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The Revasum Inc (ASX: RVS) share price was on fire today until giving back its gains and more.

At one stage, the semiconductor company’s shares were up as much as 20% to a 52-week high of 87.5 cents. When the Revasum share price reached that level, it meant it had gained a remarkable 109% in the space of a week.

The company’s shares ultimately ended the day almost 8% lower at 67 cents after it responded to an ASX Price and Volume Query.

What’s happening with the Revasum share price?

Judging by the rollercoaster ride that the Revasum share price was on today, it appears as though investors were speculating on some big news being announced.

However, in response to its ASX Price and Volume Query, the company said it was not aware of any information that has not been announced to the market which could explain the recent trading in its shares.

Management suggested the gains may have been caused by recent media coverage featuring an interview with its new CEO, Rebecca Shooter-Dodd.

Other than that, there hasn’t a major announcement out of the company in a month.

What was the last announcement?

That last market sensitive announcement was the release of an investor update in September.

That update provided investors with a breakdown on its performance in FY 2021 and its market opportunity.

In respect to the latter, management advised that the Silicon Carbide (SiC) market is growing rapidly and is expected to be worth US$2.56 billion by 2025. This compares to US$541 million in 2019 and is being driven largely by the electric vehicle industry.

Revasum designs and manufactures capital equipment for substrate conditioning and device manufacturing in the global semiconductor industry with a strategic focus on the SiC market. In light of this, investors appear to believe it is well-placed to benefit from this increasing demand.

Time will tell if that is the case.

The post What’s with the Revasum (ASX:RVS) share price, up over 100% in a week? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX shares today
• Why the South32 (ASX:S32) share price reached a 2-year high today
• Is the Super Retail (ASX:SUL) dividend yield really 11%?
• Over $10b in IPOs are set to hit the ASX this quarter
• The Sunstone Metals (ASX:STM) share price is up 122% in a week. Here’s why

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

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Today, the S&P/ASX 200 Index (ASX: XJO) experienced weakness, moving to the downside. The benchmark index fell 0.43% lower to 7,268.2 points.

Dragging the index lower — energy, tech, and utilities sectors tumbled more than 1%. Meanwhile, the healthcare sector was the only one that managed to finish in the green on Tuesday. This was largely aided by a 2% gain in the CSL Limited (ASX: CSL) share price.

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, Zimplats Holdings Ltd (ASX: ZIM) was the biggest gainer today. Shares in the platinum miner added 6.06% as the price of the industrial metal climbs. Find out more about Zimplats Holdings here.

The next biggest gaining ASX share today was Sims Ltd (ASX: SGM). The metals recycling company gained 4.85% despite no announcements. Uncover the latest Sims details here.

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

ASX-listed company	Share price	Price change
Zimplats Holdings Ltd (ASX: ZIM)	$21.70	6.06%
Sims Ltd (ASX: SGM)	$13.62	4.85%
Alumina Ltd (ASX: AWC)	$2.25	4.65%
IDP Education Ltd (ASX: IEL)	$34.86	3.57%
Netwealth Group Ltd (ASX: NWL)	$14.10	3.15%
CSL Limited (ASX: CSL)	$293.79	2.19%
Bluescope Steel Ltd (ASX: BSL)	$21.265	2.14%
AMP Ltd (ASX: AMP)	$1.1275	2.04%
Mercury NZ Ltd (ASX: MCY)	$6.08	1.84%
Pro Medicus Ltd (ASX: PME)	$52.08	1.70%

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.

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• Here are the 3 heaviest traded ASX 200 shares on Tuesday so far
• Why is the Beach Energy (ASX:BPT) share price falling on Tuesday?
• Which ASX shares are the top movers in the ASX 300 today?
• Why the Ansell (ASX: ANN) share price is crashing today
• ASX 200 (ASX:XJO) midday update: Westpac’s $1.3bn earnings hit, Ansell sinks

Motley Fool contributor Mitchell Lawler owns shares of Pro Medicus Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended CSL Ltd., Idp Education Pty Ltd, Netwealth, and Pro Medicus Ltd. The Motley Fool Australia owns shares of and has recommended Netwealth and Pro Medicus 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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The South32 Ltd (ASX: S32) share price has finished the day higher, up 0.27% to $3.66 at the closing bell.

Shares in the mining and metals company have started the week well, with investors clipping the ticket on a small gain since their close of $3.58 on Friday.

Today’s price level marks a 2-year high for the company, after its shares went on a one-way journey south from 2019-2020, well before the pandemic ensued.

Why the recent gain in the South32 share price? Let’s dive in and take a look.

What’s been happening at South32?

To exit the month of September, South32 advised it had increased its ownership stake in aluminium smelter Mozal Aluminium to 72.1%.

Mozal is located in Mozambique and is a split ownership between South32, Mitsubishi and the Mozambique government.

It has a production guidance of 273kt in FY22 and FY23 on South32’s former 47.1% stake, meaning the guidance could likely be adjusted with the company’s deepened investment.

The accretive transaction was done on an acquisition multiple of 3.6-times earnings before interest, taxes, depreciation and amortisation (EBITDA), and will be funded with cash the company has on hand, which was US$553 million as of August.

Specific details of the transaction are that it was on a purchase price of US$250 million, includes a joint profit-sharing agreement on the increased holding with partners Mitsubishi, and that adjustments for working capital and debt are to be made.

Aside from this progress, two of the key base substances South32 has exposure to – coal and aluminium – have both been fetching premiums lately.

Coal pricing has catapulted 338% higher in the last 12 months, and most recently spiked again at September’s end.

There it jumped by US$63.5/tonne in around 2 weeks, whereas the price of aluminium has been crawling higher over the past 12 months too.

Most recently it’s popped around 6% to trade at US$3,029/tonne, a shade below its all-time highs of 2008.

The South32 share price is sensitive to volatility in the commodity markets, as it is an ASX resource share that produces commodities.

So with the recent strengths observed in the company’s underlying markets, it begins to form the picture as to what’s fuelling the South32 share price lately.

South32 share price snapshot

The South32 share price has climbed 48% this year to date, delivering an outsized return at this level.

It’s also gained 67% in the last 12 months, and 7% in the last month.

Each of these returns have outpaced the S&P/ASX 200 index (ASX: XJO)’s return of about 20% in the past year.

The post Why the South32 (ASX:S32) share price reached a 2-year high today appeared first on The Motley Fool Australia.

More reading

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• These 3 ASX 200 shares are topping the volume charts this Tuesday
• Brokers name 3 ASX shares to buy today
• Why Damstra, EML, Orica, & South32 shares are storming higher

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 Super Retail Group Ltd (ASX: SUL) dividend was among the most generous on the S&P/ASX 200 Index (ASX: XJO) in FY 2021.

Thanks to its stellar sales growth and the doubling of its profits, for the 12 months ended 30 June, the retail conglomerate paid shareholders a total of 88 cents per share.

This comprises an interim 33 cents per share fully franked dividend and a fully franked final dividend of 55 cents per share.

Incredibly, this was up a whopping 351% year on year. Though, it is worth noting that due to COVID-19, Super Retail refrained from paying an interim dividend in FY 2020.

Based on the current Super Retail share price, this equates to an 11% dividend yield.

Is the Super Retail dividend yield still 11%?

Unfortunately, it looks unlikely that the Super Retail dividend will be as generous in FY 2022.

This is due to the tough start the company made to the new financial year and the potential headwinds it has been facing from lockdowns and travel restrictions.

In respect to the former, when the company released its full year results, it revealed that like for like sales were down 14% during the first seven weeks of FY 2022.

Management also warned that its “outlook remains uncertain given risk of intermittent lockdowns and travel restrictions due to COVID-19.”

In light of this, analysts are expecting its earnings and dividends to decline materially in FY 2022.

Though, that’s not to say that the Super Retail dividend won’t be attractive for income investors this year.

What is expected from Super Retail in FY 2022?

A recent note out of Credit Suisse reveals that it expects the Super Retail dividend to come in at 53 cents per share in FY 2022.

While this is a 40% reduction year on year, at the current Super Retail share price it still implies a fully franked yield of 4.2%.

In addition, the broker is forecasting earnings per share of 99 cents. If this proves accurate, it will mean the company’s shares are changing hands for a very respectable ~13x FY 2022 earnings.

It’s no wonder then that Credit Suisse has slapped an outperform rating and $14.41 price target on the company’s shares.

All in all, this suggests that there is a total return on offer of almost 18% over the next 12 months.

The post Is the Super Retail (ASX:SUL) dividend yield really 11%? appeared first on The Motley Fool Australia.

More reading

• Here are 2 ASX dividend shares analysts rate highly
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• Which ASX 300 shares are the biggest winners and losers on Thursday?
• Why Collins Foods, Pilbara Minerals, Sezzle, & Super Retail are pushing higher
• ASX 200 (ASX:XJO) midday update: Pilbara Minerals jumps, Whitehaven Coal sinks

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 Super Retail Group Limited. The Motley Fool Australia owns shares of and has recommended Super Retail 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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The ASX IPO market is back and better than ever. With plans for seven $1 billion-plus IPOs to hit the ASX this quarter, it’s going to be a record-breaking period. In fact, this will be the busiest time for major floats on the ASX in history.

Based on the upcoming floats and listings provided by the Australia Stock Exchange, investors will have plenty of options to fill their portfolio stockings in the lead-up to this year’s Christmas.

With that being said, let’s take a moment to recap the ASX IPOs that are set to hit this quarter.

Going down in the history books

Due to the coronavirus, 2020 was the year of the word “unprecedented”, but it looks like 2021 will have its own unprecedented achievement.

The cheque books are being pulled out en masse as initial public offerings (IPO) to list on the ASX become highly popular in the backend of this year. So much so that the amount of money seeking to be raised among aspiring public companies is in excess of $10.2 billion.

After 18 months of monetary and fiscal injections, money is sloshing around the economy and companies are taking advantage of it.

Similarly, the merger and acquisition (M&A) market has swollen to face-melting levels this year. According to Dealogic, approximately $46.3 billion worth of Aussie listed and private M&A deals have been conducted in 2021. That represents an increase of 2.4 times the value of the prior year.

Meanwhile, the ASX has also been busy with a raft of newcomers hitting the boards. A situation likely exacerbated by investor demand for more opportunities during the low interest-rate environment.

As a result, Australian companies are not missing out on capitalising on an opportunity. After all, as they say, “Make hay while the sun shines”.

Here are the seven ASX IPOs valued at over $1 billion that is expected to hit the public market this quarter:

• Global boutique asset management firm GQG Partners, valued between $5.9 billion to $6.5 billion
• SME-focused bank Judo Bank, valued at $2.3 billion
• Hotel commerce platform provider SiteMinder, valued at more than $1 billion
• Global human services organisation APM, valued at more than $3 billion
• Essential services provider Ventia, valued at $2 billion to $2.5 billion
• Lottery operator SG Lottery, valued at approximately $8 billion
• Metals supplier and distributor Vulcan Steel, valued at $1.1 billion
• Transport company ComfortDelGro, valued at approximately $2 billion

Recent ASX IPOs

While the next few months look plentiful for IPOs, it might be worth recapping a few recent ASX IPOs. In September there were 22 new additions to the Australian share market.

A few notable debutants include Zoom2u Technologies Ltd (ASX: Z2U), Li-S Energy Ltd (ASX: LIS), and Touch Ventures Ltd (ASX: TVL). In fact, Li-S Energy is 163% above its IPO price of 85 cents, leaving investors with a smile.

Furthermore, the minerals prospector company, Minerals 260 Ltd (ASX: MI6) is the freshest addition to the ASX boards. Today, the Liontown Resources Limited (ASX: LTR) spin-off has surged 22% on its debut.

The post Over $10b in IPOs are set to hit the ASX this quarter appeared first on The Motley Fool Australia.

More reading

• The Sunstone Metals (ASX:STM) share price is up 122% in a week. Here’s why
• Diablo Resources (ASX:DBO) share price tanks 15% following IPO
• Santos (ASX:STO) share price slumps as CEO flags possible energy crisis
• Why Ansell, Predictive Discovery, Strike Energy, & Zip shares are sinking
• Star (ASX:SGR) share price falls again; reaches new 52-week low

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 Sunstone Metals Ltd (ASX: STM) share price is soaring 25% into the green during afternoon trade today and is now changing hands at 4.9 cents apiece.

That caps off an impressive last week’s worth of trading for the minerals exploration company. Its share price has soared 122% higher in that time.

Let’s check what’s been driving the relatively unknown ASX resource share’s price action lately.

But first – a quick rundown on Sunstone Metals

Sunstone is in the business of minerals exploration and development, boasting gold and copper assets on its books, strategically located in Ecuador.

Specifically, these are the Bramaderos Gold-Copper Project and the El Palmar Copper-Gold Project. Sunstone owns a partial interest in the latter.

It has completed a number of milestones at these projects and looks to repeat previous successes from almost a decade ago when its share price was trading at a peak of $1.15 per share.

Since then, the Sunstone Metals share price has barely managed to crack 5 cents a share on average which leads us to today.

At the time of writing, Sunstone Metals has a market capitalisation of $106 million.

Why is the Sunstone Metals share price charging higher this past week?

Sunstone shares have been on the move since the company announced it had completed first assays at its El Palmar site last week.

Its announcement noted Sunstone intersected 480m of gold and copper in its first drill hole at the site. The drill included “high-grade gold sections that are characteristic of gold-rich porphyry systems”.

Of the drill holes completed, assays from the remaining two holes are expected in around five to six weeks.

Sunstone is acquiring the remainder of El Palmar under stipulations made in the governing contract for the site. Under that agreement, the company has met all of its obligations to move to 51% ownership and commenced share transferral.

The company also noted it is fully funded for ongoing exploration at El Palmar with total liquidity of approximately $21 million.

Last week’s announcement builds on a previous update the company made back in September.

In that update, the company gave details on drill results from its Bramaderos project.

The assay results indicated “the potential for Bramaderos to host a substantial gold-copper porphyry system”. There are another six holes planned as part of the maiden resource program at this site.

Why are these advancements good news for Sunstone Metals shares?

The price of gold and copper has been volatile these past few months although each metal has been gaining since last month.

For instance, in that time, copper now trades 5% higher at US$4.29/lbs whereas gold has come up US$32/t.oz.

Given these near-term strengths, investors appear hungry for ASX metals shares with the S&P/ASX 300 Metals & Mining index (XMM) climbing almost 4% in the past week. That’s well ahead of the S&P/ASX 200 Index (ASX: XJO)’s loss of 0.07%.

Similarly, the S&P/ASX All Ordinaries Gold Index (XGD) has jumped 5.5% higher in the last week, further indicating the strengths in the broad sector.

Given the company’s recent advancements, in addition to the rising price of gold and copper, it’s clear what’s likely been fuelling the Sunstone share price lately.

Sunstone Metals share price snapshot

The Sunstone Metals share price has delivered a 242% return this year to date, extending its gain in the last 12 months to 152%.

It’s rallied 100% in the past week although, prior to its recent gains, was trading relatively flat.

Nonetheless, it is still ahead of the broad index’s return of around 20% in the last year.

The post The Sunstone Metals (ASX:STM) share price is up 122% in a week. Here’s why appeared first on The Motley Fool Australia.

More reading

• Diablo Resources (ASX:DBO) share price tanks 15% following IPO
• Santos (ASX:STO) share price slumps as CEO flags possible energy crisis
• Why Ansell, Predictive Discovery, Strike Energy, & Zip shares are sinking
• Star (ASX:SGR) share price falls again; reaches new 52-week low
• Here are the 3 heaviest traded ASX 200 shares on Tuesday so far

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 Diablo Resources Ltd (ASX: DBO) share price has struggled to take off following its debut on the ASX this afternoon.

The company successfully raised $6.5 million at 20 cents per share to drive its gold-copper exploration activities.

At the time of writing, the Diablo share price is 17 cents, a fall of 15%.

What does Diablo Resources do?

Diablo’s portfolio comprises three gold-copper projects located in western United States.

The Devil’s Canyon Project is prospective for gold and copper, located in Nevada.

Minor copper mining occurred within the project area during the 1950s and exploration activities around the region date back to 1987, testing for gold mineralisation. Diablo is currently modelling magnetic survey data and undergoing further mapping and sampling for Devil’s Canyon prior to drilling later this year.

The Western Desert Project is located in western Utah, close to the Nevada border.

This is another prospective project for gold and copper mineralisation with a history of exploration activities. Diablo has identified a number of exploration targets and plans to undergo drilling activities in the second half of 2021.

Finally, the Lone Pine Project is considered prospective for gold, located in Idaho.

Gold was discovered in the project in 1882, with a majority of development work completed on the Lone Pine vein zone prior to 1907. During 2020, 11 diamond drill holes were completed, with all drill holes intersecting a mineralised gold zone.

In addition to drilling, the company advised that regional mapping and rock chip sampling was completed, identifying numerous other gold occurrences within the project area. Looking ahead, Diablo plans to undergo additional drill holes and airborne magnetic surveying for later in 2021.

Why the Diablo Resources share price fell flat

Not all initial public offerings are made equal.

Just an hour after Diablo’s float, another exploration company by the name of Minerals 260 Limited (ASX: MI6) also made its ASX debut.

Unlike Diablo, the Minerals 260 share price rallied as high as 75 cents from a listing price of 50 cents per share. However, it has dropped back to 60 cents at the time of writing.

Minerals 260 attracted a much bigger audience, citing its IPO as ‘oversubscribed’ with almost 15 million shares trading hands at the time of writing.

By comparison, Diablo’s current volume sits at around 5.2 million.

Furthermore, gold prices have remained stagnant since late last year. This has resulted in gold players underperforming the broader S&P/ASX 200 Index (ASX: XJO).

The lack of upside from gold in the past 12-months could be a factor weighing on the Diablo Resources share price.

What’s next for Diablo Resources?

Diablo has a busy schedule consisting of preliminary exploration activities and drilling.

According to its prospectus, the company plans to allocate $1.935 million towards the Devil’s Canyon Project, $2 million to the Western Desert Project, and $1.465 million to the Line Pine Project.

The post Diablo Resources (ASX:DBO) share price tanks 15% following IPO appeared first on The Motley Fool Australia.

More reading

• The Sunstone Metals (ASX:STM) share price is up 122% in a week. Here’s why
• Santos (ASX:STO) share price slumps as CEO flags possible energy crisis
• Why Ansell, Predictive Discovery, Strike Energy, & Zip shares are sinking
• Star (ASX:SGR) share price falls again; reaches new 52-week low
• Here are the 3 heaviest traded ASX 200 shares on Tuesday so far

Motley Fool contributor Kerry Sun 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 Santos Ltd (ASX: STO) share price is struggling after the company’s CEO commented that Australia might not dodge the current energy crisis.

Santos’ managing director and CEO Kevin Gallagher, recently spoke at the Australian Financial Review’s Energy and Climate Summit. He reportedly noted that, if international liquid natural gas (LNG) prices don’t fall soon, Australia will inevitably be affected.

At the time of writing, the Santos share price is $7.39, 1.34% lower than its previous close.

That’s relatively in line with the broader energy market. Right now, the S&P/ASX 200 Energy Index (ASX: XEJ) is down around 1.7%. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is down 0.3%.

Let’s take a closer look at the oil and gas producer’s boss’ comments.

Santos share price slides amid energy concerns

The Santos share price is sliding today after the company’s boss flagged that the international energy crisis might soon reach Australia.

The price of LNG has soared to all-time highs in recent weeks. According to Reuters, the surge was spurred by the ongoing energy crunch in China and low European inventories.  

The outlet stated that experts estimate the average price for a metric million British thermal units (MMBtu) of LNG for November delivery into Northeast Asia to be around US$37.

While the commodity’s price has since relaxed, it’s still above ideal levels.

According to reporting by the Australian Financial Review (AFR), Santos’ managing director and CEO Kevin Gallagher, has said that if gas prices don’t ease, Australia’s contract tariffs will be pushed higher.

As a result, the pressure on manufacturers dependant on LNG might increase. The AFR quoted Gallagher as saying:

We know what the complaints from the manufacturers were here on the east coast when prices approached double figures…

So you can only imagine what that would mean for us here in terms of the difficulty to economically run those same manufacturing businesses, if they’re exposed to the same international prices.

Gallagher reportedly blames the surging LNG price on underinvestment spurred by environmental, social, and governance (ESG) measures, as well as drops in the price of oil.  

The post Santos (ASX:STO) share price slumps as CEO flags possible energy crisis appeared first on The Motley Fool Australia.

More reading

• 2 more of the best ASX share ideas according to this top broker
• How did the Santos (ASX:STO) share price perform in the last quarter?
• ASX 200 energy shares rise amid market sell-off
• 5 things to watch on the ASX 200 on Monday
• 5 things to watch on the ASX 200 on Friday

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.

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The S&P/ASX 200 Index (ASX: XJO) is on course to record a disappointing decline. In afternoon trade, the benchmark index is down 0.4% to 7,269.9 points.

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

Ansell Limited (ASX: ANN)

The Ansell share price is down 4.5% to $32.30. Investors have been selling the health and safety protection solutions company’s shares following a bearish broker note out of Macquarie Group Ltd (ASX: MQG). Its analysts have downgraded the company’s shares to an underperform rating and cut the price target on them to $32.00. Macquarie believes that recent trends pose downside risk to the market’s earnings expectations.

Predictive Discovery Ltd (ASX: PDI)

The Predictive Discovery share price has crashed 25% to 17.5 cents. This morning the Guinea-based gold explorer advised that two of its deposits and some other parts of its permits are located within the Outer Buffer Zone of the Upper Niger National Park. The Outer Buffer Zone of the Upper Niger National Park is a protected area where the mining of mineral deposits is not permitted.

Strike Energy Ltd (ASX: STX)

The Strike Energy share price is down a further 13.5% to 19.5 cents. Investors have been selling this energy company’s shares following the release of its maiden Perth Basin Gas Reserve. According to the release, 300 petajoule (PJ) 2P and up to 372 PJ 3P gross gas reserves at the West Erregulla gas field in the Kingia Sandstone have been certified. Analysts at Macquarie note that this is significantly below (28% to 44%) management’s previous guidance.

Zip Co Ltd (ASX: Z1P)

The Zip share price is down 3.5% to $6.62 despite there being no news out of the buy now pay later provider. This decline appears to have been driven by broad weakness in the tech sector today following a poor night on the Nasdaq index. The S&P/ASX All technology Index is down 1.9% at the time of writing.

The post Why Ansell, Predictive Discovery, Strike Energy, & Zip shares are sinking appeared first on The Motley Fool Australia.

More reading

• Why ASX 200 tech shares are struggling this week
• Why the Ansell (ASX: ANN) share price is crashing today
• ASX 200 (ASX:XJO) midday update: Westpac’s $1.3bn earnings hit, Ansell sinks
• Why the Predictive Discovery (ASX:PDI) share price is crashing 34% today
• Why Afterpay, Platinum, Star, & Strike Energy shares are sinking

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 ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited. The Motley Fool Australia has recommended Ansell 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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The Star Entertainment Group Ltd (ASX: SGR) share price has gone from bad to worse.

At the time of writing, shares in the casino operator are trading for $3.20 – down 3.03%. Earlier in the session shares reached a new 52-week low of $3.14 each.

The negative price movement is the continuation of the selloff that began yesterday, after a joint investigation by the Sydney Morning Herald (SMH), The Age, and 60 Minutes aired explosive allegations of money laundering, facilitating organised crime, fraud, and foreign interference at its casinos.

Yesterday, shares plunged an astounding 22.9% to end the day at what was then their lowest point in 10 months. Today has seen a continuation of the selloff, with shares hitting a new 52-week low.

Let’s take a closer look.

The allegations against Star

The Nine Entertainment Co Holdings Ltd (ASX: NEC) outlets are alleging the company overlooked serious misconduct at its casinos for years.

They claim despite a report by global audit firm KPMG warning Star it wasn’t doing enough to combat money laundering, terrorism financing, and exploitation, Star continued to overlook such activities.

They also allege that rather than ending its relationship with gamblers who showed “red flags”, Star provided them with incentives. In fact, the publications claim Star “cultivated” punters who were “allegedly associated with criminal or foreign-influenced operations”.

Similar allegations against gaming compatriot (and one-time takeover target) Crown Resorts Ltd (ASX: CWN) saw that company refused a gaming licence in New South Wales. It also resulted in royal commissions in Victoria and Western Australia to examine whether it should still be allowed to operate in those states.

Investors are seemingly worried the regulatory eye will fall on Star in a similar way, at least judging by the falling Star share price over the last 2 days.

How did Star respond?

In a statement to the ASX released yesterday, Star said it was “concerned by a number of assertions within the media reports that it considers misleading”.

The company added it already operates in a heavily regulated industry and that they are subject to “ongoing regulatory oversight” such as compliance checks and periodical reviews. Finally, it added its support to the recommendations of the Bergin Inquiry into casino regulation.

This statement did not appease investors yesterday. Judging by the continuing fall in the Star share price, it isn’t making much of an impact today either.

Star share price snapshot

Over the past 12 months, the Star share price has decreased by 5.44%. However, on Friday, it had actually appreciated by 27%.

Star shares hit their 52-week high only 5 days ago, which goes to show nothing can be taken for granted when it comes to investing.

The post Star (ASX:SGR) share price falls again; reaches new 52-week low appeared first on The Motley Fool Australia.

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Motley Fool contributor Marc Sidarous owns shares of Star Entertainment Group Ltd. 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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