Tag: Motley Fool

Shares in emerging minerals company Andromeda Metals Ltd (ASX: ADN) charged into the red this morning. And that’s where they stayed. At market close, Andromeda shares finished the day down 17.5% at 16.5 cents apiece.

Andromeda shares have been out of the money after it announced plans to merge with Minotaur Exploration Ltd (ASX: MEP).

The merger would see the creation of a ‘leading’ minerals and technology company. It would do this by consolidating 100% ownership of the Great White Kaolin project and Natural Nanotech into Andromeda. 

Here are the details.

Andromeda and Minotaur Exploration to merge

Investors were exiting their Andromeda positions at a rapid pace on news of the planned merger – but not on Minotaur’s side.

Unlike Andromeda, the Minotaur share price finished 38.46% higher at 18 cents after today’s announcement.

Andromeda announced it will acquire Minotaur via an off-market takeover, with the pair signing a bid implementation agreement to do so.

The deal will see an exchange of 1.15 new Andromeda shares for every Minotaur share owned. This values Minotaur shares at 20.8 shares apiece, or $108 million at the company level.

At this rate, Andromeda is paying a premium of about 60% to Minotaur’s closing price on 8 November, and a more than 67% premium on its 30-day volume weight-adjusted price.

It also implies a 60% premium on Minotaur’s current market capitalisation of $65 million.

The acquisition is an ‘accretive’ one for Andromeda that “unlocks significant strategic and financial benefits” via a number of moving parts.

This includes increasing its shareholders’ “effective equity interest in Great White and Natural Nanotech” alongside “consolidating 100% ownership of Great White and Natural Nanotech into a single entity.”

This, the company states, will provide Andromeda with full development optionality to continue expanding operations.

In addition, the deal will result in Minotaur shareholders holding an approximate 19.5% interest in the ‘enlarged’ Andromeda.

For Andromeda investors, the release notes a potential benefit by “Providing an enhanced investment proposition for existing and new shareholders with potential for market re-rating of Andromeda’s share price post offer completion.”

Andromeda share price snapshot

The Andromeda share price has been swimming in a sea of red these past 12 months. Andromeda shares have posted a loss of ~11% in that time.

This comes after tanking a further 40% this year to date, well behind the benchmark S&P/ASX 200 Index (ASX: XJO) gain of 12.7%.

The post Andromeda (ASX:ADN) share price plummets 17% on merger appeared first on The Motley Fool Australia.

More reading

• Why the Minotaur Exploration (ASX:MEP) share price is rocketing 46% higher
• The Andromeda (ASX:ADN) share price is sliding 10% today. Here’s why

The author Zach Bristow 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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The Ramelius Resources Limited (ASX: RMS) share price has seen better days than today.

Shares in the gold mining company finished 3.2% in the red on Wednesday. As a result, the company’s share price is now at a 22% discount to its 52-week high.

Today’s move follows an announcement from Gold Road Resources Ltd (ASX: GOR) accepting the takeover offer from Ramelius for Apollo Consolidated Limited (ASX: AOP). After both Gold Road and Ramelius did a bit of back and forwards on takeover bids, the 20% shareholder (Gold Road) has accepted the deal.

Let’s take a look at exactly what went down.

Ramelius Resources share price falls on Apollo win

Investors appear to be pricing the Ramelius Resources share price for some level of dilution today following the latest market announcement.

According to the release, the bidding war has come to an end for the Western Australian gold exploration company known as Apollo Consolidated. The company’s largest shareholder and fellow bidding participant, Gold Roads, has announced it accepts Ramelius’ revised offer, as published on 8 November 2021.

As a refresher, this offer consisted of 34 cents per Apollo share in cash and 0.1778 Ramelius shares per Apollo share. Additionally, this was a revised bid after Gold Road laid down a counteroffer of 56 cents per share. Upon receiving Ramelius’ revised bid, Gold Road made it known it did not intend to improve upon its offer.

Following today’s news, a second supplementary bidder’s statement has been lodged with the Australian Securities and Investments Commission. Outside of these details, there wasn’t much else shared regarding the next line of action.

What does Apollo consist of?

Apollo Consolidated is the owner of Lake Rebecca Gold Project in Western Australia. For a sense of location, it is 150 kilometres North-East of Kalgoorlie.

The project boasts 29.1 million tonnes of mineral resources at Rebecca at 1.2 grams of gold per tonne. That gives it an estimated 1.1 million ounces of pit-constrained mineral resources. Furthermore, the company cited in its presentation that the area remains relatively under-explored.

Next steps

Looking ahead, shareholders will likely need to wait for more information from Ramelius Resources. The company maintained a balance of $273.9 million in cash and gold at the end of the September quarter. However, management might choose to raise additional funds if the takeover receives the go-ahead.

The Ramelius Resources share price is still down 14% compared to this time last year.

The post Why did the Ramelius (ASX:RMS) share price fall on Wednesday? appeared first on The Motley Fool Australia.

More reading

• Why are ASX 200 mining shares having such a lousy day?
• These 3 ASX 200 shares are topping the volume charts this Tuesday
• Gold Road (ASX:GOR) share price edges higher on acquisition news

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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Today, the S&P/ASX 200 Index (ASX: XJO) recorded its third consecutive red session. At the end of the day, the benchmark index finished 0.14% lower at 7,423.9 points.

A lousy performance from ASX-listed energy and mining companies led to a disappointing day on Aussie markets. The waning enthusiasm in commodities transferred into negative sentiment for some of Australia’s biggest resource players. Luckily shares in the utilities and financials sectors stemmed the losses to some extent.

However, the question is: which shares delivered the biggest returns to investors on the ASX today? Here are the ten stocks that rose to the occasion:

Top 10 ASX shares countdown today

Looking at the top 200 listed companies, Chalice Mining Ltd (ASX: CHN) was the biggest gainer today. Shares in the gold explorer had another positive day on the ASX, backing up its stellar performance yesterday. Find out more about Chalice Mining here.

The next biggest gaining ASX share today was National Australia Bank Ltd (ASX: NAB). Shares in the big four bank rallied 4.36% to $30.15 after a positive broker note was shared by Goldman Sachs. Uncover the latest National Australia Bank details here.

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

ASX-listed company	Share price	Price change
Chalice Mining Ltd (ASX: CHN)	$9.13	4.94%
National Australia Bank Ltd (ASX: NAB)	$30.15	4.36%
WiseTech Global Ltd (ASX: WTC)	$55.39	3.13%
Domino’s Pizza Enterprises Ltd (ASX: DMP)	$121.08	3.00%
Atlas Arteria (ASX: ALX)	$6.43	2.72%
Genesis Energy Ltd (ASX: GNE)	$3.06	2.69%
Reece Ltd (ASX: REH)	$21.63	2.13%
Link Administration Holdings Ltd (ASX: LNK)	$4.62	1.99%
AGL Energy Ltd (ASX: AGL)	$5.46	1.87%
Mercury NZ Ltd(ASX: MCY)	$5.86	1.74%

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

• These 3 ASX 200 shares are topping the volume charts on Wednesday
• Race to the top: These 3 ASX shares all smashed new 52-week highs today
• CSL (ASX:CSL) share price is the latest to be upgraded by a top broker
• NAB (ASX:NAB) share price lifts as CEO calls for mortgage buffers to stem soaring house prices
• Investors are buying up ARB (ASX:ARB) shares this month, but the company chair has been selling

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. owns shares of and has recommended Link Administration Holdings Ltd and WiseTech Global. The Motley Fool Australia owns shares of and has recommended WiseTech Global. The Motley Fool Australia has recommended Dominos Pizza Enterprises 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 Flight Centre Travel Group Ltd (ASX: FLT) share price finished in the red today.

At the same time, the company is being criticised by healthcare professionals angered by Flight Centre’s CEO Graham Turner’s threat of legal action against the Western Australian government.

At market close, the Flight Centre share price ended the session at $20.64, 1.9% lower than its previous close.

For context, the S&P/ASX 200 Index (ASX: XJO) fell 0.14% today. The All Ordinaries Index (ASX: XAO) also closed down, dipping 0.24%.

Let’s take a look at what Flight Centre’s boss is contemplating.

Flight Centre threatens to sue WA

The Flight Centre share price struggled amid the company’s push to force Western Australia’s borders open.

Last week, Western Australia released its Safe Transition Plan outlining how the state will reopen to the world.

Under the plan, travel into Western Australia will be restricted until 90% of the state’s population (aged above 12) are fully vaccinated against COVID-19. That’s expected to happen in late January or early February 2022.

The plan has reportedly got Turner seeing red. He told ABC News the company might take the border closure to a judicial review in the Federal Court to test whether it fits with Australia’s constitution.

The threat of legal action hasn’t gone down well with some Western Australian medical professionals.

President of the Australian Medical Association (WA) Mark Duncan-Smith told the Guardian Australia that opening before the milestone will cause “excessive disease and deaths”:

The threats constitute a company that has a focus on profits and not people, and would damage their business reputation in Western Australia immeasurably…

The arrogance that the people who run Flight Centre think they know better than the government, when they have all the modelling, is to me unbelievable.

Yesterday, Health Before Profits WA, a group of activists, healthcare workers, academics, and students, organised a protest in front of a Flight Centre store in response to the legal threat. On its Facebook (NASDAQ: FB) page, the organisation wrote:

[I]f we open our borders at 80% rather than the 90% proposed… hundreds more could die.

The legal challenge is based on [Flight Centre’s] desire to maintain their profits.

Whether Flight Centre does call its lawyers to start proceedings against Western Australia is still uncertain. Though, Turner reportedly told ABC News he wouldn’t go ahead with the challenge unless he thought he could win.

Flight Centre share price snapshot

The Flight Centre share price has been struggling on the ASX lately.

It has fallen 10% over the last 30 days. However, it has gained 30% since the start of 2021.

The post Flight Centre (ASX:FLT) share price dips as WA government plays hardball on borders appeared first on The Motley Fool Australia.

More reading

• Leading brokers name 3 ASX shares to sell today
• The Flight Centre (ASX:FLT) share price is still trading 40% below pre-COVID highs. So, what now?
• These are the 10 most shorted ASX shares
• Here’s why travel shares led the ASX 200 on Monday
• Here are the top 10 ASX shares today

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned.

Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Meta Platforms, Inc. The Motley Fool Australia has recommended Flight Centre Travel Group Limited and Meta Platforms, Inc. 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 Kogan.com Ltd (ASX: KGN) share price went up around 2% today. What is going on for the e-commerce business?

There hasn’t been any official news out of Kogan today. However, the company is currently running its ‘Kogan Frenzy 2021’ sale. That’s where the business is offering “brilliant” savings on 1,000s of products across its website.

The next couple of months are a key part of the company’s financial calendar. It includes Black Friday, Cyber Monday and the Christmas retail period.

However, Kogan is already reporting that its gross sales are recovering.

First quarter of FY22

The first half of the 2021 calendar year was characterised by less-than-expected customer demand which had the flow-on effect to excess stock, warehouse costs and lower margins.

But the three months to 30 September 2021 showed gross sales of $330.5 million, an increase of 21.1% year on year and a rise of 23.2% quarter on quarter.

However, excluding Mighty Ape (the New Zealand business), Kogan.com sales were only up 8% year on year to $294.8 million. Quarter on quarter, Kogan.com sales were up 24.3% and Mighty Ape sales were up 15%.

Turning to gross profit, total gross profit was down 1.7% year on year, up by 31.6% quarter on quarter. Kogan.com’s gross profit was down 17.4% year on year, but up 38.8% quarter on quarter. Mighty Ape gross profit was up 3.6% quarter on quarter.

The company’s adjusted earnings before interested, tax, depreciation and amortisation (EBITDA) was down 57% year on year to $10.8 million. But this was an increase of 240.7% quarter on quarter.

Inventory reduced from $227.9 million at the end of FY21 to $194.3 million at 30 September 2021.

Inventory problems solved?

One of the key things that may have been dragging on Kogan’s share price (and the profitability) was its inventory pressures, partly caused by excess inventory.

Kogan said it has solved these inventory issues and closed a number of inefficient overflow warehouses. The reduction in inventory has led to the company significantly reducing its warehouse costs, leading to an average variable cost saving of around $0.8 million per month in the first quarter of FY22 compared to the last quarter of FY21.

Increasing scale of the business

The e-commerce ASX share said that in the last few months, it has been focused on growing Kogan Marketplace and Kogan First (its membership program), improving logistics and customer service, whilst also achieving synergies through integrating the Mighty Ape business.

Kogan noted that Kogan.com active customers grew 30.7% year on year to 3.35 million at 30 September 2021. Mighty Ape had active customers of 748,000.

The number of Kogan First members increased 171.1% year on year, whilst rising 64.4% quarter on quarter, to 197,000.

Is the Kogan share price now an opportunity?

Analyst views are mixed on the business.

The broker UBS is ‘neutral’ on Kogan, with a price target of $10. UBS analysts feel that Kogan’s margins will be challenged by higher costs because of supply chains issues, higher spending to win customers and so on.

Based on the UBS numbers, the Kogan share price is valued at 40x FY22’s estimated earnings and 32x FY23’s estimated earnings.

But Credit Suisse rates Kogan shares as a buy, with a hefty price target of $13.88. The broker noted that the first quarter showed elevated levels of growth, but lower profitability.

Based on Credit Suisse’s numbers, the Kogan share price is priced at 34x FY22’s estimated earnings and 23x FY23’s estimated earnings.

The post Finally, a good day for the Kogan (ASX:KGN) share price. What’s happening? appeared first on The Motley Fool Australia.

More reading

• Why Chalice Mining, Life360, Kogan, and NAB shares are storming higher
• ASX 200 (ASX:XJO) midday update: NAB hits 52-week high, CSL upgraded
• These are the 10 most shorted ASX shares
• 2 top ASX tech shares rated as buys by brokers
• Why Domino’s, Inghams, Kogan, and Paradigm shares are sinking

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 shares of and has recommended Kogan.com ltd. The Motley Fool Australia owns shares of and has recommended Kogan.com ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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ETF Securities‘ new exchange-traded fund ETFS Fintech & Blockchain ETF (Chi-X: FTEC) has attracted much attention since its launch last month.

The fund scratches an itch that many investors have been wanting for a while — diversified exposure to companies at the coalface of blockchain and fintech.

But one big question that arose was why the new product was launched on Australia’s second-biggest exchange Chi-X rather than the largest, the ASX.

One massive advantage was that it could be brought to market earlier, ETFS head of distribution Kanish Chugh told The Motley Fool.

“We felt there were potentially some hurdles, at the time, with the ASX,” he said.

“We really wanted to say ‘Investors want this strategy — how can we get it to market?’ And Chi-X were working quite closely with us around that… we’d get this out to investors quicker.”

Listing on Chi-X allowed the product to be launched in October, making it the first blockchain-focused ETF in Australia.

It makes no difference to 90% of retail investors 

Chugh claimed that for most Australian retail investors, the fact that FTEC is listed on Chi-X would make no difference.

“Pearler, Superhero, Selfwealth Ltd (ASX: SWF) — all 3 have Chi-X connectivity or offer FTEC. CMC Markets, NABTrade, AusieX, CommSec — they’re all offering Chi-X-listed funds,” he said.

“For the retail investor, I’d say about 90% of the market is covered.”

Contrary to public perceptions, there is little difference in functionality between ASX and Chi-X and that competition is healthy, according to Chugh.

“Chi-X was recently acquired by CBOE Global Markets Inc (BATS: CBOE),” he said.

“That’s a good indication that they’re not just a small player in this market. They’re wanting to be a bigger player.”

Chugh also added that Magellan Financial Group Ltd (ASX: MFG) and others had recently also listed funds on Chi-X, foregoing the ASX’s near-monopoly.

FTEC boasts $10 million of funds and is up 7% since launch

FTEC follows the Indxx Developed Markets Fintech & DeFi Index.

That basket consists of 75 fintechs from developed nations, with a focus on blockchain and decentralised finance (DeFi) technologies.

“FTEC uses a full-replication strategy to track the index, meaning that it holds all the shares that make up the index,” states ETF Securities’ product page.

“Companies are equally weighted, meaning at each rebalance the companies are bought in an equal proportion.”

Chugh told The Motley Fool that FTEC now has $10 million under management and the share price is up 7% since its 14 October launch.

The investments are broader than just cryptocurrency-related businesses, which are a subset of the blockchain family. Chugh felt this made FTEC less volatile.

“We feel this product, in the long term, will be a mainstay in portfolios.”

The post Why is the ETFS Fintech & Blockchain ETF (FTEC) not listed on the ASX? appeared first on The Motley Fool Australia.

More reading

• SelfWealth (ASX:SWF) share price falls despite accelerating growth
• Why I’d hold this coal-mining ASX share for 4 years: expert
• 2 best ASX shares to buy right now: fund manager

Motley Fool contributor Tony Yoo 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 Coles Group Ltd (ASX: COL) share price is slipping to the downside on Wednesday. This comes after the supermarket giant held its annual general meeting (AGM) this morning.

Both the company’s CEO and chair discussed how the second-largest retailer on the ASX navigated the perils of COVID-19 over the past year. From these lessons, management painted a picture of the vision for Coles in the year ahead.

At the time of writing, the Coles Group share price is trading at $17.61, down 0.4%. For context, the S&P/ASX 200 Index (ASX: XJO) is off by 0.3% near the end of trading.

Let’s take a look at what management shared with investors today.

Exiting the pandemic ‘a better business’

While some analysts have been bearish on the Coles share price in recent times, the management at the company’s AGM held a more positive sentiment.

Addressing a mix of in-person and online attendees, Coles chair James Graham highlighted the amplified interruptions of COVID-19 during the year, saying the company had experienced 11 different lockdowns during the last financial year. In addition, a further 6 lockdowns have occurred in the first four months of this financial year.

To grasp the extent of disruptions to Coles directly, Graham said as many as 3,000 team members were in isolation at any one time. Despite this, the company managed to increase sales revenue by 3% during FY21, while net profits rose 7.5%. Further, during this period an additional 64 new stores were opened.

CEO and managing director Steven Cain added that in the process of navigating the erratic nature of pandemic, Coles has grown. He told the AGM, “In many ways, your company is exiting the pandemic a better business.”

Unfortunately, these positive statements have not managed to lead to a higher Coles share price today.

The AGM also heard Coles has adopted more technological approaches to business. One example of this was being the first mainstream Australian supermarket to abandon the delivery of door-to-door paper catalogues. While adopting a more digital approach, the catalogue removal also bolstered the company’s sustainability credentials.

Additionally, the ‘Smarter Selling’ program — which involves reducing $1 billion worth of costs by increased business efficiency — has now reached total cumulative savings of more than $550 million. Of this, approximately $300 million were realised in FY21 alone.

What’s ahead?

Speaking on the outlook for Coles, Cain said:

Looking ahead, as vaccination rates continue to rise across the country, we are optimistic on the outlook for the Christmas period as Australians adjust to life after lockdown and are once again able to enjoy time with family and friends.

Another win for customers, the company will include Bunnings and Officeworks as Flybuys partners from early December.

Coles share price snapshot

Despite the exuberance shared by management in the AGM today, the Coles share price has substantially underperformed the broader market over the past year. While the Aussie index has served up a 17% return in the prior 12 months, Coles has fallen 0.3%.

On a positive note, at these price levels, the blue chip investment is offering up a 3.45% dividend yield.

The post Coles (ASX:COL) share price slips as the company prepares for a new era appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Can Woolworths (ASX:WOW) win its delivery battle against Coles?
• Is the Coles (ASX:COL) share price a buy for the 5% dividend yield?
• Top brokers name 3 ASX shares to sell next week
• Christmas is coming, but is the Coles (ASX:COL) share price already overstuffed?

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 shares of and has recommended COLESGROUP DEF SET. 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 KGL Resources Ltd (ASX: KGL) share price soared to a 5-month high today. The meteoric rise in the company’s shares comes as KGL announced positive assay results from the Rockface diamond drill hole.

At the time of writing, the miner’s shares have risen 14.17% to 68.5 cents. It’s worth noting that during early afternoon trade, KGL shares touched the 70.5 cent mark, a level not seen since June 2021.

Why has the KGL shares accelerated?

In the release, KGL advised it has intersected a zone of massive sulphides containing copper minerals, bornite and chalcopyrite.

Received assay results confirmed high-grade copper deposits as well as silver content from its diamond drill hole KJCD481D3 (D3).

In addition, KGL noted a new intersection of massive sulphides in hole KJCD481D6 (D6). The targeted Rockface North lode area is around a 40 metres up-plunge from the original intersection in D3.

As such the highlighted results are listed below:

• 23.6% copper (Cu) & 503 grams per tonne of silver (Ag) over 3.5 metres from a 725.35 metre downhole
• Includes 37.4% Cu & 1,106 g/t Ag over 1.51 metres from 725.35 metre downhole
• Includes 40.9% Cu & 1,427 g/t Ag over 0.78 metres from 725.35 metre downhole
• 40.9% Cu is the highest assay ever obtained in Jervois drilling

KGL revealed that follow-up drilling continues on the western side of Rockface while the second rig has now commenced drilling the shallower Reward Gap targets.

Samples from D6 have been prioritised as Australian laboratories manage through the workload. The assay results are expected to be delivered within the next several weeks.

KGL managing director, Simon Finnis commented:

Over 100,000 drill samples have been assayed for copper over the decades at Jervois and it is very gratifying to obtain the highest ever copper assay in the most recent set of results from Rockface.

Even more encouraging is the fact that 3 follow-up holes drilled after the KJCD481D3 discovery have all intersected zones of copper – bearing massive sulphides. The most recent hole, KJCD481D6, appears particularly significant due to its visually estimated high bornite content and it position 40 metres up- plunge from D3, indicating a scale of the high-grade target beyond expectations from the recent down- hole EM modelling.

About the KGL Resources share price

Looking back to the last 12 months, the KGL share price has accelerated over 120% for shareholders. The company’s share price reached a 52-week high of 84.5 cents in April.

KGL commands a market capitalisation of roughly $272.66 million, and has approximately 392.32 million shares outstanding.

The post Why is the KGL (ASX:KGL) share price up over 14% today? appeared first on The Motley Fool Australia.

More reading

• The Castle Minerals (ASX:CDT) share price has surged 78% in a week. Here’s why
• These 3 ASX 200 shares are topping the volume charts on Wednesday
• Race to the top: These 3 ASX shares all smashed new 52-week highs today
• CSL (ASX:CSL) share price is the latest to be upgraded by a top broker
• The Li-S Energy (ASX:LIS) share price is still running low. What’s happening?

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 Castle Minerals Limited (ASX: CDT) share price has been on a tear over the past 5 days.

Up 3.33% at time of writing today, Castle Minerals shares have soared an eye-popping 77.78% in a week.

Below, we look at the lithium exploration update that seems to be driving investor interest in the ASX resource minnow.

What lithium exploration update did Castle announce?

The Castle Minerals share price has been surging at such a rate the ASX issued a price query last Friday.

The miner responded to its fast-rising share price. Castle Minerals said it wasn’t aware of any announced information to the market which, if known by some, may explain the gains.

The company did note that various stock market trading forums “created a large amount of speculation around the company’s general value” last Thursday and Friday.

Today Castle Minerals reported that it has applied for 2 exploration licences. The licences are prospective for lithium-bearing pegmatites at its Woodcutters prospect in Western Australia.

The licences, located in the Bald Hill pegmatite field, would extend the company’s lithium footprint by 242 square kilometres. This would complement its Wilgee Springs lithium and Kambale graphite battery metals sector projects.

Commenting on the exploration licence applications, Castle Minerals’ managing director Stephen Stone said:

We are very pleased to have applied for open ground at Woodcutters in the renowned ‘Western Australian lithium corridor’ which is also host to the Mt Marion and Bald Hill deposits

The 2 applications… encompass some 10 kilometres of the same prospective belt where GSWA mapping has confirmed the presence of numerous pegmatites but where it did not specifically sample for lithium. What is encouraging is there are elevated levels of lithium recorded in multi-element geochemical data obtained from regolith sampling during exploration for gold in 2011.

Castle Minerals share price snapshot

So far in 2021, the Castle Minerals share price is up 220%. That compares to a year-to-date gain of 11% posted by the All Ordinaries Index (ASX: XAO).

Over the past month Castle Minerals’ shares are also up 220%.

The post The Castle Minerals (ASX:CDT) share price has surged 78% in a week. Here’s why appeared first on The Motley Fool Australia.

More reading

• Why is the KGL (ASX:KGL) share price up over 14% today?
• These 3 ASX 200 shares are topping the volume charts on Wednesday
• Race to the top: These 3 ASX shares all smashed new 52-week highs today
• CSL (ASX:CSL) share price is the latest to be upgraded by a top broker
• The Li-S Energy (ASX:LIS) share price is still running low. What’s happening?

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 S&P/ASX 200 Index (ASX: XJO) is having a disappointing day on the share market today. At the time of writing, the ASX 200 is down by 0.28% at 7,414 points.

But rather than dwelling on that uninspiring number, let’s instead check out the ASX 200 shares that are currently topping the ASX trading volume charts, according to investing.com.

3 most active ASX 200 shares by volume this Wednesday

South32 Ltd (ASX: S32)

ASX 200 diversified miner South32 is our first share experiencing elevated trading volumes thus far today. South32 has seen a sizeable 11.3 million of its own shares bought and sold so far this Wednesday.

With no news or announcements out of the company today, we can probably assume this high volume is the result of the gyrations of the South32 share price itself. As it stands currently, South32 is down a nasty 2.12% at $3.46 a share.

Sydney Airport (ASX: SYD)

Sydney Airport is our next ASX 200 share up today. A hefty 13.68 million shares of this infrastructure company have found new owners so far this Wednesday. That’s despite the Sydney Airport share price knocking up a rather tame 0.18% gain so far, with no other news or announcements out.

But shares of this Airport have been flying around the markets ever since it announced it had accepted a takeover bid at $8.75 a share earlier this week. This is probably still flowing through to investor buying pressure today.

Telstra Corporation Ltd (AS:X TLS)

ASX 200 telco Telstra is our final and most traded share thus far this Wednesday. We have seen an impressive 17.14 million Telstra shares change hands so far today. This could be the result of the volatility the Telstra share price itself has experienced so far in today’s trading session.

Soon after open, this telco rose as high as $3.98 a share. But this afternoon’s trading has seen these gains erased, with Telstra now sitting at $3.91 a share, down 0.26% for the day. This volatility is likely what is behind this high trading volume today.

The post These 3 ASX 200 shares are topping the volume charts on Wednesday appeared first on The Motley Fool Australia.

More reading

• CSL (ASX:CSL) share price is the latest to be upgraded by a top broker
• Investors are buying up ARB (ASX:ARB) shares this month, but the company chair has been selling
• Why are ASX 200 mining shares having such a lousy day?
• ASX 200 (ASX:XJO) midday update: NAB hits 52-week high, CSL upgraded
• Sydney Airport (ASX:SYD) share price shrugs off possible takeover hurdles

Motley Fool contributor Sebastian Bowen owns shares of Telstra Corporation Limited. 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 shares of and has recommended Telstra Corporation 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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