The Motley Fool

The Bubs Australia Ltd share price is up 350% in 12 months

The Bubs Australia Ltd (ASX: BUB) share price was a solid performer on the ASX on Wednesday.

It finished the day approximately 3.5% higher at 76 cents. This means that the goats milk infant formula and baby food company’s shares have gained a remarkable 347% since this time year.

Why have Bubs Australia shares more than quadrupled in value in a year?

Investors have been fighting to get hold of Bubs’ shares in the hope that the company becomes the next A2 Milk Company Ltd (ASX: A2M).

As the company’s products are made with goats milk, investors are betting on its infant formula selling well in a China market that has high levels of lactose intolerance.

While goats milk is still dairy and contains lactose, its lower levels of lactose appear to make it easier for children to consume.

During the last 12 months the company has signed countless distribution agreements with major Australian retailers and e-commerce platforms in China that should give its sales a boost in 2018 and 2019.

And with a market capitalisation of over $250 million, it certainly will need a big lift its sales figures to justify the lofty valuation. In February the company reported half-year gross sales of $3.72 million and a statutory loss before tax of $3.85 million.

Japanese Billionaire’s Prediction Will Give You Goosebumps

When a veritable investing and entrepreneurial genius speaks, it pays to listen.

In fact, he's now preparing a $100B "war chest" to invest entirely in this "terrifying" new technology, which could spell huge profits for investors.

Click here to learn about this technology and how you can profit!

Motley Fool contributor Motley Fool Staff has no position in any stocks mentioned. The Motley Fool Australia owns shares of A2 Milk. 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.

One ASX Stock For An Estimated $US22 Billion Marijuana Market

A little-known ASX company just unlocked what some experts think could be the key to profiting off the coming marijuana boom.

And make no mistake – it is coming. To the tune of an estimated $US22 billion.

Cannabis legalisation is sweeping over North America, and full legalisation arrived in Canada in October 2018.

Here’s the best part: we think there’s one ASX stock that’s uniquely positioned to profit immensely from this explosive new industry… taking savvy investors along for what could be one heck of a ride.

AND, this is the first time The Motley Fool Australia has EVER put a BUY recommendation on a marijuana stock.

Simply click below to learn more on how you can profit from the coming cannabis boom.

Click here to find out more