Tag: Motley Fool

The S&P/ASX 200 Index (ASX: XJO), down 0.3% in afternoon trading, has had a strong run so far in 2021, up 4.2%.

Now with the stellar gains posted in the months following the pandemic market crash lows of late March 2020, 4.2% may not raise many investor eyebrows. But those types of rocketing share price gains obviously can’t run forever.

As we’re less than halfway through April, my back of the napkin maths indicates that, should the 2021 trend continue apace, the ASX 200 would gain more than 14% over the full year. Which doesn’t even include the dividends many of these blue-chip shares are back to paying.

Certainly not a bad place to invest some of your money.

With that said there are winners and losers in every collection of shares. Focusing on the winners, the top 2 ASX 200 performers have outpaced the broader ASX 200 by a factor of more than 10 to 1.

Boom!

The Lynas share price leads the ASX 200

The Lynas Rare Earths Ltd (ASX: LYC) just edges out the number 2 contender to lead the ASX 200’s top gainers so far in 2021. Lynas Rare Earths shares are up 49.5% year-to-date, after slipping 0.6% in late afternoon trading today.

Lynas is the world’s second-largest producer of rare earths and currently the only significant producer outside China.

Lynas shares have gained 311% over the past 12 months. At the current price of $6.24 per share, Lynas trades on a price to earnings (P/E) ratio of 400 times.

The Zip Co share price trails by a nose

The Zip Co Ltd (ASX: Z1P) share price briefly lead the charge of top 2021 performers on the ASX 200 today, but with a current year-to-date gain of 49%, it trails Lynas by a nose.

Zip Co is one of Australia’s leading buy now, pay later (BNPL) shares. Over the past 12 months, the Zip Co share price is up 221%.

More reading

• ASX stock of the day: The Greenland Minerals (ASX:GGG) share price is up 18% today
• ASX 200 Weekly Wrap: ASX sees 7,000 points once more
• The Afterpay (ASX:APT) share price is up almost 20% this month
• Looking for the next Afterpay and Zip? Try these small cap ASX shares
• Saxo reveals its Australian clients’ top 5 most popular shares

Bernd Struben 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.

The post These top 2 ASX 200 shares have thumped the index’s 2021 returns appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3sf9GaR

It certainly wasn’t a great start to the week for the Openpay Group Ltd (ASX: OPY) share price.

The buy now pay later (BNPL) provider’s shares started the week with a disappointing 6% decline to $2.15.

This means the Openpay share price is now down 30% over the last six months.

Is this a buying opportunity?

One leading broker that appears to see the weakness in the Openpay share price as a buying opportunity is Shaw & Partners.

According to a note from late last week, the broker has reaffirmed its buy (high risk) rating and $5.00 price target.

Based on the current Openpay share price, this price target implies potential upside of 132% over the next 12 months.

Why does the broker think the Openpay share price is dirt cheap?

Shaw & Partners recently attended Openpay’s investor briefing and came away from the event feeling very bullish on its long term growth outlook.

The broker commented: “Investor Briefing highlighted the very significant opportunity available to OPY in the US, notably: (1) multi-billion dollar TTV potential vs. current $165m TTV from Australia/UK at end of December 2020; and (2) the clearly differentiated offering to its homogenous “pay-in-4” and short term (<2 months) peer offering (much higher ATV, longer 2-24 month tenure, non-Retail vertical focus on Health/Auto/Home, older demographic, etc.).”

What is its market opportunity?

The broker estimates that the total addressable market for BNPL is US$6.5 trillion, with Openpay’s offering targeting ~15% of this.

This equates to a massive US$829 billion target market. This comprises US$379 billion Big-Ticket Retail, US$218 billion Health, US$78 billion Home, US$89 billion Education, and US$65 billion Auto.

Its analysts commented: “A “back-of-the-envelope” sensitivity by Shaw and Partners with respect to the potential revenue impact of US penetration(market share vs. gross revenue yield) highlights that this significant scale, opportunity and revenue runway, based on relatively conservative assumptions, could potentially yield a quantum leap in revenue generation.”

Positively, the broker notes that Openpay is well-funded to meet and support this rapid acceleration.

Overall, given its strong long term growth potential and attractive valuation in comparison to Afterpay Ltd (ASX: APT) and  Zip Co Ltd (ASX: Z1P), the broker believes the Openpay share price is trading at an “attractive” level today.

More reading

• The Afterpay (ASX:APT) share price is up almost 20% this month
• Could the Openpay (ASX:OPY) share price double in 2021?
• Afterpay (ASX:APT) leads Zip by 40% on one critical measure
• Leading brokers name 3 ASX shares to buy today
• Why AGL, Bubs, Harvey Norman, & Openpay are tumbling lower

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 owns shares of AFTERPAY T FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Top broker tips Openpay (ASX:OPY) share price to rocket 130% higher appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3fXvAx4

The Bitcoin (CRYPTO: BTC) price has again breached the US$60,000 mark. One Bitcoin is currently worth US$60,199 (AU$79,209).

That puts the world’s largest crypto within 2.5% of its 14 March all time high of US$61,712. And it gives Bitcoin a market cap of US$1.12 trillion, according to data from CoinDesk. It also puts the Bitcoin price up almost 8% since last Thursday’s lows.

Will the Bitcoin price keep rising?

Now trying to guess Bitcoin’s next price moves is akin to trying to guess the number of marbles or gumballs in one of those enormous carnival bowls. Good luck!

But over the longer haul, some analysts are expecting next week’s Nasdaq IPO of Coinbase, which will carry the ticker (NASDAQ: COIN), to support Bitcoin’s recent price surge.

Others point to Coinbase as a potentially safer alternative for investors looking to dip their toes into crypto assets.

How does investing in Coinbase offer exposure to crypto currencies?

Coinbase, if you’re not familiar, is the largest cryptocurrency exchange in the United States. The company generates much of its revenue from crypto transaction fees on its platform. And to give you an idea of how much crypto changes hands each day, over the past 24 hours some US$47.3 billion worth of Bitcoin was transacted.

Coinbase is going public this week via a direct listing. Meaning it won’t raise any new capital. And existing shareholders of the private entity can commence trading shares on the first day of listing.

According to Bloomberg, Coinbase was valued at roughly US$90 billion in its last week of trading on Nasdaq’s private market.

Greg Foss, chief financial officer for Validus Power Corp believes the IPO will offer investors an alternative into to directly investing in crypto currencies:

For a crypto investor that also buys stocks, it has the ability to diversify risks as there is a very profitable exchange platform that trades on another venue (stock exchange) whose flows of buyers and sellers can be less correlated than many crypto prices.

Foss adds that the Coinbase share price will likely remain subject to fluctuations in prices of cryptos like Bitcoin, ” In a traditional stock portfolio it gives exposure to an exchange platform that generates trading fees on crypto. Those fees increase with volumes and volumes typically increase with prices, so there is a beta trade there.”

Will the Coinbase IPO support Bitcoin investors?

Though there’s no unanimous consensus (good luck finding that in the wild world of crypto investing), numerous analysts forecast the Coinbase’s public listing will be positive for Bitcoin and other major crypto assets.

According to Kadan Stadelmann, CTO of Komodo (quoted by Markets Insider):

Going public is stepping into the big leagues. Crypto is becoming part of the traditional finance sector … This level of adoption seemed like a dream scenario just a year ago. A lot of users still keep funds on Coinbase and look at it as merely a trading platform. But more are beginning to wake up and understand that Coinbase is an important gateway to getting started in the crypto sector.

James Anderson, CEO of RioDeFi adds:

The growth and expansion of cryptocurrencies had always been at odds with the interests of traditional financial systems… The Coinbase direct listing unites these two sides of finance in the success of this licensed and regulated company. Traditional investors who purchase Coinbase stock will indirectly speculate on the crypto market and similarly, crypto traders who own Coinbase stocks will have a vested interest in the success of the company.

With the Bitcoin price already up more than 100% in 2021, and up more than 750% over the past 12 months, the impacts of the Coinbase IPO will be worth keeping an eye on.

More reading

• ASX 200 Weekly Wrap: ASX sees 7,000 points once more
• With the Bitcoin price up overnight your crypto Tesla just got cheaper
• Bitcoin’s price is down 8% from February’s highs. Is it time to buy the dip?
• How Westpac (ASX:WBC) is set to cash in on Bitcoin
• Will China’s great emissions wall crash the Bitcoin price?

Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends 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.

The post Will this Nasdaq IPO send the Bitcoin price back to record highs? appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3a3e3j3

ASX property shares have started recovering from their COVID-19 blues but office landlords are still struggling cover lost ground.

But a turnaround may not be far off. The analysts at Macquarie Group Ltd (ASX: MQG) noting some positives from the latest JLL industry data covering the March quarter.

ASX office shares falling behind

Any turn in sentiment would be good news for the DEXUS Property Group (ASX: DXS) share price. It has only inched up 4.6% over the past year when the S&P/ASX 200 Index (Index:^AXJO) surged 30%.

Fellow office-exposed property groups aren’t faring that much better. The Mirvac Group (ASX: MGR) share price gained around a modest 7% and the GPT Group (ASX: GPT) share price added less than 17%.

Glimmer of hope for ASX office property shares

Offices have been left largely empty for most of the past year due to the pandemic. But there are reasons to think that the worst is behind the sector.

“In 1Q21, there was 7k sqm of negative net absorption in Sydney and 56k in Melbourne, which is an improvement on prior quarters,” said Macquarie.

“While we expect the leasing environment to remain soft near[1]term, we anticipate continued moderation in negative demand with leading indicators pointing to a recovery.”

Net absorption measures the net change in commercial space in the market for a specific time period. It’s calculated by deducting office space vacated from the total tenanted space.

Bad but looking less bad

Further, the rate of the drop in effective rents is also easing. The broker noted that gross face rents have fallen by less than 1% quarter-on-quarter in most major markets. Gross face rents exclude incentives given to prospective tenants.

“Again, modestly rising incentives drove effective rent declines in Sydney and Melbourne,” added Macquarie.

“Sydney prime net effective rents declined 2.1% q-q, while Melbourne’s were -0.6%.”

ASX property shares to buy now

The capitalisation rate (cap rate) is also supportive of the sector. This rate has not changed in the March quarter from the one before.

“While we are comfortable with our expected fall in effective rents (20-30%) our prior assumptions for a decline in assets values of 5-10% now appears conservative given transactional evidence to date,” said Macquarie.

“We now expect asset valuations to fall 2.5% to 7.5%.

“Given the potential for vacancy and incentives to rise, we are cautious on becoming more positive at this point in the cycle.”

Nonetheless, the broker is urging investors to buy the Dexus share price, the Mirvac share price and the Charter Hall Group (ASX: CHC) share price.

More reading

• Why the Platinum (ASX:PTM) share price is falling today
• Orocobre (ASX:ORE) share price rebounds from broker downgrade
• Fighting the Fed: The next choice for ASX investors
• ASX 200 energy shares outlook boosted by mega African oil project
• ASX 200 down 0.3%: Webjet completes note offering, Xero pushes higher

Motley Fool contributor Brendon Lau owns shares of Macquarie Group Limited. 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.

The post This beaten-down ASX sector could soon be turning the corner appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3tnz4gl

The Flight Centre Travel Group Ltd (ASX: FLT) share price slumped lower today. That’s despite Prime Minister Scott Morrison suggesting on Friday the government is working to ease current COVID-19 border restrictions.

By today’s market close, shares in the travel agency were trading at $18.19 – down 1.25%. Similarly, the Qantas Airways Limited (ASX: QAN) share price fell 2.39% to $5.32. However, the Sydney Airport Holdings Pty Ltd (ASX: SYD) share price gained 1.15% to close the day at $6.17. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) dipped by 0.38%.

Let’s take a closer look at the PM’s statement.

Government looking into easing border restrictions

On Friday, as the Prime Minister announced the government had secured an extra 20 million doses of the Pfizer vaccine (in response to the ATAGI recommendation those under 50 not be given the AstraZeneca jab) he slipped in a clue on the border reopening. He said:

What we’re asking the medical expert panel to tell us is, what are the thresholds that we need to be able to meet to do things such as the following: Australians who are vaccinated being able to travel overseas and return to Australia and not go into hotel quarantine, potentially go into home quarantine, or not even into home quarantine at all.

That statement is the first since the start of the pandemic in which the government has hinted at reopening the borders (besides with New Zealand). 

Mr Morrison also said other travel bubbles, like the trans-Tasman one, could be a possibility in the near future. He said:

…[Potentially] down the track, travel from low-risk countries with similar vaccine arrangements [could be a possibility].

Now we already have the New Zealand open arrangement. We welcome that and we look forward to the success of that in the coming months. That will give us a greater deal of confidence about when we can move to other countries. I’ve mentioned Singapore before as an obvious next choice, but at this stage that is still some time away.

What does the mean for the Flight Centre share price though?

What about the Flight Centre share price?

The Prime Minister’s statement is contingent on travellers being vaccinated, and Australia currently lags most of the world when it comes to coronavirus inoculations. This may be one reason the Flight Centre share price is falling despite the recent news.

Mr Morrison also stressed the borders would not open too soon.

“[No] one is saying that any of those things are coming in today,” Mr Morrison said at the press conference.

When asked whether the easing of border restrictions would include business and leisure, the PM was more ambivalent:

On the broader question, on whether it can mean being able to go overseas, whether to Fiji or for a holiday or something like that, or to go on urgent business, or to visit a very ill loved one overseas, or important business activity, I mean, we’re vaccinating people currently who had to go up to Papua New Guinea to be part of the health teams working up there. So there are a range, rightly of circumstances where this may be useful.

All we have done today, I want to stress, is ask the medical advisors what are the health implications of these types of options, and what are the preconditions that we would need to be comfortable about before going down that path.

…[The] more Australians who are vaccinated, the more likelihood there is of being able to have the types of arrangements that I’ve mentioned. If the vaccination population is lower, then that of course limits the options of borders.

More reading

• Trashed COVID-19 vaccine targets hit ASX travel shares
• These are the 10 most shorted shares on the ASX
• Why ASX travel share prices are slipping today
• ASX 200 Weekly Wrap: ASX sees 7,000 points once more
• How to turn $20,000 into $240,000 in 10 years with ASX shares

Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Flight Centre Travel Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Flight Centre (ASX:FLT) share price falls despite border reopening hints appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3s9KouQ

If you’re looking to add some quality ASX dividend shares to your portfolio, then you might want to consider the ones listed below.

Here’s what you need to know about these ASX dividend shares:

People Infrastructure Ltd (ASX: PPE)

The first ASX dividend share to consider is People Infrastructure.

People Infrastructure, better known to its customers as PeopleIN, is a technology enabled workforce management company delivering innovative solutions to the workforce challenges facing businesses.

It provides contracted staffing and human resources outsourcing services to a range of key industries. These services include recruiting, on-boarding, rostering, timesheet management, payroll, and workplace health and safety management.

It has been on form in FY 2021 despite the pandemic. For the six months ended 31 December, the company recorded a 3.1% increase in revenue to $201 million and a 51.5% increase in normalised net profit to $14.8 million.

One broker that is a fan of the company is Morgans. It currently has an add rating and $4.22 price target on its shares. The broker is also forecasting a fully franked dividend of 13 cents per share in FY 2021. Based on the latest People Infrastructure share price, this represents an attractive 3.5% dividend yield.

Rural Funds Group (ASX: RFF)

Another ASX dividend share to look at is Rural Funds. It is an agriculture-focused property company with a collection of high quality assets leased to experienced operators.

Positively, these properties are leased on long term agreements and include fixed rental increases. This means that the company is well-placed to deliver on its target of growing its distribution by 4% per annum long into the future.

This year Rural Funds is planning to pay a distribution of 11.28 cents per share. After which, in FY 2022 it intends to increase it by 4% to 11.73 cents per share. Based on the current Rural Funds share price, this represents yields of 4.8% and 5%, respectively.

More reading

• 3 top ASX small cap shares that delivered for this fund’s portfolio
• Beat low rates with these quality ASX dividend shares
• Top broker picks the best ASX shares to buy for the new quarter
• 3 reasons why Rural Funds (ASX:RFF) is a great ASX dividend share
• 2 ASX dividend shares to buy

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 People Infrastructure Ltd. The Motley Fool Australia owns shares of and has recommended RURALFUNDS STAPLED. The Motley Fool Australia has recommended People Infrastructure Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post 2 top ASX dividend shares to buy this month appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3wO7P0w

ASX-listed travel shares are tumbling lower today after the federal government dropped Australia’s COVID-19 vaccine targets as further uncertainty permeates.

The recent developments cast further doubt on the timeline for full travel resumption. In reaction to the uncertainty, travel shares are losing ground in today’s trading session.

Latest COVID-19 development

It seems the turmoil experienced in rolling out Australia’s national COVID-19 vaccine program has taken its toll on the federal government. Issues with acquiring supply from overseas, along with heightened concerns regarding AstraZeneca’s ties to rare blood-clotting cases, have impeded the government in reaching their earlier set vaccination targets.

The latest advice from Australian medical experts now means that an alternative vaccine to AZ is recommended for people under the age of 50 years old. As the risk of blood clotting appears to be higher in younger adults.

Pfizer is now the preferred vaccine for the younger demographic, although the choice between the two remains.

Given that Australia had planned to have the far majority (50 million doses) of its vaccine rollout be locally produced by CSL Limited (ASX: CSL), the government will now have to readjust its plans.

💉💉💉

Scott Morrison has abandoned all targets for Australia’s COVID-19 vaccine rollout, after new medical advice disrupted the program.

But even before the latest AstraZeneca setback, the Government had missed every goal it had set itself.

What do you make of the news? pic.twitter.com/KlB3CgPyHk

— News Breakfast (@BreakfastNews) April 11, 2021

https://platform.twitter.com/widgets.js

Previously, the government had planned for its entire 20 million adult population to be vaccinated by October.

After a slow start to jab distributions, this was revised to all adults receiving their first dose by October. But now, all bets are off for any target due to the latest rollout disruption.

Impact on ASX travel shares

The abandonment of all COVID-19 vaccine targets has resulted in the weakening of travel shares today.

• Qantas Airways Limited (ASX: QAN) down 2.5%
• Flight Centre Travel Group Ltd (ASX: FLT) down 0.9%
• Webjet Limited (ASX: WEB) down 1.8%

Shareholders are now looking shaky on future travel prospects. This is despite the New Zealand government announcing a ‘travel bubble‘ between Australia and the Kiwi country last week.

The likelihood of airlines, booking platforms, and cruise liners reaching pre-pandemic highs by the end of the year now seems farfetched.

The continued stumbling blocks could be making for another summer of missed opportunities and capital depletion. Something that Webjet might be ahead of the curve on – as the online travel platform completes an eyebrow-raising $250 million note offering.

The general concern circulated in the sector is, if national vaccine rollouts continue to be subdued in pace, ASX travel shares might be forced to raise further funds. That means more shareholder dilution.

More reading

• How you can become rich buying and holding ASX shares
• These are the 10 most shorted shares on the ASX
• Why ASX travel share prices are slipping today
• ASX 200 down 0.3%: Webjet completes note offering, Xero pushes higher
• ASX 200 Weekly Wrap: ASX sees 7,000 points once more

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 CSL Ltd. The Motley Fool Australia owns shares of and has recommended Webjet Ltd. The Motley Fool Australia has recommended Flight Centre Travel Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Trashed COVID-19 vaccine targets hit ASX travel shares appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/39ZERAQ

I’m a big fan of buy and hold investing and believe it is the best way to generate wealth. And there’s a very good reason for this.

For example, according to data out of Fidelity, as of the end of 2020, the Australian share market had provided an average total return of 8.55% per annum over the last 30 years. That’s even after taking into account market meltdowns during the GFC and pandemic.

This means that a single $10,000 investment three decades ago and earning the market return would now be worth just under $120,000.

What about if you beat the market?

If you invest wisely in companies with strong business models and equally strong growth prospects, you could potentially beat the market.

For this example, let’s say you were able to earn a return of 10% per annum over the period. That would turn your single $10,000 investment into $175,000 in 30 years. Not bad for a single investment! 

And if you were able to add to your investment over the years, you would be generating even more wealth as it compounds.

Overall, this demonstrates just how rewarding investing with a long term view can be.

Which shares would be good buy and hold investments?

The good news for investors is that there are a number of quality options on the Australian share market that have the potential to generate market-beating returns over the next decade and beyond.

One such share is biotechnology giant CSL Limited (ASX: CSL). It appears well-placed once the pandemic passes due to its in demand plasma-therapies and its lucrative research and development pipeline. Underpinning the latter is an almost US$1 billion annual investment in these activities. A sharp pullback in its share price in recent months arguably makes it even more attractive.

Another top buy and hold option could be Altium Limited (ASX: ALU). This electronic design software provider could have a very bright future due to its industry-leading software and the growing demand for it due to the proliferation of electronic devices globally. The latter is being driven by the artificial intelligence and internet of things booms, which show no signs of slowing.

More reading

• ASX 200 Weekly Wrap: ASX sees 7,000 points once more
• Is the CSL (ASX:CSL) share price too cheap to ignore?
• CSL (ASX:CSL) share price dips on latest AstraZeneca news
• 6 reasons CSL (ASX:CSL) shares are struggling
• 2 of the best ASX growth shares to buy now

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 CSL Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Altium. The Motley Fool Australia owns shares of Altium. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post How you can become rich buying and holding ASX shares appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3wOgMXt

The Atomo Diagnostics Limited (ASX: AT1) share price is down 16% since this time last month. With no news from the company, what’s been driving its share price lower lately?

At the time of writing, the Atomo share price is 24 cents, just 1 cent above its all-time lowest closing price.

Let’s look at what’s been going on with the company’s share price over the last few months.

What does Atomo Diagnostics do?

Atomo Diagnostics is an Australian medical device company that supplies the global market with blood-based rapid diagnostic test (RDT) devices.

It aims to provide technology that simplifies and improves the accuracy of the blood testing process. 

The company offers products for both medical professionals and people who need to perform self-testing.

Recently, Atomo has secured the Therapeutic Good Administration’s approval for its RDTs, one of which works to detect HIV and the other to detect COVID-19 immunity. 

What’s been moving the Atomo Diagnostics share price lately?

The last time we heard from Atomo Diagnostics was when the company was removed from the All Ordinaries Index (ASX: XAO) on 12 March.

Prior to that, the company posted its quarterly earnings in late February. While many of its half-year metrics were positive, with a revenue increase of 389% and gross profit lifting by 278%, its share price dropped.

It’s possible the drop in the company’s share price is the result of its earnings before interest, tax, depreciation and amortisation (EBITDA) loss of around $2.12 million, although Atomo still held $24.69 million in cash and no debt.

It also announced a number of positive updates from its HIV and COVID-19 immunity RTDs between October and December 2020, but none since. 

Atomo share price snapshot

Atomo Diagnostics is still a relatively new company on the ASX. It was first floated this time last year.

The company’s share price got off to a slow start. On the close of its first day on the ASX, its shares were trading at 39 cents apiece. Two trading days later, it reached its highest closing price so far, finishing the day at 54 cents.

It’s been trending downwards ever since, having dropped 39.74% since its debut and 24.19% in 2021.

Atomo Diagnostics has a market capitalisation of around $95 million, with approximately 408 million shares outstanding.

More reading

• How you can become rich buying and holding ASX shares
• Here’s why SEEK (ASX:SEK) and these ASX shares are at 52-week highs
• Can the CBA (ASX:CBA) share price break above $90?
• Why the Platinum (ASX:PTM) share price is falling today
• Clinuvel (ASX:CUV) share price drops on strategic update

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. 

The post Why is the Atomo (ASX:AT1) share price trending downwards? appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/326evZz

Although the share market is tumbling lower today, that hasn’t stopped a number of shares from pushing higher.

In fact, a few have even managed to climb to 52-week highs or better. Here’s why these ASX shares are scaling new heights today:

Galaxy Resources Limited (ASX: GXY)

The Galaxy share price climbed to a multi-year high of $3.30 this morning. Investors have been fighting to get hold of the lithium miner’s shares this year due to its increasingly positive outlook. This is being driven by the growing demand for lithium from the electric vehicle and renewable energy market. This has supported a massive rebound in lithium prices. Another positive has been Galaxy’s improving production rates. After reducing production when lithium prices hit rock bottom, the company has now achieved nameplate capacity at its Mt Cattlin operation.

SEEK Limited (ASX: SEK)

The SEEK share price hit a record high of $31.89 on Monday. The job listings giant’s shares have been strong performers this year after the Australian economy bounced back quickly from the pandemic. So much so, last week Australia and New Zealand Banking GrpLtd (ASX: ANZ) reported that job advertisements hit a 12-year high during March. The bank’s data pointed to Australian job advertisements increasing by 7.4% month on month and 39.7% compared to the same period last year. This bodes well for SEEK given its domination of the local market.

Universal Store Holdings Ltd (ASX: UNI)

The Universal Store share price rose to a record high of $7.49 this morning. When the retailer’s shares hit that level, it meant they were up an impressive 97% from their November IPO price of $3.80. Investors have been scrambling to get hold of shares since its IPO due to its very strong performance in FY 2021. During the first half, Universal Store reported a 23.3% increase in sales to $118 million and a 63.6% increase in underlying net profit after tax to $21.1 million. Positively, the second half started even stronger, with like for like sales growing 28.2% during the first seven weeks of the half.

More reading

• Orocobre (ASX:ORE) share price rebounds from broker downgrade
• Why Anteotech, Credit Clear, Galaxy, & Mach7 shares are storming higher
• The Galaxy Resources (ASX:GXY) share price is on watch. Here’s why
• ASX lithium shares are surging across the board. Here’s why
• 2 outstanding ASX shares to buy and hold

Motley Fool contributor James Mickleboro owns shares of Galaxy Resources Limited and SEEK Limited. 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.

The post Here’s why SEEK (ASX:SEK) and these ASX shares are at 52-week highs appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3mPv4ml