Tag: Motley Fool

Investors looking to bolster their portfolio with some blue chip ASX 200 shares might want to take a look at the three listed below.

Here’s why these blue chips are highly rated:

CSL Limited (ASX: CSL)

The first blue chip ASX share to consider is CSL. It is one of the world’s leading biotechnology companies, comprising two businesses – CSL Behring and Seqirus. CSL Behring is the number one player in a global plasma therapies industry worth a massive US$30 billion per year. Whereas Seqirus is the number two player in the US$6 billion global influenza vaccines industry. CSL has been tipped for solid long term growth thanks to increasing demand for its therapies and its lucrative R&D pipeline.

UBS is positive on CSL. It currently has a buy rating and $330.00 price target on its shares.

NEXTDC Ltd (ASX: NXT)

Another blue chip share to look at is NEXTDC. It is a leading data centre operator with world class operations across key Australian location. It has also recently opened offices in Singapore and Tokyo, with a view to expanding into these markets. If this expansion is a success, it could give it a very long runway for growth over the next decade. Particularly given the increasing demand for data centre services due to the structural shift to the cloud.

Goldman Sachs is a big fan. This morning it reiterated its conviction buy rating and $14.80 price target on its shares.

SEEK Limited (ASX: SEK)

A final blue chip ASX share to consider is this job listings giant. It could be a great long term investment option thanks to its investments in growth opportunities and its domination of the ANZ market. The latter is a big positive given Australia’s strong economic recovery from the pandemic. With unemployment levels tipped to reduce materially over the next few years, job ad volumes are tipped to rise strongly.

Macquarie recently upgraded the company’s shares to an outperform rating with a $40.00 price target.

The post 3 blue chip ASX 200 shares that brokers rate as buys appeared first on The Motley Fool Australia.

More reading

• The CSL (ASX:CSL) share price has fallen 7% this week
• ASX 200 up 0.3%: CSL downgraded, Zip drops, Charter Hall impresses
• Leading broker tips NEXTDC (ASX:NXT) share price to race higher
• 5 things to watch on the ASX 200 on Friday
• CSL (ASX:CSL) share price falls on broker downgrade

Motley Fool contributor James Mickleboro owns shares of NEXTDC Limited and SEEK Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended CSL Ltd. The Motley Fool Australia has recommended SEEK Limited. 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/35N2r1k

I like to keep an eye on substantial shareholder notices. This is because these notices give you an idea of which shares large investors, asset managers, and investment funds are buying or selling.

Two notices that have caught my eye are summarised below. Here’s what this fund manager has been buying:

Bapcor Ltd (ASX: BAP)

A change of interests of substantial holder notice reveals that AustralianSuper has been increasing its stake in this auto parts retailer.

According to the notice, the super fund has added approximately 3.5 million shares to its holding over the last three months. This means that AustralianSuper now owns a total of 24,130,659 Bapcor shares, which is the equivalent of a 7.11% interest.

AustralianSuper was purchasing shares as recently as 22 June when it picked up 277,207 shares at an average of $8.31 per share. This is broadly in line with the latest Bapcor share price of $8.34.

Analysts at Citi would be supportive of these purchases. The broker currently has a buy rating and $9.50 price target on its shares.

Reject Shop Ltd (ASX: TRS)

Another change of interests of substantial holder notice reveals that WAM Capital Limited (ASX: WAM) has taken advantage of recent weakness in the Reject Shop share price to top up its position.

The notice shows that WAM picked up ~450,000 Reject Shop shares since February, lifting its holding to 3,456,359 shares. This represents a 9.03% stake, up from 7.87% previously. WAM was buying shares as recently as Monday when the Reject Shop share price dropped to a 52-week low. Judging by its purchases, WAM’s analysts appear to believe its shares have been oversold.

Morgan Stanley certainly believes this is the case. Last week the broker put an overweight rating and lofty $10.00 price target on its shares. This compares to the latest Reject Shop share price of $5.37.

The post Fund managers are buying these ASX shares appeared first on The Motley Fool Australia.

More reading

• These ASX shares are growing their dividends at a solid rate
• 2 ASX shares that multiple brokers think could be buys
• 2 top ASX dividend shares rated as buys
• ASX 200 rises, Appen drops, Reject Shop discounted
• Why Appen, Ramelius, Reject Shop, & Sezzle shares are sinking

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. 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/3df5V0z

The Bitcoin (CRYPTO: BTC) price has rebounded over the past 24 hours, up 5% to US$34,533 (AU$45,438).

Today’s gains will come as welcome news to Bitcoin holders, who watched the price of the world’s biggest digital token drop below US$29,460 on Tuesday.

While Bitcoin has now gained 17% since Tuesday’s lows, it remains down 47% from mid-April’s US$64,829 all-time high.

Of course in the volatile world of cryptocurrencies, not all of the top-100 tokens gained today. While some gained far more than Bitcoin’s 5%.

This crypto blew away Bitcoin’s 5% gains today

Today’s best performing crypto is…drum roll please…Celo (CRYPTO: CELO).

One Celo is currently worth US$2.83. That’s up 25% in the past 24 hours, or 5 times more than what Bitcoin has gained.

While Celo is small in comparison to its big siblings like Bitcoin and Ethereum (CRYPTO: ETH), its market cap of US$695 million is nothing to sneeze at. And it ranks as the 85th largest crypto in virtual circulation.

So what exactly is Celo?

For that we turn to CoinMarketCap, which tells us:

Celo is a blockchain ecosystem focused on increasing cryptocurrency adoption among smartphone users.

By using phone numbers as public keys, Celo hopes to introduce the world’s billions of smartphone owners, including those without banking access, to transacting in cryptocurrency.

Celo is a relative newcomer to the crypto space, launched in May 2020.

While today’s 25% price gains are impressive, as a handy reminder of the inherent volatility in crypto prices, Celo was worth US$6.18 on 18 May this year. Meaning the price is down 55% in just 5 weeks.

So if you’re going to be an investor in Celo, Bitcoin or other cryptos, make sure you do it with money you can afford to lose.

The post This crypto blew away Bitcoin’s 5% gains today appeared first on The Motley Fool Australia.

More reading

• Bitcoin’s misfortunes spreading pain across the globe
• Six things investors need to know before investing in cryptocurrencies
• Following another wild night, the Ethereum price is gaining…for now
• Here’s Why Bitcoin, Ethereum, and Dogecoin Crashed Tuesday
• Ignore the ‘death cross’…here’s why the Bitcoin price is crashing

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Bitcoin. 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/35OmpJ9

The Xero Limited (ASX: XRO) share price has been a strong performer over the last 12 months.

Since this time last year, the cloud-based business and accounting platform provider’s shares are up 53%.

Why has the Xero share price been on fire over the last 12 months?

The strong gain by the Xero share price over the last 12 months has been driven largely by the company’s impressive performance during FY 2021.

For the 12 months ended 31 March, Xero reported an 18% increase in revenue to NZ$848.8 million. This was driven largely by its Australian, UK, and Rest of the World operations, which all reported strong revenue growth year on year.

This strong top line growth was underpinned by a 20% increase in subscribers to 2.74 million. This reflects a 20% increase in ANZ subscribers to 1.56 million and a 21% increase in International subscribers to 1.18 million.

And thanks to the achievement of further operating leverage, Xero reported a 39% jump in earnings before interest, tax, depreciation and amortisation (EBITDA) of NZ$191.2 million.

Can its shares go higher?

One broker that believes the Xero share price may now have peaked for the time being is Citi.

According to a recent note, its analysts have retained their neutral rating and $135.70 price target on its shares. This compares unfavourably to the current Xero share price of $136.94.

While the broker is a fan of Xero and believes demand for its platform is increasing, it appears to believe its valuation is getting stretched.

Citi commented: “We see the demand backdrop for Xero as positive driven by improving SMB trends as economies open up, strength in business formation boosting new customer acquisition and low insolvencies/bankruptcies keeping churn in check. Further, FY22e revenue growth should benefit from the PlanDay acquisition (3% impact). However, with the stock trading on 19x FY22e revenue, we do not see the risk-reward as compelling and maintain our Neutral rating.”

The post Up 53% in 12 months: Can the Xero (ASX:XRO) share price go even higher? appeared first on The Motley Fool Australia.

More reading

• 2 excellent ASX 200 blue chip shares to consider
• CBA (ASX:CBA) partners with Xero’s Waddle for new financing product
• 2 ASX growth shares this leading broker loves
• 5 things to watch on the ASX 200 on Tuesday
• ASX 200 Weekly Wrap: ASX makes it 5 out of 5

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 Xero. The Motley Fool Australia owns shares of and has recommended Xero. 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/3zWqCrV

S&P/ASX 200 Index (ASX: XJO) oil shares took some of the biggest hits on the ASX during the initial fallout from the COVID-19 pandemic.

Oil prices fell through the floor. Demand dried up almost overnight as global lockdowns and border closures grounded aircraft and left cars sitting in their garages for weeks at a time. 

On 3 January 2020, a barrel of Brent crude was selling for US$68.60 (AU$90.26 at today’s exchange rate). By 24 February, that same barrel was selling for US$21.44, a fall of 59%.

Little wonder that ASX 200 oil shares took a bath in the early months of 2020.

How these 3 ASX 200 oil shares moved in the wake of the pandemic

For the purposes of this article, I’ve put the microscope on the 3 biggest ASX 200 oil shares. Namely:

• Woodside Petroleum Ltd (ASX: WPL), with a market cap of $21.8 billion
• Santos Ltd (ASX: STO), with a market cap of $15.0 billion
• Oil Search Ltd (ASX: OSH), with a market cap of $7.9 billion

So, how did these powerhouse ASX 200 oil shares perform early on in 2020?

Not well!

The Woodside share price crashed 54% from 3 January through to its 20 March 2020 low. The Santos share price crumbled 64% over that same time frame. The Oil Search share price fell a gut-wrenching 69%.

Now all 3 of these ASX 200 oil shares have delivered sizeable gains to investors who bravely picked up their shares at these lows.

Woodside has gained 41% since 20 March 2020; Santos has gained 132%; and Oil Search shares are up 66%. By comparison, the ASX 200 has gained 52% over this period.

But here’s the thing.

All 3 oil majors are still trading well below their pre-COVID levels, even as the oil price has surpassed its early 2020 level.

Oil price rockets back but ASX 200 oil shares lag

Today, a barrel of Brent crude is fetching US$75.76.

I’ll save you scrolling back up to the top and tell you that’s more than 10% higher than the US$68.60 per barrel Brent was trading for at the start of 2020. 

Yet, while they’ve posted large gains since the lows, these 3 ASX 200 oil shares have yet to recoup much of their pandemic-driven losses.

The Woodside share price is still down 35% from 3 January 2020. Santos shares remain down 15%. The Oil Search share price is down 48% since the beginning of 2020.

With the Brent crude price up 10% in that same time, many analysts are forecasting even higher oil prices ahead.

Why crude oil could hit US$100 per barrel

Forecasting longer term energy prices is right up there with forecasting longer term foreign exchange fluctuations. In other words, there are a heck of a lot of variables at play.

But in the medium term, analysts can get a decent handle on likely potential price moves by gauging basic supply and demand dynamics.

On the demand side, the world is beginning to reopen amid vaccine rollouts. Should that reopening continue without major glitches from COVID variants, pent up demand for domestic and international travel should continue to put upward pressure on crude oil prices.

On the supply side, US shale production remains well below pre-pandemic levels. In addition, OPEC+ is, at the moment, still restricting output from its members. While the cartel might opt to increase supply when it meets next week, expectations are that any increase will be modest.

Petrol stockpiles in the United States, the world’s biggest economy, are also down.

As Bloomberg reports:

[A] U.S. government report earlier showed crude supplies, gasoline inventories and stockpiles at the nation’s largest storage hub at Cushing, Oklahoma, all tumbled last week, reinforcing the expectation of limited supply during the summer driving season.

Tuesday’s Qatar Economic Forum also reinforced the notion that crude oil prices could go higher, all the way to US$100 a barrel. During the forum, leaders of major oil firms cited a lack of investment in oil and gas projects as putting upward pressure on prices.

There’s “quite a chance” crude will reach $100 a barrel, TotalEnergies SE Chief Executive Officer Patrick Pouyanne said at the Forum.

The International Energy Agency has also forecast a crude supply crunch in the second half of 2021, if new supply doesn’t come online.

India, the world’s second most populous nation, is already struggling with high energy costs. The country is amongst those urging OPEC+ to open the taps wider.

From Bloomberg:

India has once again urged OPEC and its allies to revive halted oil production as the world’s third-biggest consumer expressed “deep concern” over spiraling energy prices.

“High crude prices are adding significant inflationary pressure on India,” Oil Minister Dharmendra Pradhan told OPEC’s top official.

Foolish takeaway

There are many different factors that determine the price of individual ASX 200 oil shares.

The price of the black gold they pump from the ground is undoubtedly a major influence on oil share prices.

If TotalEnergies’ Patrick Pouyanne has it right and crude heads back to US$100 per barrel — some 32% above today’s price – it should provide some healthy tailwinds for ASX 200 oil shares.

The post Crude to $100 per barrel? 3 ASX 200 oil shares trading well below pre-COVID levels appeared first on The Motley Fool Australia.

More reading

• The Stockland (ASX:SGP) share price hit a new 52-week high today
• Here are some of the most actively traded ASX 200 shares today
• Woodside among ASX energy shares claiming financiers are pulling the pin
• ASX 200 up 0.3%: CSL downgraded, Zip drops, Charter Hall impresses
• 5 things to watch on the ASX 200 on Friday

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/3zVAvpK

A bump to the Stockland Corporation Ltd (ASX: SGP) share price saw it hit a new 52-week high today. Earlier this afternoon, shares in the housing developer were trading for $4.93 – the highest they’ve been in 12 months.

The Stockland share price fell slightly to end the day at $4.87, which is still 2.31% higher than its closing price yesterday.

Stockland shares did extremely well today when compared to the broader market. At close of trade, the S&P/ASX 200 Index (ASX: XJO) was up 0.45% today, while the All Ordinaries Index (ASX: XAO) gained 0.52%.

The gains came despite Stockland not releasing any news to the market today. However, it did announce exciting news of its upcoming dividend on Tuesday.

Let’s take a look Stockland’s latest news.

What’s been happening at Stockland?

Earlier this week Stockland announced it will be passing on its biggest dividend in 2 years to shareholders.

The half-year dividend, to be paid to shareholders for the 6 months ended 30 June 2021, will be 13.3 cents. That’s higher than the 10.6 cents it paid out to its shareholders in 2020. Although, it’s less than the 14.1 cents Stockland handed out in 2019.

Investors who hold Stockland shares as of 30 June will receive a payment from the company on 31 August.

The company also stated its full-year dividend will be 24.6 cents ­– in line with the company’s previous guidance. However, Stockland doesn’t pay franking credits on its dividends.

When Stockland announced its dividend on Tuesday, its share price was $4.80.

That left the company with a 5.2% yield – a pretty good return considering Australia is currently seeing record low interest rates.  

Stockland share price snapshot

Today’s gains have added to a good year on the ASX for Stockland shares.

Currently, the Stockland share price is 14% higher than it was at the beginning of 2021. It has also gained 41% since this time last year.

The company has a market capitalisation of around $11 billion, with approximately 2 billion shares outstanding

The post The Stockland (ASX:SGP) share price hit a new 52-week high today appeared first on The Motley Fool Australia.

More reading

• Crude to $100 per barrel? 3 ASX 200 oil shares trading well below pre-COVID levels
• Here are some of the most actively traded ASX 200 shares today
• ASX 200 up 0.3%: CSL downgraded, Zip drops, Charter Hall impresses
• 5 things to watch on the ASX 200 on Friday
• ASX 200 drops again, Westpac falls, Transurban down

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/3zQNvNv

The S&P/ASX 200 Index (ASX: XJO) had a pretty decent day today, ending the day up 0.45% to 7,308 points. So let’s take a look at the ASX 200 shares that moved big today in terms of trade volume.

3 of the most traded ASX 200 shares today

Vocus Group Ltd (ASX: VOC)

ASX 200 telco Vocus tops the list today, with a whopping 48.1 million shares trading hands.

That comes despite the Vocus share price not doing too much this Friday. At close of trading, Vocus shares were swapping hands for $5.49 — exactly where they opened this morning.

Saying that, and as we discussed yesterday, it looks as though Vocus’ days on the ASX are numbered, with shareholders approving a takeover offer (of $5.50 a share) from a Macquarie Infrastructure consortium earlier this week.

If all goes to plan, 25 June will be the last day Vocus trades on the ASX. Obviously, a potential upcoming transaction of this nature might be upping the number of shares trading today.

AMP Ltd (ASX: AMP)

AMP is another ASX 200 share that worked its way through the market today. By the end of trade, 18.3 million AMP shares had changed hands.

This could be explained by the wealth manager’s hefty share price rise today. AMP finished up a healthy 3.02% at $1.19 a share, despite no official news or announcements out of the company.

Since dipping to a new all-time low of just $1.05 a share about a month ago, AMP is up roughly 12% since, including today’s bump.

Pilbara Minerals Ltd (ASX: PLS)

A final ASX share which traded well today was lithium miner Pilbara Minerals. Pilbara once again finds itself in this list of the most traded ASX 200 share on the market, as it has all week.

Today, a hefty 27.6 million Pilbarra shares changed hands. This is likely a result of the poor performance of the Pilbara share price itself today. The miner ended the day down a nasty 3.88% to $1.48 a share after making a new all-time high of $1.60 yesterday.

This seems to be in response to an announcement this morning that the company intends to restart its Ngungaju Operation by the end of the December quarter. Even so, Pilbara is still up 8.8% in the past 5 reading days, and up a staggering 31% in the past month.

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

More reading

• Crude to $100 per barrel? 3 ASX 200 oil shares trading well below pre-COVID levels
• The Stockland (ASX:SGP) share price hit a new 52-week high today
• The Pilbara Minerals (ASX:PLS) share price is up 12% in a week
• The AMP (ASX:AMP) share price is rising today
• Why New Hope, Nuix, Pilbara Minerals, & Woolworths shares are dropping

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/3qnDweh

The Botanix Pharmaceuticals Ltd (ASX: BOT) share price was a very strong performer on Friday.

The clinical stage synthetic cannabinoid company’s shares ended the day a massive 20% higher at 7.8 cents.

However, despite this strong gain, the Botanix share price is still down 40% since the start of the year.

Why did the Botanix share price rocket higher?

With no news out of the company, today’s gain in the Botanix share price is a bit of a mystery.

However, as I mentioned above, with its shares down by materially since the start of the year, some investors may believe they had fallen to an attractive level. Especially given some of its promising studies that are currently underway.

One of those is the BTX 1204 Pilot Study. BTX 1204A is a new higher dose formulation of synthetic cannabidiol (CBD) for atopic dermatitis. It leverages the company’s Permetrex formulation used in the recent successful BTX 1801 Phase 2a study.

Management notes that results from a pilot study of canines with atopic dermatitis provides encouraging data to support further investigation. It also provides a clinically efficient approach to inform progression to further human studies.

What else has been happening?

Optimism over the aforementioned BTX 1801 Phase 2a study could also be giving the Botanix share price a lift. A recent update revealed that BTX 1801 was safe, well tolerated, clinically effective, and successful at achieving decolonisation of Staph aureus in the nose.

The success of this study has seen the company launch the next phase of BTX 1801 development, targeting the nasal decolonisation of Staph aureus in haemodialysis patients to prevent bloodstream infections.

Management highlights that there is an urgent need and significant market opportunity for novel approaches to prevent bloodstream infections in haemodialysis patients. Positively, plans for a Phase 2b clinical study are well advanced and can be fully funded with existing capital reserves.

Some investors may be hoping positive updates relating to these studies will keep the Botanix share price heading in the right direction during the second half of the year.

The post The Botanix (ASX:BOT) share price jumped 20% today appeared first on The Motley Fool Australia.

More reading

• The Sezzle (ASX:SZL) share price has lifted 15% this week
• What moved CBA (ASX:CBA) shares this week?
• Is the Telstra (ASX:TLS) share price still good value?
• Supply Network (ASX:SNL) share price jumps 4% on positive full-year guidance
• Boral (ASX:BLD) share price surges 6% on changes to Seven takeover bid

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/3zWUVik

Sezzle Inc (ASX: SZL) shares have had a bumper week on the ASX. By today’s market close, the Sezzle share price had gained just over 15% for the week to finish at $9.50.

With no price-sensitive announcements out of the company this week, let’s take a look at what might be helping boost Sezzle shares.

Tech shares on the rise

The past few weeks have been a glorious time to be a tech investor.

The S&P/ASX 200 Info Tech Index (ASX: XIJ) has surged by around 21% since 20 May, propping up heavyweight names including Afterpay Ltd (ASX: APT), Xero Limited (ASX: XRO) and WiseTech Global Ltd (ASX: WTC).

The recent jump in the tech sector brings it to within around 7% of its record all-time highs achieved in February.

A far more bullish narrative is taking place on Wall Street, with the tech-heavy Nasdaq Composite (NASDAQ: .IXIC) making new record highs in each of its last three trading sessions.

So, it’s possible the resurgence of tech shares is helping support the Sezzle share price this week.

Leading BNPL shares surge in June

ASX-listed buy now, pay later (BNPL) shares struggled to make headway in late April through to late May.

This was despite the S&P/ASX 200 Index (ASX: XJO) topping its pre-COVID highs in the last week of May.

However, June appears to have turned over a new leaf for the underperforming sector, with leading players such as Afterpay and Zip Co Ltd (ASX: Z1P) running around 17% and 39%, respectively, this month.

In addition to their impressive gains this week, Sezzle shares have also lifted by around 27% this month.

The post The Sezzle (ASX:SZL) share price has lifted 15% this week appeared first on The Motley Fool Australia.

More reading

• Brokers name 3 ASX shares to buy today
• Citi plans to disrupt Afterpay (ASX:APT) and Zip (ASX:Z1P)
• ASX 200 up 0.3%: CSL downgraded, Zip drops, Charter Hall impresses
• Why the Zip (ASX:Z1P) share price is down 5% today
• Here are 3 of the most heavily traded ASX 200 shares today

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended AFTERPAY T FPO, WiseTech Global, Xero, and ZIPCOLTD FPO. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Sezzle Inc. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO, WiseTech Global, and Xero. The Motley Fool Australia has recommended Sezzle Inc. 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/3xSQ9QO

The Commonwealth Bank of Australia (ASX: CBA) share price looks to close the day in the green, up 0.8% in late afternoon trading to $99.43 per share.

Barring a last moment sell-off, today will be only the second day of the week CBA shares closed higher.

Monday was the biggest loss for the big 4 bank, with shares plummeting 5.4%. This was followed by a 2.2% gain on Tuesday, and smaller losses on Wednesday and Thursday.

All up, CBA shares look to close the week down around 4% from last Friday’s $103.69 closing price. By comparison the S&P/ASX 200 Index (ASX: XJO) looks to finish the week down 0.7% over the same period.

What moved CBA shares this week?

As mentioned up top, CBA shares suffered their biggest hit of the week on Monday. That followed on the bank’s announcement it was selling off its general insurance division,  CommInsure General Insurance, to Hollard Group.

Although CommBank didn’t reveal all the details of the sale, it reported it expected to realise a post-tax gain of $90 million. ASX investors, clearly, were less than impressed.

Tuesday’s 2.2% boost in CBA shares came amid news that it was spending big on its technology and innovation efforts. CommBank already employs some 4,000 engineers, the biggest internal tech team in Australia. But that team is set to grow. The bank plans to hire at least 650 more engineers over the coming months.

Bold call on RBA interest rates

CommBank was back in the financial news the following day, when its head of Australian economics, Gareth Aird, upped investor expectations on the pace of coming interest rate rises. While the Reserve Bank of Australia (RBA) has flagged the official cash rate will remain at a rock bottom 0.1% until 2024, Baird says this might happen by November 2022.

CBA shares slid again on Thursday after it announced it was re-entering the invoice financing market after a 10-year hiatus.

What’s invoice financing?

As my Foolish colleague Mitchell Lawler explained:

Invoice financing is a method of borrowing for businesses where its accounts receivable, or ‘invoices’ are used as the collateral. This can give small and medium-sized enterprises (SMEs) access to cash to grow while waiting for customers/clients to make payments.

At the current price of $99.43, CBA shares are now down 6.1% from 17 June’s all-time closing high of $105.91.

The post What moved CBA (ASX:CBA) shares this week? appeared first on The Motley Fool Australia.

More reading

• CBA (ASX:CBA) partners with Xero’s Waddle for new financing product
• CBA (ASX:CBA) says interest rates could jump as early as next year
• Liar loans could return to haunt ASX bank shares as 1-in-5 borrowers lie to lenders
• CBA (ASX: CBA) share price climbs to near all-time high record
• Meme stocks most popular US shares for ASX investors

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/3wVIt0e