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The Westpac Banking Corp (ASX: WBC) share price has been a very strong performer on Monday morning.

At the time of writing, the banking giant’s shares are up a sizeable 3% to $23.45.

Why is the Westpac share price rising today?

The catalyst for the rise in the Westpac share price this morning is news that it has completed its off-market share buyback.

According to the release, Westpac has bought back $3.5 billion worth of its shares following strong demand from shareholders. This equates to 167.5 million shares or 4.6% of its issued capital.

The bank was able to undertake this buyback at $20.90 per share, which represents a 6% discount to the volume weighted average price over the last five trading sessions.

This buyback price comprises an $11.34 capital component and a $9.56 dividend component. All in all, this means the tax value of the buyback is $24.14 per share, which is a 6% premium to the Westpac share price at Friday’s close.

As a result of this program, Westpac’s CET1 capital ratio will reduce by 79 basis points.

Strong demand

Due to strong demand, Westpac advised that all eligible shares tendered at a 7% discount or greater were accepted in full at the buyback price. However, some shareholders tendering shares at a 6% discount were scaled back and shares offered at a 5% or less discount were not bought back.

Payments for the shares bought back will commence later this week on 18 February 2022 via direct credit.

Westpac’s CFO, Michael Rowland, commented: “We are very pleased to have completed the $3.5 billion Buy-Back, reducing the number of shares outstanding by 4.6% of issued capital. The Buy-Back improves our capital efficiency, returns franking credits and reduces our share count for the benefit of all shareholders. Westpac’s capital position remains strong after completing this BuyBack.”

The post Here’s why the Westpac (ASX:WBC) share price is storming higher today appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro owns Westpac Banking Corporation. 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 recommended Westpac Banking Corporation. 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 Carsales.com Ltd (ASX: CAR) share price is edging higher on the back of the company’s financial results, released this morning.

The Carsales share price is currently trading at $21.71, a gain of 0.56%.

Let’s take a look at what the company reported today.

Car Sales share price up amid half-yearly results

Highlights of Carsales’ half-year (H1 FY22) results include:

• Look-through revenue soared 30% compared on previous corresponding half (PCP) to $282 million
• Look-through EBITDA climbed 15% on PCP to $149 million
• Adjusted net profit after tax (NPAT) of $89 million, up 20% on PCP
• Adjusted earnings per share (EPS) of 31.4 cents, a 6% gain on PCP
• A fully franked dividend of 25.5 cents per share.

What else happened in the half?

The company reported it had improved its competitive position in all major markets.

According to Carsales, consumer engagement is higher than prior to the COVID-19 pandemic.

The company was impressed with its international performance in South Korea, Brazil, and the United States. All of these businesses achieved double-digit revenue growth in the first half of the financial year.

During the half, Carsales also acquired a 49% stake in Trader Interactive.

Management comment

Commenting further on the results, group CEO Cameron McIntyre said demand for cars globally has been strong due to fewer people using public transport, less international travel, and flexible working arrangements:

We have seen very strong consumer engagement across our global network of sites, with traffic up 12% versus pre-pandemic levels.

Our International growth strategy continues to deliver. We have an enviable portfolio of International assets, which are key pillars of our long-term growth agenda.

Globally, we are investing in moving more of the buying and selling journey online, and this positions us well as we look to partner with our dealer customers to deliver an improved consumer experience and significant long term growth opportunities across all our businesses.

Since completing the acquisition of Trader Interactive in September, we continue to be very impressed with the Trader management team and the operations and fundamentals of the business.

What’s next?

Carsales Australia expects dealer performance in the second half of the financial year to get better due to more volumes, higher yield, and strong growth.

The company is expecting higher revenue and EBITDA from its investments in the second half due to more profit and volumes in its tyres business.

Looking at the company’s international business, Carsales is confident of revenue growth in Korea, Brazil, and the United States in 2022.

Car sales share price recap

The Carsales share price has gained 2% in the past year but is down more than 13% year to date.

In the past month, the company’s shares have slid 8%.

For perspective, the benchmark S&P/ASX 200 Index (ASX: XJO) has returned around 6% over the past year.

Carsales has a market capitalisation of around $6.1 billion based on today’s share price.

The post Zooming ahead: Carsales (ASX:CAR) reports strong results amid COVID-19 traffic growth appeared first on The Motley Fool Australia.

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• Why Boral, Carsales, Credit Corp, and PointsBet shares are racing 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 recommended carsales.com 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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The Crown Resorts Ltd (ASX: CWN) share price is pushing higher on Monday morning.

At the time of writing, the casino and resorts operator’s shares are up 3% to $12.76.

Why is the Crown share price rising?

Investors have been bidding the Crown share price higher this morning after it accepted an $8.9 billion takeover offer from private equity firm, Blackstone.

According to the release, Crown has entered into a scheme implementation deed which will see Blackstone acquire all of the shares in Crown by way of a scheme of arrangement at a price of $13.10 cash per share.

The release notes that the offer of $13.10 cash per share represents a premium of ~32% to the closing price of Crown shares on 18 November 2021. This was the last trading day prior to Crown receiving an acquisition proposal from Blackstone.

The Crown Board is unanimously recommending that shareholders vote in favour of the Blackstone transaction. This is in the absence of a superior proposal and subject to an independent expert concluding that it is in the best interests of Crown shareholders.

“An attractive outcome for shareholders”

Crown’s Chairman, Ziggy Switkowski, explained why the Board has accepted this offer.

He said: “The Board has fully considered the Blackstone Transaction and unanimously recommends the proposal, subject to customary conditions such as an independent expert concluding the transaction is in the best interests of Crown shareholders and there being no superior proposal. When considering any proposal, the Crown Board has consistently stated it is committed to maximising value for Crown shareholders.”

“The Crown Board and management have made good progress in addressing a number of significant challenges and issues emerging from the COVID-19 pandemic and various regulatory processes. Nevertheless, uncertainty remains and having regard to those circumstances and the underlying value of Crown we believe the Blackstone Transaction represents an attractive outcome for shareholders. The all-cash offer provides shareholders with certainty of value.”

“The cash offer under the Scheme of $13.10 cash per share values Crown’s equity at approximately $8.9 billion, 11 per cent higher than the initial offer from Blackstone almost a year ago. It is now appropriate that the Blackstone Transaction is put to our shareholders for their consideration,” he concluded.

What’s next?

A scheme meeting is expected to be held in the second quarter of calendar year 2022. If approved, the scheme would be implemented shortly thereafter.

There has yet to be any word out of rival Star Entertainment Group Ltd (ASX: SGR), which recently was interested in merging with Crown.

The post Crown (ASX:CWN) share price higher after accepting $8.9bn takeover offer appeared first on The Motley Fool Australia.

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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 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 Boral Limited (ASX: BLD) share price is edging lower in early trade, down 0.8%.

Boral shares closed on Friday at $3.79 per share and are currently trading at $3.76.

Below we take a look at the construction materials company’s financial results for the half year ending 31 December (1H FY22).

Boral share price edges lower on profit hit

• Sales revenue of $1.5 billion up 1% on the prior corresponding half year and up 3% on a comparable basis
• Net profit after tax (NPAT) before significant items down 12% from 1H FY21 to $145 million
• Earnings before interest and tax (EBIT) of $238 million down 10%
• Pre-tax gain of $931 million for significant items mostly from sale of its North American Building Products
• Operating cash flow of $185 million decreased 52% from the prior corresponding period

What else happened during the half year?

The big news during the half year was the company’s $3 billion return of surplus capital to its shareholders. While this caused the Boral share price to sink on the day it was announced on 4 February, shareholders look to be well rewarded.

The cash distribution is equal to $2.72 per share, comprised of $2.65 equal cap return and a special dividend of 7 cents per share (cps), unfranked. It will be completed on 14 February.

Additionally, the company reported that the strength of its sales revenue was driven by stronger underlying demand despite COVID-19 continuing to shutdown construction activities and a very wet second quarter.

The 23% fall in EBIT (excluding Property) of $78 million was largely due to the $33 million impact from those construction shutdowns, alongside rising energy costs.

Excluding the impact of the construction shutdowns, Boral noted its transformation program is delivering, with return on funds employed (excluding Property) increasing to 10.5%.

What did management say?

Commenting on the results, Boral’s CEO Zlatko Todorcevski said:

With completion of the divestment of our North American Fly Ash business on 11 February 2022, we have now finalised the strategic realignment of our portfolio to focus on our Australian construction materials business.

We have substantially reshaped our portfolio, divesting our Boral North America businesses and Australian Building Products businesses for proceeds of $4.1 billion. And post half-year, we’ve completed the return of $3 billion in surplus capital to our shareholders.

Following receipt of the proceeds from the sale of Fly Ash, Boral has at least a further $500 million in surplus capital on a proforma basis. After considering any reinvestment opportunities, Boral will determine how to apply the surplus in accordance with its Financial Framework.

What’s next?

Looking ahead, Todorcevski added:

To recover the impact of higher energy costs and other cost increases on our business, we’ve implemented out-of-cycle national price increases. These, together with further Transformation benefits and less expected disruption to construction activity, should deliver stronger earnings in the 2H FY2022.

Boral expects Transformation benefits for the full financial year in the range of $60–75 million, net of inflation. It does not forecast any more property sales in the half year ahead.

Capital expenditure in its continuing operations, inclusive of new leases, for FY22 is forecast to come in at around $300 million.

Boral share price snapshot

When looking at the Boral share price, it’s important to keep in mind the $3 billion return of capital to shareholders, announced on 4 February.

From the opening bell on 4 January through to 3 February, Boral shares gained 5.3%. Over that same period the S&P/ASX 200 Index (ASX: XJO) lost 6.7%.

The post Boral (ASX:BLD) share price edges lower as COVID hits profits appeared first on The Motley Fool Australia.

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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.

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The Aurizon Holdings Ltd (ASX: AZJ) share price is wobbling after the company released its results for the first half of financial year 2022 this morning.

At the time of writing, the Aurizon share price is $3.68, 1.1% higher than its previous close.

However, it hit a low of $3.57 earlier this morning, representing a 1.9% fall.

Aurizon share price up despite decreased dividend

• Around $1.5 billion of revenue, a 1% improvement on that of the first half of financial year 2021
• Earnings before interest, tax, depreciation, and amortisation (EBITDA) of $727 million – down 1% on the prior comparable period
• $257 million of net profits after tax (NPAT) – a 4% drop
• Earnings per share (EPS) came to 14 cents
• 10.5 cent, 95% franked interim dividend – a 27% decrease
• The company’s free cash flow increased 26% to $362 million

Aurizon announced it has dropped its interim dividend to 10.5 cents. This is to support its commitment to maintaining its credit rating as the company works towards a $2.35 billion acquisition of One Rail Australia.

The rail freight operator announced the acquisition in October. The market bid the Aurizon share price down 6% on the back of the news.

The lower dividend represents a 75% payout ratio of after-tax profits for continuing operations.

Also, over the half year just been, the company’s bulk business EBITDA increased 1% to $75 million while its coal business saw a 4% jump in EBITDA, reaching $12 million.

The network business EBITDA, however, slumped 7% to $28 million. Though, the dip was mainly due to $49 million of once-off historical Wiggins Island Rail Project fees having been recognised in the prior period.

Discounting that fee, the network business EBITDA increased 6%.

Additionally, discounting that fee, the group’s EBITDA for the first half of financial year 2022 would represent a 5% increase on that of the prior comparable period.

What else happened during the half?

The company’s bulk business saw the acquisition of the Newcastle Port Services and the start of the 10-year CBH grain contract.

However, those positive events were offset by the end of two contracts and start-up costs associated with the CBH contract.

Aurizon’s coal business tonnages were down 3% compared to the first half of last financial year. The company transported 99 million tonnes of the commodity over the six months ended 30 December 2021.

The drop was mainly due to lower demand brought on by flooding in New South Wales, mine-specific impacts, derailments, and protest activities.

Meanwhile, the Aurizon Network business transported 105 million tonnes of coal over the half. That’s a 1% increase on the prior comparable period.

Aurizon also implemented a new safety metric. It replaced its Rail Process Safety metric with the Potential Serious Injury and Fatality Frequency Rate.

The company said this will capture the number of incidents that had the potential to, or did, cause serious injury per million hours worked.

What did management say?

Aurizon managing director and CEO Andrew Harding commented on the company’s results for the first half:

The business has remained resilient and Aurizon’s earnings have remained stable despite challenges in markets that have seen reduced demand due to COVID-19 and customer-related issues.

As an essential service, we have been able to continue to operate the freight supply chains sustainably that are vital for our communities, farmers, manufacturers, and the resources sector.

Aurizon’s aim is to double the size of the bulk business by 2030 through organic growth and acquisitions, delivering a significant change in our portfolio mix and continuing to increase non-coal revenues.

What’s next?

For those interested in the Aurizon share price, here’s what the company expects for the remainder of financial year 2022.

Its EBITDA guidance for the financial year has stayed put at between $1.425 billion and $1.5 billion.

Its group capital expenditure guidance sits between $540 million and $580 million, including around $100 million supporting growth of its bulk business.

The company plans to haul the same amount of coal this financial year as it did last financial year. It expects customer mix and cost management to offset lower contracted rates.

That’s despite the company’s August prediction that its coal haulage volumes would increase by around 5% in financial year 2022.

It predicts its bulk business revenue and EBITDA will be higher on the back of recent contract wins and port acquisitions.

The company’s guidance excludes EBITDA and capital expenditure for its One Rail acquisition. It’s also subject to no material disruptions to the commodity supply chain because of weather or COVID-19.

Aurizon is also planning to complete the One Rail acquisition this calendar year, with a tentative target of April. The acquisition will be followed by the divestment of East Coast Rail. Harding commented:

The acquisition supports Aurizon’s ambition to increase bulk’s share of revenue (excluding network), with an increase of eight percentage points to 41% in the first full year of contribution to Aurizon.

Aurizon share price snapshot

The Aurizon share price is outperforming the market in 2022, recording a 5.44% gain year to date.

That compares to the 3% drop recorded by the S&P/ASX 200 Index (ASX: XJO).

However, the company’s stock isn’t performing so well in the long term. It has fallen 6.84% over the last 12 months.

The post A fair price? Aurizon (ASX:AZJ) share price gains despite 27% dividend dive appeared first on The Motley Fool Australia.

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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 recommended Aurizon Holdings 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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The Bendigo and Adelaide Bank Ltd (ASX: BEN) share price is in the green this morning, trading 1.94% higher.

Shares in Australia’s fifth-largest retail bank closed Friday afternoon at $9.26 and are $9.44 at the time of writing.

Today’s move is propelled by Bendigo Bank’s interim results for the half-year ending 31 December 2021. Here’s a closer look at the details.

Bendigo Bank share price up on earnings jump

• Revenue up 8.5% from prior corresponding period to $965.1 million
• Statutory net profit up 31.7% to $321.3 million
• Cash earnings after tax increased by 18.7% to $260.7 million
• Net interest margin compressed by 14 basis points (2.1%) from previous half year
• Cash earnings per share (EPS) up 13.5% to 47 cents per share
• Declared fully franked interim dividend of 26.5 cents per share, up 12.8%

What else happened during the half year?

Bendigo Bank said it was another half dominated by residential lending growth, cementing its sixth consecutive half of above system home loan growth. The period saw residential lending grow by 8.4% as settlements rose 4.3% from the previous half.

The bank experienced below system growth for its overall lending. This was put down to weakness in its agribusiness lending due to seasonal factors and softness in business lending. However, Bendigo Bank still grew its overall lending by 4.3% compared to system growth of 8.3% — playing into the Bendigo Bank share price strength today.

A milestone for the bank during the December ending half was the acquisition of Ferocia Pty Ltd. Importantly, this gives Bendigo Bank full ownership of the mobile-only digital bank Up. The acquisition was announced in August of last year and adds 460,000 customers to the Aussie bank.

Additionally, the bank’s interest margin compression is said to be a reflection of its increase in liquidity. The move is a result of “fierce competition” across the lending market and a preference for fixed-rate loans.

What did management say?

Commenting on the interim result, managing director and CEO Marnie Baker said:

This strong result would not be possible without our strategy and our focus on execution. We are committed to removing complexity, keeping cost growth low and, above all, remaining a customer-centric organisation.

Barker added:

We have made significant progress over the half with the acquisition of financial technology company Ferocia and digital bank Up accelerating our strategy. Capital levels are again higher and support our strong balance sheet, and our return on equity is above 8 percent.

Regarding the impacts of the Omicron variant on bank customers, Baker stated:

Pleasingly, the onset of Omicron has only seen 25 new retail customers require some form of assistance, underscoring the resilience of our customers and their financial position.

What’s next?

There are a few key points for Bendigo Bank during the second half of FY22. Firstly, the lender expects to see a continuation in outperforming residential loan growth. Although, net interest income will be negatively affected by margin pressures.

Secondly, the bank earmarked $170 million to $180 million across investment spending in FY22. For comparison, FY21 racked up $165 million.

Lastly, Bendigo Bank considers a rising interest rate environment as a positive for its “deposit-heavy” funding mix.

Bendigo Bank share price snapshot

It is a subdued start to the year for the Bendigo Bank share price with its shares up 2% so far in 2022. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is down 5.3% since the start of the year.

Over the last 12 months, Bendigo shares are down 2.11% compared to the ASX 200’s 4.6% gain.

The post Bendigo Bank (ASX:BEN) share price lifts amid 32% jump in profits appeared first on The Motley Fool Australia.

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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 no position in any of the stocks mentioned. The Motley Fool Australia owns and has recommended Bendigo and Adelaide Bank 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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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.

I had been on a wait list to purchase my very first non-fungible token (NFT). The wait list was randomized, so I didn’t know when or if my number would be called. And as the people ahead of me in line snapped them up, I experienced a surprising jolt of adrenaline and anxiety. But once the final NFT from the collection was purchased, I started calming back down, assuming I missed out. I felt my heart rate slowly coming back down to normal. 

I assumed wrong. Checking my email later that day, the adrenaline came rushing right back. The launchpad where I bought my NFT allowed people to prefund their accounts, automatically purchasing a NFT if your number got called. I had taken advantage of this feature, so that’s how the purchase went through without me knowing it. 

Let me explain why I’m scared of the NFT space as I reflect on my emotionally charged experience. If you want to buy a NFT, I believe it’s crucial to have a healthy dose of self-awareness to prevent you from falling headfirst down a dangerous hole.

Why I bought an NFT in the first place

Simply put, a NFT is digital property with verifiable ownership. Often this is an image, but it could be other things, like trading cards, music, and more.

And I won’t beat around the bush: I became curious about NFTs because I’ve seen people make money in the space — in some cases, a lot of money.

The most extreme example is the Bored Ape Yacht Club. You could have purchased one of these images new in April 2021 for 0.08 Ether, the native token of the Ethereum blockchain. As of this writing, the cheapest Bored Ape for sale is 97 Ether (roughly $300,000) — a 1,200-bagger in under a year.

Finding a NFT project that enjoys even just a fraction of the Bored Ape Yacht Club’s success could result in a 100-bagger — a life-changing-caliber investment. It might sound shallow. But let’s be honest: You probably wouldn’t be reading this article if there weren’t money in NFTs.

That said, I’m not naive enough to believe that all NFT projects will have the same potential — they don’t. 

Therefore, I began my journey with cautious curiosity. I found a NFT project that looked differentiated enough to have potential. But it was one that I wouldn’t feel terrible if the value plummeted and I was stuck with the picture I bought. Moreover, it was cheap enough to dip my toes in the water but expensive enough to teach me a financial lesson if needed.

The NFT lesson I’m learning

After spending time in online NFT communities, I’m convinced most people are simply trying to get rich quickly. This is reflected by the oft-repeated motto of NFT investors, WAGMI — “we’re all gonna make it.” 

Most people are approaching NFT as a trade. And a trade is intrinsically short term and based on greater fool theory — simply trying to offload something onto someone else for a higher price. The way many traders do it, it’s not much different than a pump-and-dump scheme. NFT projects are hyped on social media until the floor price rises significantly and early buyers cash out.

However, I found the entire process of buying my first NFT to be exhilarating. Adrenaline and dopamine were flowing freely as I imagined the possibility of lightning-fast profits. This short-term mindset is dangerous and can cause people to abandon sound financial decision-making, myself included.

Investing great Charlie Munger said, “If you take the modern world where people are trying to teach you how to come in and trade actively in stocks, well, I regard that as roughly the equivalent to trying to induce a bunch of young people to start off on heroin.”  

Illicit drugs both impair judgment and create addictions. I believe investors would be wise to heed Munger’s warning here when it comes to trading anything, including NFTs.

What now?

Don’t misunderstand: Some NFT projects have A-list creators with detailed roadmaps, creating communities committed to holding their NFTs for the long term. And the NFT space may scare me, but that doesn’t mean I’m avoiding it — I’ve since purchased my second NFT.

I’m simply advocating for a healthy investing mindset. Nothing can derail your investing journey faster than nurturing bad investing behavior. As Munger also says, “It is remarkable how much long-term advantage people like us have gotten by trying to be consistently not stupid, instead of trying to be very intelligent.”

Left unchecked, buying NFTs can induce feelings that motivate bad investing behavior. If you’re buying a NFT, it’s important to have a good, established investing mentality and a healthy dose of self-awareness to make sure you’re, as Munger put it, “consistently not stupid.” 

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

The post Here’s what scared me about buying my first NFT appeared first on The Motley Fool Australia.

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Jon Quast owns Ethereum.  The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and recommends Ethereum. The Motley Fool Australia owns and recommends Ethereum. 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.

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In morning trade, the Beach Energy Ltd (ASX: BPT) share price is charging higher following the release of its half year results and a solid rise in oil prices on Friday night.

At the time of writing, the energy producer’s shares are up over 4% to $1.55.

Beach share price higher following strong profit growth

• First half production of 11.02 MMboe
• EBITDA margin of 65%
• EBITDA up 26% to $513 million
• Net profit after tax (NPAT) up 66% to $213 million
• Fully franked interim dividend of 1 cent per share
• Net cash position of $73 million and availability liquidity $673 million

What happened during the first half?

For the six months ended 31 December, Beach reported a 26% increase in EBITDA to $513 million. This was driven by production of 11.02 MMboe and a realised oil price of $113.6 per barrel.

Beach also made a lot of progress operationally during the half, particularly in respect to its growth projects.

This includes the connection of Geographe 4 and 5 into the Otway Gas Plant to deliver an uplift in gas production. In addition, the first of four Thylacine wells has been drilled, with the offshore drilling program scheduled for completion mid-2022.

Another development is the LNG heads of agreement with BP for Beach’s 3.75 million tonnes from Waitsia Stage 2 from 2023. And finally, the Kupe Compression Project is online and delivering a production boost, with the plant now running at full capacity.

Management commentary

Beach’s Acting Chief Executive Officer, Morné Engelbrecht, commented: “Delivering on this phase of our growth means we are making progress towards our production target of 28 MMboe in FY24.”

“We had previously stated FY22 was going to be a pivotal year in Beach’s transformation, and I’m proud of what we have achieved so far. This includes our historic LNG agreement with BP and connecting our first Otway offshore wells to the East Coast market.”

“Our balance sheet remains in great shape as we retain a net cash position, and we are well placed to deliver on the next stage of our growth agenda.”

Outlook

Management has retained its guidance for FY 2022. It continues to guide to production of 21 to 23 MMboe, capital expenditure of $900 million to $1,100 million, and unit operating costs of $11.50 to $12.50 per barrel of oil equivalent.

Mr Engelbrecht commented: “Despite the challenges in 2021, it is important to point out that Beach executed a significant portion of its organic growth platform, allowing us to enter 2022 with a solid base to keep delivering and reach our target of 28MMboe in FY24.”

“The second half of FY22 remains a busy period with activity across the portfolio, and we are looking forward to the forthcoming Western Flank oil exploration campaign – in which any success would sit above our base-case target,” he added.

The post Beach (ASX:BPT) share price charges higher after delivering rapid profit growth appeared first on The Motley Fool Australia.

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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 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.

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

What happened

Positive momentum is reshaping the discussion around the crypto sector, once again. For meme projects such as Shiba Inu (CRYPTO: SHIB) and Dogecoin (CRYPTO: DOGE), this has materialized into some rather impressive gains. As of 11 a.m. ET, these two meme coins had appreciated 9% and 6.5%, respectively, over the past 24 hours.

Forced liquidations of these meme tokens have driven most of the incredible volatility with Shiba Inu and Dogecoin in recent days. For Shiba Inu in particular, liquidations of the SHIB, 1000SHIB, and SHIB1000 contracts have been more than 80% on the short end of this trade, according to the website Coinglass, which tracks this data. This means that those shorting this meme token are increasingly having their positions liquidated, forcing the price of SHIB higher, in a similar fashion as short-covering in the stock market. 

For XRP (CRYPTO: XRP), today’s gain is slightly more muted than its meme token peers. As of 11 a.m. ET, XRP shot 3.2% higher over the past 24 hours, as this token maintains positive momentum following news last week that the project’s parent company Ripple may be close to concluding its ongoing litigation with the SEC that’s spanned more than a year.

So what

Forced liquidations continue to drive a significant percentage of the overall volatility in the market. At 11 a.m. ET, over the past four hours, Shiba Inu, Dogecoin, and XRP took 3rd, 4th, and 5th place in terms of forced liquidations (mostly short-related), after Bitcoin and Ethereum. This signifies, among many things, that these three tokens are among the most-traded in the market, and investors appear to be most bullish on the near-term prospects of these projects.

For XRP, investors appear to be banking on some sort of litigation resolution or near-term even that could drive short-term volatility with this token. In general, the market has viewed recent news that the judge overseeing the SEC vs. Ripple case has allowed for documents to be unsealed a small victory for the XRP camp. While the outcome remains uncertain, crypto investors (like all investors) like certainty. Thus, a resolution (good or bad) to this saga is being priced into the coin with positive effects right now.

Now what

Interestingly, these three tokens are among the highest-flyers in the crypto market over the past week. Unlike previous rallies, which saw these tokens give up a majority, if not all, of their gains in short order, this week has provided somewhat “stickier” returns for investors. Accordingly, outside investors may be wondering whether the near-term catalysts driving these tokens higher can be maintained for an extended period of time. 

I think the jury is still out on with respect to this idea. However, given the macro environment we’re in now, it’s likely the crypto market will continue to see volatility from here. Accordingly, investors should fasten their seatbelts — this ride may get a lot bumpier from here. 

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

The post 2 reasons Shiba Inu and Dogecoin are soaring this weekend appeared first on The Motley Fool Australia.

More reading

• Chasing its tail? Shiba Inu price tumbles today following 38% leap
• It’s happening again — Shiba Inu goes parabolic, shooting 38% higher
• Why Dogecoin and these other cryptocurrencies surged more than 10% today
• Down 81% since May, can the Dogecoin price go to zero?
• Here’s what’s driving stability with Shiba Inu today

Chris MacDonald owns Ethereum. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and recommends Bitcoin and Ethereum. The Motley Fool Australia owns and recommends Bitcoin and Ethereum. 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.

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If you’re a fan of growth shares, then you may want to look at the two ASX shares listed below.

These growth shares have been rated as buys and tipped to climb materially higher from current levels. Here’s what you need to know:

Allkem Ltd (ASX: AKE)

If you don’t mind investing in the resources sector, then the first ASX growth share to consider is Allkem. It was formed following the merger of two leading lithium miners – Galaxy Resources and Orocobre.

This merger made the company a top five global lithium miner with a collection of world class operations including Olaroz, Mt Cattlin, and the Sal de Vida brine project.

As Mt Cattlin and Olaroz are already operating, Allkem is currently benefiting greatly from the sky high lithium prices being underpinned by the decarbonisation trend and the rise of electric vehicles. These operations look likely to be added to in the near future as decisions are made on its other projects. This bodes well for its growth in the coming years, particularly given the outlook for lithium supply and demand.

Morgans is very bullish on Allkem and recently named it as its top pick in the lithium sector. The broker currently has an add rating and $13.25 price target on its shares. This implies potential upside of 40% for the Allkem share price from current levels.

Life360 Inc (ASX: 360)

Another ASX growth share to look at is Life360. It operates in the digital consumer subscription services market with a focus on products and services for digitally native families.

The team at Bell Potter is very positive on the company due to its freemium model and opportunity to convert its 30 million+ user base into paying subscribers.

The broker expects the latter to be boosted by its acquisitions of wearables company Jiobit and items tracking company Tile. Overall, Bell Potter believes the company is well placed to disrupt the safety and security market and achieve strong top line growth for many years.

Bell Potter has a buy rating and $13.51 price target. This is almost 80% higher than the current Life360 share price of $7.56.

The post Analyst say these ASX growth shares have at least 40% upside potential appeared first on The Motley Fool Australia.

More reading

• 3 fantastic ASX 200 growth shares to buy
• 3 ASX growth shares to buy after recent market weakness
• Why are these ASX 200 tech shares tumbling more than 6% on Friday?
• 2 ASX lithium shares with huge upside potential in 2022
• 3 buy-rated ASX 200 shares with plenty of upside potential

Motley Fool contributor James Mickleboro owns Life360, Inc. and Allkem Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and 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.

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