Although it has had a few wobbles in recent weeks, the S&P/ASX 200 index has been a strong performer in 2019. Since the start of the year the benchmark index has recorded a gain of 21% excluding dividends.
Whilst this is a very strong return, some shares on the index have performed even better. Here's why these 3 ASX 200 shares have doubled in value in 2019:
Afterpay Ltd (ASX: APT)
The Afterpay share price is up a whopping 133% in 2019. Investors have been buying the payments company's shares after another strong performance in FY 2019. This was driven by the increasing popularity of its buy now pay later platform in the massive U.S. market, continued strong growth in the ANZ market, and a stellar start to life in the UK. Pleasingly, its strong form has continued in FY 2020. Afterpay recently revealed that it had a record month in November. Afterpay recorded a massive $1 billion of underlying sales during the month. This represents the highest monthly performance since inception and brought its total underlying sales for the first five months of FY 2020 to $3.7 billion.
EML Payments Ltd (ASX: EML)
The EML Payments share price has been on fire this year, recording a gain of 182% year to date. EML Payments, the latest addition to the ASX 200 index, is a provider of payment technology solutions for payouts, gift incentives and rewards. Investors have been buying its shares thanks to an impressive performance in FY 2019 and a new major acquisition. EML Payments recently announced the $423 million acquisition of Irish firm Prepaid Financial Services. This diversifies its operations to include prepaid payments, digital banking capabilities, and other flexible software solutions to financial and non-financial institutions. This acquisition is expected to be significantly accretive to earnings in the future. In the meantime, excluding the new acquisition, it expects EBITDA growth of 29% to 42% in FY 2020.
Fortescue Metals Group Limited (ASX: FMG)
The Fortescue share price has been a very impressive performer in 2019. Since the start of the year the iron ore producer's shares have rocketed 173% higher. The catalyst for this has of course been the sharp and sustained rise in the price of the steel making ingredient. This has led to Fortescue generating significant free cash flows, which has allowed it to pay down debt and reward shareholders handsomely with dividends. Another positive has been management's focus on improving the grade of its iron ore. This has led to Fortescue benefiting even more from the higher prices.
