Tag: Motley Fool

The S&P/ASX 200 Index (ASX: XJO) was well and truly out of form last week and sank notably lower. The benchmark index dropped 3.9% over the five days to finish at 5,927.6 points.

While the majority of shares on the index dropped lower, some fell more than most. Here’s why these were the worst performers on the ASX 200 last week:

Western Areas Ltd (ASX: WSA)

The Western Areas share price was the worst performer on the index last week with a 20.8% decline. The majority of this decline came on the final day of the week after the nickel producer downgraded its FY 2021 production guidance and increased its costs guidance. Management blamed this on production issues at its Flying Fox operation.

EML Payments Ltd (ASX: EML)

The EML Payments share price wasn’t far behind and recorded a disappointing 18.4% decline over the five days. This appears to have been driven by a combination of weakness in the tech sector and profit taking after a very strong gain earlier in the month. The EML Payments share price still ended up recording a 1.7% gain over the month of October despite last week’s decline.

Corporate Travel Management Ltd (ASX: CTD)

The Corporate Travel Management share price was out of form and tumbled 16.1% lower last week. This decline appears to have been caused by its annual general meeting update, which revealed that the travel company averaged revenue of $9.6 million per month during the first quarter. In addition to this, a spike in COVID-19 cases in North America and Europe put pressure on travel shares. It was for this reason that the Flight Centre Travel Group Ltd (ASX: FLT) share price dropped 15.8% lower over the period.

Zip Co Ltd (ASX: Z1P)

The Zip Co share price had a disappointing week and lost 15.1% of its value over the five days. The buy now pay later provider’s shares have come under pressure since the release of its first quarter update a week earlier. News that Westpac Banking Corp (ASX: WBC) was selling off its stake has also weighed on investor sentiment this month.

More reading

• These were the best performing shares on the ASX 200 last week
• 3 ASX 200 shares that every investor should own
• Why the Unibail (ASX:URW) share price gained 5% today
• ASX 200 ends down 0.6%, AMP (ASX:AMP) share price jumps 20%
• Here’s why ASX cannabis shares are falling today

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’s parent company Motley Fool Holdings Inc. recommends EML Payments. The Motley Fool Australia owns shares of and has recommended Corporate Travel Management Limited and EML Payments. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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

from Motley Fool Australia https://ift.tt/3kHVR20

Last week was one to forget for the S&P/ASX 200 Index (ASX: XJO). The benchmark index lost 3.9% of its value to end the period at 5,927.6 points.

Fortunately, not all shares on the index tumbled lower with the market. Here’s why these were the best performers on the ASX 200:

Coca-Cola Amatil Ltd (ASX: CCL)

The Coca-Cola Amatil share price was the best performer on the ASX 200 last week with a 15.6% gain. The catalyst for this was a takeover approach from the largest independent bottler of soft drinks, Coca-Cola European Partners. That offer values the beverage company at $12.75 cash per share, which represented an 18.6% premium to Coca-Cola Amatil’s share price at the time. A committee has reviewed the proposal and believes it is in the best interests of shareholders that Coca-Cola European Partners be granted due diligence.

AMP Limited (ASX: AMP)

The AMP Limited share price was on form and stormed 12.9% higher over the five days. All this gain came on the final day of the week when the financial services company revealed that it had received a takeover approach from Ares Management. The company didn’t reveal what offer has been made. It also warned that talks are at a very preliminary stage and there is no certainty that a transaction will eventuate.

Blackmores Limited (ASX: BKL)

The Blackmores share price was a strong performer last week and recorded a 12.3% gain. Investors were buying the health supplements company’s shares following its annual general meeting update. That update reveals that Blackmores is on course to deliver profit growth in FY 2021. Though, management warned that this will come predominantly from the second half of the financial year. In addition to this, Blackmores revealed that its restructuring is set to deliver $15 million of gross annualised savings from the second half. Further savings have also been identified in relation to its cost of goods sold.

ResMed Inc. (ASX: RMD)

The ResMed share price overcame the market weakness and raced 8.5% higher last week. All of this gain came on Friday when the medical device company smashed expectations with its first quarter update. ResMed reported a 10% increase in revenue to US$751.9 million and a 37% lift in earnings per share to US$1.27. This compares to the market consensus estimate of US$709.47 million and US$1.03 per share. Management advised that it experienced strong demand for ventilators because of the COVID-19 pandemic.

More reading

• These were the worst performing shares on the ASX 200 last week
• 3 ASX 200 shares that every investor should own
• Why the Unibail (ASX:URW) share price gained 5% today
• ASX 200 ends down 0.6%, AMP (ASX:AMP) share price jumps 20%
• Here’s why ASX cannabis shares are falling today

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Blackmores Limited. The Motley Fool Australia has recommended ResMed Inc. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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

from Motley Fool Australia https://ift.tt/31Xyrhv

I think there are some S&P/ASX 200 Index (ASX: XJO) shares that are worth being in every investor’s portfolio.

ASX 200 shares are big enough that they have built strong market positions in their industry, but some of them (outside of the ASX 20) are small enough that they still have plenty of growth potential. I generally stay away from banks and resource shares.

Here are my three ASX 200 share picks that I think every investor should own:

Altium Limited (ASX: ALU)

Altium is a world-leading electronic PCB software business. It helps engineers design the latest devices and machines. Altium has software from individual engineers, all the way up to multinational giants.

The company has an impressive list of clients from many different industries such as Tesla, Space X, NASA, the Australian Federal Police, Boeing, John Deere, Bosch, Google, iRobot, CSIRO, Cochlear Limited (ASX: COH), Boston Scientific, Siemens, Honeywell, Microsoft, HP, Amazon, Disney, Fitbit, Apple, Qualcomm, Broadcom and so on. This is a high-quality list.

Over the long-term, Altium has been growing its profit margins, its cash pile on the balance sheet as well as increasing the dividend for shareholders. Altium has no debt. These many of the things you want to see from a great ASX 200 share. 

I think it’s one of the best ASX shares and could have a lot more profit growth to come as it gets closer to its aim of clear market leadership and US$500 million of revenue.

At the current Altium share price it’s trading at 50x FY23’s estimated earnings.

Rural Funds Group (ASX: RFF)

Rural Funds is a farmland real estate investment trust (REIT).

You may not think that farmland is something that every investor should own, but I do. Farming is one of the key things that Australia has an advantage over other countries. Australia’s farming operations are highly efficient and the products are viewed as high-quality by global consumers.

Actual farming is a tough business, just ask regional farmers about the recent drought. Some of the listed ASX businesses like Costa Group Holdings Ltd (ASX: CGC) have also been reporting about a tough couple of years. 

But as the landlord, Rural Funds doesn’t take on the operational risks. That’s on the tenant. However, the ASX 200 share does own a large amount of water entitlements for tenants.

There are a couple of trends that could help farm values in the shorter-term and longer-term. In the long-term, food demand is expected to grow over the next decade. I think a business like Rural Funds could be an important part of helping the global food supply.

In the shorter-term, a La Nina weather event has developed according to the World Meteorological Organization (WMO). This could mean more rainfall for Australia. This will hopefully help farm output and farm values.

Rural Funds owns a diversified portfolio of farms including cattle, almonds, macadamias, vineyards and cropping (cotton and sugar).

At the current Rural Funds share price if offers a forward distribution yield of 4.7%.

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

I think it’s good to have a few core positions that you can build your portfolio around.

Soul Patts could be the best business on the ASX for a long-term investment because of its nature. It’s a conglomerate that has been operating for over 100 years. It owns a diverse array of different businesses in its portfolio including TPG Telecom Ltd (ASX: TPG), Brickworks Limited (ASX: BKW), Bki Investment Co Ltd (ASX: BKI), Milton Corporation Limited (ASX: MLT), Australian Pharmaceutical Industries Ltd (ASX: API) and Clover Corporation Limited (ASX: CLV).

The ASX 200 investment house is steadily increasing its underlying asset value. It’s also steadily growing its dividend to shareholders. I think it offers an attractive mix of total returns and reliability.

Many positions in its portfolio are based on products or services that are important for everyday life. I really like the contrarian investment style of the company as well. It recently invested over $100 million into agriculture during the time of a tough drought.

As Soul Patts’ underlying investments grow, its share price should steadily rise to reflect that improvement. Rising investment income from those holdings will help fund ever-rising dividends.

More reading

• Why the Unibail (ASX:URW) share price gained 5% today
• ASX 200 ends down 0.6%, AMP (ASX:AMP) share price jumps 20%
• Here’s why ASX cannabis shares are falling today
• How did the WAAAX shares perform in the last quarter?
• It’s not just Aussie Millennials driving the Afterpay (ASX:APT) share price to new records

Tristan Harrison owns shares of Altium, RURALFUNDS STAPLED, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Clover Limited and Cochlear Ltd. The Motley Fool Australia owns shares of and has recommended Brickworks, COSTA GRP FPO, RURALFUNDS STAPLED, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Cochlear Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post 3 ASX 200 shares that every investor should own appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/3kL5b4X

The Unibail Rodamco Westfield (ASX:URW) share price closed up 4.69% today, after being up more than 6% in late afternoon trading. This follows today’s announcement on the company’s contested plan for a 3.5 billion-euro (AU$5.8 billion) capital raising.

It’s been a difficult year for Unibail. Its portfolio of retail and office complexes has suffered from the lockdowns and social distancing put into place to slow the spread of COVID-19.

After trading at $11.25 per share on 7 January, its been mostly downhill for the Unibail share price, which closed at $2.90 per share today. That represents a year-to-date loss of 74%.

What does Unibail Rodamco Westfield do?

Unibail is one of Europe’s largest commercial real estate companies, owning a portfolio of quality retail and office complexes. It has assets in Europe, the United Kingdom and the United States.

Unibail acquired Australian shopping centre operator Westfield Corporation, created by the split of Westfield Group, in 2018. This saw Unibail shares first listing on the ASX. The company makes up part of the S&P/ASX 200 Index (ASX: XJO).

What sent the Unibail share price higher?

In an announcement released to the ASX this morning, Unibail revealed that independent proxy advisory firm ISS has recommended Unibail shareholders vote to support its 3.5 billion euro capital raising. The vote will take place on 10 November at the company’s extraordinary general meeting.

The fully underwritten capital raising is part of the company’s broader 9 billion euro ‘reset plan‘, announced on 17 September. Unibail intends to immediately deploy the money from the capital raise to pay down its debt obligations.

Much of the reset plan – which includes 4 billion euros worth of asset disposals – was largely uncontested. However, the capital raising met with strong opposition from activist investors, led by French telco billionaire Xavier Niel, who together own 4.1% of Unibail’s shares.

Following the ISS support for the capital raising, Unibail reiterated today that it was “an essential element of the group’s RESET plan”. The company said it provided an “immediate solution to strengthen the group’s balance sheet in a volatile and uncertain environment, while preserving the group’s flexibility for the future”.

More reading

• ASX 200 ends down 0.6%, AMP (ASX:AMP) share price jumps 20%
• Here’s why ASX cannabis shares are falling today
• It’s not just Aussie Millennials driving the Afterpay (ASX:APT) share price to new records
• ASX 200 flat: ResMed smashes expectations, AMP surges on takeover talks
• Why the AMP (ASX:AMP) share price could be set to rocket higher today

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Why the Unibail (ASX:URW) share price gained 5% today appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2TyNqtX

The Saracen Mineral Holdings Limited (ASX: SAR) share price gained 50% over the past 12 months. That gives the company a market cap of more than $6 billion at today’s price of $5.64 per share.

Saracen’s share price has gained twice as much as the price of gold since this time last year, which saw gold go from US$1,495 per ounce to US$1,877 per ounce today. A gain of 25%. Of course, that’s still well down from the 6 August peak, when the yellow metal was trading for US$2,063 per ounce.

Saracen shares hit their own peak on 27 July, at $6.48 per share, an all-time high. Since then the share price has dropped 14%.

Despite the recent slide, Saracen’s strong performance helped billionaire Kerry Stokes add $570 million to his wealth.

What does Saracen do?

Saracen Mineral Holdings is an Australian gold producer. All 3 of its mines – Carosue Dam, Thunderbox and the Super Pit (50% ownership) – are located within 300 kilometres of Kalgoorlie, Western Australia. The company forecasts it gold production will increase from some 500,000 ounces in this financial year to more than 600,000 ounces in the coming financial year.

Saracen is part of the S&P/ASX 200 Index (INDEXASX: XJO).

How did Saracen’s share price help stoke Kerry Stokes’ billions?

According to the Australian Financial Review‘s Rich List, Stokes wealth grew 10.2% year-on-year, reaching $6.3 billion.

Now if you’re like me, when you think of Kerry Stokes gold mining won’t be the first thing that comes to your mind. Stokes is far more widely associated with the media. Namely Seven West Media Ltd (ASX: SWM), which has a large presence in broadcast television, print and online publishing.

But it certainly wasn’t the Seven West Media share price that saw Stokes’ wealth balloon. Seven West’s share price is down 58% over the past 12 months.

Rather, as the AFR‘s Rich List revealed, Stokes made hay from his Saracen shareholdings. Remarkably, his holdings in the Aussie gold miner were worth more than the entirety of Seven West Media.

It remains to be seen how ASX gold shares will perform over the next 12 months. While many factors continue to support gold prices, the World Gold Council reported that the world’s central banks became net gold sellers for the first time in 10 years in the third quarter of 2020.

Though Saracen’s fortunes also ride on the productivity of its mining assets, the price of gold will be a big factor in determining Saracen’s future share price moves.

More reading

• Why market crashes are useful for buying ASX dividend shares
• 5 things to watch on the ASX 200 on Thursday
• How did ASX gold shares perform in the last quarter? 
• 5 things to watch on the ASX 200 on Wednesday
• Why Saracen (ASX:SAR) is on track to achieve FY21 guidance

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post How the Saracen (ASX:SAR) share price stoked Kerry Stokes’ multi-billion dollar wealth appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/37Sgx3w

Mosaic Brands Ltd (ASX: MOZ) announced at its AGM yesterday it was closing 250 stores in preference for online sales avenues. Consequently, the Mosaic share price has lifted by 5.56% to 66 cents in today’s trading. This follows a lacklustre performance since the start of the week. 

Good news for the Mosaic share price?

Mosaic Brands is one of the largest fashion retail groups in Australia and New Zealand. It holds such brands such as W.Lane, Katies, Rockmans, Crossroads, and Rivers, as well as 50.1% of EziBuy.

FY20 broke four consecutive years of growth and profitability. Not a great start. However, Mosaic is in a discretionary retail sector, which took much of the brunt of the COVID-19 lockdowns nationwide. Given the year everyone has lived through, the company acknowledged the performance slump was inevitable. It was impacted by bushfires, lockdowns, the shift to online shopping and a rental spat with shopping centre landlord Scentre Group (ASX: SCG).

Since the start of the year, the Mosaic share price is down by 71%.

In particular, the company believes the shift to online shopping is both structural and permanent. Chairman Richard Facioni told shareholders:

The online shift is permanent, which has implications for the physical retail footprint and unrealistic rent expectations from landlords.

Stores are and will always remain a central part of Mosaic Brands and serving our customers. But not at the cost of unrealistic rents, nor landlord expectations that pre-date the internet.

In August we informed the market that up to 500 of our 1300 plus store portfolio nationally could be closed if realistic rental agreements were not struck.

The move online

Across FY20 the company recorded a 15% increase in online sales to just under $100 million. In the first quarter of FY21 it has already increased further by 31%. While the lock down situation in Victoria likely contributed, the company has no doubt that online sales will be more important than at any time previously.

The company has also reduced inventory by 50% in a change to operating practices. This, combined with reduced discounting and online sales has allowed it to increase margins to 67%. Up from 61.8% for the previous corresponding period (pcp). Moreover, the Mosaic Brands has decided to delay its planned acquisition of the other 50% of EzyBuy by 6 months in an effort to conserve cash. 

Foolish takeaway

The challenge of whether online sales volumes will remain permanent is an area of some debate. Nonetheless, Mosaic has already delivered a large scale increase in online sales with most of the country out of lockdown. The decision to close 250 stores seems to be recognition of this, and a tough line on costs and margin preservation. Investors appear to be happy with this prudential approach, driving the Mosaic share price upwards since yesterday.

More reading

• These beaten-up shares are about to pick up: Moody’s
• Reject Shop (ASX:TRS) share price tumbles but it’s property stocks that should be worried
• 5 ASX 200 events to watch for this week
• Is Vicinity Centres (ASX:VCX) a top ASX dividend share?
• How ASX 200 investors can collect a rent check from Bunnings Warehouses

Motley Fool contributor Daryl Mather has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Scentre Group. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post The Mosaic (ASX:MOZ) share price comes alive, up 5% appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/3mzJo0H

A Sigma Healthcare Ltd (ASX: SIG) executive has been charged with 2 counts of insider trading.

Sigma, a pharmaceutical wholesaler, was supplying the major retail chain Chemist Warehouse in 2018.

However, on 2 July 2018, Sigma announced to the ASX that agreement could not be reached in renewing the supply deal. The share price immediately sunk 40% that day.

Sigma general manager Michael John Story of Elwood, Victoria is alleged to have sold off his shares before this announcement.

The Australian Securities and Investments Commission alleges Story knew how the negotiations between Sigma and Chemist Warehouse were going when he disposed of his stocks.

Story sold off 645,047 Sigma shares on 9 May 2018 and another 250,000 on 21 June.

The two charges of insider trading are violations of section 1043A of the Corporations Act 2001.

Although the current maximum penalty for such a breach is 15 years’ jail, at the time of Story’s alleged offences it was 10 years.

Commonwealth Director of Public Prosecutions is now in charge of the case, which will next be heard at a committal mention hearing at Melbourne Magistrates Court on 18 December.

Sigma shares dropped 0.93% to 53 cents near close of trade this afternoon.

More reading

• Is the Coles (ASX:COL) share price in the buy zone?
• Why the Zoono (ASX:ZNO) share price surged 7% this week
• ASX 200 ends down 0.6%, AMP (ASX:AMP) share price jumps 20%
• Japara Healthcare (ASX:JHC) announces $292 million loss at AGM
• Why the Carsales (ASX:CAR) share price dropped 4% today

Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post ASX company exec faces 10 years’ jail for insider trading appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/34I7eS1

The Coles Group Ltd (ASX: COL) share price has been a strong performer in 2020.

Since the start of the year, the supermarket giant’s shares are up over 18%.

This compares to an 11.5% decline by the S&P/ASX 200 Index (ASX: XJO) over the same period.

Is it too late to buy Coles shares?

I don’t believe for a second that it is too late to buy Coles shares and continue to see a lot of value in them for long-term focused investors.

One broker that agrees with this view is Goldman Sachs. Its analysts have just retained their buy rating and lifted the price target on the company’s shares to $20.50 following the release of its first quarter update.

This price target implies potential upside of 15.5% for its shares excluding dividends and just over 19% including them.

What did Goldman Sachs say?

Goldman notes that Coles delivered a first quarter update ahead of its expectations this week.

It commented: “Coles group reported 1Q21 sales at A$9,607mn, +10.5% yoy ,+2.6% vs. GSe and including comp store sales growth of 9.7% (7.7% ex Vic and 57% online growth).”

And while the broker notes that its growth slowed towards the end of the first quarter, it feels confident that another strong quarter lies ahead.

“Sales momentum has slowed over end of 1Q21 and into 2Q21 to date (6.4% comp, 5.4% ex Victoria, 45% online growth), however we remain confident of the outlook for 2Q21 due to COL and industry feedback suggesting the sector is well placed for a strong Christmas trading period,” it explained.

What about the full year?

Following this strong first quarter, the broker has lifted its full year earnings before interest and tax (EBIT) forecast by 0.7% to $1,897 million. This represents growth of 7.6% year on year.

Looking further ahead, Goldman suspects that its might be hard for Coles to repeat its heroics in FY 2022 and is forecasting flat sales. However, due to its belief that the company’s margins will widen next year, it expects FY 2022’s EBIT to come in 5% higher year on year at $1,997 million.

Goldman explained: “We expect the higher growth rate in FY21 to be offset in FY22, implying no change in sales levels for FY22 except in the Liquor division where we believe Coles’ strategic change has resulted in an improvement in the base sales. Overall, we revise FY22 and FY23 EBIT marginally, by +0.2%.”

I think the broker is spot on and feel Coles would be a great option when the market reopens next week.

More reading

• 5 ASX 200 broker updates after quarterly earnings season
• Why Coles, HUB24, Mesoblast, & Temple & Webster shares are pushing higher
• Today was mixed for the ASX 200, ending 0.1% higher
• These could be the next ASX stocks to unlock value by selling assets
• Beat low interest rates with these 2 ASX dividend shares

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of COLESGROUP DEF SET. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Is the Coles (ASX:COL) share price in the buy zone? appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/35P0il5

The Zoono Group Ltd (ASX: ZNO) share price has surged over 7% this week, highlighting positive investor sentiment. Just yesterday, the company updated the market with an announcement which, at one point, sent the Zoono share price nearly 15% higher to $1.63. This was followed by a slight retrace today with the company’s shares closing the week 7.38% higher at $1.60.

Let’s take a look at what Zoono does and why its shares have surged higher this week.

What does Zoono do?

Zoono is a global biotech company that develops, manufactures and distributes antimicrobial solutions. The company produces sprays, wipes and foams suited for skin care, surface sanitisation, and mould remediation treatments.

Zoono’s products have been designed to work on any surface, killing pathogens such as bacteria, viruses, algae, fungi and mould.

What’s moving the Zoono share price?

Investors have been driving the Zoono share price higher late this week after the company reported it received some positive test results from a series of independent laboratory tests in the United Kingdom.

The first number of trials was conducted on passenger trains servicing UK Rail. In total, 72 ‘hot’ touch areas were tested across 23 trains for any presence of COVID-19, E.coli and staphylococcus. The ‘hot points’ within carriages and driver’s cabs had been treated with Zoono’s Microbe Shield between 8 and 30 days prior to testing.

The results were carried out by GTECH Strategies Limited in collaboration with an independent UKAS accredited test laboratory.

It found no detection of COVID-19 and E.coli in all 72 tests. However, 70 of 72 trials did not find staphylococcus, with 2 tests discovering an extremely low amount, being considered as ‘near sterile’.

In the United Arab Emirates, Dubai Central Laboratory also carried out efficacy and durability tests. The experiment used Zoono Microbe Shield on steel, glass, plastics, tile and carpet with the objective to destroy all pathogens. The results confirmed a 99.9% efficacy against staphylococcus and E.coli. However, when used on wood and rubber, the outcome achieved was above 90% at 30 days.

In addition, trials were completed at Intertek, a global laboratory operating under GLP (the OECD Principles of Good Laboratory Practice). Additionally, Zoono Microbe Shield was found effective against E.coli, Pseudomonas, Staphylococcus, Enterococcus, Listeria and Salmonella.

Other developments

In other positive developments for the Zoono share price, the company advised it has commissioned tests of its alcohol-free hand sanitiser, GermFree24. The study for the hygienic hand rub was carried out in Poland by Lab-Test Laboratorium S.C.

Zoono said that all its products have been backed by over 100 laboratories worldwide proving their efficacy against pathogens. Furthermore, the company said it has helped protect communities from risk of infection through its products being used across buildings, vehicles, aircrafts, homes and hospitals.

More reading

• Why Cleanaway, Crown, Opthea, & Zoono shares are sinking lower today
• Why IDP Education, WiseTech, Zip, & Zoono shares are tumbling lower today
• Why the Zoono (ASX:ZNO) share price is sinking 9% lower 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. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Why the Zoono (ASX:ZNO) share price surged 7% this week appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/3ehaNSk

The S&P/ASX 200 Index (ASX: XJO) has finished down by 0.6% to 5,930 points.

Here are some of the highlights from the ASX today:

AMP Limited (ASX: AMP)

The AMP share price went crazy today, rising around 20% as investors learned of a potential takeover offer.

The ASX 200 company confirmed today that it has received an indicative, non-binding, conditional proposal from Ares Management Corporation to acquire 100% of the shares in AMP.

However, AMP said that the proposal was at a very preliminary stage and warned that there is no certainty that a transaction will eventuate. AMP continues to progress its portfolio review whilst pursuing its three-year transformation strategy.

According to reporting by the Australian Financial Review, the offer is supposedly more than $5 billion.

Western Areas Ltd (ASX: WSA)

The Western Areas share price dropped 17.7% today after the miner downgraded its FY21 production guidance and increased its unit cash cost of production.

The ASX 200 miner’s original production guidance was 19,000 tonnes to 21,000 tonnes of nickel. However, that production guidance has been reduced to 17,000 tonnes to 19,000 tonnes.

It also said that its unit cash cost of production has worsened. Originally it was guidance of a range of A$3.25 per pound to A$3.75 per pound, but the guidance has worsened to a range of A$3.50 per pound to A$4 per pound.

However, the guidance for mine development, capital growth, the Odysseus development and exploration is unchanged.

Western Areas said that the guidance change is due to the inclusion of increased lower grade ore in FY21, following some isolated seismicity encountered in the lower T6 zone of the Flying Fox mine.

Western Areas managing director Dan Lougher said: “Flying Fox has been an exceptional mine over its 15 year life to date, but unfortunately, as it enters its final years there is limited flexibility in the mine plan when unexpected issues occur. While it is disappointing to lower our guidance expectations for FY21, we are continuing to work with our mining contract to reduce operating costs and maximise cashflow generation over Flying Fox’s remaining life.”

Sezzle Inc (ASX: SZL)

Buy now, pay later business Sezzle has released its update for the three months to 30 September 2020.

Sezzle reported that its underlying merchant sales (UMS) grew 231.5% year on year to US$228.2 million. The average monthly UMS went up 231.5% as well to US$76.1 million.  This helped Sezzle’s merchant fees go up by 260.6% year on year to US$13 million. Merchant fees as a percentage of UMS grew by 46 basis points to 5.7%.

The company reported that its active consumers rose 178.1% to 1.79 million. Active merchants grew by 178.3% to 20,890. The active consumer repeat usage percentage rose by 748 basis points to 89%.

Sezzle nearly achieved its annualised run rate goal of US$1 billion of UMS in the quarter, with a run-rate of US$986 million.

The CEO of Sezzle, Charlie Youakin, said: “We are extremely proud of our team and what they have accomplished in 2020, but we are not done. Our product initiatives are merchant pipeline have never been better and the current quarter has gotten off to a solid start. We believe we are well-positioned, as we head into our strongest seasonal months of November and December.”

The Sezzle share price initially went up to $7.08, but it ended lower by 4.5%.

More reading

• Here’s why ASX cannabis shares are falling today
• Investors rejoice as AMP (ASX:AMP) share price rockets 20% on takeover
• Why Western Areas (ASX:WSA) share price is falling off a cliff today
• It’s not just Aussie Millennials driving the Afterpay (ASX:APT) share price to new records
• Why AMP, Fortescue, JB Hi-FI, & ResMed shares are charging higher

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Sezzle Inc. The Motley Fool Australia has recommended Sezzle Inc. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post ASX 200 ends down 0.6%, AMP (ASX:AMP) share price jumps 20% appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2HFXFKG