Tag: Motley Fool

With earnings season on the horizon, analysts at Goldman Sachs have been looking to see which ASX 200 shares might surprise with their results.

Two ASX 200 shares that have been tipped to positively surprise next month are listed below. Here’s what the broker is expecting:

Bapcor Ltd (ASX: BAP)

Goldman Sachs believes there is upside risk to consensus estimates for this auto parts retailer in FY 2021. It notes that trading conditions remain robust and are being underpinned by continued strength in consumer spending and increased vehicle ownership.

Goldman highlights that key competitor, GPC, recently released its quarterly update and revealed same store sales growth in the mid to high teens for the June quarter. As a result, its analysts are forecasting a net profit after tax of $131 million in FY 2021, compared to the consensus estimate of $125 million. The broker’s estimate implies a 47% increase on FY 2020’s net profit after tax of $89.1 million.

Goldman Sachs has a buy rating and $9.25 price target on its shares. This compares to the latest Bapcor share price of $8.19.

Coles Group Ltd (ASX: COL)

Another ASX 200 share that Goldman Sachs believes could surprise to the upside is Coles. It notes that the supermarket giant has gone through a period of strong underlying sales growth driven by at-home consumption.

The broker’s earnings forecast remains ahead of the consensus by ~1.3%, with the positive surprise expected to be driven by the Liquor and Coles express divisions. In addition, the broker expects to see improvements in key metrics, such as ecommerce and market share, and a positive update on its Smarter Selling program.

Goldman highlights that the Coles share price trades at a significant discount to its rival Woolworths Group Ltd (ASX: WOW). It expects this to narrow as its margins improve.

Its analysts currently have a buy rating and $19.40 price target on Coles shares. This compares to the latest Coles share price of $17.57.

The post 2 ASX 200 shares tipped to positively surprise during reporting season appeared first on The Motley Fool Australia.

More reading

• 2 ASX dividend shares that analysts rate as buys
• Is the Coles (ASX:COL) share price a buy?
• How much is the Coles (ASX:COL) dividend worth today?
• Why has the Brickworks share price rocketed up 50% in the last year?
• 2 excellent ASX 200 blue chip shares named as buys

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 owns shares of and has recommended Bapcor and COLESGROUP DEF SET. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/2WCrToT

The Ecograf Ltd (ASX: EGR) share price is falling today after the company released its report for the quarter ended 30 June.

Ecograf’s quarterly activities and cash flow report details the performance of its battery anode material business, lithium-ion battery materials recycling business, and graphite mining business.

The Ecograf share price is currently 72 cents, 3.38% lower than its previous close.

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

What’s driving the Ecograf share price today?

Cash flow report

The Ecograf share price is down on the back of the company’s final quarter of the 2021 financial year report.

Over the quarter ended 30 June, Ecograf used $553,000 in operating activities.

It spent $79,000 on exploration, $195,000 on staffing, and $242,000 on administration and corporate costs.

The company received $374,000 worth of government grants and tax incentives.

That brings its total spend on operating activities over the 2021 financial year to $2.33 million.

Ecograf finished the quarter with $52.6 million cash in the bank, mostly left over from its February capital raise.

That’s enough to fund it for another 88 quarters, or 22 years, if its outflows stay the same.

Activities report

The Ecograf share price is slipping despite the company’s productive quarter.

Over the quarter, the company’s Battery Anode Material Facility, located near Perth, was awarded Major Project Status.

It also completed locked cycle testing for the facility’s pre-construction program.

The company is also in discussions with European countries about developing a Battery Anode Material Facility in Europe.

Ecograf’s Tanzanian graphite mining business is going well, having received the approval of the Tanzanian government.

Finally, Ecograf listed on the OTCQX market over the quarter.

Ecograf share price snapshot

Despite today’s fall, Ecograf has been performing well this year.

So far, Ecograf shares have gained 320% since the start of 2021. They are also 921% higher than they were this time last year.

The company has a market capitalisation of around $321 million, with approximately 449 million shares outstanding.

The post Ecograf (ASX:EGR) share price falls on the back of its Q4 results appeared first on The Motley Fool Australia.

More reading

• EcoGraf (ASX:EGR) share price flying 14% higher on funding update
• EcoGraf (ASX:EGR) share price lifts 5% on lithium update
• Why the Ecograf (ASX:EGR) share price is soaring 16% today
• Here’s why the Ecograf (ASX:EGR) share price is up 8% today
• Why the Novonix (ASX:NVX) share price rocketed 16% today

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

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

from The Motley Fool Australia https://ift.tt/3j0rKmB

The EML Payments Ltd (ASX: EML) share price is moving south on Friday on its latest regulatory news.

At the time of writing, shares in the financial services company are trading down 2.48% to $3.54.

The EML share price is now 30% lower than it was prior to the Central Bank of Ireland voicing its concerns over anti-money laundering/counter-terrorism financing compliance.

Cough up the cash

Investors have been blindsided once again by issues stemming from the company’s acquisition of Prepaid Financial Services (PFS).

According to the release, EML has identified historical deficiencies in cash for dormant and expired e-money accounts. Typically, these funds would be held in safeguarding accounts for six years after account expiration.

Additionally, the company explained these deficiencies pre-date the acquisition of PFS UK – which took place on 31 March 2020 and saw the EML share price soar by 70%. As a result, EML has reported the issue to the Financial Conduct Authority. The company expects to provide further details to the regulator over the coming weeks.

At this point in time, EML does not expect the event to have an impact on its profit and loss account. However, it does expect it will be required to inject £14.1 million ($26.6 million) into safeguarded accounts. At the end of June EML reported having $140 million in cash.

The safeguarded funds might be released back to the company if the accounts are not revived from a dormant state over an extended period.

EML share price damage

This latest development is in addition to the ongoing inspection by the Central Bank of Ireland. At this stage, shareholders are none the wiser regarding this matter.

Additionally, these matters come at an inconvenient time as EML tries to acquire Sentenial Limited and Nuapay. This acquisition remains subject to a nod from the Autorité de Contrôle Prudentiel et de Résolution (ACPR). Last we heard, the company expects the acquisition to be completed in the first quarter of FY22.

Finally, the regulatory matters have put a dent in the EML share price. Investors are down 14.9% since the start of 2021.

The post The EML Payments (ASX:EML) share price is falling today. Here’s why appeared first on The Motley Fool Australia.

More reading

• Two months on, what is the outlook for the EML Payments (ASX:EML) share price?
• The EML Payments (ASX:EML) share price surges 5% today
• The 3 ASX shares that top brokers just upgraded to “buy”
• Here are the 5 worst performing ASX 200 tech shares from FY21
• The EML Payments (ASX:EML) share price zoomed 4% higher today

Motley Fool contributor Mitchell Lawler owns shares of EML Payments. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended EML Payments. The Motley Fool Australia owns shares of and has recommended EML Payments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/3760Lk4

There are many, many ASX exchange-traded funds (ETFs) out there. So many that choosing one can be a difficult task. There are ETFs covering every industry, sector or index out there, including bank shares, healthcare shares, silver prices, or battery technology. Not only that, but there are also multiple ETFs that cover the same index. Take the S&P/ASX 200 Index (ASX: XJO). There are at least 3 different ETFs on the ASX that track this index alone.

No wonder the choices can be overwhelming. So it might be a good time to turn to an expert’s opinion on this matter. And who better to turn to than the legendary investor Warren Buffett – chair and CEO of Berkshire Hathaway Inc. (NYSE: BRK.A)(NYSE: BRK.B).

Buffett does not invest in ETFs himself. Instead, his company Berkshire Hathaway famously holds a portfolio of blue chip US shares, such as the Coca-Cola Co (NYSE: KO) and Apple Inc (NASDAQ: AAPL).

It’s the S&P 500, silly

But he has spoken about which ETF he likes the most. And his advice is unequivocal. In his 2014 letter to the shareholders of Berkshire Hathaway, Buffett stated the following on where he wants his money invested when it sadly comes time for him to shuffle off this mortal coil:

My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard’s.) I believe the trust’s long-term results from this policy will be superior to those attained by most investors – whether pension funds, institutions or individuals – who employ high-fee managers.

So there you have it. Warren Buffett’s favourite ETF is an S&P 500 index fund, preferably from Vanguard.

Our Fool colleagues over in Buffett’s home country also have some quotes from Buffett that supplement the quote above:

• Just pick a broad index like the S&P 500. Don’t put your money in all at once; do it over a period of time.

• Among the various propositions offered to you, if you invested in a very low cost index fund — where you don’t put the money in at one time, but average in over 10 years — you’ll do better than 90% of people who start investing at the same time

Taking what Buffett has called a “slice of America”, the S&P 500 Index invests in 500 of the largest companies on the American markets.

What would Buffett’s ASX ETF pick be?

Unfortunately, here on the ASX, we don’t have a Vanguard S&P 500 ETF. Although there is a similar fund in the Vanguard US Total Market Shares Index ETF (ASX: VTS), which invests in a larger pool of US companies than the S&P 500 does.

However, there is an S&P 500 ETF on the ASX, the iShares S&P 500 ETF (ASX: IVV), which is provided by BlackRock. This ETF tracks the S&P 500 in all its glory, charging a management fee of 0.04% per annum to do so.

This ETF is not hedged to Australian dollars though, meaning that its value can be affected by fluctuations in the Aussie dollar/ US dollar exchange rate. There is also the iShares S&P 500 (AUD Hedged) ETF (ASX: IHVV) though, which removes this variable for a ‘purer’ S&P 500 exposure.

Judging by Warren Buffett’s comments above, we might have found what theoretically could be his favourite ASX ETF if he was forced to choose an investment down under here on the ASX.

The post Best ASX ETF? This fund would be Warren Buffett’s top pick appeared first on The Motley Fool Australia.

More reading

• Warren Buffett owns these dividend-paying growth stocks — should you?
• ASX blue chips set to unleash buybacks and dividends! But which is better?

Motley Fool contributor Sebastian Bowen owns shares of Coca-Cola. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Apple and Berkshire Hathaway (B shares). The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool Australia has recommended Apple, Berkshire Hathaway (B shares), and iShares Trust – iShares Core S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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

The Kirkland Lake Gold CDI (ASX: KLA) share price is charging higher today, up more than 5%.

The company is listed on the Canadian, US and Australian exchanges, with producing gold mines in Canada and Australia.

Below we take a look at the ASX gold share’s latest quarterly and half year results, for the financial year ending 30 June.

What results did Kirkland report?

Kirkland Lake Gold’s share price is leaping after the company reported that production increased at all 3 of its cornerstone assets in the second quarter of 2021 (Q2 2021), compared to both Q2 2020 and Q1 2021.

Kirkland produced 379,195 ounces of gold in the reported quarter. That’s up 25% from the prior quarter and also an increase of 15% on gold production figures from Q2 2020.

Year-to-date gold production increased 3% from the 2020 half year figures, to reach 682,042 ounces of gold.

The Kirkland Lake Gold share price is also likely getting a lift after the company reported record net earnings and earnings per share (EPS) for the quarter.

Net earnings came in at US$224.2 million, or 91 cents per share. That’s up 67% year-on-year and up 51% from the prior quarter.

In the meantime, costs came in below the company’s guidance for the quarter.

Kirkland reported operating cash costs of US$431 per ounce of gold sold compared to guidance of US$450 per ounce to US$475 per ounce.

All in sustaining costs (AISC) were US$780 per ounce, also below guidance of US$790 per ounce to US$810 per ounce.

During the half year, the company paid US$100.3 million in dividends to shareholders, and it used $58.3 million to repurchase shares.

The company is continuing apace with its exploration programs.

Commenting on the half year results, Tony Makuch, Kirkland Lake Gold’s CEO said:

We had an excellent quarter in Q2 2021 highlighted by record earnings, record quarterly production, strong revenue growth and significant increases in both operating and free cash flow…

Our financial strength continued to improve during Q2 2021, with cash increasing to $858.4 million, and we remain committed to returning capital to shareholders, renewing our normal course issuer bid and introducing an automatic share purchase plan.

What’s ahead for Kirkland Lake Gold?

Looking ahead, Kirkland is targeting the higher end of its full financial year production guidance of 1.3 million to 1.4 million ounces of gold. It said it will maintain its unit cost and capital expenditure guidance.

Readers looking for a deeper dive into Kirkland’s complete Management’s Discussion and Analysis (MD&A) can find that here.

Kirkland Lake Gold share price snapshot

Over the past 12 months, Kirkland Lake Gold’s share price is down 20%. Over that same time, the S&P/ASX 200 Index (ASX: XJO) is up 22%.

Year-to-date, the Kirkland Lake Gold share price is in the green, up 3% at the time of writing.

The post Why the Kirkland Lake Gold (ASX:KLA) share price is charging 5% higher appeared first on The Motley Fool Australia.

More reading

• ASX 200 midday update: NAB’s $2.5bn buyback, Origin shares sink
• Own Zip (ASX:Z1P) shares? Here’s what to look for during reporting season
• What’s going on with the Pilbara Minerals (ASX:PLS) share price today?
• Why is the Vulcan Energy (ASX:VUL) share price halted?
• Incannex (ASX:IHL) share price flat after earnings report

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

from The Motley Fool Australia https://ift.tt/3BV9Bzb

At lunch on Friday, the S&P/ASX 200 Index (ASX: XJO) is on course to end the week with a small daily decline. The benchmark index is currently down 0.1% to 7,409 points.

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

NAB to return $2.5 billion to shareholders

The National Australia Bank Ltd (ASX: NAB) share price is edging higher today after announcing plans to return $2.5 billion to shareholders via an on-market share buy-back. The bank advised that this is part of its plan to progressively manage its Common Equity Tier 1 (CET1) ratio towards its target range of 10.75% to 11.25%. It also hinted that further buy-backs could come in the future depending on market conditions and its capital outlook.

Origin sinks on impairment charge and guidance update

The Origin Energy Ltd (ASX: ORG) share price is crashing lower today after revealing a $2.2 billion impairment charge. This comprises $1,578 million of post-tax charges relating to Energy Markets goodwill and generation assets, and a tax expense of $669 million relating to a deferred tax liability. Management also warned that its Energy Markets earnings would drop materially in FY 2022.

Mineral Resources shares hit record high

The Mineral Resources Limited (ASX: MIN) share price climbed to a record high this morning following the release of a strong fourth quarter update. The mining and mining services company reported a record 5.2 million wet metric tonnes (wmt) of iron ore shipments for the June quarter. This is a quarter-on-quarter increase of 27%. This led to FY 2021 shipments increasing 23% year on year to a record 17.3 million wmt.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Friday has been the Janus Henderson Group CDI (ASX: JHG) share price with a 6.5% gain. This follows the release of a strong second quarter update and the announcement of a US$200 million share buyback. The worst performer on the ASX 200 has been the Origin share price with a 9% decline following its disappointing update.

The post ASX 200 midday update: NAB’s $2.5bn buyback, Origin shares sink appeared first on The Motley Fool Australia.

More reading

• What’s going on with the Pilbara Minerals (ASX:PLS) share price today?
• Mineral Resources (ASX:MIN) share price hits another record high after quarterly update
• Janus Henderson (ASX:JHG) share price jumps 9% to multi-year high
• Origin (ASX:ORG) share price crashes 8% on $2.2bn charge and FY 2022 guidance
• NAB (ASX:NAB) share price on watch after announcing $2.5bn buy-back

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.

from The Motley Fool Australia https://ift.tt/3iV7Edm

Zip Co Ltd (ASX: Z1P) shares are among the most popular and heavily traded shares on the Australian share market.

In light of this, there will no doubt be a lot of interest in its full year results next month.

Ahead of the release, I thought I would take a look at what the market is expecting.

What is the market expecting from Zip in FY 2021?

Given that Zip recently released its fourth quarter update, there won’t be too many surprises when the company hands in its report card.

For example, that update reveals that Zip grew its active customer by 87% to 7.3 million and its merchant by 84% to 51,300.

Impressively, more than half of its active customers are now in the United States. At the end of the period, the company had 4.4 million customers in the United States, 2.8 million in the ANZ region, and approximately 70,000 in the UK.

Investors may want to look out for an update on customer growth so far in the first quarter of FY 2022.

Another big loss is expected

Zip is of course operating at a loss as it focuses on investing heavily in its global growth plans.

As a result, another sizeable loss is expected by the market. Analysts at Citi, for example, are forecasting a loss of $152 million in FY 2021. Anything significantly better than this could give Zip shares a boost.

Are Zip shares in the buy zone?

Despite forecasting a $152 million loss, Citi still believes Zip shares are in the buy zone.

Its analysts recently put a buy rating and $8.90 price target on the company’s shares. This compares to the latest Zip share price of $6.79, implying potential upside of 31% over the next 12 months.

Citi sees risks to margins but notes that it still has a very long runway for growth.

The broker commented: “While the slowdown in US customer adds in 4Q could reflect increasing competition, we expect customer adds to pick-up in 1H22e driven by onboarding of enterprise merchants (e.g. Mercari, Shein). Our investment thesis remains unchanged – while we continue to see downside risk to Zip’s growth and margin outlook from a medium-term perspective given its US and UK operations lack scale, we remain Buy rated as we expect Quadpay’s Shop Anywhere offering to drive growth in the near-term, with Citi 10% above FY22e consensus revenue forecasts.”

Zip shares are up 21% in 2021. Shareholders will no doubt be hoping this run continues next month.

The post Own Zip (ASX:Z1P) shares? Here’s what to look for during reporting season appeared first on The Motley Fool Australia.

More reading

• Zip (ASX: Z1P) share price booms, IRESS gets a takeover offer. Scott Phillips on Nine’s Late News
• Why the Afterpay (ASX:APT) share price is in the green today
• Here’s why the Zip Co (ASX:Z1P) share price is leaping 5% today
• Down 7% this week, why the Zip (ASX:Z1P) share price keeps falling
• CBA and Zip were among the most traded ASX shares last week

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 has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/2WvsmsR

The S&P/ASX 200 Index (ASX: XJO) has once again opened higher this Friday, initially rising 0.27% to 7,435 points.

It then declined during mid-morning trade to 7,408 points at the time of writing, down 0.13% on yesterday’s close.

One ASX 200 share isn’t opening at all today. That would be the Pilbara Minerals Ltd (ASX: PLS) share price.

Pilbara shares are currently sitting at $1.77 a share. And that’s where they’ll be staying, at least for the moment.

That’s because, on 27 July, Pilbara requested a trading halt for its shares and has been off the market ever since.

Why the trading halt?

Well, in a rather embarrassing episode for Pilbara, the company was forced to request a trading halt earlier in the week due to an administrative error. Specifically, a failure to put out a cleansing notice to the ASX within 5 days of a share issuance.

Initially, Pilbara stated that its shares would return to trading by yesterday. That didn’t occur.

Pilbara has subsequently announced that its shares will only resume trading after the outcome of its court application is released this afternoon.

Pilbara is applying to the Supreme Court of Western Australia for an extension of time to lodge the cleansing notice and to backdate it to the original date of the share issuance.

However, some other developments have also come to light.

Lithium selling like hot cakes

Firstly, Pilbara released its fourth-quarter update to investors on Wednesday. And it painted a pretty picture.

Pilbara reported record production and sales of lithium spodumene concentrate. It also predicted that lithium prices would continue to rise thanks to demand from China and tight supplies.

However, we got even more news from Pilbara yesterday. This relates to the company’s “inaugural spodumene auction”. This was held through its Battery Material Exchange (BMX) yesterday afternoon.

This auction was for a cargo of 10,000 dry metric tonnes (dmt) of spodumene concentrate. Reportedly, 17 bidders showing “strong interest” participated in this auction.

Pilbara ended up accepting the highest bid of US$1,250/dmt for the cargo. If all goes well with the successful bidder’s sales contract, the cargo is expected to be shipped “in the latter part of August”.

Pilbara concluded by stating that “results to date in the online auction process are very supportive of Pilbara Minerals’ objective to access a broad range of buyers via the new BMX sales channel”.

About the Pilbara Minerals share price

The Pilbara Minerals share price has been one of the ASX 200’s best performers in 2021 so far. The company is up an impressive 103.45% year to date and an even better 420% (no joke) over the past 12 months.

At Pilbara’s current share price, the company has a market capitalisation of $5.13 billion.

The post What’s going on with the Pilbara Minerals (ASX:PLS) share price today? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Here are 3 of the most heavily traded ASX 200 shares this Thursday
• ASX 200 rises, Fortescue up, Airtasker climbs
• The ASX 200’s new record high is flimsier than you might think. Here’s why
• These are the latest 3 ASX shares to be downgraded by brokers

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.

from The Motley Fool Australia https://ift.tt/2VdKN4J

The Vulcan Energy Resources Ltd (ASX: VUL) share price won’t be going anywhere on Friday after the company requested a trading halt.

What’s the trading halt for?

Vulcan requested the trading halt on the basis of a pending announcement regarding a binding offtake term sheet.

The Vulcan share price is expected to remain in a trading halt until Tuesday, 3 August.

A second offtake agreement on the horizon

Vulcan is nearing the end of its exploration phase, according to the company’s recent Zero Carbon Lithium project presentation.

Vulcan will be busy delivering a number of pre-construction prerequisites including a definitive feasibility study, securing offtake agreements and financing over the next few months.

It was just last week that Vulcan announced a binding lithium hydroxide offtake agreement with LG Energy Solution.

The agreement will run for a five-year term with the option to extend for another five years.

Commercial delivery is expected to begin in 2025, where LG will purchase 5,000 metric tonnes in the first year, increasing to 10,000 metric tonnes the second year and beyond.

According to Vulcan’s project timeline, construction for phase 1 of its zero-carbon lithium project should begin by the end of 2022 with a maiden lithium hydroxide production by mid-2024.

Phase 1 is expected to produce approximately 15 kilotonnes (kt) of lithium hydroxide.

Phase 2, which will begin construction around mid-2023 and reach production status in 2025 will lift the company’s production output to 40 kt.

Vulcan share price snapshot

The Vulcan share price rallied 9.74% to $9.80 in its last trading session on Thursday.

The company’s shares have ballooned in valuation, surging 253% year-to-date.

The post Why is the Vulcan Energy (ASX:VUL) share price halted? appeared first on The Motley Fool Australia.

More reading

• Vulcan Energy (ASX:VUL) share price surges 10% on quarterly update
• Vulcan (ASX:VUL) share price on watch following spin-off IPO update
• Why CSL, Humm, IntelliHR, & Vulcan shares are pushing higher
• Why the Vulcan (ASX:VUL) share price is jumping 9% on Monday
• Why Flight Centre, PolyNovo, Vulcan, & Zip shares are sinking

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

from The Motley Fool Australia https://ift.tt/3l7CC4U

The Incannex Healthcare Ltd (ASX: IHL) share price has remained flat in this morning’s trade, without any excitement either way.

Incannex shares haven’t budged despite the healthcare company providing an update on its progress for the quarter ending 30 June 2021.

At the time of writing, the Incannex share price is 25 cents, in line with the market open.

Let’s take a closer look at what the company released.

Quick refresher on Incannex Healthcare

Incannex is a clinical-stage medicinal cannabis company. It has four significant clinical programs for its products underway in pursuit of regulatory approval in the US.

These programs cover conditions such as sleep apnoea (OSA), traumatic brain injury (TBI) and temporomandibular joint disorder (TMJD).

At the time of writing, Incannex has a market capitalisation of $267 million.

Quarterly results

Incannex achieved several progress points across the most recent quarter, as detailed in the report.

Firstly, it realised a total of $133k in cash inflow “associated with the sale of unregistered cannabinoid oils”.

This was offset by a net cash outflow of $2.175 million that was designated for research and development (R&D) expenditures.

Additionally, the company completed its clinical trial protocol for “psilocybin-assisted psychotherapy” in the treatment of generalised anxiety disorder.

Incannex advised that recruitment of therapists for this program would be finalised and their training commence in the upcoming quarters.

Moreover, the company engaged with the University of Western Australia “as an additional site” to its phase 2b clinical trial investigating its products in OSA.

Earlier in July, the company had filed an international patent application for these formulations in the United States, European Union, Japan and Australia.

In addition, Incannex also expanded its clinical program to examine the effects of its products in inflammatory conditions such as bronchitis, rheumatoid arthritis and inflammatory bowel disease.

Furthermore, the company is investigating the delivery of its oils via gel capsules in a clinical trial, engaging Procaps S.A, a “GMP compliant manufacturer”, to produce its capsules.

Incannex said Procaps had the capacity to “quickly ramp up production to commercial quantities” should the clinical trial be successful.

Finally, Incannex has also entered into a collaboration with Vectura Ltd to develop the “formulation” of one of its compounds, to be “used in clinical trials” against TBI.

Incannex share price snapshot

The Incannex share price has posted a year to date return of 61%, extending the previous 12 month’s return of 267%.

These returns have outpaced the S&P/ASX 200 Index (ASX: XJO)’s return of ~23% over the past year.

Additionally, the Incannex share price has climbed ~6 over the past 1 month.

The post Incannex (ASX:IHL) share price flat after earnings report appeared first on The Motley Fool Australia.

More reading

• Incannex (ASX:IHL) share price up on patent application announcement
• Here’s why Incannex (ASX:IHL) shares are in a trading halt

The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/2Wr5tGY