The S&P/ASX 200 Index (ASX: XJO) has kicked off the trading week by getting up on the wrong side of the bed, it seems. The ASX 200 has had a clanger so far today, having fallen by 1.98% and is sitting at just over 7,300 points.

But rather than dwelling on that, let’s delve a little deeper into the shares currently topping the ASX 200’s volume charts, according to investing.com.

The 3 most-traded ASX 200 shares by volume this Tuesday

Fortescue Metals Group Limited (ASX: FMG)

Our first ASX 200 share up today is the iron ore miner Fortescue. Twiggy’s resources giant has had a hefty 26.95 million of its shares change hands as it currently stands. With no news out from Fortescue today, we can assume that the nasty share price selloff this company has endured so far is responsible for this elevated trading volume. At the present time, Fortescue shares are down by almost 7% at $19.74. This comes after the iron ore price itself was heavily sold off in recent days.

Pilbara Minerals Ltd (ASX: PLS)

Another resources share is next up today in ASX 200 lithium producer Pilbara Minerals. This Tuesday has seen a sizeable 27.43 million Pilbara shares bought and sold thus far. There have also been no major news or announcements out of Pilbara itself today. As such, it again looks as though this high volume of shares trading is a result of the company’s share price itself. Like Fortescue, Pilbara has also had some nasty share price movements today. The company is currently down by 5.23% at $2.62 a share. 

Paladin Energy Ltd (ASX: PDN)

ASX 200 uranium share Paladin is our final and most traded share of the day as it presently stands. This Tuesday has seen a whopping 28.19 million Paladin shares find a new home so far. Once more, we seem to have a large share price fall to thank for this volume (it really hasn’t been a good day for ASX mining shares). At the time of writing, the Paladin Energy share price has lost 2.12% and is sitting at 81 cents. 

The post Here are the 3 most heavily traded ASX 200 shares on Tuesday appeared first on The Motley Fool Australia.

More reading

• Why is the Endeavour share price escaping unscathed on Tuesday?
• Is the Zip share price set to sink below the $1 mark for the first time since 2018?
• Sinking iron ore price sends ASX 200 mining shares tumbling
• ASX 200 stocks dive 2.4% in worst trading day since Ukraine crisis hit
• The Fortescue share price is falling 6% on Tuesday. Here’s why

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 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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ASX nickel shares are sliding on Tuesday amid a tough day on the markets for mining companies.

Nickel shares on the ASX include Nickel Mines Ltd (ASX: NIC), Mincor Resources NL (ASX: MCR), Panoramic Resources Ltd (ASX: PAN), and IGO Ltd (ASX: IGO). The S&P/ASX 200 Resources Index (ASX: XJR) is 5.14% lower at the time of writing.

Let’s take a look at why these shares are suffering today.

Nickel prices fall

The Nickel Mines share price is down 3.8% today and, at the time of writing, Mincor is trading 4.12% lower. Meanwhile, IGO is 6.45% in the red while Panoramic Resources is down 4.48%.

It seems volatility in world nickel markets is returning with the price of nickel on the London Metal Exchange “moving erratically”, Trading Economics reported.

The nickel price fell 1.4% in a day on global markets to US$32,607 per tonne. Shanghai’s most active nickel contract also dropped more than 3%, according to a report cited by NAB trade.

This is in stark contrast to early March when the nickel price briefly hit more than US$100,000 per tonne. This led to the London Metal Exchange (LME) freezing trading of the commodity for a few days. In the past year, the nickel price has skyrocketed 96%.

On Friday, Mincor Resources reported it is on the verge of reaching nickel producer status. The company’s first nickel concentrate is expected in the June quarter. Mincor has cash in the bank of $84.4 million.

Meantime, Nickel Mines will release its quarterly results on Thursday 28 April.

Share price recap

The Nickel Mines share price has dropped more than 11% in the past year while Mincor has surged 136%. The Panoramic share price has also soared. It’s 117% higher in the past year while IGO has rocketed 77%.

In contrast, the S&P/ASX 200 Index (ASX: XJO) has returned 4% in the past year.

The post What’s happening to ASX nickel shares today? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX mining companies by market cap
• How has the Nickel Mines share price been performing since the big squeeze?
• All that glitters isn’t gold: Here are the worst performing ASX mining shares of the quarter
• Why IGO, Lake Resources, Regis Resources, and ResApp shares are charging higher
• ASX 200 midday update: IGO increases Western Areas offer, BlueScope makes US acquisition

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 market has taken a turn for the worst today, with the S&P/ASX 300 Index (ASX: XKO) following its more recognisable peers into the red. But some ASX 300 shares are bucking the trend to not only record gains on Tuesday, but to surpass their highest point in more than a year.

Right now, the ASX 300 is down 1.94%. That’s comparable to the falls recorded by both the All Ordinaries Index (ASX: XAO) and the S&P/ASX 200 Index (ASX: XJO) on Tuesday.

So, which ASX 300 shares are reaching long-forgotten highs today, and what’s inspiring them to trade in the green? Let’s take a look.

3 ASX 300 shares hitting new 52-week highs

Irongate Group Ltd (ASX: IAP)

The Irongate share price hit a new all-time high of $1.94 in intraday trade on Tuesday.

Interestingly, there’s been no news from the real estate investment trust (REIT) to explain its buoyancy.

However, the company is currently in the throws of a takeover proposal from a partnership involving Charter Hall Group (ASX: CHC).

The proposal – which has been given the thumbs up from Irongate’s board ­– will see the ASX 300 company’s shareholders receiving $1.90 of cash per share they own.

Shareholders will also be eligible for Irongate’s upcoming dividend up to the value of 4.67 cents per share.

Eclipx Group Ltd (ASX: ECX)

Fleet lease and management services provider, Eclipx is also in the green today.

In fact, the ASX 300 stock surged 2.8% to trade at $2.88 at its intraday high – the highest it’s been since 2018.

There’s been no news from the company lately. Though, its share price has gained nearly 34% year to date.

Hotel Property Investments Ltd (ASX: HPI)

Finally, rounding out the ASX 300 shares reaching new 52-week highs on Tuesday is Hotel Property Investments.

The REIT’s stock rose to $4.05 – a new all-time high ­– despite the broader market trading in the red today.

The last time the ASX heard news from the company was in February when it released its results for the first half of financial year 2022.

The post 3 ASX 300 shares defying the carnage to reach new 52-week highs appeared first on The Motley Fool Australia.

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• Vanguard Australian Shares ETF (ASX:VAS) plummets! What’s going on?
• Hoping to bag the next Vanguard Australian Shares Index ETF (ASX:VAS) dividend? Read this

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 Hotel Property Investments 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 S&P/ASX 200 Index (ASX: XJO) is having a fairly awful start to this short week of trading. At the time of writing, the ASX 200 has lost a nasty 1.9% after falling by as much as 2.4% earlier this morning. But one ASX 200 blue chip share, in particular, seems to be escaping unscathed today. That would be the Endeavour Group Ltd (ASX: EDV) share price.

Endeavour is the alcohol and pubs company that was spun out of Woolworths Group Ltd (ASX: WOW) last year. It owns the Dan Murphy’s and BWS bottle shop chains, as well as Woolies’ old pub assets.

At the time of writing, the Endeavour share price is up a healthy 1,3% so far today. It goes without saying that that is a marked outperformance of the broader markets.

So what is sparing Endeavour shares from the fate of most of the other ASX 200 shares today?

Why is the Endeavour share price popping its cork today?

Well, it’s not entirely clear. There hasn’t been any news out of Endeavor out today. Or indeed since its quarterly trading update that was released last week. As my Fool colleague Brooke covered at the time, this saw Endeavour report a 2.1% slip in sales over the three months to 3 April 2022.

So it’s possible that today’s strong performance from Endeavour is a result of the company’s nature. As we reported with Woolworths earlier today, investors often flock to the ‘safety’ of consumer staples shares like Endeavour in times of market fear and selling pressure. Food, drinks and vices like alcohol tend to have a reputation as ‘recession-proof’ products. As such, many investors feel safer owning these kinds of companies in times of uncertainty – such as today’s market-wide selloff.

That could explain why other businesses in Endeavour’s consumer staples sector, such as Woolies, Coles Group Ltd (ASX: COL), Metcash Limited (ASX: MTS) and Treasury Wine Estates Ltd (ASX: TWE), are all doing far better than the ASX 200 today.

At the current Endeavour share price, this ASX 200 blue chip has a market capitalisation of $13.92 billion, with a dividend yield of 3.22%. 

The post Why is the Endeavour share price escaping unscathed on Tuesday? appeared first on The Motley Fool Australia.

More reading

• Is the Zip share price set to sink below the $1 mark for the first time since 2018?
• How is the Woolworths share price managing to defy today’s sell-off?
• 5 things to watch on the ASX 200 on Tuesday
• Top brokers name 3 ASX shares to sell next week
• These were the best performing ASX 200 shares last week

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 owns and has recommended COLESGROUP DEF SET. The Motley Fool Australia has recommended Treasury Wine Estates 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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As any investor in the Zip Co Ltd (ASX: ZIP) share price would know, it’s been a fairly dismal year. Even though we’re still only in April, 2022 has so far seen Zip shares lose more than 75% of their value. If we stretch that period to February 2021, Zip is now down more than 91%.

But the losses have unfortunately accelerated today. At the time of writing, the Zip share price has lost another 1.36% and is now sitting at $1.085 a share. This comes after the buy now, pay later (BNPL) company hit a new 52-week low of just $1.04 a share earlier this morning. These latest falls follow Zip releasing its less-than-well received third-quarter update last week.

So given Zip’s recent share price trajectory, it might not be unreasonable to assume that the ASX’s largest BNPL share could have a share price under $1 in the near future. If that did happen, it would be the first time since late 2018 that Zip was priced at such a level.

So could that be what’s in store for Zip?

Zip shares: Future penny stock or buy today?

Well, anything’s possible, of course. But one ASX investing expert reckons Zip could have brighter days in front of it. As my Fool colleague James covered at the time, analysts at broker Citi reckon Zip shares could well go higher from here.

Citi currently has a neutral (high risk) rating on Zip shares. But the broker has also rated the company with a 12-month share price target of $2.15. That would be more than double the current share price.

Here’s some of what the broker said on Zip:

While TTV growth was slower than expected and bad debts in AU increased qoq, on balance we see the 3Q update as positive with customer growth in the US accelerating in spite of tightening of risk settings, net transaction margins improving and Zip reducing costs faster than expected…

While stronger-than-expected growth on the back of Enterprise merchant additions represents upside potential, we are Neutral/High Risk (2H) rated as we are concerned about the potential for bad debts to remain elevated and the impact to top line growth from cost reduction measures.

So no doubt investors will be hoping that a $2.15 share price becomes a reality for Zip over the next year. But we shall have to wait and see if this ASX BNPL share can turn its fortunes around.

The post Is the Zip share price set to sink below the $1 mark for the first time since 2018? appeared first on The Motley Fool Australia.

More reading

• Have ASX tech shares finally reached the bottom?
• 5 things to watch on the ASX 200 on Tuesday
• Is the Zip share price weakness a buying opportunity?
• Top brokers name 3 ASX shares to sell next week
• These were the best performing ASX 200 shares last week

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. owns 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 Bruce Jackson.

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The Lithium Plus Minerals Ltd (ASX: LPM) share price is trailblazing its debut on the ASX today. This comes after the lithium explorer provided an update in regards to its capital raise.

At the time of writing, Lithium Plus shares are up an astounding 188% to 72 cents.

Lithium Plus announces successful listing on ASX

In today’s statement, Lithium Plus advised it has successfully raised $10 million which reached the maximum targeted subscription amount in new equity funds.

Notably, Suzhou CATH Energy Technologies Co Ltd (CATH) conducted a $2.2 million cornerstone investment.

CATH is a subsidiary of CATL, the world’s largest electric vehicle battery manufacturer.

In total, 97 million Lithium Plus shares were listed at 25 cents apiece to eligible investors.

The register composition comprises 43% of board and management, 9% from CATH, and 48% making up “other” investors.

The raised funds allow the company to pursue exploration activities at its wholly-owned Bynoe Lithium Project in the Northern Territory.

The Bynoe Project is located adjacent to Core Lithium Ltd‘s (ASX: CXO) Finniss Lithium Project.

Lithium Plus stated that the Bynoe Project tenements are home to a similar geological setting to Finniss. Several of the key Bynoe prospects are located directly along strike from Core’s BP33 deposit.

Recent drilling at BP33 returned high-grade spodumene rich intersections including 57.35 metres at 1.83% Li2O and 51 metres at 1.63% Li2O.

Lithium Plus executive chairman, Dr Bin Guo commented:

We are delighted to have successfully reached this significant point in the Lithium Plus journey. The IPO process has provided a strong validation of the outright quality of the Bynoe Project, as recognised by all participating investors including our cornerstone IPO subscriber, CATH.

We now look forward to delivering upon the substantial potential of Bynoe and our other key tenements. That process commences in coming weeks with the planned start of drilling at the Lei and Cai Prospects. We are now simply excited to get started on aggressively exploring this world-class package of lithium ground.

More on the Lithium Plus

With operations based in the Northern Territory, Lithium Plus is focused on five projects within two highly prospective areas.

They include its flagship Bynoe Project and Wingate Project located in the Bynoe area, with the Barrow Creek, Spotted Wonder, and Moonlight Project situated in the Arunta province.

Based on today’s price, Lithium Plus commands a market capitalisation of roughly $31.67 million.

The post Lithium Plus Minerals share price explodes 180% on ASX debut appeared first on The Motley Fool Australia.

More reading

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• Are CBA shares a buy? Here’s what analysts say
• Perseus Mining share price slips despite record quarter
• South32 share price sinks 8% amid rising cost guidance
• Why is the AGL share price outperforming today?

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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Shares of banking major Commonwealth Bank of Australia (ASX: CBA) are tracking lower today at $104.99.

After a wavy run this past half-year, CBA shares are now back within their 52-week highs and are now up around 4% for the year.

Are CBA shares a buy?

It appears that analyst sentiment has shifted towards CBA, with the majority of coverage now rating it a sell.

According to Bloomberg data, 10 firms rate CBA a sell at present, 4 a hold, with the remainder saying to buy. Two of those are Jefferies and Bell Potter, valuing the bank at $116 and $108 per share respectively.

However, the consensus price target from this entire list is $95.31 per share, suggesting a potential downside target if these brokers are right.

Analysts at Morgan Stanley aren’t so sure about CBA and urge their clients to sell shares at the time of writing. The broker values CBA at $92 per share and reaffirmed its underweight rating in a recent note.

It was quick to point out that CBA’s mortgage growth has slowed in 2022, something it reckons stems from increasing competition and higher funding costs in the segment.

Morgan Stanley also highlights that CBA no longer benefits from the $51 million term-funding facility provided by the RBA either, a lower-cost source of funding than traditional measures.

During the “price war of 2021” it was this term-funding facility that “supported above system loan growth” throughout the year, the broker says.

JP Morgan has followed a similar vein in its review of CBA, advocating clients to sell or reduce their exposure.

The firm values CBA at just $94 per share, a 10% downside target at the time of writing. It too noted the pressures from mortgage markets, and expects banks such as CBA “to face greater [net interest margin] NIM pressure in the short-term than NAB/ANZ”.

In the last 12 months, CBA shares have spiked around 18% higher and are up 4% this year to date.

The post Are CBA shares a buy? Here’s what analysts say appeared first on The Motley Fool Australia.

More reading

• CBA share price slumps, racking up greatest losses of the ASX 200 banks
• Why is the CBA dividend so low compared to the other ASX 200 banks?
• Top brokers name 3 ASX shares to sell next week
• The CBA share price has leapt 14% since February. Too late to buy?
• Do CBA shares offer the highest big bank dividend yield?

Motley Fool contributor Zach Bristow 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 Perseus Mining Ltd (ASX: PRU) share price is tracking lower today despite the company posting a record result for the past three months of activity.

In its March quarter report released today, the gold exploration company said that it “continues to set production and operating cashflow records”. Despite this, investors have sold off and/or booked profits in Perseus shares today.

At the time of writing, the Perseus share price is tracing 2.85% lower at $1.875 after earlier hitting an intraday low of $1.84.

The share price is also likely to be feeling the weight of the S&P/ASX 300 Metals & Mining Index (ASX: XMM) tracking 5.51% lower so far today. That extends the sector’s losses to 11% over the past week.

Let’s take a closer look at the company’s March quarter results.

Perseus share price dips despite record quarter

Despite a production record of 130,523 ounces, investors haven’t bitten at Perseus shares today.

The company reported quarterly gold sales jumped to 131,044 ounces, an increase of 557 ounces for the quarter. Perseus realised these sales at a weighted average sales price of US$1,701 per ounce.

It also reported its weighted average all-in sustaining costs (AISCs) decreased by 3% quarter-on-quarter to US$908 per ounce.

The average quarterly cash margin increased US$58 per ounce to US$793 per ounce of gold for the quarter. However, cash expenditures increased during the period.

“Notional cashflow from operations increased by 10% quarter-on-quarter to US$104 million, resulting in total year to date notional cashflow of US$275 million,” Perseus said.

The company also paid an interim dividend of 0.81 cents per share at the end of the quarter. That represents a 0.43% trailing yield at the current share price.

Through its proposed acquisition of Orca Gold Inc., the company intends to increase its ore reserves and boost its ore inventory. It said:

The proposed acquisition of Orca Gold Inc. through a Plan of Arrangement which, when complete, will result in the ownership of the undeveloped long-life Block 14 Gold Project in Sudan, and an indirect 31.4% interest in the Koné Gold Project, owned by TSX-V listed Montage Gold Corp, in northern Côte d’Ivoire, that is based on a large, potentially long-life undeveloped gold reserve.

What’s next for Perseus Mining?

Perseus left the quarter with available cash and bullion of US$278 million, an increase of US$66 million in its net cash position.

With respect to its half-year forecasts, Perseus made no changes to previously outlined guidance in its results today.

It also retained full-year projections of 471,164 to 506,164 ounces at an AISC of US$932 to $1,020 per ounce. The company said:

Perseus’s strong operating performance is forecast to continue with no change to the June 2022 Half Year production guidance of 230,000 to 265,000 ounces at an AISC of US$915 to US$1,085 per ounce.

In the last 12 months, the Perseus share price has gained more than 47% and is up 16% this year to date after a slight pullback.

The post Perseus Mining share price slips despite record quarter appeared first on The Motley Fool Australia.

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Motley Fool contributor Zach Bristow 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 South32 Ltd (ASX: S32) share price is having a hard time attracting support on Tuesday. Increased selling pressure has arrived at the doorstep of the mining metals company following its March quarterly report.

In afternoon trade, South32 shares are trending lower with a fall of 8.4% from its previous closing price. As a result, the miner is now sitting at $4.43 per share. For comparison, the S&P/ASX 200 Index (ASX: XJO) is 1.9% in the red — retracting further from its recent green streak.

Let’s peel back the layers of South32’s latest announcement.

Are cost pressures creeping up?

The March-ending quarter was a busy one for South32, yet the market is not on its side today. Despite production numbers being markedly higher quarter on quarter for key products including silver, lead, and metallurgical coal, it looks like investors are focusing on the cost side of the equation.

Based on the quarterly report, the multi-billion-dollar mining giant is forecasting its full-year operating unit costs to move upwards. The revision to the FY22 cost guidance is a reflection of stronger producer currencies, inflated input costs, and an increase in price-linked royalties. In turn, the South32 share price is suffering today.

Furthermore, the increased operating unit costs are expected across most of the company’s operations. The only operation listed by South32 that has avoided revised guidance is the Sierra Gorda copper mine. Meanwhile, some of the operating unit cost increases include the following:

• Worsley Alumina: US$257 per tonne increased to US$265 per tonne
• Brazil Alumina: Approximate 5% increase from US$262 per tonne
• Cannington: US$120 per tonne to US$131 per tonne
• South Africa Manganese (FOB): US$2.51 per dry metric tonne to US$2.79 per dry metric tonne

What else?

On a more positive note, the company expects FY22 production to be in line with previous guidance.

In addition, South32 successfully completed the acquisition of its 45% interest in the Sierra Gorda copper mine during the quarter. This tallied up to be a US$1.4 billion acquisition for the mining beast.

Another initiative to reward shareholders during the quarter was the purchasing of a further 5 million shares through a buyback arrangement. At the end of the quarter, South32 has another US$285 million in buybacks remaining.

How has the South32 share price performed?

Despite today’s weakness, the South32 share price provided shareholders with market outperformance in 2022. While the ASX 200 has slipped 3.3% lower, the metals company is up roughly 9% over the same duration.

Finally, Goldman Sachs currently holds a conviction buy rating on the company. With its diversified exposure to base metals and strong free cash flow, Goldman has happily tagged it with a $5.80 price target.

The post South32 share price sinks 8% amid rising cost guidance appeared first on The Motley Fool Australia.

More reading

• 2 ASX 200 dividend shares to buy according to brokers
• Is South32 an ASX dividend stock?
• Here are the 3 most traded ASX 200 shares on Friday
• Mining and tech: Experts name 2 ASX 200 shares to buy now
• Goldman Sachs names 3 ASX 200 mining shares to buy today

Motley Fool contributor Mitchell Lawler 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 AGL Energy Limited (ASX: AGL) share price is in the red on Tuesday. Though, it’s outperforming many of its peers.

Right now, S&P/ASX 200 Index (ASX: XJO) is trading 1.77% lower. Meanwhile, the S&P/ASX 200 Utilities Index (ASX: XUJ) is down 1.59%.

And while AGL isn’t technically a part of the energy sector, it’s worth noting that the S&P/ASX 200 Energy Index (ASX: XEJ) has plunged 3.55%.

Meanwhile, the AGL share price is recording a 0.35% drop, trading at $8.45 per share.

So, what’s happening with the energy producer and retailer on Tuesday? Let’s take a look.

What’s going on with AGL today?

There’s been no price-sensitive news from AGL to explain its share price’s performance today.

However, the company has agreed to look into using coal ash from its Bayswater power station to make construction materials.

Additionally, some of the company’s preparations for its planned demerger have hit headlines. As has news that the outage at the Loy Yang power station could leave a nearly $90 million dint in AGL’s profits.

AGL and Nu-Rock Building Products have agreed to work together to recycle coal ash from Bayswater, helping to convert the station’s site into “an ecosystem within a circular economy”.

AGL chief operating officer, Markus Brokhof commented:

This technology is a great example of using various value streams, as we produce energy at Bayswater to power the state, our coal ash waste can be recycled for the better by Nu-Rock into bricks that can be used in local construction projects …

We have a very clear plan to rejuvenate our thermal sites into low carbon industrial energy hubs, and this technology would complement those plans.

On top of AGL’s latest sustainability move, the company is reportedly hiring in the lead up to its planned demerger.

If successful, the demerger will see AGL split into AGL Australia and Accel Energy.

The company is working to fill out customer and generation teams for both businesses as it prepared for shareholders to vote on the demerger in June, reports The Australian.

Finally, RBC Capital Markets reportedly believes the outage at Loy Yang A could dint AGL’s bottom line by $25 million a month. That’s if the company’s forced to buy energy from the spot market.

The broker said costs could culminate in a nearly $90 million hit to profits if the impacted unit isn’t up and running by August, reports The Australian.

AGL share price snapshot

Despite today’s dip, the AGL share price is well and truly in the year to date green.

It has gained 33% since the start of 2022. Though, it’s still 3% lower than it was this time last year.

The post Why is the AGL share price outperforming today? appeared first on The Motley Fool Australia.

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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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