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The Wisr Ltd (ASX: WZR) share price is edging higher this morning after the neo-lender provided an update on its trading performance. At the time of writing, the Wisr share price is swapping hands for 21.5 cents, up 2.38%.

In comparison, the All Ordinaries Index (ASX: XAO) is currently slumping 0.92% lower for the day so far.

Quick take on Wisr

Founded in 2014, Wisr is an Australian non-bank lender that offers personal and business lending services. These include personal loans, financial products, and investment solutions, among other services.

According to Wisr, it offers consumers a more attractive option to traditional banks by delivering competitive interest rates and tailoring customer loans.

What’s boosting the Wisr share price?

Investors appear to be excited about the company’s recent accomplishments, sending the Wisr share price higher today.

According to this morning’s release, Wisr continues to deliver exceptional growth on its books.

For the two months ending 28 February 2021, the company reported a loan volume of $58.8 million. This reflects an increase of 138% over the prior corresponding period in which $24.7 million was achieved.

The robust result for the start of 2021 came from a record $35.5 million monthly loan volume for February. Wisr highlighted that this is a 52% jump on the previous month of January which saw $23.3 million in loan volume.

Addressable market opportunity

In its investor day presentation, the company noted that the consumer lending market stood at $93 billion in November 2020. Of this, Wisr holds a mere 0.22% market share with its $207 million warehouse facility.

Over the medium term, the company plans to extend its loan book to $1 billion, and aggressively capture a larger slice of market share.

Wisr share price snapshot

The Wisr share price has accelerated by nearly 170% in the past 12 months and is up 13% year to date. The company’s shares surged strongly in early 2020, reaching a 52-week high of 27.5 cents last July, before trending lower.

Based on valuation grounds, Wisr commands a market capitalisation of around $230 million, with close to 1.1 billion shares outstanding.

More reading

• Why the WISR Ltd (ASX:WZR) share price is racing higher today

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 Afterpay Ltd (ASX: APT) share price may be under pressure today following the US market’s heavy tech-driven selloff. 

What happened to the Nasdaq overnight? 

The Nasdaq Composite (NASDAQ: .IXIC) closed 3.02% lower on Thursday night as rising 10-year Treasury yield rates continued to threaten equity markets. 

The global economy is showing signs of life as vaccine efforts attempt to put COVID-19 at bay. As economic growth starts to pick up the pace, inflation is likely to follow suit.

And when inflation starts to pick up, so does the question of whether or not central banks need to increase interest rates. The recent advance in yields reflects the anticipation of higher inflation and interest rate hikes being brought forward. 

Tech and growth sectors are most sensitive to rising interest rates. While these are the stocks that outperformed the market when yields were crashing, they could also be the ones to underperform when yields rise. 

What does this mean for the Afterpay share price?

Since mid-February, the Afterpay share price hasn’t been able to catch a break lately, losing ~30% of its value. Its shares have continued to face mounting pressure today, down 2.6% at the time of writing. 

It appears Afterpay’s recent weakness is largely outside its control, with the S&P/ASX Information Technology (INDEXASX: XIJ) slumping 13.60% in the past month. 

The US tech-heavy selloff on Thursday night could spark further weakness in the Afterpay share price. This, in turn, could be exacerbated by the heavy selling of the third-largest buy now, pay later player in the US, Affirm Holdings Inc (NASDAQ: AFRM). 

The Affirm share price finished the overnight session down 8.26% to a near all-time low of $74.39. Its shares debuted on the Nasdaq back on 13 January 2021 at an initial public offering (IPO) price of US$39. Affirm’s shares closed at $97 on the first day of listing before running to as high as $146.90 just one month later.

The recent concerns over rising interest rates and weakness in tech shares have managed to erase all of Affirm’s gains. 

More reading

• 5 things to watch on the ASX 200 on Friday
• 2 ASX growth shares for smart investors to buy
• Top brokers name 3 ASX shares to sell today
• Afterpay (ASX:APT) share price drops on scathing broker note
• Why the Afterpay (ASX:APT) share price is down 7% in 2021

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. 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.

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The Creso Pharma Ltd (ASX: CPH) share price is trading lower on Friday despite the release of a positive announcement.

At the time of writing, the cannabis company’s shares are down over 2% to 22.5 cents.

What did Creso Pharma announce?

This morning Creso Pharma announced that its wholly owned Canadian subsidiary, Mernova Medicinal, has secured three new purchase orders.

According to the release, the orders have a total value of C$177,122.40 (A$183,019.551) and include the first purchase order for Mernova’s Pre-roll Joint range, sold under the Ritual Sticks brand.

The release explains that the Ritual Sticks offering is comprised of new Pre-roll Joints which utilise the company’s top-quality indoor grown, hand trimmed, hang dried, cured, artisanal, craft cannabis.

The company advised that to produce the line of Pre-roll Joints, Mernova exclusively utilises only the same high-quality cannabis that is sold under the Ritual Green brand.

The launch of the offering follows considerable product development initiatives, as well as a lengthy registration process with Health Canada.

Management notes that the Pre-roll market unlocks another significant addressable market for Mernova.

“A major achievement”

Mernova’s Managing Director, Jack Yu, believes this purchase order is a major achievement for the business.

He said: “Receiving our first PO for our Ritual Sticks brand of Pre-roll Joints is a major achievement for Mernova, and is the result of considerable R&D to select the right equipment and develop our processes. We wanted to produce the best Pre-roll joints possible, and are very excited to get our new products in the hands of customers in the coming weeks, so that they can provide their feedback.”

“One thing that sets us apart is that we use only the same high-quality cannabis as sold under our Ritual Green brand of dried flower. We expect these products to open a much broader market for Mernova, as they are priced as entry-level products, which should help introduce our products to a much larger customer base, and they offer a level of convenience that many will appreciate.”

Mr Yu revealed that Mernova is experiencing strong sales growth and appears confident this will continue.

He explained: “Mernova continues to witness very strong sales growth and the additional purchase orders received recently are validation of this. Our brand recognition has increased considerably over the last few months, particularly in Nova Scotia, and Mernova has generated a reputation as one of the best craft cannabis growers in Canada. Most importantly, our ongoing sales growth has put the business on a fast track towards a stable, and recurring revenue-generating model.”

“We expect demand for our products to continue, particularly with the introduction of our Pre-roll Joint range, and we look forward to updating shareholders on new purchase orders in the near term,” he concluded.

More reading

• Why the Creso Pharma (ASX:CPH) share price is rocketing 16% higher today
• Creso Pharma (ASX:CPH) to commence phase II clinical trials
• How Mexico could turbocharge ASX cannabis shares
• What’s with the Creso Pharma (ASX:CPH) share price today?
• The Creso (ASX:CPH) share price fizzles despite new distribution deal

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.

The Nasdaq Composite (NASDAQ: .IXIC) was the stock market leader throughout most of 2020, powering ahead to much greater gains than its fellow major benchmarks. In particular, high-growth stocks that were able to hold up well despite the recessionary conditions in the broader economy stood out as big winners and rewarded their shareholders handsomely.

However, that narrative has changed lately. As of 11 a.m. EDT on Thursday, the Nasdaq was down another 1.7%, building on losses that have taken the index into correction territory even as other benchmarks were at or near record highs. Moreover, it seems as though the Nasdaq is falling even though Fed chair Jerome Powell told investors Wednesday that the economy appeared to be in solid shape.

There’s one possible answer for this apparent disconnect. If investors are actually paying attention to a common way of valuing high-growth stocks, then the Fed’s nonchalance about a key impact that a stronger economy could bring might explain the near-panic among shareholders of those stocks.

More damage in Nasdaq high-growth stocks

To be clear, Thursday’s declines weren’t monumental by themselves. Tesla Inc (NASDAQ: TSLA), for instance, was down just 3%. MercadoLibre Inc (NASDAQ: MELI) saw a 4% slump, while Zoom Video Communications Inc (NASDAQ: ZM) lost 3% and Atlassian Corporation (NASDAQ: TEAM) took a 5% hit.

However, those declines are just the latest in a series of drops for these stocks and many like them. Tesla is trading about 25% lower than its all-time highs from just a couple months ago. Zoom has given up roughly 40% from its record levels late last year. The move seems to reveal skepticism about whether the growth stocks have seen their shares rise too far, too quickly.

What the Fed has to do with high-growth stocks

It might seem as though the Federal Reserve’s actions wouldn’t necessarily have any impact on high-growth stocks. Investor interest in these companies has been so high that access to capital hasn’t been a problem. Many of them have more than enough cash to make it through tough times in the future, and some of them are even cash-flow positive and can sustain themselves simply by maintaining current business levels.

However, the recent rise in interest rates due to inflationary fears has been troubling to investors. One potential impact is that if you value a company based on the discounted value of its future financial results, then higher interest rates make the performance that comes further into the future less valuable. With rates at zero, it almost doesn’t matter from a valuation standpoint whether a company makes money now or five years from now, and low rates reward companies that defer smaller profits now in favour of larger profits later. That’s been the basis for the huge run-ups in these stocks.

Higher interest rates reverse that trend. Suddenly, companies will get rewarded for producing results now rather than later. Valuations on companies that will take years to play out will take a hit.

Seize the opportunity

For long-term investors, that actually might be good news. It would signal that the Nasdaq stock price declines aren’t about fears that companies aren’t going to be able to live up to their full potential. Rather, it just reduces the value put on those same strong future results.

If you can get the same strong business at a discount, you should jump at the chance. That’s the advantage long-term investors have, and now’s the time to look closely at some of the stocks the rest of the market is giving up on.

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

More reading

• We’re betting on ASX growth shares: global fund
• Don’t fall into the ‘rotation trap’
• How to invest in the Nasdaq Index on the ASX
• Elon Musk reviews title and decides ‘Technoking of Tesla’ is more fitting
• ASX investors still can’t get enough of GameStop (NYSE:GME) shares

Dan Caplinger owns shares of MercadoLibre. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Atlassian, MercadoLibre, Tesla, and Zoom Video Communications. The Motley Fool Australia has recommended Zoom Video Communications. 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 drop in the market could soon be met with a circa $19 billion wall of capital as investors collect their second biggest dividend checks in history.

The S&P/ASX 200 Index (Index:^AXJO) tumbled 1% in morning trade. If it closes in the red, this will mark its third consecutive day of losses.

Naysayers believe that the latest sell-off is an ominous sign and the start of a long-awaited market correction.

ASX dividend bonanza

But not all experts are convinced. In fact, Bell Potter’s high-profile institutional dealer Richard Coppleson believes the market drop could be short-lived due to a “dividend bonanza”.

He wrote in his daily Coppo Report that total dividends declared from last month’s reporting season is the second highest on record at $26.9 billion.

The largest was two years ago when ASX shares handed out $27.8 billion in the half year.

Biggest weekly dividend payout from ASX shares

Most of these dividends will be paid in the week starting 22 March. There are 75 ASX companies that are slated to pay out $12.3 billion next week alone.

These include ASX dividend kings like the BHP Group Ltd (ASX: BHP) share price, Fortescue Metals Group Limited (ASX: FMG) share price and Telstra Corporation Ltd (ASX: TLS) share price.

The week after will see another 48 ASX shares return $6.3 billion to shareholders. There’s every chance that most of this cash could find it’s way back into the market. I mean where else would investors park the cash in this near zero-rate environment?

ASX shares would look particularly enticing if the market was to pull back further, in my view.

April is a good month for ASX shares

It’s also worth pointing out that the month of April tends to be a positive period for the ASX. In the past six years, our market has only fallen once in April, according to Coppleson.

This was back in 2015 when the ASX 200 retreated 1.7%. However, the index rallied substantially every April from 2016. The “worst” positive April was in 2019 when the top 200 benchmark added 2.3% for the month.

As you may have guessed, the best April was last year when the ASX 200 surged 8.8%. This was following the bottom of the COVID-19 bear market.

Foolish takeaway

The ASX dividend shares recovery is also a bullish signal for investors in itself. Companies will only increase their dividends if they are feeling confident about their trading outlook.

ASX company boards know it’s a cardinal sin to cut dividends and will only do so if their backs are to the wall.

They could have held off increasing their dividends if they thought more tough times were ahead. But most didn’t.

This isn’t to say that we won’t be facing more market turbulence ahead. Remember the saying “sell in May, go away”?

But those with a longer investment horizon should be feeling upbeat enough to put their cash to work if share prices weaken further.

More reading

• Fortescue (ASX:FMG) share price lower after raising US$1.5 billion
• Nasdaq slumps 3% overnight, ASX 200 tech shares under pressure today
• 5 things to watch on the ASX 200 on Friday
• ASX 200 drops, Webjet reveals B2B plan, Cimic wins again
• Could the run be over for the Fortescue (ASX:FMG) share price?

Motley Fool contributor Brendon Lau owns shares of BHP Billiton Limited and Telstra Limited. Connect with me on Twitter @brenlau.

The Motley Fool Australia owns shares of and has recommended Telstra 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 Zip Co Ltd (ASX: Z1P) share price has come under pressure on Friday morning.

At the time of writing, the buy now pay later provider’s shares are down 4% to $8.11.

This means the Zip share price is now down 44% from the 52-week high of $14.53 it reached in February.

Why is the Zip share price sinking today?

Investors have been selling Zip and other ASX tech shares today after a very disappointing night of trade on Wall Street’s tech-focused Nasdaq index.

According to CNBC, the Nasdaq tumbled 3% lower overnight after bond yields surged higher.  

Apple, Amazon, and Netflix shares all fell more than 3%, while Tesla crashed almost 7% after the US 10-year Treasury yield jumped 11 basis points to a 14-month high of 1.75%.

In addition to this, the 30-year Treasury yield climbed 6 basis points to hit the 2.5% level for the first time since August 2019.

Why is this bad news for Zip?

There are a couple of reasons why this is bad news for the company and is weighing on the Zip share price.

The first is that rising bond yields impact valuations, particularly those that trade on lofty multiples like Zip and Afterpay Limited (ASX: APT). This is because as the risk-free rate increase, investors become less willing to pay over the odds for equities.

Another reason why rising bond yields could be bad news for Zip is the potential impact to the cost of its funding, which could weigh on margins.

It is partly for this reason that last week UBS downgraded Zip’s shares to a sell rating with a $6.40 price target.

Though, it is worth noting that not everyone is as bearish. Last month Morgans put an add rating and $12.10 price target on the company’s shares.

Based on the current Zip share price, this price target implies potential upside of 49%. It was pleased with its half year results and particularly its growth in the United States.

Time will tell which broker made the right call.

More reading

• Revealed: 4 least profitable industries in Australia
• Is the new CBA BNPL service bad news for Afterpay and Zip shares?
• Is the Zip (ASX:Z1P) share price a buy now or buy later?
• ASX 200 dips, CBA launches BNPL, Fonterra reports
• How much have investors made (or lost) on Zip (ASX:Z1P) shares?

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.

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The Coles Group Ltd (ASX: COL) share price is edging lower today despite the release of a positive announcement.

In morning trade the supermarket giant’s shares are down almost 1% to $15.45.

What did Coles announce?

This morning Coles increased its green credentials by releasing its Climate Change Position Statement and announcing targets to reduce greenhouse gas emissions.

According to the release, the supermarket operator has committed to delivering net zero greenhouse gas emissions by 2050.

In addition to this, before then, the company intends to power its entire business by 100% renewable electricity by the end of FY 2025.

Another commitment is for Coles to reduce its combined Scope 1 and 2 greenhouse gas emissions by more than 75% by the end of FY 2030 from a FY 2020 baseline.

Coles’ CEO, Steven Cain, said: “We have already reduced Scope 1 and Scope 2 greenhouse gas emissions by 36.5% since 2009 and have been a leader in securing renewable energy. Our new targets for Scope 1 and 2 emissions commit us to an accelerated reduction in greenhouse gas emissions that exceed the climate change ambitions of the Paris Agreement and will help sustain Australia for generations to come by working together with our customers, suppliers and members of the community.”

Is the Coles share price in the buy zone?

The Coles share price has underperformed this year and was down 16% year to date prior to today.

One broker that is likely to see this share price weakness as a buying opportunity is Morgan Stanley. Last month its analysts put an overweight rating and $20.25 price target on the company’s shares.

Based on the current Coles share price, this price target implies potential upside of 31% for its shares over the next 12 months.

The broker is also forecasting a 57 cents per share fully franked dividend in FY 2021. This represents an attractive 3.7% yield currently.

More reading

• Is Coles (ASX:COL) a dependable ASX share to buy right now?
• 2 quality ASX dividend shares to buy today
• Why the Coles (ASX:COL) share price is still down 15% in 2021
• 2 ASX dividend shares to buy with yields above 4%
• ASX 200 Weekly Wrap: Calm restored to the ASX 200

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of COLESGROUP DEF SET. 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 Fortescue Metals Group Limited (ASX: FMG) share price is trading lower today following an announcement.

At the time of writing, the iron ore producer’s shares are down 1% to $20.06.

What did Fortescue announce?

This morning Fortescue released two announcements relating to raising funds via a bond offering.

The first announcement revealed that the mining giant had launched a bond offering of US$750 million of senior unsecured notes.

Whereas the second announcement revealed not only the successful completion of this bond offering, but the doubling of the amount raised.

According to the release, Fortescue successfully completed a US$1,500 million offering of senior unsecured notes at an interest rate of 4.375 per cent, maturing in April 2031.

The company notes that the transaction was launched at US$750 million but due to strong demand was upsized to US$1,500 million.

Why is Fortescue raising funds?

Fortescue has advised that the proceeds from the offering will be applied to the repayment of its US$750 million 2022 Senior Unsecured Notes.

In addition to this, the funds will be used for general corporate purposes, which may include the repayment of debt.

Fortescue’s Chief Executive Officer, Ms Elizabeth Gaines, was pleased with the success of the offering.

She said: “Fortescue continues to deliver outstanding operational and financial performance which underpins our ongoing support from the US Debt Capital Markets. Our balance sheet is structured on low cost, investment grade terms, maintaining flexibility to support ongoing operations and the capacity to fund future growth.”

This sentiment was echoed by Fortescue’s Chief Financial Officer, Mr Ian Wells.

He said “The successful completion of this offering will refinance our earliest debt maturity, extend our weighted average maturity on terms consistent with our existing debt and further optimises Fortescue’s capital structure. Our disciplined capital allocation framework provides for investment in future opportunities and the continued delivery of value to our investors.”

More reading

• Could the run be over for the Fortescue (ASX:FMG) share price?
• Top brokers name 3 ASX shares to sell today
• 2 strong blue chip ASX shares rated as buys by brokers
• Hydrogen far from ‘fool cells’: EV trends and the major ASX players
• Why the Monadelphous (ASX:MND) share price is in focus

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 two quality ASX shares in this article want to become global leaders in their respective categories.

Businesses that have big goals and focused management have a good shot of producing outsized returns for investors.

These two quality ASX shares could be worth a look for the long-term:

City Chic Collective Ltd (ASX: CCX)

City Chic is a business that is aiming to create a ‘world of curves’. It’s rated as a buy by the broker Morgan Stanley, which has a share price target of $4.75 for the retail business.

The brokers of Macquarie Group Ltd (ASX: MQG) also rate City Chic as a buy. One point for Macquarie was that the company can utilise the Avenue platform in the US and that American sales could rebound after COVID-19 impacts subside.

City Chic had a positive first half of FY21 with continued elevated levels of online sales – there was growth of 42% off a high base, with 73% of total sales coming from the online channel. In FY20, 65% of sales were through online. In the first half of FY20, 53% of sales were from online.

The company saw double digit growth in the first six months of FY21 with total sales rising 13.5% to $119 million and statutory net profit after tax (NPAT) going up 24.8% to $13.1 million.

One highlight was the entry into the UK market with the acquisition of market-leading plus-size brand Evans for $41 million. The ASX share only bought the online assets and wholesale business of Evans. In the financial year to August 2020, the Evans website had 19 million visits and generated £23.1 million of sales, whilst the wholesale business made £3 million of sales.

It’s looking to expand the UK presence, grow in Europe with marketplace partnerships and continue to look for other acquisition opportunities.

Xero Limited (ASX: XRO)

Xero is another ASX share that has a very strong future.

The quality ASX share is building a global subscriber base in many different countries.

Its half-year result showed strong growth – Australian subscribers grew by 21% to 1.01 million, UK subscribers went up 19% to 414,000, New Zealand subscribers rose 13% to 414,000, North American subscribers grew 17% to 251,000 and the ‘rest of the world’ subscribers went up 37% to 136,000. Rest of the world numbers saw notable growth in South Africa and Singapore.

One of the reasons why Xero may be able to do so well over the long-term is that subscribers tend to stick around for a while – which creates good economics with a software as a service (SaaS) model as Xero’s gross profit margin is so high at 85.7%. Reported monthly recurring revenue churn was 1.11% in the period.

Xero is investing heavily for long-term growth and addressing customer needs. It spent almost $140 million on product development in the first half of FY21 – up 29% year on year.

The company is also making acquisitions that it believes will improve the offering for subscribers or accountants. Planday and Waddle are just two of the names it has bought in recent times.

Xero finished its FY21 half-year presentation with the following statement:

Xero is a long-term orientated business with ambitions for high-growth. We continue to operate with disciplined cost management and targeted allocation of capital. This allows us to remain agile so we can continue to innovate, invest in new products and customer growth, and respond to opportunities and changes in our operating environment.

More reading

• A2 Milk (ASX:A2M) share price tumbles on NZ recession fears
• 3 top ASX shares rated as buys by brokers
• Xero (ASX:XRO) share price down 23%, is it a buy?
• 2 of the best ASX growth shares to buy immediately
• ASX 200 jumps, Pointsbet reveals acquisition, Metcash drops

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited. The Motley Fool Australia owns shares of Xero. 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 broader S&P/ASX 200 Index (ASX: XJO) has been chopping back and forth as rising bond yields weigh on market sentiment. While big names might be going nowhere, here are some ASX shares in the small end of town that have been breaking out into record highs. 

ASX shares beating the market and running into record highs 

Andromeda Metals Ltd (ASX: ADN)

The Andromeda share price has run into record all-time highs this week. This comes after the company’s Great White Kaolin Project signed its first binding offtake agreement for 5,000 tonnes per annum of its premium ceramic grade product. The small-cap ASX share briefly touched 45 cents on Wednesday, up from 28 cents at the start of the year and 5 cents back in September 2020. 

The company has highlighted the Great White project as the world’s largest known high-purity halloysite-kaolin resource. Its most recent pre-feasibility study has determined a net present value of $736 million, earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $2.06 billion and a 26-year mine life for the project. 

To further advance the project into production, the company is currently undergoing its definitive feasibility study, evaluating potential offtake partners and pending assessment with regards to its mining proposal from the South Australian Government. 

Alcidion Group Ltd (ASX: ALC)

The Alcidion share price has gone from strength to strength after the company recorded one of its strongest sales periods to date. This ASX share has delivered more than 50% year-to-date returns after closing at 30 cents on Thursday.

The company’s half-year results announced on 25 February highlighted a 36% increase in revenue to $11.1 million and a step closer to profitability with an EBITDA loss of $912,000 compared to a $1.7 million EBITDA loss in 1H20. 

Alcidion digitally enables healthcare organisations through its flagship product, Miya Precision. This provides clinicians with actionable insights that directly impact patient care through the consolidation of information from various systems. 

Uniti Group Ltd (ASX: UWL) 

Uniti is a diversified telecommunications services provider focused on three core business areas including wholesale & infrastructure, communications platform as a service and consumer & business segments.  

The company has delivered rapid growth through strategic acquisitions and organic growth in its core fibre infrastructure. Its half-year results announcement revealed a 148% increase in revenue to $54.6 million while EBITDA surged 307% to $29.3 million.

Uniti successfully completed a series of acquisitions in 2020 to help bolster its outstanding growth figures. These acquisitions included HarbourISP effective 1 November 2020, OptiComm on 20 November 0220 and Telstra Velocity on 24 December 2020. The acquisitions have established greater scale, network, reach, capability, locked in revenue and business opportunities for Uniti. 

Uniti believes it is now positioned for accelerated organic growth, driven by the delivery of current contracted premises and improved penetration across its entire fibre premises portfolio. The company also highlighted its improved earnings as a way for the business to self-fund organic growth opportunities moving forward. 

The Uniti share price closed at a record high of $2.43 on Thursday, marking ~40% year-to-date returns for this ASX share. 

More reading

• International Women’s Day: The female CEOs of the ASX
• These small cap ASX shares could be ones to watch in 2021
• Why the Alcidion (ASX:ALC) share price is jumping 8% to a 52-week high today
• Alcidion (ASX:ALC) share price hits 52-week high on record sales
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Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Alcidion Group Ltd. The Motley Fool Australia has recommended Alcidion Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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