The Regis Resources Limited (ASX: RRL) share price is out of form again on Friday.

In morning trade, the gold miner’s shares are down 5% to a 52-week low of $2.05.

Why is the Regis Resources share price under pressure?

Investors have been selling down the Regis Resources share price today after a pullback in the gold price to a one-month low.

According to CNBC, the spot gold price fell 2.3% to US$1,754.10 an ounce during overnight trade. This was driven by improvements in the US dollar and bond yields, reducing the appeal of the precious metal.

It isn’t just the Regis Resources share price falling today, though. The weakness in the gold price has led to the S&P/ASX All Ordinaries Gold index falling almost 4%.

Why are its shares at a 52-week low?

While the above explains the weakness in the Regis Resources share price today, it doesn’t necessarily explain why it is at a 52-week low.

That appears to be due to uncertainty relating to its McPhillamys Gold Project. This project is one of the largest undeveloped open pit gold projects in Australia and seen as the key driver of the company’s future growth.

However, it is still seeking approval and the progress to gaining it has been taking some time. It is largely because of this that the team at Goldman Sachs have a sell rating on its shares.

Last month the broker commented: “McPhillamys approvals and execution risk: the greenfield development project is still awaiting regulatory approval (DPIE and IPC) and a pending DFS update. We see downside risk in the project achieving regulatory approvals given a mixed recent history of mining approvals in NSW. Regardless, we expect that when-and-if the project is approved, the updated DFS will present significantly higher capex and opex estimates than the 2017 PFS. Given the slow progress of approvals, our forecast construction and commissioning timeline assumes plant commissioning late-2023.”

Though, it is worth noting that since the release of this note, the Regis Resources share price has tumbled lower. As such, it is now trading well below Goldman’s price target of $2.50. This could be a sign that value is now emerging for investors.

The post The Regis Resources (ASX:RRL) share price is down 5% to a 52-week low 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 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 Elixir Energy Ltd (ASX: EXR) share price is blowing off steam after the energy producer announced an operations update.

At the time of writing, Elixir shares are swapping hands for 27 cents, down 3.57%.

What’s driving the Elixir Energy share price lower?

Investors are selling off Elixir shares after the company provided an update of its operating performance over the last month.

This relates to its current exploration campaign at its wholly-owned Nomgon IX Coal Bed Methane (CBM) Production Sharing Contract (PSC). CBM is better known as coal seam gas in Australia.

The company said its Richcairn-1S exploration well, located within the Nomgon project in Mongolia, has now been completed. Up to 792 metres were drilled, and 16 metres of coal and 20 metres of highly carbonaceous mudstone (silty coal) were discovered.

The rig will move to another location, Richcairn-2S, with drilling due to start in the next day or so. In a possible boost for the Elixir Energy share price, the company noted that drilling further wells could lead to an extensive coal-bearing sub-basin for 2021 and beyond.

As the last 6 wells have all intersected their coal targets, the company will add a third rig to accelerate its 2021 drilling program.

The Nomgon Central-1 core-hole has reached a total depth of 559 metres and logged 65 metres of coal. Currently, the well is gathering data that will underpin the design of future production testing. A number of laboratory tests are expected to follow in the coming months.

Drilling at the next Nomgon sub-basin appraisal well – Nomgon 6 – will begin later this week. The results from this will be used in the technical design of the planned 2022 production testing. In addition, the results will help secure the required environmental and other approvals in Mongolia.

Lastly, Elixir’s expanded seismic program is also due to begin shortly, targeting the acquisition of another 300 kilometres.

Management commentary

Managing director Neil Young commented on the news possibly driving the Elixir Energy share price:

With Richcairn, we have now added 3 new potentially productive sub-basins to our inventory in 2021 to date.

At Nomgon we continue to gather the data required to underpin our foreshadowed two-stage production testing process. As always in the last 18 months, we commend the resilience of our Mongolian team and sub-contractors in battling through the ongoing COVID-19 pandemic.

The Elixir Energy share price has doubled in value over the past 12 months and is up roughly 120% this year.

The post Elixir Energy (ASX:EXR) share price slumps on coal update 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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Motley Fool Australia Chief Investment Officer Scott Phillips joined Nine’s Late News on Thursday night to discuss Wesfarmers Ltd‘s (ASX: WES) acquisition of Australian Pharmaceutical Industries Ltd (ASX: API) and Domain Holdings Australia Ltd‘s (ASX:DHG) acquisition of a property data business, plus Telstra Corporation Ltd’s (ASX: TLS) ambitious new growth plans, and Myer Holdings Ltd’s (ASX: MYR) return to second-half profitability for the first time since 2017.

The post Acquisitions for Wesfarmers and Domain, Telstra plans to grow and Myer back in profit. Scott Phillips on Nine’s Late News appeared first on The Motley Fool Australia.

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Motley Fool contributor Scott Phillips owns shares of Telstra Corporation 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 owns shares of and has recommended Telstra Corporation Limited and Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Medibank Private Ltd (ASX: MPL) share price is moving higher this morning. This follows the release of the private health insurers’ annual report for 2021.

While the financial results had already been shared with investors back on 25 August 2021, today’s release comes with some added details and commentary.

At the time of writing, the Medibank Private share price is down 0.28% to $3.55 in early trade.

Let’s dive into the report.

More customers getting more back

To kick things off, the report opens with an elating one-liner, stating “We grew more in the past 12 months than we have in over 10 years.” Such a statement could have investors jumping for joy.

Although the exact metric being measured isn’t specified, we know that it’s not pertaining to the company’s net earnings after tax. In FY21, Medibank’s group net profit after tax increased 39.8% to $441.2 million. We only need to go back to FY16 to see earnings grow more than this. For reference, FY16 witnessed the bottom line climb 46% to $417.6 million.

Additionally, customer numbers across the Medibank and ahm brands have slipped since 2016 as well. According to its annual report at the time, the company served 3.8 million customers. Meanwhile, the company counts 3.7 million people as customers — a reduction of nearly 3%. This might be weighing on the Medibank Private share price this morning.

However, what has increased is the amount of money paid in claims to customers. For the recent financial year, Medibank coughed up $5.6 billion in claims, increasing 2% from the prior year. In fact, the company’s COVID financial support package for customers was the largest in its 45-year history.

To date, Medibank has provided $300 million, with $103 million in COVID permanent net claims savings being returned in premium relief. Adding to this, CEO David Koczkar said, “We stand by our commitment not to profit from COVID and will continue to return any related permanent net claims savings to our customers.”

This act of returning some of the premiums paid by customers was in recognition of the impact COVID has had on people’s ability to use their health insurance.

It appears premium return helped bolster the company’s brand among customers. In the year, Medibank customer advocacy rose 5.3 points to 37.1. Likewise, ahm gained 1.8 points to finish at 43.

Medibank share price wobbles on directors retirement

In addition to the annual report, Medibank also announced the retirement of two non-executive directors of its board.

According to the release, non-exec directors Christine O’Reilly and Peter Hodgett will retire from the board on 18 November 2021. This will be at the conclusion of the annual general meeting, of which, the directors have opted not to stand for re-election.

Commenting on the news, Medibank chair Mike Wilkins said:

I would like to take this opportunity to thank both Christine and Peter for their valuable contribution to our
company during their time as directors. They both joined the Board prior to Medibank’s listing on the
Australian Securities Exchange and helped guide the business through its transition from government-owned business to privatised company.

The search for two new directors is already underway.

The post Medibank (ASX:MPL) share price slips as customers hit 3.7 million appeared first on The Motley Fool Australia.

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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 Syrah Resources Ltd (ASX: SYR) share price looks set to end the week with a disappointing decline.

In early trade, the graphite producer’s shares are down over 7% to $1.17.

Why is the Syrah share price sinking on Friday?

The weakness in the Syrah share price on Friday has been driven by the release of an announcement this morning.

According to the release, the company has been struggling to ship its product from the Balama Graphite Operation in Mozambique due to container ship shortages.

The release explains that approximately 12kt of natural graphite sales from Balama were planned to ship from the Port of Nacala in late September. However, container shipping market disruption means that this has been delayed to October.

As a result of this disruption, third quarter natural graphite sales are only expected to be 17kt. This compares to its previous guidance of 29kt for the quarter.

One positive, though, is that the weighted average sales price for the September quarter is expected to be higher than the June quarter.

Another positive is that management expects container shipping constraints impacting its sales and operations to ease through the fourth quarter. It notes that additional vessel capacity and container equipment for East Africa is being added.

This may allow the company to take advantage of the strong demand and forward contracting for Balama products it is experiencing. Management advised that its sales order book is currently underpinning 45kt of natural graphite sales in the fourth quarter. Furthermore, there is additional spot sales demand evident.

Looking further ahead, management appears confident that demand will remain elevated for some time to come. This is due to outlook for electric vehicle and anode demand remaining strong. It highlights that monthly global electric vehicle sales reached 0.5 million units in August, which represents over 100% growth year on year. Whereas Chinese anode production was ~60kt in August, up 50% over the prior corresponding period.

The Syrah share price is up 19% in 2021 despite today’s decline.

The post Why the Syrah (ASX:SYR) share price is tumbling 7% lower today 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 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 Bank of Queensland Limited (ASX: BOQ) share price has been struggling this week. BOQ shares had fallen by around 2.5% between Friday and Wednesday. It’s down around 1% in early trading today.

Whilst each bank has its own buyers and sellers, there has also been volatility for other banks in recent times such as National Australia Bank Ltd (ASX: NAB), Australia and New Zealand Banking Group Ltd (ASX: ANZ) and Bendigo and Adelaide Bank Ltd (ASX: BEN).

Has anything happened to BOQ?

This week, it was reported by the Australian Financial Review that ME Bank could get a penalty of up to $100 million for criminal charges.

It is alleged by ASIC that ME Bank made “false and misleading representations in letters to borrowers, and failed to notify customers when repayment rates changed.”

Why does this impact BOQ? The regional bank recently acquired ME Bank. Apparently BOQ found out about this during the due diligence stage, before the acquisition. It has reportedly already paid remediation of more than $100,000 for this matter.

ME Bank appeared in court on Tuesday and is expected to return in November.

Of course, the $100 million figure is seemingly the maximum that could be applied.

How important is ME Bank for the BOQ share price?

If a $100 million fine were applied, it would be a large chunk of ME Bank’s annual profit. BOQ bought ME Bank for $1.325 billion and this was 11.9x ME Bank’s FY20 cash underlying earnings.

BOQ decided to buy the bank to create a compelling alternative to the big banks. Management called the acquisition transformational and strategically aligned.

It will deliver “material scale”, broadly doubling the retail bank and providing more geographic diversification. As the name suggests, Bank of Queensland has a weighting towards the Sunshine State.

BOQ noted there is a clear pathway to a scaled, common, cloud-based digital retail bank technology platform.

In financial terms, management think ME Bank is compelling. It’s expected to add to cash earnings per share (EPS) in the low double-digits to mid-teens when including the full run-rate synergies in the first year (being FY22).

It’s also expected to add to return on equity (ROE) in cash terms by over 100 basis points, including the full run-rate synergies in the first year.

Referring to the synergies that BOQ mentioned, it’s anticipating annualised pre-tax synergies of between $70 million to $80 million.

Do analysts rate the BOQ share price as a buy?

Macquarie Group Ltd (ASX: MQG) is one of the brokers that currently rates BOQ shares as a buy – and there are several buy ratings at the moment.

The broker has a price target of $10 per share on the bank. That suggests that the BOQ share price could rise more than 5% over the next 12 months. The broker likes the acquisition of ME Bank.

Based on the FY22 earnings estimates from Macquarie, the broker puts the BOQ share price at 13x estimated profit. The projected grossed-up dividend yield for FY22 is 7.2%.

The post Why the Bank of Queensland (ASX:BOQ) share price is struggling this week appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Macquarie Group 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 JB Hi-Fi Limited (ASX: JBH) share price is gaining today amid the release of the company’s annual report detailing its chair and CEO’s positivity toward FY22 following a “strong year” and despite “ongoing uncertainty”.

Within the report, the electronics and consumer goods retailer looked back on a financial year in which it achieved record earnings despite the challenges posed by COVID-19. However, the company is seemingly reluctant to say if the current financial year is expected to be so productive.

Right now, the JB Hi-Fi share price is $44.97, 0.29% higher than its previous close.

Let’s look at how financial year 2021 (FY21) played out for JB Hi-Fi and what it expects to achieve in FY22.

No guidance despite strong FY21 and confidence for FY22

The JB Hi-Fi share price is in the green today. Meanwhile, the retailing megalith, which operates both JB Hi-Fi and The Good Guys stores, has released its overview of the financial year just been.

The company’s chair, Stephen Goddard, and its newly instated CEO, Terry Smart, noted FY21 was a challenge for the retailer. However, its business model saw it performing better than ever before.

The pair said the company continued to meet demand despite ongoing challenges posed by the pandemic. They put FY21’s successes down to the company’s continued focus on its customers and competitive advantage from its multichannel offerings.

Over FY21, consumer demand for JB Hi-Fi and The Good Guys products increased. Meanwhile, the retailers took orders online, over the phone, and, when possible, in store.

As JB Hi-Fi reported in its financial year 2021 earnings, the company achieved record profits over the financial year just been. The JB Hi-Fi share price gained 2.5% on the back of its FY21 results, released on 16 August.

Over the current financial year, JB Hi-Fi will be focusing on improving its online stores. The company’s online segments received $780 million in sales last financial year.

It will also be innovating and diversifying its product offerings, supply chains, merchandising formats, and advertising and property locations. Goddard and Smart believe this approach will bring opportunities to increase revenue, margin, and productivity.

However, despite the productive plan, the company has continued to decline giving investors an outlook for financial year 2022. This was said to be due to the uncertainty facing the retail sector.

Instead, Goddard and Smart commented they have “confidence in the outlook for the business [and] look forward to another successful year in FY22”.

JB Hi-Fi share price snapshot

Despite JB Hi-Fi’s “strong” FY21, the company’s share price has been struggling.

It has fallen 10% since the start of 2021. It is also 5% lower than it was this time last year.

The post JB Hi-Fi (ASX:JBH) share price up amid ‘confident’ outlook for FY22 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 biggest cryptocurrencies Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) hog the limelight in the mainstream media.

However, there is one digital currency that’s risen as much as 17 times its value from the start of the year. In fact, by valuation it’s now the 3rd largest cryptocurrency.

In Australian dollar terms, Cardano (CRYPTO: ADA) started 2021 at around 22.8 cents. But earlier this month it touched the $4 barrier.

DeVere Group chief executive Nigel Green said this is only the beginning.

“I believe we can expect Cardano to hit fresh all-time highs, reaching more than US$4 ($5.48) by the end of 2021.”

As of Friday morning, Cardano was valued at $3.32.

Cardano’s growth catalyst just happened

Cardano, unlike Bitcoin, is a system that actually performs a function, rather than just acting as a store of value. 

The Cardano blockchain network allows the implementation of digital contracts. 

Last weekend a major upgrade dubbed ‘Alonzo’ was rolled out, which Green expects will act as an impetus for further growth.

“This overhaul will allow smart contracts to be built on the network, making the Cardano blockchain even more attractive to even more users,” he said.

“The major upgrade will give those who don’t necessarily have technical backgrounds the opportunity to create smart contracts. Smart contracts are pieces of code that allow individuals to enter financial agreements without the need for a centralised party.”

Cardano’s cryptocurrency is actually called Ada, but the public has adopted the system name to refer to the tokens.

While Ada’s value has cooled off this week in line with other cryptocurrencies, its real-life utility will help its long-term valuation.

“There’s no doubt that smart contracts are going to revolutionise most sectors including finance, real estate, legal, healthcare, and gaming,” said Green.

“This is why Cardano is increasingly attractive for forward-thinking investors.”

Shared heritage with Ethereum

Cardano’s utility is similar to Ethereum, which also facilitates smart contracts.

This is no coincidence, as Cardano’s founder Charles Hoskinson is also a co-founder of Ethereum.

The Motley Fool US’ Katie Brockman reported this week that, for now, Ethereum has more real-world uses.

“Ethereum is… home to non-fungible tokens (NFT) and the decentralised finance (defi) movement,” she wrote.

“Of course, this doesn’t necessarily mean Cardano won’t find ways to outperform its competitors down the road. It is still a relatively new cryptocurrency with room for growth. Also, cryptocurrency isn’t a zero-sum game, so it’s possible for multiple currencies to coexist with their own advantages.”

Green sounds pretty sure of Cardano’s potential.

“On the back of this considerable [Alonzo] upgrade, it can be expected to grab significant market share and, as a result, its price will continue its upward trajectory for the rest of 2021 and beyond.”

The post This cryptocurrency is a 17-bagger JUST THIS YEAR appeared first on The Motley Fool Australia.

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Motley Fool contributor Tony Yoo owns shares of Bitcoin, Cardano, and Ethereum. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Bitcoin and Ethereum. 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 IRESS Ltd (ASX: IRE) share price has come under pressure on Friday and is deep in the red.

At the time of writing, the financial technology company’s shares are down 13% to $11.82.

Why is the IRESS share price sinking?

Investors have been selling down the IRESS share price today following an update on takeover talks with EQT.

Last week, IRESS rather ominously revealed that it had granted EQT an additional 10 days of exclusivity to complete its due diligence. This came following the conclusion of a 30-day exclusivity period that started on 11 August.

IRESS granted EQT due diligence last month after it increased its takeover approach to $15.91 cash per share.

What’s the latest?

As you might have guessed from the IRESS share price performance today, discussions haven’t gone well.

According to today’s release, the discussions between IRESS and EQT have now concluded and the parties have been unable to agree a transaction.

IRESS’ Chair, Roger Sharp, commented: “In our 11 August announcement, Iress advised shareholders that there was no certainty the indicative proposal would result in a binding or formal offer from EQT. Nevertheless, the Board took the view that it was in the best interests of shareholders to engage further with EQT in relation to the indicative proposal.”

“The announcement today in no way impacts our strategy to accelerate growth and returns to shareholders, as detailed in our announcement of 29 July 2021 and presented at our investor strategy day.”

The company’s Chair remains positive on the future. He added: “Our aim has been and remains, to double net profit after tax by 2025, with potential for further upside. We have built solid foundations to capture more market share in large addressable markets and are focused on executing the plan. With our strong operating businesses, favourable industry trends and growth investments, we have a positive outlook.”

IRESS has reaffirmed its guidance for constant currency segment profit to be between $164 million and $168 million in FY 2021. Though, there will be one-off non-operating costs related to the transaction, which is expected to be in the order of $4 million to $5 million pre tax.

Despite today’s decline, the IRESS share price is still up 10% year to date.

The post IRESS (ASX:IRE) share price sinks 13% after takeover talks end 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 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 Australia NL (ASX: LIT) share price is on course to end the week on a positive note.

At the time of writing, the lithium extraction technology company’s shares are up 8% to 13.5 cents.

Why is the Lithium Australia share price climbing today?

The Lithium Australia share price is rising today after the release of an apparently price sensitive announcement.

It is worth noting that the ASX has only recently pulled the company up on an announcement for suspected “ramping”.

The ASX commented that ramping involves the release of “an announcement that has no substance but seeks to ride on the back of strong market sentiment in a particular sector.”

What was today’s announcement?

According to the release, in case you hadn’t noticed, lithium prices are rising strongly. It highlights that Pilbara Minerals Ltd (ASX: PLS) commanded US$2,500 per tonne for its lithium concentrate via its Battery Material Exchange digital auction this week.

In addition, the company notes that the popularity of cobalt-free batteries continues to grow and its subsidiary VSPC is still progressing its plans to establish a strategic position in the market for cobalt- and nickel-free lithium-ion batteries (LIBs).

Management claims that cobalt and nickel-free LIBs are safer, longer-lasting, and require less raw materials. As a result, with lithium prices sky-rocketing, demand for their use in electric vehicles and stationary energy storage is rising.

Lithium Australia’s Managing Director, Adrian Griffin, commented: “To develop renewable energy security, Australia requires a domestic battery supply chain. Pragmatic political policies and government support are a step in the right direction and the Modern Manufacturing Initiative – Collaboration Stream grants will hopefully provide some of that support.”

“The shortage of nickel- and cobalt-free cathode materials outside China is of great concern; however, the possibility of producing such material here in Australia has garnered enthusiastic support – from local miners right through to international battery producers. This country needs to act now, building on its resource base and developing the value-add that can position Australia as a leader in the new energy revolution,” he added.

The Lithium Australia share price has more than doubled in value this year.

The post Why the Lithium Australia (ASX:LIT) share price is up 8% today 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 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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