ASX 200 up 0.8%: Metcash update, tech shares rebound, PointsBet acquisition

Metcash Limited (ASX:MTS) and PointsBet Holdings Ltd (ASX:PBH) shares are making waves on the ASX 200 on Tuesday…

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

At lunch on Tuesday the S&P/ASX 200 Index (ASX: XJO) is on course to record a solid gain. The benchmark index is currently up 0.8% to 6,825.3 points.

Here's what is happening on the market on Tuesday:

Metcash strategy update

The Metcash Limited (ASX: MTS) share price is trading lower today following the release of its strategy update. In addition to its strategy update, the wholesale distributor revealed strong sales momentum for all business segments so far in the second half of 2021. Supermarket, hardware and liquor sales have all experienced double digit growth compared to the prior corresponding period. Another positive is that Metcash has increased its target dividend payout ratio from 60% to 70% of underlying net profit after tax.

Tech shares rebounding

It has been a better day for tech shares such as Appen Ltd (ASX: APX) and Xero Limited (ASX: XRO) on Tuesday. Thanks to the easing of bond yields in the United States, investors have been piling back into the sector again. This led to the tech-heavy Nasdaq index rising over 1% during overnight trade. On the local market, the S&P/ASX All Technology Index (ASX: XTX) has followed its lead and is up 1.2% at the time of writing.

PointsBet announces acquisition

The PointsBet Holdings Ltd (ASX: PBH) share price is pushing higher today after announcing the acquisition of Banach Technology for US$43 million. Banach Technology is a Dublin-based provider of proprietary risk management platforms and quantitative driven trading models. These platforms and models support complex pre-game and in-play betting products across numerous sports, including the four major American sports and international soccer. In-play wagering is expected to represent ~75% of all sports wagering activity in the United States within three years.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Tuesday has been the ARB Corporation Limited (ASX: ARB) share price with a 4% gain. This is despite there being no news out of the 4×4 accessories company. The worst performer has been the Viva Energy Group Ltd (ASX: VEA) share price with a decline of 3% on no news.

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Appen Ltd and Pointsbet Holdings Ltd. The Motley Fool Australia owns shares of Xero. The Motley Fool Australia has recommended ARB Limited and Pointsbet Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

Two men laughing while bouncing on bouncy balls
Share Market News

James Hardie shares jump 17%: Is this the beginning of a recovery we've been waiting for?

The shares have now rebounded from a four-month low in late-March.

Read more »

Cheerful businessman with a mining hat on the table sitting back with his arms behind his head while looking at his laptop's screen.
Broker Notes

What are brokers predicting for BHP shares over the next 12 months?

Have the mining giant's shares reached their peak? Or can they keep climbing? Let's find out.

Read more »

An older man wearing glasses and a pink shirt sits back on his lounge with his hands behind his head and blowing air out of his cheeks.
Share Fallers

Why ANZ, Challenger, Hub24, and Lynas shares are dropping today

These shares are under pressure on Tuesday. But why?

Read more »

A young woman holds her hand to her mouth in surprise as she reads something on her laptop.
Share Market News

4 ASX shares tipped to fly 100% to 125% higher

Brokers rate all of these ASX shares a strong buy.

Read more »

Three guys in shirts and ties give the thumbs down.
Share Market News

3 ASX 200 shares tipped to tumble 10% (or more) in the next 12 months

Here's why the shares are tipped to drop, and by exactly how much.

Read more »

A young woman wearing a red and white striped t-shirt puts her hand to her chin and looks sideways as she wonders whether to buy ASX shares
Broker Notes

Buy, hold, sell: Aristocrat, Lovisa, Bendigo Bank shares

Here's what some experts think.

Read more »

A businesswoman on the phone is shocked as she looks at her watch, she's running out of time.
Broker Notes

Is this ASX 200 share a sell after announcing a $30-40 million EBITA hit?

Morgans has lowered its outlook on Worley shares.

Read more »

Buy, hold, and sell ratings written on signs on a wooden pole.
Broker Notes

Should you buy BHP shares ahead of the miner's production update?

BHP shares could see some big moves after the miner reports its March production results this week.

Read more »