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The S&P/ASX 200 Index (ASX: XJO) is not having a great day on the markets today. The ASX 200 is currently down 0.49% to 7,277 points at the time of writing. However, one share that’s doing far worse on the markets today is Domino’s Pizza Enterprises Ltd. (ASX: DMP). Domino’s shares are currently down 3.05% to $116.84 a share. The company is also down 1.6% over the past 5 trading days. But is also still up 4.2% over the past month and up a healthy 32.3% year to date.

But what’s going on with Domino’s today to elicit such a divergent share price movement to the broader market?

Dominos share price on the slide

Well, the only real news out of the company today (or since 24 June in fact) was an ASX notice released this morning. This notice informed the markets that a substantial investor in First Sentier Investors Holding Pty Ltd had sold some of its position in Domino’s throughout June. This notice included both buy and sell moves. But the sales outnumbered the buys by quite a large margin. Several sell transactions were over $1 million in value. The highest being approximately $6 million worth of Domino’s shares. We can’t say for sure whether that is weighing on the Domino’s share price’s performance today, but it’s certainly possible that it is affecting sentiment today.

Another recent piece of news out of Domino’s was the announcement last week that the company has opened its 800th store in Japan, just 12 months after opening its 700th store. However, as my Fool colleague reported, this actually seemed to have a negative effect on the Dominos share price at the time.

Or perhaps today’s move is just some good old fashioned profit-taking. As we touched on earlier, Domino’s has been a great performer in 2021 so far, vastly outstripping the performance of the ASX 200. Seeing as it’s now tax time, there might have been some investors keen to move some money around in their share portfolios. Whatever the reason for today’s move in the Domino’s share price, long-term investors certainly can’t complain too much, given this company’s success over the past decade or so.

The post Domino’s Pizza (ASX:DMP) shares fall 3%. What’s going on? appeared first on The Motley Fool Australia.

More reading

• Why is the A2 Milk (ASX:A2M) share price up 3% today?
• Meet the best performing ASX 200 shares of FY21. Are yours on the list?
• Here’s how the Telstra (ASX:TLS) share price fared in June
• ASX 200 down 0.3%: SEEK record high, IGO jumps, Lendlease downgrade
• 3 best ASX travel shares of financial year 2021

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 recommended Dominos Pizza Enterprises 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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Bank of Queensland Limited (ASX: BOQ) has finalised what its chair describes as a “defining moment” for the bank today, as Members Equity Bank (ME Bank) is welcomed into its faction.

The news comes as Bank of Queensland’s CEO calls for less conglomeration among Australia’s big banks.

At the time of writing, the Bank of Queensland share price hasn’t reacted to the news. It’s currently 1.37% lower than yesterday’s closing price, with shares in the bank swapping hands for $8.98.

Quick refresher

Bank of Queensland announced in February it was to acquire Me Bank for $1.325 billion.

In late May, ME Bank was hit with criminal charges over false and misleading practices.

Finally, the proposed conglomeration received the Treasurer of the Commonwealth of Australia’s approval on 21 June.

What happened today?

The acquisition’s finalisation comes on the same day Bank of Queensland’s CEO George Frazis spoke to a standing committee focusing on financial institutions.

He told the committee the acquisition of ME Bank gives Bank of Queensland a better balance of customers. He said prior to the acquisition, around 60% of the bank’s business was through its small business customers, while 40% came from its personal banking customers.

After purchasing ME Bank, the balance is closer to 50/50.

Additionally, Frazis said the larger capital base enables the bank to grow both its personal and business banking components.

He also said the acquisition gives the bank’s business a better geographical balance. It now has more customers in New South Wales and Victoria than it did before.  

Additionally, Frazis gave this comment:

Importantly, what [the acquisition of ME Bank] enables us to do is to invest heavily in terms of our digital transformation… enabling us to be more competitive in terms of the service that we’re providing for customers that choose to bank with us.

Perhaps ironically, he also told the committee that Bank of Queensland would frown upon any further consolidation by Australia’s big banks, saying:

If you look at the four majors, we personally would not be supportive of any further consolidation if that can be avoided…

If you look at the combination of (Bank of Queensland) and ME Bank, which is strategically very compelling, that does create a much more competitive environment. But even with that combination, our combined group has the order of around 3% share of the banking sector, so we are still a small player.

Bank of Queensland share price snapshot

Despite today’s fall, the Bank of Queensland share price has been having a good year.

It’s gained 19% since the beginning of 2021. It has also gained 49% since this time last year.

The bank has a market capitalisation of around $5.8 billion, with approximately 639 million shares outstanding.

The post The Bank of Queensland (ASX:BOQ) has officially acquired ME Bank appeared first on The Motley Fool Australia.

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• Why this broker reckons Bank of Queensland (ASX:BOQ) shares are a buy
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• Why are blue-chip ASX 200 shares selling off today?
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Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The S&P/ASX 200 Index (ASX: XJO) is in the red today, down 0.5% to 7,276 points. But one ASX 200 share that is bucking the trend is A2 Milk Company Ltd (ASX: A2M).

A2 Milk is currently up 3.11% to $6.64 today, after closing at $6.01 yesterday and opening at $6.08 this morning.

Why is it up? Well, there might be a couple of factors at play here.

First thing to note is an ASX announcement this morning. This announcement revealed that broker and investment bank, Goldman Sachs, has been rapidly ramping up its ownership of A2 Milk to just over 37.2 million shares now.

Market sentiment might well have been boosted by this apparent show of confidence from a large broker.

A2 Milk share price on the up

Goldman isn’t the only broker showing interest either.

As my Fool colleague, James Mickleboro reported yesterday, fellow broker Bell Potter has just increased its price target for A2 Milk.

Bell Potter reckons the shares are a ‘buy’ and has slapped a 12-month price target of $8.50 on the company. This implies a potential 12-month upside of close to 40%. So, this is another potential factor supporting the share price today.

Another possible conclusion to draw is that some investors might be thinking the worst is behind the company now.

Remember, it wasn’t that long ago (just under a year, in fact) that A2 Milk was a $20 stock. A series of disappointing earnings downgrades have mostly been responsible for the decline in the A2 Milk share price.

It finally bottomed at $5.04 (a multi-year low) back in mid-May. Since then, investors have been slowly crawling back into the stock. The company is up more than 23% from its 52-week low today, with its trajectory since mid-May decidedly on the up.

The current A2 Milk share price gives the company a market capitalisation of $4.53 billion and a price-to-earnings (P/E) ratio of 15.46. The shares remain down 46.91% in 2021, and 66.96% down over the past 12 months.

The post Why is the A2 Milk (ASX:A2M) share price up 3% today? appeared first on The Motley Fool Australia.

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• Meet the best performing ASX 200 shares of FY21. Are yours on the list?
• Here’s how the Telstra (ASX:TLS) share price fared in June
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• 3 best ASX travel shares of financial year 2021
• 5 lessons for ASX share investors from financial year 2021

Motley Fool contributor Sebastian Bowen owns A2 Milk shares. 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 A2 Milk. 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 5G Networks Ltd (ASX: 5GN) share price is breaking its 3-day losing streak to rebound strongly today. This comes after the telecommunications carrier announced an update in regards to its loan to Webcentral Group Ltd (ASX: WCG).

At the time of writing, 5G Networks shares are up 8.24% to 92 cents apiece.

What did 5G Network announce?

5G Networks shares opened this morning relatively flat before quickly soaring within the first 15 minutes of trade.

According to this morning’s release, 5G Networks has received a $15 million loan repayment from its acquired business, Webcentral Group. 5G Networks took control of the digital services provider in October 2020.

Recently, Webcentral Group took out a $16.6 million debt facility from Commonwealth Bank of Australia(ASX: CBA). These proceeds were predominantly used to make a part repayment of the $41 million loan given by 5G Networks.

As such, approximately $26 million remains on the loan. This will reduce Webcentral Group’s current borrowing costs.

5G Networks said it will use the funds for further acquisition opportunities when they arise.

5G Networks share price summary

Established in 2013, 5G Networks is an Australian-based provider of Internet broadband and cloud infrastructure services to mid-market corporate industries. The company primarily engages in providing high-speed broadband access to businesses.

In addition, cloud-based solutions, managed services, and network infrastructure services are also offered.

5G Networks shares have fallen roughly by 25% over the past 12 months, and 36% year-to-date. The company’s share price hit a 52-week low of 85 cents yesterday, most likely caused by some tax-loss selling.

On valuation grounds, 5G Networks has a market capitalisation of about $102 million, with 114 million shares outstanding.

The post Here’s why the 5G Networks (ASX:5GN) share price is soaring 8% today appeared first on The Motley Fool Australia.

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• Why the Neometals (ASX:NMT) share price is up 7% today
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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 recommended 5G NETWORK 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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Shares in Neometals Ltd (ASX: NMT) are surging today after news that the miner plans to demerge its Mt Edwards Nickel Project in Western Australia into a new company.

The new entity, Widgie Nickel Limited, will seek ASX-listing post demerger.

At the time of writing, the Neometals share price is up 7.29% trading at 52 cents.

Neometals engages mainly in mineral exploration, extracting valuable metals, including lithium and titanium.

Why is the Neometals share price up today?

According to the announcement, Neometals shareholders will receive new Widgie Nickel shares at no cost, but on a pro rata basis in proportion to their existing shareholdings. 

The company said the share distribution was an ‘in-specie’, which involves the transfer of shares rather than in the equivalent amount of cash. The demerger is subject to shareholder approval.

Neometals said that Widgie Nickel shareholders would be entitled to participate in an entitlement offer to acquire more Widgie Nickel shares. 

Neometals managing director Chris Reed had this to say about the news:

The demerger and return of our Mt Edwards asset offers existing Neometals shareholders the opportunity to realise the inherent long-term value of this exciting development story in a discrete, nickel focussed corporate vehicle.

Potential of Widgie Nickel 

Located on the Widgiemooltha Dome, Widgie Nickel has 7 “world-class nickel mines and hosts Australia’s newest high-grade nickel mine”, according to the release.

Reed described the assets as “highly deserving of their own time and attention, and the recent metallurgical results from just one of the deposits that revealed high grade palladium reporting to concentrate, demonstrates just some of what can be achieved with a dedicated focus”.

The company said it was expected that Widgie Nickel would be able to realise Mt Edwards long-term latent value, as it would engage dedicated resources allowing Neometals to focus on its core battery materials projects.

Subject to the demerger going ahead, the company will apply for a possible ASX listing of Widgie Nickel by the fourth quarter in 2021, with further information to be released in the coming weeks. 

The Neometals share price has continued to outperform, finishing FY21 with a 200% gain.

The post Why the Neometals (ASX:NMT) share price is up 7% today appeared first on The Motley Fool Australia.

More reading

• Why the Neometals (ASX:NMT) share price is moving higher

Motley Fool contributor Frank Tzimas 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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Yesterday I looked at three ASX shares that brokers have given buy ratings to this week.

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

AGL Energy Limited (ASX: AGL)

According to a note out of UBS, its analysts have retained their sell rating and $7.60 price target on this energy company’s shares. This follows the release of a demerger update earlier this week. UBS doesn’t appear to be a fan of its plans and sees material earnings headwinds ahead. So much so, it suspects the company could report a 42% decline in earnings in FY 2022. In light of this, it doesn’t see value in its shares at the current level. The AGL share price is trading at $8.14 today.

Reece Ltd (ASX: REH)

A note out of Macquarie reveals that its analysts have downgraded this plumbing parts company’s shares to an underperform rating with a $19.40 price target. The broker made the move on valuation grounds following a very strong gain since the start of the year. Macquarie points out that its shares are trading at double the average PE ratio of the ASX 200 industrials sector and doesn’t see sufficient upside to its earnings estimates to justify this. The Reece share price is fetching $22.98 today.

Woolworths Group Ltd (ASX: WOW)

Analysts at Credit Suisse have downgraded this supermarket operator’s shares to an underperform rating with a $32.92 price target. According to the note, the broker made the move on valuation grounds, with its shares trading at ~30x estimated FY 2022 earnings. It points out that this means Woolworths’ shares trade at a significant premium to rival Coles Group Ltd (ASX: COL). The Woolworths share price is trading at $37.54 this afternoon.

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

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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 owns shares of and has recommended COLESGROUP DEF SET. 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Trying to figure out if a company will have a market capitalization of $1 trillion in the next decade is often reserved for fast-growing technology companies looking to become the next Apple, Microsoft, or Facebook. But slow, steady growth from a megacap stock can also achieve that mark.

Johnson & Johnson (NYSE: JNJ) is already an enormous company. And its growth might not be exciting, but its consistency over time can deliver impressive results. The stock is currently worth $432 billion, meaning it only has to do a little more than double its size to reach the magic number. Breaking down each business unit and projecting the profits a decade from now might highlight the path to crossing the $1 trillion threshold.

Pharmaceuticals leads the way

The pharmaceutical segment is the largest and fastest growing of the business units. It brought in $45.6 billion last year and has grown nearly 8% per year since 2015. The company lists 24 drugs that generated more than $400 million in 2020, and 14 that produced more than $1 billion.

Its most successful was Stelara, a treatment for psoriatic arthritis and plaque psoriasis. It made up 9% of the company’s 2020 revenue and grew 21% over 2019. Another standout is Darzalex, a drug for multiple myeloma. The $4.2 billion it brought in was up 40% year over year.

That bodes well for continued growth in the segment. If it can keep up the pace, investors might expect $91 billion in revenue in 2030 generating $29.5 billion in pre-tax profit. That means a decade from now the company might make more from drugs than it made in total last year.

Medical devices could add a spark

Johnson & Johnson found tough sledding in 2020 in the medical device business. Sales dropped more than 11%. It’s nothing to be ashamed of. Other device makers like Intuitive Surgical, Smith & Nephew, and Stryker all saw sales decline last year as well. Growth had been lackluster even before the pandemic. Over the five prior years, segment sales were flat. Johnson & Johnson has made a few acquisitions to jump-start growth.

In 2019, the company purchased Auris Health. That company has a robotic surgical system focused on the lungs. Management is hoping it can expand to more procedures and compete with the leading surgical robotics companies. Johnson & Johnson also purchased Verb Surgical, its collaboration with Alphabet‘s life sciences unit Verily. That company’s robotics and data science capabilities should add new revenue sources in the years ahead. Giving it credit for modest growth, the unit might generate $33 billion in 2030 sales with nearly $8 billion in pre-tax profit.

Consumer health is an anchor

The company’s consumer health business is made up of names familiar to shoppers. Beauty supplies like Aveeno, pain relievers such as Tylenol, and oral care products like Listerine are just a few of the brands that make up its $14.1 billion in annual sales. The segment grew 1.1% year over year in 2020, combining over 7% growth in wound and oral care with roughly 9% drops in baby and women’s care. Management blamed the declines on behavior changes during the pandemic.

Overall, the business has grown less than 1% per year over the past half-decade and averaged a pre-tax income margin of 16%. That excludes 2020, when a significant litigation fee skewed results. Doing the math, investors might see $15.3 billion in sales and $2.4 billion in pre-tax income in 2030.

The sum of the parts

Johnson & Johnson has 28 products that generated more than $1 billion in sales in 2020. That illustrates just how complex the company is. At the risk of oversimplifying, projecting the growth rate a decade into the future and applying historical profit margins can provide a reasonable estimate for what the company might be worth.

Segment	2030 Revenue	2030 Pre-Tax Profit
Pharmaceuticals	$91 billion	$29.5 billion
Medical Devices	$33 billion	$7.8 billion
Consumer Health	$15 billion	$2.4 billion
Total	$139 billion	$39.7 billion

Adding it up and applying a conservative corporate tax rate of 15% (it’s been 11% per year for a decade) shows an after-tax profit of a little less than $34 billion in 2030. Going one step further, Johnson & Johnson has traded in a price-to-earnings (P/E) range of 15 to 29 during that time. Anyone who guessed that it currently trades for 29 times earnings — its richest valuation ever, using normalized earnings — gets extra credit.

Doing that math, the company could reasonably trade between a market cap of $500 billion to $980 billion. It’s an absurdly wide range, but it illustrates a key input to any valuation. Depending on how much the market is willing to pay for $1 of earnings, current shareholders might expect a return between 1% and 9% per year over that time. One thing seems certain: To reach $1 trillion, the stock will probably need to have its currently elevated valuation. Whether it remains at these levels for the next decade or experiences a dip in between is anyone’s guess.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Will Johnson & Johnson be a trillion-dollar stock by 2030? appeared first on The Motley Fool Australia.

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Jason Hawthorne owns shares of Intuitive Surgical. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool’s board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to its CEO, Mark Zuckerberg, is a member of The Motley Fool’s board of directors. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Alphabet (A shares), Alphabet (C shares), Apple, Facebook, and Microsoft. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Johnson & Johnson and has recommended the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool Australia has recommended Alphabet (A shares), Alphabet (C shares), Apple, and Facebook. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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Shares in Australian minerals explorer Lithium Australia NL (ASX: LIT) are jumping higher during today’s session following an update to its joint venture with soon-to-be listed Charger Metals this morning.

At the time of writing, the Lithium Australia share price is climbing 10% to 11 cents.

What was announced?

The Lithium Australia share price is having a bumper day after the company advised it has progressed its joint venture with Charger Metals, announcing that the terms of the venture are now unconditional.

Charger has exercised an option to acquire a 70% interest in three battery metals assets on Lithium Australia’s balance sheet. These interests include the company’s projects at Coates, Lake Johnston and Bynoe.

Under this arrangement, Lithium Australia will retain a 30% free carried interest in the projects, and will also be the major shareholder in Charger Metals.

The company will also receive $100,000 in cash and 9.6 million fully paid ordinary shares in Charger Metals, with a valuation of $1.92 million.

Lithium Australia reports that the Charger Metals “$6 million offer closed oversubscribed and has received conditional approval to list from the ASX”. It is scheduled to list on the ASX on 8 July.

In the announcement, Lithium Australia managing director Adrian Griffin stated:

Lithium Australia retains significant exposure to raw materials through its equity in Charger, as well as its free-carried project interests. The latter potentially provide access to raw materials that the Lithium Australia group of companies can further process. Charger Metals’ specialised expertise will expedite a focused exploration effort, leaving Lithium Australia to concentrate on its core business: the ethical and sustainable supply of energy metals to the battery industry and the development of a circular battery economy. We eagerly await exploration outcomes at the Coates, Bynoe and Lake Johnston projects.

Charger Metals is in preparation for its ASX debut, having completed an oversubscribed initial public offering (IPO) last month. The company may trade under the ticker CHR, judging by its prospectus.

Lithium Australia shareholders received priority access to the IPO, with the option to subscribe for up to $500,000 worth of Charger shares at 20 cents per share.

Lithium Australia share price snapshot

Following today’s gains, the Lithium Australia share price has increased by 4.76% over the previous 5 trading sessions.

The company’s shares are also up almost 67% this year to date, which has outpaced the broad Australian indexes over this time period.

At a share price of 11 cents, Lithium Australia has a market capitalisation of almost $100 million and is trading at more than double its 52-week low of 4.5 cents.

The post Lithium Australia (ASX:LIT) share price surges 10% on joint venture update appeared first on The Motley Fool Australia.

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• Here’s why the Talga (ASX:TLG) share price is gaining today
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• The PEXA (ASX:PXA) share price is sinking 4% after its IPO

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 Talga Group Ltd (ASX: TLG) share price opened 6% higher this morning after the company released its Vittangi Anode Project’s detailed feasibility study (DFS).

At the time of writing, shares in Talga have fallen to $1.34 – still 1.13% higher than their previous closing price.

Talga is a technology minerals company with a focus on graphite, as well as interests in cobalt, copper, and gold. Its proposed Vittangi Project is based in northern Sweden and will produce green graphite anode.

Let’s take a closer look at the Vittangi Project’s DFS.

Vittangi Project set to rake in US$5.35 billion

The Vittangi Project’s DFS found it can produce 19,500 tonnes of Talga’s flagship green graphite anode product, Talnode-C, annually.

The anodes will be made using the 100,000 tonnes of graphite Vittangi will produce annually over its mine life – which the DFS has extended to 24 years.

Talnode-C has been found to be of high enough quality to be used in lithium-ion batteries used to power electric vehicles.

Using the Vittangi Project’s vertically integrated mine-to-anode operation, Talnode-C will be able to be sold straight to Talga’s consumers.

The DFS predicted the project will bring in around US$5.35 billion of revenue over its life span. The study also found the project’s production cost is likely to be US$2,363 per tonne of Talnode-C.

Therefore, Talga expects to receive net profits before tax of around $3.48 billion over the life of the Vittangi Project.

However, the project’s capital expenditure estimate has increased from the amount predicted in its pre-feasibility study.

This is due to US$153 million worth of extra equipment needed to satisfy the requirements of Talga’s automotive battery customers. Additionally, the company will spend an extra US$72 million to take advantage of previously identified growth opportunities.

Talga will now use the DFS to help secure financing and development partners, complete customer agreements, and begin construction of the project.

Commentary from management

Talga’s managing director Mark Thompson said:

We are excited to deliver the Vittangi Anode Project DFS to the market and to our partners…

Talga’s European-based natural green graphite anode operation is well timed to meet the unprecedented increased battery demand driven by the global megatrend towards electrification and decarbonisation. We are confident that this initial stage of operation will be a stepping stone to Talga’s larger role in the global battery and EV supply chain.

Talga share price snapshot

This year hasn’t been a good one for the Talga share price. It’s currently 27% lower than it was at the start of the year. However, it has gained 124% since this time last year.

The company has a market capitalisation of around $403 million, with approximately 303 million shares outstanding.

The post Here’s why the Talga (ASX:TLG) share price is gaining today appeared first on The Motley Fool Australia.

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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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Today’s trading session has been a wild ride for the First Graphene Ltd (ASX: FGR) share price.

Shares in the company dumped nearly 9% earlier today. After opening at 29 cents, the First Graphene share price hit an intraday low of 26.5 cents.

At the time of writing, shares in First Graphene have recovered to be less than 2% lower for the day.

Lets take a look at what’s been moving the First Graphene share price.

First Graphene releases whitepaper

Earlier today, First Graphene released a whitepaper on its patented Hydrodynamic Cavitation Process.

According to the company, the report confirmed the technology’s ability to convert petroleum feedstocks into products for clean energy storage and generation.

First Graphene’s research team successfully demonstrated that the novel cavitation technology could efficiently produce graphite materials in a single step process. According to the whitepaper, the only by-product of the process was “green” hydrogen.

First Graphene noted that high purity graphite is in demand for use in the production of battery anodes. The company predicts strong growth and highlighted the potential to evolve production to a commercial scale.

First Graphene signs distribution deal

In addition to today’s announcement, First Graphene also announced a distribution agreement yesterday.

The agreement will allow Auckland-based company GtM Action to exclusively distribute First Graphene’s PureGRAPH products. GtM Action will also have the right to develop commercial opportunities for graphene technology.

According to First Graphene, the partnership with GtM Action is focused on extending the company’s sales reach and the awareness of graphene technology.

In addition to developing commercial opportunities in New Zealand, the company also aims to expose its PureGRAPH product to the concrete industry globally.

More on First Graphene

First Graphene is a supplier of high-performing, graphene products. The company has a robust manufacturing platform based on the supply of high-purity raw materials.

First Graphene recently provided an update on the commercial use of its flagship PureGRAPH product line.

At the time of writing, shares in First Graphene are slightly lower for the day and relatively flat for 2021.

The post Shares in First Graphene (ASX:FGR) are on a wild ride today appeared first on The Motley Fool Australia.

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Motley Fool contributor Nikhil Gangaram 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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