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The A2 Milk Company Ltd (ASX: A2M) share price is one of the best performing shares on the S&P/ASX 200 Index (ASX: XJO) today. While the ASX 200 is up a healthy 1.26% today to a new record high, A2 Milk shares are doing even better.

A2 Milk is currently up 3.85% to $5.54 a share, after rising as high as $5.58 earlier in the trading day. This move will come as something of a relief for shareholders, who have had to watch the former high-flying dairy company descend to multi-year lows in recent weeks.

It was only earlier this month that A2 dropped to a ~4-year low of $5.04, meaning the shares are up close to 10% in just a fortnight. But that rise doesn’t mask the company’s disappointing performance in just the past year. It was only 10 or so months ago when this company was at a record high of $20.05. Since June 2020, A2 Milk shares have dropped close to 75%.

A series of earnings downgrades and sluggish export market to China is largely to blame. But enough crying over spilt milk, as it were. So why are A2 Milk shares surging today?

A2 Milk share price caps off the week with a bang

Well, we’ve had no major official news or announcements out of the company today, so that rules that out. A2’s last market announcement was on Tuesday, and that was just a routine notice regarding some institutional share ownership.

Therefore, today’s big share price move for A2 might just be some good old fashioned buying pressure. Investors (or perhaps one large investor) might have looked at A2 Milk shares and seen a perceived bargain, given the company’s historical valuation. As my Fool colleague James Mickleboro noted on Tuesday, A2 has been at the front of the pack for the most popular ASX trades recently.

Or perhaps, as the Fool’s chief investment officer Scott Philips discussed this week, investors might be responding to some increased broker optimism for the company.

Maybe it’s a combination of all of these factors that are helping to push the A2 Milk share price up today. Whatever the reason, I’m sure it’s welcome for A2 shareholders. On the current A2 Milk Company share price, the business has a market capitalisation of $3.96 billion.

More reading

• These 3 shares are this week’s biggest fallers of the ASX 200
• Sell ASX 200 shares in May and go away? Not a good idea in 2021
• Breaking! ASX 200 hits another record share market high
• 2 top ASX 200 shares that might be buys today
• 5 things to watch on the ASX 200 on Friday

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It’s been a good week for S&P/ASX 200 Index (ASX: XJO) shares. The index has gained 2.05% since Monday.

But these 3 stocks are proving there will always be bumps in the road for ASX-listed companies – no matter how big.

Let’s take a closer look at what’s been happening with the ASX 200’s worst performing shares this week.

3 ASX 200 shares that fell this week

Costa Group Holdings Ltd (ASX: CGC) – down 21%

Yesterday was a particularly bad day for the Costa Group share price.

It fell a whopping 23.32% over the course of the day, following its annual general meeting update.

Despite its performance during the first half being better than the previous comparable period, the market expected greater results.

The Costa Group share price is ever so slightly bouncing back today. Currently, it’s up by 0.59% with shares in the company trading for $3.39.

Right now, Costa Group has a price-to-earnings (P/E) ratio of 29.33.

Fisher & Paykel Healthcare Corp Ltd (ASX: FPH) – down 12%

Despite releasing what looked to be extremely positive full year results yesterday, the Fisher & Paykel share price closed 6% lower than the previous session.

The medical device company reported a 56% increase in operating revenue and an 82% jump in net profit after tax but declined to provide any future guidance.

Fisher & Paykel stated this was because the market was too uncertain.

Right now, shares in the ASX 200 company are trading for $27.35.

The company now has a P/E ratio of 47.17.

CSR Limited (ASX: CSR) – down 7%

The CSR share price is having a bad day today, having fallen 5.4% at the time of writing.

The drop is mostly due to the building materials company’s shares trading ex-dividend. 

Having started the week swapping hands for $5.98, CSL shares are now trading for $5.57.

CSR has a P/E ratio of 19.65

More reading

• Sell ASX 200 shares in May and go away? Not a good idea in 2021
• Why BetMakers, CSR, EOS, & Fisher & Paykel Healthcare are tumbling
• Breaking! ASX 200 hits another record share market high
• 2 top ASX 200 shares that might be buys today
• Brokers name 3 ASX shares to buy now

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Despite the S&P/ASX 200 Index (ASX: XJO) pushing above 7,100 this week, darling ASX growth stocks such as Afterpay Ltd (ASX: APT) and CSL Ltd (ASX: CSL) have struggled to capitalise on move up.

While these classic ASX growth stocks are moving sideways, here are some potential new names that are surging this week.

ASX growth stocks surging this week

Alcidion Group Ltd (ASX: ALC)

The Alcidion share price jumped to highs of 41 cents on 16 April, a day after its $15.4 million capital raising at 32 cents.

Shares in the software company were likely pushing higher on the back of separate statements coinciding with the capital raising. These included a patient flow management software acquisition and a $21 million contract with the Australian Department of Defence. However, in the next few weeks, its shares eased back to lows of 35.5 cents, possibly dragged down by the discount given to capital raising participants.

This week, the Alcidion share price has surged more than 25% into record territory. Its biggest move came on Thursday where its shares closed 10% higher from 41 cents to 45 cents. Its Thursday trading session was backed by a significant volume of approximately 6.5 million shares, compared to its 10-day average volume of approximately 1.55 million.

Praemium Ltd (ASX: PPS)

Praemium is another ASX growth stock that’s making headway this week. The company provides fully integrated account management platforms for financial institutions and individual investors.

Its shares experienced a very volatile session last Friday following the departure of its CEO and board member, Michael Ohanessian. Praemium shares dipped 12% lower to 68 cents within the first 15 minutes of market open, before a V-shaped recovery to break even at 11am. By market close, its shares were trading 6% higher at 52-week highs of 82.5 cents. Wild.

The Praemium share price carried its momentum over to this week, marking 5 straight days of green. Its shares have added another 15% since last Friday, reaching a multi-year high of 96.5 cents today.

People Infrastructure Ltd (ASX: PPE)

People Infrastructure provides contracted staffing and human resources outsourcing services to a range of key industries including healthcare, mining, construction, technology and industrial.

The Australian economy has rebounded strongly, even with the end of jobkeeper wage subsidies. This month, the Australian Bureau of Statistics (ABS) reported that the unemployment rate had decreased to 5.5%. According to the ABC, Seek Ltd (ASX: SEK) said that it just recorded its second consecutive record month of job ads. The record numbers of jobs advertised could be a tailwind driving the People Infrastructure business.

The People Infrastructure share price pushed as high as 11% higher to $4.77, a new all-time record high for the company. Its shares have since slightly pulled back to $4.62 at the time of writing.

More reading

• ASX tech shares roar higher, puts ASX 200 index in the shade
• Why the Praemium (ASX:PPS) share price will be on watch tomorrow
• Why the Alcidion (ASX:ALC) share price is falling again today

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The Catapult Group International Ltd (ASX: CAT) share price has come under pressure on Friday.

In late afternoon trade, the sports analytics and wearables company’s shares are down almost 5% to $2.15.

Why is the Catapult share price under pressure?

There are a couple of catalysts for the weakness in the Catapult share price on Friday.

The first is profit taking after some strong gains recently. Prior to today, the Catapult share price was up over 17% since the end of last week.

This was driven largely by investors snapping up shares after the release of its FY 2021 results on Thursday.

Although the company reported a decline in revenue, it continues to report growth in the right areas.

For the 12 months ended 31 March, Catapult posted a 7.4% decline in revenue to $67.3 million for the 12 months. This was driven by its planned shift from capital sales to SaaS deals and the severe impact from COVID delaying new business.

In respect to the former, the company’s subscription revenue growth accelerated to 12.5% in the fourth quarter. This compares to 3.3% for FY 2021 and means that its subscription revenue is now 79% of total revenue. This is up from 71% a year earlier.

What else is weighing on its shares?

As well as profit taking, a broker note could be weighing on the Catapult share price today.

According to a note out of Bell Potter, its analysts have downgraded the company’s shares to a hold rating but lifted their price target to $2.40.

While Catapult’s FY 2021 result was stronger than Bell Potter was expecting and it was pleased with the progress it is making with subscription revenues, it isn’t enough to continue with its buy rating.

The broker felt that Catapult’s shares were fully valued after yesterday’s gains and downgraded them to a hold rating.

More reading

• Brokers name 3 ASX shares to buy now
• Catapult (ASX:CAT) share price sprints 5% higher on FY21 results
• Catapult (ASX:CAT) share price falls despite delivering solid Q3 growth

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That old stock market adage ‘sell in May and go away’ tends to crop up around this time of year, for obvious reasons. It’s a crusty old proverb that no one seems to really know where it came from, or how it applies to modern investing. The idea is that May somehow represents an annual high point for share markets, including the ASX. So we should all sell all our ASX shares just before winter, and perhaps buy back in…. at some point.

You can already see the logic here is a little flimsy. But we Fools like to put our money where our mouths are. Last year, this writer looked at the historical performances for the S&P/ASX 200 Index (ASX: XJO) over a few past Mays. The result? There’s not much to write home about. But you can check out the very sophisticated visual representation here.

So is there any good reason, at all, to sell in May and go away? Given today is this May’s second-last trading day, it’s a good time to ask.

Sell in May and go away?

Well, to answer that succinctly, and perhaps definitively, here’s a couple of quotes from the great investor Warren Buffett from our friends over at Fool.com:

I never attempt to make money on the stock market. I buy on the assumption that they could close the market the next day and not reopen it for five years.

Buy a stock the way you would buy a house. Understand and like it such that you’d be content to own it in the absence of any market.

If you aren’t willing to own a stock for ten years, don’t even think about owning it for ten minutes.

Does that sound like Mr Buffett would endorse a ‘buy in May and go away’ investing strategy? 

Indeed, the ASX 200 has performed a coup de grâs of sorts on this idea in 2021. Any ASX 200 investor who sold their shares on 30 April would have missed out on, not one, but two new record highs that the ASX 200 has hit over the month. The first came on 11 May, and the second, just today. Indeed, the ASX 200 (at the time of writing) has managed to add a healthy 2.2% over the month so far. Unless Monday brings us one of the worst one-day selloffs ever, it’s likely that May will be a month in the green for ASX 200 shares. Case closed? Well, at least until May 2022. 

More reading

• Breaking! ASX 200 hits another record share market high
• 2 top ASX 200 shares that might be buys today
• 5 things to watch on the ASX 200 on Friday
• ASX 200 rises, Costa smashed, Fisher & Paykel drops
• The RBNZ could hike rates in 2022. Will the RBA follow suit?

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The Andromeda Metals Ltd (ASX: ADN) share price is rocketing today on news of a memorandum of understanding with AEM Technologies Inc.

The agreement could see Andromeda build a facility to process halloysite-kaolin from the Great White deposit – a joint venture between Andromeda and Minotaur Exploration Ltd (ASX: MEP) – into high purity alumina (HPA).  

After reaching 8.29% higher in early trade, the Andromeda share price has slightly retreated and is swapping hands for 22 cents at the time of writing, up 7.3%.

The Minotaur share price has also taken a similar trajectory today and is currently up 4.55% trading at 11.5 cents after a 9% peak near the open.

Let’s take a look at today’s news from the company.

Andromeda’s potential new kaolin venture

Andromeda has entered into an understanding with AEM to use the tech company’s patented process to make HPA using kaolin.

AEM produces HPA for high growth markets, including the lithium-ion battery sector. Its Canadian facility, where it undertakes the process, is the only one in the world capable of producing HPA at 99.99% purity from kaolin.

If all goes to plan, Andromeda will build a facility in Australia to produce HPA using AEM’s patented method and kaolin from the Great White deposit.

Andromeda and AEM will also consider entering into a commercial arrangement to sell Andromeda’s future HPA products through AEM’s distribution network.

The memorandum of understanding will be exclusive for 90 days. During this time, Andromeda will carry out due diligence and testing on AEM’s HPA process.

A large sample of Great White kaolin will also be sent for testing at AEM’s Canadian facility.

Kaolin samples from Andromeda’s wholly-owned Mount Hope Project will also be tested to see if they’re a suitable HPA feed resource.

According to Andromeda, AEM is planning to build an HPA plant in the United Kingdom. This means Andromeda could use the UK plant’s plans as a template to build its own.

Commentary from management

Andromeda managing director James Marsh commented on the MOU, saying:

We have known for some time that our kaolin feed was a premium material for HPA production, but we have taken our time in order to be extremely thorough in identifying the right partner to drive this opportunity forward. Andromeda considers that having access to proven commercial technology in this sector will allow us to fast-track this HPA opportunity towards commercialisation.

AEM CEO Julian Ford added:

Access to Andromeda Metals’ high quality kaolin projects will help AEM in its goal to be the preferred supplier of HPA to the world’s new Electric Vehicle’s Lithium-Ion Battery giga-factories and global LED manufacturers.

Andromeda share price snapshot

The Andromeda share price has fallen 28.29% since the beginning of this year but is up 270% over the last 12 months.

Andromeda has a market capitalisation of around $442 million, with approximately 2 billion shares outstanding.

The Minotaur share price is also struggling on the ASX this year, down 38.84% year to date. Despite a hard 2021, Minotaur shares have also made significant gains in the past 12 months, up 140% since this time last year.

Minotaur has a market capitalisation of around $55 million, with approximately 501 million shares outstanding.

More reading

• Why the Andromeda (ASX:ADN) share price is on the rise
• Andromeda Metals (ASX:ADN) share price falls despite project update

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The Austal Limited (ASX: ASB) share price is rising today following the successful completion of acceptance trials by its newest ship.

At the time of writing, the shipbuilding group’s shares are trading at $2.38, up 1.06%

Completion of acceptance trials

Investors are pushing the Austal share price higher after the company released a positive update.

According to today’s announcement, the future USS Savannah has completed acceptance trials in the Gulf of Mexico. The new naval vessel is the 14th Independence-class littoral combat ship (LCS) built by Austal for the United States Navy.

Acceptance trials consist of a number of tests conducted by Austal’s US team while the vessel is at sea. These include assessing the ship’s major systems and equipment for warfighting capabilities, before delivery proceeds.

According to the company, the new combat ship is a high-speed, shallow-draft surface combatant with an aluminium trimaran hull that provides class-leading, multi-mission capability. The ship is designed to defeat littoral threats and provide access and dominance along coastal waters. In addition, the vessel has flexibility to execute surface warfare, mine warfare and anti-submarine warfare missions.

The new naval vessel is scheduled for delivery to the US Navy late next month.

The future USS Savannah will be homeported in San Diego, along with the other 13 Independence-class LCSs.

Austal CEO Paddy Gregg commented:

The successful completion of acceptance trials for Savannah, in the same week as the commissioning of [the USS] Mobile, clearly demonstrates the capabilities of the Austal USA team to deliver multiple naval ship programs for the US Navy, productively and efficiently.

Austal said its US Independence-class LCS program is running at a full rate of production, with four ships under construction. The future USS Canberra is in its final assembly and readying for launch on 5 June. Furthermore, the USS Santa Barbara is also in the final stages of its assembly, while fabrication works are being done on USS Augusta and USS Kingsville. The future USS Pierre is expected to begin fabrication later this year.

About the Austal share price

Austal shares have fallen by more than 20% over the past 12 months. The company’s shares hit a 52-week high of $3.86 in June 2020, and a multi-year low of $1.98 in March this year. 

On valuation metrics, Austal has a market capitalisation of about $853 million, with around 359 million shares on issue.

More reading

• Austal (ASX:ASB) share price edges higher amid acquisition rumours
• Here’s why the Austal (ASX:ASB) share price is in the spotlight today

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The S&P/ASX 200 Index (ASX: XJO) is on course to record a very strong gain. In afternoon trade, the benchmark index is up 1.2% to 7,181.9 points.

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

Betmakers Technology Group Ltd (ASX: BET)

The BetMakers share price is down 15% to $1.36. Investors have been selling the betting technology company’s shares after it announced a $4 billion offer to acquire the Tabcorp Holdings Limited (ASX: TAH) Wagering and Media business. This comprises $1 billion in cash and $3 billion in BetMakers shares. The latter could significantly dilute existing shareholders.

CSR Limited (ASX: CSR)

The CSR share price has fallen 5% to $5.59. This decline is almost entirely due to the building materials company’s shares trading ex-dividend this morning. Eligible shareholders can look forward to receiving its fully franked 24 cents per share final dividend in their bank accounts on 2 July.

Electro Optic Systems Hldg Ltd (ASX: EOS)

The Electro Optic Systems share price has tumbled 8.5% to $3.83. This follows the release of the communications, defence, and space company’s annual general meeting update this morning. At the meeting, the company advised that it expects full year EBIT of between $20 million and $25 million. However, this is before its SpaceLink acquisition costs of $17 million. Management also warned that COVID-19 could have an impact on its financial and operational performance.

Fisher & Paykel Healthcare Corp Ltd (ASX: FPH)

The Fisher & Paykel Healthcare share price is down 2% to $27.37. This decline appears to have been driven by a broker note out of Credit Suisse. According to the note, the broker has downgraded the medical device company’s shares to a neutral rating and cut the price target on them to $30.00. It appears disappointed by management’s uncertain outlook for FY 2022.

More reading

• Electro Optic (ASX:EOS) share price sinks 8% following AGM
• Why Inghams, Latitude, Rio Tinto, & Tabcorp shares are charging higher
• ASX 200 up 1.1%: Tabcorp receives $4bn offer, KKR wants Link’s PEXA business
• BetMakers (ASX:BET) share price sinks on Tabcorp takeover proposal
• ASX 200 rises, Costa smashed, Fisher & Paykel drops

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There are some exchange-traded funds (ETFs) that might be able to provide investors with strong diversification to international shares.

The ASX only accounts for a small part of the global share market. There are many more businesses out there that Aussies can’t invest in on the ASX.

ETFs can be a way to get that exposure whilst sticking to investments on the ASX.

These two investments could be ideas:

iShares S&P 500 ETF (ASX: IVV)

The S&P 500 is an index of US-listed businesses. They are among the biggest in the world. At the top end of the list are global leaders of their industries.

It has a long-term track record of delivering returns for investors because the US is where many of the world’s strongest businesses are invested.

This particular ETF has a very cheap annual management fee of just 0.04% per annum. That means that hardly any of the investor returns are lost to fees. Active fund managers can charge both management fees and performance fees, which can reduce total returns over time.

You may recognise some of the largest holdings in the ETF’s portfolio: Apple, Microsoft, Amazon, Facebook, Alphabet, Berkshire Hathaway, JPMorgan Chase, Tesla, Johnson & Johnson, UnitedHealth, Nvidia, Visa, Home Depot, Procter & Gamble, Walt Disney, Bank of America, Mastercard and PayPal.

The performance of the S&P 500 has been superior to the S&P/ASX 200 Index (ASX: XJO) in recent years. Over the last three years the iShares S&P 500 ETF has produced an average of 17.4% and over the last decade it has been an average of just over 18%.

According to Blackrock, iShares S&P 500 ETF has a price/earnings ratio of just over 32x.

Betashares Nasdaq 100 ETF (ASX: NDQ)

This is another ETF that is focused on the US share market. However, this one is only invested in businesses that are listed on a particular stock exchange in the US – the NASDAQ. The New York Stock Exchange is utilised more by old-school businesses whilst many tech shares are listed on the NASDAQ.

Not only is this ETF more focused on tech, but it also only has 100 holdings. So investors can gain more exposure to the largest tech names.

These are some of the largest positions in the portfolio right now: Apple (10.8%), Microsoft (9.6%), Amazon (8.3%), Alphabet (7.6%), Facebook (4.1%), Tesla (3.8%), Nvidia (3%) and Paypal (2.4%).

The tech giants have performed strongly over the last several years, which has helped the returns of the Betashares Nasdaq 100 ETF. Since inception in May 2015 it has produced an average return per annum of 21.6%. Over the last three years the average return per annum has been 27.5%.

The biggest businesses are the ones that are shaping the way we are living in certain areas in our lives, particularly since the onset of COVID-19. For example, Microsoft offers huge amounts of functionality for businesses and individuals in the shift to digital working and learning.

More reading

• This tech ETF has returned 30% for ASX investors in the past year
• A2 Milk and EML were among the most traded ASX shares last week
• 2 outstanding tech ETFs for ASX investors
• A2 Milk and Zip were among the most traded ASX shares last week
• These 3 ASX ETFs are some of the cheapest on the market

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The Peninsula Energy Ltd (ASX: PEN) share price is sinking today following the company’s capital raising efforts.

At the time of writing, the uranium mining company’s shares are down 8.11% to 17 cents.

What’s happening with the Peninsula Energy share price?

A major catalyst for the fall in today’s Peninsula Energy share price is an impending share dilution. According to today’s announcement, Peninsula Energy has completed a share placement to enable it to fund the purchase of natural uranium concentrates.

The company received commitments from new and existing international and domestic institutions, raising $13.4 million before costs.

According to the placement, about 89.3 million shares will be issued at a price of 15 cents apiece. This represents a 19% discount to Peninsula Energy shares’ last closing price of 18.5 cents on 25 May before they entered a trading halt.

Peninsula Energy will use its existing placement capacity to create the new shares. Under listing rule 7.1, this allows up to 15% of its total shares to be issued without shareholder approval.

The proceeds of the placement will be used to settle the purchase of 300,000 pounds of natural uranium concentrates. The company has entered into a binding agreement to purchase the concentrates at a price of US$31.35 per pound.

The settlement is due next month, with the product to be stored at the Cameco facility in Ontario, Canada.

Management said buying the uranium will support the company’s plans for its flagship Lance Project in Wyoming, United States.

Lastly, Peninsula Energy says it will launch a $2 million share purchase plan to eligible investors. Up to 13.3 million new shares will be created, with the monies being put towards corporate purposes and working capital.

Commentary from management

Peninsula managing director and CEO Wayne Heili said:

The acquisition of physical uranium underpins our focus on the transition of the Lance Project to a low pH ISR operation. Adding physical uranium to our balance sheet provides significant flexibilities and potential upside as we move towards the restart of operations.

Importantly, holding uncommitted uranium inventories at a time when there is a strong and continued push by the United States Government to support nuclear power generation and the domestic production of critical minerals like uranium, enhances our ability to successfully participate in expanding market opportunities.

The Peninsula Energy share price is up by around 50% since this time last year.

More reading

• What’s happening with the Peninsula Energy (ASX:PEN) share price?

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