The Bigtincan Holdings Ltd (ASX: BTH) share price is charging higher on Thursday after the release of an announcement.

At the time of writing the artificial intelligence-powered sales enablement automation platform provider’s shares are up 18% to 93 cents.

This latest gain means Bigtincan’s shares are now up 79% from 52 cents over the last 12 months.

What did Bigtincan announce?

This morning Bigtincan announced that it has signed a major new customer contract with a global beverage giant.

According to the release, Bigtincan has signed a contract with Red Bull GmbH for a deployment of its software with a total contract value of $1.8 million over 30 months. It also includes an option to extend the agreement for a further 60 months.

Management advised that the software will be used by Red Bull employees and distributors globally to help empower these users for remote onboarding and training. It will also be used to help promote and sell Red Bull products in customer facing scenarios on iOS devices and phones/tablets.

Pleasingly, Bigtincan’s software was chosen in a competitive bid process, which I feel is a testament to its quality.

What does Bigtincan’s software do?

Bigtincan’s software unlocks new and more effective ways for sales and service teams to perform at higher levels and deliver better business results. It does this by creating more positive and efficient buying experiences.

Its artificial intelligence-powered sales enablement automation platform, Bigtincan Hub, features the industry’s premier user experience and empowers sales and service reps to maximise their use of content to engage with customers and prospects more effectively.

Red Bull joins the likes of AT&T, Thermo Fisher, Merck, and Australia and New Zealand Banking GrpLtd (ASX: ANZ) that rely on Bigtincan to enhance sales productivity and fuel customer engagement.

More reading

• These 2 ASX tech shares show stellar growth prospects
• Are these small cap ASX tech shares future stars?
• ASX tech shares: 2 exciting small caps to watch closely
• 3 excellent small cap ASX shares to add to your watchlist
• 3 exciting small cap ASX shares to watch closely in the 2020s

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 BIGTINCAN FPO. The Motley Fool Australia has recommended BIGTINCAN FPO. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Bigtincan share price jumps 18% on Red Bull deal appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2NL9uhM

The NEXTDC Ltd (ASX: NXT) share price was a strong performer on the ASX 200 on Thursday.

The data centre operator’s shares stormed to a record high of $10.75 after announcing new contract wins in New South Wales.

Is it too late to buy NEXTDC shares?

Although NEXTDC’s shares are certainly not cheap, I would still be a buyer of them if you’re prepared to make a long term investment.

This is because I believe the company is well-positioned to grow its earnings at an above-average over the 2020s thanks to the shift to the cloud. This seismic shift is driving incredible demand for capacity in data centres and shows no signs of slowing.

One leading broker that believes NEXTDC’s shares can still go higher from here is Goldman Sachs.

According to a note out of the investment bank this morning, its analysts have retained their buy rating and lifted their price target by 14% to $11.10.

What did Goldman Sachs say?

Goldman Sachs was very pleased with NEXTDC’s update on Wednesday and particularly its commitment options.

Its analysts commented: “NXT has announced a +4MW increase in S2 contracted commitments, which follows the previous +6MW (March) and +6MW (May) Melbourne announcements earlier this calendar year. NXT also disclosed ~24MW of ‘options‘ in the NSW market (vs. 33MW options in VIC).”

“This announcement is another clear positive for NXT, and continues the momentum from the record 2H20. Combined, the contracted commitments and options in NSW now account for 60MW, which exceeds the total capacity of S1 and S2 facilities, implying that NXT now has 14MW of options for its S3 facility, which it recently commenced construction on,” it added.

Furthermore, the broker notes that the company now has 26MW of contracted, but not yet billing MW. It estimates this to be worth $86 million of revenue at $3.3 million/MW.

Goldman expects this to ramp up over the next 2 to 3 years, underpinning its forecast FY 2019-FY 2023 EBITDA compound annual growth rate of +25%.

After which, the broker expects the conversion of the existing 57MW of expansion options (worth an estimated $190 million of revenue) to be the next driver of growth. It expects this to be supported by ongoing Enterprise growth and the potential for further new contract wins in Sydney, Melbourne, and the soon to be completed P2 facility in Perth.

Foolish Takeaway.

I think Goldman is spot on with its assessment and believe NEXTDC can continue to beat the market over the next decade. This could make it a great buy and hold option.

More reading

• ASX 200 finishes 0.6% higher, Aussie house prices fall
• ASX 200 up 0.9%: Big four banks rising, NEXTDC rockets higher
• Why Alterity Therapeutics, Flight Centre, NEXTDC, & Telix are surging higher
• NEXTDC share price jumps 8% on new contract wins
• Top ASX Stock Picks for July 2020

Motley Fool contributor James Mickleboro owns shares of NEXTDC Limited. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post This leading broker thinks the NEXTDC share price can go higher appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2YQYDJO

The Afterpay Ltd (ASX: APT) share price rocketed 149.96% higher in the last financial year but will the buy now, pay later company’s value continue to climb?

Will the Afterpay share price continue climbing in FY21?

It’s been a huge 12 months for Afterpay and its investors. We’ve seen successful international growth into the United States and United Kingdom markets. The group’s revenues have continued to climb while bad debts have been kept low.

There are a lot of things to like about the Afterpay share price right now. The company’s shares hit a new, all-time high of $63.90 yesterday and Afterpay is now worth a whopping $16.7 billion.

Obviously, any share that has rocketed nearly 150% in 12 months is going to have some question marks about value hanging over it. Incredibly, the company’s shares have gone from a 52-week low of $8.01 to their current $62.24 level in the space of a few months.

Clearly, investors are banking on a lot of Afterpay’s growth to translate into earnings over the coming years. But on top of its strong merchant revenues, there’s also the potential value of Afterpay’s extensive dataset.

The company has a real insight into how consumers spend their money. If this can be monetised in the years to come, it could represent a lucrative future proposition for Afterpay.

While I think the Afterpay share price could continue to climb in FY21, there are some headwinds.

For one, the buy now, pay later space is starting to look a little crowded. Competitors like Openpay Group Ltd (ASX: OPY) and Zip Co Ltd (ASX: Z1P) are also rocketing in value right now.

Now, there is certainly a huge addressable market out there. However, I think a hot market like this one could see more consolidation and an eventual winner in the years to come.

Afterpay is in a strong position if we do see further industry changes given its scale and strong networks. However, the entry of a major international player like Amazon or Visa could spell trouble for Afterpay’s growth plans.

Foolish takeaway

I think the Afterpay share price is incredibly difficult to value right now. There’s a lot riding on the company’s future growth projections, but I think the short-term outlook (and momentum) bode well for a strong finish to the year.

More reading

• 10 FY21 ASX share picks revealed by Bell Potter
• These 2 ASX tech shares show stellar growth prospects
• Millionaire maker increases share price 28 times in FY20
• Are Newcrest shares set to take off in FY21?
• ASX 200 stocks to watch for FY2021

Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of ZIPCOLTD FPO. The Motley Fool Australia owns shares of AFTERPAY T FPO. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Can the Afterpay share price climb another 150% in FY21? appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2NJ3c2i

Despite the coronavirus pandemic wreaking havoc on financial markets, the Marley Spoon AG (ASX: MMM) share price is up a staggering 588% for the year. The company has been a key beneficiary of changing consumer behaviours during the lockdown period.

Here’s a closer look at why the Marley Spoon share price is surging, and whether it can be sustained.  

Why is the Marley Spoon share price surging?

Marley Spoon is a subscription-based meal-kit provider that has capitalised on changing consumer behaviour as a result of COVID-19. With many shoppers looking to bypass the chaos and panic buying at local supermarkets, convenience services like Marley Spoon have thrived during the coronavirus lockdown period. From the comfort and safety at home, Marley Spoon allows consumers to order fresh ingredients and meal kits that are delivered with step-by-step recipes.

The company currently operates in 3 primary regions: Australia, the United States and Europe. During the coronavirus pandemic, Marley Spoon experienced unprecedented demand for its services, reporting a 46% increase in revenue for the first quarter. The company reported that 7.5 million meals were delivered in the first quarter of 2020, resulting in Marley Spoon’s first ever positive cash flow.

What is the outlook for Marley Spoon?

The coronavirus pandemic has actually given Marley Spoon a favourable tailwind for future growth. In an investor presentation in May, the company reported lower customer acquisition costs due to inbound customer interest and lower advertising rates. Marley Spoon also reported that year-on-year order growth across all regions increased, indicating strong retention and customer loyalty.

As a result, the company predicts that its path to profitability will be accelerated and expects to achieve positive operating earnings before interest, tax, depreciation and amortisation by the second quarter of 2020. Marley Spoon has already completed a $16.6 million capital raising in order to strengthen its balance sheet and fund continued global expansion.

Is it too late to buy shares in Marley Spoon?

The Marley Spoon share price has had an almost vertical ascendance. Personally, I can’t advocate buying shares in the company at the moment after such a fast rally. Although I do believe that the company will benefit from consumer behaviour following the pandemic, there are other alternatives to capitalise on this trend if Marley Spoon doesn’t fit your risk profile.

Woolworths Group Ltd (ASX: WOW) actually has a 9% stake in Marley Spoon after the supermarket giant invested $30 million into the company via a debt and equity transaction in 2019. Therefore, investors looking for a more established company, whilst also having exposure to changing consumer behaviours could see Woolworths as a great alternative.

More reading

• Should you buy Coles or Woolworths shares?
• Can the Coles share price climb 12% again in July?
• Are Coles and Woolworths shares back in the buy zone?
• ASX 200 Weekly Wrap: ASX retreats as confidence wanes
• Why Fortescue and these ASX dividend shares could be top income options

Motley Fool contributor Nikhil Gangaram has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Woolworths Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post The Marley Spoon share price is up 588% in 2020. Will it keep delivering? appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2NOv9G4

The National Australia Bank Ltd. (ASX: NAB) share price slumped 32% lower in FY20, but is the ASX bank share a strong buy this year?

Why did the NAB share price slump lower in FY20?

It’s been a tough 12 months for all the ASX bank shares. While the S&P/ASX 200 Index (ASX: XJO) fell 11.3%, the NAB share price fell even further.

The coronavirus pandemic has spooked investors and hit some bank shares harder than others in 2020. In fact, NAB’s value has slumped 24.5% lower this calendar year while Commonwealth Bank of Australia (ASX: CBA) shares are down just 12.5%.

CommBank shares have been surging in value in recent weeks with the bank selling its 55% stake in Colonial First State for $1.7 billion in May.

But NAB is far from alone as Westpac Banking Corp (ASX: WBC) shares remain down 34.5% in the last 12 months.

There are still some looming questions about the housing market and economy in general. These factors are weighing on investors’ minds and the NAB share price as we enter FY21.

NAB also slashed its dividend in April, announcing a 30 cents per share interim, fully franked dividend. Many investors were disappointed by the cut, down 64% from 1H 2019 distributions, combined with a $3.5 billion equity raise.

But as we enter a new financial year, will we see strong prospects for the NAB share price and the bank’s investors?

Can NAB surge in value this year?

I personally think the market is at an interesting point right now. I’m keen to see what the impact will be on the ASX when the government starts rolling back stimulus measures from September.

If the economy bounces back sooner than expected, the NAB share price could finish the year strongly. A robust housing market and lower than anticipated unemployment would be good news for ASX bank shares.

However, that is far from a certainty at this point in time. NAB’s next earnings result is due in November but I wouldn’t be holding out for a big dividend given the current conditions.

Having said that, long term, I still see the NAB share price as a strong buy for dividends.

More reading

• 5 things to watch on the ASX 200 on Thursday
• 10 FY21 ASX share picks revealed by Bell Potter
• Australian property prices fell again in June. Will the drop continue?
• These ASX 200 shares were the worst performers of FY20
• These 3 ASX healthcare shares are at all-time highs!

Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Down 32% in FY20, is the NAB share price a buy this year? appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2BV2n3N

The Webjet Limited (ASX: WEB) share price will be on watch on Thursday after it followed the lead of rival Flight Centre Travel Group Ltd (ASX: FLT) by bolstering its liquidity.

What did Webjet announce?

This morning the online travel agent announced the successful pricing of an offering of 100 million euros (A$163.1 million) convertible notes due in 2027.

Webjet’s Managing Director, John Guscic, explained: “This Offering supports our ongoing focus on maintaining a strong balance sheet as we continue to navigate the challenging operating environment caused by COVID-19.”

The chief executive expects the notes to diversify the company’s funding sources and increase its financial and strategic flexibility. He also believes it will put Webjet in a position to take advantage of any opportunities in the future.

He added: “We continue to believe the strength of Webjet’s capital position in the current uncertain environment will provide a strategic advantage longer term, enabling the Company to execute its strategy and take advantage of opportunities as they arise.”

What will the funds be used for?

The company will use the proceeds to repay $50 million of its existing term debt, whilst extending remaining term debt maturity into late 2022. It will also use some of the proceeds for potential acquisitions and ongoing capital management.

Though, management notes that there is no agreement or understanding with respect to any potential acquisitions or investments at this time.

Trading update.

Webjet also released a trading update with its offering. It advised that, as expected, its total transaction value (TTV) and revenue in April and May 2020 were nominal.

And while the company has started to see some booking activity in its Australian OTA and WebBeds businesses, it expects any revenue contribution in the near term to only be modest.

It also advised that its operating costs from April 2020 to the end of June 2020 were averaging $15 million month. This is a reduction of approximately $13 million per month from pre COVID-19 expenditure.

Finally, on another note, Webjet has just announced an agreement with Afterpay Ltd (ASX: APT), which will see it offer customer buy now pay later options. It is available on flight, hotel, and package bookings up to $2,000.

More reading

• 5 things to watch on the ASX 200 on Thursday
• ASX 200 finishes 0.6% higher, Aussie house prices fall
• These ASX 200 shares were the worst performers of FY20
• Webjet and these shares were the worst performers on the ASX 200 in June
• ABS reveals which industries (and ASX shares) may rebound hard after COVID-19

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Webjet Ltd. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Flight Centre Travel Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Webjet share price on watch after boosting its liquidity appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/31NbTRF

The ASX healthcare sector continues to be one of the top-performing market sectors. The demand for healthcare products and services only continues to grow. An ageing global population and continuing advances in healthcare treatments and technology are driving this demand.

Here we examine 2 of my top ASX healthcare shares picks right now: Nanosonics Ltd. (ASX: NAN) and Ansell Limited (ASX: ANN).

Nanosonics

Nanosonics manufactures and distributes market-leading disinfection system for ultrasound probes. Its core product is the trophon EPR disinfection system, which has gained industry reputation as the market leader.  The device is fully automated, quick to use and does not require chemicals.

As well as selling the trophon system product units, the company also sells a range of ancillary products. These recurring consumables grow additional strong revenues over time, in line with the growth of its installed core product unit. This results in a strong combined revenue stream. Nanosonics recorded revenue of $48.5 million for the first half of FY 2020. This was an increase of 19% on the prior corresponding period (pcp).

The company has strong geographic diversification. Its overseas markets generate 90% of its revenue. Nanosonics continues to grow revenue very strongly in its largest market, the US. It is also seeing strong growth across Asia, Europe and the Middle East.

Nanosonic’s strategic priorities moving forward focus on 4 core areas. This includes continuing to establish trophon technology as the industry standard in its operating markets. This ASX healthcare share will also look at expanding and investing in new markets.

Nanosonics could capitalise on the growing global trend towards stricter disinfection control over the next 5–10 years. Globally, more and more health agencies are taking measures to enforce stricter policies to protect against hospital-acquired infections.

Ansell

Ansell is involved in the development, manufacturing and sale of gloves and protective personal equipment in the industrial and medical markets. It has broad geographic and customer diversity with sales operations in over 50 countries. Also, most of its new product lines are patentable and must comply with ever-increasing regulatory standards. This further strengthens its competitive position.

A business update in late March revealed a high demand for its hand and body protection products. These products are industry certified for protection against infections such as the coronavirus.

Ansell is well-positioned to grow over the next decade through rising demand for protective personal equipment in the healthcare segment. 

Ansell shares are currently trading on a forward dividend yield of 1.9%, unfranked.

More reading

• These 3 ASX healthcare shares are at all-time highs!
• 2 shares to buy before earnings season
• Top ASX Stock Picks for July 2020
• 10 high quality ASX shares to buy in FY 2021
• The best placed ASX stocks for the August reporting season

Phil Harpur owns shares of Nanosonics Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Nanosonics Limited. The Motley Fool Australia has recommended Ansell Ltd. and Nanosonics Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Here are 2 quality ASX healthcare shares to buy in July appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2BWU5IG