

What else are investors considering today?

In other macroeconomic news impacting share markets, ASX 200 investors also awoke this morning to the latest March Consumer Price Index (CPI) data out of the United States.

As The Motley Fool reported earlier here, CPI in the world’s top economy slowed to 5% in March, down from 6% in February.

While slowing inflation is good news, CPI in the US remains far above the Federal Reserve’s 2% target range, meaning another rate hike is also likely from the US central bank next month.

And core CPI – which strips out volatile items like energy and food – actually edged higher in March to 5.6%.

With unemployment in the US also still down at a rock bottom 3.5%, US stock markets and the ASX 200 all reacted negatively to the news.

The post ASX 200 dips as Aussie unemployment remains near historic lows appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben 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 All Ordinaries Index (ASX: XAO) is sliding 0.28% today but this ASX All Ords travel share is bucking the trend.

The Corporate Travel Management (ASX: CTD) share price is soaring 10.42% today to $20.87.

Let’s take a look at what is going on with this ASX All Ords travel share.

What’s going on?

Corporate Travel Management has won a major contract with the UK Government.

The travel company advised the market it has secured the Bridging Accommodation and Travel Services contract from the UK Home Office.

This contract is estimated to be worth nearly £1.6 billion in total transaction volume (TTV) over two years, which is about $2.99 billion Australian dollars.

Corporate Travel Management said the contract will have a “significant impact” on further growth in the European region in FY24 and beyond.

Commenting on the news, the company said:

This work involves highly complex services and logistic support that will be delivered by an already established dedicated team within CTM that has both the experience and specialised knowledge to support this work.

In the first half of FY23, Corporate Travel Management reported a record TTV of $4.199 billion.

The company delivered an underlying EBITDA of $51.3 million and an unfranked interim dividend of 6 cents per share.

Corporate Travel Management said at the time of releasing these results it is expecting a record second-half EBITDA result.

The team at Morgans recently placed an “add” rating on Corporate Travel Management shares with a $21.90 price target. Analysts said “CTD remains a key pick for the travel sector”, adding:

We see substantial upside in its share price as the company recovers from the COVID affected travel downturn.

In fact, CTD should be a materially larger business post COVID given it has made two highly accretive acquisitions during the downturn.

Corporate Travel Management share price snapshot

The Corporate Travel Management share price has slid 12% in the last year. However, it has surged 41.55% year to date.

This ASX All Ords share has a market capitalisation of more than $3 billion based on the latest share price.

The post Why is this ASX All Ords travel share surging 10% today? appeared first on The Motley Fool Australia.

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More reading

• Buy these ASX growth shares while they’re still cheap: Morgans
• 2 ASX 200 shares that could be top buys for growth
• Bargain or value trap? Fundie rates 3 ASX 200 shares going for cheap
• Why Corporate Travel Management, Kingsgate, Liontown, and Neuren shares are racing higher
• 5 things to watch on the ASX 200 on Tuesday

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 recommended Corporate Travel Management. 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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