• The Zip (ASX:Z1P) share price is down despite revealing major global growth

    share price plummeting down

    The Zip Co Ltd (ASX: Z1P) share price is currently down after reporting its FY21 result, even though it reported a substantial amount of international growth.

    Global gains in FY21

    Overall, Zip reported that revenue increased 150% to $403.2 million and total transaction volume increased by 176% to $5.8 billion.

    It was the US segment that delivered a substantial amount of the growth. US revenue growth was 269% (pro forma) to $176 million. Transaction volume growth was 225% (pro forma) to $2.45 billion.

    The UK, where Zip recently launched, saw revenue of $1.8 million and transaction volume of $25.2 million.

    ANZ saw revenue and transaction volume growth of 40% and 52% respectively, to $214.5 million and $3.24 billion.

    Zip said it’s executing on its global strategy. It’s now operating across 12 months in five continents, with the official additions of the US, the UK, Canada and Mexico, plus regional market entry points in Europe, the Middle East and Southeast Asia.

    The buy now, pay later business also revealed that it has agreed to acquire the remaining shares in the South African buy now, pay later business, Payflex. Zip explained that Payflex has access to a “sizeable underbanked, young and fast-growing African population”.

    What other factors from FY21 could be impacting the Zip share price?

    Zip released some information about its profitability.

    The company said that it maintained strong unit economics while investing for, and delivering, strong growth. The cash transaction margin was 3.5%.

    Management also stated that the business has delivered a strong credit performance in light of COVID-19, driven by repeat customer usage and investments in its decisioning capabilities. Net bad debts as a percentage of transaction volumes were 1.28%.

    Zip’s receivables book was recycling approximately every three months on a blended basis.

    It saw a $22.9 million loss of earnings before tax, depreciation and amortisation (EBTDA).

    Zips’s bottom line was a loss of $653 million.

    The Zip managing director and CEO Larry Diamond said:

    The trend and shift away from the unfriendly world of credit cards that was the genesis of the Australian business has proven to be a global phenomenon, and Zip continues to accelerate in all our key markets. This global play supporting consumers and global retailers alike, provides a real point of difference as we strive to fulfil our mission to become the first payment choice everywhere, every day.

    The post The Zip (ASX:Z1P) share price is down despite revealing major global growth appeared first on The Motley Fool Australia.

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

    Before you consider Zip, 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 Zip 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 August 16th 2021

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    Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of 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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  • Here are the top 10 ASX 200 shares on Wednesday

    share price high, all time record, record share price, highest, price rise, increase, up,

    Today, the S&P/ASX 200 Index (ASX: XJO) climbed further into the green. The benchmark index finished 0.34% higher to 7,527.8 points. Tech shares and miners did most of the heavy lifting to deliver the gain on Wednesday.

    However, the question is: which shares from the top 200 delivered the most green on the ASX today? Here are the ten stocks that delivered the biggest gains:

    Top 10 ASX 200 shares countdown today

    Looking at the top 200 listed companies, WiseTech Global Ltd (ASX: WTC) was the biggest gainer today. Shares in the logistics software company soared 24.45% after smashing its guidance with its FY21 full-year result. Find out more about WiseTech here.

    The next best performing ASX share out of the top 200 today was Flight Centre Travel Group Ltd (ASX: FLT). The travel agent’s shares climbed 6.64% to $16.23 ahead of its earnings tomorrow. Uncover the latest Flight Centre information here.

    Today’s top 10 biggest gains were made in these ASX 200 shares:

    ASX-listed company Share price Price change
    WiseTech Global Ltd (ASX: WTC) $45.05 24.45%
    Flight Centre Travel Group Ltd (ASX: FLT) $16.23 6.64%
    Event Hospitality and Entertainment Ltd (ASX: EVT) $14.92 5.82%
    Viva Energy Group Ltd (ASX: VEA) $2.06 5.37%
    Lynas Rare Earths Ltd (ASX: LYC) $6.81 5.26%
    Qantas Airways Ltd (ASX: QAN) $4.845 4.87%
    SkyCity Entertainment Group Ltd (ASX: SKC) $3.13 4.68%
    Deterra Royalties Ltd (ASX: DRR) $4.40 4.51%
    Dicker Data Ltd (ASX: DDR) $15.76 4.30%
    Summerset Group Holdings Ltd (ASX: SNZ) $13.14 4.29%
    Data as at 3:46pm AEST

    Our top 10 ASX 200 shares countdown is a recurring end-of-day summary to ensure you know which companies were making big moves on the day. Check-in at Fool.com.au after the market has closed during weekdays to see which stocks make the countdown.

    The post Here are the top 10 ASX 200 shares on Wednesday 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 August 16th 2021

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    Motley Fool contributor Mitchell Lawler owns shares of Lynas Corporation Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Dicker Data Limited and WiseTech Global. The Motley Fool Australia owns shares of and has recommended Dicker Data Limited and WiseTech Global. The Motley Fool Australia has recommended Flight Centre Travel 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 ASX reporting wrap-up: WiseTech, Bravura, Seven Group

    comical investor reading documents and surrounded by calculators

    Another day of reporting on the ASX has drawn to a close. That means it is time for us to summarise some of the big-name results you might have missed on the ASX today.

    We’ll quickly unpack today’s results and then wrap things back up for tomorrow:

    Those that reported on the ASX today

    WiseTech Global Ltd (ASX: WTC)

    Shares in WiseTech had an eventful day after the logistics software company reported its FY21 full-year results. A blockbuster result pushed the share price to an all-time high of $57.31 before entering a trading halt following an ASX price query. After resuming trade, the share price lost its momentum to settle the day up 26% to $45.60.

    The takeaway points:

    Bravura Solutions Ltd (ASX: BVS)

    The Bravura share price suffered a dramatic fall following its reporting of full-year results for FY21. Shares in the financial software solutions provider sank 15.96% lower after reporting a reduction in revenue and earnings.

    The takeaway points:

    • $243 million of revenue –11% less than that of FY20
    • Earnings before interest, tax, depreciation, amortisation (EBIDTA) down 15% to $49.3 million
    • Operating cash flow of $52.7 million
    • Net profit after tax of $34.6 million – down 14% on that of FY20
    • 6-cent per share final dividend (unfranked)

    Seven Group Holdings Ltd (ASX: SVW)

    Lastly, the Seven Group share price stumbled on the ASX today despite reporting a reasonable performance in its FY21 result. The news of Kerry Stokes retiring after the annual general meeting in November may have influenced the 7.56% fall in shares on Wednesday.

    The takeaway points:

    • $4.8 billion on trading revenue – 6.1% more than that of FY20
    • Underlying earnings before interest and tax (EBIT) of $792.1 million, up 7.3%
    • Operating cash flow of $622.4 million, up 15.6%
    • Fully franked final dividend of 23 cents per share (10% more than FY20). That brings the company’s full year dividends to 46 cents

    ASX shares reporting next week

    It was another busy day on the ASX for reporting. However, tomorrow can lay claim to its own set of exciting companies that are slated to release full-year results.

    Some of the big-name companies set to release their financials tomorrow include The A2 Milk Company Ltd (ASX: A2M), Appen Ltd (ASX: APX), Flight Centre Travel Group Ltd (ASX: FLT), Ramsay Health Care Limited (ASX: RHC), Woolworths Group Ltd (ASX: WOW), and Tyro Payments Ltd (ASX: TYR).

    To see the full line-up, check out our ASX Reporting Season Calendar.

    The post The ASX reporting wrap-up: WiseTech, Bravura, Seven Group 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 August 16th 2021

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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. owns shares of and has recommended Bravura Solutions Ltd and WiseTech Global. The Motley Fool Australia owns shares of and has recommended Bravura Solutions Ltd and WiseTech Global. 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 Bravura, Nine, Reece, & Zip shares are sinking today

    ASX shares skills shortage downgrade arrow causing the ground to crack symbolising a recession

    In late trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a small gain. At the time of writing, the benchmark index is up 0.2% to 7,520.4 points.

    Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are sinking:

    Bravura Solutions Ltd (ASX: BVS)

    The Bravura share price has crashed 17% to $3.13 following the release of its full year results. In FY 2021, the financial technology company reported an 11% decline in revenue to $243 million and a 14% reduction in net profit after tax to $34.6 million. The latter was at the low end of its guidance range. However, the main drag on its shares appears to be the shock departure of its CEO Tony Klim. He will leave the business next week after 13 years.

    Nine Entertainment Co Holdings Ltd (ASX: NEC)

    The Nine share price has fallen 9% to $2.70. This was despite the media company reporting a 76% increase in net profit after tax to $2278 million for FY 2021. As strong as this was, it was slightly lower than expectations. Also weighing on its shares was management’s operating expense guidance for FY 2022.

    Reece Ltd (ASX: REH)

    The Reece share price has crashed 11% to $22.32. This follows the release of the plumbing parts company’s full year results after the market close on Tuesday. While that result was in line with the market’s expectations, management’s uncertain outlook is weighing on its shares. Particularly given the lofty multiples they trade on.

    Zip Co Ltd (ASX: Z1P)

    The Zip share price is down 3% to $7.11. This morning Zip released its full year results and reported a 150% increase in revenue to $403.2 million. This was driven by a 178.5% jump in transaction volume to $5.8 billion, which was underpinned by a 247.5% increase in customer numbers to 7.3 million. The company also revealed that so far in FY 2022 total transaction value was up 58% in Australia and 240% in the United States. As positive as this was, its increasing costs appears to have spooked investors.

    The post Why Bravura, Nine, Reece, & Zip shares are sinking today 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 August 16th 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. owns shares of and has recommended Bravura Solutions Ltd and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Bravura Solutions 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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  • Why the Althea (ASX:AGH) share price is sinking 10% today

    A smartly dressed man screams to the sky in a trendy office.

    The Althea Group Holdings Ltd (ASX: AGH) share price has returned to trading today only to get smoked by investors. The cannabis company provided an update to market on its latest capital raising efforts.

    At the time of writing, Althea shares are down a sizeable 10.53% to 25.5 cents. In comparison, the All Ordinaries Index (ASX: XAO) is up 0.34% to 7,799 points.

    What did Althea announce?

    A reason for the steep fall in the Althea share price could be an impending share dilution by the company.

    According to today’s announcement, Althea advised it has successfully completed an institutional placement, raising $10.64 million before costs.

    Both new and existing institutional and sophisticated investors signalled strong interest to support Althea’s growth plans.

    As a result, around 44.35 million shares will be issued to participating investors at a price of 24 cents each. This represents a 15.8% discount on the last closing price of Althea shares before going into a trading halt on 23 August.

    Althea will use the proceeds of the placement to fund a range of growth initiatives across the company’s pharmaceutical business. This includes supporting further expansion in Australia, Europe, and other international markets. Furthermore, Althea will use part of the funds for general working capital expenses.

    Althea group CEO Joshua Fegan commented:

    We are very pleased to have received strong interest for this capital raising. The additional funding will fuel a range of strategic growth initiatives in our pharmaceutical business, and I’d like to take this opportunity to thank our new and existing shareholders for their support. We look forward to updating the market with news regarding our progress in established territories, as well as our ongoing international expansion.

    About the Althea share price

    Attributing to today’s loss, the Althea share price has given up 40% of its value since the beginning of 2021. Looking at a larger time frame, the company’s shares haven’t fared much better, down 30% over the past 12 months.

    On valuation grounds, Althea has a market capitalisation of around $66.9 million, with approximately 262 million shares on issue.

    The post Why the Althea (ASX:AGH) share price is sinking 10% today appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Althea Group right now?

    Before you consider Althea Group, 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 Althea Group 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 August 16th 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 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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  • How did the Polynovo (ASX:PNV) share price respond last earnings season?

    A doctor looks unsure, indicating share price uncertainty for ASX medical companies

    The Polynovo Ltd (ASX: PNV) share price is up 1.9% in late afternoon trading to $2.13 per share.

    The S&P/ASX 200 Index (ASX: XJO), meanwhile, is struggling to hold on to its earlier gains, though currently still up 0.2%.

    Polynovo is under the microscope today as the ASX medical device developer gets set to deliver its full year 2021 financial results (FY21) tomorrow.

    With investors keenly awaiting Thursday’s results, we look back to how the Polynovo share price moved following the release of its FY20 results.

    What did Polynovo report in FY20?

    The Polynovo share price fell 6.5% on 26 August 2020, the day the company reported its FY20 results.

    The fall came despite a 104% increase in sales revenue reported over the year, to $19.1 million. Revenue grew across the company’s markets, with particularly strong growth in the United States.

    Likely contributing to Polynovo shares falling after last year’s results was the 28.8% year-on-year increase in operating expenses which reached $22.6 million. The company reported an operating loss of $1.1 million and a net loss after tax of $4.2 million.

    Polynovo finished off FY20 with a cash balance of $11.6 million.

    No guidance was offered for FY21. However, management said at the time they planned to reinvest funds back into the business for new product development and to expand into new markets.

    Polynovo share price snapshot

    Over the past 12 months, Polynovo’s share price is down 10%. By comparison the ASX 200 is up 22% since this time last year.

    Year-to-date, the Polynovo has yet to recover from the sharp falls it suffered in January. Its shares are down 45% in 2021.

    The post How did the Polynovo (ASX:PNV) share price respond last earnings season? appeared first on The Motley Fool Australia.

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

    Before you consider Polynovo, 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 Polynovo 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 August 16th 2021

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    The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended POLYNOVO 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 Appen (ASX:APX) share price slumped 7% last time it reported

    Businessman puts hand over eyes on a sinking boat in ocean

    The Appen Ltd (ASX: APX) share price has been storming higher on Wednesday. Shares in the Aussie tech company are up more than 8% following yesterday’s surge.

    With the Aussie data company set to release earnings tomorrow, let’s take a look at how the company’s share price reacted last time it reported.

    Why the Appen share price slumped 7% last time it reported

    Appen reported its full-year earnings back on 24 February 2021. Shares in the Aussie data company sank 7% following the update despite reporting a 12% jump in revenue to $599.9 million.

    The “WAAAX” company reported underlying earnings before interest, tax, depreciation and amortisation (EBITDA) up 8% to $108.6 million while underlying net profit edged 1% lower to $64.6 million.

    Appen even announced a 50% franked dividend of 5.5 cents per share as part of the full-year update. However, investors were not impressed with the Appen share price sinking 7% lower throughout the day.

    It was a similar story back following Appen’s half-year 2020 earnings as well. Shares in the Aussie data company fell 11.1% lower on 27 August 2020 despite a 25% increase in revenue to $306.2 million.

    Appen reported underlying EBITDA up 6% to $49.1 million with a 3% decline in underlying net profit after tax to $28.9 million. The company announced a 4.5 cents per share and 50% franked interim dividend up 12.5% from the previous year.

    Once again, however, the Appen share price sank lower. Investors will be hoping that tomorrow’s half-year results update is the one that reverses the recent trend for the Aussie data company.

    If the recent market moves are anything to go by, investors have high hopes for Thursday’s update. The Appen share price has surged more than 8% higher on Wednesday and is now up more than 18% in the last 5 days.

    The post The Appen (ASX:APX) share price slumped 7% last time it reported appeared first on The Motley Fool Australia.

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

    Before you consider Appen, 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 Appen 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 August 16th 2021

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    Motley Fool contributor Ken Hall 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 Appen Ltd. The Motley Fool Australia owns shares of and has recommended Appen 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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  • Qantas (ASX:QAN) share price lifts 5% as ad campaign hits home

    Woman smiling while looking out of aeroplane window and listening to headphones

    The Qantas Airways Limited (ASX: QAN) share price is taking off today as the company reminds Australians they could be flying again soon.

    While the airline’s latest ad has some Australians feeling a bit down, it seems to have had the opposite effect on the Qantas share price. The airline’s shares are up 5.3% today, swapping hands for $4.87 apiece.

    Let’s take a closer look at the advert that’s got Australia bawling.

    Qantas tugs on Australians’ heartstrings

    The Qantas share price is in the green while Aussies are feeling a bit blue.  

    Locked down Australians have flocked to Twitter (NYSE: TWTR) to share that Qantas’ heartfelt ad had them sobbing as they imagined a future where international travel is once again the norm.

    The advert is set to an exclusive rendition of Tones And I’s single Fly Away and shows images of Australians travelling overseas to see loved ones, go to Disney Land, and even get married.

    By this point, I shouldn’t need to warn you to get the tissues ready before having a squizz at the marketing move that might be boosting Qantas’ share price today:

    [youtube https://www.youtube.com/watch?v=4o9_AK1Kcyo?feature=oembed&w=500&h=281]

    And it seems Australians are suckers for punishment. The ad is currently at the #3 spot on YouTube’s trending list.

    The ad is part of Qantas’ Be Rewarded campaign. The campaign is aiming to encourage Australians to get a COVID-19 jab. In return for rolling up their sleeves, Qantas is offering Australians loyalty points and flight vouchers. Additionally, 10 vaccinated Australians will win free travel for a year.

    The campaign follows Qantas’ decision to mandate that its employees must receive a COVID-19 vaccine unless they have a medical exemption.

    Qantas share price snapshot

    Today’s gains aren’t quite enough to get the Qantas share price back into the green.

    Right now, Qantas’ shares are trading for just 0.9% less than they were at the start of 2021. However, they have gained 26% since this time last year.

    The post Qantas (ASX:QAN) share price lifts 5% as ad campaign hits home appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Qantas Airways right now?

    Before you consider Qantas Airways, 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 Qantas Airways 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 August 16th 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. owns shares of and has recommended Twitter. 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 Ramsay (ASX:RHC) share price lifted 8% last time the company reported

    share price up

    The S&P/ASX 200 Index (ASX: XJO) is enjoying a decent day of trading this Wednesday. The ASX 200 is currently up 0.16% to 7,515 points at the time of writing. However, in what might be some trepidation about it’s earnings report tomorrow, the Ramsay Health Care Limited (ASX: RHC) share price is not enjoying the same treatment. Ramsay shares are currently trading at the rather unfortunate share price of  $66.66, down 0.48% for the day.

    So as I just mentioned, Ramsay is scheduled to report its full-year earnings for FY2021 tomorrow morning. But while we wait with bated breath for these numbers, let’s check out what the Ramsay Health Care share price did last time the company had an appointment with its investors.

    So Ramsay reported its half-year earnings back in February of this year, 25 February to be precise.

    Here’s a summary of what the company reported at the time:

    • Revenues of $5.9 billion, a 6.6% fall over the previous corresponding period (pcp).
    • Statutory net profit of $226 million, a 12.5% drop over the pcp.
    • Diluted earnings per share (EPS) came in at 96.9 cents, a decline of 21.1% over the pcp
    • Earnings before interest and tax (EBIT) of $583.8 million, a 4.2% slump.
    • An interim dividend of 48.5 cents per share, fully franked, 21.1% lower than Ramsay’s previous interim payout.

    How did the Ramsay Health Care share price respond?

    Despite these numbers showing a significant hit from the coronavirus outbreak, investors responded enthusiastically to these earnings back in February. As we covered at the time, investors sent Ramsay shares up around 8% in the first few hours of trading following this release. As it stands today, Ramsay shares are around 5.5% higher than the day before this report became public 6 months ago.

    At the current Ramsay share price, the company has a market capitalisation of $15.32 billion, a price-to-earnings (P/E) ratio of 62.96 and a dividend yield of 0.72%.

    This company is up 6.88% year to date in 2021 so far, but is only up 1.07% over the past 12 months. Disappointingly for its investors, the Ramsay share price is also down close to 12% over the past 5 years.

    The post The Ramsay (ASX:RHC) share price lifted 8% last time the company reported appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Ramsay Health Care right now?

    Before you consider Ramsay Health Care, 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 Ramsay Health Care 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 August 16th 2021

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    Motley Fool contributor Sebastian Bowen owns shares of Ramsay Health Care 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 recommended Ramsay Health Care 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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  • Got Afterpay (ASX:APT) shares? Here’s what to look out for in FY22

    An Asian woman looks towards the sky and the future.

    All eyes are on Afterpay Ltd (ASX: APT) shares on Wednesday following the release of the company’s highly anticipated FY21 results.

    Afterpay released some classic growth figures, including a 90% jump in underlying sales to $21.1 billion, a 62% uplift in active customers to 16.2 million, and a 77% increase in active merchants to 98,200.

    From a financial perspective, the company’s revenue increased 78% to $924.7 million, while its loss after tax widened to $159.4 million compared to a loss of $22.9 million in FY20.

    With FY21 said and done, let’s take a look at what might drive the Afterpay business in FY22.

    Cross-border shopping

    Cross-border shopping has become an emerging growth driver for the Afterpay business. This allows Afterpay customers access to Afterpay merchants internationally with accompanying foreign exchange conversions.

    The company’s FY21 results highlighted cross-border trade sales increasing ~120% during FY21 as more merchants and customers access the offering. That’s in addition to a ~350% increase in merchant uptake on cross-border features against the prior corresponding period.

    Cross-border trade delivers pleasing benefits to merchants, with Afterpay saying that cross-border shoppers transact ~24% more frequently than domestic-only and with up to a ~13% increase in sales.

    It will be interesting to see how cross-border trade will influence its future growth, especially as the feature is now available across all operating regions.

    Driving growth across North America

    For the first time, North America exceeded Asia-Pacific as the company’s largest region as measured by underlying sales.

    The company said that expansion within North America, the world’s largest retail region, continues at an impressive rate. That’s despite growing off a larger base.

    US developments include the launch of Afterpay’s in-store card. This delivered an underlying sales run rate of ~$400 million based on July 2021 trading.

    In addition, Afterpay launched its Canada operations in August 2020, with a current sales run rate of ~$211 million.

    Successful launch in Europe

    Afterpay successfully launched in Italy, Spain and France in March this year with a reported ~450 brands now live.

    The company said that Germany is a “priority region for a retail-led expansion”.

    Something brewing in Asia?

    Afterpay’s commentary for its growth plans in Asia has largely remained the same for the past 12 months.

    This includes establishing an in-region team in Singapore and “exploring opportunities to leverage Tencent Holdings‘ network and relationships”.

    The company’s FY21 results reiterate its position in Asia, citing a “strategic foothold in Singapore”.

    What might be surprising was its point about an “expanding Shanghai office”.

    Afterpay share price snapshot

    The Afterpay share price has displayed whipsaw-like action for most of 2021, up 13.5% year to date.

    Investors might have to say goodbye to their Afterpay shares, with the Square (NYSE: SQ) takeover offer on track to be finalised in Q1 of calendar year 2022.

    The post Got Afterpay (ASX:APT) shares? Here’s what to look out for in FY22 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. owns shares of and has recommended AFTERPAY T FPO and Square. The Motley Fool Australia owns shares of and has recommended AFTERPAY T 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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