The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has had a reasonably good start to the week and finds itself up 0.3% to 5,940 points in afternoon trade.
Four shares which have had even better starts to the week are listed below. Here’s why they have surged higher:
The Bubs Australia Ltd (ASX: BUB) share price is up 3.5% to 15 cents after the infant formula and baby food company announced that it is the first Australian company to directly enter into a merchant agreement with Chinese social commerce application RED. With over 40,000,000 registered users, RED is the largest and fastest growing social commerce application in China.
The Lovisa Holdings Ltd (ASX: LOV) share price has jumped 8.5% to $3.80 after the fashion accessory company provided the market with its full-year guidance. Thanks to a strong second-half, management expects full-year EBIT to be between $38.5 million and $39.5 million. This is a good deal higher than the market consensus of $35.5 million.
The RCR Tomlinson Limited (ASX: RCR) share price is up almost 9% to $3.09 following a positive announcement out of the engineering and infrastructure company. According to the announcement the company has been awarded two contracts, totalling approximately $50 million. Both are with Canadian Solar and will see the company design and construct the 15MW Longreach Solar Farm and the first phase of the 25MW Oakey Solar Farm.
The Stemcell United Ltd (ASX: SCU) share price has rocketed 37.5% to 16.5 cents despite there being no news out of the pot stock. Whilst there are pot stocks on the ASX which I feel could deliver on expectations in the future, at this point in time Stemcell United isn’t one of them. For this reason I would suggest investors avoid the company.
Instead, you could invest in these fast-growing shares instead. I'm tipping each to smash the market this year.
For many, blue chip stocks means stability, profitability and regular dividends, often fully franked..
But knowing which blue chips to buy, and when, can be fraught with danger.
The Motley Fool’s in-house analyst team has poured over thousands of hours worth of proprietary research to bring you the names of "The Motley Fool’s Top 3 Blue Chip Stocks for 2017."
Each one pays a fully franked dividend. Each one has not only grown its profits, but has also grown its dividend. One increased it by a whopping 33%, while another trades on a grossed up (fully franked) dividend yield of almost 7%.
If you’re expecting to see the likes of Commonwealth Bank, Telstra and Wesfarmers shares on this list, you’ll be sorely disappointed. Not only are their dividends growing at a snail’s pace, their profits are under pressure too due to the increasing competitive environment.
The contrast to these “new breed” blue chips couldn’t be greater… especially the very real prospect of significant share price gains, something that’s looking less likely from the usual blue chip suspects.
The names of these Top 3 ASX Blue Chips are included in this specially prepared free report. But you will have to hurry. Depending on demand – and how quickly the share prices of these companies moves – we may be forced to remove this report.
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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.