The Macquarie Group Ltd (ASX: MQG) share price is on course to finish the month on a positive note.

In morning trade, the investment bank’s shares are up over 1.5% to $158.07.

This means the Macquarie share price is now up a sizeable 13% since the start of the year.

What is driving the Macquarie share price higher?

With no news out of the company this week, today’s rise in the Macquarie share price could be down to improving investor sentiment which is driving the S&P/ASX 200 Index (ASX: XJO) higher.

In addition to this, it is worth noting that the company has been the subject of several positive broker notes in recent weeks. These could also have given its shares a bit of a boost.

Which brokers are positive on Macquarie?

One broker that is positive on Macquarie is Ord Minnett. Earlier this month it put an accumulate rating and $170.00 price target on the company’s shares. It notes that recent transactions demonstrate the ongoing robust environment for infrastructure assets and expects Macquarie to benefit greatly from this.

Elsewhere, last month Morgans and Morgan Stanley responded to the company’s strong full year result by reaffirming the equivalent of buy ratings on its shares and lifting their price targets.

Morgans now has a $171.00 price target, whereas Morgan Stanley has a $175.00 price target. The latter implies potential upside of almost 11% for the Macquarie share price over the next 12 months.

Analysts at Morgans commented: “We think MQG remains well positioned to seize opportunities on the other side of COVID-19 and we maintain our ADD call with >10% TSR on a 12-month view.”

In light of the above, this may be an indication that the gains are not over for the Macquarie share price in 2021. Though, time will tell if that’s the case.

The post Why the Macquarie (ASX:MQG) share price is pushing higher again appeared first on The Motley Fool Australia.

More reading

• The ASX shares most impacted by Australia’s job squeeze
• ASX 200 Weekly Wrap: Share market breaks 5 week winning streak
• Cochlear (ASX:COH) share price rises on bullish broker note
• 2 excellent ASX 200 blue chip shares to consider
• Nuix (ASX:NXL) share price falls as warrant to search offices issued

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 owns shares of and has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/3hl7v25

The Telstra Corp Ltd (ASX: TLS) share price is leaping higher today after the company announced a major divestment this morning. Telstra shares are currently up 4.03% to $3.75.

Below we take a look at the ASX telco’s news.

What did Telstra announce this morning?

The Telstra share price is rising after the company reported it had sold a 49% interest in Telstra InfraCo Towers to the Future Fund, Commonwealth Superannuation Corporation, and Sunsuper.

InfraCo Towers has roughly 8,200 towers across Australia, the largest provider of mobile tower infrastructure in the country.

Telstra said it expects to receive $2.8 billion after transaction costs, with completion of the acquisition expected in Q1 on the 2022 financial year (FY22). Telstra CEO, Andrew Penn, Telstra’s CEO, also revealed that the company plans to return approximately 50% of net proceeds from the sale to Telstra shareholders in FY22.

The company will retain a 51% ownership of the Towers business, including the radio access equipment and spectrum assets, to safeguard its national mobile coverage. Telstra has penned a 15-year extendable agreement with InfraCo Towers for access to existing and new towers.

Commenting on the divestment, Penn said:

Today’s announcement is a further endorsement of the [T22] strategy, as the establishment of our infrastructure assets as a separate business was designed to enable us to better realise the value of these assets, take advantage of potential monetisation opportunities and create additional value for shareholders and that is exactly what today’s announcement achieves…

Telstra’s objective in seeking a strategic partner has been to maximise overall value for our shareholders, maintain control of the assets and agree terms that secure Telstra’s mobile network leadership and competitive differentiation into the future. I am pleased that we have been able to achieve that ahead of schedule through this transaction announced today.

Penn added that the company plans to invest $75 million from the proceeds “to further enhance connectivity in regional Australia”.

After returning 50% of the net proceeds to shareholders (details to come with Telstra’s full year result release in August), the company intends to use the remainder for debt reduction to maintain a strong balance sheet.

Telstra share price snapshot

Telstra shares have gained 20% over the past 12 months, trailing the 25% gains posted by the S&P/ASX 200 Index (ASX: XJO).

Year-to-date the Telstra share price has outperformed, up 25% so far in 2021.

The post Telstra (ASX:TLS) share price leaps on $2.8 billion sale appeared first on The Motley Fool Australia.

More reading

• Telstra (ASX:TLS) share price tipped to jump 16% from here
• 5 things to watch on the ASX 200 on Wednesday
• Here are 3 ASX 200 shares making market moves today
• Should you buy Telstra (ASX:TLS) shares for its dividend yield?
• Temple & Webster share price surges with other ASX COVID winners

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

from The Motley Fool Australia https://ift.tt/3hhv9wt

The Paradigm Biopharmaceuticals Ltd (ASX: PAR) share price is edging higher during early morning trade. This comes after the company provided an update on its Investigational New Drug (IND) application to the US Food and Drug Administration (FDA).

The application concerns Pentosan Polysulfate Sodium or PPS. It’s an injectable solution that aims to treat musculoskeletal disorders caused by injury, inflammation, aging, degenerative disease, infection or genetic predisposition.

The semi-synthetic drug is packaged as Zilosul and has shown improvements in pain reduction, joint function, and the prevention of cartilage damaging joints.

At the time of writing, the biopharmaceutical company’s shares are up 3.61% to $2.01.

What did Paradigm announce?

In today’s statement, Paradigm advised it has responded to the FDA’s questions about its IND application.

Paradigm stated it consulted with multiple experts for its responses to the questions. This included a United States board-certified pre-clinical toxicologist and a former FDA physician who reviewed the document before submission.

The company believes with the help of these experts, the FDA will be satisfied with its responses. It hopes the matter will be considered complete and can proceed to the next steps of the process.

The FDA has 30 calendar days to decide on whether Paradigm’s submission meets requirements.

Paradigm chief marketing officer Dr Donna Skerrett commented:

We believe these responses are sufficient to assure the agency the program is supported by non-clinical and clinical data and that the objectives, rationale, and study design will aim to demonstrate the safety and effectiveness of PPS for patients with painful osteoarthritis of the knee.

There is a clear unmet need for patients who have not had adequate responses to initial therapy for knee OA and have ongoing pain. Prior experience with PPS in clinical and nonclinical settings has demonstrated the potential to address this unmet need.

Paradigm CEO Paul Rennie also added:

Paradigm has progressed pre-clinical studies in two new indications of acute respiratory distress syndrome (ARDS) and heart failure at study centres in Australia and Europe, respectively.

The orphan drug indication of MPS VI has received regulatory and ethics approval in Brazil for its Phase 2 clinical trial. Paradigm continues to execute on its disease-modifying osteoarthritis clinical trial PARA_008.

Paradigm share price summary

During the past 12 months, Paradigm shares have lost almost 40% with its year-to-date performance also down more than 20%. The company’s share price reached a 52-week low of $1.87 yesterday.

Based on today’s price, Paradigm has a market capitalisation of around $439 million, with approximately 226 million shares outstanding.

The post Why the Paradigm (ASX:PAR) share price is edging higher today appeared first on The Motley Fool Australia.

More reading

• Paradigm (ASX:PAR) share price is up 5% today. Here’s why

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.

from The Motley Fool Australia https://ift.tt/3y60OYz

The Life360 Inc (ASX: 360) share price is climbing higher this morning. At the time of writing, the Life360 share price is up 7.44%, fetching for $6.75mm

Shares in the San Francisco-based family app maker gained 4.9% yesterday. Though this pales in comparison to the company’s share price performance over the past year. In this time the Life360 share price has risen an astonishing 206%.

Let’s look through the latest announcement.

Life360 share price gets celeb lift

Investors are buying up the Life360 share price this morning after an update released after hours yesterday.

According to the release, the company has created a Family Advisory Council that will bring together well-known celebrities and influencers to help shape the company’s product and marketing strategy.

Moreover, underpinning this is an investment round of approximately US$2.1 million. This is being led by Bryant Stibel, the investment group founded by the late Kobe Bryant and Jeff Stibel.

Other participants in the investment round include Vanessa Bryant (wife of the late Kobe Bryant), Tony Hawk; Nicole and Michael Phelps; Billy Perry; Jada and Chris Paul; and Chip and Joanna Gaines. Particular details regarding the Life360 share pricing for the round were not disclosed.

The aforementioned individuals are all users of the Life360 mobile app. As such, their families will provide input into the Family Advisory Council. This will aim to help create new features to build further trust between parents and children.

Acquisition update and founder loans

Shareholders will also be pleased to read that Life360 is continuing to progress through the due diligence phase of its Jiobit acquisition.

The provider of wearable location services for young children, pets, and seniors was originally proposed to be acquired on 27 April 2021. Life360 now anticipates the deal will be closed within 30 days with no material changes to the original terms.

On a different note, the company’s founders Christopher Hulls and Alex Haro have taken out personal loans using a portion of their Life360 shareholdings as security.

Additionally, the personal loans totalling $10.5 million and $5.5 million respectively have been sourced via a third-party lender. The funds will be put towards personal interests including Haro’s new venture (MyMoneyKarma), angel investments, and real estate.

The loan facility has a maturity date of 24 months. It has been securitised by 17.8% of Chris Hulls’ and 17.4% of Alex Haro’s shareholdings.

Future outlook

Lastly, the company disclosed the trading outlook. According to Life360, indications of improving performance in the second half of CY21 continue. This is thanks to a return to normal activities and user experience improvements being well received.

Furthermore, app downloads have surged due to being widely shared on TikTok. While the company expects this phenomenon is transitory, the push has led to its app being the most downloaded in more than 11 countries over the past month.

Consequently, CY21 annualised monthly revenue is expected to land towards the higher end of guidance of US$110 million to US$120 million.

At the time of writing, the Life360 share price is up 7.5% to $6.72 a piece.

The post Life360 (ASX:360) share price up 206% in last 12 months appeared first on The Motley Fool Australia.

More reading

• Here are 3 ASX tech shares tipped for big things
• Why Core Lithium, Life360, Marley Spoon, & Metcash are storming higher
• 2 excellent mid cap ASX shares rated as buys
• Here are 3 ASX shares that are cashed up
• 2 highly rated ASX tech shares rated as buys

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 recommended Life360, Inc. 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.

from The Motley Fool Australia https://ift.tt/2UImsni

Shares in Evolution Mining Ltd (ASX: EVN) are up slightly following news of a gold discovery at the Cue Project joint venture area in central Western Australia. At the time of writing, the Evolution share price is trading at $4.54 – 0.33% higher than its closing price yesterday.

Shares in Evolution’s joint venture partner, Musgrave Minerals Ltd (ASX: MGV), are also lifting today. Currently, the Musgrave share price is 4.29% higher than its previous close. Its shares are trading for 36.5 cents apiece.

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

Joint venture refresher

Evolution entered into the joint venture and earn-in agreement at the Lake Austin area of Musgrave’s Cue Project in 2019.

Under the terms, Evolution will spend $18 million on the site over the 5 years following the agreement in exchange for a 75% stake in the tenement. So far, Evolution has spent $4.6 million.

Today’s news

In its release, Evolution advised diamond drilling at the joint venture area had uncovered a new high-grade gold zone.

The zone is over a 400-metre strike and is open to the north, south, and at depth.

Following the results, Evolution has committed to spend another $5 million on exploration activities at the site over the next 12 months.  

Assay results from the 4 drill holes that intercepted the discovery include:

• 11.5 metres at 3.2 grams of gold per tonne from 245 metres, including 3 metres at 10.6 grams of gold per tonne from 247.5 metres
•  11 metres at 3.6 grams of gold per tonne from 272 metres, including 5 metres at 5.5 grams of gold per tonne from 276 metres
• 5 metres at 2.7 grams of gold per tonne from 169 metres
• 0.4 metres at 23.5 grams of gold per tonne from 144.7 metres

Musgrave stated the differentiated dolerite unit hosting the discovery was like that of other significant discoveries at the Cue Project.

Over the next 12 months, the companies will conduct another 7,000 metres of diamond drilling to find more targets. The next stage of drilling will kick off next month.

Evolution share price snapshot

Shares in Evolution are having a poor year on the ASX, having fallen 14% year to date.

The Evolution share price has also dropped 20% since this time last year.

The company has a market capitalisation of around $7.7 billion, with approximately 1.7 billion shares outstanding.

Musgrave share price snapshot

The Musgrave share price isn’t performing much better than that of its joint venture partner.

Currently, the Musgrave share price is 7% lower than it was at the start of 2021. It has also fallen 25% since this time last year.

The company has a market capitalisation of around $186 million, with approximately 533 million shares outstanding.

The post The Evolution (ASX:EVN) share price lifts after gold discovery appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Leading brokers name 3 ASX shares to sell today
• 5 things to watch on the ASX 200 on Tuesday
• 5 things to watch on the ASX 200 on Thursday
• 5 things to watch on the ASX 200 on Wednesday

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.

from The Motley Fool Australia https://ift.tt/363vpdf

The Sayona Mining Ltd (ASX: SYA) share price has returned from its trading halt with a bang on Wednesday.

In morning trade, the lithium explorer’s shares are up a massive 27% to 9.4 cents.

Why is the Sayona Mining share price rocketing higher?

The catalyst for the rise in the Sayona Mining share price today has been an update on its joint bid with Piedmont Lithium Inc (ASX: PLL) to acquire Quebec-based North American Lithium (NAL).

According to the release, the Superior Court of Quebec has granted an approval and vesting order in relation to the acquisition by its Sayona Quebec business. This means the parties can now push ahead with the acquisition valued at a total of C$196.2 million.

Sayona’s Mining’s Managing Director, Brett Lynch, believes this is a key milestone for the company, its partner Piedmont Lithium, and also the city of Quebec.

He said: “This is a pivotal point for not only ourselves and our bid partner Piedmont Lithium, but also Québec and its future as a leading player in the clean energy industry of the 21st century. We look forward to executing our turnaround plan in integrating NAL with our flagship Authier Lithium Project to transform the operation and create a world‐scale Abitbi lithium hub, advancing our plans for downstream processing in Quebec.”

What now?

The release explains that the transaction is expected to close during the third quarter of 2021, subject to the satisfaction of certain conditions. These conditions include Sayona Mining obtaining any necessary approvals under the ASX Listing Rules relating to its share purchase plan and other necessary regulatory approvals, as well as other customary closing conditions.

Upon completion, Sayona Quebec intends to refurbish NAL’s facilities. This includes technical improvements as well as the upgrading of certain equipment. After which, it will integrated the operation with the nearby Authier project to transform it and create a world‐scale Abitibi lithium hub.

Today’s gain means the Sayona Mining share price is now up a remarkable 750% in 2021.

The post Why the Sayona Mining (ASX:SYA) share price is up 27% today and 750% in 2021 appeared first on The Motley Fool Australia.

More reading

• Here’s why the Sayona (ASX:SYA) share price is plummeting 9%
• These 5 ASX shares are delivering the biggest gains in 2021
• Why the Piedmont Lithium (ASX:PLL) share price is gaining today
• Why the Piedmont Lithium (ASX:PLL) share price is lifting today

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 Piedmont Lithium Inc. 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.

from The Motley Fool Australia https://ift.tt/3Ac7beG

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.

As an investor, it’s hard not to focus on the incredible revenue generated by COVID-19 vaccine makers like BioNTech (NASDAQ: BNTX). They have taken a new technology and turned it into one of the best selling drugs of all time. This year could be just the beginning.

After years of scientific research, the age of genetic medicine might have finally arrived. That’s great news for BioNTech shareholders. They could see decades of gains ahead. Ironically, the vaccine could now be the biggest threat to those gains in the short term. It’s turning out that the vaccine might just work too well.

1. Comirnaty: The COVID-19 Vaccine

Any discussion of BioNTech has to begin with the COVID-19 vaccine it developed with partner Pfizer (NYSE: PFE). As of May 6, more than 450 million doses of the drug had been provided across 91 countries. Combining all COVID vaccine producers, the U.S. is administering about 875,000 doses each day. That number is more than 45 million globally.

The partners already have orders for 1.8 billion doses this year and expect the total capacity for production to reach 3 billion by the end of 2021 (and even more in 2022). Based on the firm orders as of May, BioNTech management was expecting revenue of 12.4 billion euros. Extrapolating that number to the full allotment of doses would bring in more than $20 billion in sales. It’s amazing for a product that didn’t exist a year ago. However, for the company’s $27 billion market cap to hold up over time, it will likely have to bring other drugs to market. On that, it’s making progress.

2. A head start in a new era of medicine

With the success of its mRNA-based vaccine, BioNTech and Moderna (NASDAQ: MRNA) have established themselves as early leaders in a revolutionary new biotechnology. For its part, BioNTech has 14 drug candidates in 15 clinical trials. It was originally founded to beat cancer, and the company has several oncology programs going into phase 2 trials this year.

Its skin cancer treatment — with partner Regeneron — dosed its first phase 2 patient in mid-June. Its head and neck cancer treatment, combined with Merck‘s Keytruda, should dose its first phase 2 patient in the coming weeks. Phase 2 for BioNTech’s individualized colon cancer treatment will start later this year. In that treatment, a patient’s specific tumor mutations — or neoantigens — are used to develop a targeted therapy. The number of programs the company is pursuing speaks to the ambition it has for the future of mRNA.

3. Leadership has serious skin in the game

Amid the flurry of executive stock sales in 2020, when shares of companies benefiting from the pandemic skyrocketed, one man stood firm. Ugur Sahin, co-founder and CEO of BioNTech, never sold a single share. It fits his personality. He reportedly doesn’t own a car, bikes to work, and continues to live in a modest apartment. 

Filings show Sahin controls 17% of the company worth approximately $9.4 billion. Although there is nothing onerous with their actions, the leaders at Pfizer and Moderna pocketed a combined hundreds of millions of dollars in sales through 2020. A CEO who sells stock isn’t necessarily a reason to be concerned. But a CEO with most of his personal wealth aligned with shareholders is definitely a good sign.

The vaccines might be too good

Until now, most had been operating under the assumption that COVID protection would mean getting a booster shot each year  — like the flu. But the SARS-CoV-2 virus doesn’t mutate as fast as your typical influenza bug. And it is looking like our bodies defenses, through inoculation of having had the illness, might be long-lasting.

A just-published peer-reviewed study indicated the protection offered by the mRNA vaccines could last for years, making the need for booster shots unnecessary. That doesn’t apply to the Johnson & Johnson jab. The lack of enduring protection from that drug will create some incremental demand for both BioNTech and Moderna’s shot. The study didn’t account for the delta variant. It’s possible that could complicate the study’s conclusion.

The news makes it even more imperative that BioNTech comes up with a second act soon. Sahin has said it could launch multiple products in the next five years. It certainly has the ingredients: a full pipeline, the proven scientific acumen, and dedicated leadership. But much of the current valuation may be counting on vaccine demand persisting for a few years. If that falls off, it could be a bumpy ride for shareholders while they wait for an encore. 

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

The post 3 reasons to buy BioNTech, and 1 reason to sell appeared first on The Motley Fool Australia.

More reading

• Why BioNTech trounced the Market on Tuesday
• If you thought these 2 big Nasdaq winners were done, think again
• Moderna files for FDA approval of its COVID vaccine in teens

Jason Hawthorne owns shares of BioNTech SE. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Johnson & Johnson and Moderna Inc. 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.

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

from The Motley Fool Australia https://ift.tt/2SFepHo

The Uniti Group Ltd (ASX:UWL) share price has been a major performer this year, surging around 88% year-to-date and 131% in the past 12 months

The Adelaide company, which focuses on the construction of communications infrastructure such as fibre, wireless towers and ground leases, is also intertwined with Australia’s National Broadband Network (NBN) rollout.

Let’s have a look at what Uniti Group has been up to recently.

ASX 200 inclusion

Only 2 years after listing, Uniti was added to the ASX 200 in early June. Uniti shares have climbed 3% following this rebalancing of the S&P/ASX 200 Index (ASX: XJO).

Since its inclusion, the 20-day average trading volume in Uniti shares has increased to more than 4 million shares changing hands daily.

Uniti has outpaced the ASX 200’s 12-month return, climbing 131% versus the index’s 23% during the same period.

NBN Co and broadband pricing

On June 7 2021, NBN Co released its views on future wholesale broadband pricing in a proposal to amend long-term NBN pricing options.

In the paper, NBN Co demonstrated it has considered indexing broadband prices “above the level of inflation” if low usage hurts the company’s revenue.

Uniti operates one of Australia’s largest open access broadband networks, and the company’s share price has climbed northwards by 7% following the paper’s release, jumping from $3.07 to $3.29 at pre-market today.

What do analysts say?

Analysts from firm JP Morgan Chase & Co assigned a buy rating on Uniti Group shares on 18 June, citing the above proposal and the impact of potential NBN pricing amendments to the company:

“In our analysis of NBN’s proposed pricing constructs, we estimate wholesale prices will increase by a minimum of 13% by mid-2023.”

“We view Uniti as a beneficiary of the wholesale price increases as it utilizes NBN’s pricing card for its own wholesale network.”

Analysts pointed to Uniti’s “leverage to the Australian domestic housing market and the company’s near certain growth from upcoming contracted construction.”

The analysts assigned a price target of $3.45 per share in an updated report to investors on 23 June.

At the current share price of $3.29, this implies an upside potential of more than 4%.

Uniti Group share price snapshot

Uniti Group shares have gained 86.65% during the previous 6 months. They’ve posted almost 10% in the previous month.

This has outpaced the ASX 200’s 8.88% return over the same 6-month period.

At the time of writing, Uniti Group Ltd has a market capitalisation of $2.27 billion and a price-to-earnings ratio (P/E) of 78.1.

The post The Uniti Group (ASX:UWL) share price has rocketed 130% in 1 year appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• ASX 200 dips, Collins Foods drops, Kathmandu falls
• Here are 3 ASX 200 shares making market moves today
• ASX construction shares like Brickworks (ASX:BKW) are falling today
• ASX 200 down 0.9%: Big four banks drop, Metcash charges higher

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.

from The Motley Fool Australia https://ift.tt/3qzNY2g

Authorities are investigating insider trading allegations against Nuix Ltd (ASX: NXL)’s just-resigned chief financial officer Stephen Doyle and his family.

The Australian Securities and Investments Commission (ASIC) on Tuesday took legal action to prevent Doyle’s brother, Ross, from leaving the country to return to his residence in Switzerland.

The court papers show the brothers are accused of trading Nuix shares with knowledge of inside information over January and February this year, as The Sydney Morning Herald first reported.

Their father Ronald Doyle is also a subject of the investigation.

“We are genuinely disturbed by the allegations concerning Mr Doyle and will fully assist ASIC in getting to the bottom of that matter,” said Nuix chair Jeffrey Bleich.

The Motley Fool has contacted ASIC for comment.

The allegations against the Doyles

Nuix listed on the ASX in December with an initial public offer (IPO) price of $5.31. The hype about its growth prospects sent the share price rocketing up immediately, to a high of $11.86 in January.

As chief financial officer, Stephen Doyle would have allegedly known about the downgrade to the company’s financial performance that was to be revealed to the public in February.

But Stephen is accused of tipping off his brother in January, according to the court affidavit.

ASIC accuses Ross Doyle of then selling 1.8 million Nuix shares that were held by a Singapore company named Black Hat. Ross also sold 200,000 shares held under his own name.

When the company announced the downgrade in February, the Nuix share price plummeted 32%.

The corporate regulator alleges that both the brothers have a financial interest in Black Hat, and the insider trading would have saved them in excess of $5.7 million in losses.

Persons convicted of insider trading of shares face up to 15 years’ jail.

Nuix’s unhappy start as ASX-listed company

Nuix shares closed Tuesday at $2.54, which is more than 70% down on the year.

The pressures of financial downgrades and ASIC investigations forced the departure of Stephen Doyle and chief executive Rod Vawdrey just 2 weeks ago.

Just last week, Nuix’s Sydney office was raided by the Australian Federal Police, as was Stephen Doyle’s inner-city apartment.

The post Former Nuix (ASX:NXL) executive accused of insider trading appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Nuix (ASX:NXL) shares continue to tumble on financial, legal concerns
• ASX 200 Weekly Wrap: Share market breaks 5 week winning streak
• These were the worst-performing ASX 200 shares last week
• Why New Hope, Nuix, Pilbara Minerals, & Woolworths shares are dropping

Motley Fool contributor Tony Yoo owns shares of Nuix Pty Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Nuix Pty Ltd. The Motley Fool Australia has recommended Nuix Pty Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/3xacQ3g

The Pro Medicus Limited (ASX: PME) share price has been one of the best performers on the ASX this year. And today it could be even better as it edges towards a record high.

So far, the health imaging technology company’s shares are up almost 70% year-to-date and 120% in the past 12 months.

We take a closer look at what could push Pro Medicus shares to an all-time high this morning.

Pro Medicus share price on the move

Investors remain confident in the Pro Medicus share price as the company continues to impress the market.

During mid-May, Pro Medicus signed an 8-year contract to licence its Visage 7 Enterprise imaging platform to The University of Vermont Health Network Inc. This $14 million deal further cemented the company’s growth opportunities across the healthcare market in North America and other regions.

Pro Medicus stated it’s won seven contracts in a row, building on its client base and revenue streams.

In addition, the company also recently partnered with healthcare giant Mayo Clinic in a multi-year research agreement announced earlier this month. The framework is aimed at developing and commercialising artificial intelligence, leveraging Pro Medicus’ Visage AI Accelerator platform.

The company believes the use of artificial intelligence will play an important role in the healthcare sector in the future. Its latest research collaboration is an integral part of the company’s AI strategy in meeting clinical goals with better patient outcomes.

Broker consensus

Over the past week, two brokers rated Pro Medicus shares with similar price points.

The first, Bell Porter, lifted its 12-month price target by 14% to $49.00. The investment firm views Pro Medicus in a positive light but put it on a hold rating due to its current valuation.

Australian investment house Morgans followed suit, raising its price by 20% to $49.69. However, it downgraded its rating from hold to reduce. This could be because the current Pro Medicus share price is almost 20% higher than its recommendation.

Based on valuation metrics, the company commands a market capitalisation of roughly $6 billion, with more than 104 million shares outstanding.

The post Pro Medicus (ASX:PME) share price eyes all-time high appeared first on The Motley Fool Australia.

More reading

• Top broker gives its verdict on the Pro Medicus (ASX:PME) share price
• Investing $20k into these ASX shares 10 years ago would have made you very rich
• Pro Medicus (ASX:PME) share price jumps 7% following broker notes
• Top brokers name 3 ASX shares to sell today
• Why Afterpay, Core Lithium, De Grey Mining, & Pro Medicus are storming higher

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. owns shares of and has recommended Pro Medicus Ltd. The Motley Fool Australia owns shares of and has recommended Pro Medicus Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/35Zl6qP