Category: Stock Market

The Eagers Automotive Ltd (ASX: APE) share price is climbing today amid a positive trading update from the company.

At the time of writing, the automotive retailer’s shares are swapping hands at $10.89, up 3.13%.

Eagers Automotive expects to exceed profit guidance

Investors are driving up the Eagers Automotive share price after the company is forecasting a bumper result for H1 FY22.

According to the company’s announcement, Eagers Automotive is expecting to report a statutory net profit before tax of $246 million. This represents an improvement on the previous profit guidance given in May of between $225 million and $240 million.

Furthermore, underlying operating profit before tax is anticipated to be roughly $195 million, up from the $183 million to $189 million indicated in May.

Both guidance updates are for the six-month period ending 30 June 2022 (H1 FY22).

Management stated the improved outlook is from a number of factors that are helping support the business despite supply issues. This includes strong demand for its new car order bank and the benefits of its ongoing productivity and cost-out programs.

Eagers Automotive said that it recently completed the sale of the Bill Buckle Auto Group and associated properties to the Australian Motor Group.

The cash proceeds from the divestment led to the company realising $88 million and a profit before tax of around $48 million.

Eagers Automotive has liquidity of $843 million, including $326 million in cash and corporate debt of $13 million.

Given the superb health of the balance sheet, the company intends to carry out its share buyback program.

Investors may also want to keep an eye out on 25 August when the company is scheduled to release its results.

Eagers Automotive share price snapshot

Over the past 12 months, the Eagers Automotive share price has lost more than 28%, with year-to-date down around 19%.

The company’s shares touched a 52-week low of $8.65 last month following extreme volatility on the ASX.

Regarded as Australia’s largest car dealership group, Eagers Automotive commands a market capitalisation of about $2.78 billion.

The post Eagers Automotive share price lifts on ‘improved outlook’ appeared first on The Motley Fool Australia.

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More reading

• Why Eagers Automotive, Viva Energy, Woolworths, and Zip shares are rising
• ASX 200 midday update: Zip scraps Sezzle merger, Lake Resources’ short seller attack
• Here are the top 10 ASX shares today
• Here are the top 10 ASX shares today
• 2 cheap ASX 200 shares to buy that no one talks about: Glenmore

Motley Fool contributor Aaron Teboneras 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 ASX retail share sector has seen much volatility in recent times. With how the outlook is shaping for FY23, can investors be confident about retailers at the current prices?

Let’s look at some of the carnage seen since the beginning of 2022.

The Wesfarmers Ltd (ASX: WES) share price has dropped around 25%.

The JB Hi-Fi Limited (ASX: JBH) share price is down 19%.

The Temple & Webster Group Ltd (ASX: TPW) share price is down 71%.

The Adairs Ltd (ASX: ADH) share price is down almost 50%.

The Nick Scali Limited (ASX: NCK) share price is down 44%.

The Harvey Norman Holdings Limited (ASX: HVN) share price is down 23%.

The Kogan.com Ltd (ASX: KGN) share price is down 68%.

There’s a lot of pain out there.

What’s the latest?

In terms of the latest updates, each business is seeing different trading conditions. Some of them are still seeing growth.

In the FY22 third quarter, Kogan’s total gross sales went down 3.8% to $262.1 million.

In the three months to March 2022, JB Hi-Fi said that JB Hi-Fi Australia sales grew by 11.9% while The Good Guys’ sales rose by 5.5%.

Meantime, Temple & Webster said that revenue rose by 23% for the period of 1 January 2022 to 30 April 2022 and was up 116% compared to 2020.

So, some businesses were still reporting growth earlier in 2022. However, the concern is that things may be looking worse with changing economic conditions.

Why the negativity on ASX retail shares?

There are two things that retailers are facing, which could hit their customers.

One difficulty is inflation. Households only have so much money to spend in their budgets. The essentials are getting much more expensive – mortgage interest, rent, food, petrol, energy, and so on.

If households have less discretionary money to spend, then this could impact how much money is spent, collectively, at these retailers.

Brokers Ord Minnett and UBS both have recently noted the worsening outlook for retailers. Both have cut profit projections for retailers like JB Hi-Fi because of the higher costs that households are facing. This, in turn, may see Aussies may tighten their spending.

Broker ratings

However, every business’s valuation and prospects are different. So, let’s look at some of the ratings and price targets. A price target is essentially a guess of where brokers think a share price could be in 12 months.

With share prices down so much in 2022, could these lower prices be attractive discounts?

UBS is ‘neutral’ on JB Hi-Fi, with a price target of $38.

Temple & Webster also gets a ‘neutral’ rating from UBS, but the price target of $4.25 offers plenty of upside from its current share price of $3.07.

However, UBS still rates Adairs as a buy, but has reduced its price target to $3.70. This still implies a possible rise of more than 70%, suggesting it’s cheap because of the low price/earnings (P/E) ratio.

One of the latest ratings on Wesfarmers comes from Macquarie. It has an ‘underperform’ rating, with a price target of just $43.30. The current Wesfarmers share price is $44.84.

The post Does the FY23 outlook make ASX retail shares look like bargains? appeared first on The Motley Fool Australia.

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More reading

• Why are these 2 ASX ecommerce shares hitting two-year lows?
• What were some of the key lessons for ASX investors in FY22?
• Why did the JB Hi-Fi share price fall more than 20% in FY22?
• These are the 10 most shorted ASX shares
• What caused the Adairs share price to halve in FY22?

Motley Fool contributor Tristan Harrison 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 ADAIRS FPO, Harvey Norman Holdings Ltd., Kogan.com ltd, and Temple & Webster Group Ltd. The Motley Fool Australia has positions in and has recommended ADAIRS FPO, Harvey Norman Holdings Ltd., Kogan.com ltd, and Wesfarmers Limited. The Motley Fool Australia has recommended Temple & Webster Group Ltd. 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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It wasn’t a good financial year to own Commonwealth Bank of Australia (ASX: CBA) shares, as it turns out. FY2022 saw the CBA share price lose a painful 9.5% of its value. Not even CBA’s generous dividends were enough to save investors from an overall loss with this ASX bank last financial year.

Perhaps the only comfort investors can cling to is the fact that the S&P/ASX 200 Index (ASX: XJO) fared even worse. The ASX 200 lost 10.19% of its value over FY2022 in what was a rather poor 12 months for most ASX shares.

But it wasn’t like the other ASX bank shares fared much better. As we covered yesterday, even with a 9.5% loss, CBA ended up being the third-best ASX bank share performer over FY2022. It beat out Westpac Banking Corp (ASX: WBC) and Australia and New Zealand Banking Group Ltd (ASX: ANZ) and only lost to National Australia Bank Ltd (ASX: NAB) and Macquarie Group Ltd (ASX: MQG).

So now that the CBA share price has this miserly year under its belt, what might FY2023 hold in store for CBA shares?

Are CBA shares an FY23 buy or sell?

Well, if we take a look at what the brokers are saying, CBA investors could be in for another tough financial year.

As my Fool colleague Tristan covered last week, there are currently three ASX brokers who are bearish on CBA shares right now.

Broker Citi currently rates CBA shares as a sell. This ASX broker reckons the share price premium that CBA shares currently command puts the bank at risk of further share price falls. It currently has a 12-month share price target of $90.75, which is around 3% below where the shares are today.

But it gets even worse if we look at what the other brokers are expecting. Morgan Stanley and Macquarie currently have share price targets of $79 and $78 respectively. Both came with underperform and underweight ratings as well.

Both of these brokers are pencilling in higher loan losses for CBA’s books, as well as sluggish credit growth going forward. Morgan Stanley is also worried that rising costs due to interest rate rises will hamper the bank’s bottom line.

So all in all, not exactly a rosy outlook on CBA from three of the ASX’s biggest brokers. No doubt shareholders will be hoping these brokers are too pessimistic on CBA shares for FY2023. But we shall have to wait and see what the new financial year brings us.

At the current CBA share price, this ASX 200 bank has a market capitalisation of $159.03 billion, with a dividend yield of 4.01%.

The post Down 9%, can CBA shares bounce back in FY23? appeared first on The Motley Fool Australia.

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More reading

• What were some of the key lessons for ASX investors in FY22?
• ASX 200 midday update: Zip scraps Sezzle merger, Lake Resources’ short seller attack
• ‘Gems in the chaos’: The outlook for ASX 200 shares in FY23
• The ASX sector set to pay out ‘massive record dividends’: fund manager
• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor Sebastian Bowen has positions in National Australia Bank Limited. 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 Macquarie Group Limited and Westpac Banking Corporation. 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 record a small gain. At the time of writing, the benchmark index is up 0.2% to 6,617.6 points.

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

Eagers Automotive Ltd (ASX: APE)

The Eagers Automotive share price is up over 2.5% to $10.84. This morning the auto retailer released a half-year market update. According to the release, the company expects to report a statutory net profit before tax from continuing operations of $246 million. This is ahead of its guidance range of $225 million to $240 million.

Viva Energy Group Ltd (ASX: VEA)

The Viva Energy share price is up 3% to $2.82. This follows the release of the fuel retailer’s second quarter and first half update. Viva reported total group sales volumes growth of 5.2% on the same period last year during the first half. This was driven predominantly by strong diesel sales, which exceed pre-pandemic levels.

Woolworths Group Ltd (ASX: WOW)

The Woolworths share price is up 2.5% to $37.28. Investors may have been buying this supermarket operator’s shares in response to a bullish broker note out of Goldman Sachs this week. According to the note, the broker has reiterated its buy rating and added the company’s shares to its conviction list. Goldman is forecasting a sales “CAGR of 6.6% and underlying NPAT of 14.1% over FY22-24e.

Zip Co Ltd (ASX: ZIP)

The Zip share price is up over 4% to 52.2 cents. Investors have responded positively to news that the buy now pay later (BNPL) provider is scrapping its merger with rival Sezzle Ltd (ASX: SZL). While the decision is mutual, Zip will pay Sezzle a break fee of US$11 million. Management believes this will “allow Zip to focus on its strategy and core business in the current environment.”

The post Why Eagers Automotive, Viva Energy, Woolworths, and Zip shares are rising appeared first on The Motley Fool Australia.

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More reading

• ASX 200 midday update: Zip scraps Sezzle merger, Lake Resources’ short seller attack
• Zip share price jumps 6% after merger deal with Sezzle is cancelled
• Sezzle share price plunges 35% as Zip merger scrapped
• Why Goldman Sachs added Woolworths shares to its conviction list
• Own Zip shares? BNPL player shuts down finance app to focus on profitability

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 ZIPCOLTD FPO. 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 Regional Express Holdings Ltd (ASX: REX) share price is slightly in the green today after emerging from a trading halt.

The company’s shares are currently swapping hands at $1.215 each, a 0.41% gain. For perspective, the Flight Centre Travel Group (ASX: FLT) share price is down 1.81% today, while Qantas Airways Ltd (ASX: QAN) shares are down 3.08%.

Let’s take a look at what is happening at Regional Express.

Media speculation response

Regional Express shares entered a trading halt briefly today, pending further news The company then emerged from the freeze with a response to recent media speculation.

The airline revealed it is hoping to acquire Cobham Aviation Services’ fly-in, fly-out (FIFO) operations.

In a statement authorised by company secretary Richard Kwan, Regional Express said:

Rex discloses that it is one of the interested parties involved in the acquisition process.

No agreement has been reached for the acquisition of Cobham.

This follows media speculation in the Australian Financial Review that Rex is “one of the last parties standing” for Cobham’s FIFO business.

In June, Regional Express advised weekly services have increased by up to 67% in eleven regional cities.

Regional Express said it will inform the market if the acquisition goes ahead.

Share price snapshot

Regional Express shares slipped 2% in the past year, but they have dropped nearly 12% year to date.

In the past month, the company’s share price has gained 8%. In the last week, Regional Express shares have climbed more than 2%.

For perspective, the S&P/ASX 200 Index (ASX: XJO) has shed nearly 10% in the past year.

The airline has a market capitalisation of about $133.9 million based on today’s share price.

The post Regional Express shares hold steady amid response to fly-in fly-out takeover speculation appeared first on The Motley Fool Australia.

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More reading

• Why this smaller ASX travel share is locking horns with Qantas over regulation
• These 2 ASX travel shares are tying the knot for the next 10 years
• Why is this ASX travel share flying higher today?

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 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 Sayona Mining Ltd (ASX: SYA) share price is in the red for a second consecutive day as its shares positively fly off the shelf.

At the time of writing, the Sayona share price is 13.2 cents. That’s 5.71% lower than it was at yesterday’s close and 12% lower than it ended last week.

For context, the broader market is trading higher today. The All Ordinaries Index (ASX: XAO) is currently up 0.13% while the S&P/ASX 200 Index (ASX: XJO) has gained 0.27%.

So, what’s going on with the emerging lithium producer today? Let’s take a look.

What’s going on with the Sayona Mining share price?

Shares in Sayona have caught the market’s attention on Tuesday despite the company’s silence.

The stock is currently among the most traded on the market. More than 106 million Sayona shares have swapped hands so far today. And it’s not alone in being noticed.

Let’s compare the Sayona Mining share price’s performance today to its ASX 200-listed lithium peers.

The ASX 200’s most traded share so far today is lithium producer Core Lithium Ltd (ASX: CXO). Nearly 23 million Core Lithium shares have traded so far today while the stock has slipped around 6% at the time of writing.

Lithium shares Allkem Ltd (ASX: AKE) and Liontown Resources Ltd (ASX: LTR) have joined Core Lithium in the red – down 5.2% and 4.29% respectively.

Together, they make up the three worst-performing S&P/ASX 200 Materials Index (ASX: XMJ) stocks right now.

Shares in Pilbara Minerals Ltd (ASX: PLS) are also worth a mention. The company is currently the ASX 200’s third most traded stock.

Thus, it appears to be a bad day for ASX lithium shares in general. And it’s worth noting there has been plenty of turbulence in the sector recently.

In fact, Sayona Mining was just one lithium stock to see its share price plummet last month. The company’s shares fell 32% in June after it suffered a major sell-off event.

The post Why is the Sayona Mining share price tumbling 6% today? appeared first on The Motley Fool Australia.

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More reading

• How did the Sayona Mining share price perform in FY22?
• Why did the Sayona Mining share price crash 32% in June?
• Why Regis Resources, Sayona, Woodside, and Xero shares are pushing higher
• Why BWX, Sayona Mining, Tyro, and Woodside shares are sinking
• Why have ASX lithium shares had such a lousy month in June?

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 Costa Group Holdings Ltd (ASX: CGC) share price is continuing its steep descent after plunging 8% yesterday.

At the time of writing, the horticulture company’s shares are down 2.64% to $2.58 apiece.

What happened to Costa shares?

Following the company market update on Monday, investors drew ire, sending the Costa share price to a 52-week low.

The negative reaction spurred a large number of shares being traded – more than 16 million in total for the day.

Subsequently, this sparked a please explain letter from the stock exchange operator, ASX Ltd (ASX: ASX).

Costa didn’t respond until the next day (early this morning) to the request regarding its ASX price query.

Management stated that it “wasn’t aware of any information that its earnings for H1 FY22 are likely to come as a surprise to the market.”

It expects the unaudited results for both the international and domestic produce segments to be ahead when compared to the prior corresponding period (H1 FY21).

Furthermore, unaudited Group EBITDA before movement in biological assets and material items is forecasted to be up 10%-15% on H1 FY21.

Costa acknowledged a recent broker report regarding a revision of its earnings. It said that while the analyst’s view is subjective, “this would not materially impact on analyst consensus.”

Since then, the particular broker has provided a further update following the recent share price movement.

Costa share price summary

It has been a difficult past couple of months for the Costa share price, tumbling by 25% from its year-to-date high of $3.455.

The company’s shares have suffered from a number of broker downgrades amid the extreme volatility on the ASX.

When looking at year to date, its shares are down roughly 15%.

Based on today’s price, Costa commands a market capitalisation of $1.34 billion.

The post Costa Group shares down, responds to ASX query. What happened? appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Tuesday
• Why Costa, Domino’s, EML, and Novonix shares are dropping
• Why is the Costa share price sinking 12% to a two-year low?
• ASX 200 midday update: EML crashes amid CEO exit, Costa and Domino’s sink on broker downgrades
• Top broker names 3 of the best ASX 200 shares to buy in FY23

Motley Fool contributor Aaron Teboneras 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 COSTA GRP FPO. 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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S&P/ASX 200 Index (ASX: XJO) energy retailers were centre stage last month when the Australian Energy Market Operator (AEMO) capped energy prices across much of Australia.

And now some of their peers could be pushing back against fees expected to be charged by the market operator.

Let’s take a closer look at the battle that might be about to heat up between energy retailers and the AEMO.

ASX 200 energy retailers suffered in June

Here’s how ASX 200 energy retailers performed amid the chaos last month:

• The AGL Energy Limited (ASX: AGL) share price slumped nearly 6% in June
• The Origin Energy Ltd (ASX: ORG) share price plunged 16% last month

Much of the latter’s tumble was due to the withdrawal of the company’s financial year 2023 guidance amid volatility in energy markets.

Meanwhile, AGL pushed back the expected restart of its Loy Yang A Unit 2 and announced its former suitor Brookfield Asset Management had sneakily snapped up 2.5% of its shares.

Energy retailers could fight against AEMO fees

Six energy retailers have considered waging a legal battle against AEMO fees following last month’s cap on wholesale power prices, the Australian Financial Review (AFR) recently reported.

The unnamed companies have reportedly looked to dispute a bill that will see them indirectly compensating electricity generators. According to the publication, they would likely claim generators are being offered too much compensation.

AEMO ordered generators to produce electricity last month. It did so in a bid to keep lights on amid the cap on energy prices. The operator now plans to pay generators for energy produced and compensation for additional losses.

Most of that compensation – reported to be worth millions – will be recovered from energy retailers.

But already struggling retailers – which are generally hedged against power prices – are exposed to such compensation costs, the AFR reported. The publication says the bills will likely land on energy retailers’ desks from November.

The post Own ASX 200 energy shares? Retailers could hit back on AEMO fees appeared first on The Motley Fool Australia.

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More reading

• Top brokers name 3 ASX shares to buy next week
• Why did the AGL share price have a volatile FY22?
• AGL share price lifts as Brookfield caught buying
• Origin share price shrugs off record $17 million fine from Federal Court
• Here are the top 10 ASX shares today

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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It has been yet another dark day for the Kogan.com Ltd (ASX: KGN) share price and the Temple & Webster Group Ltd (ASX: TPW) share price on Tuesday.

In afternoon trade, both ecommerce companies have seen their shares make double-digit declines and tumble to two-year lows.

The Kogan share price is currently down 10% to $2.68, whereas the Temple & Webster share price is down 15% to $3.01.

Why are these ecommerce shares sinking?

Today’s declines are a little bit of a mystery but there are a couple of potential catalysts.

One is that these declines coincide with the launch of Prime Day by ecommerce behemoth Amazon.

This mega sales event could be reminding investors just how much of a force Amazon is and how it could win significant market share from these smaller rivals. Particularly given its superior delivery capabilities and the expansion of its offering since launch to now cover everything from books, clothing, whitegoods, and even furniture.

Anything else?

In addition, the weakness in the Kogan and Temple & Webster share prices mirrors what happened with their ecommerce peers on Wall Street and the LSE overnight.

For example, the likes of ASOS, Boohoo, Mercado Libre, Peloton, Shopify, and Wayfair all recorded significant declines on Monday night. It appears as though investors are feeling bearish about the prospects of online retailing in the current environment.

Following today’s declines, the Kogan share price is now down almost 70% in 2022 and the Temple & Webster share price is down 72% year to date.

The post Why are these 2 ASX ecommerce shares are hitting two-year lows? appeared first on The Motley Fool Australia.

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• These are the 10 most shorted ASX shares
• Why I think the Temple & Webster share price is on sale right now
• Why did the Kogan share price go backwards in FY22?
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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 Kogan.com ltd and Temple & Webster Group Ltd. The Motley Fool Australia has positions in and has recommended Kogan.com ltd. The Motley Fool Australia has recommended Temple & Webster Group Ltd. 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 Ethereum (CRYPTO: ETH) price is down 5.4% since this time yesterday.

The world’s number two crypto by market cap is currently trading for US$1,092 (AU$1,620).

With another round of selling, the Ethereum price is now down 71% in the 2022 calendar year, and down a painful 78% since achieving record highs of US$4,892 on 16 November last year.

Ether’s sliding fortune has not only disappointed crypto investors, it also looks to be crimping interest in participating in the token’s merge.

What is the merge?

The Ethereum merge, formerly called Ethereum 2.0, will transition the blockchain from an energy-intensive proof-of-work protocol to a far less energy-hungry proof-of-stake protocol.

The ongoing process allows people to stake 32 Ether to participate in verifying blockchain transactions, and thus earn a reward. Under the staking system, far fewer computers are involved, which also decreases overall costs and increases speeds.

But as the Ethereum price has been tumbling, it’s also seen weekly deposits of Ethereum 2.0 staking contracts fall to new lows.

Sliding Ethereum price hits staking interest

As the Bitcoinist reported, Ethereum 2.0 staking contracts have tumbled to their lowest value ever.

Glassnode data indicates that the weekly average of 32-Ether deposits in 2021 was around 500 to 1,000 per day. On 3 July this year, that metric tumbled to a mere 122, the lowest level since the launch of the Ether 2.0 staking contracts.

The big drop in interest appears to be due to the big retrace in the Ethereum price.

At the current prices, less than 17% of the total deposited supply of tokens in the Ethereum 2.0 contracts are in profit. Most of that will have been deposited in, or before, January 2021, the last time the Ethereum price was trading below these levels.

Now what?

With the Ethereum price, and indeed most every leading crypto, down sharply this year, eToro’s market analyst and crypto expert Simon Peters said:

The message for investors at the moment is to hold tight and keep watch of the market. We see regular institutional movement and ongoing growth of the sector as a key indicator that the game is not up. What’s important to remember, however, is that diversifying within the sector, as in any asset class, is essential to spread risk.

The post Could this one metric be why the Ethereum price is down 5% today? appeared first on The Motley Fool Australia.

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More reading

• Why FY22 was the best and worst of years for the Ethereum price
• The Ethereum price collapsed 47% in June. Here’s why
• How did the price of crypto assets perform in June?
• Ethereum price falls after hackers begin laundering $100 million bridge exploit
• What one tech guru thinks of the current crypto market

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 positions in and has recommended Ethereum. The Motley Fool Australia has recommended Ethereum. 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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