ASX 200 rises again, Avita jumps, Shaver Shop sinks

The Avita share price was a top performer as the ASX 200 went up again.

| More on:

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 S&P/ASX 200 Index (ASX: XJO) rose 0.1% to 7,386 points.

Here are some of the highlights from the ASX today:

bull market encapsulated by bull running up a rising stock market price

Image source: Getty Images

AVITA Medical Inc (ASX: AVH)

The Avita share price went up over 12% in reaction to an update about its FY21 fourth quarter.

For the quarter ending 30 June 2021, to date it has seen total revenue of more than the FY21 fourth quarter guidance range of $8.2 million to $8.6 million.

The company said that based on the strength of both RECELL commercial revenue and BARDA related revenue, the company is raising its FY21 fourth quarter guidance to be in the range of $9.5 million to $9.7 million. That consists of between $6 million to $6.2 million of RECELL commercial revenue and $3.5 million of RECELL revenue associated with BARDA (that stands for the Biomedical Advanced Research and Development Authority within the Office of the Assistance Secretary for Preparedness and Response).

This revised RECELL commercial revenue guidance reflects a 55% to 60% increase over the prior year period and 30% to 34% increase over the third quarter of FY21.

Dr Mike Perry, Avita Medical's CEO, said:

As people begin to return to normal activities after the confines of the COVID-19 pandemic, we have seen an increase in burn accidents requiring treatment with the RECELL System in burn centers across the country.

Insurance Australia Group Ltd (ASX: IAG)

The IAG share price increased by more than 1% in response to its Victorian claims update after severe storms and flooding.

The ASX 200 insurance giant said it had received around 4,300 claims as of 15 June 2021, predominately for property damage and expects claims to rise as residents return to their homes to inspect the damage.

IAG said that its net natural perils claim costs up to 31 May 2021 were approximately $660 million, including the net cost of Cyclone Seroja in Western Australia in April 2021.

Following the storms in Victoria and including estimated attritional peril costs in June, IAG estimates its FY21 net natural perils claim costs will be approximately $720 million to $743 million compared to the perils allowance of $658 million for this period and previous guidance of $660 million to $700 million.  

Shaver Shop Group Ltd (ASX: SSG)

The Shaver Shop share price fell more than 8% today after giving an update about its FY21 outlook.

Based on unaudited management accounts to May 2021 and the trading performance to the middle of June 2021, Shaver Shop's board expects the company to generate net profit after tax of $16.75 million to $17.5 million.

Total sales are expected to come in a range of between $211 million to $213 million.

Net cash (no debt) at 30 June 2021 is expected to be between $6 million and $8 million.

Shaver Shop's board said it remains pleased with the underlying trading performance of the business with customer service metrics remaining strong.

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Avita Medical Limited. The Motley Fool Australia has recommended Avita Medical Limited. 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

5 mini houses on a pile of coins.
Opinions

2 ASX shares I'd much rather buy than an investment property

Certain ASX shares can offer exposure to real estate with more income potential.

Read more »

A man holding a cup of coffee puts his thumb up and smiles with a laptop open.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

A man in a business suit rides a graphic image of an arrow that is rebounding on a graph.
Broker Notes

Down 43% this week, are Cochlear shares now the best bargain buy of the year?

A leading analyst believes the historic selloff in Cochlear shares could present a unique buying opportunity.

Read more »

A businessman wears armour and holds a shield and sword.
Share Market News

Nervous investors turn to ASX 200 defensives as global energy shock drags on

ASX investors sought safety in defensive sectors last week.

Read more »

A smiling woman at a hardware shop selects paint colours from a wall display.
Broker Notes

Wesfarmers shares: Buy, hold or sell?

A leading analyst delivers his verdict on Wesfarmers shares.

Read more »

An arrow crashes through the ground as a businessman watches on.
Share Fallers

After falling 43% in a week, are Cochlear shares now a buy?

Is this drop a warning sign?

Read more »

Businessman working and using Digital Tablet new business project finance investment at coffee cafe.
Broker Notes

Buy, hold, sell: Cochlear, CSL, and DroneShield shares

Are these hugely popular shares in the buy zone or not? Let's find out.

Read more »

Man holding out $50 and $100 notes in his hands, symbolising ex dividend.
Share Market News

How much do I need to invest in ASX shares to earn a $500 monthly passive income?

A $500 per month passive income is more achievable than you'd think.

Read more »