The Argosy Minerals Limited (ASX: AGY) share price is jumping higher in early trade, up 3.57%.

Below we take a look at the ASX resource explorer’s latest lithium update.

What lithium update did Argosy announce?

Argosy’s shares are gaining today. It comes after the company reported it had completed the magnetotelluric (MT) resistivity field survey works at its Tonopah Lithium Project.

The survey at Tonopah, located in the US state of Nevada, covered roughly 20 linear kilometres.

Argosy will now analyse the data to identify potential lithium brine target areas and set down priority drill target sites.

Commenting on the progress, Argosy’s managing director Jerko Zuvela said:

With lithium market sentiment and lithium carbonate prices continuing their strong upward momentum, and the significant push for lithium supply in the USA fast becoming critical in their aim to promote the highly strategic battery minerals industries, our Tonopah Lithium Project is in prime position and enhances Argosy’s value to all strategic groups across the battery and EV (electric vehicle) industry supply chain.

Noting its location in a jurisdiction that supports the commercial development of lithium, the company sees Tonopah as a significant opportunity to leverage its lithium brine processing technology in the US.

Zuvela added: “We look forward to progressing and realising the potential from our Tonopah Lithium Project, in an established tier 1 mining region, as the new green economy initiatives in the USA will trigger aggressive plans for this industry.”

Additonally, Argosy also has a current 77.5% (and ultimate 90%) interest in the Rincon Lithium Project in Argentina.

Argosy Minerals share price snapshot

The Argosy Minerals share price has gained 189% over the past 12 months. By comparison the All Ordinaries Index (ASX: XAO) is up 26% in that same time.

Year-to-date Argosy Minerals shares have continued to march higher, up 21% in 2021.

The post Argosy Minerals (ASX:AGY) share price lifting off on lithium update 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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China shares have been a hot topic for investors over the past month. One of the most popular stocks is Tencent Holdings Ltd (SEHK: 0700), which is currently valued at about A$744 billion.

There are, however, some risks that come with investing in China shares like Tencent. One such risk is government intervention – something that Magellan Financial Group Ltd (ASX: MFG) chairman Hamish Douglass is well accustomed to.

The esteemed fund manager’s Global fund counted Chinese tech titans Alibaba Group Holdings (NYSE: BABA) and Tencent as its sixth and eighth-largest holdings. At the end of June, the two companies combined made up 9.3% of the fund’s allocation.  

Dark cloud of uncertainty

If there is one thing investors don’t like, it’s uncertainty. The more unknown and uncontrollable variables, typically the more risk. In the case of companies at the peril of China state intervention, this risk has been manifested into reality more recently.

Earlier in the week, shares in Tencent tumbled as a state-owned newspaper described video games as “spiritual opium”. The remarks prompted Tencent shareholder concern about tighter regulations on the industry. Indeed, investors shot first and asked questions later as shares in the China-based company swiftly fell more than 10% on the news.

However, Tencent is not alone in its receipt of capitalistic criticisms recently. July bared witness to the demolition of the newly listed ride-sharing company, DiDi. The part celebratory listing antics were short-lived with China bringing down the hammer on the company over alleged customer data misuse.

Fuelling further fears, the Chinese government then went on to announce a crackdown on for-profit tutoring companies. A move said to be an effort in getting a hold on the increasing costs of education in the country.

Long-term vision for China shares

While the pressure mounted against Mr Douglass and his fund’s large weighting towards such investments, the prolific investor remained steadfast to his thesis. Specifically, Douglass continues to be optimistic about the lifting of Chinese middle-class incomes for the next 20 years.

A message that investing great Ray Dalio seems to also be reverberating. In a recent LinkedIn post, Dalio said:

To understand what’s going on you need to understand that China is a state capitalist system, which means that the state runs capitalism to serve the interests of most people and that policymakers won’t let the sensitivities of those in the capital markets and rich capitalists stand in the way of doing what they believe is best for the most people of the country.

The post What are the risks of investing in China shares like Tencent? 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. owns shares of and has recommended Alibaba Group Holding 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 Crown Resorts Ltd (ASX: CWN) share price is travelling higher today despite the Victorian Government’s hasty announcement yesterday.

At the time of writing, Crown shares are swapping hands for $8.92, up 2.06%.

Crown updates Melbourne operating conditions

A possible catalyst for the Crown share price reaching higher today could be investors bargain hunting. The company’s shares are not far off their 52-week low of $8.06.

In a statement to the ASX this morning, Crown advised that it has made a list of changes to its business operations.

This comes after the Victorian Government announced a snap 7-day lockdown yesterday for the entire state as COVID-19 cases rise.

In response, Crown closed all gaming activities, food and beverage, retail, banqueting and conference facilities last night.

The casino and resorts operator stated that hotel accommodation will continue only for approved purposes.

Furthermore, Crown will pay its Melbourne employees their rostered hours and salaries over the week-long lockdown.

Unfortunately, this is now the sixth lockdown that Victorians have had to endure. While most of them have been for a number of weeks, others have been for several months.

With no end in sight, this could be a regular occurrence until vaccination rates begin to rise.

About the Crown share price

It’s been a disastrous time for Crown shares, recording heavy falls since the beginning of June.

AUSTRAC began investigating potentially serious breaches with Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) laws by Crown Perth. In addition, Crown Melbourne has been having significant problems renewing its gambling licence in Victoria.

This led to the Crown share price dropping from its 52-week high of $13.32 to a low of $8.61 late last month.

Only time will tell if the company can regain the trust of authorities and continue to operate Australia’s largest casinos.

The Crown share price is hovering 4.4% down over the past 12 months and is down 9.9% year to date.

The post Crown (ASX:CWN) share price edges higher despite Victorian lockdown 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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There are a lot of growth shares for investors to choose from on the Australian share market.

To narrow things down, I have picked out three ASX growth shares that are highly rated. Here’s what you need to know about them:

Altium Limited (ASX: ALU)

The first ASX growth share to take a look at is Altium. It is the printed circuit board (PCB) design software provider behind the Altium Designer and Altium 365 platforms. These platforms are used in the design process of everything from automotive and aerospace to consumer electronics and medical devices. Demand looks set to increase for this type of software over the next decade thanks to numerous industry tailwinds. These include the Internet of Things and artificial intelligence booms, which are underpinning the proliferation of electronic devices globally.

One leading broker that is positive on the company is Credit Suisse. It currently has an outperform rating and $42.00 price target on its shares.

Kogan.com Ltd (ASX: KGN)

Another ASX growth share to look closely at is Kogan. It is a growing ecommerce company which is benefitting greatly from the shift to online shopping. This has underpinned very strong customer and sales growth over the last 18 months. And while the company is going through a difficult period as tailwinds ease and inventory builds up, this appears to be more than reflected in its recent share price performance. Furthermore, recent lockdowns look set to boost sales and help the company work through its excess inventory.

Analysts at Canaccord Genuity see a lot of value in the Kogan share price. Its analysts have a buy rating and $14.00 price target on its shares. The broker believes Kogan is over the worst of its issues and believes recent lockdowns will boost its earnings momentum.

Pushpay Holdings Group Ltd (ASX: PPH)

A final growth share to look at is Pushpay. It is a leading donor management and community engagement platform provider for the faith sector. It has been a strong performer over the last few years. This has been driven by the accelerating digitisation of the church and its industry-leading technology. Demand was so strong the company reported a 40% increase in operating revenue to US$179.1 million and a 133% increase in EBITDAF to US$58.9 million in FY 2021. Looking ahead, management is forecasting further growth in FY 2022 and is planning to expand into a new market.

Jarden currently has a buy rating and NZ$2.10 (A$2.00) price target on its shares.

The post 3 excellent ASX growth shares that could be buys 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 Altium, Kogan.com ltd, and PUSHPAY FPO NZX. The Motley Fool Australia owns shares of and has recommended Altium, Kogan.com ltd, and PUSHPAY FPO NZX. 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 Fortescue Metals Group Limited (ASX: FMG) share price is under pressure on Friday morning.

At the time of writing, the iron ore producer’s shares are down over 3% to $22.52.

Why is the Fortescue share price under pressure?

The weakness in the Fortescue share price on Friday appears to have been driven by another sharp pullback in iron ore prices.

According to CommSec, the spot iron ore price tumbled US$13.10 a tonne or 7.2% to US$170.05 a tonne.

This heavy decline has been driven by concerns that Chinese regulators will increase production limits on steel producers amid weakening downstream demand.

As you might expect, it isn’t just the Fortescue share price that is under pressure on the news. A number of other ASX miners with exposure to the steel making ingredient are also tumbling lower today.

Here’s a summary:

• The BHP Group Ltd (ASX: BHP) share price is down 2.5% to $51.81.
• The Champion Iron Ltd (ASX: CIA) share price is down 3% to $6.71.
• The Mount Gibson Iron Limited (ASX: MGX) share price has tumbled 3% to 76.5 cents.
• The Rio Tinto Limited (ASX: RIO) share price has fallen over 2% to $129.15.

This has led to the S&P/ASX 200 Resources index thoroughly underperforming the market today with a 1.7% decline.

Is this a buying opportunity?

Analysts at Macquarie currently have an outperform rating and $27.00 price target on the Fortescue share price. This implies potential upside of 20% over the next 12 months before its generous dividends.

And while this recommendation was made prior to recent weakness in the iron ore price, it is worth noting that prices are still in line with Macquarie’s expectations.

For example, in June Macquarie was forecasting the iron ore price to finish the calendar year at US$158 a tonne. Whereas in calendar year 2022 it expects an average price of US$120 a tonne, before reducing to an average if US$95 a tonne in 2023.

As a result, its analysts may see the recent weakness in the Fortescue share price as a buying opportunity for investors.

The post Why the Fortescue (ASX:FMG) share price is tumbling lower on Friday 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 gained a whopping 61% over the past 12 months.

And no wonder. After finding itself on the wrong foot in late 2020, the regional bank has released a barrage of good news.

Right now, the Bank of Queensland share price is $9.20. Exactly 12 months ago it was sitting at just $5.71.

Let’s take a look at what’s been driving the bank’s shares lately.

The year that’s been for the Bank of Queensland

The Bank of Queensland was relatively quiet this time last year.

In fact, the only news the bank released between July 2020 and September 2020 was of extra expenses to be added to its 2020 financial year results.

Some of those expenses included an $11 million expense brought about due to underpayment of staff. The bank came across the underpayments in an internal review and vowed to repay any discrepancies.

Additionally, it reported it expected its loan impairment expense for the financial year to be $175 million. The Bank of Queensland share price fell 7.2% on the back of the news.

Then, the bank released its results for the 2020 financial year in October.

While it didn’t do as well as the prior financial year, it managed to scrape in a $115 million net profit after tax. The bank’s shares increased by 5.1% following its results.

But the big news from the Bank of Queensland over the past 12 months has to be its acquisition of Members Equity Bank (ME Bank).

The acquisition was first announced in February, when the Bank of Queensland announced it was undergoing a $1.35 billion capital raise to cover the cost of the acquisition.

Bank of Queensland’s shares were frozen on 18 February as the bank readied itself to break the news. The Bank of Queensland share price gained 12.7% when trading was reinstated on the 23 February.  

ME Bank was, unfortunately, accused by the Australian Securities and Investments Commission (ASIC) of breaching 2 sections of the Credit Act in March.

Finally, the acquisition was officially finalised on 1 July.

Bank of Queensland share price snapshot

It likely comes as no surprise the Bank of Queensland share price has been doing well recently.

It has gained 21% since the start of 2021, and is up 2.3% over the last month. At the time of writing, shares are swapping hands for $9.20 apiece, up 0.22% on the previous closing price.

The post The Bank of Queensland (ASX:BOQ) share price is up 61% in a year. Here’s why 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Amazon‘s (NASDAQ: AMZN) latest earnings results were enough to beat analysts’ expectations, but the stock fell after management issued lower-than-expected guidance for the third quarter. After reviewing management’s comments on the earnings call, it appears this is another case of the market missing the forest for the trees.

As of this writing, the stock is down 6.5% since the earnings report, but strong demand from new Prime customers is causing Amazon to spend aggressively to support growth. The e-commerce giant’s record of generating high returns on capital should give investors a good reason to pick up some shares during this pullback.

Watch for another revenue acceleration

Amazon posted revenue growth of 27% year over year in the second quarter, or 24% adjusted for currency fluctuations. That’s a sharp deceleration from the first quarter’s 41% currency-adjusted growth. But the biggest problem for investors was management’s third-quarter guidance, which calls for year-over-year revenue growth to further decelerate to between 10% and 16%.

As a result, many have overlooked the increased capital spending. When Amazon has increased such investments in the past, it usually results in an acceleration in revenue growth soon after.

For the trailing 12 months ended June 30, capital expenditures totaled $47.2 billion, up 144% from the year-ago period.

This spending is going toward a number of internal projects, but most importantly, Amazon is expanding its fulfillment capacity as CFO Brian Olsavsky explained during the earnings call, “This is all part of a multiyear investment cycle for us. Unit volumes, while obviously growing at lower rates off last year’s large comp, continue to remain high, and we see strong demand for [fulfilled by Amazon] and third-party sellers.”

Olsavsky also mentioned the investments are going toward building out the last-mile and middle-mile delivery capabilities of Amazon’s transportation network to support fast-shipping offers for customers.

The pandemic has presented Amazon with an excess demand problem. With 50 million new Prime members added during the pandemic, Amazon is having to quickly ramp up spending to support its much larger customer base.

Last year, Amazon saw a notable acceleration in revenue growth from the first to the second quarter, partially thanks to its addition of greater fullfillment capacity and hundreds of thousands of employees. “This allowed our revenue growth rate to jump to the 35% to 45% range and remained at that level through Q1 of this year when we had 41% growth,” Olsavsky said during the recent earnings call.

While investors shouldn’t expect Amazon to deliver 40% growth rates again, the company could see a return to levels of 20% or more in 2022.

A new investment cycle can drive big returns

Amazon’s track record of fueling revenue growth after stepping up its capital spending goes back several years.

Between 2009 and 2011, capital expenditures increased from $373 million to $1.81 billion, or an increase of 386%. Over that same period, Amazon revenue grew 96%, speeding up from the 65% growth it recorded from 2007 to 2009.

Data by YCharts.

In 2011, Amazon said the increase in capital spending was to drive continued business growth, Amazon Web Services, and additional capacity to support fulfillment operations. You could take that statement from 10 years ago and plug it into the latest earnings call. Those are the same key areas the company continues to invest in going forward.

Given Amazon’s record of driving high returns on incremental capital spending, investors should consider adding shares of this leading growth stock during the post-earnings decline.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post 1 thing the market got wrong in Amazon’s earnings report appeared first on The Motley Fool Australia.

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John Ballard owns shares of Amazon. John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Amazon. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2022 $1,920 calls on Amazon and short January 2022 $1,940 calls on Amazon. The Motley Fool Australia has recommended Amazon. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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Investors will be eyeing the Afterpay Ltd (ASX: APT) share price this morning after the Square Inc (NYSE: SQ) share price surged to a record high.

The Afterpay share price jumped 5.4% in early trade to $131.97 when the S&P/ASX 200 Index (Index:^AXJO) slipped 0.2%.

It’s no surprise that Afterpay is outperforming. Shares in its US bidder jumped 5.8% to $281.81 last night in New York.

Good for the goose is great for the Afterpay share price

The two share prices are largely joined at the hip given Square’s all-scrip takeover bid for the Australian-made buy-now, pay-later (BNPL) leader.

Afterpay surged over 30% when the $39 billion engagement was announced on Tuesday. This is the most extravagant marriage for an Aussie entity ever!

Square peg in a square hole

But analysts have largely given the takeover their tick of approval. There is a good strategic rational for Afterpay to be folded into Square.

Being part of a $166 billion market cap global giant will give Afterpay the resources to take on second-mover rivals.

Never mind that Afterpay’s banking partnership with Westpac Banking Corp (ASX: WBC) could be put at risk.

ASX banks growing wary

The Australian Financial Review reported yesterday that Westpac is considering pulling the plug. This is because Square is trying to muscle in payments and businesses lending – areas that the big ASX banks dominate.

Westpac provides Afterpay with white-label bank accounts that the fintech can offer its customers.

The bank is relooking at the rational for doing this as the savings accounts will give Square valuable customer insight and a source of funds.

How Square will change the Afterpay share price

Square’s core business is to provide payment terminals to small and medium sized merchants. Banks are defending their turf as such terminals are usually provided by these financial institutions.

The value of such terminals goes beyond collecting fees. The data collected is often used in accessing loan applications.

Afterpay on its own didn’t pose a threat to the banks. But the merger with Square changes the dynamics.

Will Square-Afterpay turn into the next fintech bank?

The Square-Afterpay fintech can potentially gain millions of customers and it will be in a better position to offer a range of financial services.

Square doesn’t have a banking license in Australia, but the AFR reported that this could change in the not-too-distant future.

Square has been awarded a banking license in Utah to enable it to take deposits and make loans. As it’s harder to get a US banking license than it is to in Australia, Square is keeping that option open.

The Square share price has surged 83% over the past year when the Afterpay share price added 76%.

Looking at how much excitement the proposed marriage has generated, I won’t be surprised to see their share prices push higher.

The post Afterpay (ASX:APT) share price surges as Square hits record highs appeared first on The Motley Fool Australia.

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Motley Fool contributor Brendon Lau owns shares of Westpac Banking Corporation. 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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The BetMakers Technology Group Ltd (ASX: BET) share price is on course to end the week on a positive note.

In morning trade, the betting technology company’s shares are up 7% to $1.11.

Why is the BetMakers share price charging higher?

Investors have been bidding the BetMakers share price higher today after its US ambitions were given a major boost.

According to an announcement, fixed odds wagering on horse races through a fixed odds wagering system is now legal in the state of New Jersey after being approved by the state’s Governor.

This is a big positive for BetMakers as it has already secured an exclusive 10-year agreement to deliver and manage Fixed Odds thoroughbred horse racing into New Jersey with New Jersey Thoroughbred Horsemen Association and Darby Development.

“A landmark achievement”

BetMakers’ Chief Executive Officer, Todd Buckingham, believes this is a historic moment for the industry and a landmark achievement for the company.

He said: “The introduction of Fixed Odds betting on horse racing by law in New Jersey is a historic moment for wagering in the United States and a landmark achievement for BetMakers. New Jersey becomes the first State in the U.S. to offer Fixed Odds betting on horse racing, and opens the door for the thoroughbred industry to offer Fixed Odds betting markets on racing in the same way as sports.”

“Legalised Fixed Odds betting on horse racing in the U.S. has been a pillar of BetMakers’ strategic vision and today’s announcement enables the Company to press forward with the roll-out of Fixed Odds betting in New Jersey while also setting a precedent legal framework that is relevant for our discussions with other States in the U.S,” he added.

What now?

Mr Buckingham expects to be taking bets in the very near future, initially on course via its Managed Trading Services (MTS) agreement.

He explained: “Following the green light for Fixed Odds to become law in New Jersey, it is intended that initially the first bets will be taken on course at Monmouth Park under BetMakers’ Managed Trading Services (MTS) agreement, and we are aiming to confirm a date for this to announce in coming weeks.”

“The next step will be for approved operators who have an agreement with BetMakers to offer Fixed Odds betting to their online customers. While the company is excited by the imminent to start Fixed Odds betting, we are also mindful about doing it the most sustainable way that rewards our partners, and we will be looking to reach scale over the next 12 months,” the CEO added.

The BetMakers share price is now up 58% in 2021.

The post BetMakers (ASX:BET) share price jumps 7% after landmark achievement 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 Betmakers Technology Group Ltd. The Motley Fool Australia has recommended Betmakers Technology Group 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 Commonwealth Bank of Australia (ASX: CBA) share price, along with other S&P/ASX 200 Index (ASX: XJO) bank shares, could be in the spotlight on Friday. This comes as extended lockdowns result in a resurgence of requests for loan deferrals from bank customers across Australia.

This morning, the Australian Banking Association (ABA) provided an update on the current rate of loan deferrals. The figures are considerably lower than during the peak of the crisis last year but still serve to illustrate the financial toll lockdowns are taking on thousands of home and business owners.

Banks provide hardship assistance

Since 8 July more than 14,500 home loans and 600 business loans have been deferred, according to the ABA.

Interestingly, during this time, the CBA share price managed to rally 4.23% to $103.41.

In response to the sweep of lockdowns taking place across Queensland, New South Wales and Victoria, ABA Chief Executive Office Anna Bligh said “support is available to all small businesses and home loan customers significantly impacted by current lockdowns or recovering from recent lockdowns, irrespective of geography or industry.”

The ABA observed that hardship approvals and loan deferrals were heavily skewed towards NSW, given its more severe COVID-19 situation and extended lockdown.

“NSW home loan deferrals account for more than two thirds of total deferrals, while almost 80 per cent of deferred business loans are also from NSW.”

The ABA went on to report that:

“The number of customers accessing hardship grew by 73% this week, compared with a growth of 153% the week before. Growth in housing loan deferrals similarly slowed from 344% to 79%, while growth in business loan deferrals grew from 93% to 108%.”

How does this compare to peak COVID-19 figures?

Despite the uptick in loan deferrals, the current figures pale in comparison to peak COVID-19 figures in 2020.

The ABA reported that during the peak of the crisis, almost 500,000 home loans and over 225,000 business loans were deferred.

According to CBA’s FY20 results, the bank had over 250,000 loan repayment deferrals at the time.

Encouragingly, in CBA’s 1H FY21 results, the bank said that “by December 2020, the majority of customers on repayment deferral arrangements have returned to normal repayments upon expiration of deferrals”.

CBA share price in 2021

The CBA share price has rallied an impressive 23.47% year to date with most of its gains occurring between April and mid-July.

Shares in Australia’s biggest lender have largely stalled since their all-time high of $106.57 on 17 June, possibly dragged by factors including Sydney lockdowns and a fall in lending indicators.

The post CBA (ASX:CBA) share price in focus following ABA loan deferral update 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 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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