Many of Australia’s top brokers have been busy once again adjusting their estimates and recommendations. This has led to the release of a number of broker notes.

Three broker buy ratings that have caught my eye are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

Aristocrat Leisure Limited (ASX: ALL)

According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $38.00 price target. The broker has been looking into the company’s digital business and estimates that it grew very strongly during the first half. This was thanks largely to its RAID and EverMerge games, which are generating significant recurring revenues for Aristocrat. In addition to this, following a briefing last week, the broker is confident the company will emerge from the pandemic in a stronger competitive position. The Aristocrat Leisure share price is fetching $36.58 on Friday.

Hipages Group Holdings Ltd (ASX: HPG)

Analysts at Goldman Sachs have retained their buy rating and $3.10 price target on this online tradie marketplace provider’s shares. According to the note, the broker believes Hipages is well-placed to benefit from strong consumer demand for tradies. This is being supported by the housing market boom and the working from home initiative. Outside this, it estimates that the company catches only 5% of tradie industry advertising spend at present. But sees scope for this to grow beyond 40% in the future. The Hipages share price is trading at $2.32 today.

Western Areas Ltd (ASX: WSA)

A note out of Ord Minnett reveals that its analysts have retained their buy rating and $3.10 price target on this nickel producer’s shares. According to the note, the broker was pleased with Western Areas’ quarterly update, which delivered production ahead of its estimates. This was driven by an improved performance at the Forrestania project. Overall, it appears to see a lot of value in its shares at the current level and retains its buy recommendation. The Western Areas share price is fetching $2.23 today.

More reading

• Broker tips Hipages (ASX:HPG) share price to zoom 35% higher
• ASX 200 climbs 1%, Westpac rises, Western Areas jumps
• The Aristocrat (ASX:ALL) share price is back near all-time highs
• Why Creso, EML, Immutep, & Western Areas shares are storming higher
• Why the Western Areas (ASX:WSA) share price is on watch

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Hipages Group Holdings 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 Perenti Global Ltd (ASX: PRN) share price is edging slightly higher in late-morning trade today. This comes after the company provided an update on its sale of the Yanfolila and Boungou assets.

At the time of writing, the mining services company’s shares are swapping hands for $1.135, up 2.2%.

Let’s take a look at what’s driving the Perenti share price up today.

What did Perenti announce?

In today’s release, Perenti advised it has received around $80 million from asset sale of the Yanfolila Mine in Mali, and the Boungou contract in Burkina Faso. The agreed early exit from these two projects was a result of the underperforming contracts announced in its half-year results.

The sale comprises of roughly $55 million from the loss-making Yanfolila asset, and $25 million from the Boungou Mine asset. This includes the sale of in-country plant, property, and some of the equipment.

The remaining in-country equipment, settlement of outstanding debtors and working capital balances is expected to be finalised in the coming months.

Commenting on the sale, Perenti managing director and CEO Mark Norwell said:

With the receipt of these funds, as outlined when we presented our 2021 half-year results, we will redeploy this capital across our business into our most value accretive opportunities as we seek to generate and maximise value for our shareholders.

Perenti share price summary

Established in 1987, Perenti is one of the world’s largest companies that provides surface and underground mining and support services. The group is headquartered in Australia, and has operations and offices across 11 countries.

Over the past 12 months, the Perenti share price has shot up close to 50%, but has fallen 16% year-to-date. The company’s shares reached a 52-week high of $1.60 in June 2020 on the back of a positive business update.

Perenti has a market capitalisation of roughly $802 million, with about 704.3 million shares on issue.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• ASX 200 Weekly Wrap: Inflation fears hold ASX down
• These were the worst performers on the ASX 200 last week

Motley Fool contributor Aaron Teboneras 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 CSL Limited (ASX: CSL) share price is down today as the Australian Government recommended that people under 50 should not take the AstraZeneca PLC (LSE: AZN) COVID-19 vaccine.

At the time of writing, shares in the pharmaceutical giant are trading for $264.20, down 0.65%. By comparison, the S&P/ASX 200 Index (ASX: XJO) is 0.43% lower.

With the latest vaccine developments potentially impacting the country’s return to post-COVID ‘normal’, the news may be behind today’s downward trend across the stock market.

Let’s take a closer look at last night’s developments and how the CSL share price is responding.

New vaccine recommendation

In another blow to the Federal Government’s delayed vaccine rollout (and the CSL share price), the Australian Technical Advisory Group on Immunisation (ATAGI) recommends but is not mandating an alternative vaccine to AstraZeneca for people aged under 50.

The recommendation comes as a possible, but extremely rare, causal link was found between the AstraZeneca vaccine and fatal blood clotting.

At the time of the country’s most recent census, taken in 2016, Australia had just over 11 million people between the ages of 15 and 49.

In a statement yesterday, ATAGI said it made the decision after factoring in the risks and benefits of taking the vaccine in Australia, where there has been minimal community transmission of the disease recently.

In a press conference last night, Prime Minister Scott Morrison said the government would accept the expert group’s recommendations. As AstraZeneca was supposed to supply more than 50 million doses of the vaccine, the vast sum of which were to be manufactured locally by CSL, the government conceded it would no longer meet its October deadline of every adult receiving their first vaccine dose.

Australia has already been plagued by supply issues caused by European nations blocking shipments of the vaccine into Australia. As a reminder, it takes 2 doses for an adult to be fully immunised against COVID-19.

Liberal MP Trent Zimmerman said the government’s response to the vaccine was abundantly cautious but not an overreaction.

“What we’ve seen today is, following some advice and some analysis from our European friends, a very precautionary, an abundantly cautious approach, to the AstraZeneca vaccine,” Mr Zimmerman told ABC current affairs show Q&A last night.

CSL and AstraZeneca Australia responses

In a press release, CSL responded to the developments, saying:

CSL remains committed to meeting its contracted arrangements with the Australian Government and AstraZeneca for locally produced AstraZeneca COVID-19 vaccines. We will continue our focused and important efforts to manufacture this vaccine which remains critical for the protection of our most vulnerable populations.

We are proud of our unique role in Australia as the only onshore manufacturer that can produce this vaccine and remain dedicated to our ongoing contribution towards this effort.

In defence of its product, AstraZeneca Australia said:

Overall, regulatory agencies have reaffirmed the vaccine offers a high-level of protection against all severities of COVID-19 and that these benefits continue to far outweigh the risks.

AstraZeneca has been actively collaborating with regulators and expert advisory groups around the world, including the TGA and ATAGI in Australia to understand the individual cases, epidemiology and possible mechanisms that could explain these extremely rare events.

CSL share price snapshot

The CSL share price has faced many challenges over the last 12 months, falling by 19.6% during that time. Just this week, Motley Fool Australia discussed 6 reasons why the CSL share price may be struggling.

At the time of writing, CSL has a market capitalisation of $120 billion.

More reading

• 6 reasons CSL (ASX:CSL) shares are struggling
• CSL (ASX:CSL) share price wobbles on COVID vaccine news
• What’s happening with the CSL (ASX:CSL) share price?
• CSL (ASX:CSL) share price remains near 52-week low on COVID-19 vaccine delays
• 2 quality ASX healthcare shares to buy and hold

Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of CSL 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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One area of the market which is home to a number of quality options for growth investors is the mid cap space.

But with so many to choose from, which ones should you consider buying? Two to consider are as follows:

Adore Beauty Group Limited (ASX: ABY)

The first mid cap ASX share to look at is Adore Beauty. It is a leading online beauty retailer, providing consumers with an engaging beauty shopping experience.

What really sets Adore Beauty apart from other retailers is that it is more than just an online shop. Adore Beauty’s website is also a destination for education and entertainment. As a result, consumers visit its website even when they are not seeking to purchase items.

This and the shift to online shopping has underpinned very strong active customer growth. As of the end of the first half, Adore Beauty’s active customers had grown 82% over the prior corresponding period to almost 800,000.

From these customers, the company generated revenue of $96.2 million during the first half. This was up 85% on the same period last year. Positively, this is still only a fraction of an Australian beauty and personal market currently worth ~$11 billion a year. This gives Adore Beauty a long runway for growth over the next decade and beyond.

UBS is a fan of Adore Beauty. It currently has a buy rating and $6.20 price target on its shares.

Jumbo Interactive (ASX: JIN)

Jumbo Interactive is an online lottery ticket seller that is best-known as the operator of the Oz Lotteries website.

The Oz Lotteries website is currently the biggest generator of revenue for the company. However, this looks likely to change in the future due to the company’s Powered by Jumbo software as a solution (SaaS) business.

This SaaS business is expected to be the key driver of growth over the 2020s and it isn’t hard to see why. This business is well-placed to benefit from the shift online of lotteries globally. Management estimates that it has a US$303 billion global total addressable market, with just ~7% of this market online at the moment.

Morgans is positive on the company. The broker currently has an add rating and $14.78 price target on its shares.

More reading

• 2 quality ASX shares to buy this week
• 5 of the best ASX shares to buy after the Easter break
• Top ASX shares to buy in April 2021
• 2 rapidly growing ASX shares that could be strong buys in April
• 3 high quality ASX shares to buy next month

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 recommends Jumbo Interactive Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Adore Beauty Group Limited. The Motley Fool Australia has recommended Jumbo Interactive 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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Getting a yield of 5% or more on your cash is a rare feat these days. Term deposits? No way. You’d be lucky to get 1% with the current interest rate environment. Property? Not likely with all of the recent house price appreciation. Art? Gold? Non-fungible tokens (NFTs)? They don’t even pay a yield. That leaves ASX dividend shares. Luckily for us ASX investors, it’s not too hard to still find some decent ASX shares offering a yield of 5% or greater. Especially if you include those lovely benefits of franking credits.

So here are 3 such ASX dividend shares today

3 ASX dividend shares with yields over 5% right now

Telstra Corporation Ltd (ASX: TLS)

Telstra is a company most ASX investors would be familiar with. It’s the largest telco on the market, as well as being one of the largest ASX companies period. Telstra’s dividend history might still conjure up some painful memories for some of the longer-term investors out there. It did famously slash its annual dividend a few years ago from the old 32 cents per share to the 16 cents per share level we see today. However, that also accompanied a steep drop in the Telstra share price (it was almost $6 a share five years ago). As such, it still offers a decent starting yield for any new investors today. On current pricing, this 16 cents per share translates into a trailing dividend yield of 4.68%, which grosses-up to 6.68% with Telstra’s full franking.

Rio Tinto Limited (ASX: RIO)

Rio Tinto is one of the ASX’s largest miners. Its main commodity of choice is iron ore, which of course has had a magnificent year price wise. But Rio also mines diamonds, copper, gold and uranium. The recent run in iron ore prices has helped Rio recently break out into new all-time high territory – it hit $130 a share last month. However, Rio shares have recently pulled back, which means its trailing dividend yield has swelled for anyone looking to pick up new shares. On current pricing, Rio’s dividend is worth a yield of 5.3%, which grosses-up to a hefty 7.57% with Rio’s full franking. 

JB Hi-Fi Limited (ASX: JBH)

JB Hi-Fi is not normally a company most investors associate with dividends. But this electronics giant has managed to keep its dividends at pace with its recent share price growth – JB shares are up more than 150% since early 2019. Its most recent interim dividend was paid out on 12 March and came to $1.80 per share. That’s a healthy 82% increase on the interim dividend of 99 cents that JB paid out last year. On current pricing, JB is offering a trailing dividend yield of 5.21%, which grosses-up to 7.44% with full franking. 

More reading

• Here’s how much Telstra’s (ASX:TLS) dividend is worth right now
• The new race between US and China is good news for these ASX shares
• 3 ASX dividend shares with BIG yields
• Why the Rio Tinto (ASX:RIO) share price is in focus
• How are these ASX 200 retail shares tracking after JobKeeper’s end?

Motley Fool contributor Sebastian Bowen owns shares of Telstra Limited. The Motley Fool Australia owns shares of and has recommended Telstra 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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At lunch on Friday the S&P/ASX 200 Index (ASX: XJO) is on course to end a positive week with a small daily decline. The benchmark index is currently down 0.4% to 6,971 points.

Here’s what has been happening on the market today:

Tech shares rise

A number of tech shares including Kogan.com Ltd (ASX: KGN) and Nextdc Ltd (ASX: NXT) are outperforming the market today. This appears to have been driven by improving investor sentiment in the tech sector following a solid night of trade on the Nasdaq index. The tech-focused index outperformed other benchmarks with a decent 1% gain. At the time of writing, the S&P/ASX All Technology Index (ASX: XTX) is up 0.6%.

Afterpay US update

The Afterpay Ltd (ASX: APT) share price is trading higher today after announcing the completion of the tender offer made to eligible participants under the Afterpay US 2018 Equity Incentive Plan. According to the release, following its completion, the company’s underlying interest in the Afterpay US business has now increased to approximately 91%. This is up from 80% at the end of the first half of FY 2021.

Big four banks drop

The big four banks are all out of form on Friday and weighing heavily on the performance of the ASX 200. While all four banks are in the red, the Australia and New Zealand Banking GrpLtd (ASX: ANZ) share price is the worst performer with a 0.5% decline. Investors may be taking profit after some very strong gains in the sector so far in 2021.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Friday has been the Kogan share price with a 4.5% gain. This follows a rebound in beaten down tech stocks today. The worst performer on the index has been the Flight Centre Travel Group Ltd (ASX: FLT) share price with a decline of almost 3%. This may be due to concerns over Australia’s vaccine rollout.

More reading

• Why Anteotech, EROAD, Jindalee Resources, & Kogan are pushing higher
• 4 fantastic ASX shares with exposure to the cloud computing boom
• Looking for the next Afterpay and Zip? Try these small cap ASX shares
• Why the Afterpay (ASX:APT) share price is pushing higher today
• This broker expects great things from Bank of Queensland’s (ASX:BOQ) results next week

James Mickleboro owns shares of NEXTDC Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Kogan.com ltd. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Flight Centre Travel Group Limited and Kogan.com 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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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.

GameStop (NYSE: GME) is now fully controlled by the activist investors who were calling for change at the video game retailer.

Weeks after numerous executives either quit or were ousted from their jobs, and most of the board of directors declared they would not stand for reelection at the annual shareholders meeting, the company announced activist investor Ryan Cohen would become board chairman.

If it wasn’t clear before, those who are looking to transform GameStop into the “Amazon of video games” are now firmly in charge.

Cohen was one of the loudest voices calling for change at GameStop. He advocated for the retailer to sell off most of its unprofitable physical stores and switch primarily to an online business model since the industry was swiftly moving to a digital and download future.

He was subsequently appointed to GameStop’s board, where he was joined by another activist investor from the Starboard Value hedge fund. And along with a former Chewy (NYSE: CHWY) executive whom Cohen brought with him to the video game retailer, the trio was appointed to a special committee to oversee GameStop’s evolution.

Now Cohen will serve as point man for the entire company.

Where once GameStop looked like it was on the verge of irrelevance in the face of a rapidly changing video game industry, Cohen has been able to attract executive talent from Amazon, Walmart, Chewy, and elsewhere to help transform the business.

Shares of GameStop are up over 800% in 2021, in large part because of the Reddit rally in January that sought to punish short-sellers for trying to drive the retailer’s stock down to zero. But the price hike was ignited before that by Cohen’s original appointment to the board.

The stock is now 5,600% higher than where it was 12 months ago. 

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

More reading

• Will a retreating Reddit army trample the IOUpay (ASX:IOU) share price?
• Tesla and GameStop were some of the most popular US shares last week
• Is GameStop the next Blockbuster, Amazon, or Best Buy?
• Is the GameStop (NYSE:GME) share price about to go in full retreat?
• GameStop appoints former Amazon and Chewy Execs in turnaround bid

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Chewy, Inc. Rich Duprey 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.

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Big brokers have run the ruler over 3 ASX shares that could provide investors with upside in the short to medium term.

ASX shares rated a buy on Friday 

EML Payments Ltd (ASX: EML) 

The EML share price surged into record territory on Wednesday after announcing the acquisition of Sentenial Limited. The acquisition also includes its subsidiary, Nuapay, one of few open banking products in the marketplace. 

UBS is one of the latest brokers to upgrade its view of the EML share price. The broker believes that Nuapay is well placed for the land grab opportunity within the processing component of open banking in Europe, with the potential to expand into the United States and Australia over the medium term. 

A key challenge for the EML share price over the last 12 months has been its gift card business which was impacted by COVID-driven shopping centre closures and lockdown measures. UBS notes the acquisition represents another move away from its gift card earnings.

The broker retained a buy rating and raised its target price from $5.70 to $6.20. EML shares have run more than 15% this month and are currently fetching $5.75 at the time of writing. 

Nufarm Ltd (ASX: NUF) 

The crop protection and specialist seeds company has been a solid performer this year, climbing more than 25%. Macquarie has rated Nufarm shares as outperform with the expectation that its first-half results will show an improvement in Australia and Europe. 

The broker wants to see how an improvement in the business environment will impact the bottom line. Macquarie expects that Australia and Europe to make a meaningful contribution to earnings growth in FY21. 

Nufarm shares were rated as an outperform with an increase in target price from $5.50 to $5.70. Nufarm shares are trading at $5.31 at the time of writing. 

Tyro Payments Ltd (ASX: TYR) 

The Tyro share price has come a long way since its terminal outage and short-seller attack in February 2021. Its shares are almost 10% higher year-to-date, climbing almost 60% from its February lows. 

Morgans initiated coverage of Tyro shares on Friday, with an add rating and a $4.25 target price. The broker highlights the total transaction value acquired (TVA) in Australia of $660 billion as at FY20, with $171 billion in Tyro’s core verticals of health, hospitality and retail. 

Morgans is bullish on the company’s ability to grow its TVA market share from 1.4% to 3.5% between FY15 and 1H21 while consistently improving its operating leverage over time.  Tyro shares are currently trading at $3.67.

More reading

• Why the EML (ASX:EML) share price keeps getting more attractive
• ASX stock of the day: EML Payments (ASX:EML) shares keep rising
• Why Creso, EML, Immutep, & Western Areas shares are storming higher
• Brokers name 3 ASX shares to buy today
• Bullish ASX 200 shares breaking into 52-week highs 

Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Tyro Payments. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends EML Payments. The Motley Fool Australia owns shares of and has recommended EML Payments. 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 Genesis Minerals Ltd (ASX: GMD) share price is flat in morning trade despite the miner announcing a significant resource upgrade.

We take a look at the ASX gold share’s latest announcement below.

What did Genesis Minerals report this morning?

Genesis Minerals shares are flat after the company upgraded its mineral resources estimate at its Ulysses Gold Project in Western Australia.

The new mineral resources estimate for the project is 1,608,000 ounces of contained gold, a 26% increase on the previous estimate from June 2020.

Additionally, the ASX gold miner reported a 32% – 237,000 ounce – increase in its higher-confidence total measured and indicated mineral resource, bring the measured and indicated gold at Ulysses to 61% of the total contained ounces.

Commenting on the resource upgrade, Genesis managing director Michael Fowler said:

This is a result that confirms the scale and quality of the Ulysses Project, reflecting the outcomes of the highly-successful drilling programs completed over the expanded project area over the past six months…

The updated Mineral Resource will now form the foundation of our ongoing Feasibility Study on a standalone gold project at Ulysses, which is on-track for delivery next Quarter and is expected to potentially comprise both an open pit and underground mining operation…

This Resource will continue to be updated, with strong growth potential. Drilling is continuing and a further update is expected late this year.

The company is targeting its next resource update for the fourth quarter of the 2021 calendar year.

Genesis Minerals share price snapshot

Genesis Minerals shares are up 110% over the past 12 months, outpacing the 33% gains posted by the All Ordinaries Index (ASX: XAO) in that same time.

The Genesis Minerals share price has been struggling in 2021, with shares down 21% year-to-date.

At the current price of 6.3 cents per share, Genesis Minerals has a market cap of $128 million.

More reading

• Why the Universal Biosensors (ASX:UBI) share price is shooting 36% higher today
• AnteoTech (ASX:ADO) share price rockets 9% on major project news
• Why the Fatfish (ASX:FFG) share price is soaring today
• Why Anteotech, EROAD, Jindalee Resources, & Kogan are pushing higher
• Why Amazon could be the big winner in the Biden infrastructure bill

Motley Fool contributor Bernd Struben 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 Universal Biosensors, Inc. (ASX: UBI) share price is rocketing today, up 36%. The positive price movement after two company announcements: an agreement for cancer detection technology and an exclusive supply agreement.

At the time of writing, shares in the medical diagnostics company are trading at 65 cents each, after shooting up to a 52-week high of 85 cents near the open. By comparison, the S&P/ASX All Ordinaries Index (ASX: XAO) is 0.28% lower.

Let’s take a closer look at today’s announcements and how they might affect the Universal Biosensors share price.

Cancer detection technology

In its first statement to the ASX, the company declared it “has entered into an exclusive licence and supply agreement with Lubris BioPharma LLC…” to commercialise a biosensor test that can detect and monitor cancer.

Universal said the Tn biosensor was jointly developed by Deakin University, Swinburne University of Technology and The University of Wollongong using technology supplied by Lubris.

The agreement between Universal Biosensors and Lubris will be global, exclusive, and perpetual, and covers all intellectual property rights, commercialisation, development and manufacturing rights.

Universal Biosensors will own all new intellectual property. The biosensor has already been clinically tested on 1,000 patients.

Speaking on this announcement, Universal Biosensors CEO John Sharman said:

To be able to identify and measure, then monitor the rate of a healthy human cell becoming a cancer cell from a handheld point-of-care biosensor device is an exciting prospect for UBI.

…the blood testing market for the monitoring of cancer remission patients annually is estimated at $17 billion. It would be wonderful if this initiative could improve the lives of many of the 131 million cancer remission patients around the world.

He added:

The next step to develop a commercial product is to ensure the Tn biosensor can be reproduced on our manufacturing line and measured reliably using patients’ whole blood. Based on our initial feasibility we estimate this could take 3 years and cost between $5 – $7 million. UBI has $25 million of cash reserves and no debt.

Exclusive supply agreement

In its second statement that is shooting up the Universal Biosensors share price today, the company updated an exclusive, global supply agreement with Lubris.

Lubris will supply Universal Biosensors with an antifouling coating called Lubricin that, when applied to an electrochemical biosensor, can improve its detection power by 1 million times more. It can be used in many applications, including human health, veterinary science, wine testing, and environmental research.

According to Universal Biosensors, the supply agreement does not contain any specific minimum purchase requirements. However, if Universal Biosensors is unsuccessful in commercialising its product, the agreement will become non-exclusive.

Speaking on the supply agreement, Mr Sharman said:

The agreement for the supply of Lubricin for use on UBI’s electrochemical biosensor platform is a generational advancement for UBI’s technology.

Our strategy is to partner with companies that have developed biosensors in large markets which can be used on our hand-held platform technology. Our ambition is to develop a stable of revenue generating biosensor products capable of detecting analytes of interest in key industries,

Universal Biosensors share price snapshot

Including today massive increase, the Universal Biosensors share price has gained 261% over the past 12 months and is up 37% year-to-date. 

Universal Biosensors has a market capitalisation of $122.9 million.

More reading

• Universal Biosensors (ASX:UBI) share price is lifting today. Here’s why

Motley Fool contributor Marc Sidarous 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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