Why Catapult, Kingsgate, Light & Wonder, and Reece shares are storming higher today

These shares are having a better day than most on Thursday. But why?

| More on:
Excited group of friends sitting on sofa watching sports on TV and celebrating.

Image source: Getty Images

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

Key points

  • Catapult Sports shares rise 5.5% to $5.35 as Morgans initiates coverage with a buy rating and a $6.25 price target, citing expectations of strong topline growth and scalable platform metrics aligning the company with the 'Rule of 40' club by FY27.
  • Light & Wonder shares increase 5.5% to $151.55 following UBS's reaffirmation of its buy rating and $206.00 price target, driven by industry data showing a strong rise in US gaming revenues in October.
  • Reece shares climb 4% to $12.75 after the plumbing parts company announces a $35 million on-market share buyback, underscoring its commitment to shareholder value and a strong capital allocation strategy.

The S&P/ASX 200 Index (ASX: XJO) has followed Wall Street's lead and is pushing higher again on Thursday. In afternoon trade, the benchmark index is up 0.3% to 8,631.3 points.

Four ASX shares that are rising more than most today are listed below. Here's why they are climbing:

Catapult Sports Ltd (ASX: CAT)

The Catapult Sports share price is up 5.5% to $5.35. This appears to have been driven by the release of a broker note out of Morgans this morning. According to the note, the broker has initiated coverage on the sports performance technology company's shares with a buy rating and $6.25 price target. It said: "We forecast strong topline growth for CAT, estimating a ~20% ACV 3-year CAGR, reaching ~US$180m by FY28. A scalable platform and strong SaaS metrics should see CAT join the 'Rule of 40' club by FY27. We initiate coverage on Catapult Sports (CAT) with a Buy recommendation and a A$6.25 per share price target."

Kingsgate Consolidated Ltd (ASX: KCN)

The Kingsgate Consolidated share price is up 2.5% to $4.22. This morning, this gold miner revealed that it has mutually agreed to terminate arbitration proceedings with the Thai government that were commenced in November 2017. Kingsgate's CEO, Jamie Gibson, said: "This is a historic moment for Kingsgate's investment in the Chatree Mine. I look forward to an era of renewed cooperation with the Thai Government. I believe that the continuance of operations at the Chatree Mine will deliver significant benefits to Kingsgate and its shareholders as well as to the people of Thailand. More generally, I think this development is a strong and positive signal that Thailand is open for business."

Light & Wonder Inc. (ASX: LNW)

The Light & Wonder share price is up 5.5% to $151.55. This may have been driven by a broker note out of UBS. This morning, the broker reaffirmed its buy rating and $206.00 price target on the gaming technology company's shares. It highlights that industry data shows that gaming revenues in the US increased strongly in October.

Reece Ltd (ASX: REH)

The Reece share price is up 4% to $12.75. This morning, this plumbing parts company announced a new $35 million on-market share buyback. The company's chair and CEO, Peter Wilson, said: "We have a well-defined capital allocation framework and continue to take a long-term approach to shareholder value creation. We remain committed to maintaining a strong balance sheet with a conservative leverage ratio to fund future growth."

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Catapult Sports and Light & Wonder Inc. The Motley Fool Australia has positions in and has recommended Catapult Sports. The Motley Fool Australia has recommended Light & Wonder Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Gainers

Fancy font saying top ten surrounded by gold leaf set against a dark background of glittering stars.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a rough start to the week for investors.

Read more »

Beautiful young woman drinking fresh orange juice in kitchen.
Share Gainers

Why Catalyst Metals, Lynas, Polynovo, and St George Mining shares are pushing higher today

These shares are starting the week with a bang. But why?

Read more »

A few gold nullets sit on an old-fashioned gold scale, representing ASX gold shares.
Gold

Guess which surging ASX gold share is leaping another 18% today on high-grade results

Investors are piling into this small-cap ASX gold share today. But why?

Read more »

Concept image of a businessman riding a bull on an upwards arrow.
Share Gainers

4 ASX 200 stocks smashing the benchmark this week

Investors have been bidding up these four ASX 200 stocks this week. But why?

Read more »

A man clenches his fists in excitement as gold coins fall from the sky.
Share Gainers

Why Capstone Copper, Catalyst Metals, DroneShield, and Wildcat shares are rising today

These shares are having a strong finish to the week. But why?

Read more »

A man in a cardboard rocket ship and helmet zooms across the salt flats.
Materials Shares

Guess which surging ASX All Ords lithium share is smashing the benchmark again today

Investors are piling into this surging ASX lithium share again on Friday. But why?

Read more »

Ten happy friends leaping in the air outdoors.
Share Gainers

Here are the top 10 ASX 200 shares today

It was yet another positive day for Australian investors.

Read more »

A woman is excited as she reads the latest rumour on her phone.
Share Gainers

Why BHP, BlueScope, Catalyst Metals, and Ryman shares are storming higher today

These shares are having a better day than most on Thursday. What's going on?

Read more »