S&P/ASX 200 Index (ASX: XJO) retail landlords were among the hardest hit when COVID-19 swept across Australia in early 2020.

Shoppers were forced to remain at home. And stores in the landlords’ malls (rent-paying tenants) had no choice but to shutter their operations.

In the broader market panic-selling that ensued, ASX 200 retail landlords saw more than half their value evaporate in a matter of weeks.

The Vicinity Centres (ASX: VCX) share price, for example, crashed 62% from 31 January through to 27 March. Scentre Group (ASX: SCG) suffered an almost identical loss, falling 61% over that same period.

Granted, almost every ASX 200 share was heavily sold off during the pandemic fire sale. Yet the index ‘only’ lost 31% from 31 January through to 27 March. Half the losses suffered by Scentre and Vicinity.

Enter the vaccines

Both Vicinity and Scentre Group then enjoyed some of the sharpest rebounds late last year. That came after news of effective COVID vaccines, which had ASX 200 investors positioning themselves for the reopening.

Vicinity’s share price surged 45% from 30 October through to 7 December. Scentre Group’s rebound was almost as strong, with shares gaining 40% over that same period.

The ASX 200 retail landlords suffered more during the early 2020 panic-selling but gained more in the post-vaccine reopening jubilance. Their rebound was more than triple the 13% gain of the ASX 200 from 30 October through to 7 December.

Now, with Australia on track to hit 70%-plus vaccination levels soon, the big shopping malls in locked down cities are getting ready to fully reopen to the public, non-essential services and all.

Again, this has investors pondering if shares like Scentre and Vicinity will put in a repeat performance.

Reopening rebound for ASX 200 retail landlords could be soft

While the big retail landlords are still trading well below their pre-pandemic levels, much of the pending reopening could already be priced into their shares, according to analysts from Macquarie.

Macquarie is cautious on the rebound outlook for shares like Scentre and Vicinity after analysing the performance of large-cap retail landlords in the United States and the United Kingdom. Both nations are months ahead of Australia on their reopening roadmap.

The Australian Financial Review reports:

Major mall owners abroad, including Hammerson in Britain, Unibail-Rodamco-Westfield in Europe and the Simon Property Group in the US, have surged strongly in the lead-up to reopening compared with industrial landlords, but underperformed the same stocks once reopening was under way, the analysts noted.

As the old investor adage goes, if it’s in the news, it’s in the price. And investors have been bidding up the share prices of the ASX 200 retail landlords well before many of their tenants will be able to fully reopen for business.

Macquarie’s analysts did potentially see “some upside in valuations for large-cap mall landlords”, but much of the rally has already come and gone.

The Macquarie analysts wrote:

In addition, moving from pandemic to endemic means learning to live with the virus, which may result in additional challenges for retail landlords. … We view outperformance from here will rely closer on fundamentals, which in our view, will remain challenged.

Analysts at BIS Oxford Economics also offered a muted outlook for ASX 200 retail centre shares.

Oxford was quoted in the Australian Financial Review:

A solid rebound can be expected when restrictions are lifted, but the pandemic has done lasting damage to centre incomes, and we expect it will take four to five years for pre-virus incomes to be regained in regional and subregional centres.

Neighbourhood centres are more resilient but will still suffer losses until financial year 2023. Once the pandemic effects are worked through, we’ll return to the fundamental challenges facing retail, namely the threat from the growth of online shopping and changing consumer spending patterns, [to] less on goods sold by traditional shopping centre tenants.

How have ASX 200 retail centre shares performed this year?

Vicinity Centre’s share price is up 8.4% in 2021 and up 9.1% over the past month. It is trading at $1.74 currently.

Scentre Group’s share price is up 8.1% year to date and up 17.8% over the past month. At the time of writing, Scentre is trading at $3.01.

By comparison, the ASX 200 is down 1.5% over the past month.

The post Don’t bet on a big reopening rebound for ASX 200 retail landlords: Macquarie appeared first on The Motley Fool Australia.

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• ASX 200 midday update: Pilbara Minerals jumps, bank shares fall

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 Fortescue Metals Group Limited (ASX: FMG) is marking fresh year-to-date lows as Chinese steel cuts continue to weigh down the iron ore sector.

At the time of writing, the Fortescue share price is down 2.2% to $17.46.

Chinese steel cuts to widen before year’s end

Chinese policymakers are expected to continue to clamp down on steel production in order to meet energy-consumption and emissions targets.

According to S&P Global, Chinese steel cuts are expected to gather pace in September and widen even further to ensure that steel output remains flat year-on-year.

It reported that “a few mill sources expected China’s steel output cuts to widen further in late September or October, mainly as the overall cuts by mid-September have remained insufficient to keep the country’s 2021 crude steel output within 2020 levels”.

“Hebei, the largest steelmaking province in China, has so far still been the only province on track to its annual steel output target, led by strict cuts carried out in Tangshan city from March,” it reported.

“Steel mills in Jiangsu, Shandong and Liaoning — the second, third and fourth largest steelmaking provinces in China, respectively — have gradually launched steel output cuts since the start of September.”

While the Fortescue share price was able to enjoy skyrocketing iron ore prices at the start of the year, investors are now stuck between a rock and a hard place as the opposite unravels.

Fortescue share price snapshot

The Fortescue share price is down nearly 30% year-to-date and up around 1% in the past year.

The sudden plunge is consistent with iron ore spot prices. They have tumbled from approximately US$220 in late July to an 11-month low of about US$116.

Fortescue’s recent dividend might have helped cushion some of the losses. Its shares went ex-dividend for a generous fully franked $2.11 per share on Monday, 6 September.

The post Fortescue (ASX:FMG) share price down as Chinese steel cuts speed up appeared first on The Motley Fool Australia.

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• Leading brokers name 3 ASX shares to sell today

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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The Australian Pharmaceutical Industries Ltd (ASX: API) share price has had a jolt of enthusiasm on Thursday. This comes after the retail pharmacy company received a revised acquisition offer from Wesfarmers Ltd (ASX: WES).

All the excitement has propelled the API share price 16.5% higher to $1.48 at the time of writing.

Today’s offer follows previous attempts from the retail conglomerate to acquire API. However, these prior attempts have been futile, with API rejecting the unsatisfactory offers.

Let’s inspect the latest proposal more closely.

A sweetened API share price offer

It appears whatever API has got, Wesfarmers wants it badly. At least, badly enough to amp up its bid for the pharmaceutical retailer by 12.3% to $1.55 per share. After being rejected in July for its $1.38 proposal, Wesfarmers firmly has its sights set on doing a deal.

The revised offer for 100% of outstanding API shares comes to a total cash consideration of $764 million. This proposal also provides for the final fully franked dividend payment up to a maximum of 5 cents per share. However, any such cash component of dividends paid will come out of the total cash payment.

It appears the sweetened API share price offering has gained the blessings of the company’s largest shareholder, Washington H. Soul Pattinson and Co. Ltd (ASX: SOL). Recent data shows the investment conglomerate holds ownership of 18% of outstanding API shares.

Likewise, the board of Australian Pharmaceuticals intends to unanimously recommend the revised proposal. Which leaves the finalisation of acquisition down to due diligence and regulatory approvals.

What’s management’s thoughts?

Commenting on the revised bid, API CEO and managing director Richard Vincent said:

This revised offer better reflects the strength and potential of our stable of businesses that have been built by the efforts and passion of all of our people within API. Aligned with our vision of “enriching life”, we remain firmly focused on making a difference for all our customers and trading partners.

According to the release, Wesfarmers will have until 16 October to conduct its due diligence under the Process Deed.

Thanks to the surge in the API share price, the company now boasts a market capitalisation of $729 million.

The post API (ASX:API) share price rockets 16% as Wesfarmers boosts offer appeared first on The Motley Fool Australia.

More reading

• Wesfarmers (ASX:WES) share price edges higher on sweetened API bid
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• The Wesfarmers (ASX:WES) share price is up 28% in 2021. Here’s why

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 owns shares of and has recommended 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 Clinuvel Pharmaceuticals Limited (ASX: CUV) share price is having a great month on the ASX.

The company’s stock was seemingly boosted significantly by its financial year 2021 earnings and has managed to hold onto its gains.

Right now, the Clinuvel share price is $41.05, having gained 50.7% since this time last month and 0.8% since its previous close.

Let’s take a closer look at what Clinuvel reported within its financial year 2021 results.

What’s been driving Clinuvel on the ASX lately?

The Clinuvel share price has been performing exceptionally well since it released its annual results for financial year 2021.

Over the financial year just been, Clinuvel received a record $48.5 million of revenue and $24.7 million of profit after tax.

That represents respective increases of 43% and 63% on those of the previous financial year.

Clinuvel also announced a 2.5 cent dividend, in line with its dividend from the previous financial year. Though, Clinuvel’s dividends have historically been unfranked.

Over the 12 months ended 30 June 2021, Clinvuel implemented a long-term strategy for the development and commercialisation of its novel drug technology.

It also outlined its plans to increase its operations in countries including the US, Israel, and those in Europe in its results.

On the day it released its financial year 2021 earnings, the Clinuvel share price gained just 3.1%. However, it gained another 38.3% over the following 6 sessions.

Clinuvel share price snapshot

The Clinuvel share price’s recent 50% gain has added to its strong performance on the ASX.

Right now, Clinuvel’s stock is 80% higher than it was at the start of this year. It is also trading for 74% more than it was this time last year.

At its current share price, the company has a market capitalisation of around $2 billion. It has approximately 49 million shares outstanding.

The post Why the Clinuvel (ASX:CUV) share price has rocketed 50% in a month appeared first on The Motley Fool Australia.

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• ASX 200 Weekly Wrap: A mixed bag of earnings dominates ASX

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 S&P/ASX 300 Index (ASX: XKO) is charging higher today following a mixed daily movement throughout the week.

At the time of writing, the ASX 300 is up 0.74% to 7,477 points. This means that over the past month, the index is now hovering around 2% lower.

Let’s take a look at which ASX companies are making headlines so far today.

Chalice Mining Ltd (ASX: CHN)

The Chalice share price is currently topping the charts, surging 9.62% to $8.09 during early afternoon trade.

Despite no recent news coming out of the mineral explorer, investors appear to be bullish on its future prospects. 

The company is focused on advancing its strategic deposit of critical, ‘green metals’ at the Julimar discovery in Western Australia.

Imugene Limited (ASX: IMU)

Another big mover on the ASX 300 is Imugene — its share price is currently up 6.10% to 43.5 cents.

The Australian immuno-oncology focused biopharmaceutical company also hasn’t released any market-sensitive news to the ASX.

However, its shares are being added to the ASX 300 Index. This enables fund managers to include Imugene shares when investing in the S&P/ASX Indices. The official date for the inclusion is 20 September.

Australian Strategic Materials Ltd (ASX: ASM)

The Australian Strategic Materials share price is pushing 4.81% higher to $10.90.

The company released its full statutory accounts yesterday, providing detailed information about its activities throughout the year.

And the companies in decline?

Lifestyle Communities Limited (ASX: LIC)

The worst performer on the ASX 300 at the time of writing is Lifestyle Communities, with its share price down 9.86% to $19.94.

According to its latest release, the company’s co-founder and managing director James Kelly offloaded a sizeable number of shares.

In total, 2 million fully paid ordinary shares were disposed of at a price of $21.50 apiece. Mr Kelly still holds around 7.1 million shares, a 6.8% stake in Lifestyle Communities.

Vulcan Energy Resources Ltd (ASX: VUL)

Lastly, the Vulcan share price has plummeted 7.67% to $14.68 on Thursday.

The lithium company announced a capital raise this morning after its shares were placed in a trading halt on Tuesday before market open.

Vulcan shares are still up roughly 1,500% over the past 12 months following strong investor sentiment in the company.

The post Which ASX shares are leading the way on the ASX 300? appeared first on The Motley Fool Australia.

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• The Australian Strategic Materials (ASX:ASM) share price is sliding 7% on Monday

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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The Commonwealth Bank of Australia (ASX: CBA) share price is up 1% at time of writing.

That’s largely in line with the 0.8% gain currently posted by the S&P/ASX 200 Index (ASX: XJO).

With just over a month having passed since the big 4 bank released its full 2021 financial year results (FY21), we take a look at how the CBA share price has been performing since.

But first, a snapshot of those results…

What FY21 results did the big 4 bank report?

CommBank reported its FY21 results on 11 August. The CBA share price closed the previous day at $106.56.

Some core metrics included a net profit after tax (NPAT) of $8.84 billion. That was up 19.7% from the NPAT reported for FY20.

The bank also declared a final, fully franked dividend of $2 per share. CommBank’s full year dividend of $3.50 per share was up 17% from FY20.

CBA’s share price was also scrutinised after the bank announced a $6 billion off-market share buy-back.

Commenting on the share buy-back, CommBank’s CEO, Matt Comyn said:

Strategic divestments have generated $6.2 billion in excess capital since 2018. Today we have announced an off-market buy-back of up to $6 billion of CBA shares as the most efficient and appropriate way to commence the return of surplus capital, as shareholders will benefit from a lower share count that will support return on equity and dividends per share.

How has the CBA share price performed since reporting results?

The CBA share price gained 1.5% on the day the bank reported its results, closing at $108.17.

Since market open on the day of reporting, CommBank’s shares are down 3.8%. By comparison, over that same period, the ASX 200 has lost 1.1%.

At the current share price, the bank pays a trailing dividend yield of 3.4%.

With a market cap of approximately $180 billion, CommBank is the biggest of the big-4 Aussie banks.

The post How has the CBA (ASX:CBA) share price performed since reporting results? appeared first on The Motley Fool Australia.

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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The BHP Group Limited (ASX: BHP) share price is on the rise in early afternoon trade today. It is currently up 1.65% to $40.92 per share.

The S&P/ASX 200 Index (ASX: XJO) is up a more modest 0.82%.

Investors will welcome the BHP share price lift today. The miner has been heavily sold off in recent weeks amid plummeting iron ore prices.

Iron ore dropped another 4% overnight to US$117 per tonne. Just 4 weeks ago, on 17 August, it was trading for US$167 per tonne. That’s 30% above today’s price.

That was also the day that BHP released its full-year 2021 financial results (FY21).

Below we recap those results, and how the BHP share price has been performing since.

What FY21 results did the ASX 200 miner report?

BHP reported its FY21 results after market close on 17 August. At the time the BHP share price stood at $51.33.

Among the key metrics BHP reported were underlying earnings before interest, taxes, depreciation, and amortisation (EBITDA) of US$37.4 billion (AU$51.2 billion). That was up 69% from FY20.

The mining giant also gifted investors a big dividend boost. The company declared a final dividend of US$2.00 per share, fully franked. That brought BHP’s full-year dividend to $3.01 per share, up 151% on the previous year.

Earnings reporting day also came with a big announcement on BHP’s merger deal with Woodside Petroleum Limited (ASX: WPL).

Commenting on the merger, BHP’s chairman Ken MacKenzie said:

The agreement to pursue a merger of BHP’s petroleum business with Woodside will maximise the value of our oil and gas assets through increased operating scale and synergies, with a more diversified product portfolio to support the energy transition.

How has the BHP share price performed since the results?

Despite the big dividend payout and soaring profits, investors hit the sell button on 18 August, the first day of trading after the results announcement. The BHP share price closed the day down a painful 7%.

Since reporting, and facing hefty tailwinds from falling iron ore prices, BHP’s shares have lost 21%.

The post How has the BHP (ASX:BHP) share price performed since reporting results? appeared first on The Motley Fool Australia.

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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Afterpay Ltd (ASX: APT) share price is struggling lately despite no price sensitive news of the company having been released to the ASX.

However, yesterday Afterpay announced a new partnership with speciality retailer PetSmart. Additionally, Afterpay was a presenting partner at New York’s Fashion Week (NYFW), running events from 7 September to 12 September.

Despite the exciting happenings, the Afterpay share price has slid 8.63% so far this month. It is currently trading at $122.85.

Let’s take a closer look at what the buy now, pay later (BNPL) company has been up to, and what it’s planning to do next.

September so far for Afterpay

September hasn’t been a good month so far for the Afterpay share price despite several pieces of seemingly positive non-price sensitive news.

Yesterday, Afterpay announced it has partnered with pet retailer PetSmart. The partnership will see PetSmart offering its customers to pay for products and services using Afterpay.

According to Afterpay, PetSmart is the largest retailer of its kind and the first to offer Afterpay’s BNPL service.

In addition to its new partnership, Afterpay ran a series of interactive events at NYFW.  

Afterpay offered pop-up and virtual reality shopping experiences, insider talks and styling workshops, a virtual catwalk from which shoppers could purchase items, and turned the Empire State Building into its signature shade of blue-green.

Fun fact: Afterpay’s trademark colour is named Bondi Mint.

However, the glitz and glamour weren’t enough to save the Afterpay share price.

What’s next for Afterpay and its share price?

The Afterpay share price might not exist for much longer.

As market watchers will know, the company is planning to be acquired by Square Inc (NYSE: SQ) in a $39 billion takeover.

The companies expect the takeover to go ahead in the current quarter. It is still subject to shareholder approval.

Of course, following the takeover Afterpay won’t exist on the ASX anymore. However, as the takeover is expected to be a scrip deal, Square will be listing CHESS Depository Interests (CDIs) on the ASX.

Meaning, Afterpay’s shareholders who receive CDIs will still be able to trade their holdings on the ASX. Though, Afterpay shareholders will be able to elect to receive NYSE-listed Square shares instead.

Additionally, Afterpay announced some of its future plans within its results for the financial year just been.

As The Motley Fool Australia reported at the time, Afterpay believes Germany is a “priority region” for expansion. It is also looking to increase its footprint in Singapore.

The post The Afterpay (ASX:APT) share price is down 9% in September. What’s next? 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. 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 Novonix Ltd (ASX: NVX) share price is having an uncharacteristically bad week.

In afternoon trade on Thursday, the battery materials company’s shares are down almost 2% to $5.59.

This means the Novonix share price has now pulled back by almost 9% since peaking at $6.12 on Friday.

What’s going on with the Novonix share price?

The Novonix share price came off the boil this week after a leading broker called time on its incredible rally.

And what a rally it has been. When the company’s shares hit $6.12 on Friday, it meant they were up a staggering ~400% since the start of the year.

This has been driven by increasingly bullish sentiment in the battery materials sector, news of a strategic investment by US energy giant Phillips 66, and its inclusion in the ASX 300 index.

However, as positive as this all is, the team at Morgans believe it is all priced into the Novonix share price now.

What did the broker say?

According to the note, the broker has downgraded the company’s shares to a hold rating with an improved price target of $5.68. This is broadly in line with where the Novonix share price trades now.

Morgans explained: “NVX’s prospects continue to look promising however we think the share price already reflects a lot of the future success that we think the company will achieve. There is still a small premium to our updated base case valuation but we think the risk to reward is less attractive than before. We therefore reduce our rating to HOLD as we wait for more detail on the company’s progress on the Samsung quality audit and confirmation of our expectations for gross margins.”

In light of this, Morgans appears to believe investors should wait for a better entry point before buying shares.

The post The Novonix (ASX:NVX) share price appears to have come off the boil. Is it a buy? 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 Medibank Private Ltd (ASX: MPL) share price has been struggling lately.

Since reaching a 52-week high of $3.62 a share back on 7 September, the Medibank share price has fallen by more than 2% to sit at $3.55 a share so far today.

Even so, the company remains up by 16.6% year to date, and up a very healthy 38.3% over the past 12 months.

But why have Medibank shares been struggling over the past week or two?

Medibank share price struggles after ex-dividend date

Well, one anchor on the Medibank share price last week was its ex-dividend date.

In Medibank’s FY21 earnings report, which it delivered last month, the company announced a final dividend for FY21 of 6.9 cents per share, fully franked.

That payment will hit investors’ pockets on 30 September. But it left the Medibank share price on 8 September when the shares went ex-dividend.

This is the primary reason why the Medibank share price has struggled ever since.

Even so, shareholders might not be too concerned. This final dividend was a boost from FY20’s final payout of 6.3 cents per share.

Another potential reason for Medibank’s recent struggle is some private health sector news.

According to a report on news.com.au this week, private health insurers like Medibank have been offering their customers ‘COVID discounts’.

The report states that “some of the largest insurers [are handing] back funds collected in premiums that didn’t get paid in claims due to Covid restrictions”.

This includes Medibank, which the report states has “also committed to returning around $105 million in Covid-19 net claims through premium relief for Australian Medibank and ahm customers with an active hospital and/or extras policy between the 2020/21 financial year”.

Whilst this news may please Medibank’s customers, it is still unquestionably deleterious to the company’s overall finances. This may have been deterring investors in recent times.

At the current Medibank Private share price of $3.55, the company has a market capitalisation of $9.78 billion. It also has a price-to-earnings (P/E) ratio of 22.16 and a dividend yield of 3.58%

The post Why is the Medibank (ASX:MPL) share price struggling lately? appeared first on The Motley Fool Australia.

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• How does the Medibank (ASX:MPL) earnings result compare to NIB?

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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