Tag: Motley Fool

  • Pointerra (ASX:3DP) share price leaps 8% ahead of next week’s earnings

    jump in asx share price represented by man leaping up from one wooden pillar to the next

    The Pointerra Ltd (ASX: 3DP) share price rebounded strongly today despite no recent news coming out of the company. It’s worth noting that the company’s shares fell 12.50% at the start of the week.

    At Wednesday’s market close, Pointerra shares finished the day up 8.57% to 38 cents. In comparison, the All Ordinaries Index (ASX: XAO) closed 0.46% higher to 7,809 points.

    What happened to Pointerra shares last reporting season?

    When Pointerra last reported its half-year result for FY21, its shares descended around 20% within a matter of days. This came despite the company achieving robust growth across most key metrics.

    Revenue came to $1.56 million, up 218%, and cash receipts to $1.14 million, up 132% over the prior corresponding period.

    In addition, Annual Contract Value (ACV) surged to US$6.88 million, up 139% against H1 FY20’s result.

    Pointerra attributed the step-change improvements to solution development in its service offering, which drove new customer acquisitions. This included Data-Protection-as-a-Service (DPaaS), Data-as-a-Service (DaaS), and Analytics-as-a-Service (AaaS).

    The soft launch of the 3Dinsight.ai cloud marketplace also provided additional revenue to the company’s coffers.

    Notably, Pointerra highlighted that it increased its headcount from 12 full-time employees to 20 full-time employees to meet increasing demand.

    However, while the results seemed positive, the company did post a loss after tax of almost $1 million, down 25%. This was mainly driven by research and development expenses as well as administration costs.

    Undoubtedly, investors were unimpressed, selling Pointerra shares to a low of 67 cents on 9 March 2021.

    The company is scheduled to report its FY21 full-year results on Tuesday 31 August 2021.

    About the Pointerra share price

    Over the last 12 months, the Pointerra share price has travelled 40% higher, but fallen year-to-date, down 25%. The company’s shares are at the lower end of its 52-week range of 25.5 cents and 92.5 cents.

    Pointerra presides a market capitalisation of roughly $257.5 million, with more than 677 million shares on its registry.

    The post Pointerra (ASX:3DP) share price leaps 8% ahead of next week’s earnings appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Pointerra right now?

    Before you consider Pointerra, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Pointerra wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

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    Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Pointerra Limited. The Motley Fool Australia has recommended Pointerra 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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  • 3 stellar small cap ASX shares for your watchlist

    ASX share price on watch represented by man looking through magnifying glass

    The Australian share market is home to a good number of promising small caps that have the potential to grow strongly over the 2020s.

    Three that could be worth watching closely are listed below. Here’s what you need to know about them:

    Adore Beauty Group Ltd (ASX: ABY)

    The first small cap to watch is Adore Beauty. It is Australia’s leading online beauty retailer with ~700,000 active customers. While the company has been growing very strongly during the pandemic, it still has a very long runway for growth. This is due to the relatively low penetration of online beauty sales relative to other Western markets and categories. This puts Adore Beauty in a great position to continue growing strongly in a post-pandemic world.

    Over The Wire Holdings Ltd (ASX: OTW)

    Over The Wire could be another small cap to watch closely. It is a telecommunications, cloud and IT solutions provider that has a national network with points of presence in all major Australian capital cities. The company offers an integrated suite of products and services to business customers including Data Networks and Internet, Voice, Data Centre co-location, Cloud and Managed Services. It recently released its full year results and revealed a 38% increase in recurring revenue to $103.2 million and a 35% lift in EBITDA to $23.5 million.

    Serko Ltd (ASX: SKO)

    A final small cap share to watch is Serko. It is a travel technology company that offers a number of solutions to businesses. These include AI-powered end-to-end travel itineraries, cost control, travel policy compliance solutions, and fraud prevention. Combined, its technology makes the process of booking, managing and reconciling business travel and expenses, a better experience for everyone involved. Demand for its offering softened during the pandemic but is rebounding strongly now. This will be supported by a game-changing deal with travel booking giant Booking.com in FY 2022.

    The post 3 stellar small cap ASX shares for your watchlist appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

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    Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Over The Wire Holdings Ltd and Serko Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Adore Beauty Group Limited. The Motley Fool Australia has recommended Over The Wire Holdings Ltd and Serko 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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  • Here are the 3 most traded ASX 200 shares today

    A woman clenches her hands in frustration at what she's seen on the share market today.

    The S&P/ASX 200 Index (ASX: XJO) enjoyed a comfortable day of trading this Wednesday. At market close, the ASX 200 finished up a healthy 0.39% to 7,531.9 points.

    So let’s dig a little deeper and see which ASX 200 shares topped the charts today in terms of raw trading volume.

    The 3 most traded ASX 200 shares this Wednesday

    Scentre Group (ASX: SCG)

    ASX 200 real estate investment trust (REIT) Scentre Group is our first ASX 200 share to check out today. By market close on Wednesday, an impressive 26.58 million Scentre units have changed hands.

    Although there were no major news or announcements out of the Westfield owner today, Scentre did report its FY21 earnings yesterday, which caused a bit of a stir. Scentre shares finished up another 2.21% today, and are now up more than 8% over the past week. As such, we can point to these earnings as the probable cause for the relatively large trading volume we saw today with this REIT.

    Telstra Corporation Ltd (ASX: TLS)

    ASX 200 telco Telstra is next up here, with a very robust 34.55 million shares changing hands today. Again there was no major news or announcements out from Telstra. However, the telco’s share price has taken quite a nasty hit this week.

    Telstra shares finished the day down 2.54% to $3.83 a share. Since Monday morning, Telstra has fallen 4.7%. Since this telco is a very large company with a relatively low share price, these moves can often spark a large trading volume.

    Nine Entertainment Co Holdings Ltd (ASX: NEC)

    And last but certainly not least we have entertainment and media company Nine. Nine reported its FY21 earnings this morning, and the reaction from investors has been merciless.

    The company finished the day down a nasty 9.7% to $2.69 a share after its report this morning. Almost certainly as a result, this Wednesday has seen a huge 38.3 million NEC shares bought and sold. You can read more about what exactly seems to have spooked Nine investors here. Even so, Nine shares remain up around 16% year to date in 2021 so far.

    The post Here are the 3 most traded ASX 200 shares today appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

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    Motley Fool contributor Sebastian Bowen owns shares of Telstra Corporation Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra Corporation Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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  • 2 quality ASX dividend shares rated as buys this month

    high paying dividends in retirement

    Are you looking for some quality ASX dividend shares to add to your income portfolio?

    Then you might want to look at the ones listed below. Here’s what you need to know about these dividend shares:

    Accent Group Ltd (ASX: AX1)

    The first ASX dividend share to look at is Accent Group. It is a retail conglomerate with a focus on the leisure footwear market.

    Accent has been growing at a solid rate over the last few years thanks to the popularity of its store brands, its network expansion, and strong demand. This continued in FY 2021, with Accent recently delivering a 19.9% increase in sales to $1.14 billion and a 38.6% jump in net profit after tax to $76.9 million.

    While the team at Bell Potter are expecting a softer result next year, they remain very positive on the company.

    Bell Potter currently has a buy rating and $2.90 price target on its shares. The broker is also forecasting fully franked dividends per share of 9.3 cents in FY 2022 and 13.3 cents in FY 2023.

    Based on the current Accent share price of $2.20, this will mean fully franked yields of 4.2% and 6%, respectively.

    Transurban Group (ASX: TCL)

    This toll road operator could be another ASX dividend share to consider.

    Although its performance is being impacted greatly by lockdowns, it looks well-positioned to bounce back strongly once life returns to normal. And with the vaccine rollout going well, this may be sooner than later thankfully.

    Analysts at Ord Minnett are positive on the company. This month the broker retained its buy rating but trimmed its price target slightly to $15.50. Ord Minnett is also forecasting dividends of 36.5 cents per share in FY 2021 and then 48.4 cents per share in FY 2022.

    Based on the current Transurban share price of $14.07 this will mean yields of 2.6% and 3.5%, respectively.

    The post 2 quality ASX dividend shares rated as buys this month appeared first on The Motley Fool Australia.

    These Dividend Stocks Could Be Your Next Cash Kings (FREE REPORT)

    Motley Fool Australia’s Dividend experts recently released a FREE report revealing 3 dividend stocks with JUICY franked dividends that could keep paying you meaty dividends for years to come.

    Our team of investors think these 3 dividend stocks should be a ‘must consider’ for any savvy dividend investor. But more importantly, could potentially make Australian investors a heap of passive income.

    Don’t miss out! Simply click the link below to grab your free copy and discover these 3 high conviction stocks now.

    Returns As of 16th August 2021

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    Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Accent Group. 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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  • Top brokers name 3 ASX shares to buy today

    Three different hands against a blue backdrop signal thumbs up, indicating share price rise on the ASX market

    Many of Australia’s top brokers have been busy adjusting their financial models again, leading to the release of a large number of broker notes this week.

    Three broker buy ratings that have caught my eye are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

    Bigtincan Holdings Ltd (ASX: BTH)

    According to a note out of Morgan Stanley, its analysts have retained their overweight rating and lifted their price target on this sales enablement software company’s shares to $2.10. This follows the announcement of the acquisition of Brainshark for what the broker feels is a very reasonable price. Morgan Stanley was pleased with the news and believes it will help the company reach profitability sooner than previously expected. The Bigtincan share price is trading at $1.46 on Wednesday.

    SEEK Limited (ASX: SEK)

    A note out of Macquarie reveals that its analysts have retained their outperform rating but trimmed their price target on this job listings company’s shares to $37.00. This is despite the release of a softer than expected full year result earlier this week. While Macquarie has lowered its estimates, it still sees a lot of value in the company’s shares at the current level and has retained its outperform rating. The SEEK share price was fetching $31.65 this afternoon.

    Sonic Healthcare Limited (ASX: SHL)

    Analysts at Morgans have retained their add rating and lifted their price target on this healthcare company’s shares to $45.98. This follows the release of a strong full year result for FY 2021 earlier this week. Looking ahead, Morgans is confident in the company’s outlook due to strong demand for COVID testing, its solid base business, strong balance sheet, and acquisition opportunities. This has led to the broker upgrading its earnings forecasts for the coming years. The Sonic share price is trading at $42.35 on Wednesday afternoon.

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

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

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    Motley Fool contributor James Mickleboro owns shares of SEEK Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended BIGTINCAN FPO. The Motley Fool Australia owns shares of and has recommended BIGTINCAN FPO. The Motley Fool Australia has recommended SEEK Limited and Sonic Healthcare 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 Zip (ASX:Z1P) share price is down despite revealing major global growth

    share price plummeting down

    The Zip Co Ltd (ASX: Z1P) share price is currently down after reporting its FY21 result, even though it reported a substantial amount of international growth.

    Global gains in FY21

    Overall, Zip reported that revenue increased 150% to $403.2 million and total transaction volume increased by 176% to $5.8 billion.

    It was the US segment that delivered a substantial amount of the growth. US revenue growth was 269% (pro forma) to $176 million. Transaction volume growth was 225% (pro forma) to $2.45 billion.

    The UK, where Zip recently launched, saw revenue of $1.8 million and transaction volume of $25.2 million.

    ANZ saw revenue and transaction volume growth of 40% and 52% respectively, to $214.5 million and $3.24 billion.

    Zip said it’s executing on its global strategy. It’s now operating across 12 months in five continents, with the official additions of the US, the UK, Canada and Mexico, plus regional market entry points in Europe, the Middle East and Southeast Asia.

    The buy now, pay later business also revealed that it has agreed to acquire the remaining shares in the South African buy now, pay later business, Payflex. Zip explained that Payflex has access to a “sizeable underbanked, young and fast-growing African population”.

    What other factors from FY21 could be impacting the Zip share price?

    Zip released some information about its profitability.

    The company said that it maintained strong unit economics while investing for, and delivering, strong growth. The cash transaction margin was 3.5%.

    Management also stated that the business has delivered a strong credit performance in light of COVID-19, driven by repeat customer usage and investments in its decisioning capabilities. Net bad debts as a percentage of transaction volumes were 1.28%.

    Zip’s receivables book was recycling approximately every three months on a blended basis.

    It saw a $22.9 million loss of earnings before tax, depreciation and amortisation (EBTDA).

    Zips’s bottom line was a loss of $653 million.

    The Zip managing director and CEO Larry Diamond said:

    The trend and shift away from the unfriendly world of credit cards that was the genesis of the Australian business has proven to be a global phenomenon, and Zip continues to accelerate in all our key markets. This global play supporting consumers and global retailers alike, provides a real point of difference as we strive to fulfil our mission to become the first payment choice everywhere, every day.

    The post The Zip (ASX:Z1P) share price is down despite revealing major global growth appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Zip right now?

    Before you consider Zip, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Zip wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

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    Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended ZIPCOLTD FPO. 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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  • Here are the top 10 ASX 200 shares on Wednesday

    share price high, all time record, record share price, highest, price rise, increase, up,

    Today, the S&P/ASX 200 Index (ASX: XJO) climbed further into the green. The benchmark index finished 0.34% higher to 7,527.8 points. Tech shares and miners did most of the heavy lifting to deliver the gain on Wednesday.

    However, the question is: which shares from the top 200 delivered the most green on the ASX today? Here are the ten stocks that delivered the biggest gains:

    Top 10 ASX 200 shares countdown today

    Looking at the top 200 listed companies, WiseTech Global Ltd (ASX: WTC) was the biggest gainer today. Shares in the logistics software company soared 24.45% after smashing its guidance with its FY21 full-year result. Find out more about WiseTech here.

    The next best performing ASX share out of the top 200 today was Flight Centre Travel Group Ltd (ASX: FLT). The travel agent’s shares climbed 6.64% to $16.23 ahead of its earnings tomorrow. Uncover the latest Flight Centre information here.

    Today’s top 10 biggest gains were made in these ASX 200 shares:

    ASX-listed company Share price Price change
    WiseTech Global Ltd (ASX: WTC) $45.05 24.45%
    Flight Centre Travel Group Ltd (ASX: FLT) $16.23 6.64%
    Event Hospitality and Entertainment Ltd (ASX: EVT) $14.92 5.82%
    Viva Energy Group Ltd (ASX: VEA) $2.06 5.37%
    Lynas Rare Earths Ltd (ASX: LYC) $6.81 5.26%
    Qantas Airways Ltd (ASX: QAN) $4.845 4.87%
    SkyCity Entertainment Group Ltd (ASX: SKC) $3.13 4.68%
    Deterra Royalties Ltd (ASX: DRR) $4.40 4.51%
    Dicker Data Ltd (ASX: DDR) $15.76 4.30%
    Summerset Group Holdings Ltd (ASX: SNZ) $13.14 4.29%
    Data as at 3:46pm AEST

    Our top 10 ASX 200 shares 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 200 shares on Wednesday appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

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    Motley Fool contributor Mitchell Lawler owns shares of Lynas Corporation Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Dicker Data Limited and WiseTech Global. The Motley Fool Australia owns shares of and has recommended Dicker Data Limited and WiseTech Global. The Motley Fool Australia has recommended Flight Centre Travel 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 reporting wrap-up: WiseTech, Bravura, Seven Group

    comical investor reading documents and surrounded by calculators

    Another day of reporting on the ASX has drawn to a close. That means it is time for us to summarise some of the big-name results you might have missed on the ASX today.

    We’ll quickly unpack today’s results and then wrap things back up for tomorrow:

    Those that reported on the ASX today

    WiseTech Global Ltd (ASX: WTC)

    Shares in WiseTech had an eventful day after the logistics software company reported its FY21 full-year results. A blockbuster result pushed the share price to an all-time high of $57.31 before entering a trading halt following an ASX price query. After resuming trade, the share price lost its momentum to settle the day up 26% to $45.60.

    The takeaway points:

    Bravura Solutions Ltd (ASX: BVS)

    The Bravura share price suffered a dramatic fall following its reporting of full-year results for FY21. Shares in the financial software solutions provider sank 15.96% lower after reporting a reduction in revenue and earnings.

    The takeaway points:

    • $243 million of revenue –11% less than that of FY20
    • Earnings before interest, tax, depreciation, amortisation (EBIDTA) down 15% to $49.3 million
    • Operating cash flow of $52.7 million
    • Net profit after tax of $34.6 million – down 14% on that of FY20
    • 6-cent per share final dividend (unfranked)

    Seven Group Holdings Ltd (ASX: SVW)

    Lastly, the Seven Group share price stumbled on the ASX today despite reporting a reasonable performance in its FY21 result. The news of Kerry Stokes retiring after the annual general meeting in November may have influenced the 7.56% fall in shares on Wednesday.

    The takeaway points:

    • $4.8 billion on trading revenue – 6.1% more than that of FY20
    • Underlying earnings before interest and tax (EBIT) of $792.1 million, up 7.3%
    • Operating cash flow of $622.4 million, up 15.6%
    • Fully franked final dividend of 23 cents per share (10% more than FY20). That brings the company’s full year dividends to 46 cents

    ASX shares reporting next week

    It was another busy day on the ASX for reporting. However, tomorrow can lay claim to its own set of exciting companies that are slated to release full-year results.

    Some of the big-name companies set to release their financials tomorrow include The A2 Milk Company Ltd (ASX: A2M), Appen Ltd (ASX: APX), Flight Centre Travel Group Ltd (ASX: FLT), Ramsay Health Care Limited (ASX: RHC), Woolworths Group Ltd (ASX: WOW), and Tyro Payments Ltd (ASX: TYR).

    To see the full line-up, check out our ASX Reporting Season Calendar.

    The post The ASX reporting wrap-up: WiseTech, Bravura, Seven Group appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

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    Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Bravura Solutions Ltd and WiseTech Global. The Motley Fool Australia owns shares of and has recommended Bravura Solutions Ltd and WiseTech Global. 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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  • Why Bravura, Nine, Reece, & Zip shares are sinking today

    ASX shares skills shortage downgrade arrow causing the ground to crack symbolising a recession

    In late trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a small gain. At the time of writing, the benchmark index is up 0.2% to 7,520.4 points.

    Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are sinking:

    Bravura Solutions Ltd (ASX: BVS)

    The Bravura share price has crashed 17% to $3.13 following the release of its full year results. In FY 2021, the financial technology company reported an 11% decline in revenue to $243 million and a 14% reduction in net profit after tax to $34.6 million. The latter was at the low end of its guidance range. However, the main drag on its shares appears to be the shock departure of its CEO Tony Klim. He will leave the business next week after 13 years.

    Nine Entertainment Co Holdings Ltd (ASX: NEC)

    The Nine share price has fallen 9% to $2.70. This was despite the media company reporting a 76% increase in net profit after tax to $2278 million for FY 2021. As strong as this was, it was slightly lower than expectations. Also weighing on its shares was management’s operating expense guidance for FY 2022.

    Reece Ltd (ASX: REH)

    The Reece share price has crashed 11% to $22.32. This follows the release of the plumbing parts company’s full year results after the market close on Tuesday. While that result was in line with the market’s expectations, management’s uncertain outlook is weighing on its shares. Particularly given the lofty multiples they trade on.

    Zip Co Ltd (ASX: Z1P)

    The Zip share price is down 3% to $7.11. This morning Zip released its full year results and reported a 150% increase in revenue to $403.2 million. This was driven by a 178.5% jump in transaction volume to $5.8 billion, which was underpinned by a 247.5% increase in customer numbers to 7.3 million. The company also revealed that so far in FY 2022 total transaction value was up 58% in Australia and 240% in the United States. As positive as this was, its increasing costs appears to have spooked investors.

    The post Why Bravura, Nine, Reece, & Zip shares are sinking today appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

    More reading

    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 Bravura Solutions Ltd and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Bravura Solutions 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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  • Why the Althea (ASX:AGH) share price is sinking 10% today

    A smartly dressed man screams to the sky in a trendy office.

    The Althea Group Holdings Ltd (ASX: AGH) share price has returned to trading today only to get smoked by investors. The cannabis company provided an update to market on its latest capital raising efforts.

    At the time of writing, Althea shares are down a sizeable 10.53% to 25.5 cents. In comparison, the All Ordinaries Index (ASX: XAO) is up 0.34% to 7,799 points.

    What did Althea announce?

    A reason for the steep fall in the Althea share price could be an impending share dilution by the company.

    According to today’s announcement, Althea advised it has successfully completed an institutional placement, raising $10.64 million before costs.

    Both new and existing institutional and sophisticated investors signalled strong interest to support Althea’s growth plans.

    As a result, around 44.35 million shares will be issued to participating investors at a price of 24 cents each. This represents a 15.8% discount on the last closing price of Althea shares before going into a trading halt on 23 August.

    Althea will use the proceeds of the placement to fund a range of growth initiatives across the company’s pharmaceutical business. This includes supporting further expansion in Australia, Europe, and other international markets. Furthermore, Althea will use part of the funds for general working capital expenses.

    Althea group CEO Joshua Fegan commented:

    We are very pleased to have received strong interest for this capital raising. The additional funding will fuel a range of strategic growth initiatives in our pharmaceutical business, and I’d like to take this opportunity to thank our new and existing shareholders for their support. We look forward to updating the market with news regarding our progress in established territories, as well as our ongoing international expansion.

    About the Althea share price

    Attributing to today’s loss, the Althea share price has given up 40% of its value since the beginning of 2021. Looking at a larger time frame, the company’s shares haven’t fared much better, down 30% over the past 12 months.

    On valuation grounds, Althea has a market capitalisation of around $66.9 million, with approximately 262 million shares on issue.

    The post Why the Althea (ASX:AGH) share price is sinking 10% today appeared first on The Motley Fool Australia.

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

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