The CSL Limited (ASX: CSL) share price is trading broadly flat on Tuesday morning following the release of its annual research and development (R&D) update.

At the time of writing, the biotherapeutics company’s shares are fetching $294.15.

CSL share price flat following R&D update

During FY 2021, CSL invested more than US$1 billion in its R&D activities across six therapeutic areas, four scientific platforms, and two businesses.

Management notes that there were a number of highlights during the period. These include:

The Seqirus business advancing its first-of-its-kind adjuvanted, cell-based seasonal influenza vaccine (aQIVc) and increasing its work on its self-amplifying mRNA (sa-mRNA) development program. In fact, earlier this month, the Biomedical Advanced Research and Development Authority (BARDA) awarded Seqirus a multi-year contract to provide clinical development services to evaluate the safety, immunogenicity, and dose-sparing capability of two H2Nx influenza vaccine candidates. One is using a combination of Seqirus’ FDA-licensed cell-based and adjuvanted technologies, and the other is using its next generation sa-mRNA platform.

CSL has started a new collaboration with the Walter and Eliza Hall Institute for Medical Research (WEHI). This is one of the most prominent medical research and medicine development organisations in Australia. The two parties will work together to create a Centre for Biologic Therapies.

Another item highlighted by management is the impending Phase III study of 4-Factor Prothrombin Complex Concentrate to improve survival rates in traumatic injury and acute major bleeding. In addition, the company notes that the VANGUARD Phase III clinical trial for Garadacimab, a treatment in hereditary angioedema (HAE), has enrolled its last patient two months ahead of schedule. Recruitment from the AEGIS-II Phase III study of CSL112 (ApoA-1) for treatment of acute coronary syndrome is also progressing despite COVID-19 impact on clinical trial sites and patients.

Finally, on the licence front, CSL revealed that preparations are underway for EtranaDez, a gene therapy for haemophilia B, to submit a Biologics Licence Application for the US and Marketing Authorisation Application for the EU.

Management commentary

CSL’s Executive Vice President, Head of R&D, and Chief Medical Officer, Dr. Bill Mezzanotte, commented: “We continue to evolve as a leading plasma-based biotechnology company with purposeful diversity in therapeutic areas, scientific platforms and strategic alliances.”

“We are continuing to invest in our core plasma business while also enhancing our other scientific platforms to better deliver on our promise to discover, develop and provide innovations that save and improve lives around the world,” he added.

The post CSL (ASX:CSL) share price trades flat despite annual R&D update appeared first on The Motley Fool Australia.

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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. owns shares of and has recommended CSL Ltd. 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 A2 Milk Company Ltd (ASX: A2M) share price is trading higher on Tuesday following a change in substantial shareholding from UBS.

At the time of writing, shares in the diary and infant formula company are up 2.34% to $6.775.

UBS raises its stake

A2 Milk released a change in substantial shareholding update this morning, revealing that UBS has increased its stake from 6.35% to 7.40%.

The A2 Milk share price has shown some signs of life in the past week, bolstered by a positive update coming out of rival Bubs Australia Ltd (ASX: BUB) on Wednesday, 13 October.

Bubs announced a resurgence in earnings with infant formula revenues up 124% in 1Q22 compared to the same quarter last year and up 64% over the prior quarter.

Similarly, its adult goat milk power was up 100% year-on-year and up 61% quarter-on-quarter.

Another encouraging figure was its strong rebound in China-facing business with revenue up 156% on the prior year and up 98% quarter-on-quarter.

Overall international gross revenue increased 489% compared to the prior corresponding period (pcp) and up 35% on 4Q20.

The successful turnaround for Bubs helped drive a sharp 13.45% re-rate for the A2 Milk share price on the day of the announcement.

The 13.45% jump to $6.58 was also on the back of significant volume, with 15.03 million shares trading hands compared to a 10-day average volume of 5.97 million.

The A2 Milk share price was met with some degree of resistance the next day, surging as high as 9.88% to a 3-month high of $7.23 before closing the day 4.26% higher at $6.86.

The intraday pullback was again on high volume, with 19.24 million shares traded. The mixed performance perhaps signals a strong morning push before profit taking faded the gains.

A2 Milk share price snapshot

The A2 Milk share price is down 41% year-to-date following numerous guidance downgrades.

The relentless selling that took place between August last year and late-May has somewhat subsided.

A2 Milk shares have remain relatively range-bound since late-May, holding above the $5 level but struggling to break above $7.

The post A2 Milk (ASX:A2M) share price ticks higher as UBS increases holding appeared first on The Motley Fool Australia.

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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 recommended A2 Milk and BUBS AUST FPO. 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 Stockland Corporation Ltd (ASX: SGP) share price is up this morning after the company released its operational update for the first quarter of financial year 2022.

The housing developer and commercial property giant had a seemingly strong quarter despite COVID-19 restrictions impinging on tenants of its ‘retail town centre’ portfolio.

At the time of writing, the Stockland share price is $4.64, 0.87% higher than its previous close.

That’s a better performance than that exhibited by the broader market this morning. Right now, the S&P/ASX 200 Index is down 0.09%, while the All Ordinaries Index (ASX: XAO) has slipped 0.06%.

Let’s take a look at the quarter just been for Stockland.

Stockland share price gains after Q1 update

The Stockland share price is rising despite the company collecting just 75% of its retail rent without adding abatements or deferrals over the quarter just been.

Stockland noted discussions of COVID-19 rent relief with its retail tenants are still underway.

It was a better story for the company’s logistics portfolio. It ended the quarter with 98.9% occupancy, up from 98% in June 2021. Additionally, only 2% of rent for Stockland’s workplace and logistics assets went unpaid during the quarter just been.

The company’s residential arm also saw stronger performance. Residential property sales were up 8% compared to those of financial year 2021’s first quarter.

The company sold 1,947 lots over the quarter just been. It also acquired approximately 5,900 new lots to restock its assets.

Retirement living sales were in line with expectations, though, they were affected by COVID-19 restrictions. The integration of the Halcyon platform is progressing well, with Land Lease Communities’ sales in line with expectations.

Stockland’s managing director and CEO Tarun Gupta commented on the news driving the company’s share price today:

The group’s strong financial position was maintained at the end of the quarter with low gearing and ample liquidity, underpinned by our solid operational business performance.

Additionally, the company forecasted its funds from operations per security will be between 34.6 and 35.6 cents for financial year 2022. It expects to pay out 75% to 85% of funds from operations per security as dividends.

However, Stockland noted its guidance rests on Australia’s vaccination rates continuing to increase and COVID-19 restrictions easing alongside.  

Market watchers interested in the Stockland share price, keep an eye out for another operational update on 8 November.

The post Stockland (ASX:SGP) share price gains despite retail renters’ struggles 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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The Medibank Private Ltd (ASX: MPL) share price has handily outperformed the S&P/ASX 200 Index (ASX: XJO) in 2021, despite a strong showing from the index.

Year-to-date, Medibank shares are up 14% compared to a 10.5% gain posted by the ASX 200.

And the integrated healthcare company could have more outperformance to come.

That’s according to Andrew Martin, the principal portfolio manager of the Alphinity Australian Share Fund and the Alphinity Concentrated Australian Share Fund.

Earnings upgrades ahead?

One of the catalysts that could see the Medibank share price charge higher in the months ahead is the potential for earnings upgrades.

Speaking to the Motley Fool earlier in October, Martin explained:

We invest in what we call earnings leadership. Those are companies that are performing better than the market expects from an earnings perspective. Companies that are getting consistent earnings upgrades.

Alphinity concentrates on analysing individual stocks bottom up. But when it comes to the potential for earnings upgrades, Martin pointed to the Aussie insurance sector as one to keep an eye on:

One of the few sectors left getting earnings upgrades is insurance. It’s traditionally quite a volatile sector, because you can get big hits every now and again. But they’re experiencing some of the best conditions they’ve experienced since the early 2000s. A much better pricing environment coming through is helping grow the top line, and then you get this expansion in margin.

Which brings us to the Medibank share price.

When asked which ASX shares he believes have the potential to outperform, Martin had a few up his sleeve.

Among those, he said, “We quite like Medibank. It’s an insurance company, but health insurance, so a different kind of market.”

Martin said the business has “really been transforming itself since it listed”.

It’s taken some really strong leadership in terms of sorting out a number of issues in the market around claims and what was happening in terms of healthcare costs going up materially. They’ve worked with the industry to try to contain pricing and therefore grow the industry.

How has the Medibank share price been performing?

Medibank shares are up 27% over the past 12 months. By comparison, the ASX 200 has gained 18% over that same time.

Over the past month, the Medibank share price has struggled a bit, down 1% to the current $3.47 per share.

At the current share price, the company pays a trailing dividend yield of 3.6%, fully franked.

You can read the Motley Fool’s full interview with Alphinity’s Andrew Martin here.

The post Medibank (ASX:MPL) share price forecast for more growth: fund manager appeared first on The Motley Fool Australia.

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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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The Northern Star Resources Ltd (ASX: NST) share price is falling after its quarterly gold production declined and costs increased.

The Norther Star share price dipped 0.5% to $9.36 in early trade when the S&P/ASX 200 Index (Index:^AXJO) is hovering just under breakeven.

But Northern Star’s underperformance may have more to do with the weakening gold price than its quarterly. Other ASX gold mining shares are also under pressure.

Northern Star share price weathering weaker production

The gold miner reported a drop in gold production to 386,000 ounces for the three months to end September. This compares to 444,000 ounces it produced in the previous quarter.

A drop in output at all three of its mines (Yandal, Kalgoolie and Pogo) contributed to the weaker results.

Further, Northern Star is battling rising costs. All-in-sustaining cost (AISC) increased by 9.3% quarter-on-quarter to $1,594 an ounce. Group all in cost came in at $1,933 an ounce.

Silver lining for the ASX gold miner

But it isn’t all bad news for the Northern Star share price. Thanks to the still lofty gold price and the weak Australian dollar, Norther Star is still making a profit. The average price it received for its gold in the September quarter was $2,345 an ounce.

However, shareholders shouldn’t be surprised as falling gold production had previously been flagged.

Management also reassured investors that second half FY22 production will be stronger. This is due to higher expected grades at Yandal and increased mining rates at Pogo.

Unfazed by production disruptions

Pogo’s weaker performance in the latest quarter was due to construction disruptions that were necessary to increase mining rates.

“We seized the chance to complete other major works, including replacing the primary conveyor belt that transports ore from underground to the processing plant,” said Northern Star’s Managing Director Stuart Tonkin.

“This resulted in 24 days total downtime, which reduced throughput and gold production, in turn increasing costs per ounce.

“This work is now finished and we expect to see a significant benefit for both production and costs from the December quarter onwards. The mill bottlenecks have been removed and throughput is increasing in line with expectations for FY22 guidance.”

Reassuring guidance

The fact that Northern Star is sticking to its full year guidance should also reassure shareholders. The miner is expecting to products between 1.55 million and 1.65 million ounces of gold.

Another piece of good news is that costs are expected to decline. Management stuck to its previous ASIC forecast of $1,475 to $1,575 an ounce.

Other details in Northern Star’s quarterly update

Northern Star reported a cash earnings of $165 million to $175 million and had cash and bullion holdings of $756 million at the end of September.

This is after it paid $110 million in dividends and invested $123 million in net growth capital and exploration.

Norther Star share price lagging behind

The Northern Star share price crashed over 40% in the past year and is the worst performer among the major gold producers.

The Newcrest Mining Ltd (ASX: NCM) share price lost around 20% and the Evolution Mining Ltd (ASX: EVN) share price declined around 37%.

The post Northern Star (ASX:NST) share price wanes as quarterly production falls appeared first on The Motley Fool Australia.

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Motley Fool contributor Brendon Lau owns shares of Newcrest Mining Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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 IGO Ltd (ASX: IGO) share price is taking off this morning on news from the company’s 70%-owned Fraser Range joint venture.

IGO has begun a drilling program at the project to further explore 2 recently identified bedrock conductors. IGO’s joint venture partner notes the conductors are compelling nickel-copper targets.  

At the time of writing, the IGO share price is $9.82, 3.59% higher than its previous close.

Let’s take a closer look at today’s news.

IGO begins drilling program

The IGO share price is in the green on the back of an update posted by the company’s Fraser Range joint venture partner, Carawine Resources Ltd (ASX: CWX). 

IGO has started drilling at the project’s Red Bull tenement where low-temperature SQUID moving-loop electromagnetic surveys identified 2 targets in June.   

The surveys were looking to interpret a southern continuation of the lithostratigraphic package, known as the Snowys Dam Formation, that hosts the Nova-Bollinger nickel-copper-cobalt deposit.

Modelling by IGO shows the 2 conductors – named RB_C and RB_B – are within low-magnetic bodies. They will likely be mafic intrusions within the Snowys Dam Formation.

RB_C has a high conductance of around 5,500 siemens. Modelling shows it’s a 275-metre-by-275-metre plate dipping northeast from 320 metres below the surface.

Whereas RB_B has moderate conductance of around 2,500 siemens, modelled as a 250-metre-by-350-metre sub-vertical plate dipping east from 330 metres below the surface.

Through its joint venture with Carawine, IGO has access to 5 exploration areas. By funding the financial year 2022 exploration program – expected to cost approximately $1.3 million – IGO can earn another 6% of the Fraser Range joint venture. 

IGO share price snapshot

This year is going well for the IGO share price.

Right now, it’s 46% higher than it was at the start of 2021. It has also gained 125% since this time last year.

The post IGO (ASX:IGO) share price soars 4% on nickel-copper update 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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The Bapcor Ltd (ASX: BAP) share price is pushing higher on Tuesday morning.

At the time of writing, the auto parts retailer’s shares are up 0.5% to $7.60.

Why is the Bapcor share price pushing higher?

Investors have been bidding the Bapcor share price higher today following the release of a trading update at its annual general meeting.

According to the release, Bapcor has had a solid start to FY 2022 with overall group revenue flat during the first quarter compared to the prior corresponding period.

Management believes this result demonstrates the resilience and non-discretionary nature of Bapcor’s businesses. It notes that with NSW, VIC, ACT and NZ impacted by prolonged lockdowns, at least 70% of its stores were affected.

This solid start was driven largely by its Bapcor Trade, Retail Online, and Specialist Wholesale businesses, which all reported quarterly revenue growth over the prior corresponding period. This offset sales declines in its NZ and Autobarn businesses.

One slight negative that could be holding back the Bapcor share price today is its higher cost base and softer margins. However, management expects its margins to revert when lockdowns end.

What about the rest of the year?

Management continues to target FY 2022 pro forma earnings at least in line with what was achieved in FY 2021.

This is expected to be predominantly driven by its second half performance. Management expects its first half earnings to be softer than the prior corresponding period, whereas it expects its second half earnings to be stronger than the same period in FY 2021.

Following today’s gain, the Bapcor share price has narrowed its year to date decline to approximately 3.5%. This compares to a 10.4% gain by the S&P/ASX 200 Index (ASX: XJO) over the same period.

The post Bapcor (ASX:BAP) share price higher following trading update appeared first on The Motley Fool Australia.

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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 shares of and has recommended Bapcor. 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 PointsBet Holdings Ltd (ASX: PBH) share price has been out of form in 2021.

Since the start of the year, the sports betting company’s shares have fallen 10%.

Is the weakness in the PointsBet share price a buying opportunity?

One leading broker that sees a lot of value in the PointsBet share price at the current level is Goldman Sachs.

Its analysts currently have a buy rating and $14.75 price target on the company’s shares.

Based on the current PointsBet share price of $10.05, this implies potential upside of 47% for investors over the next 12 months.

Why does the broker like PointsBet?

Goldman is bullish on the PointsBet share price largely due to the company’s massive opportunity in the United States market.

It previously commented: “We see PBH as well-placed to carve out a niche share of the burgeoning US sports betting market, which we forecast to reach US$39 bn at maturity, implying a robust 40% CAGR out to 2033.“

In addition, it sees margin expansion opportunities and scalability benefits in the future. It also doesn’t believe the current PointsBet share price reflects the upside from potential licence wins in key states.

Goldman explained: “We reiterate our Buy rating on PBH, with our thesis underpinned by i) PBH’s leverage to the burgeoning US Sports Betting and iGaming market, ii) our view that PBH is well-placed to achieve 10% share in states it operates in, iii) upside risk to LR sustainable margins in Aus and the US, iv) Scalability benefits ahead noting positive impacts from the NBCUniversal deal to come and iGaming synergies, and v) strong management team and execution track record. Stay Buy with our view that current share price levels do not reflect much upside from potential license wins in states such as NY.”

The post Why Goldman is tipping 47% upside for the PoinstBet (ASX:PBH) share price appeared first on The Motley Fool Australia.

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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. owns shares of and has recommended Pointsbet Holdings Ltd. 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 EML Payments Ltd (ASX: EML) share price has hit a rough patch over the past couple of weeks.

Ahead of the market open, shares in the payments company are sitting at $3.04 apiece. This means the company’s shares have eroded 17.2% in the past 2 weeks. In contrast, the S&P/ASX 200 Index (ASX: XJO) has outperformed the ASX-listed company with a gain of 1.8% across the same period.

What’s been going on with the EML Payments share price?

It has been a challenging time for the EML share price recently. This follows the company disclosing further correspondence between its Irish-based subsidiary, PFS Card Services (PCSIL), and the Central Bank of Ireland (CBI).

As previously covered, on 7 October EML revealed additional details on potential directions that CBI might want to take in addressing the regulatory concerns present at PCSIL. These potential directions could add to the existing costs associated with the remediation plan and/or dampen future growth prospects.

Regarding the potential growth limitations, EML stated:

Whilst acknowledging the remediation program currently underway and governance improvements with the PCSIL Board, the CBI has advised that PCSIL’s proposed material growth policy, as requested and approved by the PCSIL Board, is higher than what the CBI would want to see.

At this stage, the PCSIL board is expected to present a detailed analysis of limits applied across 27,000 programs to the CBI. This analysis will be used as a basis for the proposed recalibration of limits for certain programs. However, investors are currently none the wiser on how successful this presentation might be. Hence, the uncertainty has manifested itself as increased volatility in the EML share price.

Additionally, the company intends on submitting further information to CBI regarding the potential directions by 28 October 2021.

Thankfully, any operational impacts will be contained to the company’s European operations. Meanwhile, EML’s Australian, North American, and United Kingdom operations will remain unaffected.

What’s the current damage?

The initial correspondence with the CBI was initiated on 14 May 2021. Since then, EML Payments has been occupied with instigating remediation plans to address some of the regulatory concerns highlighted.

In its FY21 full-year result, the payments company specified $11.4 million in costs incurred in relation to professional advisory, remediation, and other potential costs associated with CBI’s regulatory worries.

The latest EML share price weakness likely stems from the unknown of what the true final costs could amount to. As a result, shareholders are treading carefully until more information is disclosed to the market.

The post Why has the EML (ASX: EML) share price tumbled 17% in 2 weeks? appeared first on The Motley Fool Australia.

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Motley Fool contributor Mitchell Lawler owns shares of EML Payments. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended EML Payments. The Motley Fool Australia owns shares of and has recommended EML Payments. 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 Commonwealth Bank of Australia (ASX: CBA) could be impacted by a potential price war in the near future. Australia’s largest bank has moved its latest chess piece to lure new customers away from the other big banks.

At Monday’s market close, the CBA share price ended 1.62% higher to $103.94. It’s worth noting that its shares are around 4.5% off the all-time high of $109.03 reached in mid-August.

What moves in CBA making?

CBA has come into the spotlight recently for employing innovative tactics to win market share in the mortgage sector.

According to the Age, the bank is seeking to attract customers with cheap variable interest rates. This involves offering extremely low rates for new clients who are considered low-risk and have a 30% deposit on hand. The move is expected to further accelerate the already expensive housing market.

Furthermore, this could negate the Australian Prudential Regulation Authority’s (APRA) effort to curb property investors from entering the market. APRA’s policy requires financial institutions to evaluate new borrowers at an interest rate of 3 percentage points higher than the actual loan rate.

With mortgage competition expected to heat up, the banks could potentially assess home loan customers more favourably. By offering a discounted interest rate, this means that customers are now tested at a lower rate.

In addition, the big four banks have access to cheap funding giving more room to manoeuvre. This includes low-cost deposits and wholesale rates, as well as the $200 billion Reserve Bank scheme. The latter is an established funding facility that can be used to give customers rock bottom interest rates.

Time will tell where CBA shares end up when the company reports its first quarter trading update on 17 November.

CBA share price summary

It’s been a solid 12 months for CBA shares, rising by 50% in value for investors. When looking at year-to-date, its shares have lifted by more than 25% for the period.

CBA commands a market capitalisation of roughly $177.36 billion, making it the highest valued company on the ASX.

The post Own CBA (ASX:CBA) shares? Here’s why mortgage competition is intensifying appeared first on The Motley Fool Australia.

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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 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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