Tag: Motley Fool

The Douugh Ltd (ASX: DOU) share price is soaring today after the company released its key growth metrics for the month of October.

Over the course of last month, the money management-focused fintech company saw the number of United States-based people using its platform, increase by 42% month-on-month.

The amount of revenue its platform received from its United States users also increased 53% compared to that of September.

The news has seemingly seen the ASX rejoice. At the time of writing, the Douugh share price is 7.9 cents, 16.18% higher than its previous close.

Let’s take a closer look at how Douugh’s platform performed over the month just been.

Douugh share price up on October performance

October was seemingly a strong month for Douugh, and its share price is reaping the rewards today.

Douugh’s total number of customers surged 26% to reach 63,162 over the course of last month.

Its accumulated customer deposits reached $15.5 million – representing a 25% monthly increase.

Finally, the total debit spend on its platform came to $6.6 million, up 26% on that of September.

According to Douugh, the growth can be put down to its increased marketing activities and the launch of its member-get-member feature.

The new feature gives $20 to any user who refers a friend. It also rewards the new member with $20 when they begin to use the platform.

The company’s founder and CEO Andy Taylor also noted that the introduction of a monthly fee has increased the platform’s revenue and that Douugh is still testing the waters of its pricing model.

Taylor predicts Douugh’s revenue will improve further when it launches its crypto service early next year. He also said:

Our focus continues to be on improving activation rates and winning of salary deposits to dramatically increase [average revenue per user]. The paycheck is the catalyst of our flywheel and maximising the revenue opportunity in front of us…

We are now well positioned for the next phase of growth as we prepare for international expansion and the roll-out of the US product to customers in key markets around the world, starting in Australia.

Today’s gains included, the Douugh share price is currently 53% lower than it was at the start of 2021.

The post Douugh (ASX:DOU) share price rises 16% on soaring number of US users appeared first on The Motley Fool Australia.

More reading

• Douugh (ASX:DOU) share price rockets 18% on crypto update
• Here’s why the Douugh (ASX:DOU) share price is rocketing 18% today

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 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.

from The Motley Fool Australia https://ift.tt/3n4KpRL

The Vulcan Energy Resources Ltd (ASX: VUL) share price continues its trot into the red today, currently down 1.04% at $10.89.

That marks a 27% decline for Vulcan’s share price since activist short-seller J Capital released its scathing report on the company and its operations late last month.

There’s a lot to cover here, so let’s get straight into it.

Federal Court judge bars sharing of report

The report, titled “Vulcan – God of Empty Promises”, calls into question Vulcan’s Rhine Valley lithium operations, where it intends to use geothermal power to produce lithium hydroxide.

In a blistering review, the short seller alleges Vulcan has made overly optimistic projections, particularly on its cost, output, and production claims for the project.

J Capital also submits that the quality of any lithium hydroxide that Vulcan could produce at the site is of a low grade.

The research firm made several other bombastic allegations, including that Vulcan overstated the quality of its resource at the site.

Vulcan forcefully denies the ‘disinformation’ in the online report, posting an 11-page reply that challenges each of the salient points in the short-seller’s thesis.

However, the Vulcan Energy share price has continued to struggle since the release of the report.

Now, in a twist of events, Vulcan has filed a lawsuit against J Capital for the report, claiming its contents are wrong and misleading.

Lawyers acting for the company launched Federal Court action under legislation that prevents false and misleading conduct by companies with any operations in Australia.

As such, a West Australian Federal Court has ordered the research firm to stop sharing its report until the matter can be advanced upon.

Hence, if you haven’t tried already, the report is not available for viewing online right now.

Consequently J Capital and its name face Tim Murray will also be prevented from discussing the report or sharing any further information regarding its claims, under threat of substantial punishment.

This includes the liability of “imprisonment, sequestration of property or other punishment”, according to the Court’s orders published online yesterday.

No doubt there will be plenty more to come as the case unfolds before the courts in the coming days and weeks.

Vulcan Energy share price snapshot

Despite the recent turbulence, the Vulcan Energy share price has still soared more than 630% in the past 12 months. It has also rallied almost 300% this year to date.

Without a doubt, these returns have outpaced the benchmark S&P/ASX 200 index (ASX: XJO)’s return of around 20% in the last year.

The post Don’t get short with me! Vulcan Energy (ASX:VUL) share price continues dive amid lawsuit appeared first on The Motley Fool Australia.

More reading

• Why ANZ, Clinuvel, PolyNovo, and Vulcan shares are dropping
• Vulcan Energy (ASX:VUL) share price sinks 9% as short battle continues
• Why Ingenia, IAG, Vulcan, and Westpac shares are dropping
• Why Audio Pixels, Marley Spoon, PointsBet, and Vulcan shares are sinking
• Vulcan (ASX:VUL) share price sinks 20% after responding to short seller

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.

from The Motley Fool Australia https://ift.tt/3EZiuc0

The CSR Limited (ASX: CSR) share price is currently down by around 4%. The business has gone ex-dividend.

Ex-dividend means that new investors buying CSR shares today are not entitled to the FY22 half-year dividend. New investors buying shares yesterday are entitled to receive the half-year dividend.

CSR is going to pay a dividend of $0.135 per share in a month from now. That dividend, at yesterday’s CSR share price, equates to a fully franked dividend yield of 2.1%. So that could explain some of the decline.

CSR dividend

The CSR half-year dividend of $0.135 per share was a sizeable increase from 8.5 cents from the prior corresponding period. That represents an increase of 58.8% from HY21.

This half-year dividend was at the top end of its dividend policy. This policy is to pay dividends of between 60% to 80% of full year profit after tax (before significant items).

What was the HY22 profit?

CSR said that for the six months to 30 September 2021, its net profit after tax (NPAT) before significant items was $86.6 million, an increase of 30%.

Statutory net profit after tax was $156.6 million. CSR said this included a significant item relating to the recognition of $71.2 million in carry forward capital tax losses. In HY21, it made a statutory net profit of $58.7 million.

There were three core operating divisions that CSR told investors about.

The building products division saw earnings before interest and tax (EBIT) of $120.6 million, up 25%, which CSR said reflected the demand for detached housing, a strong operational execution, manufacturing performance and good cost control in a COVID constrained environment.

CSR’s property division saw EBIT was $6.6 million was delivered after the Moss Vale site sale. The final transaction at Horsley Park was secured in July 2021. By the year ending 31 March 2025, this project is expected to generate proceeds of $408 million.

Finally, CSR’s aluminium EBIT increased $18.3 million, up from $6.2 million in the prior corresponding period thanks to improved spot pricing and the hedged position.

The company continues to look to unlock value from its property assets. It has secured the sale of the 41 hectare site at Warner in Queensland, with EBIT of around $30 million expected to be completed in the year ending 31 March 2023.

Outlook for the rest of FY22

The CSR share price can be impacted by the company’s outlook for the upcoming financial year.

Management said that it’s expecting activity in the second half, which has fewer trading days than the first half, to reflect the traditional seasonality of the building industry. Completion times for projects continue to lengthen, reflecting supply chain congestion, cost pressures and labour constraints which are impacting the broader industry.

CSR said its buildings product business is performing well in the current market and is progressing its strategy to diversify and grow the business for the future.

It pointed out that group earnings will also be supported over coming years by contracted transactions from property and a “strong” hedge position in aluminium.

Is the CSR share price an opportunity?

The brokers at Citi think that it is a buy, with a price target of $7.20. That suggests a double digit potential upside over the next 12 months, if the broker is right.

Based on the broker’s estimate, the CSR share price is valued at 16x FY22’s estimated earnings.

The post Why is the CSR (ASX:CSR) share price on the slide today? appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: NAB result disappoints, PointsBet surges
• These 6 ASX shares are going ex-dividend this week
• Why CSR, Hipages, NIB, and Paladin Energy shares are racing higher
• 30% jump in profit sees CSR (ASX:CSR) share price spike

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. 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.

from The Motley Fool Australia https://ift.tt/3wuQ5Hq

The Hazer Group Ltd (ASX: HZR) share price is in the green on Tuesday. This follows the Australian government allocating $178 million to beef up the country’s hydrogen refueling and electric vehicle charging stations.

At the time of writing, shares in the hydrogen production company are trading hands at $1.57, up about 1%. However, earlier in the day the Hazer share price reached $1.635, representing an increase of more than 5% from its previous close.

Let’s take a closer look at what the latest government funding will mean for the green industry.

Chicken and the egg with hydrogen network

Making headlines, the federal government has today released its first national Future Fuels and Vehicles Strategy with an expanded $250 million worth of investments. These funds will be concentrated on four key areas as outlined by the government, these being:

• Public electric vehicle charging and hydrogen refuelling infrastructure;
• Heavy and long-distance vehicle technologies;
• Commercial fleets; and
• Household smart charging.

Overall, the federal government funding is targeted towards building out the energy network needed for low and zero-emission vehicles, rather than incentivising the adoption of these vehicles through rebates or taxes.

Furthermore, the refueling and recharging network being funded is aimed to cater to 1.7 million new-age vehicles by 2030. Investors might be interpreting this news as a positive for the Hazer share price today.

Speaking on the announced strategy, Prime Minister Scott Morrison stated:

Australians will make their own choices. We will facilitate those by putting in place the infrastructure that enables them to make those choices into the future. We’re not going to put their petrol prices up to make them buy electric vehicles or anything like that, Australians will make their own choices.

The government’s selected approach to lower carbon-emitting transport is aimed at driving down the cost of electric vehicles (EV) and the like.

Conversely, those that are strong proponents for EV and low-emission vehicles, such as EV Council CEO Behyad Jafari, have stated that it’s not enough.

There’s no sugar coating it, Future Fuels is a fizzer. If it contained fuel efficiency standards and rebates it would give Australians more choices. The best and most affordable EVs manufacturers are producing would make their way swiftly onto our market.

Hazer share price snapshot

Despite the mixed reception, the Hazer share price is erring on the side of optimism today. As a result, the small-cap hydrogen player is now up 100% year-to-date. For comparison, the S&P/ASX 200 Index (ASX: XJO) is up only 11.4% since the beginning of the year.

Presently, shares in Hazer are approximately 16.7% away from their 52-week high of $1.885. The Hazer share price has been crawling back since October as the outlook for hydrogen improves.

The post Hazer (ASX:HZR) share price rises as hydrogen refuelling gains federal funding appeared first on The Motley Fool Australia.

More reading

• The Hazer (ASX:HZR) share price jumps 8% as hydrogen ETF hits all-time high
• Why the Hazer (ASX:HZR) share price is lifting today
• How fast is green hydrogen growing and which ASX shares could benefit?
• Here’s why ASX hydrogen shares are leaping higher today
• Why are ASX hydrogen shares in the spotlight on Monday?

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.

from The Motley Fool Australia https://ift.tt/3F3ZRDP

The S&P/ASX 200 Index (ASX: XJO) is having a rather volatile day of trading so far this Tuesday. At the time of writing, the ASX 200 is still down 0.1% at 7,445 points after swinging positive and negative at various points today.

But rather than trying to figure that out, 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 on Tuesday

Pilbara Minerals Ltd (ASX: PLS)

ASX 200 lithium producer Pilbara is our first ASX share experiencing elevated trading volumes today. At the time of writing, a sizeable 15 million Pilbara shares have found new owners on the markets.

With no news or announcements out of this company so far today, we can probably put this volume down to the healthy bump in the Pilbara share price so far this Tuesday. Pilbara shares are currently up a pleasing 4.37% to $2.39 a share. This rise is probably what’s behind so many shares trading on the markets today.

Ramelius Resources Limited (ASX: RMS)

ASX 200 gold miner Ramelius is next up today. This Tuesday has seen a hefty 16.89 million Ramelius shares swap hands thus far. Again, there are no major developments with Ramelius today, aside from an acquisition announcement from its gold mining peer Newcrest Mining Ltd (ASX: NCM) this morning.

Saying that, the Ramelius share price is also having a swell day today. It’s up 4.6% so far at $1.70 a share. This is probably what is behind such elevated trading volumes today.

Sydney Airport (ASX: SYD)

ASX 200 infrastructure giant Sydney Airport is our final and most traded ASX 200 share this Tuesday. Investors have seen a whopping 45.33 million Sydney Airport shares bought and sold so far.

With no additional developments out today, this surge in volume is likely related to the Airport’s big announcement yesterday. The company has accepted an offer to be acquired for a price of $8.75 a share by a consortium of institutional investors. Sydney Airport shares are currently down 0.47% at $8.42 a share so far today.

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

More reading

• Why is the Vanguard MSCI Index International Shares ETF (ASX:VGS) off to such a great start in November?
• Here’s why the Betashares Crypto Innovators ETF (ASX:CRYP) share price is surging 7% today
• ASX 200 (ASX:XJO) midday update: NAB result disappoints, PointsBet surges
• Here’s why travel shares led the ASX 200 on Monday
• Here’s how the Medibank (ASX:MPL) share price has performed against the ASX200 in the last 3 months

Motley Fool contributor Sebastian Bowen owns shares of Newcrest Mining 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 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.

from The Motley Fool Australia https://ift.tt/3bQmFu9

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) has dropped back into the red. At the time of writing, the benchmark index is down 0.15% to 7,442.1 points.

Four ASX shares that are falling more than most today are listed below. Here’s why they are tumbling:

Actinogen Medical Ltd (ASX: ACW)

The Actinogen Medical share price has sunk 15% to 16.2 cents. This is despite Actinogen announcing the receipt of approval from the US FDA for its Investigational New Drug (IND) application. This application is for a Phase 2 protocol which will test Xanamem in treating male adolescents and young adults with Fragile X Syndrome. The trial will enrol approximately 50 patients for a 12-week treatment period, with results expected in 2023.

AVITA Medical Inc (ASX: AVH)

The AVITA Medical share price is down 12% to $4.48 following the release of its first quarter update. The regenerative medicine company announced a 39% increase in revenue to US$7 million but still recorded a loss of US$5.9 million. Looking ahead, management isn’t expecting sequential growth in the second quarter. It has guided to revenue of US$7 million for the period. This reflects the anticipated impact of hospital staffing challenges as well uncertainty with the pandemic.

Inghams Group Ltd (ASX: ING)

The Inghams share price is down a further 3% to $3.43. Investors continue to sell this poultry company’s shares in response to its annual general meeting update last week. At the event, management warned that its financial performance was being impacted by sustained input cost pressures.

National Australia Bank Ltd (ASX: NAB)

The NAB share price is down almost 2% to $28.62. This follows the release of the banking giant’s full year results this morning. Although NAB delivered a 76.8% increase in cash earnings to $6,558 million, this was slightly below expectations. For example, Morgans was forecasting cash earnings of $6,597 million for FY 2021. In addition, management warned that competitive pressures are expected to continue in FY 2022, impacting housing lending margins.

The post Why Actinogen, AVITA, Inghams, and NAB shares are falling appeared first on The Motley Fool Australia.

More reading

• Avita Medical (ASX:AVH) share price sinks 11% on Q1 earnings
• The NAB (ASX:NAB) dividend doubled in FY21: Here’s what you need to know
• Why the Actinogen (ASX:ACW) share price is sinking 16% on Tuesday
• ASX 200 (ASX:XJO) midday update: NAB result disappoints, PointsBet surges
• NAB (ASX:NAB) share price falls despite bumper $6.56 billion cash profit

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

from The Motley Fool Australia https://ift.tt/31KUU4j

The FYI Resources Ltd (ASX: FYI) share price is sinking during afternoon trade despite the company’s latest appointment.

At the time of writing, FYI Resources shares are down a sizeable 6.17% to 38 cents apiece. In comparison, the All Ordinaries Index (ASX: XAO) is up 0.18% to 7,781.7 points.

FYI Resources strengthen leadership team

Investors appear unfazed by the company’s positive announcement, sending FYI Resources shares to a near 8-month low.

According to its release, FYI Resources advised it has secured the services of Perth-based qualified chemical engineer, Claudio Di Prinzio.

The appointment will see Mr Di Prinzio take up the role of executive manager in the Operations and Technology department. Responsibilities will include representing the company’s interest in the joint high-purity alumina (HPA) project development with Alcoa Australia.

In addition, Mr Di Prinzio will be tasked with establishing safety parameters, quality control, and sustainability processes and control procedures.

Mr Di Prinzio brings a wealth of knowledge, having acquired over 30 years of experience in project development management, commissioning and operations management. This relates to a number of different project sizes, commodities and jurisdictions specialising in alumina and battery, as well as critical minerals.

Previously, Mr Di Prinzio’s most notable appointments included operations manager for the Kwinana Lithium Hydroxide plant at Tianqi Lithium. Furthermore, he also held the role of acting general manager in Engineering and Asset Management for Rio Tinto Limited (ASX: RIO), and global technology manager at Alcoa Aluminium.

FYI managing director, Roland Hill commented:

The appointment of Claudio to FYI’s executive management team, and the HPA joint development team, is key step in the company’s goal to guide the HPA project into production. Claudio will play an instrumental role in the project delivery team working in close collaboration with Alcoa. We view Claudio’s extensive experience in being invaluable to the project development.

About the FYI Resources share price

Over the past 12 months, FYI Resources have soared more than 120%, with year to date above 50%. The company’s share price reached an all-time high of 88.5 cents in early September before some profit-taking occurred.

Based on today’s price, FYI Resources presides a market capitalisation of roughly $137.2 million, with approximately 365.87 million shares outstanding.

The post The FYI (ASX:FYI) share price falls 6% despite new exec hire appeared first on The Motley Fool Australia.

More reading

• Here’s why the Lion Energy (ASX: LIO) share price is roaring 28% higher
• Leading brokers name 3 ASX shares to sell today
• Kathmandu (ASX:KMD) share price goes downhill after $35 million profit hit
• Avita Medical (ASX:AVH) share price sinks 11% on Q1 earnings
• Poseidon (ASX:POS) share price lifts on ‘some good hits’

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.

from The Motley Fool Australia https://ift.tt/3H2MO7e

The Lion Energy Ltd (ASX: LIO) share price is having a brilliant day on the ASX after the company announced a new hydrogen transport agreement.

The producer of Indonesian oil and gas and explorer of Australian hydrogen has signed a memorandum of understanding with BLK Auto. Together, the companies plan to increase opportunities for hydrogen use in Australia’s transport sector.

At the time of writing, the Lion Energy share price is 10.5 cents, 28.05% higher than its previous closing price.

Let’s take a closer look at today’s news from Lion Energy.

Lion Energy looks to decarbonise vehicle fleets

Tuesday’s proving to be a great day for the Lion Energy share price after the company announced a new agreement with Queensland-based hydrogen vehicle importer BLK Auto.

Last month, BLK Auto, alongside its partner, hydrogen vehicle supplier Hyzon Motors (NASDAQ: HYZN), unveiled Australia’s first hydrogen-powered bus.

Now, BLK Auto will be collaborating with Lion Energy. The two will provide hydrogen transport solutions and infrastructure for Australian businesses looking to decarbonise their vehicle fleets.

Lion’s chair Tom Soulsby commented on the news driving the company’s share price higher today, saying:

We are very pleased to work with quality operators like BLK Auto on helping the bus industry meet its zero-emission targets. There is a complementarity in our plans, so working together will enhance the hydrogen proposition for bus operators.

The memorandum of understanding is non-binding and will be in place for the next 2 years.

Lion Energy cautions that there’s a possibility the companies won’t find a suitable hydrogen opportunity.

Lion Energy share price snapshot

Today’s gains have added to the Lion Energy share price’s recent strong performance on the ASX.

Right now, the company’s stock’s value is 330% higher than it was at the start of 2021. It has also gained 168% over the last 30 days.

The post Here’s why the Lion Energy (ASX: LIO) share price is roaring 28% higher appeared first on The Motley Fool Australia.

More reading

• The FYI (ASX:FYI) share price falls 6% despite new exec hire
• Leading brokers name 3 ASX shares to sell today
• Kathmandu (ASX:KMD) share price goes downhill after $35 million profit hit
• Avita Medical (ASX:AVH) share price sinks 11% on Q1 earnings
• Poseidon (ASX:POS) share price lifts on ‘some good hits’

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 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.

from The Motley Fool Australia https://ift.tt/30gGcS2

Yesterday I looked at three ASX shares brokers have given buy ratings to this week.

Unfortunately, not all shares are in favour with them right now. Three that have just been given sell ratings are listed below. Here’s why these brokers are bearish on these ASX shares:

Flight Centre Travel Group Ltd (ASX: FLT)

According to a note out of Citi, its analysts have retained their sell rating but lifted their price target on this travel agent’s shares to $18.31. The broker believes there are risks to near-term earnings that are not being factored in by investors. In addition, over the medium term Citi expects the shift online to slow its growth. So with Flight Centre’s shares trading at 17x estimated FY 2024 earnings, the broker believes they have run ahead of fundamentals and are overvalued. The Flight Centre share price is trading at $21.28 on Tuesday afternoon.

Pro Medicus Limited (ASX: PME)

Another note out of Citi reveals that its analysts have initiated coverage on this health imaging technology company’s shares with a sell rating and $45.00 price target. Citi believes that investors are being too optimistic on the company’s future growth. Especially given the potential release of competing products down the line, which could squeeze the company’s very generous 60%+ profit margins. The Pro Medicus share price is fetching $58.86 today.

REA Group Limited (ASX: REA)

Analysts at UBS have downgraded this property listings company’s shares to a sell rating but increased their price target on them to $170.00. While the broker acknowledges that REA delivered a very strong first quarter result and has upgraded its earnings estimates to reflect this, it can’t ignore its valuation. The broker believes REA’s shares are expensive at the current level. Particularly given likely listings volatility and the potential for headwinds from Australia’s next federal election and possible regulatory intervention. The REA share price is trading at $170.29 on Tuesday.

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

More reading

• 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
• Leading brokers name 3 ASX shares to buy today

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 shares of and has recommended Pro Medicus Ltd. The Motley Fool Australia owns shares of and has recommended Pro Medicus Ltd. The Motley Fool Australia has recommended Flight Centre Travel Group Limited and REA Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/3EZal7m

Tuesday’s session is proving to be a rough one for the Kathmandu Holdings Ltd (ASX: KMD) share price after the company released a quarterly trading update.

Within the update – released alongside Kathmandu’s investor presentation – the company noted that COVID-19 lockdowns “significantly impacted” its results for the September quarter.

At the time of writing, the Kathmandu share price is $1.50, 0.2% lower than its previous close.

Let’s take a look at today’s news from the clothing and adventure gear retailer.

Kathmandu struggles through lockdowns

The Kathmandu share price is dipping today after the retailer announced its operating profits for the quarter just been are expected to be $35 million less than those of the first quarter of financial year 2021.

It has declined to give guidance due to continued uncertainty. Though, it is expecting its trading to improve going forward and grow in the second half of financial year 2022.

The company noted that New South Wales, Victoria, the ACT, and New Zealand all experienced severe extended lockdowns over the 3 months ended 30 September 2021.

However, government subsidies that previously existed were scrapped before the most recent lockdowns.

Same-store sales for the 13 weeks ended 31 October dropped over the quarter. Rip Curl saw a 9.4% fall while Kathmandu’s same-store sales dropped 17.6%. Though, when adjusting for lockdowns, those figures become gains of 1.6% and 16.3% respectively.

Additionally, the group’s online sales grew 33.8%, with Rip Curl recording an 11.2% gain and Kathmandu a 58.4% increase.

Further, the Kathmandu share price might be being supported by expectations of a strong holiday period.

Both Rip Curl and Kathmandu expect to see their sales boosted during the Black Friday and Christmas trading periods.

Like many ASX listed companies, the group is experiencing supply chain disruptions, particularly affecting its North American markets. Additionally, the price of its raw materials is still above normal levels.

Fortunately, the order books of both Rip Curl and Oboz are doing better than they were pre-COVID.

Kathmandu share price snapshot

Despite today’s dip, the Kathmandu share price has been performing well on the ASX lately.

It has gained 27% since the start of 2021. It’s also 3.4% higher than it was this time last month.

The post Kathmandu (ASX:KMD) share price goes downhill after $35 million profit hit appeared first on The Motley Fool Australia.

More reading

• Avita Medical (ASX:AVH) share price sinks 11% on Q1 earnings
• Poseidon (ASX:POS) share price lifts on ‘some good hits’
• Why Brainchip, Chalice, Life360, and PointsBet shares are surging higher
• The total value of crypto just surpassed US$3 trillion, what’s next?
• Seven West (ASX: SWM) share price jumps 4% amid return to free-to-air dominance

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 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.

from The Motley Fool Australia https://ift.tt/3H4lTrz