In early afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is fighting hard to stay in positive territory. At the time of writing, the benchmark index is up slightly to 8,200.5 points.
Four ASX shares that are rising more than most today are listed below. Here's why they are climbing:
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Collins Foods Ltd (ASX: CKF)
The Collins Foods share price is up 1.5% to $8.73. This has been driven by a broker note out of Goldman Sachs this morning. According to the note, the broker has initiated coverage on the KFC restaurant operator's shares with a buy rating and $10.00 price target. It said: "We consider the outlook to be incrementally more positive with our Buy thesis centered on 1) a moderation of cost growth with wages, poultry, electricity and rent growth moderating, while oils and grains have returned to pre-covid levels; 2) improved discretionary spending in Collins' key states (Qld & WA) and potential for increased Digital sales penetration; and 3) Netherlands KFC presence reaching scale and improved KFC Europe margins long-term."
Macmahon Holdings Ltd (ASX: MAH)
The Macmahon share price is up 1.5% to 32 cents. This morning, this mining and civil infrastructure services provider announced that its subsidiary, Decmil, has been awarded the $61 million Marble Bar Road Upgrade Project in Western Australia from HanRoy. This will see it undertake approximately 23km of road construction upgrade works to Main Roads Western Australia standards on Marble Bar Road. Management has also reaffirmed its FY 2025 revenue guidance of $2.4 billion to $2.5 billion. CEO Michael Finnegan said: "I am pleased to see Decmil continue their great start of securing new, strategically aligned work. We look forward to delivering the Marble Bar Road upgrade project and continuing to build our relationship with HanRoy."
Mirvac Group (ASX: MGR)
The Mirvac share price is up 2% to $2.20. This may have been driven by a broker note out of Morgan Stanley this morning. Although the broker has held firm with its equal-weight rating, it has lifted its price target on the property developer's shares to $2.45 (from $2.15). This implies further potential upside of 11% for investors over the next 12 months.
Sigma Healthcare Ltd (ASX: SIG)
The Sigma share price is up a further 5% to $2.00. This is the third-straight day of strong gains for the pharmacy chain operator and wholesaler's shares. Investors have been buying its shares following an update on its proposed acquisition of Chemist Warehouse. Sigma revealed that it has offered to make court-enforceable undertakings to help satisfy competition concerns. In response to the news, ACCC Chair, Gina Cass-Gottlieb, said: "We are now seeking feedback from stakeholders on whether the draft undertaking offered by Sigma may be capable of addressing the competition concerns arising from its proposed acquisition of Chemist Warehouse." It seems that the market believes this could be enough to get the deal approved.
