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Do you have some cash to invest? There could be some ASX shares that may be worth a spot on your watchlist.

Pushpay Holdings Ltd (ASX: PPH)

Pushpay is an ASX technology business that facilitates electronic donations. Its main client base is large and medium churches in the United States.

The ASX share is tapping into the global shift of payments from cash to digital. This is particularly noticeable during this COVID-19 period of restrictions and social distancing. Indeed, the US is currently seeing record numbers of COVID-19 cases, hospitalisations and deaths.

Pushpay is aiming for US$1 billion of annual revenue from the church sector whilst it progresses towards market leadership.

The growth of revenue is coming with increasing profit margins. In the FY21 half-year result it reported that its gross profit margin went up from 65% to 68%. This means that more of the revenue will fall to the next line of profit like a waterfall.

In a recent presentation, Pushpay pointed out that it can expand to smaller Catholic churches as well as different denomination groups and other donation sectors and geographies.

Pushpay recently upgraded its guidance to say that earnings before interest, tax, depreciation, amortisation and foreign currency (EBITDAF) is now expected to be in a range of between US$54 million to US$58 million.

At the current Pushpay share price, it’s priced at 24x FY23’s estimated earnings.

Kogan.com Ltd (ASX: KGN)

Kogan.com is another ASX share that’s in the technology space and is experiencing stronger demand partly because of physical retail impacts.

In FY20 it grew gross sales by 39.3% to $768.9 million. In the annual general meeting (AGM) update it said that gross sales increased by 99.8% in the first four months of FY21.

Kogan.com is another business that can demonstrate growing operating leverage as it gets bigger. In FY17 it had an EBITDA margin of 4.3%, in FY18 it had an EBITDA margin of 6.3%, in FY19 the margin was 6.9% and in FY20 the margin was 9.3%.

The ASX share continues to invest in areas that it thinks will increase the efficiency and margins of the business, whilst continuing to serve the customer and grow profit.

It announced this week that it’s going to acquire the Mighty Ape online retail business which is based in New Zealand. Kogan.com is paying AU$122.4 million for the business which is expected to generate AU$14.3 million of EBITDA in FY21 (which would be growth of 254.1% compared to FY20).

At the current Kogan.com share price it’s valued at 27x FY23’s estimated earnings.

Brickworks Limited (ASX: BKW)

Brickworks is the biggest brickmaker in Australia. It’s currently experiencing a recovery in the Australian construction market after the impacts of COVID-19 earlier in 2020.

However, the part of the business that has been grabbing the most attention in recent times has been the industrial property trust that it owns 50% of, along with Goodman Group (ASX: GMG).

This property trust is currently constructing two very large distribution warehouses for Amazon and Coles Group Ltd (ASX: COL). Once these are completed, it’s expected to increase the gross assets of the trust to more than $3 billion. These new warehouses are also expected to increase the rental profit distributions by at least 25%. This in turn will provide more cashflow for Brickworks to pay dividends to shareholders.

It hasn’t cut the dividend in over 40 years and its dividend is entirely funded by the distributions from the property trust and the dividends from its large shareholding of Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) shares.

At the current Brickworks share price it’s valued at 19x FY21’s estimated earnings. It also has a trailing grossed-up dividend yield of 4.3%.

More reading

• 3 reasons why Kogan.com (ASX:KGN) shares could be a buy
• Brokers name 3 ASX shares to buy right now
• Why Cashrewards, Doctor Care Anywhere, Kogan, & Treasury Wine are pushing higher
• 3 reasons why Pushpay (ASX:PPH) shares could be a buy
• 3 reasons why Brickworks (ASX:BKW) shares are a buy for dividends

Tristan Harrison owns shares of Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Kogan.com ltd and PUSHPAY FPO NZX. The Motley Fool Australia owns shares of and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of COLESGROUP DEF SET. The Motley Fool Australia has recommended Kogan.com ltd and PUSHPAY FPO NZX. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Got cash to invest? Here’s 3 ASX shares to buy appeared first on The Motley Fool Australia.

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Thankfully in this ultra-low interest rate environment, there are a large number dividend shares for investors to choose from on the Australian share market.

Two ASX dividend shares that could be top options for income investors are listed below. Here’s why they come highly rated:

Accent Group Ltd (ASX: AX1)

The first dividend share to look at its Accent Group. It is a leading footwear retailer with a (growing) number of popular store brands. This area of the retail sector has been a particularly positive performer in 2020 despite the pandemic. This led to Accent Group delivering a solid result in FY 2020, which allowed it to reward shareholders with a generous dividend.

The good news is that this strong form has carried over into FY 2021. The company recently revealed that its like for like sales (excluding its Auckland and Victorian stores) were up 15.7% during the first 20 weeks of the financial year. It also revealed a stunning 129% increase in Digital sales compared to the prior corresponding period.

Morgan Stanley was pleased with this update and has a buy rating on its shares. It is also forecasting a fully franked dividend of 9.4 cents per share this year. Based on the current Accent share price, this represents a 4.4% dividend yield.

Telstra Corporation Ltd (ASX: TLS)

Another dividend share to look at is Telstra. This telco giant has been a disappointing performer over the last few years due to the impact of the NBN rollout. The good news is that the end of the rollout is in sight and the headwind is finally easing.

Combined with the arrival of 5G internet, cost cutting, and its T22 strategy, Telstra has been tipped to return to growth again in the not so distant future. In addition to this, the company is aiming to create value for shareholders by splitting its business into three separate entities. Management believes the restructure would enable the company to take advantage of potential monetisation opportunities.

Goldman Sachs likes what it sees here and recently reiterated its buy rating and $3.60 price target on Telstra’s shares. It has also reaffirmed its estimate for a 16 cents per share fully franked dividend in FY 2021 and beyond. Which, based on the current Telstra share price, would provide investors with a 5.25% dividend yield.

More reading

• The Telstra (ASX:TLS) dividend yield is creeping higher
• 2 high yield ASX dividend shares to buy
• Which ASX 200 sectors performed the best in November? 
• Why the Telstra (ASX:TLS) share price stormed 14.5% higher in November
• 2 growing ASX dividend shares to buy this month

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool Australia has recommended Accent Group. 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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Are you looking to add some ASX growth shares to your portfolio next month? Well, you’re in luck! The Australian share market has a large number of quality growth shares to consider buying.

Three that could be great long term options are listed below. Here’s why they are rated as buys:

Altium Limited (ASX: ALU)

Altium is an electronic design software provider which has been growing at an exceptionally strong rate over the last few years. Management remains confident that it still has a long runway for growth. This is thanks to its exposure to the growing Internet of Things and Artificial Intelligence markets, which are underpinning solid demand for subscriptions. It is aiming to almost double its subscriber numbers to 100,000 and its revenue by ~150% to US$500 million by 2025/26. Analysts at Credit Suisse are positive on its outlook. They have an outperform rating and $42.00 price target on its shares.

ELMO Software Ltd (ASX: ELO)

ELMO is a cloud-based human resources and payroll software company. It provides businesses in the ANZ and UK markets with a unified platform that streamlines a wide range of everyday processes. ELMO has been a strong performer over the last few years, and even during the pandemic. In FY 2020 it reported ARR of $55.1 million. This was a 19.7% increase over the prior corresponding period. Pleasingly, management is expecting more strong organic growth in FY 2021, which will be supported by the recent acquisition of Breathe. This acquisition went down well with analysts at Morgan Stanley. They recently reaffirmed their overweight rating and lifted the price target on its shares to $9.30.

ResMed Inc. (ASX: RMD)

ResMed is a medical device company which has a focus on sleep treatment solutions. It also creates ventilators, which have been experiencing incredible demand this year because of the pandemic. Over the last decade the company’s revenue and earnings have grown at a very strong rate thanks to the quality of its products and its large and growing market opportunity. In respect to the later, management estimates that there are 936 million people with sleep apnoea globally and 380 million people who suffer from chronic obstructive pulmonary disease (COPD). Last month Credit Suisse upgraded its shares to an outperform rating with a $31.00 price target.

More reading

• 2 ASX growth shares to buy in December
• 3 ASX shares growing the dividend rapidly
• These ASX tech shares have been tipped for big things
• 10 fantastic ASX shares to buy in December
• Brokers name 3 ASX shares to buy right 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 and recommends Altium and Elmo Software. The Motley Fool Australia has recommended Elmo Software and ResMed Inc. 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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Last week the S&P/ASX 200 Index (ASX: XJO) was on form again and continued its push higher. The benchmark index climbed 33 points or 0.5% higher to finish at 6,634.1 points.

Unfortunately, not all shares on the index climbed higher with the market. Here’s why these were the worst performers on the ASX 200 last week:

IDP Education Ltd (ASX: IEL)

The IDP Education share price was the worst performer on the ASX 200 last week with a 9.7% decline. This appears to have been driven by profit taking after some stellar gains in November. Last month the language testing and student placement company’s shares jumped 29% higher due to optimism over the potential launch of three effective COVID-19 vaccines in the near future. This could lead to a quicker than expected recovery in the international student market.

Zip Co Ltd (ASX: Z1P)

The Zip share price wasn’t too far behind with a disappointing 7.8% decline. Investors were selling the buy now pay later provider’s shares despite the release of a trading update which revealed a record performance during November. Zip reported record transaction value of $577.1 million for the month. This was up 44% month on month and more than double year on year. Key drivers of this growth were a 157% increase in monthly transaction numbers and a 104% year on year increase in customer numbers to 5.3 million. No details were provided in relation to bad debts or arrears.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price was a poor performer and drop 5.6% last week. This may have been driven by a broker note out of Morgan Stanley a week earlier. It retained its underweight rating and $48.00 price target on the fund manager’s shares. The broker has concerns that its performance could be negatively impacted due to its focus on growth. Growth shares have underperformed value shares recently following a significant rotation by investors.

Corporate Travel Management Ltd (ASX: CTD)

The Corporate Travel Management share price was out of form and tumbled 5.6% over the five days. As with IDP Education, this appears to be down to some investors taking a bit of profit off the table. The reopening of domestic borders and COVID-19 vaccine news gave Corporate Travel Management shares a huge boost last month. So much so, the Corporate Travel Management share price is still up 19.1% since this time in November even after this decline.

More reading

• These were the best performing ASX 200 shares last week
• ASX 200 goes up on Friday
• Elixinol (ASX:EXL) share price tumbles on capital raising update
• Are ASX stocks about to get an earnings upgrade boost in the new year?
• Why BetMakers, Medical Development International, Qantas, & Zip are dropping 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 Idp Education Pty Ltd and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Corporate Travel Management Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post These were the worst performing ASX 200 shares last week appeared first on The Motley Fool Australia.

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The S&P/ASX 200 Index (ASX: XJO) was on form again last week and continued its winning streak. The benchmark index rose 33 points or 0.5% higher to finish at 6,634.1 points.

While a good number of shares climbed higher with the market, some recorded stronger than average gains. Here’s why these were the best performing ASX 200 shares last week:

Sandfire Resources Ltd (ASX: SFR)

The Sandfire share price was the best performer on the ASX 200 last week with a 28.6% gain. Investors were buying the copper producer’s shares after the release of its strategy update. This update went down well with analysts at Morgan Stanley. They retained their overweight rating and $6.60 price target on its shares following its release. The broker was pleased with its T3 progress. In addition to this, a solid rise in the spot copper price gave its shares a boost.

PolyNovo Ltd (ASX: PNV)

The PolyNovo share price was on form last week and stormed 15.2% higher. The medical device company’s shares have been very strong performers since an announcement last month. That announcement revealed that the United States Food and Drug Administration (FDA) has approved the pivotal trial IDE for NovoSorb BTM. This relates to its treatment of full thickness burns. In addition to this, last week PolyNovo announced that it would bring its Breast device development program in-house effective immediately.

OZ Minerals Limited (ASX: OZL)

The OZ Minerals share price wasn’t far behind with an impressive 15% gain last week. Investors were buying the copper producer’s shares after the price of the base metal continued its rise. The spot copper price rose over 4.5% during the week, extending its monthly gain to 13%. According to CNBC, Goldman Sachs expects the copper price to keep on climbing. “This current price strength is not an irrational aberration, rather we view it as the first leg of a structural bull market in copper,” Goldman said.

Monadelphous Group Limited (ASX: MND)

The Monadelphous share price was a solid performer and charged 13.8% higher over the five days. A rise in commodity prices last week appears to have given this mining services provider’s shares a big boost. This could mean demand for its services remains strong in 2021 and underpins solid earnings and dividend growth.

More reading

• ASX 200 goes up on Friday
• Elixinol (ASX:EXL) share price tumbles on capital raising update
• Are ASX stocks about to get an earnings upgrade boost in the new year?
• Why the Woodside (ASX:WPL) share price is edging higher today
• ASX 200 up 0.3%: Premier Investments update, big four banks rise, gold miners tumble

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 POLYNOVO 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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There are a few reasons why Kogan.com Ltd (ASX: KGN) shares may resonate with some investors.

What does Kogan.com do?

Kogan.com is an online marketplace company that sells a wide variety of products including TVs, phones, computers, appliances, clothes, furniture and office supplies.

It’s run by the founder, Ruslan Kogan, and it has grown significantly during 2020. In FY20 it grew gross sales by 39.3% to $768.9 million. In the annual general meeting (AGM) update it said that gross sales increased by 99.8% in the financial year to date for the four months of July 2020 to October 2020, compared to the prior corresponding period.

Kogan.com also sells a number of different household services including mobile plans, internet, energy, credit cards, insurance, pet insurance, life insurance, health insurance and so on.

Here are some reasons why investors may like Kogan.com shares: 

Reason one: New Zealand acquisition

Kogan.com just announced a large acquisition for the expansion into New Zealand. It’s buying Mighty Ape, which is one of New Zealand’s leading online retailers which has a focus on gaming, toys and other entertainment categories.

Before the impact of synergies, Mighty Ape has FY21 forecast revenue of AU$137.7 million, forecast gross profit of AU$45.7 million and forecast earnings before interest, tax, depreciation and amortisation (EBITDA) of AU$14.3 million. This would represent year on year growth in revenue, gross profit and EBITDA of 43.7%, 58.1% and 254.1% respectively.

Kogan.com is paying AU$122.4 million with the purchase payable over four tranches through to the delivery of the FY23 result. Mighty Ape is founder-led, and the founder and executive team will be retained with incentives until at least FY23.

Kogan.com is expecting “significant revenue and cost synergies” across numerous areas of the business.

Reason two: Rising profit margins

When a business can increase its profit margins, it means that more of the revenue will help the net profit after tax (NPAT) line of the financials. Seeing growing profit is one of the main reasons that share prices grow over time and may influence Kogan shares.

Kogan.com can point to a steadily-rising EBITDA margin over the last few years. In FY17 it had an EBITDA margin of 4.3%, in FY18 it had an EBITDA margin of 6.3%, in FY19 the margin was 6.9% and in FY20 the margin was 9.3%.

The e-commerce business said that this demonstrates improving operating leverage and it continues to deliver significant projects to grow its products and services offering, while heavily investing in the platform.

Reason three: Kogan First members and extra services

Kogan First is a membership program that provides a range of consumer benefits, which includes access to free shipping. The idea is also for the business to create stronger loyalty from customers.

The ASX share explained that Kogan First members purchase on average much more often than non-members, which also demonstrates the significant savings available through the loyalty program. The number of paying Kogan First members increased significantly during FY20.

Kogan.com also wants more of its customers to sign up to the other extra services it offers like mobile plans, superannuation or home loans. If a customer signs up to additional services then they become more profitable to Kogan.com on a per-customer basis and it’s cheaper to ‘acquire’ them to use extra services than winning new external customers.

Valuation

At the current Kogan.com share price of $17.30 it’s valued at 27x FY23’s estimated earnings, according to Commsec. It also offers a trailing grossed-up dividend yield of 1.7%.

More reading

• Brokers name 3 ASX shares to buy right now
• Why Cashrewards, Doctor Care Anywhere, Kogan, & Treasury Wine are pushing higher
• Why Flight Centre, Fortescue, Kogan, & Telix shares are racing higher
• Kogan (ASX:KGN) share price storms higher on $122m Mighty Ape acquisition
• After a record November, what’s next for ASX 200 shares?

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Kogan.com ltd. The Motley Fool Australia has recommended Kogan.com 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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The Janus Henderson Group CDI (ASX: JHG) share price is having a fantastic day today. Janus Henderson shares are up 7.17% at the time of writing to $41.99 a share.

That came after a very strong open for the company, which saw the Janus Henderson share price spike all the way up to $43.08 – almost 9% higher than the $39.37 price the company closed at yesterday.

At $43.08, it’s also the new 52-week high and the highest level this company has traded at since mid-2018. It also means the Janus Henderson share price is up almost 98% from the lows the company reached in March. However, we’re still a long way away from the ~$64 a share levels we saw back in late 2015.

So who is Janus Henderson? And why are the shares spiking so enthusiastically today?

Janus Hender-who?

Janus Henderson is in the business of asset management. It’s a funds management company that is actually dual-listed, hence the ‘CDI’. It (of course) appears on the ASX under the ticker JHG. But it is also listed on the New York Stock Exchange as Janus Henderson Group PLC (NYSE: JGH).

Despite these two listings, it is actually headquartered in the United Kingdom (explaining the PLC on the end there). So we have a real globetrotter here! This is explained by the fact that Janus Henderson used to be 2 separate companies – you guessed it, Janus Capital Group and Henderson Group. Janus was an American company, and Henderson, British before the two merged in 2017.

So, as we just touched on, Janus Henderson is a fund manager. The company states that: “Our individual, intermediary and institutional clients span the globe and entrust us with… their assets”.

It offers both mutual funds (managed funds) and exchange-traded fund (ETF), although its Australian offerings are more or less restricted to ‘wholesale’ (read ultra-wealthy) clients. Even so, its funds’ are available in many, if not most countries in the world in varying degrees. This includes the United Kingdom, Europe and the United States and Canada, as well as most of South America and the Middle East.

It’s North American funds under management (FUM) is the company’s crown jewel, housing US$208.8 billion (or 56%) of the total FUM of US$374.8 billion (as of the 2019 annual report). Europe, the Middle East, Africa and Latin America account for another US$111.6 billion, with the Asia Pacific making up another US$54.4 billion in turn.

Why is Janus Henderson rocketing today?

Strangely, there is no immediately-obvious reason why Janus Henderson shares are rocketing today. There are no newsworthy announcements that the company has made recently, and certainly none with any earth-shattering, share price-moving potential that one would deem obvious.

However, if we dig a little deeper, something interesting does bubble up to the surface. Janus Henderson has been buying back its own shares. With gusto.

The company has posted a daily share buyback notice almost every trading day for months now. In fact, just today, the company did the same thing, telling the markets that the company has bought back and cancelled almost 4,000 shares. Same as yesterday, and the same as the day before that.

Perhaps investors (or one giant investor) have noticed.

Share buybacks are accretive to shareholder value. If a company buys-back its own shares, it reduces the pool of shares that its profits (and dividends) have to be split between. Thus, a share buyback increases the earnings per share that an investor can expect to receive from their investments. Even if the company isn’t actually growing its profits in the conventional manner. A buyback is often compared to a dividend in how it returns value to the shareholders.

It’s possible that these buybacks have led to the spike in Janus Henderson today. Or it’s possible that someone knows something good about the company that hasn’t been released to the markets just yet.  Either way, it’s been a good day for Janus shareholders!

More reading

• ASX 200 up 0.3%: Premier Investments update, big four banks rise, gold miners tumble

Motley Fool contributor Sebastian Bowen 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 Rhythm Biosciences Ltd (ASX: RHY) share price was an outstanding performer on Friday.

At one stage, the medical device company’s shares were up 28% to a record high of 95 cents.

The Rhythm Biosciences share price eventually ended the day 17.5% higher at 87 cents.

Why is the Rhythm Biosciences share price rocketing higher?

Investors were buying the company’s shares this week due to the release of a positive announcement.

Earlier this week, Rhythm Bioscience revealed that it has appointed France-based Biotem as the global manufacturer of its ColoSTAT test-kit.

Management advised that Biotem was chosen following a robust due diligence process to select a manufacturer for the product that could execute on its ambition to address the global unmet need for the early detection of colorectal cancer.

With over 40 years of immunoassay development and manufacturing experience, it feels Biotem has the capability to deliver the optimisation and process validation of the manufacturing procedure. It also believes it has the ability to economically produce large-scale quantities of the ColoSTAT test-kit.

What now?

The company advised that the initial design transfer and the broader core technology transfer is currently underway.

It expects that small-scale manufacturing of ColoSTAT prototype test-kits will have commenced by the end of the 2020 calendar year.

After which, the initial batches of test-kits will undergo quality assurance and ongoing product verification testing by Rhythm. They will then be used for testing on cancerous and healthy blood samples, forming Study 6, which is on track for completion by the third quarter of FY 2021.

Rhythm CEO, Glenn Gilbert, commented: “Following our recent completion of the ColoSTAT protype test-kit, the appointment of Biotem as our global manufacturer now sets a clear pathway to bring ColoSTAT to the market. We are focused on an exciting few months ahead as we scale up our development plan activities.”

Globally, over 850,000 people die from colorectal cancer each year. This cancer is typically diagnosed at a later stage when there is a poor prognosis for long-term survival. The number of annual unscreened 50 to 74-year olds is estimated to be +130 million for the US, Europe and Australia alone. Combined, this represents a market opportunity of over $6.5 billion.

More reading

• These small cap ASX shares delivered more than 100% returns in November

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 S&P/ASX 200 Index (ASX: XJO) went up by 0.3% today to 6,634 points.

Here are some of the highlights from the ASX:

Initial public offerings (IPOs) go off with a bang

There have been a number of IPOs hit the market recently. Two of the IPOs that went onto the market went up strongly. 

Nuix Limited (ASX: NXL) is an Australian technology company that has a software platform for indexing, searching, analysing and extracting knowledge from unstructured data. It has services relating to digital investigation, cybersecurity, information governance, email migration and privacy.

The Nuix share price finished the day higher by 53.5% to $8.15.

Another business to list today was Doctor Care Anywhere Group Plc (ASX: DOC). It’s a telehealth business that allows patients and doctors to connect via video call rather than actually attending a clinic.

The Doctor Care Anywhere share price finished higher by 19%.

Premier Investments Limited (ASX: PMV)

Premier Investments held its annual general meeting (AGM) today.

The ASX 200 company reminded investors about the difficulty of the initial COVID-19 impacts earlier in 2020. Retail store sales were down 78.4% and global sales were down $131.1 million compared to the prior corresponding period between 11 March 2020 and 15 May 2020.

However, in the first 18 weeks of FY21 it has seen Premier Retail online sales grow by 70% compared to the prior corresponding period. Premier reminded investors that these online sales come with significantly higher earnings before interest and tax (EBIT) margins compared to its physical stores.

Premier said that through a combination of board experience and outstanding management leadership the business is “exceptionally well positioned” as the holiday trading period gets closer.

The Premier share price went up by around 1% today in reaction.

Cimic Group Ltd (ASX: CIM)

The ASX 200 engineering business announced that its UGL business has been awarded more than $112 million in utilities contracts.

The contracts cover several projects. One of those projects is the design and construction of a 300kV switchyard at Maragle in the Snowy Mountains, NSW for TransGrid. The contract includes building 10 kilometres of 330kV transmission lines to connect the switchyard and the Snowy 2.0 pumped-hydro project cable yard.

Another task is the installation of a 52MW/78MWh Tesla battery for Transgrid at the Wallgrove Substation in Sydney’s West.

The next one is the design and construction of a 132kV/33kV substation to support the connection of a solar farm in Gunnedah, NSW, to TransGrid’s network in the state.

Cimic’s UGL is also going to do design and construction work for Powerlink’s substations at Lilyvale and South Gladstone, Queensland.

Finally, Cimic has been tasked for the design and construction work for United Energy, including the installation and replacement of feeder schemes at substations and the installation of safety mechanisms.

Cimic Group CEO Juan Santamaria said: “We’re proud to work with these clients to connect future renewable projects to the grid and supply new energy into the network. In doing so, we’ll also create job and procurement opportunities for regional communities.”

UGL managing director Doug Moss said: “These new contracts in the utilities sector highlight UGL’s power and renewables capability and expand on our well-established relationships with TransGrid, Powerlink and United Energy. We look forward to carrying out these contracts in a safe and reliable manner.”

The Cimic share price fell 0.4% today.

More reading

• Elixinol (ASX:EXL) share price tumbles on capital raising update
• Are ASX stocks about to get an earnings upgrade boost in the new year?
• The Nuix (ASX:NXL) share price zoomed 69% higher following its IPO
• Why the Woodside (ASX:WPL) share price is edging higher today
• Doctor Care Anywhere (ASX:DOC) share price rockets 37% higher after its IPO

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Premier Investments 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 Allegra Orthopaedics Ltd (ASX: AMT) share price shot up 137.5% today on positive test results. The company advised that testing of its revised spinal cage device showed significant improvement in strength, compared to its previous design.

The Allegra share price jumped as high as 61 cents at the news today, before retreating to close at the current price of 44 cents.

About the test results

The spinal cage device is Allegra’s flagship innovation project, a unique biodegradable cervical fusion device to be used as a human bone substitute.

The medical device company has engaged an accredited testing facility in the United States to confirm the effectiveness of a revised design to the device. Today’s results showed a significant improvement in strength. Specifically, the revised device has a compressive strength of  60kN. This is significantly above human physiological load (1.2kN), and sheep physiological load (3-4kN).

It is also double the compressive strength of the previous design, and above the 95th percentile for published data on FDA approved cages.

Allegra said the same facility conducted dynamic compressive testing to determine the fatigue life of the spinal cage. The testing passed the regulatory-required 5 million dynamic cycles without any signs of fracture or failure.

Due to these positive results, Allegra will now go ahead with the new design. The company plans to start a pilot animal study in January 2021 in Australia. This will be a confirmatory study to be followed by a large animal study, as per FDA requirements.

Today’s announcement marks one year since the company started its initial preclinical large animal study.

The Allegra share price in 2020

The Allegra share price spiked in July by as much as 500% to 53 cents after it acquired Sr-HT-Gahnite patents from the University of Sydney. This is the material used for its spinal cage device.

After today, the Allegra share price is closing in on that high, and currently commands a market cap of $21 million.

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Motley Fool contributor Eddy Sunarto 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 the Allegra (ASX:AMT) share price rocketed up 137% today appeared first on The Motley Fool Australia.

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