With so many shares to choose from on the ASX, it can be hard to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you.

Three top ASX shares that leading brokers have named as buys this week are listed below. Here’s why they are bullish on them:

Afterpay Ltd (ASX: APT)

According to a note out of Ord Minnett, its analysts have retained their buy rating and lifted the price target on this payments company’s shares to $150.00. The broker made the move after Afterpay delivered further strong growth in the United States and United Kingdom during the first half. Looking ahead, Ord Minnett believes the launch of the Afterpay Money app will strengthen appeal to young consumers. The Afterpay share price is fetching $126.28 on Monday.

BWX Ltd (ASX: BWX)

A note out of Macquarie reveals that its analysts have retained their outperform rating and lifted their price target on this personal care products company’s shares to $5.30. According to the note, the broker was pleased with its half year results and guidance for the full year. It also notes that the company has signed a deal with Chemist Warehouse and Woolworths Group Ltd (ASX: WOW). The latter means its Sukin products are now ranged in Australia’s two largest supermarkets. The BWX share price is trading at $4.43 this afternoon.

Harvey Norman Holdings Limited (ASX: HVN)

Analysts at Citi have retained their buy rating and $6.00 price target on this retail giant’s shares following its first half results. According to the note, Harvey Norman delivered a strong half year update, which was in line with the broker expectations. And while its growth will slow in the second half, the broker still believes its shares offer value for money at the current level. The Harvey Norman share price is fetching $5.26 on Monday.

More reading

• Here’s how much Afterpay (ASX:APT) rival Klarna is worth now
• Why Afterpay, Austal, Reece, & Service Stream shares are racing higher
• ASX 200 up 1.5%: Afterpay & Zip jump, Fortescue tumbles
• BNPL providers like Afterpay (ASX:APT) set for increased regulation
• Will the Afterpay (ASX:APT) share price go higher in 2021? Here’s what Goldman Sachs thinks.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended BWX Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Leading brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3r8amiA

The National Australia Bank Ltd (ASX: NAB) share price has gone up by more than 9% so far in 2021. Is it a buy right now? Some brokers have had their say.

What’s happening right now with NAB?

The NAB share price is moving about with a bit of volatility at the moment as markets react to the opposing thoughts about interest rates.

On the one hand, RBA governor boss Dr Lowe said that he doesn’t expect the official cash rate to rise for at least three years, unless the economy manages to recover sooner.

However, before today, bond yields had been climbing. The Australian Financial Review quoted Tamar Hamlyn from Ardea Investment Management:

The earlier part of the move was driven by rising inflation expectations because one of the components for bond yields is compensation for inflation. More recently, the increase in bond yields has continued and it has come about by an increase in real yields. If people think that economic growth is going to improve, then real returns – economic growth after inflation – are likely to improve across the entire economy because it’s easier to generate positive returns when the global economy is growing.

It was only a couple of weeks ago that the big four ASX bank released its FY21 first quarter update.

FY21 first quarter

The NAB share price responded positively after revealing it made $1.7 billion of statutory net profit and $1.65 billion of cash earnings.

NAB explained that improving economic trends have been a key driver of the first quarter result, with cash earnings 47% higher than the FY20 second half quarterly average primarily driven by low credit impairment charges. The bank said that at an underlying level, performance has been sound in the current competitive, low interest rate environment.

It said that it made 1% cash earnings growth compared to the first quarter of FY20. However, cash earnings before tax and credit impairment charges were down 6%.

But it still isn’t plain sailing yet, according to the bank’s CEO, Ross McEwan, who said:

Improving economic and health outcomes in Australia and New Zealand are encouraging, as are the reductions we are seeing in deferral balances. However, there are still a number of uncertainties regarding further clarity. These include the impact on customers of ongoing health alerts and measures put in place to contain the spread of COVID-19, and the wind-down of deferral and jobkeeper programs. Supporting customers and keeping the bank safe through this period remain our priorities.

Broker thoughts

UBS said that its cash net profit was better than expectations due to the fact that impairment charges were lower. It was the lowest impairment charge since it started giving quarterly earnings updates over a decade ago. Its balance sheet was stronger than expected, with a common equity tier 1 (CET1) capital ratio of 11.7%. UBS has a NAB share price target of $27.

Credit Suisse is another broker that has a share price target of $27 for NAB shares. The broker has decreased its expectations of bad debts for NAB, meaning it’s now expecting higher profit from NAB.

Both brokers think that NAB shares are currently a buy.

More reading

• ASX 200 Weekly Wrap: Friday carnage ruins last week of ASX earnings
• ASX investors watch out for a rise in interest rates in 2022
• ASX 200 Weekly Wrap: ASX lower despite bumper dividends
• Westpac (ASX:WBC) share price on watch as it delivers $2bn quarterly profit result
• ASX 200 rises 0.7%, Redbubble sinks, BHP dividend jumps

Motley Fool contributor Tristan Harrison 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.

The post Is the NAB (ASX:NAB) share price a buy right now? appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3q1lMTV

Botanix Pharmaceuticals Ltd (ASX: BOT) shares are flat today following the company’s release of its FY21 half-year results on Friday night. At the time of writing, the Botanix share price is trading at 11 cents, the same price at which it closed Friday’s session. 

It seems the weekend has given shareholders plenty of time to digest the pharmaceutical cannabinoid company’s numbers, leaving them indifferent.

Botanix share price fails to ignite

Due to the pre-revenue nature of pharmaceutical development, Botanix is heavily reliant on non-operational income. And today, the Botanix share price is languishing after the company recorded a 14% decrease in its operational revenue to $88,871.

As a result, the company significantly reduced its expenditure during the half, particularly on employee benefits and research and development (R&D) expenses. The addition of a considerable $6.88 million R&D incentive scheme refund also enabled the company to deliver a profit of $664,129 for the half.

Botanix continued working on the development of its range of treatments including BTX 1801, BTX 1702, and BTX 1503. In February, the company announced positive data from its BTX 1801 Phase 2a nasal decolonisation proof of concept study.

Other news

Today, Botanix also announced the expansion of its management team with the addition of three new hires in the United States. The company advised the purpose of the new roles is to drive its antimicrobial and dermatology programs.

The new hires will assume the positions of chief medical officer, vice president, and head of commercial. These additions also come with the termination of executive director Michael Thurn.

Botanix mentioned in the announcement that recent positive data from its BTX 1801 antimicrobial study underpins the acceleration of the company’s commercial capabilities.

Botanix share price under the microscope

Botanix is in the clinical development of synthetic cannabinoid pharmaceuticals. The company’s primary focus is on dermatology and antimicrobial applications.

Despite the volatility, the S&P/ASX 200 Index (ASX: XJO) has now returned around 5.7% to investors in the past year. In comparison, the Botanix share price has netted shareholders more than 57% returns over the same period, a return nearly ten times that of the index.

However, in less positive news, Botanix shares have slipped by around 35% over the past month. 

More reading

• Botanix (ASX:BOT) share price falls despite big tax refund
• Why the Botanix (ASX:BOT) share price is rocketing 31% higher today

Motley Fool contributor Mitchell Lawler 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.

The post What’s with the Botanix (ASX:BOT) share price today? appeared first on The Motley Fool Australia.

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

The Magnis Energy Technologies Ltd (ASX: MNS) share price is shooting higher today. This comes after the battery technology company released positive initial results for its fast charging (FC) battery program.

During afternoon trade, the company’s shares are up 12.07% to 33 cents. In the first hour of trade this morning, the Magnis share price reached as high as 35.5 cents.

Magnis share price rises on significant results

The Magnis share price is on the move today as investors appear upbeat following the company’s latest update.

In its announcement, Magnis reported that it has received initial successful test results in its FC battery program. Using optimised cells developed by partner company Charge CCCV, Magnis achieved 93% battery capacity retention after 600 cycles. This occurred by the company adopting a 30-minute charge and 30-minute discharge process.

Magnis advised that following the excellent outcome, it has moved to more aggressive tests with extra fast charging (EFC) batteries. The new test work will aim to attain an 85% charge within 6 minutes.

Magnis explained that its EFC tests are using optimised cells that have 99% energy density of a regular iM3 energy cell. This means that an FC battery cell can slow down energy density loss when compared to a traditional battery cell.

Market opportunity

Charge CCCV (which is the technology partner of Magnis) is engaged with commercial electric vehicle manufacturers to develop a low-cost sustainable EFC battery.

As announced in July last year, Charge CCCV will provide batteries for a New York demonstration bus trial, with the EFC system to be installed on some New York City bus routes. The program’s purpose is to create a more environmentally friendly transportation alternative operating in one of the world’s busiest cities. It’s estimated that if the system is deployed city-wide, over 500,000 metric tonnes of carbon dioxide will be removed each year.

The EFC cells to be used in the bus program are expected to be completed and delivered sometime this week.

What did the head of Magnis say?

Magnis chair Frank Poullas hailed the milestone results, saying:

We are really excited by this technology from Day 1 as it will be a game changer for the commercial transport industry. Today’s announced results are an early step forward toward turning this technology into a commercialised product.

The Magnis share price has accelerated by more than 300% over the last 12 months.

More reading

• Here’s why the Magnis (ASX:MNS) share price surged 15% this morning

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.

The post Here’s why the Magnis (ASX:MNS) share price is powering up 12% today appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3kx5C3w

Regional Express Holdings Ltd (ASX: REX) shares are lifting off today following the release of the airline’s half-year (1H21) results. At the time of writing, the Rex share price is trading 2.84% higher at $1.63 a share.

Let’s take a look at how the company has been performing.

What’s driving the Rex share price?

The Rex share price is on the rise today despite the airline reporting that its passenger numbers decreased by 71.2% for the period due to coronavirus travel restrictions.

Revenue (excluding government grants and subsidies) for the half sank by 60.5%, or $100.6 million, to $65.6 million compared to 1H20 revenue of $166.2 million.

However, Rex’s total 1H21 revenue including government grants and subsidies was $125.1 million.

Net profit for 1H21 jumped 43.5% to land at $9.9 million vs $6.9 million for 1H20.

In other news boosting the Rex share price, the company’s earnings per share (EPS) popped up to 9 cents for the 1H21 period from 6.2 cents in the prior corresponding half.

Total assets at the end of the first half came in at $274.2 million, compared with $252.8 million in total assets in 1H20.

CEO comments 

Commenting on the airline’s results, Rex executive chair Lim Kim Hai said: 

The COVID pandemic has completely devastated every passenger airline and has been the most significant set-back the global airline industry has ever experienced in its history. Rex would have been obliged to shut down over 90% of its network if not for various federal and state governments assistance programmes…

Rex’s regional operations in 2H FY21 are only expected to be marginally improved compared to the first half as the roll out of vaccination from March is not expected to make a significant difference until the new financial year. Should this eventuate, then the expected cessation of all government assistance packages in the final quarter of this FY will mean that the Group is expected to incur significant losses in that period.

The board did not declare a dividend and Rex did not provide any guidance due to the “extreme volatility” the company is facing.

Rex share price snapshot 

The Rex share price has climbed by more than 50% over the past six months and more than 65% over the past year.

Based on the current share price, the company’s market capitalisation is approximately $174.6 million. Rex currently has 110.2 million shares outstanding.

More reading

• Why did Qantas (ASX:QAN) shares soar 4% on Tuesday?

Motley Fool contributor Gretchen Kennedy 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.

The post Regional Express (ASX:REX) share price takes off despite loss warning appeared first on The Motley Fool Australia.

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

The Tesserent Ltd (ASX: TNT) share price is tanking today despite the company reporting a significant lift in revenues and earnings during its first half in FY21.

At the time of writing, the Tesserent share price is down 20.6% to 25 cents a share.

High growth not enough for Tesserent share price

Cybersecurity continues to be a focus area for many businesses and the Australian government. As our lives become more reliant and integrated with technology, the importance it has grows. The target on our critical data infrastructure has also expanded over time.

Consequently, many cybersecurity companies have been called into the fray over the last year as the issue becomes more prominent. The Australian Government also released its Cyber Security Strategy 2020, which will see $1.67 billion invested in the sector over 10 years.

The increased awareness of cybersecurity has aided in Tesserent’s year-over-year (YoY) turnover increase of 500% to $36.5 million.

Heading further down the income statement, operational earnings before interest, tax, depreciation, and amortisation (EBITDA) swung to a positive $2.9 million. This compares to the prior year’s $1.7 million loss.

Considering the falling Tesserent share price today, the question is why? A potential inhibitor could be the bottom-line statutory loss before tax. Due to acquisitions and the company’s employee share option plan (ESOP), losses increased to $6.18 million in the half. This a 55% greater loss than 1H FY20.

Acquisitions centre stage for future growth

Tesserent outlined that the second half will benefit from the inclusion of its recent New Zealand acquisition, Lateral Security. In addition, six months of revenue and earnings will fold into the second half from Seer Security, Airloom, Ludus Cybersecurity, and iQ3.

Furthermore, the company stated that all of its FY21 goals remained intact. Some of these include:

• Focus on capturing market share in three key markets: Government (including Defence), critical infrastructure and banking & finance
• Continuing to drive the company’s acquisition strategy to expand on Cyber 360 capabilities and increase shareholder value through incremental EPS growth
• Explore international expansion opportunities with a focus on Australia’s key Five Eyes allies, which consists of the United States, United Kingdom, New Zealand, and Canada.

Importantly, the company’s results are unaudited and could change upon review. Tesserent informed the market that it would relay any changes once solidified.

Taking in today’s losses, the Tesserent share price is still up a whopping 325% in the last year. The cybersecurity company has been riding the wave of enthusiasm for the sector since mid-2020.

More reading

• Why the MyFiziq (ASX:MYQ) share price is rising today
• Here’s why the Limeade (ASX:LME) share price is crashing 32% lower
• Elon Musk doubles down on promise to IPO Starlink
• Why is the Bellevue Gold (ASX:BGL) share price frozen?
• Why Fortescue, Genworth, Limeade, & Northern Star shares are sinking

Motley Fool contributor Mitchell Lawler 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.

The post The Tesserent (ASX:TNT) share price is sinking 20% on record revenue appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3ku3ERG

The MyFiziq Ltd (ASX: MYQ) share price is gaining today as the company announced its half-yearly results after the close of trade on Friday.

Shares in the small-cap image capture and dimensioning technology provider are currently trading 2.09% higher, at a price of $1.96.

Strong revenue growth

The MyFiziq share price has shot up over the past month as the company’s revenue surged. For the half-year ending 31 December 2020, revenue rose 150.3% to $887,092.

However, this did not stop the company from slumping to a substantial half-year loss of $5.47 million, up from $2.9 million in 2019. The loss includes extensive share-based payments to suppliers, directors and employees under the company’s incentive plans. In addition, MyFiziq has incurred losses on its investments in various entities.

Regarding the company’s cash flow, net cash used in operating activities reduced from $1.77 million to $1.17 million. This is a $600,000 improvement on last year and was driven by a stable cost base and improvement in its collection of outstanding fees.

The company executed 15 binding agreements with channel partners across the six months. This boosted its cash balance, but it was its $5 million capital raise in October last year that generated meaningful cash. As such, this took the company’s overall balance to $4.7 million.

Strategic investments

MyFiziq’s joint venture partner, Body Composition Technologies (BTC), undertook a $1.92m capital raising during the period. Pouncing on the opportunity, MyFiziq invested $671,000 and now owns the majority stake with 54.5%.

The ASX listed company claims that although BCT has not yet started generating revenue, taking a majority stake provided the strategic advantage of consolidating additional revenue in the future.

Moreover, the company signed an agreement with Canadian-based Triage Technologies in December of last year. The deal will see MyFiziq take a strategic stake in Triage and licence the use of the Triage AI health assistant technology for integration into the company’s CompleteScan SaaS offering.

Under the terms of the agreement, MyFiziq will invest up to US$6 million into Triage, comprising US$3 million in cash and US$3 million in equity.

More reading

• What’s going on with the MyFiziq (ASX:MYQ) share price today?

Motley Fool contributor Daniel Ewing 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.

The post Why the MyFiziq (ASX:MYQ) share price is rising today appeared first on The Motley Fool Australia.

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

One of the worst performers on the Australian share market on Monday has been the Limeade Inc (ASX: LME) share price.

In afternoon trade the employee experience software company’s shares are down a massive 32% to $1.01.

Why is the Limeade share price crashing lower?

Today’s decline appears to be a delayed reaction to Limeade’s underwhelming full year results release at the end of last week.

For the 12 months to 31 December, the company reported a 19.3% increase in revenue to US$56.6 million. This was driven by a 20.8% lift in recurring subscription revenue to $54.9 million.

While this was solid, its guidance for the year ahead has overshadowed its positive form in FY 2020.

FY 2021 outlook

Management expects its FY 2021 revenue to be in the range of US$50 million to US$53 million. This implies a 6.4% to 11.5% year on year decline.

Management explained that COVID-19 was the reason for the weak guidance.

It said: “COVID-19 slowed new customer growth in 2020 and therefore impacted revenue outlook when coupled with 2021 forecast churn… Growth in new 2021 customer acquisitions will continue to be seasonal, accelerating in H2 and contributing to revenue growth in 2022.”

Customer numbers decline

One metric which appears to have worried investors and could be weighing on the Limeade share price today is its customer numbers.

Management notes that COVID-19 “slowed new customer growth in 2020.” However, it did more than slow its growth. Hidden away in its report, the company reveals that its customer numbers actually fell 13.3% from 173 in FY 2019.

Furthermore, that was actually the second year in a row of declining customer numbers. In FY 2018, Limeade had 187 customers. And judging by its outlook, there’s a risk that it could make it three years of declines in a row in FY 2021.

Is the Limeade share price selloff a buying opportunity?

Analysts at Macquarie see value in the Limeade share price at the current level.

This morning the broker retained its outperform rating but cut the price target on its shares to $1.73.

Based on the current Limeade share price, this price target implies potential upside of ~71% over the next 12 months.

More reading

• Why Fortescue, Genworth, Limeade, & Northern Star shares are sinking
• Why Limeade (ASX:LME) shares are bouncing around today

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 Limeade, 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.

The post Here’s why the Limeade (ASX:LME) share price is crashing 32% lower appeared first on The Motley Fool Australia.

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

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.

According to news reports, Elon Musk’s SpaceX is now worth $74 billion. 

That number is based on the company’s implied valuation after having recently raised $850 million in new capital from private stock sales. How much the company is really worth, though — or at least, how much its famous Starlink broadband satellite internet subsidiary is worth — won’t be known until the company IPOs Starlink.

But that could happen sooner than you think.

Musk doubles down

SpaceX COO Gwynne Shotwell has been dropping heavy hints about SpaceX’s desire to conduct an initial public offering for Starlink for more than a year now. Her boss, Elon Musk, has also backed the idea, telling SpaceX fans on Twitter in September that Starlink would “probably” IPO — but not for several years.

We will probably IPO Starlink, but only several years in the future when revenue growth is smooth & predictable. Public market does *not* like erratic cash flow haha. I’m a huge fan of small retail investors. Will make sure they get top priority. You can hold me to it.

— Elon Musk (@elonmusk) September 28, 2020

https://platform.twitter.com/widgets.js

That timeline changed this month, however, and we got our first clear confirmation from Musk that an IPO will happen, and maybe even soon. 

Once we can predict cash flow reasonably well, Starlink will IPO

— Elon Musk (@elonmusk) February 9, 2021

https://platform.twitter.com/widgets.js

No beating around the bush there. Musk said it straight out: “Starlink will IPO” (emphasis added). Granted, Musk still isn’t stating a date, but he did give us a couple clues: First, that SpaceX wants to get a good idea of how much cash Starlink can produce over time — probably in order to better gauge how much to sell Starlink stock for at its IPO.

But second, SpaceX will not necessarily wait until cash is actually flowing in great quantities. Simply being able to “predict” future performance will suffice.

How much money does the world’s richest man need?

How long might that take? It took Starlink three months to amass its first 10,000 subscribers worldwide. With each paying $99 per month for the service, that works out to less than $12 million in annual revenue. But Starlink is proving immensely popular, and growing fast — in fact, just earlier this month, Musk opened up Starlink to widespread subscription in the U.S., allowing customers to reserve spots in line to get the service as early as “mid to late 2021.”

As customers flock to Starlink from Canada, the U.K., and the U.S., analysts who’ve crunched the numbers believe Starlink might need three years — and 3 million subscribers — to turn cash-flow positive. The resulting $3.3 billion or so in annual revenue that this would bring in should do the trick. In the meantime, Musk himself admits that Starlink will need to traverse “a deep chasm of negative cash flow” over “the next year or so.”

But that doesn’t necessarily mean he will wait three full years before announcing an IPO. If he can just glimpse the chasm’s edge from the middle and see that he’s headed in the right direction, that could suffice.

SpaceX needs to pass through a deep chasm of negative cash flow over the next year or so to make Starlink financially viable. Every new satellite constellation in history has gone bankrupt. We hope to be the first that does not.

— Elon Musk (@elonmusk) February 9, 2021

https://platform.twitter.com/widgets.js

The upshot for Starlink IPO investors

Long story short, I wouldn’t be surprised to see SpaceX announce a date for its Starlink IPO sometime in the next couple of years — and perhaps even as early as this year. As for how much it will cost you to buy into the IPO, though…

Consider that Musk has repeatedly stated his belief that Starlink could bring in revenue in excess of $30 billion per year. Personally, I have my doubts about that number. But let’s take it at face value for the time being, and compare Starlink to an internet provider like Comcast (NASDAQ: CMCSA). Comcast’s internet revenue last year totaled $60 billion, according to data from S&P Global Market Intelligence — and accounted for just under 60% of the company’s total revenue. Apply that percentage to Comcast’s market capitalization of $240 billion, and an internet business roughly the size of what Musk plans Starlink to become might be worth in the neighborhood of $72 billion — nearly as much as private investors are valuing all of SpaceX at today.

What’s more, SpaceX is targeting 60% operating profit margins for Starlink — nearly half again the 42% operating profit margin for Comcast’s internet division. So multiply that $72 billion by 1.5, and now we’re potentially talking about a $108 billion valuation for Starlink. Add a bit of premium to that price for the “Elon Musk is magic” effect on stock market valuations, and what do you end up with for the final price of Starlink?

Your guess is as good as mine, but one thing’s for certain: This IPO will not be cheap. If and when it arrives, don’t expect to get a bargain.

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

More reading

• Why this ASX tech ETF is in the buy zone
• How Tesla’s (NASDAQ:TSLA) Elon Musk just lost $19 billion
• Why Tesla and Peloton Interactive led the Nasdaq lower Wednesday
• Bitcoin hits record high: Why Saxo says the cryptocurrency is here to stay
• Tesla stock split: Is another one coming?

Rich Smith 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 Tesla. 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.

The post Elon Musk doubles down on promise to IPO Starlink appeared first on The Motley Fool Australia.

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/3sGjWtD

The S&P/ASX 200 Index (ASX: XJO) has opened the week on a very positive note. At the time of writing, the flagship ASX index is up a healthy 1.54% to 6,775 points. Clearly, investors are trying to put the carnage of last Friday behind them, at least for now.

But one ASX company hasn’t turned up to the party. Bellevue Gold Ltd (ASX: BGL) shares are in a trading halt today, frozen on ice at 72 cents a share.

What’s going on?

Unfortunately for investors, it’s not exactly good news today. The announcement of the trading halt was delivered just before market open this morning. In its release, Bellevue told us that:

The Company was required to request a halt in the trading of its securities today after becoming aware of a historic administrative oversight to the appointment of its previous auditor, Grant Thornton that backdates to 2018…

The non-compliance with Chapter 2M relates to a historical administrative oversight in relation to the appointment of the Company’s previous auditor that backdates to 2018. Although the Board does not consider that the oversight described in this announcement is a price sensitive matter, it had no alternative but to request a trading halt in light of legal advice regarding the potential need to seek orders under section 1322 of the Act in respect of the share issues the subject of the cleansing notice.

Bellevue went on to state that “the company should have sought approval” for the Grant Thornton appointment. But due to the oversight, it inadvertently did not seek this approval. Bellevue has also stated that it will “shortly apply” to the Supreme Court of Western Australia for orders declaring that the appointment was not invalid and does not constitute a breach of the Corporations Act.

Bellevue Gold has also told the markets that the Australian Securities and Investments Commission (ASIC) and the ASX have both been informed of the oversight. They have also been informed of the Supreme Court application.

About the Bellevue Gold share price

Bellevue Gold is one of the ASX’s mid-tier gold miners. At the current (suspended) Bellevue share price of 72 cents, the company has a market capitalisation of $608.66 million. Bellevue shares have had a fantastic run in recent years, but have given up a lot of that success over the past few months.

Back in March 2016 (five years ago), the Bellevue share price was trading at just 3 cents. But by November last year, Bellevue shares had climbed to a high of $1.49 (a return close to 5,000%). But since November, the Bellevue Gold share price has collapsed by more than 50% to its current level. It will be interesting to see how investors react to today’s news when Bellevue is released from its suspension on Wednesday or once its application has been heard.

More reading

• Why the Bellevue Gold (ASX:BGL) share price is crashing 23% lower today
• Why Bellevue Gold, Coles, NRW, & Perpetual shares are trading lower today

Motley Fool contributor Sebastian Bowen 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.

The post Why is the Bellevue Gold (ASX:BGL) share price frozen? appeared first on The Motley Fool Australia.

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