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Exchange-traded funds (ETFs) can be an effective way to invest in a share market or in a particular sector. January 2022 could be a good month to find some ETF opportunities.

Investors can get useful diversification or a targeted allocation from the array of different options out there.

These two could be ideas to consider this month:

Betashares Global Cybersecurity ETF (ASX: HACK)

This ETF is focused, as the name suggests, on cybersecurity businesses around the world. Around 92% of the businesses are listed in the US, so it’s mostly an American-focused investment. However, those underlying businesses do typically earn profit globally.

As BetaShares says, with cybercrime on the rise, the demand for cybersecurity services is expected to “grow strongly for the foreseeable future”.

Looking at numbers provided by Statista, the global cybersecurity market is expected to grow from $137.6 billion in 2017 to $248.3 billion by 2023.

So what businesses are actually in the Betashares Global Cybersecurity ETF? At the moment, the biggest positions are: Accenture, Cisco Systems, Palo Alto Networks, Crowdstrike, Cloudflare, Juniper Networks, Booz Allen Hamilton, Leidos, VMware and Akamai Technologies.

Past performance is not a reliable indicator of future performance. However, after accounting for the annual management costs of 0.67%, the net returns over the past five years has been an average of 22.4% per annum.

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

This is another ETF from BetaShares. It’s both geographic and sector focused. This investment is about the 50 biggest technology businesses in Asia, outside of Japan.

The three main places that are represented here are China (46.2%), Taiwan (24.6%) and South Korea (17.3%). India, with a 6.6% weighting, is the fourth biggest.

Many of Asia’s biggest tech names are in this portfolio. There are three positions that have a weighting of more than 10%: Taiwan Semiconductor Manufacturing (12.7%), Samsung Electronics (11.8%) and Tencent (10.2%).

Other businesses that have an allocation of at least 4% includes Alibaba (8.6%), Meituan (5.7%), Infosys (5.2%) and JD.com (4%).

The three sectors with the biggest weighting within this tech ETF are benefiting from growth tailwinds. Those three sector allocations are internet and direct marketing retail (25.9%), semiconductors (20.6%) and interactive media and services (17.1%).

BetaShares says that due to its younger, tech-savvy population, Asia is surpassing the West in terms of technological adoption and the sector is anticipated to remain a growth sector.

This potential investment has a 0.67% annual fee. Since inception in September 2018, the BetaShares Asia Technology Tigers ETF has returned an average of 16.4% per annum.

The post 2 top ETFs that could be buys in January 2022 appeared first on The Motley Fool Australia.

More reading

• Here’s how the BetaShares Cybersecurity ETF (ASX:HACK) beat the ASX 200 in 2021
• 3 ASX ETFs for smart investors in 2022
• 3 high quality ETFs for ASX investors in January
• Here are 2 fantastic ETFs for ASX investors in 2022
• 2 exciting tech ETFs for ASX investors in 2022

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended BETA CYBER ETF UNITS. The Motley Fool Australia owns and has recommended BETA CYBER ETF UNITS. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF. 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 Medibank Private Ltd (ASX: MPL) share price had a modest run over the past 12 months. The company managed to navigate itself through tough market conditions caused by COVID-19.

In 2021, Medibank shares gained 11%, which was almost in line with the broader S&P/ASX 200 Index (ASX: XJO). The latter rose around 13.5% across the same timeframe.

At yesterday’s market close, the private health insurance company’s shares closed 0.3% higher to $3.40 apiece. A sharp contrast compared to the benchmark index which fell heavily by 2.74% to 7,358.3 points.

What happened to the Medibank share price in 2021?

The Medibank share price rose strongly during the first half of the year, underpinned by solid growth across key financial metrics.

Management noted that more people are continuing to prioritise their health and wellbeing through private health insurance. This is due to the uncertainty surrounding COVID-19 and heightened pressure on the public system.

Notably, the company experienced its biggest growth in more than 10 years, with market share up 37 basis points. 

In addition, ongoing focus on Medibank customers led to improved retention, and record customer advocacy levels.

Undoubtedly, this helped push the company’s shares to near record highs during the months of August and September.

Fast-forward to November, Medibank shares slightly backtracked due to the rapid spread of the Omicron variant. Rules regarding density limits as well as ongoing restrictions in Victoria and New South Wales have impacted the health system.

The uncertainty of when the post-COVID era will actually happen has driven the company’s shares momentarily lower.

Is this a buying opportunity?

A couple of brokers weighed in on the Medibank share price during the final months of 2021.

Multinational investment bank, Macquarie raised its 12-month price target by 2.9% to $3.55 for Medibank shares. This implies an upside of around 4.4% based on the current share price.

Following suit, Australian investment firm, Morgans also lifted its assessment on Medibank shares by 8.2% to also $3.55. Its analysts believe that there is still some value left in the private health insurance company.

The post How did the Medibank (ASX:MPL) share price perform in 2021? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX shares today
• Why Afterpay, BrainChip, Medibank, and WiseTech shares are racing higher
• ASX 200 (ASX:XJO): Woolworths withdraws API proposal, tech shares rebound
• What’s happening to the Medibank (ASX:MPL) share price today?
• ASX 200 (ASX:XJO) midday update: Medibank and NIB rise, Bega sinks

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Last week was a volatile one for the S&P/ASX 200 Index (ASX: XJO). A couple of very strong days were offset by a shockingly bad day to leave the benchmark index just 0.1% higher than where it started it at 7,453.3 points.

Among the worst performers on the ASX 200 last week were the shares listed below. Here’s why they tumbled lower:

Pro Medicus Limited (ASX: PME)

The Pro Medicus share price was the worst performer on the ASX 200 with a 13.3% decline. This was driven partly by a broker note out of Morgans. Its analysts downgraded the health imaging company’s shares to a reduce rating on valuation grounds. The broker believes investors should sit tight and wait for buying opportunities around the $50 mark.

Pointsbet Holdings Ltd (ASX: PBH)

The PointsBet share price wasn’t far behind with a decline of 12.2%. This follows a selloff in the tech sector after the release of hawkish minutes out of the US Federal Reserve. On Wall Street’s Nasdaq index, PointsBet’s rival Draftkings also saw its shares fall heavily over the period.

Zip Co Ltd (ASX: Z1P)

The Zip share price was a poor performer and tumbled 11.8% over the four days. As well as being caught up in the tech selloff, Morgans reduced its price target on Zip’s shares to $7.54 from $8.56. It notes that the “[BNPL] sector is suddenly unloved by investors, so solid 1H22 results are required to change sentiment.” However, it highlights that Zip’s “earnings visibility remains poor” going into February’s earnings season.

Afterpay Ltd (ASX: APT)

The Afterpay share price was out of form and tumbled 10.9% last week. While Morgans also reduced its price target on Afterpay’s shares to $91.49 from $132.00, the main drag was of course the weakness in the Block (Square) share price. As shareholders have approved the all-scrip takeover proposal from Block, the value of the transaction rises and falls with the Block share price. Unfortunately for shareholders, it has been falling a lot recently.

The post These were the worst performing ASX 200 shares last week appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX shares today
• Why Afterpay, BrainChip, Medibank, and WiseTech shares are racing higher
• ASX says Block listing is ‘most important since BHP’. Here’s why
• ASX 200 (ASX:XJO): Woolworths withdraws API proposal, tech shares rebound
• How did the S&P/ASX All Technologies Index (XTX) perform in 2021?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Afterpay Limited, Pointsbet Holdings Ltd, Pro Medicus Ltd., and ZIPCOLTD FPO. The Motley Fool Australia owns and has recommended Afterpay Limited and Pro Medicus Ltd. The Motley Fool Australia has recommended Pointsbet Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Today, the S&P/ASX 200 Index (ASX: XJO) regained its footing to finish the week higher. At the end of the session, the benchmark index climbed 1.29% to 7,453.3 points.

Investors returned to the market with a more optimistic perspective today compared to yesterday’s brutal session. As a consequence, all sectors were showing up green at the final bell. Leading the index higher were energy and financial shares. Another positive move in oil prices overnight provided a positive injection for oil and gas companies.

However, the question is: which shares delivered the biggest returns to investors on the ASX today? Here are the top ten stocks that came through for investors:

Top 10 ASX shares countdown today

Looking at the top 200 listed companies, Medibank Private Ltd (ASX: MPL) was the biggest gainer today. Shares in the private health insurer rallied 5.88% to a new 52-week high despite there being no announcements out on Friday. Find out more about Medibank Private here.

The next biggest gaining ASX share today was Latitude Group Holdings Ltd (ASX: LFS). The financial services company gained another 4.00% today after a solid session yesterday amid its plans to acquire the consumer services business of Humm Group Ltd (ASX: HUM). Uncover the latest Latitude Group details here.

Today’s top 10 biggest gains were made in these ASX shares:

ASX-listed company	Share price	Price change
Medibank Private Ltd (ASX: MPL)	$3.60	5.88%
Latitude Group Holdings Ltd (ASX: LFS)	$2.08	4.00%
NIB Holdings Ltd (ASX: NHF)	$7.23	3.73%
New Hope Corporation Ltd (ASX: NHC)	$2.30	3.60%
Yancoal Australia Ltd (ASX: YAL)	$2.90	3.57%
Wisetech Global Ltd (ASX: WTC)	$55.95	3.44%
Whitehaven Coal Ltd (ASX: WHC)	$2.75	3.38%
Virgin Money UK PLC (ASX: VUK)	$3.44	3.30%
Fortescue Metals Group Ltd (ASX: FMG)	$20.37	3.14%
Afterpay Ltd (ASX: APT)	$74.00	2.99%

Our top 10 ASX shares today countdown is a recurring end-of-day summary to ensure you know which companies were making big moves on the day. Check-in at Fool.com.au after the market has closed during weekdays to see which stocks make the countdown.

The post Here are the top 10 ASX shares today appeared first on The Motley Fool Australia.

More reading

• Why Afterpay, BrainChip, Medibank, and WiseTech shares are racing higher
• ASX 200 (ASX:XJO): Woolworths withdraws API proposal, tech shares rebound
• The only 2 profitable ASX BNPL players are merging. Now what?
• 5 things to watch on the ASX 200 on Friday
• Here are the top 10 ASX shares today

Motley Fool contributor Mitchell Lawler owns Afterpay Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Afterpay Limited and WiseTech Global. The Motley Fool Australia owns and has recommended Afterpay Limited and WiseTech Global. The Motley Fool Australia has recommended Humm Group Limited and NIB 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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A more environmentally conscious society has offered ASX renewable shares a prevalent tailwind in recent years. While some companies received a boost in 2021, the year was dominated by deals.

In other words, investors were competing with private equity when it came to renewable energy shares last year. Many of the companies that delivered shareholders with positive returns ended up being acquired in 2021. To provide a clear picture of the sector we’ve included acquired companies in this list.

Here are the ASX renewable shares that powered investor portfolios throughout 2021.

Origin Energy Ltd (ASX: ORG)

Although it’s hard to argue Origin Energy is a renewable energy company, it does hold a significant renewable footprint.

During FY21, Origin installed 74 megawatts of solar on Australian homes and businesses. Additionally, the energy company progressed its assessment of renewable hydrogen and renewable ammonia opportunities in Bell Bay, Tasmania.

Alongside this, Origin holds a 20% equity interest in UK-based renewable energy provider Octopus Energy.

Shares in Origin climbed 10% higher by the end of 2021. Accompanying this gain was a respectable 20 cents per share in dividends for shareholders.

Infratil Ltd (ASX: IFT)

The next company making the top 5 best performing ASX renewables shares is Infratil. This infrastructure company used to own a substantial chunk of Tilt Renewables before it was acquired during the year. However, Infratil’s portfolio of investments still maintains a 21% allocation across renewables.

At the end of September 2021, renewable investments in the Infratil portfolio included Trust Power, Longroad Energy, Gurin Energy, and Galileo Green Energy.

The Infratil share price was pushed higher, boosted by achieving a record net surplus for its shareholders in 2021. Investors who stuck with this ASX renewable share enjoyed a 12.2% gain by the end of the year.

Tilt Renewables Ltd (ASX: TLT)

As I alluded to earlier, Tilt Renewables was one ASX renewables share that was gobbled up before the year was over.

The New Zealand-based electricity producer was essentially as much of a pure-play renewables company as one could get — with a number of wind and solar assets across Australia. This attracted interest from Mercury NZ Ltd (ASX: MCY) and Powering Australian Renewables (PowAR), which ended up acquirer the company’s assets.

When the final deal was done, Tilt shareholders walked away with NZ$8.10 per share, reflecting a gain of ~27% in 2021.

Spark Infrastructure Group (ASX: SKI)

Spark Infrastructure is another ASX renewable share that wasn’t able to see in 2022 as a public company. Unlike some of the other companies, Spark operates in the generation, transmission, and distribution of electricity — operating throughout New South Wales, Victoria, and South Australia.

Unfortunately for would-be renewable investors, Spark is now off the table after being acquired by a consortium of investors late last year. For a total consideration of $2.95 per security, Kohlberg Kravis Roberts & Co, the Ontario Teachers’ Pension Plan, and Public Sector Pension Investors acquired the previously listed energy company.

In turn, shareholders bagged an astounding return of 39.8% during the year. That reflects a ~27% outperformance of the S&P/ASX 200 Index (ASX: XJO).

Redflow Ltd (ASX:RFX)

Finally, the last ASX renewable share on the list is more on the speculative end of the scale. Redflow is a small-cap battery storage company.

As renewable energy sources rise to prominence methods for adding security and storing the energy produced are becoming more important. While some renewable methods, such as hydropower, naturally incorporate energy storage, other options, such as wind and solar, require another way of managing the supply and demand of the network. As such, grid-tier batteries provide a way for renewable electricity generation to be managed.

The Redflow share price travelled from 2 cents per share to 5 cents per share by the end of the year — representing an increase of 150%.

The post In the green: the 5 best ASX renewable shares of 2021 appeared first on The Motley Fool Australia.

More reading

• How did the Origin (ASX:ORG) share price perform in 2021?
• ASX 200 (ASX:XJO) midday update: Afterpay hits 52-week low, energy shares rise
• These were the 5 worst performing ASX hydrogen shares of 2021
• What’s happened to Spark Infrastructure (ASX:SKI) shares?
• Origin (ASX:ORG) share price slips on $42 million acquisition

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 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 EML Payments Ltd (ASX: EML) share price had a shocker of a year in 2021.

Shares in the payment solutions company fell from $4.18 to $3.23 during the course of the year, a fall of nearly 23%.

Let’s take a look at how the year played out.

How did EML Payments perform?

The EML Payments share price blasted ahead in the first few months of the year before a dramatic fall in May. Shares in the company then slightly recovered but failed to return to their April glory.

EML’s share price rocketed nearly 37% between market close on 31 December 2020 and 30 April 2021.

The biggest spike in this time followed the release of EML’s half-year results. Shares in the company soared nearly 17% on February 17. EML Payments reported a 54% spike in group gross debit volume to $10.2 billion. This led to a 61% boost in revenue to $95.3 million. The company’s General Purpose Reloadable sector was the key driver of this growth, while its Virtual Account Numbers segment also performed well.

April saw the share price surge again to a yearly high of $5.75 amid acquisition news. EML announced it would acquire Sentenial Limited and its subsidiaries for 110 million euros. Between 1 April and 9 April, the EML share price soared by 17%.

Then came the devastating fall. Between market close on 14 May and 19 May, the EML share price fell from $5.15 to $2.80, a 46% decrease.

Impacting this fall was news the Central Bank of Ireland (CBI) had raised “significant regulatory concerns” with its Irish subsidiary PFS Card Services limited. The company entered a trading halt pending a response to these concerns. The concerns related to the Prepaid Financial Services business it acquired in March 2020. Management informed the market 27% of EML Payments revenue came from this business.

However, between 19 May and 23 September, EML recovered some of this loss. The EML Payments share price rocketed from $2.80 to $4.123 on 6 September, a 47% gain. Outperform broker notes from Macquarie Group Ltd (ASX: MQG) and RBC Capital may have improved investor confidence.

Other positive developments included an update on its acquisition of Prepaid Financial Services and the release of its FY21 results. EML reported record growth including a 60% increase in revenue.

October saw another dramatic fall for the company driven by another update from the CBI. The warning included news of potential action against EML’s PFS Card Services. Shares dropped nearly 15% on 8 October on the back of this news.

November saw another major explosion, with shares gaining 31% in one day on 25 November. The share price rocketed higher following yet another update on its dialogue with the CBI. This time, investors were informed the action to be taken would be far less serious than the market expected. EML was given the green light to establish a base and start gaining customers in Ireland.

In December, shares pulled back slightly again. My Foolish colleague James observed this may have been driven by profit-taking from some investors following a strong gain in late November.

EML Payments share price snapshot

On the bright side, as my Foolish colleague Tristan reported this week, broker UBS rates EML Payments as a buy with a price target of $4.40.

The EML Payments share price finished up 3.56% today at $3.20.

This ASX share commands a market capitalisation of nearly $1.2 billion based on its current share price.

The post 2021 was a year to forget for the EML (ASX:EML) share price. Here’s why appeared first on The Motley Fool Australia.

More reading

• 2 ASX growth shares rated as buys in January 2022
• ASX 200 (ASX:XJO) midday update: Big four banks fall, Bega Cheese jumps again
• Why Afterpay, Corporate Travel, Dubber, and EML shares are falling
• EML (ASX:EML) share price plunges on vow to ‘vigorously defend’ against class action
• Here’s why EML (ASX:EML) shareholders are suing their own company

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended EML Payments. The Motley Fool Australia owns and has recommended EML Payments. The Motley Fool Australia has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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ASX 200 coal shares are positioned to benefit from a ban on Indonesian coal exports and talks of China resuming imports from Australia on the black rock, according to analysis from Fitch Ratings.

Players such as Whitehaven Coal Ltd (ASX: WHC), Yancoal Australia Ltd (ASX: YAL) and New Hope Corporation Limited (ASX: NHC) all traded higher this week as the market looks to price in the effects of the export ban.

What’s the situation with ASX 200 coal shares?

Indonesia – the world’s largest thermal coal export – announced a ban on all coal exports from January 1 amid critically low domestic coal stocks.

Much of the controversy stems from the fact that domestic Indonesian coal producers are failing to meet their duties in supplying a 25% minimum quota to the local market.

As such, President Joko Widodo has threatened to come down hard on any producers who fail to meet domestic market requirements via a “revocation of business permits”.

Coal traders immediately recognised the headwind on Sunday and sought to price in the risk of global shortages resultant from the export ban.

Since the announcement, spot prices have jumped more than 22.5% to now trade at US$193/tonne whereas the market is pricing a February 2022 coal price US$196.50 to start off trading in 2022.

Hence coal prices have reversed course after falling sharply from all time highs of US$269.60/tonne back in October.

It has since been revealed that Indonesia has secured an additional 7.5 million tonnes of coal inventory which could increase the chances of the ban being lifted soon.

Fitch also reckons that China might have its hand forced to reinstate Australian coal imports if Indonesia extends its ban for much longer.

This would bode in well for Australian coal produces says Fitch, particularly as demand from other South East Asian countries would pick up also.

Most ASX coal producers are considered price takers on the commodity, meaning their share price will fluctuate with volatility in the commodity markets.

Not to mention the positive impacts to margins and free cash flow conversion from the buoyant prices each producer will realise on each sale.

As such, it is likely that any gain in the price of coal will be reflected in the ASX coal basket for these reasons.

What’s next?

According to Fitch, the export ban is set to have an impact on many adjacent industries as well, such as shipping and logistics.

The ban will also affect shipping companies, as “they could incur $US20,000-$US40,000 per day in demurrage costs, while the government could face about $US3 billion per month in foreign exchange losses on top of losses in royalty and other revenues”, Fitch says.

Regarding the longer-term impact on coal prices, Fitch reckons that Indonesia’s export ban would “send coal prices rallying for longer and a shift in global trade flows, with smaller and inefficient mines globally likely resuming operations following attractive prices”.

China is also likely to face a short-term coal crisis as it approaches peak winter heating demand Fitch reckons, which would prop coal prices up further.

Each of Whitehaven, Yancoal and New Hope finished trading on Friday, up more than 3%.

The post Could ASX 200 coal shares be in for another boost? appeared first on The Motley Fool Australia.

More reading

• Is it a buy in 2022? Top brokers focus in on the Woodside (ASX:WPL) share price
• 5 things to watch on the ASX 200 on Friday
• 2 ASX dividend shares named as buys
• 5 things to watch on the ASX 200 on Thursday
• Here are the top 10 ASX shares today

The author has no positions 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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Financial technology companies, also known as fintech ASX shares, have been demonstrating rapid growth. But, simply growing quickly may not be enough for them to be labelled as opportunities. Are they good value buys?

There are a variety of functions served by different fintechs. Some of them provide platform services for clients and their advisers to monitor, report and choose investments.

These are two of the biggest and fastest growing businesses in the Australian sector:

Netwealth Group Ltd (ASX: NWL)

Netwealth was the fastest growing platform in the industry in both percentage and absolute terms in FY21. It’s expecting to take further market share in the years ahead.

The fintech points out that big four banks are exiting, or have already exited, financial advice and the largest platforms have experienced long-term and major outflows, such as AMP Limited (ASX: AMP).

The changing financial advice landscape is leading to the establishment of new independent advice groups, while other formerly aligned advisors move to existing independent advice groups. Netwealth is being provided with “significant new and substantial opportunities.”

Growth is coming through in the quarterly numbers that the fintech ASX share is revealing to the market each quarter.

Funds under administration (FUA) at 30 September 2021 was $52 billion, a 10.2% increase quarter on quarter and a 52.7% increase year on year. FUA net inflows for the last quarter were $4 billion, an increase of 111% compared to last year.

Credit Suisse currently rates Netwealth as a buy, with a price target of $17.80. It also thinks that an acquisition of Praemium Ltd (ASX: PPS) could be compelling.

Hub24 Ltd (ASX: HUB)

Hub24 is another fintech ASX share that is benefiting from the exit of the major banks and the difficulties from other large competitors.

It is a competitor to Netwealth and is also growing very quickly. In the three months to September 2021, Hub24’s FUA at 30 September 2021 had increased to $63.2 billion. Platform FYA of $45.4 billion was an increase of 9.5% quarter on quarter and 139% year on year.

In recent times, Hub24 decided to launch a takeover of Class Ltd (ASX: CL1), a cloud accounting software provider. Hub24 is going to pay $0.125 cash per Class share plus 1 Hub24 share for each 11 Class shares.

The idea behind this acquisition is that it will accelerate Hub24’s platform of the future strategy, giving it further strength to be a leading provider of integrated platforms, technology and data solutions for financial professionals and their clients. The combined business is expected to provide a competitive advantage and diversification of revenue for both companies.

Hub24 said it was expecting this acquisition to add at least 8% to earnings per share (EPS), with cost synergies of approximately $2 million per annum.

Credit Suisse also rates Hub24 as a buy as well, but with a lot more upside. The broker’s price target for the Hub24 share price is $36.50 – that’s around 40% higher than where it is today.

On the broker’s numbers, the Hub24 share price is valued at 46x FY23’s estimated earnings.

The post These 2 ASX fintech shares are delivering rapid growth. Are they buys? appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: Big four banks fall, Bega Cheese jumps again
• Here’s why the HUB24 (ASX:HUB) share price is climbing today
• Here’s why the HUB24 (ASX:HUB) share price slid 7% today
• HUB24 (ASX:HUB) share price slumps on upped takeover terms
• Here are the top 10 ASX shares today

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Hub24 Ltd, Netwealth, and Praemium Limited. The Motley Fool Australia owns and has recommended Class Limited and Netwealth. The Motley Fool Australia has recommended Hub24 Ltd and Praemium 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 MGC Pharmaceuticals Ltd (ASX: MXC) share price smoked the market today. This comes after the company provided investors with a positive update regarding its clinically tested nutritional supplement, ArtemiC Rescue.

At the closing bell, the cannabis company’s shares finished up 19.51% at 4.9 cents apiece.

What did MGC Pharma announce?

Investors are pushing up the MGC Pharmaceuticals share price following the news the company has expanded its sales base.

In the release, MGC Pharma advised it has secured an import approval permit for ArtemiC Rescue by Indian regulators.

This enables the importation, distribution, marketing, and sales of ArtemiC Rescue in India, generating the company a new revenue stream.

A small trial batch had been previously sent for proof of concept with its local partner, Carino Water Solutions & Energy.

The sample passed all the required regulatory hurdles and was granted a Food Safety and Standards Authority of India licence. Additionally, it also cleared Indian Customs’ import requirements, resulting in the approval for the sale of ArtemiC Rescue across India.

Gaining authorisation to the Indian market is a milestone given it has the world’s second-largest population.

ArtemiC Rescue has been clinically demonstrated to alleviate moderate symptoms for patients suffering from COVID-19.

MGC Pharma noted the approvals are a major step forward in the pathway for global sales of ArtemiC Rescue.

Furthermore, the company stated it is making progress on the long-term development of its investigational medicinal product, CimetrA.

An application for Emergency Use Authorisation in India as well as other national regulatory and medical agencies are underway. This includes seeking approval from the United States Food and Drug Administration (FDA) to treat patients in the United States.

What did management say?

Commenting on the news driving up the MGC Pharmaceuticals share price, co-founder and managing director Roby Zomer said:

We are proud of achieving the milestone of being granted Indian import and distribution approval for of ArtemiC Rescue, and are pleased to have the opportunity to alleviate the symptoms of COVID-19 in one of the largest populated countries in the world.

Whilst the virus continues to mutate, as we have seen with Omicron, MGC Pharma is well placed to offer a solution on a worldwide scale to ease the pressure on national healthcare systems and aid the economic recovery of jurisdictions who have been widely affected by the pandemic.

About the MGC Pharma share price

In the past 12 months, the MGC Pharmaceuticals share price has accelerated by almost 90%. However, most of those gains came in the early part of 2021, before the company’s shares moved sideways.

On valuation grounds, MGC Pharma has a market capitalisation of roughly $132.23 million, with more than 2.70 billion shares outstanding.

The post The MGC Pharmaceuticals (ASX:MXC) share price soared 20% today. Here’s why appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Treasury Wine Estates Ltd (ASX: TWE) share price has been one of the best performers on the ASX 50 over the last 12 months.

During the period, the wine company’s shares have risen 36%.

Where next for the Treasury Wine share price?

Given the strong performance by the Treasury Wine share price, investors may be wondering what’s next.

The good news is that a couple of leading brokers still believe there’s room for it to go higher from here.

For example, the team at Citi currently have a buy rating and $13.80 price target on the company’s shares. This implies potential upside of 11% over the next 12 months.

In late December, Citi commented: “We attended the GFA 4Q21 update early today, which revealed on-premise and cellar door wine channels in the US are recovering, consistent with recent feedback from [rival] Duckhorn. This is a tailwind for Treasury Americas noting on-premise and cellar door are high margin channels contributing 19% of its NSR.”

In light of the above, the broker is forecasting Treasury Americas first half earnings growth of 19% over the prior corresponding period.

Who else is bullish?

Another broker that is bullish on the Treasury Wine share price is Morgans. It currently has an add rating and $14.06 price target on its shares. This implies potential upside of 13% for investors in 2022.

While Morgans acknowledges that there are risks with its exit from China, it remains very positive on the future.

Morgans commented: “TWE has the China reallocation risk and it will take 2-3 years to recover these earnings in new markets. However once it comps China earnings, we expect TWE to deliver strong earnings growth from the 2H22 onwards. Organic growth will be supplemented by M&A.”

In respect to the latter, the broker was pleased with the Frank Family Vineyards acquisition. Morgans sees it as a strategically important transaction.

It explained: “We view TWE’s recent acquisition of Napa Valley luxury wine business, Frank Family Vineyards (FFV) as strategically important. This high margin business should see TWE achieve its US margin target two years earlier than planned.”

Overall, the Treasury Wine share price could be destined to have another strong year if these brokers are on the money.

The post What brokers are saying about the Treasury Wine (ASX:TWE) share price 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 recommended Treasury Wine Estates 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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