The Endeavour (ASX:EDV) share price is lifting today

Shares in the drinks company are climbing today, against the broader market trend.

| More on:
Group of friends toast with beers

Image source: Getty Images

The Endeavour Group Ltd (ASX: EDV) share price is trading 3.4% higher at $6.65 so far today.  

By comparison, the broader S&P/ASX 200 Index (ASX: XJO) has tumbled 2.23% since the market open.

The drinks retailer has not released any price-sensitive news that could explain the bullish price action. Let’s take a look at other possible reasons why the Endeavour share price is up today.

What’s fuelling the share price lift?

There are few factors that might contribute to the Endeavour share price performance.

The company was recently added to the ASX 50 Index so it’s possible today’s price action could be a result of institutional interest.

Today’s movement may also reflect a slight market correction after the Endeavour share price has struggled in the past few weeks, likely as a result of COVID-19 lockdowns. Prior to today’s bounce, shares in the drinks company were down more than 9% since the start of the month.

As a result, shares in Endeavour have given back much of its gains after posting positive maiden FY21 results.

How did Endeavour perform in FY21?

Late last month, Endeavour released its full-year results for FY21. The company highlighted a 9.3% increase in group sales to $11.6 billion.

Other highlights included;

  • Group earnings before interest and tax (EBIT) lifting 22.1% to $899 million
  • Group net profit after tax of $445 million
  • Final dividend of 7 cents per share

Endeavour noted that a shift to in-home consumption had fuelled retail sales 9.6% to $10,178 million.

However, the company also acknowledged that its hotel business continued to face challenging conditions due to COVID-related restrictions and associated costs.

Snapshot of the Endeavour share price

Following its demerger from Woolworths Group Ltd (ASX: WOW), Endeavour has become a separately-listed entity.

The company’s businesses comprise bottle shop chains Dan Murphy’s and BWS as well as 300 licensed venues and 12,000 gaming machines.

The Endeavour share price has lifted more than 10% since listing on the ASX in June.

Should you invest $1,000 in Endeavour right now?

Before you consider Endeavour, you'll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Endeavour wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of January 13th 2022

Motley Fool contributor Nikhil Gangaram has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

A laughing woman wearing a bright yellow suit, black glasses and a black hat spins dollar bills out of her hands signifying the big dividends paid by BHP
Share Gainers

Who wants to be a millionaire? If only you’d invested $10,000 in these ASX shares 10 years ago

You won’t believe how much you would have pocketed if you had bought these shares a decade ago.

Read more »

Rising share price chart.
Share Gainers

Why BlueScope, OFX, Pilbara Minerals, and Step One shares are pushing higher

These ASX shares are pushing higher...

Read more »

Man pointing an upward line on a bar graph symbolising a rising share price.
Share Gainers

The Step One share price rocketed 35% today! Here’s why

Step One Clothing shares are on fire today. But is this move as good as it seems?

Read more »

A businessman holds his hand to his wide-open yawning mouth as he closes his eyes and makes a funny face while he gives a wholehearted yawn.
Share Gainers

What I love about these ‘boring’ ASX shares: fundie

What is there to like about these two ASX shares?

Read more »

A beautiful woman holds up one finger with one hand and has her hand on her waist with the other as she smiles widely as though she is very pleased about something.
Share Gainers

Glowing: The Adore Beauty share price is soaring

Adore Beauty shares are soaring right now.

Read more »

Woman looks amazed and shocked as she looks at her laptop.
Materials Shares

Here’s why the Calix share price is leaping 6% on Tuesday

The environmental technology company’s shares are on the rise after a joint announcement with Pilbara Minerals.

Read more »

a man sits at his desk wearing a business shirt and tie and has a hearty laugh at something on his mobile phone.
Share Market News

Why is the Pilbara Minerals share price climbing today?

Investors could be responding well to news out of Pilbara's camp.

Read more »

Technology Shares

Droneshield share price leaps 10% amid strong Ukrainian demand

The company's anti-drone systems are employed by militaries, law enforcement and private enterprises across the world.

Read more »