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The AML3D Ltd (ASX: AL3) share price is moving strongly in morning trade.

This follows the company’s latest announcement that it’s been engaged by aerospace giant Boeing (NYSE: BA).

At the time of writing, the advanced 3D parts manufacturer’s shares are fetching 23 cents, up 27.78%.

AML3D wins important partner

Investors are snapping up AML3D shares after the company provided an exciting update to the ASX.

According to its release, AML3D received a purchase contract from Boeing to produce and supply a 3D printed tooling component.

The Invar-36 “mandrel tool artifact” is a nickel-iron alloy used in applications that require high dimensional stability.

This material contains 36% nickel and possesses a rate of thermal expansion approximately one-tenth that of carbon steel. It’s currently adopted in a variety of applications such as telecommunications, aeronautical and aerospace engineering, cryogenic engineering and more.

AML3D will use its proprietary wire additive manufacturing (WAM) process to manufacture the 150kg tool.

Once delivered, Boeing will assess and test the Invar-36 tool for its mechanical properties, internal soundness and vacuum integrity.

AML3D noted that although the contract is worth less than $50,000, the significance of the partnership is massive. This is due to Boeing’s size and credibility as a leading international aerospace company. The potential commercial benefits of the collaboration could shoot AML3D to stardom.

Commenting on the agreement, AML3D managing director, Andrew Sales said:

AML3D is very excited to begin working with Boeing, one of the world’s largest aerospace companies. This purchase contract will provide the company with a key opportunity to showcase its ability to produce parts on time and to specification with a high-quality customer as the world adapts to 3D printed solutions in addition to traditional manufacturing.

About the AML3D share price

During the past year, AML3D shares went on a steep rise to reach 73 cents in September 2020 before gradually treading lower. The company’s shares are up 48% since this time last year but are down 36% year-to-date.

Based on today’s price, AML3D presides a market capitalisation of roughly $22 million, with approximately 99 million shares on issue.

The post Here’s why the AML3D (ASX:AL3) share price is rocketing 27% 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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The Atomos Ltd (ASX: AMS) share price is producing the goods on Wednesday. In early trade, the monitor recorder company’s shares are up 9% to $1.05.

Today’s performance takes the 1-year Atomos share price gain to 146%.

Why is the Atomos share price racing higher?

Investors are pushing Atomos shares higher today following the release of a trading update. The update pertains to the company’s full year FY21 results for the period ending 30 June 2021.

According to the release, Atomos now expects to deliver FY21 sales in excess of $77 million. This would be a record result for the company. It would also represent a 73% increase on FY20 sales, which came in at $44.4 million.

While first half’s revenue was slightly higher than the previous year ($32.8 million versus $32.6 million), momentum built into the second half. Specifically, 2H FY21 sales are more than $44.2 million, up 275% on the prior corresponding period.

Commenting on the result, Atomos Executive Chairman Chris Tait said:

We are delighted to be providing an FY21 sales guidance upgrade to at least $77m which is $6.6m ahead of analyst consensus. This has been an amazing performance by everyone on the Atomos team. It seems a long time ago, when, at the beginning of FY21, staff were still furloughed, and monthly sales were tracking at $3m.

In addition to revenue growth, the company expects record full-year earnings before interest, tax, depreciation, and amortisation (EBITDA) of circa 9% of revenue. More value-orientated investors could be finding the Atomos share price appealing on this news.

What’s next for Atomos?

Looking ahead, the company will conduct an investor day on 2 August 2021. The event will be held both online and in-person in Melbourne. Barring any COVID-19 restrictions, it will offer an opportunity for investors to meet the Atomos executive team.

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Based on Tait’s comments, Atomos also has a strong pipeline of new products and technologies in development to drive further growth.

Such innovation is part of the reason some analysts still consider Atomos a hold, despite the strong share price rally.

The post Here’s why the Atomos (ASX:AMS) share price is surging 9% appeared first on The Motley Fool Australia.

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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 Atomos Ltd. The Motley Fool Australia has recommended Atomos Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Kingsgate Consolidated Limited (ASX: KCN) share price has sunk more than 5% in early trade. Shares in the company have taken a dive after Kingsgate announced the potential sale of its Nueva Esperanza project earlier today.  

Let’s take a closer look at the company’s announcement and how this could influence the Kingsgate share price.

Kingsgate announces potential sale of Nueva Esperanza

Earlier today, Kingsgate announced that the company signed a non-binding Letter of Intent (LOI) for the acquisition of its Nueva Esperanza development project.

The LOI for and with TDG Gold Corp outlined terms for the acquisition of the gold-silver development project located in Northern Chile.

In exchange for 100% ownership of the project, TDG will pay C$25 million in cash upon completion of the transaction. In addition, Kingsgate will be issued 14% of TDG’s outstanding common shares. C$6.25 million is also payable to Kingsgate within 3 months of completion of a Definitive Feasibility Study.

Kingsgate noted that the total value of the deal is approximately A$69.1 million that will allow the company to strengthen its balance sheet. In addition, the company will retain ongoing exposure to the gold and silver markets via its holdings in TDG.

Kingsgate noted that the transaction is subject to the parties entering into a legally binding agreement. In addition, both company’s must meet certain conditions such as board approval, due diligence and completion of financing

More on Kingsgate

Kingsgate is an Australian listed gold exploration, development and mining company. In addition to its Nueva Esperanza development project, Kingsgate also owns the Chatree Gold Mine in central Thailand.

The company’s Nueva Esperanza project has three mining areas with permits for development and associated water rights. In July 2020, the Nueva Esperanza project was granted Environmental Impact Assessment approval allowing the pre-development, construction and operation of the project.

Kingsgate noted that proceeds from the project could go towards refurbishing and restarting its Chatree Gold Mine in Thailand.

At the time of writing, the Kingsgate share price has recovered slightly and is trading around 2.5% lower for the day at around 85 cents per share.

The post Kingsgate (ASX:KCN) share price sinks on proposed acquisition appeared first on The Motley Fool Australia.

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• Why the Kogan (ASX:KGN) share price is sinking 5% today
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• Why the Macquarie (ASX:MQG) share price is pushing higher again
• Telstra (ASX:TLS) share price leaps on $2.8 billion sale

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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AGL Energy Ltd (ASX: AGL) share price has sunk 4.5% in morning trade, despite announcing that it expects earnings for FY21 to remain within previously provided ranges.

The earnings announcement accompanied the company’s confirmation today of its intent to demerge and create 2 separate ASX listings.

The company also updated its earnings outlook for FY22, indicating it expects a downturn in forward earnings estimates.

What did AGL say?

For FY21, the company expects earnings before interest, tax, depreciation and amortisation (EBITDA) to lie within the lower half of the previous range of $1.58 billion to $1.84 billion.

AGL also sees underlying net profit after tax (NPAT) at the middle of the $500 million to $580 million range previously outlined to the market.

Of this NPAT figure, approximately $90 million is comprised of insurance proceeds relating to an outage at the Loy Yang A power station in 2019, consistent with AGL’s previous guidance on this matter.

According to the announcement from AGL this morning, a further $25 million of NPAT “includes a net benefit from a change in accounting policy that reduces historically capitalised costs relating to software as a service”.

What about AGL’s dividend?

In the earnings update AGL also announced it will be terminating its special dividend program. According to the release, AGL “no longer intends to pay out an additional 25% of Underlying Profit after tax for the FY21 final dividend or in FY22”.

The decision behind the cut was to “preserve approximately $400 million to $500 million in cash within AGL Energy prior to execution of the demerger.”

Moreover, the company also indicated its intention underwrite the company’s dividend reinvestment plan (DRIP) during the demerger planning period.

The DRIP underwriting program will enable shareholders to “elect either to receive a cash dividend or
participate in the DRIP by subscribing to receive AGL Energy shares in lieu of cash payment” AGL said.

What about FY22?

With respect to the coming financial year, AGL expects “material step-down in earnings as a result of the lower wholesale electricity prices of the last 2 years now being realised.”

The company did not provide any specific range for FY22 in this morning’s announcement.

AGL will be holding a conference call this morning to discuss the earnings update in addition to the demerger.

AGL share price snapshot

At the time of writing, AGL has a market capitalisation of $5.6 billion and trades at a price-to-earnings-ratio (P/E) of 7.05.

AGL shares are 3% in the red over the past 5 days, however are 8% up over the past 1 month.

The AGL share price is 27% down so far this year.

The post AGL (ASX: AGL) share price slumps after demerger, guidance update appeared first on The Motley Fool Australia.

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

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The Kogan.com Ltd (ASX: KGN) share price looks to have run out of steam on Wednesday.

In late morning trade, the ecommerce company’s shares are down 5% to $12.15.

Why is the Kogan share price under pressure today?

While there has been no news out of the company today, there are a number of potential explanations for the weakness in the Kogan share price.

The first one is the fact that today is the final day of the financial year, which often sees plenty of tax-loss selling.

Tax-loss selling involves selling shares that have incurred a capital loss, which may then offset capital gains realised throughout the financial year. So, with the Kogan share price down 18% over the last 12 months and 37% since the start of the year, it is a prime candidate for tax-loss selling.

What else could be weighing on its shares?

Another potential explanation for the decline in the Kogan share price today is profit taking. After all, prior to today, the company’s shares were up a massive 25% since the start of June.

Investors have been fighting to get hold of its shares due to the recent outbreak of COVID-19, which has led to lockdowns across several states.

This bodes particularly well for Kogan which recently revealed that it had excessive inventory and was struggling to shift it. With millions of consumers forced online again this month, Kogan may be able to bring its inventory under control sooner than expected.

Is this a buying opportunity?

Despite its rampant rise this month, analysts at Credit Suisse still see a lot of value in the Kogan share price.

The broker currently has an outperform rating and $17.93 price target on its shares. This implies potential upside of 47.5% over the next 12 months.

Credit Suisse believes the headwinds Kogan is facing are only temporary and remains positive on its longer term growth prospects.

The post Why the Kogan (ASX:KGN) share price is sinking 5% today appeared first on The Motley Fool Australia.

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With more than 40 million shares bought and sold since floating on the ASX last Thursday, the Endeavour Group Ltd (ASX: EDV) share price has been quite active.

Listing on the ASX for a price of $6.50, it crashed on its opening day to a low of $5.77 before partially recovering to $6.02. The next day it surged to a high of $6.60 before retreating to $6.10.

Over the next two trading days, its share price closed higher at $6.33 before falling to a close of $6.20 the next.

Watching the drinks company’s share price over the past week could leave an investor feeling like they have a hangover. Let this article be your day-after tonic by bringing a little clarity to what’s happening to Endeavour shares.

Endeavour shares have been volatile

On its first trading day, the Endeavour share price took a beating. Woolworths Group Ltd (ASX: WOW) shares also fell 15% on the same day, a reflection of the fall in value from losing its drinks business. Endeavour was formed from Woolworths’ former drinks business and the AHL Group.

However, a closer examination shows it may not have been as bad a day as it appeared for shareholders in either company.

On the day of the float, eligible Woolworths’ shareholders received 1 share in Endeavour for every Woolworths share they owned. Woolworths and business partner BMG owned the remaining 14.6%.

The Woolworths market capitalisation on 23 June, the day before the demerger, was about $54 billion. At the close of trade on 24 June, the combined market caps of Woolworths and Endeavour was around $58.7 billion.

The initial sell-off may well have been savvy investors looking to cash in on shares that seemed to be valued much higher than the market might have suggested.

Subsequent price movements are likely the result of investors still gaining a better understanding of the Endeavour share price.

It should also be noted that 42% of Australia are in lockdown at the time of writing. This may have benefited the Woolworths share price recently and could be influencing the Endeavour price too.

While Endeavour owns many pubs and clubs, the majority of their business is derived from the Dan Murphy’s and BWS bottle shops which have historically done well during COVID lockdowns.

The post How the Endeavour (ASX:EDV) share price has performed so far appeared first on The Motley Fool Australia.

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

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The Macquarie Group Ltd (ASX: MQG) share price is on course to finish the month on a positive note.

In morning trade, the investment bank’s shares are up over 1.5% to $158.07.

This means the Macquarie share price is now up a sizeable 13% since the start of the year.

What is driving the Macquarie share price higher?

With no news out of the company this week, today’s rise in the Macquarie share price could be down to improving investor sentiment which is driving the S&P/ASX 200 Index (ASX: XJO) higher.

In addition to this, it is worth noting that the company has been the subject of several positive broker notes in recent weeks. These could also have given its shares a bit of a boost.

Which brokers are positive on Macquarie?

One broker that is positive on Macquarie is Ord Minnett. Earlier this month it put an accumulate rating and $170.00 price target on the company’s shares. It notes that recent transactions demonstrate the ongoing robust environment for infrastructure assets and expects Macquarie to benefit greatly from this.

Elsewhere, last month Morgans and Morgan Stanley responded to the company’s strong full year result by reaffirming the equivalent of buy ratings on its shares and lifting their price targets.

Morgans now has a $171.00 price target, whereas Morgan Stanley has a $175.00 price target. The latter implies potential upside of almost 11% for the Macquarie share price over the next 12 months.

Analysts at Morgans commented: “We think MQG remains well positioned to seize opportunities on the other side of COVID-19 and we maintain our ADD call with >10% TSR on a 12-month view.”

In light of the above, this may be an indication that the gains are not over for the Macquarie share price in 2021. Though, time will tell if that’s the case.

The post Why the Macquarie (ASX:MQG) share price is pushing higher again 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 Macquarie 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 Telstra Corp Ltd (ASX: TLS) share price is leaping higher today after the company announced a major divestment this morning. Telstra shares are currently up 4.03% to $3.75.

Below we take a look at the ASX telco’s news.

What did Telstra announce this morning?

The Telstra share price is rising after the company reported it had sold a 49% interest in Telstra InfraCo Towers to the Future Fund, Commonwealth Superannuation Corporation, and Sunsuper.

InfraCo Towers has roughly 8,200 towers across Australia, the largest provider of mobile tower infrastructure in the country.

Telstra said it expects to receive $2.8 billion after transaction costs, with completion of the acquisition expected in Q1 on the 2022 financial year (FY22). Telstra CEO, Andrew Penn, Telstra’s CEO, also revealed that the company plans to return approximately 50% of net proceeds from the sale to Telstra shareholders in FY22.

The company will retain a 51% ownership of the Towers business, including the radio access equipment and spectrum assets, to safeguard its national mobile coverage. Telstra has penned a 15-year extendable agreement with InfraCo Towers for access to existing and new towers.

Commenting on the divestment, Penn said:

Today’s announcement is a further endorsement of the [T22] strategy, as the establishment of our infrastructure assets as a separate business was designed to enable us to better realise the value of these assets, take advantage of potential monetisation opportunities and create additional value for shareholders and that is exactly what today’s announcement achieves…

Telstra’s objective in seeking a strategic partner has been to maximise overall value for our shareholders, maintain control of the assets and agree terms that secure Telstra’s mobile network leadership and competitive differentiation into the future. I am pleased that we have been able to achieve that ahead of schedule through this transaction announced today.

Penn added that the company plans to invest $75 million from the proceeds “to further enhance connectivity in regional Australia”.

After returning 50% of the net proceeds to shareholders (details to come with Telstra’s full year result release in August), the company intends to use the remainder for debt reduction to maintain a strong balance sheet.

Telstra share price snapshot

Telstra shares have gained 20% over the past 12 months, trailing the 25% gains posted by the S&P/ASX 200 Index (ASX: XJO).

Year-to-date the Telstra share price has outperformed, up 25% so far in 2021.

The post Telstra (ASX:TLS) share price leaps on $2.8 billion sale appeared first on The Motley Fool Australia.

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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia 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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The Paradigm Biopharmaceuticals Ltd (ASX: PAR) share price is edging higher during early morning trade. This comes after the company provided an update on its Investigational New Drug (IND) application to the US Food and Drug Administration (FDA).

The application concerns Pentosan Polysulfate Sodium or PPS. It’s an injectable solution that aims to treat musculoskeletal disorders caused by injury, inflammation, aging, degenerative disease, infection or genetic predisposition.

The semi-synthetic drug is packaged as Zilosul and has shown improvements in pain reduction, joint function, and the prevention of cartilage damaging joints.

At the time of writing, the biopharmaceutical company’s shares are up 3.61% to $2.01.

What did Paradigm announce?

In today’s statement, Paradigm advised it has responded to the FDA’s questions about its IND application.

Paradigm stated it consulted with multiple experts for its responses to the questions. This included a United States board-certified pre-clinical toxicologist and a former FDA physician who reviewed the document before submission.

The company believes with the help of these experts, the FDA will be satisfied with its responses. It hopes the matter will be considered complete and can proceed to the next steps of the process.

The FDA has 30 calendar days to decide on whether Paradigm’s submission meets requirements.

Paradigm chief marketing officer Dr Donna Skerrett commented:

We believe these responses are sufficient to assure the agency the program is supported by non-clinical and clinical data and that the objectives, rationale, and study design will aim to demonstrate the safety and effectiveness of PPS for patients with painful osteoarthritis of the knee.

There is a clear unmet need for patients who have not had adequate responses to initial therapy for knee OA and have ongoing pain. Prior experience with PPS in clinical and nonclinical settings has demonstrated the potential to address this unmet need.

Paradigm CEO Paul Rennie also added:

Paradigm has progressed pre-clinical studies in two new indications of acute respiratory distress syndrome (ARDS) and heart failure at study centres in Australia and Europe, respectively.

The orphan drug indication of MPS VI has received regulatory and ethics approval in Brazil for its Phase 2 clinical trial. Paradigm continues to execute on its disease-modifying osteoarthritis clinical trial PARA_008.

Paradigm share price summary

During the past 12 months, Paradigm shares have lost almost 40% with its year-to-date performance also down more than 20%. The company’s share price reached a 52-week low of $1.87 yesterday.

Based on today’s price, Paradigm has a market capitalisation of around $439 million, with approximately 226 million shares outstanding.

The post Why the Paradigm (ASX:PAR) share price is edging higher 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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The Life360 Inc (ASX: 360) share price is climbing higher this morning. At the time of writing, the Life360 share price is up 7.44%, fetching for $6.75mm

Shares in the San Francisco-based family app maker gained 4.9% yesterday. Though this pales in comparison to the company’s share price performance over the past year. In this time the Life360 share price has risen an astonishing 206%.

Let’s look through the latest announcement.

Life360 share price gets celeb lift

Investors are buying up the Life360 share price this morning after an update released after hours yesterday.

According to the release, the company has created a Family Advisory Council that will bring together well-known celebrities and influencers to help shape the company’s product and marketing strategy.

Moreover, underpinning this is an investment round of approximately US$2.1 million. This is being led by Bryant Stibel, the investment group founded by the late Kobe Bryant and Jeff Stibel.

Other participants in the investment round include Vanessa Bryant (wife of the late Kobe Bryant), Tony Hawk; Nicole and Michael Phelps; Billy Perry; Jada and Chris Paul; and Chip and Joanna Gaines. Particular details regarding the Life360 share pricing for the round were not disclosed.

The aforementioned individuals are all users of the Life360 mobile app. As such, their families will provide input into the Family Advisory Council. This will aim to help create new features to build further trust between parents and children.

Acquisition update and founder loans

Shareholders will also be pleased to read that Life360 is continuing to progress through the due diligence phase of its Jiobit acquisition.

The provider of wearable location services for young children, pets, and seniors was originally proposed to be acquired on 27 April 2021. Life360 now anticipates the deal will be closed within 30 days with no material changes to the original terms.

On a different note, the company’s founders Christopher Hulls and Alex Haro have taken out personal loans using a portion of their Life360 shareholdings as security.

Additionally, the personal loans totalling $10.5 million and $5.5 million respectively have been sourced via a third-party lender. The funds will be put towards personal interests including Haro’s new venture (MyMoneyKarma), angel investments, and real estate.

The loan facility has a maturity date of 24 months. It has been securitised by 17.8% of Chris Hulls’ and 17.4% of Alex Haro’s shareholdings.

Future outlook

Lastly, the company disclosed the trading outlook. According to Life360, indications of improving performance in the second half of CY21 continue. This is thanks to a return to normal activities and user experience improvements being well received.

Furthermore, app downloads have surged due to being widely shared on TikTok. While the company expects this phenomenon is transitory, the push has led to its app being the most downloaded in more than 11 countries over the past month.

Consequently, CY21 annualised monthly revenue is expected to land towards the higher end of guidance of US$110 million to US$120 million.

At the time of writing, the Life360 share price is up 7.5% to $6.72 a piece.

The post Life360 (ASX:360) share price up 206% in last 12 months appeared first on The Motley Fool Australia.

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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. has recommended Life360, Inc. 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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