Why these 4 ASX shares have gone gangbusters in 2017

The S&P/ASX 200 (Index:^AXJO) (ASX:XJO) may have started 2017 slowly, but it certainly hasn’t been the case for the CSL Limited (ASX: CSL) share price. Here’s why it is one of four shares to have gone gangbusters in 2017.

| More on:

After a series of ups and downs the benchmark S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is higher by just 1% year-to-date, vastly underperforming its international peers.

Whilst the index may not have had the best start to the year, four shares in particular have gone gangbusters in 2017. Here’s why:

The Bega Cheese Ltd (ASX: BGA) share price is up a whopping 41% year-to-date. The rally is largely the result of a positive market reaction to the dairy company’s $460 million acquisition of a number of brands from Mondelēz. Chief among them is the iconic Vegemite brand. Management expects the acquisition to be significantly accretive to earnings, contributing between $40 million and $45 million in EBITDA in the first 12 months. But at 32x trailing earnings I think Bega Cheese’s shares have started to look a little expensive now. In light of this I wouldn’t be a buyer today.

The CSL Limited (ASX: CSL) share price has climbed 20% so far in 2017 thanks largely to a better-than-expected half-year result. For the first six months of FY 2017 the biotherapeutics company delivered a 12% jump in net profit after tax to $806 million. A key driver of the growth was its immunoglobulin product Privigen which saw a 34% jump in sales. Another positive was its Seqirus influenza vaccine segment. As well as posting a 14% increase in sales, the segment made a positive contribution to EBITDA. Despite its rally I believe CSL is still an outstanding buy and hold investment.

The Summit Resources Ltd (Australia) (ASX: SMM) share price has risen an incredible 472% year-to-date. Due to low demand and oversupply, uranium prices hit a 12-year low of US$18 a pound last year. But thanks to increasing demand and a production cut from Kazakhstan-based uranium producer Kazatomprom, prices have recovered and risen sharply in 2017. Fellow uranium company Paladin Energy Ltd (ASX: PDN) has also seen its share price jump. Year-to-date the Paladin Energy share price is up 30%.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

Motley Fool contributor James Mickleboro has no position in any 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 Bruce Jackson.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

The share price of ASX infant products retailer Baby Bunting Group Ltd (ASX:BBN) has been a solid performer so far …

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

A new landmark report by the Intergovernmental Panel on Climate Change (IPCC) was released earlier this week. It provided a …

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest …

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos Limited (ASX: AMS) share price has been on a tear this past week, rising 15% on the back …

Read more »

asx share price competitions represented by businessmen arm wrestling
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

Online furniture retailer Temple & Webster Group Ltd (ASX: TPW) had a breakout year in 2020, moving from relative obscurity …

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

Shares in ASX healthcare company Polynovo Limited (ASX: PNV) almost doubled in price last year. And, despite a shaky start …

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

Investing in other geographic markets has become a popular way to diversify a portfolio. The risks associated with being exposed …

Read more »

person reading news on mobile phone
⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

Despite the News Corporation (ASX: NWS) share price getting a 31% bump between November last year and today, News Corp …

Read more »