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The Race Oncology Ltd (ASX: RAC) share price has been a very strong performer on Thursday.

In morning trade, the precision oncology company’s shares are up 10% to $3.38.

Why is the Race Oncology share price storming higher?

Investors have been buying the company’s shares following the release of a positive announcement this morning.

That announcement revealed details of a recent scientific publication in the prestigious journal Nature Communication.

According to the release, the publication confirms that its phase 2/3 cancer drug Bisantrene is a highly effective inhibitor of the Fat Mass and Obesity associated protein (FTO).

The release notes that the independent work was performed by a research team at the University of Chicago led by prominent Professors Chuan He and Yu-Ying He. It builds on the original identification of Bisantrene as a potent FTO inhibitor by Professor Chen and his team at the City of Hope Hospital in 2020.

In addition, the University of Chicago team has identified that FTO plays a critical role in the development of skin cancers caused by low-level arsenic exposure and that Bisantrene-targeted inhibition of FTO limits the growth of these skin cancers in both cell culture and mice.

Management commentary

Race Oncology’s Chief Scientific Officer, Dr Daniel Tillett, said: “The independent confirmation that Bisantrene is able to target FTO and treat skin cancer by such a distinguished team is of great importance. Many scientists and pharmaceutical companies are sceptical of potential cancer breakthroughs until they have been replicated by an independent group of researchers. This new paper repeating the earlier FTO work of the City of Hope Hospital is a major step forward for our clinical plans for Bisantrene.”

Following today’s gain, the Race Oncology share price is now up an impressive 73% since the start of the year. This extends its staggering 12-month gain to over 1,000%.

More reading

• Why Computershare, Macquarie, Race Oncology, & Webjet are tumbling lower
• Race (ASX:RAC) share price falters despite positive update
• Up 1,460% in a year, why the Race Oncology (ASX:RAC) share price is sliding today
• Race Oncology (ASX:RAC) share price slides on a new melanoma preclinical study

Motley Fool contributor James Mickleboro 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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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.

GameStop (NYSE: GME) ended 2020 with $216 million in long-term debt. But under an early redemption notice announced yesterday, the video game retailer said it will be retiring the notes at the end of the month.

That will leave GameStop debt-free and able to focus its resources on transforming into a primarily e-commerce driven retailer.

GameStop said it was voluntarily issuing an irrevocable notice of redemption on April 30 for $216.4 million of its 10% senior notes that were due in 2023. It will use its cash on hand to pay off the debt.

While GameStop’s fiscal 2020 year ended at the end of January with almost $509 million in cash and equivalents in the bank, earlier this month it increased the size of a share offering to 3.5 million shares at market prices. At its current stock price of $145 a share, the video game retailer would realize about $508 million.

The at-the-market (ATM) offering, though, is an expanded version of a $100 million ATM program it announced in December. At the time, GameStop stock was trading just under $17 a stub.

Of course, in January was the massive Reddit rally caused GameStop shares to surge, but the retailer failed to act on grabbing more cash from its elevated stock price. Considering shares remain inflated, the expanded offering gives it the chance to raise cash, pay off its debt, and still have plenty of money left over to finance its transformation.

Activist investor Ryan Cohen is firmly in charge of GameStop now. He was named chairman of the board, almost all serving directors will be stepping down, and the video game stock is looking for a new CEO. He’ll now be able to effect the change he seeks unencumbered by debt.

Rich Duprey has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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

More reading

• Tesla and Palantir were some of the most popular US shares last week
• Better buy: Amazon vs. GameStop
• GameStop names activist investor Ryan Cohen as chairman of the board
• Will a retreating Reddit army trample the IOUpay (ASX:IOU) share price?
• Tesla and GameStop were some of the most popular US shares last week

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

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The Strike Energy Ltd (ASX: STX) share price has gone into a trading halt as the company undertakes an $80 million capital raising.

Management is capitalising on the high Strike Energy share price to get the cash injection to fund what it considers to be “transformational” outcomes in Western Australia.

The Strike Energy share price surged nearly 189% over the past year and last traded at 38 cents.

Strike Energy cap raise at big discount

But the new share sale is being priced at a relatively big 26.7% discount to the last traded price to tempt institutional investors to tip in $75 million into the capital raise via a placement.

The emerging gas producer is aiming to secure the balance via a share purchase plan that is also priced at 30 cents a pop.

Cap raise to draw first gas from West Erregulla

A chunk of the proceeds will be used to develop and deliver “first gas” from its West Erregulla project.

Phase 1 of the project is expected to produce 80 Terajoules a day. Final investment decision (FID) for West Erregulla, which is 50% owned by Strike Energy, is expected by middle of this calendar year.

If things go to plan, first gas from the project could come as soon as end of 2022, if not the first half of 2023.

Other uses for the funds

Management also plans to use the new cash to prove up the South Erregulla gas resource and to appraise the Perth Basin wet-gas Jurassic play at Walyering.

Those participating in the cap raise will also be helping Strike Energy reach its pre-FID milestones for Project Haber and to develop its geothermal projects.

Coincidentally, the federal government is looking to use gas to fire up Australian manufacturing, although the plan has attracted controversy.

More ASX shares raising capital

Strike Energy isn’t alone is tapping shareholders on the shoulder for cash. The Zip Co Ltd (ASX: Z1P) share price fell 2.7% this morning to $9.35 after it raised $400 million via a “zero coupon” senior convertible note offering.

Zero coupon means Zip Co doesn’t pay any interest on the note. Investors who participated in the raise are banking on a further sharp rise in the Zip share price when they convert the notes to shares at a fixed price of $12.39 before the note matures in 2028.

Strike Energy and Zip Co won’t be the last to raise capital in this market. Investor appetite is strong and ASX shares remain very well supported despite worries about overstretched valuations.

As mentioned in a previous article, I am also expecting more miners to be passing the cup around, including Galaxy Resources Limited (ASX: GXY).

More reading

• Zip (ASX:Z1P) share price sinks lower after $400m notes offering
• Why the IOUpay (ASX:IOU) share price is up 15% this week
• Is the Klarna / Flybuys partnership the future for ASX BNPL providers?
• 5 things to watch on the ASX 200 on Thursday
• ASX 200 rises above 7,000, Resolute Mining soars, Galaxy jumps

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

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The Regis Resources Limited (ASX: RRL) share price has returned from its trading halt and is crashing notably lower.

In early trade, the gold miner’s shares are down 17% to a 52-week low of $2.61.

Why was the Regis share price in a trading halt?

The Regis Resources share price was placed in a trading halt this week while it launched an equity raising.

The company launched the equity raising after signing a conditional binding agreement with IGO Ltd (ASX: IGO) to acquire its 30% interest in the Tropicana Gold Project for A$903 million.

This morning Regis Resources announced the successful completion of its institutional placement and the institutional component of its fully underwritten entitlement offer.

According to the release, the placement and the institutional component of the entitlement offer raised a total of approximately A$494 million at $2.70 per new share. This represents a 14.8% discount to its last close price.

Regis Resources revealed that it received strong demand for its placement and the entitlement offer was well supported. The latter had a take-up rate from eligible institutional shareholders of approximately 86%.

Regis will now seek to raise approximately A$156 million from the fully underwritten retail component of the entitlement offer. This will be undertaken at the same price, which is actually higher than the current Regis share price.

“Transformational transaction”

Regis’ Managing Director and CEO, Jim Beyer, commented: “As noted in Regis’ ASX announcement on 13 April 2021, the proposed acquisition of a 30% in the Tropicana Gold Project is a transformational transaction for Regis, and we are very pleased with the strong demand and the support from new institutional investors and existing institutional shareholders which we see as reflecting the strong support for the transaction.”

The company notes that Tropicana is a low cost, high margin, top five producing Australian open-pit and underground gold mine located in the Albany-Fraser Orogeny in Western Australia.

It is one of the largest gold mines in Australia with gold production of 463koz in FY 2020 and guidance of 380koz – 430koz in FY 2021. It diversifies Regis’ existing production base and comes with a world class joint venture partner in AngloGold Ashanti.

However, judging by the performance of the Regis share price today, the market doesn’t appear convinced by the move.

More reading

• Top fundie picks this ASX 200 resource share for the EV revolution
• ASX 200 rises, Zip (ASX:Z1P) flies, bank ratings upgraded
• ASX 200 flat: Zip rockets, Cleanaway higher, Regis-IGO announce Tropicana deal
• Why IGO, Orocobre, Splitit, & Zip shares are charging higher
• Regis Resources (ASX:RRL) announces $900m Tropicana Gold Project acquisition

Motley Fool contributor James Mickleboro 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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Qantas Airways Limited (ASX: QAN) shares are edging higher in early trade following an update on the company’s business operations. At the time of writing, the Qantas share price is trading 0.58% higher at $5.24. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is currently down 0.29%.

Let’s take a look at the company’s update.

What’s boosting the Qantas share price?

Qantas shares are in the green on Thursday morning after the airline announced a number of updates in the ramp-up of its services.

Domestic travel

According to this morning’s release, Qantas’ domestic travel segment is on the road to recovery. This comes despite receiving setbacks throughout the Christmas and New Year period, and the Easter holidays. The first of these impacted FY21 earnings before interest, tax, depreciation and amortisation (EBITDA) to the tune of $400 million. The latter, a much shorter domestic travel halt, cost the group $29 million in EBITDA for FY21.

Qantas highlighted that the federal government’s plan to incentivise domestic leisure travel is promising. Half-price fare offers and the return of a large portion of corporate and small-to-medium sized businesses have boosted domestic travel demand.

Qantas is estimating its domestic travel levels will reach 80% of pre-COVID capacity in Q4 FY21. Furthermore, provided there are no significant border closures, the company believes domestic levels could hit more than 90% by Q4.

Looking ahead, current forecasting models suggest that Jetstar can achieve 120% of domestic pre-COVID levels, with Qantas at 107% for FY22.

Fleet update

In further news boosting the Qantas share price, Jetstar will borrow six Airbus A320 aircraft from Jetstar Japan to cater for the sudden surge in Australian domestic travel. In addition, five Boeing 787-8 aircraft will be pulled from international routes to service the domestic market from mid-year.

The group is also in discussions with Alliance Airlines to operate three Embraer E190 aircraft from May. The planes will look after existing Qantas routes in northern and central Australia.

As a result of the sweeping changes, the company noted that by Q4 FY21, 90% of its fleet will be active. This compares to 25% of its aircraft during the height of the national lockdown in the middle of 2020.

Trans-Tasman bubble

Since the announcement of the trans-Tasman bubble, Qantas has recorded over 250,000 bookings in just two weeks. While flight bookings are expected to remain high for the initial period, demand is anticipated to reduce over the longer term. In response, the company stated that it will cut capacity to reflect ongoing demand patterns.

International travel reset

Preparations are underway for the reopening of international borders and the resumption of international flights in late October 2021. The group is reactivating long-haul aircraft and training employees.

Qantas revealed that it maintains the flexibility to align with the Australian Government’s international travel approach.

Accor lounge agreement

Lastly, Qantas welcomed a new 7-year deal with Accor to manage the Qantas lounges in Australia and abroad. The renewed agreement follows a 14-year partnership involving the management of food and beverage services and employee training at Qantas lounges by Accor.

Qantas CEO, Alan Joyce commented:

We’re now seeing really positive signs of sustained recovery.

This is the longest run of relative stability we’ve had with domestic borders for over a year and it’s reflected in the strong travel demand we saw over Easter and the forward bookings that are flowing in each week from all parts of the market.

The two-way bubble with New Zealand is great news for the tourism sector as a whole. It means we can bring other parts of our business out of hibernation, like our aircraft and First lounges in Australia.

It’s important to keep this uptick in perspective. We are still facing a massive financial loss this year, which will be the second one in a row. We’ve lost more than $11 billion in revenue since the pandemic started and that number will keep growing until international travel recovers.

Qantas share price snapshot

Over the past 12 months, the Qantas share price has gained close to 50%. Year to date, Qantas shares have gained around 6%. The airliner has a market capitalisation of around  

More reading

• Flight Centre (ASX:FLT) share price falls despite border reopening hints
• Trashed COVID-19 vaccine targets hit ASX travel shares
• Why ASX travel share prices are slipping today
• Brokers name 3 ASX shares to buy today
• ASX 200 up 0.25%: EML surges on acquisition news, Westpac’s APRA update

Motley Fool contributor Aaron Teboneras 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 REA Group Ltd (ASX: REA) share price has bounced back strongly in April and is within ~5% of its previous all-time record high of $163.75.

Its shares have shrugged off previous concerns regarding rising bond yields and broader weakness in tech shares. 

Morgan Stanley bullish on the REA share price 

On Wednesday, Morgan Stanley released a note that suggested a potential “earnings super cycle” in 2021-22 driven by positive listings growth and additional houses for sale. The broker believes there is evidence that Australians are re-thinking where they want to live and searching for new homes.  

The broker rated the REA shares as overweight with a $175 target price. 

CoreLogic data sees housing data soar 

A bounce back in economic activity, record low interest rates and rising consumer sentiment has catapulted housing data metrics to new record highs. 

CoreLogic’s national home value index recorded a 2.8% increase in March, the fastest rate of appreciation since October 1988. The index is now 5.6% above the previous market peak in October 2017. 

Looking at auction volumes, CoreLogic reported 19,004 homes taken to auction across five combined capital cities over the three months to March 2021. This compares to 20,489 over the December quarter, and 18,902 for the prior corresponding period. 

Then comes clearance rates, which have reached 80.0% over the first quarter of 2021. Weekly auction clearance rates across capital cities have only been at or above 80% five times since 2008, reiterating the robust property market. 

Buyers outpacing sellers 

Domain Holdings Australia Ltd (ASX: DHG) has described current property conditions as one where demand is outstripping supply. 

“I think we’re currently seeing a depletion of current stock in the market, where buyers are absorbing all the old listings as well as the new as there’s a real shortage of supply,” said Domain senior research analyst Nicola Powell.

Powell made a comment that bodes well with Morgan Stanley’s narrative of a potential super cycle in 2021-22 saying:

With low listings, we’ve achieved good prices, but the momentum going forward we feel will encourage more people to put their properties on the market in the hope of getting 15, 20 or 25 per cent over what they might have got 12 months ago.

And, then, worst case scenario, they’ll just rent until more property comes on.

More reading

• Top brokers name 3 ASX shares to buy today
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• 3 five-star ASX shares to buy in April

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia has recommended REA 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 De Grey Mining Limited (ASX: DEG) share price is under pressure on Thursday despite the release of a positive announcement.

At the time of writing, the De Grey share price is down over 1% to $1.22.

What did De Grey announce?

This morning the gold-focused mineral exploration company announced drilling results from the Eagle and Diucon zones of its Hemi prospect in Western Australia.

According to the release, the mineralisation at Diucon and Eagle has been extended strongly following recent drilling activities.

At Eagle, the mineralisation has been extended to approximately 600 metres strike, 300 metres depth, and remains open to the north, west and at depth.

Whereas at Diucon the mineralisation width has extended to approximately 200 metres with new lodes intersected across strike. The Diucon strike is currently approximately 900 metres and mineralisation remains open at depth and beneath sediments to the west.

Another potential step change

De Grey’s Managing Director, Glenn Jardine, was very pleased with the drilling results. He suggested that they could represent another step change to the gold endowment at the highly promising Hemi prospect.

He commented: “Diucon and Eagle potentially represent another step change to the gold endowment at Hemi. Both zones remain open along strike and at depth. RC drilling is currently on 160m spaced sections and 80m spaced collars on section. We have demonstrated 900m and 600m strike lengths respectively at Diucon and Eagle with significant grades and widths downhole. Mineralisation remains open along strike and at depth with multiple stacked lodes in places. RC drilling to determine overall scale along strike continues and diamond drilling of potential down dip extensions is expected to commence during the quarter.”

Why is the De Grey share price dropping?

While today’s announcement is a positive, it hasn’t been enough to stop the De Grey share price from dropping.

News that the gold price pulled back overnight appears to have offset today’s update.

More reading

• Why the De Grey Mining (ASX:DEG) share price is on watch today
• De Grey (ASX:DEG) share price falters despite new gold discovery

Motley Fool contributor James Mickleboro 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 Zip Co Ltd (ASX: Z1P) share price has returned from its trading halt and is sinking lower.

At the time of writing, the buy now pay later (BNPL) provider’s shares are down 4% to $9.23.

Despite this, the Zip share price is still up 65% since the start of the year.

Why was the Zip share price in a trading halt?

Zip requested a trading halt on Wednesday so that it could undertake a A$400 million senior unsecured convertible notes offering. These notes are convertible into fully paid ordinary shares of Zip and are due in 2028.

Zip’s Co-Founder and COO, Peter Gray, commented: “We are very excited to welcome a new group of global investors to the Zip ecosystem, embracing our journey and mission to be the first payment choice everywhere and every day.”

Mr Gray revealed that the funds will be used to support its international growth.

“The additional capital from this Offering will support the active pursuit of both core and international growth opportunities, as Zip becomes a truly global BNPL player, leveraging our very strong momentum and the worldwide shift away from the broken credit card, towards a better, fairer digital alternative,” he added.

Money in the bank

This morning Zip announced that it has successfully priced its $400 million zero coupon senior unsecured convertible notes.

It advised that the notes will mature on 23 April 2028 unless otherwise redeemed, repurchased, or converted in accordance with their terms and conditions.

According to the release, the notes are convertible into fully paid ordinary shares of Zip at an initial conversion price of $12.39 per share. This represents a conversion premium of 29% over the Zip share price prior to its halt.

Mr Gray said: “We are very pleased with the strong global demand for this Offering. This transaction further diversifies Zip’s sources of capital and allows us to pursue our global growth aspirations while reducing potential dilution of existing shareholders. Another fantastic outcome for Zip and its shareholders.”

Co-Founders sell shares

Zip also advised that its Co-Founders Larry Diamond and Peter Gray have sold a small portion of their holdings. They sold a total of 2 million shares in aggregate for $9.18 per share.

The proceeds from the sale will be used primarily to fund their respective tax liabilities.

More reading

• Why the IOUpay (ASX:IOU) share price is up 15% this week
• Is the Klarna / Flybuys partnership the future for ASX BNPL providers?
• 5 things to watch on the ASX 200 on Thursday
• 2 outstanding ASX growth shares to buy now
• Could the Galaxy (ASX:GXY) share price be next to raise capital after Zip (ASX:Z1P)?

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

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In morning trade, the Netwealth Group Ltd (ASX: NWL) share price is charging higher.

At the time of writing, the wealth management platform provider’s shares are up 3% to $14.88.

Why is the Netwealth share price charging higher?

Investors have been buying Netwealth’s shares following the release of its third quarter update this morning.

That update reveals that at the end of March, Netwealth’s Funds Under Administration (FUA) reached $41.8 billion. This represents a $3 billion or 7.8% increase since the end of December, including a positive market movement of $0.8 billion.

It also represents an increase of $14 billion or 50.1% compared to the prior corresponding period, including a positive market movement of $5.7 billion.

This means that Netwealth recorded FUA net inflows of $2.3 billion for the March quarter, bringing its year to date total to $6.7 billion. But management doesn’t expect it to stop there. It is guiding to full year FUA net inflows of approximately $9 billion.

Things were equally positive for its Funds Under Management (FUM). At the end of March, Netwealth’s FUM stood at $10.5 billion. This was an increase of $1.2 billion or 12.7% for the March quarter and $4.2 billion or 66.4% since this time last year.

Finally, its Managed Account balance reached $8.7 billion at 31 March 2021. This is an increase of $3.7 billion or 73.1% over the prior corresponding period.

Platform performance

According to the release, Netwealth continues to lead the industry for FUA net inflows, as reported in the Plan for Life December 2020 quarter platform market update.

In fact, for the eleventh consecutive quarter, Netwealth recorded the largest FUA net inflows on a 12-months trailing basis. It also achieved the largest quarterly FUA net inflows of $2.6 billion for the December 2020 quarter.

As a result,  Netwealth’s market share increased to 4.3% at 31 December 2020. This was up 1.1% for the 12 months to 31 December 2020. This means Netwealth is the 7th largest and the fastest growing platform provider in Australia.

More reading

• Insiders have been buying Nearmap (ASX:NEA) and this ASX share
• 2 fast-growth ASX tech shares that have been sold off
• ASX 200 down 0.1%: Computershare raises $500m, REA Group announces acquisition
• ASX 200 Weekly Wrap: ASX 200 gets its mojo back
• These were the worst performers on the ASX 200 last week

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Netwealth. 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 Michael Hill International Limited (ASX: MHJ) share price is on watch this morning after positive news from the jeweller. The company released its quarterly update, which highlighted growth in sales and an improved cash position.

The Michael Hill share price might be in for another good day, following its unexplained 10% gain yesterday. It closed yesterday’s trading at a healthy 79 cents.

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

 Sales increases 

Michael Hill’s news this morning included a “significant” increase in sales over the last quarter.

Its same-store sales were up 16.4% over the last quarter when compared to the same quarter last year. Same-store sales is a metric used to compare the performance of stores that have been open for at least a year.

All store sales are also up by 11.6% compared to the previous corresponding quarter.

Online sales have also increased for the retailer ­– up 69.2% when compared to the same quarter in 2020.

Even more impressive, year-to-date Michael Hill’s online sales are up 93.3%.

Strong cash position

Today, the jeweller outlined its positive cash position. According to its release, it currently has more than $50 million in cash and no debt.

This quarter, it entered into a new $70 financing facility, jointly funded by Australia and New Zealand Banking Group Limited (ASX: ANZ) and HSBC Bank Australia.

Michael Hill has until February 2024 to choose to draw on this financing.

Other updates from the company

Its increase in sales and good cash position weren’t the only news Michael Hill shared today.

In less positive news, the jeweller is still battling lockdowns and store closures due to the coronavirus pandemic.

Over the course of the quarter, stores that were closed for short periods included 14 in Queensland, 36 Victorian, 22 Western Australian, and 16 in Auckland. The company lost a total of 492 store trading days in Australia and New Zealand.

The situation for the company’s Canada-based stores has been even more challenging. 46 Canadian stores began the quarter temporarily closed. They all progressively reopened throughout the quarter, but the closures saw Michael Hill lose 2,364 store trading days.

In Australia, 1 underperforming store was permanently closed over the quarter. There are now 288 Michael Hill stores globally.

On a more positive note, this quarter the jeweller’s loyalty program, Brilliance by Michael Hill, reached 600,000 members.

Commentary from management

Michael Hill CEO Daniel Bracken said he was delighted by the results.

Our strategic growth agenda underpins this performance as we accelerate digital innovation, embrace new ways to shop and elevate our brand.

Considering the ongoing challenges of navigating COVID-19, particularly in Canada, this result demonstrates the resilience of the Michael Hill business and further validates our transformation to a modern, differentiated, omni-channel jewellery brand.

I’ve never been more confident in our leadership team, and with a clear plan for growth, we are well-placed for continued strong results despite the uncertain environment.

Michael Hill share price snapshot

The Michael Hill share price has been flourishing on the ASX lately, and today’s news has the potential to boost it higher.

Over the last 5 trading days, the jewellers share price has grown 21%.

Year-to-date, it’s up by 12%. It’s also up by 118% since this time last year.

Michael Hill has a market capitalisation of around $304 million, with approximately 387 million shares outstanding.

More reading

• ASX stock of the day: Michael Hill (ASX:MHJ) shares shoot up 10%
• 2 high quality ASX dividend shares that smash term deposits
• ASX 200 rises, Zip (ASX:Z1P) flies, bank ratings upgraded
• Why Westpac (ASX:WBC) could be about to deliver a dividend surge
• Why the NAB (ASX:NAB) share price could push higher from here

Motley Fool contributor Brooke Cooper 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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