Category: Stock Market

  • What’s with the Cooper Energy (ASX:COE) share price today?

    oil and gas operations at sunrise

    The Cooper Energy Ltd (ASX: COE) share price is back where it started today following the company’s announcement it has cut its FY21 production forecast.

    At the time of writing, the Cooper Energy share price is trading flat at 26 cents after falling to an intraday low of 25 cents this morning.

    What did Cooper Energy announce?

    The oil and gas exploration company provided an update to full year FY21 guidance and cut its previous production forecasts.

    Cooper’s sales volume guidance is approximately 3.0 millions of barrels of oil equivalent (MMboe). The previous guidance was towards the middle of the 2.9 – 3.1 MMboe range.

    In addition, it now sees production of 2.6 MMboe. This is down from the previous guidance of the lower end of 2.7 – 2.9 MMboe.

    The company also gave capital expenditure guidance at the low end of $35 – $40 million, which is in line with previous commentary.

    In the statement released this morning, Cooper Energy said:

    Production from the Sole gas field in the Gippsland Basin has been constrained due to fouling within the sulphur absorbers of the Orbost Gas Processing Plant (owned and operated by APA Group (ASX: APA)). Notwithstanding the gas processing issues, all Sole customer nominations have been met to date, with gas supply sourced from Cooper Energy’s back-up supply arrangements when required.

    Regarding production headwinds:

    The increased seasonal gas demand and storage withdrawal is mainly due to the increased demand for gas-fired generation to offset the curtailment of electricity generation at the Yallourn Power Station.

    A key benefit of processing CHN gas in the Athena Gas Plant2 is that gas supply will be on a firm basis. The plan is for the Athena Gas Plant to be commissioned in Q2 FY22.

    Cooper Energy share price snapshot

    The Cooper Energy share price is having a difficult year. It fell 35.75% over the first six months of 2021 and is down 7.14% over the past month alone.

    It has a market capitalisation of $407 million, with 1.63 billion shares outstanding.

    The post What’s with the Cooper Energy (ASX:COE) share price today? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Cooper Energy right now?

    Before you consider Cooper Energy, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Cooper Energy wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

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    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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  • Broker tips Life360 (ASX:360) share price to keep rising after hitting record high

    happy family playing video game

    The Life360 Inc (ASX: 360) share price is pushing higher again on Thursday.

    Earlier today, the family-orientated app maker’s shares were up almost 4% to a record high of $6.93.

    When the Life360 share price hit that level, it was up a remarkable 78% since the start of the year.

    Why is the Life360 share price charging higher today?

    There have been a couple of catalysts for the rise in the Life360 share price today.

    One is an announcement earlier this week which revealed that Life360 has created a Family Advisory Council that will bring together well-known celebrities and influencers to help shape the company’s product and marketing strategy.

    Management also revealed that it expects its annualised monthly revenue to land towards the upper end of its guidance of US$110 million to US$120 million in 2021. This follows a successful marketing campaign on TikTok.

    What else?

    Also giving the Life360 share price a boost today was a broker note out of Bell Potter.

    According to the note, the broker has retained its buy rating and lifted its price target to $7.75. This implies further upside of almost 12% for its shares over the next 12 months.

    It commented: “Life360 provided a market update and the key take-out in our view was a soft upgrade in the guidance for annualised monthly revenue (AMR) in December 2021 from in the range of US$110-120m to now “at the higher end” of this range.”

    “The key drivers of the upgrade were “early success of user experience improvements and a recent surge in downloads driven by virality on social media, primarily TikTok”. The company also said a further update will be provided at the release of the 1H2021 result in August when “the extent, impact, and duration of the new wave of registrations will be clearer” suggesting there may be some further upside to the guidance.”

    “The other key take-out from the update was a US$2.1m investment in the company by a group led by Bryant Stibel which is an investment company founded by Kobe Bryant and Jeff Stibel,” it concluded.

    All in all, the LIfe360 share price may have hit a record high today, but the gains may not be over just yet.

    The post Broker tips Life360 (ASX:360) share price to keep rising after hitting record high appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Life360 right now?

    Before you consider Life360, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Life360 wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

    More reading

    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 recommended Life360, Inc. 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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  • Why the Bod (ASX:BDA) share price is climbing today

    women working with medicinal marijuana, indicating a share price movement in ASX cannabis shares

    The Bod Australia Ltd (ASX: BDA) share price is a strong performer today following the release of a sales update.

    At the time of writing, shares in the CBD and hemp healthcare products company are up 3% to 35 cents.

    What’s driving the Bod share price higher?

    According to its latest update, Bod enjoyed record medicinal cannabis sales growth in FY21.

    In total, Bod dispensed 12,187 products, representing a 212% increase on the prior corresponding period.

    The company also delivered a 17% quarter-on-quarter growth, with 4,441 medicinal cannabis product units sold in the fourth quarter of FY21.

    In addition, it retained a 46% share of the total Australian market for full plant high CBD products in FY21. Pleasingly, its market share continues to gather pace, increasing in the last six months of FY21.

    In further news, the company said its strong and growing market share was underpinned by repeat prescriptions. These accounted for 65% of total prescriptions sold in FY21.

    Additionally, Bod’s ongoing educational initiatives with healthcare professionals and an Australia-wide study into the effectiveness of its medicinal cannabis range also contributed factors to its growth.

    Looking ahead, the company intends to scale up operations across its Australian and United Kingdom markets to drive growth and market share.

    How that affects the Bod share price remains to be seen.

    Management commentary

    Bod CEO Jo Patterson was pleased with the company’s growth momentum, saying:

    During FY2021, the company maintained nearly a 50% market share for the total addressable market for high CBD products in Australia. While repeat prescriptions remained at a high level, Bod also increased its patient and doctor acquisitions through ongoing educational initiatives and its relationships with approved prescribers.

    We anticipate increased demand for our medicinal cannabis product suite over the coming quarter and beyond. A number of new products are currently being introduced and operations in the UK continue to scale pleasingly. We look forward to updating shareholders on further growth as it materialises.

    Bod share price tumbles in 2021

    Despite the company’s positive achievements in FY21, the Bod share price has tumbled 28% year-to-date.

    However, the broader ASX cannabis sector has also struggled to find headway in the past few months.

    Bod peers including Cann Group Ltd (ASX: CAN), Ecofibre Ltd (ASX: EOF) and Althea Group Holdings Ltd (ASX: AGH) have tumbled 38%, 63%, and 25% respectively, year-to-date.

    The post Why the Bod (ASX:BDA) share price is climbing today appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Bod right now?

    Before you consider Bod, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Bod wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

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    Motley Fool contributor Kerry Sun 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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  • Why Lendlease, Marley Spoon, Reece, & Woolworths shares are sinking

    shadow of a man looking out a window with arrows signifying falling share price

    In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is under pressure and tumbling lower. At the time of writing, the benchmark index is down 0.5% to 7,274.2 points.

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

    Lendlease Group (ASX: LLC)

    The Lendlease share price is down 3% to $11.11 following the release of a market update. This morning the international property and infrastructure company downgraded its guidance due to a resurgence in COVID-19 in key markets which has negatively impacted its performance. Lendlease is now expecting a core operating profit of between $375 million and $410 million after tax for FY 2021.

    Marley Spoon AG (ASX: MMM)

    The Marley Spoon share price has fallen almost 5% to $3.01. This decline could be due to profit taking after the meal kit delivery company’s shares rocketed higher recently. In other news, this morning the company signed and closed a committed senior secured credit facility of four years with Runway Growth Credit Fund. The release notes that the facility will give Marley Spoon access to up to US$65 million to support it with its growth strategy.

    Reece Ltd (ASX: REH)

    The Reece share price is down over 3% to $22.81. The catalyst for this appears to have been a broker note out of Macquarie. According to the note, the broker has downgraded this plumbing parts company’s shares to an underperform rating with a $19.40 price target. The broker made the move on valuation grounds following a very strong gain since the start of the year.

    Woolworths Group Ltd (ASX: WOW)

    The Woolworths share price has fallen 2% to $37.44. This also appears to have been driven by a broker note. According to a note out of Credit Suisse, its analysts have downgraded the supermarket operator’s shares to an underperform rating with a $32.92 price target. Once again, this was due to valuation concerns. Credit Suisse notes that Woolworths’ shares trade at a significant premium to rival Coles Group Ltd (ASX: COL).

    The post Why Lendlease, Marley Spoon, Reece, & Woolworths shares are sinking appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of May 24th 2021

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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 has recommended Marley Spoon AG. 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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  • Former ASX CEO admits to insider trading

    business man with hands handcuffed behind back

    A former chief executive of Nova Minerals Ltd (ASX: NVA) has pleaded guilty to charges of insider trading and manipulating the share market.

    The County Court of Victoria heard that Avrohom Mordechai Kimelman of St Kilda East, Victoria allegedly conspired with others in November 2015 to manipulate the shares of Nova, which was then known as Quantum Resources Ltd.

    He later became both the chief executive officer and a board member of the business.

    The Australian Securities and Investments Commission alleged that Kimelman knew non-public information that Quantum was about to acquire Manitoba Minerals Pty Ltd, which itself had a deal to buy into a lithium resource in Canada.

    Kimelman is accused of using that inside information to buy 1,990,963 shares in Quantum over 8 days in April and May 2016.

    The former executive faces 10 years in prison for the offences.

    The maximum penalty for insider trading was increased to 15 years’ jail in 2019, but cannot apply in this case as the alleged acts were committed before the change.

    Kimelman first appeared before the Perth Magistrates’ Court last year in relation to this case. He will appear at the Melbourne County Court on 23 February for a plea hearing.

    The post Former ASX CEO admits to insider trading appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of May 24th 2021

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    Motley Fool contributor Tony Yoo 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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  • Why has the Weebit (ASX:WBT) share price jumped 9% today?

    white arrows symbolising growth

    The Weebit Nano Ltd (ASX: WBT) share price is rocketing today. Shares in the semiconductor player are up 8.76%, trading at $1.80 at the time of writing.

    Let’s take a look at the latest Weebit share price action.

    What’s happened today?

    There have been no market sensitive announcements today that apply specifically to Weebit.

    The share price has been a gainer following a key announcement on 25 June, where the company confirmed it had successfully demonstrated the integration of a selector with ReRAM, for the standalone memory market.

    Since this event, shares have walked their way northwards by 12.6%, gaining as much as 20% the day after the announcement alone.

    Regarding the milestone, Weebit CEO Coby Hanoch stated:

    This achievement demonstrates our commitment to addressing the discrete memory market as part of our mid-term strategy. We see a broad range of opportunities for discrete ReRAM, from NOR flash to storage class memory, in a range of segments.

    Given our 2024 target for a discrete solution, we anticipate that other opportunities will arise as well. We will continue to share our progress in meeting this mid-term goal, while we continue our near-term focus on the embedded memory module where we are making good progress.

    Weebit share price snapshot

    While the Weebit share price remains positive at the time of writing, the same can’t be said for the company’s trajectory year-to-date, with shares trading down 32.6% since January 1.

    In contrast however, Weebit’s shares have posted a 12-month positive return of 496.6% at the time of writing. For context, the S&P/ASX 200 Index (ASX: XJO) has posted a return of 22.81% over the previous 12 months.

    At the current share price of $1.80, Weebit has a market capitalisation of $203 million, and is currently trading off its 52-week high of $4.27. The 52-week range for Weebit shares is a big one, from as low as 27.5 cents to $4.27.

    The post Why has the Weebit (ASX:WBT) share price jumped 9% today? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Weebit Nano right now?

    Before you consider Weebit Nano, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Weebit Nano wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

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    The author Zach Bristow 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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  • Domino’s Pizza (ASX:DMP) shares fall 3%. What’s going on?

    Image of home delivery pizza in a paper box signifying Domino's share price

    The S&P/ASX 200 Index (ASX: XJO) is not having a great day on the markets today. The ASX 200 is currently down 0.49% to 7,277 points at the time of writing. However, one share that’s doing far worse on the markets today is Domino’s Pizza Enterprises Ltd. (ASX: DMP). Domino’s shares are currently down 3.05% to $116.84 a share. The company is also down 1.6% over the past 5 trading days. But is also still up 4.2% over the past month and up a healthy 32.3% year to date.

    But what’s going on with Domino’s today to elicit such a divergent share price movement to the broader market?

    Dominos share price on the slide

    Well, the only real news out of the company today (or since 24 June in fact) was an ASX notice released this morning. This notice informed the markets that a substantial investor in First Sentier Investors Holding Pty Ltd had sold some of its position in Domino’s throughout June. This notice included both buy and sell moves. But the sales outnumbered the buys by quite a large margin. Several sell transactions were over $1 million in value. The highest being approximately $6 million worth of Domino’s shares. We can’t say for sure whether that is weighing on the Domino’s share price’s performance today, but it’s certainly possible that it is affecting sentiment today.

    Another recent piece of news out of Domino’s was the announcement last week that the company has opened its 800th store in Japan, just 12 months after opening its 700th store. However, as my Fool colleague reported, this actually seemed to have a negative effect on the Dominos share price at the time.

    Or perhaps today’s move is just some good old fashioned profit-taking. As we touched on earlier, Domino’s has been a great performer in 2021 so far, vastly outstripping the performance of the ASX 200. Seeing as it’s now tax time, there might have been some investors keen to move some money around in their share portfolios. Whatever the reason for today’s move in the Domino’s share price, long-term investors certainly can’t complain too much, given this company’s success over the past decade or so.

    The post Domino’s Pizza (ASX:DMP) shares fall 3%. What’s going on? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Dominos right now?

    Before you consider Dominos, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Dominos wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

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    Motley Fool contributor Sebastian Bowen 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 Dominos Pizza Enterprises 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 Bank of Queensland (ASX:BOQ) has officially acquired ME Bank

    two people shaking hands in front of montage of faces

    Bank of Queensland Limited (ASX: BOQ) has finalised what its chair describes as a “defining moment” for the bank today, as Members Equity Bank (ME Bank) is welcomed into its faction.

    The news comes as Bank of Queensland’s CEO calls for less conglomeration among Australia’s big banks.

    At the time of writing, the Bank of Queensland share price hasn’t reacted to the news. It’s currently 1.37% lower than yesterday’s closing price, with shares in the bank swapping hands for $8.98.

    Quick refresher

    Bank of Queensland announced in February it was to acquire Me Bank for $1.325 billion.

    In late May, ME Bank was hit with criminal charges over false and misleading practices.

    Finally, the proposed conglomeration received the Treasurer of the Commonwealth of Australia’s approval on 21 June.

    What happened today?

    The acquisition’s finalisation comes on the same day Bank of Queensland’s CEO George Frazis spoke to a standing committee focusing on financial institutions.

    He told the committee the acquisition of ME Bank gives Bank of Queensland a better balance of customers. He said prior to the acquisition, around 60% of the bank’s business was through its small business customers, while 40% came from its personal banking customers.

    After purchasing ME Bank, the balance is closer to 50/50.

    Additionally, Frazis said the larger capital base enables the bank to grow both its personal and business banking components.

    He also said the acquisition gives the bank’s business a better geographical balance. It now has more customers in New South Wales and Victoria than it did before.  

    Additionally, Frazis gave this comment:

    Importantly, what [the acquisition of ME Bank] enables us to do is to invest heavily in terms of our digital transformation… enabling us to be more competitive in terms of the service that we’re providing for customers that choose to bank with us.

    Perhaps ironically, he also told the committee that Bank of Queensland would frown upon any further consolidation by Australia’s big banks, saying:

    If you look at the four majors, we personally would not be supportive of any further consolidation if that can be avoided…

    If you look at the combination of (Bank of Queensland) and ME Bank, which is strategically very compelling, that does create a much more competitive environment. But even with that combination, our combined group has the order of around 3% share of the banking sector, so we are still a small player.

    Bank of Queensland share price snapshot

    Despite today’s fall, the Bank of Queensland share price has been having a good year.

    It’s gained 19% since the beginning of 2021. It has also gained 49% since this time last year.

    The bank has a market capitalisation of around $5.8 billion, with approximately 639 million shares outstanding.

    The post The Bank of Queensland (ASX:BOQ) has officially acquired ME Bank appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Bank of Queensland right now?

    Before you consider Bank of Queensland, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Bank of Queensland wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

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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 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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  • Why is the A2 Milk (ASX:A2M) share price up 3% today?

    A happy baby drinking milk from a bottle

    The S&P/ASX 200 Index (ASX: XJO) is in the red today, down 0.5% to 7,276 points. But one ASX 200 share that is bucking the trend is A2 Milk Company Ltd (ASX: A2M).

    A2 Milk is currently up 3.11% to $6.64 today, after closing at $6.01 yesterday and opening at $6.08 this morning.

    Why is it up? Well, there might be a couple of factors at play here.

    First thing to note is an ASX announcement this morning. This announcement revealed that broker and investment bank, Goldman Sachs, has been rapidly ramping up its ownership of A2 Milk to just over 37.2 million shares now.

    Market sentiment might well have been boosted by this apparent show of confidence from a large broker.

    A2 Milk share price on the up

    Goldman isn’t the only broker showing interest either.

    As my Fool colleague, James Mickleboro reported yesterday, fellow broker Bell Potter has just increased its price target for A2 Milk.

    Bell Potter reckons the shares are a ‘buy’ and has slapped a 12-month price target of $8.50 on the company. This implies a potential 12-month upside of close to 40%. So, this is another potential factor supporting the share price today.

    Another possible conclusion to draw is that some investors might be thinking the worst is behind the company now.

    Remember, it wasn’t that long ago (just under a year, in fact) that A2 Milk was a $20 stock. A series of disappointing earnings downgrades have mostly been responsible for the decline in the A2 Milk share price.

    It finally bottomed at $5.04 (a multi-year low) back in mid-May. Since then, investors have been slowly crawling back into the stock. The company is up more than 23% from its 52-week low today, with its trajectory since mid-May decidedly on the up.

    The current A2 Milk share price gives the company a market capitalisation of $4.53 billion and a price-to-earnings (P/E) ratio of 15.46. The shares remain down 46.91% in 2021, and 66.96% down over the past 12 months.

    The post Why is the A2 Milk (ASX:A2M) share price up 3% today? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in A2 Milk right now?

    Before you consider A2 Milk, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and A2 Milk wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

    More reading

    Motley Fool contributor Sebastian Bowen owns A2 Milk shares. 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 A2 Milk. 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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  • Here’s why the 5G Networks (ASX:5GN) share price is soaring 8% today

    Group of friends cheer around a smart phone

    The 5G Networks Ltd (ASX: 5GN) share price is breaking its 3-day losing streak to rebound strongly today. This comes after the telecommunications carrier announced an update in regards to its loan to Webcentral Group Ltd (ASX: WCG).

    At the time of writing, 5G Networks shares are up 8.24% to 92 cents apiece.

    What did 5G Network announce?

    5G Networks shares opened this morning relatively flat before quickly soaring within the first 15 minutes of trade.

    According to this morning’s release, 5G Networks has received a $15 million loan repayment from its acquired business, Webcentral Group. 5G Networks took control of the digital services provider in October 2020.

    Recently, Webcentral Group took out a $16.6 million debt facility from Commonwealth Bank of Australia(ASX: CBA). These proceeds were predominantly used to make a part repayment of the $41 million loan given by 5G Networks.

    As such, approximately $26 million remains on the loan. This will reduce Webcentral Group’s current borrowing costs.

    5G Networks said it will use the funds for further acquisition opportunities when they arise.

    5G Networks share price summary

    Established in 2013, 5G Networks is an Australian-based provider of Internet broadband and cloud infrastructure services to mid-market corporate industries. The company primarily engages in providing high-speed broadband access to businesses.

    In addition, cloud-based solutions, managed services, and network infrastructure services are also offered.

    5G Networks shares have fallen roughly by 25% over the past 12 months, and 36% year-to-date. The company’s share price hit a 52-week low of 85 cents yesterday, most likely caused by some tax-loss selling.

    On valuation grounds, 5G Networks has a market capitalisation of about $102 million, with 114 million shares outstanding.

    The post Here’s why the 5G Networks (ASX:5GN) share price is soaring 8% today appeared first on The Motley Fool Australia.

    Should you invest $1,000 in 5G Networks right now?

    Before you consider 5G Networks, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and 5G Networks wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of May 24th 2021

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    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 recommended 5G NETWORK 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 Bruce Jackson.

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