Category: Stock Market

At lunch on Friday, the S&P/ASX 200 Index (ASX: XJO) is on course to end the year with a day in the red. The benchmark index is currently down 0.5% to 7,472.7 points.

Here’s what is happening on the ASX 200 today:

Big four banks slide

The big four banks are under pressure on Friday and are acting as a drag on the ASX 200. All four big banks are trading lower, with the National Australia Bank Ltd (ASX: NAB) share price the worst performer. Its shares are down by over 1% at the time of writing. Despite this, NAB’s shares remain on course to record a gain of 26% in 2021.

Lynas shares fall despite Malaysian update

The Lynas Rare Earths Ltd (ASX: LYC) share price has given back its early gains and is in the red. This is despite providing an after-hours update on its Malaysian operation on Thursday. Lynas advised that the Malaysian permanent disposal facility for Water Leach Purification residue has received environmental approval from the relevant Malaysian regulatory authorities.

Tech shares fall

The tech sector is also having a poor finish to the year. At the time of writing, the S&P/ASX All Technology Index is down 0.7%. Tech shares including Netwealth Group Ltd (ASX: NWL) and Pointsbet Holdings Ltd (ASX: PBH) are among the worst performers in the sector. The latter’s poor form means it is set to record a 39% decline in 2021.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Friday has been the Bega Cheese Ltd (ASX: BGA) share price with a 5% gain. Investors have been buying its shares since Andrew Forrest became a major shareholder this week. The worst performer has been the EML Payments Ltd (ASX: EML) share price with a 2% decline following weakness in the tech sector.

The post ASX 200 (ASX:XJO) midday update: Big four banks fall, Bega Cheese jumps again appeared first on The Motley Fool Australia.

More reading

• Why Bega Cheese, Magnis, Mesoblast, and Neometals shares are pushing higher
• The Lynas (ASX:LYC) share price jumped out the blocks today. Here’s why
• 5 things to watch on the ASX 200 on Friday
• Analysts rate these ASX 200 dividend shares as buys
• Why is the Bega Cheese (ASX:BGA) share price jumping 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. owns and has recommended EML Payments, Netwealth, and Pointsbet Holdings Ltd. The Motley Fool Australia owns and has recommended EML Payments and Netwealth. The Motley Fool Australia has recommended Pointsbet Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Neometals Ltd (ASX: NMT) share price is leading the broad indices today and is now 14.94% higher at $1.38.

Neometals shares are catching bids as investors respond positively to a company announcement regarding Primobius, a 50/50 joint venture (JV) owned by Neometals and SMS group GmbH.

Why is the Neometals share price spiking today?

The Neometals share price is soaring after the company advised its JV has executed binding option and licensing agreements with Stelco.

Neometals says Stelco is a wholly owned subsidiary of Stelco Holdings Inc (TSX: STLC), a Toronto Stock Exchange-listed steelmaking company headquartered in Ontario, Canada.

Stelco and Primobius entered into a memorandum of understanding earlier in the year to evaluate future joint lithium-ion battery recycling operations.

The parties worked together towards a significant North American lithium-ion battery recycling business plan and have now entered into binding formal arrangements.

These agreements allow Stelco to accelerate its sourcing of feedstock. Additionally, Primobius may consider equity ownership of a battery recycling special purpose vehicle (SPV) that would be responsible for battery recycling operations.

Specifically, Primobius has exclusively licensed its battery recycling technology to the SPV in the field of end-of-life vehicle battery processing. This move will enable it to “advance commercial battery feedstock sourcing agreements and advance its approvals processes”.

Under a separate option agreement, Primobius can elect to acquire between 25% and 50% equity in the SPV under certain stipulations. In the event the option is not exercised, Primobius will be entitled to a gross revenue royalty.

Neometals says the SPV will “help meet the need for multiple large recycling facilities to manage significant anticipated volumes from end-of-life electric vehicle batteries originating from the world’s fastest-growing cell making jurisdiction”.

Stelco is now in a position to mature its feedstock targeting activities with direct access to a sustainable industrial-scale recycling solution backed by SMS, according to the release.

Management commentary

Speaking on the announcement fuelling the Neometals share price, managing director Chris Reed said:

Neometals is understandably excited by the speed of commercial progress being made by Primobius. We recognise both the need to partner to secure access to large volumes of end-of-life LIB’s to ensure future growth and the present need to recycle significantly growing volumes of production scrap from LIB cell production in the US. Stelco is a leading supplier of steel to the Automotive OEMs and consumes scrap as part of its steel manufacturing process and presents the perfect opportunity for Primobius to enter the North American market as partners.

Reed concluded:

Our 10tpd commercial disposal plant in Germany addresses the needs of the LIB supply chain in Europe and builds our operating expertise as principal, further de-risking and enhancing the value of partnering with Primobius. Our impressive pipeline of development opportunities is reshaping our short-term strategy and we are prioritising market penetration over our ambitions to operate as principal. Primobius’ flexible business models remain as key unique selling points.

The Neometals share price will finish the year well in the green, having climbed 420% in that time. It has also rallied more than 29% in the last month of trading.

The post Neometals (ASX:NMT) share price explodes 15% on battery recycling update appeared first on The Motley Fool Australia.

More reading

• Why Bega Cheese, Magnis, Mesoblast, and Neometals shares are pushing higher
• The Neometals (ASX:NMT) share price is on fire, up 10% today. Here’s why
• Why Betmakers, Centuria, Neometals, and Syrah shares are storming higher
• Why Australian Clinical Labs, Humm, Neometals, and Viva Energy are rising
• Neometals (ASX:NMT) share price jumps on battery recycling update

The author has no positions 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 Bruce Jackson.

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Shares in semiconductor development company 4DS Memory Ltd (ASX: 4DS) opened the session poorly and are now trading 9% down at 9.1 cents apiece at the time of writing.

Investors are driving down the 4DS Memory share price whilst at the same time 4DS responds to an ASX price query regarding the upward movement of its shares in recent times.

For example, over the past 5 days of trading, the 4DS Memory share price has surged by 60%.

Here are the details of this curious situation.

Why is 4DS plunging today?

The ASX wrote to 4DS yesterday requesting a ‘please explain’ on the substantial jump in its share price over the past week.

Specifically, the ASX compliance department asked for clarification on “the change in the price of 4DS’s securities from $0.065 on 24 December 2021 to an intra-day high of $0.105 at the time of writing today”.

This was alongside the “significant increase in the volume of 4DS’s securities traded from 29 December 2021 to 30 December 2021”.

In response to the ASX query, 4DS Memory said it is not aware of any information concerning it, that has not been announced, that could directly explain recent trading patterns.

The company also confirmed that it is in compliance with all of the ASX listing rules. 4DS Memory said it is not aware of any other explanation regarding the increased share price.

The letter also concerned the volume of 4DS Memory shares traded, which has shot up tremendously. Even today, the volume of 4DS shares exchanging hands is 157% of its 4-week average.

Again, the company stated it is unaware of any reason behind this thickly-traded volume over the past 3 days.

Regardless, investors are pulling out in the final session of the year today, sending the shares south at a rapid pace.

4DS Memory share price summary

In the past 12 months, the 4DS Memory share price has fallen by 29%.

But over the shorter term, the share price has exploded by 84% over the past month.

The post 4DS Memory (ASX:4DS) share price plunges 9% amid ASX price query appeared first on The Motley Fool Australia.

More reading

• Why the 4DS Memory (ASX:4DS) share price is charging 8% higher today

The author has no positions 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 Bruce Jackson.

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There is a small group of ASX shares that have performed really strongly for shareholders recently, delivering impressive operational results and market-beating share price growth.

However, whilst it’s possible for some share prices to be good value, it is also possible that some excellent businesses to run ahead too hard.

So, after a strong run, are these two ASX shares worth looking at?

Pro Medicus Ltd (ASX: PME)

Pro Medicus describes itself as a leading healthcare informatics business. It provides a full range of medical imaging software and services to hospitals, imaging centres and healthcare groups globally. It offers a “clinically rich” and highly scalable cloud platform that can be used for both public and private environments.

The Pro Medicus share price has soared 84% over the last year.

This ASX share has been winning many large contracts with healthcare clients. One of the most recent wins was the 7-year, $40 million contract with Novant Health. Pro Medicus’ Visage software will replace multiple picture archiving and communication systems (PACs).

Novant Health joined an increasing number of Visage clients that are opting for a fully cloud based solution.

Despite winning a number of contracts, Pro Medicus says that its pipeline remains strong in both North America and other regions. FY21 was a big year of growth – revenue rose 19.5% to $67.9 million, underlying profit before tax increased 41% to $42.6 million and the earnings before interest and tax (EBIT) margin improved to 63.2%.

Opinions are somewhat mixed on Pro Medicus. Morgans rates the ASX share as a hold, with a price target of $54.49.

However, Citi thinks Pro Medicus is a sell with a price target of just $45 – that’s almost 30% lower than where it is now. It’s concerned about cheaper competition in the future and that the market is being too bullish about the potential strength of the company’s success.

Aussie Broadband Ltd (ASX: ABB)

This telecommunications business has also had a year strong year. Over the last 12 months it has gone up by 136%.

Aussie Broadband continues to see growth of its broadband user base.

At 30 September 2021 it had 445,780 broadband services. By 30 December 2021 it’s expecting to have at least 482,495 services which includes expected organic net additions of at least 38,000. That’s organic growth of at least 8.5% quarter on quarter.

A recent focus of both analysts and the company has been the expected acquisition of Over The Wire Holdings Ltd (ASX: OTW). This combination is predicted to deliver annual cost synergies of $8 million to $12 million within three years, ongoing capital expenditure savings and significant acceleration of capabilities of the group.

This proposed transaction, which will be funded by both cash and new shares, is expected to add to earnings per share (EPS) on both a pre and post synergy FY21 basis.

Ord Minnett is a fan of the deal, as it would grow the company’s offering into other categories.  It rates Aussie Broadband as a buy, with a price target of $5.91.

Credit Suisse’s price target of $5.40 also offers potential double upside, but the broker is only ‘neutral’ on the business.

Ord Minnett thinks that the Aussie Broadband share price is valued at 34x FY23’s estimated earnings.

The post Are these high-flying ASX shares buys today? appeared first on The Motley Fool Australia.

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• Why these 2 ASX shares are top dogs in our fund: expert
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• 5 ASX telco shares this expert loves right now
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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. owns and has recommended Aussie Broadband Limited, Over The Wire Holdings Ltd, and Pro Medicus Ltd. The Motley Fool Australia owns and has recommended Pro Medicus Ltd. The Motley Fool Australia has recommended Aussie Broadband Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The National Tyre & Wheel Ltd (ASX: NTD) share price is moving into positive territory today. This comes after the company released its share purchase plan (SPP) offer booklet to investors just after market close yesterday.

At the time of writing, the tyre and wheel retailer’s shares are fetching for $1.43 apiece, up 1.42%. This means that its shares have now risen more than 15% in the past month alone.

Share purchase plan details

Investors are sending the National Tyre share price higher following the company’s invitation to retail shareholders to participate in its SPP.

Following the successful $9 million institutional placement, National Tyre has extended its offer to eligible shareholders.

Under the SPP, investors can apply to buy a parcel of National Tyre shares for $1.35 per share. The same terms offered in the placement represent a discount of 3% to the volume-weighted average price over 10 trading days from 16 December (when the capital raising was announced).

A minimum application amount of $500 and a maximum application amount of $30,000 can be applied for.

National Tyre is seeking to raise a total of $3 million through the SPP. However, this can be scaled back or increased in size depending on the total value of the applications.

The proceeds raised will be used towards funding a number of initiatives for the company. This includes funding further investment in its digital transformation strategy and working capital, as well as the non-trading indebtedness adjustments associated with the acquisition of Carter’s entities.

The closing date for the SPP will take place on 20 January. Allotment of the new shares is scheduled for 28 January, with trading available the following business day on 31 January 2022.

National Tyre share price snapshot

Over the course of the last 12 months, National Tyre shares have accelerated to post gains of 50%.

Based on today’s price, National Tyre commands a market capitalisation of around $172.33 million, with approximately 122.22 million shares outstanding.

The post Here’s why the National Tyre (ASX:NTD) share price is edging higher today appeared first on The Motley Fool Australia.

More reading

• Why Bega Cheese, Magnis, Mesoblast, and Neometals shares are pushing higher
• The Lynas (ASX:LYC) share price jumped out the blocks today. Here’s why
• Broker tips Amcor (ASX:AMC) share price to shoot higher in 2022
• Magnis (ASX:MNS) share price jumps 10% on ‘game-changing’ announcement
• December has been pretty dire for the Woolworths (ASX:WOW) share price. Here’s why

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 Bruce Jackson.

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In late morning trade, the S&P/ASX 200 Index (ASX: XJO) is on course to end the year in a disappointing fashion. At time of writing, the benchmark index is down 0.4% to 7,483.5 points.

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

Bega Cheese Ltd (ASX: BGA)

The Bega Cheese share price has continued its rise and is up a further 3% to $5.65. Investors have been buying this diversified food company’s shares this week after Andrew Forrest’s Tattarang AgriFood Investments business became a substantial shareholder. Tattarang’s substantial shareholder notice revealed that it was buying shares between 10 November and 29 December, building up a 6.61% stake.

Magnis Energy Technologies Ltd (ASX: MNS)

The Magnis share price has jumped 10% to 57 cents. This morning the battery technology company announced very promising results from its Extra Fast Charging (EFC) battery program. These results demonstrate potentially significant improvements on the current batteries being used by electric vehicles.

Mesoblast limited (ASX: MSB)

The Mesoblast share price is up 4.5% to $1.42. This morning the biotech revealed that it has met with the US Food and Drug Administration’s (FDA) Office of Tissues and Advanced Therapies (OTAT). This was to address potency assay and chemistry, manufacturing and controls (CMC) items identified in the complete response letter for remestemcel-L in the treatment of steroid-refractory acute graft versus host disease in children. The OTAT indicated that Mesoblast’s approach to address the outstanding CMC items is reasonable.

Neometals Ltd (ASX: NMT)

The Neometals share price has surged 13% higher to $1.36. This morning Neometals revealed that its Primobius joint venture has executed binding option and licensing agreements with Stelco. It is a Toronto Stock Exchange listed steelmaking company. The agreement will see Stelco aim to commercialise Primobius’ electric vehicle battery recycling technology into North America, the fastest growing lithium battery production region.

The post Why Bega Cheese, Magnis, Mesoblast, and Neometals shares are pushing higher appeared first on The Motley Fool Australia.

More reading

• Magnis (ASX:MNS) share price jumps 10% on ‘game-changing’ announcement
• Why is the Bega Cheese (ASX:BGA) share price jumping today?
• Magnis (ASX:MNS) share price edges lower amid graphite project update
• ASX 200 (ASX:XJO) midday update: CBA rises, Sandfire’s MATSA update
• Why Anteotech, Bega Cheese, Humm, and Syrah shares are racing higher

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 Bruce Jackson.

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The Lynas Rare Earths Ltd (ASX: LYC) share price is gaining today. It jumped from the open to $10.40 and is now up 0.78% at $10.35.

Investors are responding well to a company announcement out of the rare earths specialist after the market close yesterday.

In the release, the company gave an update on its Malaysian permanent disposal facility (PDF) for Water Leach Purification (WLP) residue. Here are the details.

What’s moving the Lynas share price?

The Lynas share price is on the rise after the company advised the Malaysian PDF for WLP residue has received environmental approval from the relevant Malaysian regulatory authorities.

The company says detailed assessments have been undertaken for the proposed PDF in the Gebeng Industrial Estate.

These include an environmental impact assessment, a social impact assessment including community consultation, and a radiological impact assessment.

Lynas also explains the PDF design complies with national and international standards. It says it builds on “Lynas Malaysia’s 9 years of safe operation and management of residue storage facilities”.

The update is a major de-risking move for the company, as the overhang from the Malaysian regulators has been a roadblock to ramping up the project.

What else is at play?

Aside from that, Lynas is trading in an ascending channel that’s been in situ over the past 3 months or so. The Lynas share price has crawled out of a sluggish period in October and jumped from a low of $6.25 back then.

Part of the rally has been spurred on by strengths in the underlying commodities Lynas has exposure to – rare earths, and indirectly, lithium.

Firstly, rare earths such as neodymium saw an explosion in upward pricing back in mid-October. Prices on neodymium spot and futures contracts have spiked 34% to 5-year highs since then and have held that level since.

Lithium has been on an extended run and players in adjacent markets are set to benefit from the same. While Lynas isn’t a lithium miner or producer, rare earths and lithium are both integral components of lithium-type batteries.

Demand for battery metals has exploded in the past 2 years alongside a shift in the demand curve for electric vehicles (EVs) and other forms of electromobility.

Hence the buoyant demand for EVs and batteries and the likes is a net positive for rare earths players, as we’ve observed this year.

The Lynas share price has gained around 160% in the last 12 months. It is also up 21% over the past month.

The post The Lynas (ASX:LYC) share price jumped out the blocks today. Here’s why appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Why is the Lynas (ASX:LYC) share price storming higher today?
• What is the outlook for the Lynas (ASX:LYC) share price in 2022?
• Up 27% in a month, the Lynas (ASX:LYC) share price just hit another 9-year high. Here’s why
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The author has no positions 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 Bruce Jackson.

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The Amcor CDI (ASX: AMC) share price has been a reasonably positive performer in 2021.

Since the start of the year, the packaging company’s shares have risen just over 9%.

This is just a little short of the 12% gain recorded by the S&P/ASX 200 Index (ASX: XJO).

Can the Amcor share price rise from here?

The good news is that a recent note out of Morgans reveals that its analysts believe the Amcor share price can rise meaningfully from here.

According to the note, the broker has an add rating and $18.90 price target on the company’s shares.

Based on the current Amcor share price, this suggests there’s potential upside of approximately 15% over the next 12 months.

In addition, Morgans expects a 64 cents per share dividend in FY 2022. If you include this, the total return on offer stretches to almost 19%.

What did the broker say?

Morgans was pleased with Amcor’s performance during the first quarter. Particularly considering the tough trading conditions it was facing from supply chain disruptions.

It commented: “Overall, we think it was a reasonable 1Q22 result given the major supply chain disruptions experienced during the period. We take comfort in underlying demand remaining strong, the challenges being largely expected and planned for by management, and the reiteration of FY22 guidance.”

In light of this, it believes the Amcor share price is trading at an attractive level, especially given its defensive qualities.

“AMC is currently trading on 15.8x FY22F PE and 3.8% yield. We continue to see the valuation as attractive for a highly defensive business with strong global market positions and a well-regarded management team. We therefore maintain our Add rating with our PE-based target price moving to $18.90,” the broker concluded.

All in all, this could make the packaging company a share to consider in 2022.

The post Broker tips Amcor (ASX:AMC) share price to shoot higher in 2022 appeared first on The Motley Fool Australia.

More reading

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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 no position in any of the stocks mentioned. The Motley Fool Australia owns and has recommended Amcor Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Magnis Energy Technologies Ltd (ASX: MNS) share price is on course to end the year on a high.

In morning trade, the battery technology company’s shares are up 10% to 56.5 cents.

Why is the Magnis Energy share price rising?

Investors have been bidding the Magnis Energy share price higher today after it announced significant results from the Extra Fast Charging (EFC) battery program being undertaken with 9.65%-owned partner Charge CCCV.

According to the release, following the success of an earlier program, the decision was made to fast track it using larger commercial cells.

This has led to the EFC program currently running with a 15 minute charge and variable discharge rate as part of initial test protocols. The company notes that to date, the results received have been very exciting with over 250 cycles achieved without any capacity loss.

However, management isn’t resting on its laurels. It is aiming to take the program to over 3000 cycles and then run new programs at a higher current to achieve a 10-minute charge and then ultimately a 6-minute charge.

“Game-changer”

This is a big positive given the need for EFC batteries in industries such as transportation where vehicles are constantly on the road. Management feels the results announced today could be a “game changer” for these industries.

It highlights that batteries used for electric vehicles (EV) currently have up to 80% retention after approximately 1,000 cycles using lower charging rates. Furthermore, when constant fast charging rates are applied, the battery life decreases dramatically.

Magnis’ Chairman, Frank Poullas, commented: “Owners of EVs will understand the importance of EFC/FC technologies which are also imperative for a number of industries and today’s initial results using commercial cells are very exciting. We look forward to providing further results in the near future and working towards producing these cells for commercial use at the iM3NY Lithium-ion Battery Plant.”

The post Magnis (ASX:MNS) share price jumps 10% on ‘game-changing’ announcement appeared first on The Motley Fool Australia.

More reading

• Magnis (ASX:MNS) share price edges lower amid graphite project update
• Why Magnis, Pilbara Minerals, Syrah, and Whispir shares are storming higher
• Here’s why the Magnis (ASX:MNS) share price is powering ahead today
• Here’s why the Magnis (ASX:MNS) share price edged higher on Wednesday
• Magnis (ASX:MNS) share price leaps 6% on new supply deal

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This month has been tough for the Woolworths Group Ltd (ASX: WOW) share price.

Over the course of December, the company has released news of a tough half-year’s trade and placed a surprise bid for a contended pharmaceutical entity.

As of yesterday’s close, the Woolworths share price is $38.52, 5.63% lower than it was at the end of November.

Let’s take a closer look at what’s been driving the supermarket giant’s stock lately.

What weighed on the Woolworths share price this month?

The first news Woolworths released to the market in December was of its surprise bid to take over Australian Pharmaceutical Industries Ltd (ASX: API), despite Wesfarmers Ltd (ASX: WES) having already lobbed an accepted offer.

Woolworths offered API shareholders $1.75 cash for each share in the Priceline owner. That values API’s equity at $872 million.

For comparison, Wesfarmers bid just $1.55 cash per share.

However, it might not be that simple for Woolworths to win control of API.

The Pharmacy Guild of Australia quickly stepped up to ponder why Woolworths, with its interests in alcohol, tobacco, gambling, and nightclubs, would want to own a pharmaceutical company.

Additionally, Wesfarmers later vowed to vote its stake in API against Woolworths’ bid. It holds 19.3% of the takeover target.

The major news to weigh on the Woolworths share price was, however, still to come.

On 14 December, Woolworths’ stock tumbled 7.6% after the company released a trading update for the first half of financial year 2022.

Within it, the supermarket giant detailed a period of lesser sales and increased costs – both linked to outbreaks of the Delta variant around Australia.

Woolworths Group CEO Brad Banducci commented on the company’s disappointing performance, saying:

COVID has had a significant impact on costs, even more so than last year due to the combination of both direct COVID-related costs, together with the indirect impacts from disruption caused by COVID.

Despite this month’s dip, the Woolworths share price is still in the long-term green. It’s currently 13% higher than it was at the start of the year.

The post December has been pretty dire for the Woolworths (ASX:WOW) share price. Here’s why appeared first on The Motley Fool Australia.

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• Top brokers name 3 ASX shares to sell next week
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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 owns and has recommended Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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