Why Afterpay Touch Group Ltd (ASX:APT) is among 3 stocks at 52-week highs

The overall S&P/ASX 200 has slipped down slightly from its 52-week high on July 9 but these three stocks are making 52-week high records of their own.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The overall S&P/ASX 200 has slipped down slightly from its 52-week high on July 9 when it closed off at 6,286, opening today at 6,258.

But these three stocks are making 52-week high records of their own.

Here's why.

Afterpay Touch Group Ltd (ASX: APT)

Payment gateway company Afterpay Touch Group Ltd shares hit a 52-week high to close off July 10, finishing the trading day with a share price of $10.40 – up a whopping 254% from its $2.93 share price at this time last year.

Afterpay is certainly playing to market demand by offering its "buy now pay later" service for purchasers with significant growth opportunities on the horizon and no signs of a slowdown anytime soon.

So is there still time to buy in?

Goldman Sachs seem to think so, with a $11.15 price target on the stock and while there is certainly some risk involved in a company that works in the credit space, Afterpay appears to have a fairly unstoppable future at least in the medium term.

Efforts are focused on driving global expansion at present with a launch into the US market back in May when Afterpay began transacting with consumer lifestyle brand Urban Outfitters which rakes in US$3 billion in sales across its portfolio.

If Afterpay can impress Urban Outfitters and its customers, opportunities across the US market are substantial for its services.

While the consumer discretionary spending space can be volatile, it's hard to see how Afterpay can go wrong, given it provides for consumers who are seeking layby type options on their payment for products.

Do your research, but don't forget to at least keep this one on your watch list.

Point of sale credit and digital payment services company Zip Co Ltd (ASX: Z1P) could also be one for the radar in this space, with its share price looking to be back on the incline after sharp falls early in the year.

Coca-Cola Amatil Ltd (ASX: CCL)

Fizzy drink manufacturer Coca-Cola Amatil Ltd has struggled with consumers shying away from "unhealthy" products of late, so what's it doing with a share price up at 52-week highs?

Winter weather across Australia seems to have done little to quench the desire of consumers favouring their cold beverages, and this is good news for Coca-Cola, with its shares closing July 10 at $9.59 – up from a late May low of $8.59 and well up from when the stock bottomed out in November 2017 at $7.59.

Macquarie placed an outperform rating on Coca-Cola late last month with an already exceeded price target of $9.26.

If Coca-Cola's resurgence is directly related to the health of the consumer discretionary spending sector some possible small cap performers in the space going forward would include Kathmandu Holdings Ltd (ASX: KMD) and Noni B Limited (ASX: NBL) for investors looking to get in on the ground level.

Nearmap Ltd (ASX: NEA)

Shares in geospatial map technology company Nearmap Ltd have rocketed up 117% from 62c per share at this time last year to land at a 52-week high of $1.35 to close off July 10.

So what's going right inside this $531 million market cap company?

Nearmap reported record portfolio growth for FY18 yesterday with annualised contract value (ACV) growth exceeding guidance and logging a 41% rise as at June 30, 2018.

In this time the company's US portfolio more than doubled reflecting Nearmap's strategy to build its subscription bases in both the US and Australia, underpinned by investment in market-leading technologies to deliver growth.

Nearmap's share price shot up 19% yesterday alone, and if Nearmap can continue to grow its operations, in the US in particular, future growth could be exponential.

Motley Fool contributor Carin Pickworth has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Coca-Cola Amatil Limited. 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.

More on 52-Week Highs

Three satisfied miners with their arms crossed looking at the camera proudly
Resources Shares

Major ASX 200 mining shares hit 52-week highs

BHP, Fortescue, and Rio Tinto shares set new 52-week highs today.

Read more »

Concept image of a businessman riding a bull on an upwards arrow.
52-Week Highs

2 ASX 200 mining stocks smashing new 52-week highs on Thursday

Investors just sent these two ASX 200 mining stocks rocketing to one-year-plus highs. But why?

Read more »

A female sharemarket analyst with red hair and wearing glasses looks at her computer screen watching share price movements.
Materials Shares

ASX lithium shares outperform as ASX 200 tumbles to four-month low

Several ASX lithium shares have hit new 52-week highs amid the broader market tumbling to a four-month low.

Read more »

Concept image of a businessman riding a bull on an upwards arrow.
Materials Shares

6 ASX lithium shares streak to new 52-week highs

Six ASX lithium shares including Pilbara Minerals have reset their 52-week highs due to rising commodity values.

Read more »

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face over these rising Tassal share price
52-Week Highs

Why are Core Lithium shares soaring 27% to a 52-week high today?

Core Lithium shares have new momentum due to higher lithium prices and an update released this week.

Read more »

A young man wearing a black and white striped t-shirt looks surprised.
Materials Shares

IGO share price rips 16% and leads the market today

IGO shares hit a new 52-week high today, as did Pilbara Minerals, Liontown Resources, and Core Lithium.

Read more »

Hands reaching high for a trophy with a sunset in the background.
52-Week Highs

4 ASX 200 stocks rocking new 52-week-plus highs on Thursday

These four ASX 200 stocks just smashed new one-year-plus highs. Here’s why.

Read more »

A beautiful ocean vista is shown with a woman whose back is to the camera holding her arms up in triumph as she stands at the top of a rock feeling thrilled that ASX 200 shares are reaching multi-year high prices today
52-Week Highs

5 ASX 200 stocks smashing 52-week-plus highs on Tuesday

Investors just sent these five ASX 200 stocks soaring to multi-year highs. But why?

Read more »