In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to give back some of yesterday’s gains. At the time of writing, the benchmark index is down 0.25% to 7,473.6 points.
Four ASX shares that are not letting that hold them back are listed below. Here’s why they are charging higher:
Afterpay Ltd (ASX: APT)
The Afterpay share price has jumped a further 12% to $129.02. Investors have been buying the buy now pay later provider’s shares in response to a rise in the Square share price overnight. This is because the takeover proposal will see Afterpay shareholders receive 0.375 Square shares for every Afterpay share they own. As a result, any rise (or fall) in the Square share price will increase (or decrease) the value of the offer. I’ve explained this in more detail here.
Bellevue Gold Ltd (ASX: BGL)
The Bellevue Gold share price is up 2% to $1.10. This follows the release of the gold explorer’s drilling results from its Bellevue Gold Project. These latest results demonstrate the potential for further increases in the resource and mine life beyond its Stage 2 feasibility study.
Pilbara Minerals Ltd (ASX: PLS)
The Pilbara Minerals share price is up 3% to $1.95. Today’s decline may have been driven by a positive broker note out of Macquarie. According to the note, the broker was pleased with the results of the lithium miner’s battery materials exchange (BMX) auction. This led to Macquarie retaining its outperform rating and $2.00 price target on the company’s shares.
Zip Co Ltd (ASX: Z1P)
The Zip share price has stormed 9% higher to $7.89. Investors continue to buy the buy now pay later provider’s after Afterpay’s takeover sparked hopes that Zip might receive an offer as well. Particularly given recent speculation that rival Klarna has been building a position in the company. This morning Citi retained its buy rating and $8.90 price target on the company’s shares. It notes that its Square-Afterpay deal increases the takeover appeal for Zip.