• The RMA Global (ASX:RMY) share price is rebounding today. Here’s why

    asx share price rise represented by rebounding bar chart

    RMA Global Ltd (ASX: RMY) share price has regained some ground from yesterday’s losses after the company released another market update today. This time, its investor presentation at the Bell Potter Decoded conference.

    The RMA Global share price is up 1.9% to 26.5 cents per share in late afternoon trading.

    RMA is in the real estate app platform market, providing extensive data on residential property sale results for real estate agents and agencies, and reviews of agent performance from vendors and buyers of residential real estate.

    RMA Global’s reflected approach during COVID-19

    The company used the conference to bring investors up to date on how the company tackled growth challenges throughout the COVID-19 pandemic.

    Its presentation outlined how it stopped new feature development throughout the pandemic and instead launched mortgage broking as a new adjacency offering. The company says it now has 80% of Australian real estate agents using its platform and can provide users with all Australian real estate listings.

    Its New Zealand base is lower due to fewer listings and the country’s smaller population, but RMA still boasts 110,000 agents and a similar number of property listings.

    The company now aims to provide a premium tier for agents to self-advertise on the platform, as it seeks to create a competitive environment among app users targeting potential sellers. The platform already allows sellers to rate their real estate agents, one of the app’s key selling points for regular users. 

    It’s also looking at social media integrations. RMA said that the company actually grew throughout the COVID-19 pandemic, which may have been boosted by low interest rates and a booming housing market across Australia.

    RMA Global share price snapshot

    The RMA Global share price has had a bumpy ride since it released its quarterly activities report on Monday, peaking at 28 cents before falling 7% yesterday, then rising to its current price of 26.5 cents.

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  • ACCC sends a warning shot at Apple and Google app stores

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    The Australian Competition and Consumer Commission (ACCC) has sent a scathing warning shot at app store providers Apple Inc (NASDAQ: APPL) and Google’s parent, Alphabet Inc (NASDAQ: GOOGL) today.

    App marketplaces were the focus of the competition watchdog’s second Digital Platform Services inquiry interim report. The findings of which were handed out today.

    App store duopoly  

    The ACCC dug into the competition and consumer concerns surrounding the two key app marketplaces used in Australia: Apple’s App store and Google’s Google Play store. As many smartphone owners would know, these two app marketplaces are the go-to when it comes to downloading an app on your mobile phone in Australia.  

    Astoundingly, between the two companies, they account for close to 100% of the global market for mobile operating systems (OS). Google’s Android OS holds roughly 73%, while Apple’s iOS retains the other 27%.

    Therefore, with mobile devices becoming integral to our daily lives, it’s crucial to ensure fair competition exists. ACCC Chair Rod Sims’ comments portrayed this, stating:

    Apple and Google’s stores are the gateways between consumers and app developers, and it’s true that they provide considerable benefits to both groups. But there are significant issues with how this market is operating.

    Some of the issues identified in the report included:

    • Google and Apple’s ownership of the marketplaces gives them the ability to promote their own apps over others.

    • Control over the terms that their competitors must comply with to gain access to stores

    • Restrictions imposed by Apple and Google means developers have no choice but to use their payment systems for any in-app purchases.

    The criticisms didn’t end there either. Rod Sims also stated that Apple and Google could do more to remove malicious apps and improve dispute resolution for consumers.

    Apple and Google’s to-do list

    Following the findings, the ACCC curated a list of potential measures for the two companies to enact. Some of these are listed below, with all the items listed on page 16 of the report.

    • To address inadequate payment option information and limitations on developers
    • To increase transparency and address the risk of self-preferencing in-app marketplace discoverability and display
    • Provide an option for consumers to rate and review first-party apps.

    Making sure it’s not swept under the rug, the ACCC will revisit the issues during its five-year digital services inquiry. At that time, the watchdog will evaluate whether Apple and Google have made good on the findings.

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    Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Mitchell Lawler owns shares of Apple. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Alphabet (A shares) and Apple and recommends the following options: short March 2023 $130 calls on Apple and long March 2023 $120 calls on Apple. The Motley Fool Australia has recommended Alphabet (A shares) and Apple. 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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  • 2 ASX dividend shares with big yields

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    Are you looking for some ASX dividend shares to bolster your income portfolio? Then look no further!

    Listed below are two ASX shares that have been tipped to provide their shareholders with generous yields in FY 2021 and FY 2022. Here’s what you need to know about them:

    Aventus Group (ASX: AVN)

    The first dividend share to look at is Aventus. It is Australia’s largest fully integrated owner, manager, and developer of large format retail centres.

    Aventus has been on form over the last 12 months thanks to the quality of its tenancies, the popularity of its centres, and its exposure to everyday needs and national retailers.

    In fact, unlike most retail landlords, Aventus has been able to collect rent largely as normal. This led to Aventus reporting both revenue and profit growth during the first half of FY 2021. It also saw the value of its properties increase.

    One broker that is particularly positive on the company is Goldman Sachs. It currently has a buy rating and $3.04 price target on its shares. It likes the company due to its everyday needs exposure and its growth opportunities.

    Goldman is forecasting a ~16.6 cents per share distribution this year and ~18.5 cents per share next year. Based on the current Aventus share price, this implies 5.6% and 6.2% yields.

    Fortescue Metals Group Limited (ASX: FMG)

    Another ASX dividend share to consider is Fortescue. Like Aventus, Fortescue has also been a positive performer over the last 12 months.

    This has been driven by its low costs, strong production, record shipments, and the sky high iron ore price. In respect to the latter, during the first half, Fortescue achieved an average realised price of US$114 per dry metric tonne for its iron ore. This was up a massive 42.5% on the prior corresponding period.

    Pleasingly, since then, the iron ore price has continued to surge higher. In fact, this week the spot iron ore price is fetching a record high of ~US$195 a tonne. This puts the company in a great position to have an even stronger second half, even with its lower grade iron ore.

    Ord Minnett is positive on the company. It recently put a buy rating and $29.00 price target on its shares. The broker is also forecasting dividends of $3.50 per share and $3.07 per share over the next two years.

    Based on the latest Fortescue share price of $22.60, this represents massive 15.5% and 13.6% yields, respectively.

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  • Why the Gold Road (ASX:GOR) share price was smashed today

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    The Gold Road Resources Ltd (ASX: GOR) share price has been hammered on Wednesday. This comes as ASX gold shares sink lower. Additionally, an insider is also selling down their shareholding. 

    What’s driving the Gold Road share price lower?

    The only update from the Aussie gold miner was a Change of Director’s Interest Notice. The update informed the market that the Netscher Family Superannuation Fund had sold 320,000 shares at $1.29 per share.

    Mr Timothy Netscher, Gold Road’s Chairman, is the sole beneficiary of the fund. The Gold Road share price has taken a tumble today and was trading down 5% at the time of writing.

    The 320,000 on-market share sale means the super fund will retain a 463,000 stake in the group. However, it may not be just the insider sale that’s causing the Gold Road share price to tumble today.

    Gold Road and St Barbara Ltd (ASX: SBM) are leading the ASX gold shares lower today in a tough day for investors. The St Barbara share price is down 8.0% after hitting a new 52-week low earlier in the session.

    That came on the back of a production fall in the gold miner’s latest quarterly numbers. In fact, production fell and costs increased 8.7% for the quarter in bad news for shareholders. Gold sales fell 28.3% to 71,329 ounces versus the December quarter. St Barbara recorded an average realised gold price up 5.7% to $2,247 per ounce in a silver lining for shareholders.

    Gold investors may be looking at the St Barbara result as indicative of broader market conditions.

    The Gold Road share price remains under pressure in 2021 and is down 11.8% to $1.24 per share. That leaves the company’s market capitalisation at $1.1 billion with shares trading at 13.5 times earnings.

    Today’s weak St Barbara result and insider on-market share sale have pushed the Gold Road share price lower in a disappointing trading day for the ASX gold miner.

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  • Stanmore Coal (ASX:SMR) share price surges after signalling name change, renewables focus

    A happy woman at her laptop punches the air, indicating a rising share price

    The Stanmore Coal Limited (ASX: SMR) share price is jumping significantly today after the company released its Chairman’s AGM Address to Shareholders.

    The Stanmore share price is up 5.2% to 70 cents per share.

    Stanmore’s focus is the exploration, development, production and sale of metallurgical and thermal coal in Queensland, Australia. Let’s see what’s driving its share price rebound today.

    Stanmore Chair’s AGM address

    Companies are moving away from thermal coal and fossil fuels in record numbers towards renewable energy sources and China slapped a ban on Australian coal exports several months ago, which is partly to blame for why Stanmore has been hit hard by depressed coal prices.

    The company’s revenue from operations for the six month period ending 31 December 2020 totalled $136.3 million. This resulted in a gross loss of $6.6 million, considerably lower than the company’s $97.0 million profit recorded in FY20.

    Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) reduced to a $13.4 million loss, against the FY20 result of a positive $87.5 million.

    Stanmore Chair Dwi Suseno said the company were hoping to diversify into the renewable energy resources market and change the company’s name accordingly.

    The directors are recommending a change of name for the Company to Stanmore Resources. The Board believes that the name of the Company should be reflective of our aim to continue developing and strengthening our core metallurgical coal business, but also exploring other resource diversification opportunities, including but not limited to the renewable energy space.

    In that vein a company called Stanmore Green has been created. The vision for this company is to leverage our assets and execution capabilities to explore and pursue diversification opportunities in the renewable energy space offering synergistic and value add to our existing and future operations.

    Stanmore share price snapshot

    Today’s gains are rare respite for Stanmore investors. The Stanmore share price has been falling dramatically over the last 12 months, down 30% and 53% against the broader resources sector.

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  • Why is the Kalamazoo (ASX:KZR) share price slipping today?

    Hand holding gold nugget ASX stocks buy

    Kalamazoo Resources Ltd (ASX: KZR) shares are slipping slightly today against a negative yearly return after the company released its quarterly activities report.

    The Kalamazoo share price is down 1.10% to 45 cents per share at the time of writing.

    Kalamazoo is a gold and copper explorer and developer primarily focused on exploring and developing gold projects in Western Australia.

    The company has found promising intersections recently at its new Victorian gold mining operations, so let’s see what’s driving its share price today.

    Kalamazoo’s Victorian goldfield successes

    Kalamazoo revealed the following best intersections at its Ashburston gold fields; 9 metres at 5.52 g/t Au, 9 metres at 3.03 g/t Au, 9 metres at 4.03 g/t Au and 7 metres at 4.25 g/t Au.

    Kalamazoo’s report says these intersections show “additional thick shoots of moderate to high-grade mineralisation exist beneath and along strike of the Waugh Pit”. This means Kalamazoo’s Ashburton project has additional gold potential in multiple directions.

    The company was quite bullish about the Ashburton Waugh Pit prospects, outlining its hopes through the report:

    The results from the drilling at the Waugh Prospect are highly encouraging with thick and moderate to high grade shoots of gold mineralisation found to occur within a plane of bedding sub-parallel faults that show surface gold anomalism extending over 300m west, and in excess of 1,000m to the east, of the Waugh Pit.

    Kalamazoo believes that continued exploration both along strike and down dip will extend the existing mineralisation at the Waugh Prospect and discover new shoots within this highly prospective fault system.

    Kalamazoo has also completed its gold drilling program in Castlemaine at its Lightning Prospect. It found “anomalous to high-grade gold and associated alteration” in all six of the company’s drilling holes. Intersection highlights included: 0.8 metres at 11.1 g/t Au, 0.4 metres at 12.3 g/t Au and 0.55 metres at 10.6 g/t Au.

    Through metal detecting in the region, the company also found coarse gold-in quartz specimens between the Lightning and Mustang prospects, which it says further supports the gold-bearing potential of the area.

    Kalamazoo share price snapshot

    The Kalamazoo share price is rebounding this month from a 26% decline since 2021 began and has now risen by almost 5% through April.

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  • Here’s why the JB Hi-Fi (ASX:JBH) share price is tumbling lower today

    falling asx share price represented by woman making sad face

    The JB Hi-Fi Limited (ASX: JBH) share price is tumbling lower on Wednesday afternoon.

    At the time of writing, the retail giant’s shares are down over 4% to $45.51.

    Earlier in the day, the JB Hi-Fi share price was down as much as 7% to $44.25.

    Why is the JB Hi-Fi share price tumbling lower?

    Investors have been selling the company’s shares today following the surprise announcement of the exit of its CEO after almost seven years in the job.

    According to the release, Richard Murray is leaving the retail giant to take on a new challenge in August and will be replaced by former CEO Terry Smart.

    In another announcement, it has been revealed that Mr Murray is leaving to join Premier Investments Limited (ASX: PMV) as the CEO of Premier Retail.

    Premier Retail is responsible for a number of popular retail brands such as Just Jeans, Peter Alexander, and Smiggle.

    Sales update

    This news appears to have overshadowed a solid sales update by JB Hi-Fi this morning.

    According to the release, the JB HI-FI Australia business reported sales growth of 10.4% during the third quarter. This was driven by comparable sales growth of 11.5% and brought its year to date sales growth to 19.4%.

    It was a similar story in New Zealand, with the JB Hi-Fi New Zealand business reporting third quarter sales growth of 16%. This has taken its year to date sales growth to 11%.

    Finally, the company’s The Good Guys business has experienced a slowdown in its growth, but still delivered a solid 5.8% increase in third quarter sales. Year to date, its sales are now up 19.5%.

    Management commented: “The Group is pleased with the Q3 sales result and trading in April to date. Whilst from mid-March we commenced cycling elevated sales growth last year, we continue to see heightened customer demand and strong sales growth rates over a two-year period. In view of the ongoing uncertainty arising from Covid-19, the Group does not currently consider it appropriate to provide FY21 sales and earnings guidance.”

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  • The Legend Mining (ASX:LEG) share price is up 10% today. Here’s why

    Monadelphous share price rio tintoA happy miner in front of a massive drilling rig, indicating a share price lift for ASX mining companies

    The Legend Mining Ltd (ASX: LEG) share price is soaring today following news from its Mawson discovery zone. There, it has come across 2 new intercepts of nickel-copper sulphide.

    At the time of writing, the Legend Mining share price is up 10%, trading at 13 cents each.

    Let’s take a closer look at today’s news from the miner.

    Massive nickel-copper sulphide intercepts

    According to Legend Mining’s release, the company has intercepted a wide sulphide zone at its flagship Mawson Ni-Cu-Co prospect in Western Australia.

    Results from the 2 drill holes have been described by the company as “massive nickel-copper sulphide intercepts”. The results came from a drilling program made up of 4 holes, conducted at the site over the second half of April.

    Of the 2 intercepts, 1 was east-south-east of the Mawson discovery zone. It included:

    • 45 metres of semi-massive and massive sulphide, and
    • 4 metres of net-textured and semi-massive sulphide.

    The other was in the northeast of the discovery zone. It included:

    • 15 metres of massive sulphide, and
    • 75 metres of net-textured and semi-massive sulphide.

    Commentary from management

    Commenting on the discoveries, Legend Mining managing director Mark Wilson said:

    The success of this year’s diamond drill program has ramped up with two new intercepts of massive nickel copper sulphide within broad bands of sulphide mineralisation.

    The distance between these holes and the discovery zone, along with the developing story from downhole EM surveys, continue to demonstrate a very large system driving Mawson, which is consistent with the potential of a significant deposit.

    Legend Mining share price snapshot

    The Legend Mining share price has had a good 2021 on the ASX, but its last 12 months overall have been poor.

    Currently, the Legend Mining share price is up 18% year to date, although it’s down 35% over the last 12 months.

    The company has a market capitalisation of around $330 million, with approximately 2.76 billion shares outstanding.

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  • Here’s why the Link (ASX:LNK) share price is sinking 6% today

    A businessman holds his glasses in concern, indicating uncertainly in the ASX share price

    The Link Administration Holdings Ltd (ASX: LNK) share price has come under pressure on Wednesday.

    In afternoon trade, the administration services company’s shares are down 6% to $4.96.

    Why is the Link share price sinking?

    Investors have been selling Link’s shares following the release of an update on its takeover approach by a consortium comprising Pacific Equity Partners, Carlyle Group and their affiliates.

    Last year the consortium made a non-binding indicative proposal to acquire the company for a cash price of $5.40 per share.

    SS&C Technology then came to the table in December, outbidding the consortium with a conditional, non-binding indicative proposal of $5.65 cash per share.

    However, after providing SS&C Technology with due diligence, it soon withdrew its offer.

    What’s the latest?

    This morning the Pacific Equity Partners and Carlyle Group consortium informed Link that it would also be withdrawing its offer following a period of due diligence.

    While no reason was given for the withdrawal, Link was quick to note that this wasn’t to do with its performance in FY 2021.

    It advised that its FY 2021 financial performance and achievement of outcomes from the Global Transformation Program remain in line with expectations.

    What now?

    The company is now focusing on unlocking value through either the IPO or sale of its PEXA business.

    The latter of the two options appears to be the most likely outcome, with management revealing that it has received non-binding indications of interest.

    Furthermore, it notes that this interest better reflects the underlying value of PEXA and is significantly greater than the consortium proposal’s implied enterprise value of approximately $1.95 billion for PEXA.

    Management advised that binding offers are expected to be made for PEXA in June. It intends to keep the market informed with developments as and when they happen.

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  • Here’s why the Cimic (ASX:CIM) share price is pushing higher today

    A happy smiling kid points his fingers up, indicating a rising share price

    The Cimic Group Ltd (ASX: CIM) share price is edging higher today following the announcement of two contract wins.

    During mid-afternoon trade, the global engineering company’s shares are fetching for $18.08, up 0.7%.

    Details of the contract awards

    Investors appear pleased with the company’s latest news, breaking the gradual decline of Cimic shares over the last few months.

    In a statement to the ASX, Cimic’s construction company, Leighton Asia, and wholly-owned subsidiary of CPB Contractors, Broad Construction (Broad) have secured $100 million in project wins.

    This extends their market presence in Singapore and Western Australia, respectively, generating revenue for the company.

    The following projects are listed as follows:

    • Awarded by Singapore’s Land Transportation Authority to Leighton Asia, in joint venture with Bintai Kindenko, will see the replacement of electrical services and systems for the existing Central Expressway and Fort Canning Road Tunnels. It is expected the project will commence this month, and be completed by Q3 2024.
    • Awarded by the West Australian Government to Broad for the expansion of the Casuarina maximum security prison, located south of Perth. Works include the construction of a high-security unit, two mainstream accommodation units, as well as support and industries buildings. The project has already begun and is scheduled to be finished sometime in 2022.

    Leighton Asia managing director Pedro Vicente commented on the new deal, saying:

    We are pleased to secure another contract with our client, the Land Transportation Authority. The award of this contract demonstrates Leighton Asia’s diverse engineering capabilities and ability to leverage CIMIC Group’s experience to grow our business in the M&E sector.

    CPB Contractors managing director Jason Spears touched Broad’s award, adding:

    Broad has industry leading experience in delivering essential community facilities like schools, hospitals and prisons. Our team will work closely with the Department of Justice, and particularly WA Corrective Services, to ensure that this important project is delivered safely while also maximising local employment opportunities.

    About the Cimic share price

    The Cimic share price has been hit hard since reporting its full-year result in the middle of February. The company’s shares dived from the $26 mark to hover around the $20 price point. This reflects a fall of more than 20% in a short amount of time.

    Based on the current share price, Cimic commands a market capitalisation of roughly $5.6 billion, with 311 million shares outstanding.

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