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Fortescue Future Industries is the talk of the ASX today, but market watchers may be disappointed to learn they can’t invest directly into the company.

However, there is a way to get a slice of Fortescue Future Industries in your portfolio. Though, it involves buying its parent company, Fortescue Metals Group Limited (ASX: FMG).

At the time of writing, an investor can get their hands on a share in Fortescue Metals for $14.60. That’s 2.46% higher than the company’s stock’s previous closing price.

The Fortescue Metal share price has potentially been boosted by news of Fortescue Future Industries’ new hydrogen investment.

Buying into Fortescue Metals would mean indirectly investing in Fortescue Future Industries’ newly announced Global Green Energy Manufacturing Centre.

The first stage of Global Green Energy Manufacturing Centre will create Australia’s first multi-gigawatt-scale electrolyser factory. Electrolysers can remove hydrogen from water and, if run on renewable energy, can produce ‘green’ hydrogen – a zero-carbon fuel source.

Of course, investing in Fortescue Metals means investing in all aspects of Fortescue Metal’s business, not just Fortescue Future Industries.

Let’s take a closer look at Fortescue Future Industries and how the business is related to Fortescue Metals.

How to invest in Fortescue Future Industries on the ASX

ASX investors might be overjoyed to find there is a way to get a slight holding in Fortescue Future Industries.

To do so, one can invest in Fortescue Metals, the world’s fourth largest iron ore producer.

Fortescue Metals is Fortescue Future Industries’ parent company.

According to Fortescue Metals, its subsidiary is the face of its hydrogen-powered ambitions and a key component in its plan to reach carbon neutrality by 2030.

Fortescue Future Industries is working to establish a portfolio of renewable hydrogen and ammonia operations. It plans to be a leader in the world’s renewable hydrogen industry.

Further, it plans to produce 15 million tonnes of green hydrogen each year by 2030. It also hopes green hydrogen will be the most traded seaborne energy commodity in the world by then.

So, while investors can’t buy into Fortescue Future Industries directly, a holding in Fortescue Metals will grant them some exposure to the business.

The post Is Fortescue Future Industries listed on the ASX? appeared first on The Motley Fool Australia.

More reading

• Why are ASX hydrogen shares in the spotlight on Monday?
• Fortescue (ASX:FMG) share price gains amid Twiggy’s planned $1bn hydrogen investment
• Do these ASX dividend shares really have 20%+ yields?
• 2 ASX shares that could be worth researching this weekend
• Here’s why the Rio Tinto (ASX:RIO), BHP and Fortescue share prices are surging 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.

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The Qantas Airways Limited (ASX: QAN) share price has given back its early morning gains to be down 0.5% at time of writing.

That’s right in line with the broader S&P/ASX 200 Index (ASX: XJO), also down 0.5% at this time.

That’s the action today.

Now let’s take both a step back and have a glance ahead at the bigger picture for Qantas shareholders.

COVID-19 and the Qantas share price

Qantas, like most every ASX travel share, was absolutely hammered following the onset of COVID-19.

And that’s no exaggeration.

From 27 December 2019, when the Qantas share price was at $7.34, through to 20 March 2020, Qantas shares plummeted 68%.

Since then, the airline has recovered strongly. It’s now up 136% from its 20 March 2020 lows.

Yet the Qantas share price remains down 24% from its post-Christmas levels in 2019. (Remember, when a company loses 50% in value, it needs to gain 100% to get back to even.)

Now, with Australia poised to begin reopening in earnest, investors are increasingly wondering if the flying kangaroo will march back to its pre-pandemic levels. Or perhaps even exceed them.

Can Qantas pull a Ryanair?

Even with the rapid rollout of the vaccines Down Under, it will likely be sometime after Christmas before all the Australian states fully reopen to international travels. Even interstate travel will likely see some restrictions remain initially.

That, for now, looks to be keeping a lid on the Qantas share price.

But the light is certainly beckoning at the end of the lockdown tunnel. And Australians may soon join their British and American neighbours in being able to hop on an airplane and take that much missed vacation.

In fact, in the United States, according to Josh Gilbert, market analyst at global online trading platform eToro, “The US airline Delta [Delta Air Lines, Inc. (NYSE: DAL)] expects to see domestic travel bookings in 2022 exceed the numbers set back in 2019.”

Among the biggest winners, Gilbert told The Motley Fool is Ryanair Holdings plc (LON: RYA).

Low-cost carriers are seemingly winning the battle of industry market share, with Ryanair’s share price recently climbing above pre-pandemic levels to around 17 euros per share. Compared to larger airlines in Europe, Ryanair expects more passengers to fly in the European autumn season, citing strong optimism moving into 2022.

Indeed, taking the same 27 December 2019 date we used for the Qantas share price moves above, shares in Ryanair are now up 16% since then. A feat Qantas shareholders are certainly hoping the Aussie airline can replicate.

How has Ryanair been tracking?

According to Gilbert:

Ryanair announced its traffic numbers hit 10.6 million passengers in September 2021, which more than doubled from the same period in 2020 of 5.2 million passengers. The company’s CEO, Michael O’Leary, has also confirmed that he expects that the company will keep flying around 10 million passengers a month until 2022, which will ultimately benefit Ryanair’s share price moving forward.

Ryanair has been successful so far in attracting customers and filling planes by keeping fares low, which has also resulted in the company retaining a strong balance sheet. In its recent FYQ1 report in July, Ryanair announced its revenues increased by 196% year-over-year, net debt dropped by 27%, and cash balance grew to 4 billion euros.

As for the outlook for Aussie travel shares, Gilbert told The Motley Fool, “Local airlines such as Qantas and Virgin will also benefit, especially when it comes to Aussies travelling out of the country.”

Keep an eye on these risks

Investors hoping to see the Qantas share price leap above its pre-pandemic levels should remember that “the possibility of new restrictions and lockdowns is a constant risk,” Gilbert said. Adding that, “Travel stocks aren’t going to be a quick flip and investors need to understand that this will be a long-term play.”

Atop that, Gilbert noted:

Travellers in Europe still have to complete PCR tests and require vaccine passports in order to travel, and this will likely be the same across different countries, including Australia.

Nevertheless, for investors with a long-term outlook, the travel industry is an attractive sector that is providing some impressive returns and an interesting outlook for the future.

The post Will the Qantas (ASX:QAN) share price follow Ryanair’s surge on reopening? appeared first on The Motley Fool Australia.

More reading

• Top brokers name 3 ASX shares to buy next week
• International borders will reopen soon. Why is the Qantas (ASX:QAN) share price stalling?
• Travel stocks soar. Hopes for a new COVID treatment. Evergrande drags on. Scott Phillips on Nine’s Late News
• Why ASX 200 travel shares are having a bumper day
• Up 7%, the Flight Centre (ASX:FLT) share price is surging. Here’s why

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Delta Air Lines. 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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It certainly has been another disappointing year for the AMP Ltd (ASX: AMP) share price.

The embattled financial services company’s shares have shed 31% of their value in 2021.

This means the AMP share price is now down a bitterly disappointing 80% over the last five years.

Is the AMP share price finally good value?

According to a recent note out of Citi, there could be value in the AMP share price at the current level.

The note reveals that the broker currently has a neutral (high risk) rating on the company’s shares with a price target of $1.25.

So while the broker’s rating is only neutral, with the AMP share price trading at $1.08, its price target implies potential upside of almost 16% over the next 12 months.

What did the broker say?

Citi has been pleased with the progress that AMP is making, though it acknowledges that there’s still a lot of work to do.

It commented: “While AMP has clearly made some progress in 1H21, there is still a long way to go. There will be no dividend until at least 1H22 and earnings are guided to fall in 2H. However given the 1H beat on higher “investment earnings” we nonetheless lift our FY21E by 3% with little change to later years.”

The broker also notes that there’s still a large amount of uncertainty regarding the AMP Capital business and demerger, which explains why it is retaining its neutral rating despite its attractive price target on the AMP share price.

Citi explained: “As a new CEO takes the helm, it still remains unclear what shape AMP Capital will be in by the time of its targeted private capital markets demerger with its profit currently on a declining path. Further, while its remediation program is finished and there is progress in advice, there is still a long way to go to put the business on a profitable footing. Given slightly reduced, but still considerable, uncertainty we retain our Neutral/High Risk call and A$1.25 target price.”

The post Why this top broker sees 16% upside for the AMP (ASX:AMP) share price appeared first on The Motley Fool Australia.

More reading

• How has the AMP (ASX:AMP) share price beaten the market over the past week?
• Why did the AMP (ASX:AMP) share price have such a terrible September?
• Here are the 3 most traded ASX 200 shares so far this Tuesday
• The AMP share price is up 6% in a week, here’s why
• These 3 ASX 200 shares are topping the volume charts 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. 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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While uranium and coal producers have been recent market focal points, ASX hydrogen shares are regaining interest today. Investors are once again eyeing off these ASX-listed energy companies following plans for a large-scale hydrogen equipment manufacturing facility in Queensland.

It seems the announcement has renewed optimism for what the hydrogen sector could be in the years to come. Additionally, it comes at a time when energy-generating resources are in high demand. Illustrating the depth of the current energy crisis, natural gas in Europe now costs 130% more than it did at the beginning of September.

Green development for ASX hydrogen shares

In a reaffirming sign for the Australian hydrogen industry, a subsidiary of Fortescue Metals Group Limited (ASX: FMG) yesterday announced its intention to develop a green hydrogen manufacturing industry in Queensland.

The subsidiary is none other than Fortescue Future Industries (FFI). For the uninitiated, this is the iron ore giant’s green energy offshoot. According to its website, the subsidiary is targeting 15 million tonnes of green hydrogen production by 2030.

As we covered in another article, the announcement outlines the plan to construct the world’s largest electrolyser, renewable industry, and equipment manufacturing centre at Gladstone. Ambitiously, the planned ‘Global Green Energy Manufacturing’ centre is the first in what is expected to be a series of centres.

Furthermore, the proposal has gained the backing of the Queensland government with Premier Annastacia Palaszczuk noting an expected 300 local jobs will be created.

The announcement has highlighted the large potential opportunity ahead for ASX hydrogen shares. Companies back in the spotlight today include:

• Hazer Group Ltd (ASX: HZR) up 5.03% to $1.045
• Province Resources Ltd (ASX: PRL) up 1.72% to 14.75 cents
• Pure Hydrogen Corporation Ltd (ASX: PH2) up 6.67% to 24 cents

Meanwhile, Fortescue Metals is enjoying a green day of its own on the back of the hydrogen news. At the time of writing, shares in the iron ore company are trading 3.33% higher to $14.725.

Reflecting on the sector

Unlike other recent trends, ASX-listed hydrogen shares have been quite sporadic over the past several months. For example, the Hazer Group share price peaked in February before trending downwards, gaining a second boost in April. Similarly, Province Resources surged throughout February to April but its share price has since declined and traded sideways.

However, many of these companies have substantially outperformed the S&P/ASX 200 Index (ASX: XJO) so far this year. Pure Hydrogen Corporation, for instance, is up an incredible 167% year-to-date. This is well in excess of the 9% delivered by the benchmark index.

The post Why are ASX hydrogen shares in the spotlight on Monday? appeared first on The Motley Fool Australia.

More reading

• Fortescue (ASX:FMG) share price gains amid Twiggy’s planned $1bn hydrogen investment
• Do these ASX dividend shares really have 20%+ yields?
• 2 ASX shares that could be worth researching this weekend
• Here’s why the Rio Tinto (ASX:RIO), BHP and Fortescue share prices are surging today
• Is the Fortescue (ASX:FMG) dividend yield really 25%?

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 Star Entertainment Group Ltd (ASX: SGR) share price is tumbling after the casino operator responded to damning media reports.

In a joint investigation reminiscent of that which preceded the Bergin Inquiry into Crown Resorts Ltd (ASX: CWN), Nine Entertainment Co Holdings Ltd‘s (ASX: NEC) The Age, the Sydney Morning Herald (SMH), and 60 Minutes launched allegations against Star last night.

They accused Star of allowing suspected money laundering, organised crime, fraud, and foreign interference in its casinos.

Star hit back against the accusations in a release to the ASX this morning. The company stated the reports are misleading and it will be addressing each allegation with regulators. It also said, “there are constraints on publicly discussing specific individuals.”

However, the company’s recognition of the reports hasn’t been enough to save its share price.

At the time of writing, the Star share price is $3.6, 19.16% lower than its previous close.

Let’s take a closer look at the disturbing allegations against Star.

Star share price slides amid media storm

The Star share price is sliding today amid allegations the company overlooked serious misconduct at its casinos.

The outlets claim that, 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-influence operations”.

One such red flag was reportedly one of the company’s biggest pokies players; a “mostly unemployed” person who allegedly cashed out $18 million over 6 years and sometimes gambled in 9-hour sittings. New South Wales police reportedly arrested the person for importing cocaine earlier this year.

Additionally, the publications claim Star allowed people banned from casinos in Melbourne and Sydney to gamble at its Gold Coast casino.

Further, The Age, SMH, and 60 Minutes claim Star let big betters use problematic Chinese debit and credit cards to withdraw money in a way that masked gambling as general spending.

Finally, the publications claim Star kept links with the same Chinese organised crime figures that spurred numerous investigations and Royal Commissions into Crown Resorts. They allege Star failed to do basic research into the figures and, therefore, overlooked their criminal pasts.

And the Star share price looks like it could face even more trouble soon.

The Age and the SMH ended their reports promising to release more damning allegations today, stating:

Law enforcement and regulatory sources said Austrac was building a strong case against Star, and Star would face significant penalties next year, putting further pressure on senior management and the board.

The post Why is the Star Entertainment (ASX:SGR) share price plunging 19%? appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: Star shares crash, tech shares tumble
• This leading fund manager thinks these ASX shares might be buys
• The Star (ASX:SGR) share price is up 26% in a month

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 Fatfish Group Ltd (ASX: FFG) share price is on the move this Monday. This comes after the company provided an operational update on digital insurance business Fatberry and buy-now later-later (BNPL) provider PaySlowSlow.

At the time of writing, the tech venture builder company’s shares are up 7.55% to 5.7 cents.

Record sales performance

In today’s statement to the ASX, Fatfish advised its insurtech Fatberry has enjoyed exponential growth in 2021.

Total gross sales for the three months ending 30 September have come in at $2.78 million, a record-breaking quarter. This is notably higher than the $1.98 million achieved in gross sales for the entire first half of 2021.

On the back of its sales performance, year-to-date gross sales stand at around $4.76 million — an all-time high.

Fatberry’s gross written premiums soared 37.4% month-on-month from August 2021. This is underpinned by strong consumer demand in the Malaysian market.

The company aims to continue its growth with plans to expand its business into regional areas. Undoubtedly, this could have a positive effect on the Fatfish share price if the company can maintain its traction.

PaySlowSlow’s successful launch

In addition to the positive announcement, Fatfish stated that its BNPL company PaySlowSlow has successfully launched in Malaysia.

Entered into the market in mid-September, more than 87 merchants have signed up so far within the first 2 weeks. This has led to close to $51,000 in gross merchandise sales with recorded increases week-on-week.

Fatfish plans to accelerate the rollout of PaySlowSlow across Southeast Asia to boost sales numbers.

Fatfish share price summary

Over the last 12 months, Fatfish shares have accelerated by 375% with year-to-date gains at almost 60%. The company’s share price hit an all-time high of 43 cents in February this year, before sharply pulling back.

Fatfish presides a market capitalisation of roughly $59 million, with approximately 1 billion shares on its books.

The post Fatfish (ASX:FFG) share price surges 7% on business update appeared first on The Motley Fool Australia.

More reading

• Why is the Kuniko (ASX:KNI) share price soaring 13% on Monday?
• Here’s why the Cobalt Blue (ASX:COB) share price is surging 11% today
• ASX 200 (ASX:XJO) midday update: Star shares crash, tech shares tumble
• Here’s why the Douugh (ASX:DOU) share price is rocketing 18% today
• Z Energy (ASX:ZEL) share price leaps 6% on Ampol takeover news

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 Kuniko Ltd (ASX: KNI) share price is on the rise on Monday after the company announced an expansion of exploration licenses in Norway.

At the time of writing, the Kuniko share price is up 9.28% to $2.12.

Kuniko share price jumps on exploration license expansion

Kuniko has received an additional 59 prospective exploration licenses covering a combined area of approximately 523 km².

The exploration licenses pave the way for exploration and evaluation activities around the Ringerike area and Nord-Helgeland pegmatite field, both situated in Northern Norway.

The Ringerike Project is located 15 km northeast of the company’s existing Skuterud cobalt-copper project. Its believed to be prospective for nickel, copper, cobalt and platinum group elements.

Kuniko said it will compile all historical data from the project to expand its geological understanding and development an exploration plan for 2022.

The Nord-Helgeland Project covers a substantial portion of underexplored areas of the Nord-Helgeland pegmatite field. Kuniko intends to undertake further assessments to determine which resources are prospective in the area.

The company has already completed an initial site visit and obtained 13 rock grab samples.

Management commentary

Kuniko CEO Antony Beckmand hailed the strategic expansion, commenting:

This is an excellent opportunity for Kuniko, adding a meaningful and significant expansion of exploration potential in already prospective areas for mineralisation that so far, remain largely underexplored.

This strategic expansion of our already exciting portfolio of battery metals projects enables us to consolidate our presence in the region and our footprint in Norway, while broadening the prospects of projects we can grow and develop over time, ensuring we don’t miss potential value creating opportunities.

We will include the newly acquired exploration areas into our overall workstreams for further field work next year, though the immediate focus remains on finalizing analysis from our recent geochemical and airborne geophysics programs to guide the evaluation of our project portfolio and prioritisation of our next phase of exploration activities

Kuniko share price snapshot

The Kuniko share price has cooled down from all-time highs of $3.60 but is still up 150% since its ASX debut on 24 August.

Given its current price of around $2, it remains a 10-bagger for investors that managed to participate in its initial public offering, which successfully raised ~$7.8 million at an offer price of just 20 cents per share.

The post Why is the Kuniko (ASX:KNI) share price soaring 13% on Monday? appeared first on The Motley Fool Australia.

More reading

• Kuniko (ASX:KNI) share price drops following production update

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 Cobalt Blue Holdings Ltd (ASX: COB) share price is rocketing in morning trade, up 11% after earlier posting gains of more than 13%.

This comes as the broader All Ordinaries Index (ASX: XAO) is struggling, currently down 0.8%.

Below we take a look at the ASX energy company’s latest announcement that looks to be driving investor interest.

What did Cobalt announce?

Cobalt Blue’s share price is surging after the company reported a 35% increase in its Broken Hill tenement area in New South Wales, following the grant of Exploration Licence 9254.

With Cobalt Blue securing 2 new exploration licences in 2021, its tenement portfolio now extends across some 220 square kilometres.

The company released a mineral resource estimate for its total Broken Hill tenement on 16 September. That comprised of 118 Mt at 859 ppm cobalt-equivalent (687 ppm cobalt, 7.6% sulphur and 133 ppm nickel) for 81,100 tonnes of contained cobalt.

Commenting on the company’s expanding footprint in the region, Cobalt’s CEO Joe Kaderavek said:

The growth in the company’s tenement portfolio reflects a considered step toward securing long-term exploration potential to complement development of the Broken Hill Cobalt Project. Having now established a strong resource base we look forward to applying this blueprint in our future targeting.

Cobalt demand has been growing as the world works to transition away from fossil fuels and towards renewables. Cobalt is found in many new batteries, including lithium-ion batteries, used in electric vehicles (EVs) and for grid storage for renewable sources, like wind and solar.

Cobalt Blue share price snapshot

Over the past 12 months, the Cobalt Blue share price is up a stellar 255%. By comparison the All Ords has gained 19% over the full past year.

Cobalt Blue’s shares are down 1.5% over the past month despite today’s lift.

The post Here’s why the Cobalt Blue (ASX:COB) share price is surging 11% today appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: Star shares crash, tech shares tumble
• Here’s why the Douugh (ASX:DOU) share price is rocketing 18% today
• Z Energy (ASX:ZEL) share price leaps 6% on Ampol takeover news
• Why is the Downer (ASX:DOW) share price struggling today?
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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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At lunch on Monday, the S&P/ASX 200 Index (ASX: XJO) is on course to start the week on a disappointing note. The benchmark index is currently down 0.65% to 7,273.6 points.

Here’s what is happening on the ASX 200 today:

Star shares crash

The Star Entertainment Group Ltd (ASX: SGR) share price is crashing on Monday. This follows media reports alleging money laundering, organised crime, large-scale fraud, and foreign interference that has been enabled by Star. The company has responded stating that it “is concerned by a number of assertions within the media reports that it considers misleading.”

IAG court update

It has been a good day for the Insurance Australia Group Ltd (ASX: IAG) share price. The insurance giant’s shares are charging higher after the Federal Court found in favour of insurers on a significant number of policy wording questions in the second business interruption test case. And while it found in favour of policyholders on other questions, the market appears pleased with the results of this test case. IAG also revealed that it is reviewing the judgment to determine whether to appeal any aspect of it.

Tech shares tumble

A number of tech shares including Afterpay Ltd (ASX: APT) and Zip Co Ltd (ASX: Z1P) are trading notably lower on Monday. This has led to the S&P ASX All Technology index dropping 1.9% at the time of writing. A disappointing finish to the week on Wall Street’s tech-focused Nasdaq index appears to be behind these declines.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Monday has been Perenti Global Ltd (ASX: PRN) share price with a 5.5% gain. This morning Macquarie retained its outperform rating and lifted its price target on its shares to $1.10. The worst performer on the ASX 200 has been the Star share price with an 18% decline following the aforementioned media report.

The post ASX 200 (ASX:XJO) midday update: Star shares crash, tech shares tumble appeared first on The Motley Fool Australia.

More reading

• Why the Afterpay (ASX:APT) share price is down 3% today
• IAG (ASX:IAG) share price lifts after Federal Court makes judgement
• Could the Zip (ASX:Z1P) share price sink to $5.50 by Christmas?
• 5 things to watch on the ASX 200 on Monday
• Here’s what happened to the CSL (ASX:CSL) share price in the FY22 first quarter

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 AFTERPAY T FPO and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO and Insurance Australia 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 S&P/ASX 200 Index (ASX: XJO) has opened trading this week on the wrong side of the bed it seems. At the time of writing, the ASX 200 is down 0.66% to 7,271 points. But one ASX share is comprehensively defying the mood of the broader market today. That would be the Douugh Ltd (ASX: DOU) share price.

Douugh shares are trading at 7.5 cents each, up an extraordinary 18.46% so far this Monday. It was an even better story shortly after open too, with the ASX fintech company rocketing as high as 7.9 cents per share. That was up roughly 21% on Friday’s closing share price.

So what’s going on with Douugh shares here? Why is this embattled company exciting investors so much today?

Well, it’s almost certainly the result of an ASX announcement the company made this morning before market open.

Making dough: ASX fintech announces strong US market growth

Kicking the week off in style, Douugh released an update on customer takeup this morning, and it certainly makes for some interesting reading.

Douugh reported that it doubled its US customer base over the first quarter of the 2022 financial year (1Q22). Its total customer number now stands at 55,321. That’s up 53% from the end of the previous quarter (4Q21).

Douugh also reported that its customer deposits rose to $11.6 million, up 76% from the previous quarter, with collective debit card spending rising by 94%. The company also revealed that its funds under management have grown to over $5.5 million, up 11% from the previous quarter.

Here’s some of what Douugh founder and CEO Andy Taylor had to say on these numbers:

We are seeing strong month-on-month momentum building now, which has accelerated following the launch of the integrated robo-advisory service and with the dialling up of growth marketing initiatives. As expected, we are demonstrating exponential growth on all key metrics, suggesting strong product market fit…

We see a window of opportunity to become the responsible financial super app for a large sector of underserved customers in the emerging gen-z segment, which we are well positioned to capture.

About the Douugh share price

Douugh shares have only been on the ASX for a little over a year, having IPOed back on 9 October 2020.

It’s been a difficult journey for the company since then. The Douugh share price is now down around 85% from its 52-week high of 49 cents a share that it hit a few weeks after IPO back in November. Douugh is also down by close to 58% year to date in 2021 so far.

At the current Douugh share price, this company has a market capitalisation of $30.6 million.

The post Here’s why the Douugh (ASX:DOU) share price is rocketing 18% today appeared first on The Motley Fool Australia.

More reading

• Z Energy (ASX:ZEL) share price leaps 6% on Ampol takeover news
• Why is the Downer (ASX:DOW) share price struggling today?
• Why the Predictive Discovery (ASX:PDI) share price is in a trading halt
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Motley Fool contributor Sebastian Bowen 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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