The S&P/ASX 200 Index (ASX: XJO) was back on form last week and charged notably higher. The benchmark index climbed a total of 153.8 points or 2.6% to end the period at 6057.9 points.
A good number of shares climbed higher with the market. However, a few stood out with particularly strong gains. Here’s why these were the best performers on the ASX 200 last week:
The Afterpay Ltd (ASX: APT) share price was the best performer on the ASX 200 last week with an 18.4% gain. Investors were buying the payments company’s shares thanks partly to a broker note out of Citi. Although its analysts have retained their neutral rating, they have more than doubled their price target to $64.25 from $27.10. The broker made the move after upgrading its earnings estimates materially. This was in response to Afterpay’s impressive growth in the UK and United States and its belief that it will benefit from the acceleration in the shift to online shopping.
The Nearmap Ltd (ASX: NEA) share price wasn’t far behind with a 17.5% gain. A positive broker note released last week could also have played a role in this strong gain. A note out of the Macquarie equities desk reveals that its analysts have retained their outperform rating and lifted their price target to $2.47. Macquarie appears impressed with the aerial imagery and location data technology company’s performance during the pandemic. Nearmap recently confirmed that it is on track to achieve its FY 2020 guidance.
The NEXTDC Ltd (ASX: NXT) share price was a strong performer and jumped 14.6% last week. Investors were buying the data centre operator’s shares after it announced major new contract wins in New South Wales. According to the release, NEXTDC’s contracted commitments at its New South Wales data centre facilities have now increased by approximately 4MW, to more than 36MW. And including expansion options, its data centres in the state are now approaching a sizeable 60MW. This is more than the total capacity of its S1 and S2 data centres.
The Domain Holdings Australia Ltd (ASX: DHG) share price was on form and surged 14.3% higher last week. This was despite there being no news out of the property listings company last week. The Domain share price has now more than doubled in value since dropping to a 52-week low of $1.68 in March.
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James Mickleboro owns shares of NEXTDC Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Nearmap Ltd. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Nearmap Ltd. 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.
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