These stocks often come with increased volatility as many of these companies are pre-profit, awaiting private or government funding, or still developing a product. 

These factors can increase the ups and downs of their stock price. 

However it's also true that some small-cap companies will grow exponentially and become blue-chip stocks down the track. 

So if you are looking for ASX small-caps to add to your watch list this February, here are two with exciting upside thanks to flagship products.

Medical Developments International Ltd (ASX: MVP)

Medical Developments International is a specialist healthcare company with two key operating segments in analgesia and respiratory devices. 

The flagship product, Penthrox ('Green Whistle'), is a self-administered, rapid acting non-opioid analgesic which has been used primarily in the pre-hospital care and emergency setting. 

It is currently used in Australia, Asia and Europe which is an important region for further growth (UK / Ireland, France, Nordic regions and rest of Europe). 

In respiratory devices the core product is the Space Chamber which optimises administration of inhalers in asthma and COPD.

Last week the company released its quarterly activities report. 

Highlights from the report included: 

• MVP reported positive operating cash flow (OCF) of $1.1m ($1.9m PcP) and $0.3m for 1H26 ($0.8m PcP)
• Cash receipts in 2Q26 were $10.5m, up 5% on the PcP
• Cash increased to $16.9, up $0.8m on 1Q26.

In a new report from Bell Potter, the broker said Penthrox continues to be the key driver for the company, with 1H26 volume growth of 26% in Australian hospitals, and 10% in the European market. 

The broker has a price target of $0.84 on this ASX small-cap. 

This indicates an upside of approximately 78%.

Adveritas Ltd (ASX: AV1) 

Adveritas is another exciting small-cap stock to watch this month. 

The company develops software solutions designed to assist with digital advertising. 

It also owns TrafficGuard, which focuses on fraud prevention and campaign optimisation.

Late last month, it released its quarterly update, which included annualised recurring revenue (ARR) ahead of expectations.

Analysis from Bell Potter pointed out that ARR grew $2.1m in Q2 which was similar to the $1.7m in Q1 and $2.6m in Q4 of FY25. 

This marks three consecutive quarters of approximately $2m growth.

This prompted a speculative buy rating from Bell Potter along with a price target of $0.22. 

From yesterday's closing price of $0.12 per share, this indicates an upside of approximately 83%. 

The post 2 ASX small-caps with big upside to target in February appeared first on The Motley Fool Australia.

Pro Medicus Ltd (ASX: PME), Fisher & Paykel Healthcare Corp Ltd (ASX: FPH), and Ansell Ltd (ASX: ANN) are the three picks.

These companies have delivered strong performance and show potential for further growth. Let's see what the experts say.

ASX healthcare stock soars on record FY24 results

Pro Medicus shares have rallied 58% this year and are trading at $151.3 per share at the time of writing.

The health imaging technology company reported a 29.3% jump in revenue to $161.5 million for FY24.

North America led this growth with a 34.4% increase, while Australia saw a solid 5.9% rise. Although European revenue dipped slightly, the overall performance remained robust.

Operating leverage was a standout, with sales growth contributing to operating margins of 69.5%.

These results led to a 29.5% increase in the fully franked final dividend, now at 22 cents per share.

Goldman Sachs is bullish on the ASX healthcare stock and continues to rate it a buy. Prior to Pro Medicus' FY24 numbers, it forecasted a 28% growth in revenues, so the company beat these expectations.

Goldman sees a strong growth period for the company in FY25 as well.

Fisher & Paykel driving to new heights

Fisher & Paykel shares have lifted 34% this year to date and are currently priced at $29.25 per share.

The company has quietly become a top performer amongst fellow ASX healthcare stocks.

For FY24, Fisher & Paykel reported a 10% increase in sales to NZ$1.74 billion, with net profit rising 6% to NZ$264.4 million.

Management said the New Zealand-based company is back on a "trajectory of growth" after FY24, particularly in the respiratory care segment.

Wilsons rates the stock a buy and has a $30 price target. Whilst Fisher & Paykel is trading near this range, it's unclear if Wilsons will update its target.

The healthcare business also sits on Equity Trustees' "shopping list" of high-quality ASX shares with excellent fundamentals.

It is up more than 40% in the past year.

Ansell continues catching the bid

Ansell shares have rallied 9% in the past month and are currently fetching $29.11 apiece. Investors have bid the ASX healthcare stock higher this week after it released its FY24 results.

Despite a 2% drop in sales to $1.62 billion and a similar decline in operating profit, its operating cash flow rose sharply by 126% to $168 million.

This strong cash flow enabled Ansell to pay a full-year unfranked dividend of 38.4 US cents per share.

Ansell's acquisition of KBU from Kimberly-Clark for $638.9 million, completed on 1 July, is also a standout in my view.

Following its FY24 results, consensus estimates now project 13% growth in earnings per share (EPS) to $1.73, according to CommSec.

This is expected to accompany a 12% growth in dividends to 71.8 cents per share.

Meanwhile, consensus also rates the stock a buy, per CommSec. This is made up from six buy recommendations, one hold, and two sell ratings.

If Ansell does hit the EPS estimates, and investors pay the current 22 times price-to-earnings (P/E) multiple, the stock could trade at $38 apiece (22 x $1.73 = $38).

ASX healthcare stocks takeaway

These ASX healthcare stocks could be worth a closer inspection after this earnings season. If the broker targets prove to be correct, it will indeed be an interesting year.

The post Buy Pro Medicus and these ASX healthcare stocks now appeared first on The Motley Fool Australia.

At Monday's close, less than five trading days into the New Year, all of these ASX shares had already gained more than 20% since the opening bell on 2 January.

To put that in some context, the All Ordinaries Index (ASX: XAO) is down 1.95% over that same period.

Though take note, most of these companies are quite small, and investing in microcap stocks comes with added risks, including significant volatility.

So, which ASX shares are shooting the lights out?

I'm glad you asked!

Four ASX shares rocketing higher in the New Year

Starting with the 'laggard', we have 3D geospatial data technology company Pointerra Ltd (ASX: 3DP).

The Pointerra share price is up 22.73% so far in 2024, closing yesterday trading for 5.4 cents per share.

There have been no price-sensitive releases from this ASX share since the company's quarterly update on 31 October. But it's worth noting that even with this year's big boost, the Pointerra share price is still down 71.58% over 12 months.

So perhaps we're seeing some bargain hunting here.

Next up, we have Cooper Energy Ltd (ASX: COE).

The ASX All Ords energy stock is up 23.08% in 2024, with shares swapping hands for 16 cents apiece at Monday's close.

Investor enthusiasm for the ASX share looks to have gotten a lift on Friday when the company reported strong results from its Orbost gas processing plant improvement project.

Cooper Energy said that the production rate at its plant reached record levels of 67.3 terajoules per day (TJ/d). Management also said there were numerous occasions over the past two weeks where instantaneous rates exceeded the plant's nameplate capacity of 68 TJ/d.

The Cooper Energy share price closed up 10.3% on the day.

Which brings us to ASX healthcare stock Medical Developments International Ltd (ASX: MVP).

The Medical Developments share price is up 32.24% in 2024, with shares closing yesterday trading for $1.05 apiece.

As with Pointerra, it's been a long time since this ASX share released any price-sensitive announcements. In this case, all the way back on 31 August when the company released its full-year financial results.

But with the Medical Developments share price having sunk 49% in 2023, investors may also be looking for potential bargains here.

Rounding out the list, up 19.35% gain so far in 2024, is telehealth company Doctor Care Anywhere Group PLC (ASX: DOC), closing Monday trading for 7.4 cents per share.

That sees this microcap ASX share up 42.31% over the past 12 months.

Investor enthusiasm looks to have gotten a boost on Thursday following the company's extraordinary general meeting (EGM).

This saw management announce the refinancing of its debt obligations. They noted the refinancing "frees up the company's resources to be invested in the operations and growth of the business".

The ASX share closed up 15.2% on Thursday and gained another 10.5% on Friday.

The post These 4 small ASX shares are already up more than 19% in 2024! appeared first on The Motley Fool Australia.

Here's what the broker is saying about them:

Ai-Media Technologies Ltd (ASX: AIM)

Bell Potter has a buy rating and 55 cent price target on this captioning, transcription, and translation services provider. This price target implies a potential upside of 93% for investors over the next 12 months.

Commenting on its FY 2023 results, the broker said:

AIM has delivered a solid FY23 with revenue +3% to $61.8m (BPe $60.8m) largely underpinned by the scaling of LEXI solutions (Tech revenue +33% to $24.0m) with the continued transition towards higher margin SaaS revenue driving gross margins to 60% from 55% in FY22. EBITDA was broadly in line with our forecast (+201% to $3.3m) demonstrating improved operating leverage however, NPAT of -$4.0m (+18%) was a miss (BPe -$1.9m) driven by an income tax expense vs. our forecast benefit.

One of the reasons the broker is bullish on this small-cap ASX share is its large market opportunity. It adds:

In 2020, the speech-to-text segment of the language services market was forecast to be US$11.8 billion, increasing to US$14.7 billion in 2022. Key industry drivers include: growth in media consumption, higher levels of engagement with captions and increased regulatory requirements for localisation.

Medical Developments International Ltd (ASX: MVP)

Another small-cap ASX share that Bell Potter rates as a buy is this medical device company. Its analysts have a speculative buy rating and a $1.60 price target on its shares. This implies a potential upside of 82% for investors over the next 12 months.

The broker sees a big opportunity for the company to grow its Penthrox offering in the emergency department (ED) segment of the market. It explains:

Rapid onset, non-opioid mechanism and ease of administration provides significant advantage in the overburdened ED environment. Whilst there is currently limited penetration within the ED setting, this growth may be accelerated by the newly appointed sales team and its engagement with clinicians and hospital departments.

The post Buy these small cap ASX shares in September: Bell Potter appeared first on The Motley Fool Australia.

Medical Developments shares closed yesterday at $1.85 and are currently trading for $1.93.

The ASX healthcare company, focused on emergency pain relief and respiratory products, released its full-year results for the 12 months ending 30 June (FY22) this morning.

Here are the highlights.

Medical Developments share price gains on revenue boost

• Underlying revenue of $22.4 million, up 37% from FY21
• Underlying earnings before interest and taxes (EBIT) came in at a loss of $14.7 million compared to a $10.1 million EBIT loss the prior year
• Net loss after tax of $12.4 million, a slight improvement on the $12.2 million loss from FY21
• No dividend declared.

What else happened during the year?

Medical Developments was able to lift its FY22 revenue despite ongoing disruption to sales from COVID restrictions throughout most of the 12 months. Those restrictions hit sales particularly hard in France, where the company is targeting significant growth.

Management said the fall in underlying EBIT, down $4.6 million from FY21, reflected that it's currently in the investment phase of its growth strategy.

As at 30 June the company had $20.4 million in cash. Adding in the $28.5 million proceeds it received from the capital raising this month, it reported a current proforma cash position of $49 million.

Revenue from Medical Developments' pain medication, Penthrox, was up 29% from FY21, driven by higher volumes. The company is working to accelerate sales of Penthrox in global markets, establishing a European regional team and an in-market sales team in France.

It also signed a distribution agreement with Paladin Labs in Canada, with supply to commence in FY23.

And in the United States, the Food and Drug Administration (FDA) lifted its clinical hold on Penthrox unconditionally, opening the door to commencing the Phase III study.

What did management say?

Commenting on the results that look to be lifting the Medical Developments share price today, CEO Brent MacGregor said:

We have delivered strong revenue growth against a challenging backdrop and have made significant progress in transitioning the Company to support direct sales in key markets, including building the leadership and functional capability to deliver our growth aspirations…

Our earnings reflect the investments we are making to build capability to execute our strategy, including a direct sales team in France, and enhanced leadership and functional teams. We will deliver leverage from these investments as we drive penetration and increase volumes.

What's next?

While not giving specific guidance, Medical Developments said it expects to deliver "strong revenue growth" in FY23. It aims to achieve this with significant growth in the French market along with growth in its respiratory segment driven by demand in the US.

"We remain confident that our pivot to direct sales in key markets will accelerate the growth of Penthrox and deliver significant long-term shareholder value," MacGregor said.

Medical Developments share price snapshot

Despite today's lift and a big run higher in June, the Medical Developments share price remains down 61% in 2022. That compares to a year-to-date loss of 7% posted by the All Ordinaries Index (ASX: XAO).

The post Medical Developments share price leaps 5% on FY22 revenue boost appeared first on The Motley Fool Australia.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are falling:

Alliance Aviation Services Ltd (ASX: AQZ)

The Alliance share price is down almost 5% to $3.43. This follows the release of a fleet update by the airline operator this morning. Alliance has concluded a review on the Fokker 50 fleet and determined that customers overwhelmingly prefer jet aircraft rather than Fokker 50s on their charter services. As a result, the company will retire early and sell the turboprop fleet. This will result in a non-cash accounting write down of $12.1 million.

Aurizon Holdings Ltd (ASX: AZJ)

The Aurizon share price is down 3% to $3.91. This morning the rail freight operator released its full year results. Aurizon reported a 2% decline in net profit after tax to $525 million and a 24% decline in its final dividend to 10.9 cents per share.

Medical Developments International Ltd (ASX: MVP)

The Medical Developments International share price has sunk 18% to $1.96. This follows the completion of the healthcare company's institutional placement this morning. Medical Developments International raised a total of $20 million. These funds were raised at a sizeable discount of $2.00 per new share. The company will now seek to raise $10 million from retail investors.

Suncorp Group Ltd (ASX: SUN)

The Suncorp share price is down 4% to $11.14. Investors have been selling this insurance giant's shares after its FY 2022 results fell short of expectations. Suncorp reported a 34% decline in net profit after tax to $681 million and declared a final dividend of 17 cents per share. This compares to consensus estimates of $699 million and 23 cents per share, respectively.

The post Why Alliance, Aurizon, MVP, and Suncorp shares are dropping today appeared first on The Motley Fool Australia.

At the time of writing, the share trades 17% lower at $1.99 following the release of a company announcement.

What did Medical Developments announce?

The company advised it has successfully completed the institutional components of its planned fully-underwritten $30 million capital raising.

The 1 for 9.5 pro-rata entitlement offer raised $5 million in tranches of an institutional placement and entitlement offer. The company reported good support from existing shareholders.

Meanwhile, the underwritten placement raised approximately $15 million, with a total of 7.5 million new shares issued.

Medical Developments announced the funding round last week. It plans to put the funds towards the company's expansion into Europe, the Australian ambulance sector, and investment directly into the business.

It now intends to raise a further $10 million through a retail entitlement offer. The offer will open on 11 August and run until 25 August 2022.

Speaking on the announcement, Medical Developments chair Gordon Naylor said:

I would like to thank our shareholders for their support and welcome our new investors onto the MVP share register. Their strong funding support will enable our investment to continue executing on our European and Australian growth strategies.

Further developments will likely be released closer to 25 August when the retail entitlement offer is set to close.

In the last 12 months, the Medical Developments share price is down more than 52%, and 60% this year to date.

The post Here's why the Medical Developments share price is sinking 17% on Monday appeared first on The Motley Fool Australia.

The ASX granted the trading pause before market open. Prior to being put into the trading halt, the last bid for the Medical Developments share price was $2.40 apiece.

What was announced?

Medical Developments advised that it will complete a fully underwritten capital raising of $30 million.

This will be comprised of a $15 million placement and a $15 million pro rata accelerated non-renounceable entitlement offer.

It hopes to achieve a cash balance of $49 million post offer to fund three core areas. Per the announcement:

Post transaction MVP's cash balance will be A$49m which will fund:

– continuing execution of the Company's direct sales strategy in the large European
market

– expansion of the Australian business into the emergency sector and further growth in
the ambulance sector

– further investment in business capability to enable global growth

The 1 for 9.5 pro-rata accelerated non-renounceable entitlement offer seeks to raise $15 million. It comes with 1 attaching option to acquire 1 fully paid ordinary share for every 2.5 new shares
issued.

Whereas the placement is targeted towards sophisticated investors with 1 option for every 2.5 new shares issued.

Speaking on the announcement, chairman Gordon Naylor said the company was "pleased with [its] strong revenue growth in FY22and expect this to continue into FY23".

"With a strong funding position following the capital raising, we look forward to investing to continue to deliver on our growth strategy."

The Medical Developments share price is down more than 42% this year to date.

The post Medical Developments share price halted amid 'significant near-term opportunities' appeared first on The Motley Fool Australia.

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

Core Lithium Ltd (ASX: CXO)

The Core Lithium share price has jumped 17% to 96.5 cents. Investors have been bidding the lithium developer's shares higher today after it announced a binding agreement with auto giant Tesla. According to the release, the agreement is for the supply of 110,000 tonnes of lithium spodumene concentrate across a four-year period.

Medical Developments International Ltd (ASX: MVP)

The Medical Developments International share price has rocketed 27% higher to $4.35. Investors have been buying the medical device company's shares after it revealed that the US Food and Drug Administration (FDA) has unconditionally lifted the agency's clinical hold on its Penthrox (aka the green whistle) product. This means the company can now start to plan a phase 3 trial in the US.

Rio Tinto Limited (ASX: RIO)

The Rio Tinto share price is up 4.5% to $123.20. This follows a strong night of trade for commodity prices. For example, according to CommSec, the spot iron ore price rose 3.8% to US$144.45 per tonne overnight. This bodes well for Rio Tinto's performance and its cash flow generation in FY 2022.

South32 Ltd (ASX: S32)

The South32 share price is up 4.5% to $4.96. Once again, this appears to have been driven by rising commodity prices. According to CommSec, the aluminium price climbed 3.3% overnight to US$3,501 per tonne. In addition, this morning Goldman Sachs retained its conviction buy rating and lifted its price target to $5.60.

The post Why Core Lithium, MVP, Rio Tinto, and South32 shares are rising today appeared first on The Motley Fool Australia.

In morning trade, the medical device company's shares are up a massive 32% to $4.50.

Why is the Medical Developments International share price shooting higher?

The Medical Developments International share price returned to trade this morning following the release of an announcement relating to its US aspirations for the Penthrox (aka the green whistle) product.

According to the release, the US Food and Drug Administration (FDA) has unconditionally lifted the agency's clinical hold on Penthrox.

As a result, this means that Medical Developments International can immediately begin preparing for its Phase III US clinical trial.

The release explains that the trial will be conducted on a targeted trauma and associated pain patient group and is expected to run for two years. The company intends to commence recruitment for the trial in late 2022. This means a long-awaited US launch is now a possibility in the coming years.

Management commentary

Medical Developments International's CEO, Brent MacGregor, was delighted with the news.

He said: "We are thrilled with this news which allows us to move forward quickly with preparations for our clinical trial. After years of hard work, our team is buoyed by the prospect of bringing the many benefits of Penthrox to the US market. This will strongly complement our growing Penthrox success in Europe, and fully supports our further investment in the product."

This sentiment was echoed by the company's Chair, Gordon Naylor.

He commented: "This news is important as it brings Penthrox a step closer to licensure in the US market and because the FDA is seen as a global regulatory leader. Our renewed focus on the core business continues to yield results."

The post Why the Medical Developments International (ASX:MVP) share price is rocketing 32% higher appeared first on The Motley Fool Australia.

This follows the release of the healthcare company's half year results after the market close.

Medical Developments International share price on watch after big loss

• Revenue down 23% to $9.865 million
• Net loss after tax widened from $1.1 million to $7.4 million
• Cash and cash equivalents of $28.3 million

What happened during the first half?

For the six months ended 31 December, Medical Developments International reported a 23% decline in revenue to $9.865 million. This decline was entirely due to $6.4 million in non-recurring contract income recorded during the prior corresponding period. This overshadowed a 55% increase in core sales, supported by a 131% jump in Australian Penthrox sales.

On the bottom line, Medical Developments International generated a net loss after tax of $7.4 million, compared to a loss of $1.1 million a year earlier. Though, after adjusting for non-operating items, the company's loss was comparable to the prior period.

No dividend was declared for the half once again.

Management commentary

Medical Developments International's Chair, Gordon Naylor, was pleased with the progress the company made during the half.

He said: "I continue to be pleased with the progress being made by Brent and his leadership team to reshape and focus MVP. It is especially encouraging to see early signs that the approach is working. Despite the pandemic challenges, Penthrox sales growth is strong in Europe, our primary growth corridor over the next few years. We're also seeing solid underlying growth in Australian sales and our US respiratory franchise."

"Our renewed focus has meant that we have taken formal decisions to cease further development of continuous flow processes for third parties and to exit the Veterinary segment, allowing our skilled resources to be applied to the core pain segment."

"In another positive development, our next generation Penthrox delivery device ('Selfie') has reached the milestone of formal project approval. Our aim is for Selfie to propel further future business growth. I thank Brent and the MVP team who have been through a challenging time. The challenges aren't over, but I am confident that the company is heading in the right direction," Mr Naylor added.

No guidance has been provided for the remainder of FY 2022.

The post Medical Developments International (ASX:MVP) share price on watch as losses widen appeared first on The Motley Fool Australia.

The company hasn't released any news for nearly a fortnight. However, the last time the market heard from Medical Developments, it shared dire news.

Right now, the Medical Developments share price is $3.25, 2.99% lower than its previous close. It marks a new 12-month record low.

Additionally, Medical Developments was dropped from the S&P/ASX 300 Index (ASX: XKO) on Monday night.

Let's take a closer look at the latest from the specialised healthcare company.

Medical Developments struggles on the ASX

The last 2 weeks have been tough for the Medical Developments share price.

First off, the company released its earnings for financial year 2021 (FY21), sending its stock plummeting.

Medical Developments reported it had ended FY21 with a $12.6 million loss. For comparison, it reported a net profit after tax of $379,000 for FY20.

However, the company's revenue increased by 12.1% to 25.6 million in FY21.

Medical Developments also provided a promising outlook for FY22, stating it's looking forward to seeing strong sales growth for the year ending 30 June 2022.

Since the company released its FY21 results, Medical Development's shares have fallen 18.6%.

More recently, the company was dropped from S&P Dow Jones Indices' S&P/ASX 300 Index after Monday's close.

Following the company's removal from the index, Medical Developments' stock fell by 3% on Tuesday.

Medical Developments share price snapshot

Today's fall included, the Medical Developments share price has dropped more than half its value in 2021.

It is currently 51% lower than it was at the start of this year. It is also 41% lower than it was this time last year.

The company has a market capitalisation of around $233 million.

The post Medical Developments (ASX:MVP) share price hits new 52 week low appeared first on The Motley Fool Australia.

At the time of writing, shares in the company are trading for $3.93 – down 2.48%. The ASX All Ordinaries Index (ASX: XAO), meanwhile, is 0.48% higher.

Let's take a closer look at today's announcement.

Medical Developments share price slumps despite 27% gross profit jump

• Revenue increased 12.1% on the prior corresponding period (pcp) to $25.6 million and gross profit leaped 27.4% to $19.1 million.
• A net profit after tax (NPAT) of $379,000 in FY20 turned into a $12.6 million loss for the period. This was driven mostly by a $9.6 million rise in administration expenses and a new $8.9 million impairment expense.
• Net cash outflow from operating activities of $8.9 million.
• Basic loss per share of 18.4 cents. In the pcp it was a gain of 0.58 cents per share.
• No full-year dividend was paid, as was the case in FY20.

What happened in FY21 for Medical Developments

The first significant announcement of Medical Developments in FY21 was the announcement of its expansion into Europe. The Medical Developments share price jumped 14% on the news at the time. Chair David Williams called the news a "turning point" for the company.

In October, Medical Developments appointed Brent McGregor as CEO of the company. He previously worked for CSL Limited (ASX: CSL).

The company also acquired the distribution rights to its product in Australia in the financial year and implemented a capital raising scheme.

Medical Developments also said the COVID pandemic affected sales of its pain relief and respiratory products. This was because fewer people were out and about (and therefore getting injured) and there was less cold and flu in the community due to border restrictions.

What did management say?

McGregor gave the following comments on today's results.

I am as confident as I was in November in the potential of MVP. Promising work has continued on our next generation product ("Selfie") and we are beginning to think of other innovations to support strategic sales growth.

Finally, I acknowledge the resilience and commitment of the (now international) MVP team who have worked extraordinarily hard in a difficult and uncertain time to maintain the supply of our important products to patients.

What's next for Medical Developments

Looking forward, Medical Developments anticipates "strong sales growth" in FY22. It says it will be driven by its expanding European presence and a "renewed focus" on the Australian market.

More updates will be provided at the October AGM.  Despite this outlook, the Medical Developments share price is slipping today.

Medical Developments share price snapshot

Over the past 12 months, the Medical Developments share price has decreased 34.2%. Year-to-date, it is down an even greater 40.8%.

Medical Developments has a market capitalisation of $287 million.

The post Medical Developments (ASX:MVP) share price falls on $13 million loss appeared first on The Motley Fool Australia.

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

Buddy Technologies Ltd (ASX: BUD)

The Buddy Technologies share price has crashed 42% lower to 2.5 cents. This morning the embattled smart device company announced firm commitments for a placement to institutional, professional and sophisticated investors to raise $6.5 million before costs. These funds are to be raised at 2.5 cents per new share, representing a 42% discount to its last close price. The company will now seek to raise a further $10 million at the same price through an entitlement offer. Though, it is worth noting that investors can currently buy shares for the same price on-market.

Evolution Mining Ltd (ASX: EVN)

The Evolution share price has fallen 6% to $4.65. Investors have been selling the gold miner's shares following the release of an update on its production in FY 2021. According to the release, Evolution's production came in at 681,000 ounces with an all-in sustaining cost of A$1,215 per ounce in FY 2021. Although this was in line with its original guidance, it fell short of the upgraded guidance given in April of 695,000 to 710,000 ounces.

Medical Developments International Ltd (ASX: MVP)

The Medical Developments International share price is down 5% to $4.16. This follows the release of an update on a balance sheet review. Following the review, the company expects to recognise a non-cash charge of $7.5 million to $8.5 million after tax in FY 2021. This relates to its respiratory business, which has been adversely impacted in FY 2021 by the COVID-19 pandemic. As a result, the company expects to post a loss after tax of $11.7 million to $13.7 million for the year.

Whitefield Limited Fully (ASX: WHF)

The Whitefield share price is down 7% to $5.80. This follows the completion of the investment company's placement this morning. Whitefield raised $50 million via a placement to sophisticated and professional investors at $5.56 per share. This represents a discount of 10.8% to its last close price. The proceeds will be invested in a diversified portfolio of ASX listed equities, cash, or cash equivalents. This in line with its investment objectives and strategy.

The post Why Buddy, Evolution, Medical Dev International, & Whitefield are dropping appeared first on The Motley Fool Australia.

At the time of writing, the medical device company's shares are down 8% to a 52-week low of $4.03.

This means the Medical Developments International share price is now down a very disappointing 40% in 2021.

Why is the Medical Developments International share price under pressure?

Investors have been selling down the Medical Developments International share price this morning following the release of an update on a balance sheet review.

According to the release, following its annual asset impairment review, the company expects to recognise a non-cash charge of $7.5 million to $8.5 million after tax in FY 2021.

Management advised that this charge relates to its respiratory business, which has been adversely impacted in FY 2021 by the COVID-19 pandemic. This has moderated its growth outlook, resulting in an impairment of the associated intangible assets.

While this is disappointing, management advised that it remains convinced that its Flow technology will deliver long-term value beyond the manufacture of Penthrox. Though, it acknowledges that it has failed to unlock this value at this point. Nevertheless, it will continue to pursue licensing and other opportunities for the technology.

One positive, though, is that the review strongly supported the carrying value of its key Penthrox related assets.

What impact will this have?

The release explains that based on its preliminary unaudited accounts, the company was expecting to post a loss after tax of $4.2 million to $5.2 million pre-impairment.

As a result, this will increase its loss after tax to a range of $11.7 million to $13.7 million for the 12 months.

Medical Developments International's CEO, Brent MacGregor, remains positive on the future. He commented: "Since taking the role of CEO in November 2020, we have undertaken an extensive review of all aspects of the business to lay the foundation for future growth. Our European Penthrox market access strategy is now in place alongside a range of structural changes to support our growth aspirations. I am enthused about the opportunity ahead, and our ability to deliver on this opportunity."

This sentiment was echoed by the company's Chair, Gordon Naylor. He said: "I continue to be pleased with our progress. We are only a few months into the turnaround of the Company and our evaluation of the business is largely complete."

The post Why the Medical Developments International (ASX:MVP) share price is sinking 8% today appeared first on The Motley Fool Australia.

A number of shares have reported meaningful insider buying this month. Here are a couple which have caught my eye:

Medical Developments International Ltd (ASX: MVP)

According to a change of director's interest notice, one of this medical device company's directors has been buying shares this week.

The notice reveals that its new non-executive director, Mary Sontrop, bought a total of 18,630 shares through an on-market trade on Monday. Ms Sontrop paid an average of $5.3706 per share, which equates to a total consideration of ~$100,000.

Ms Sontrop has moved quickly to align her interests with shareholders. She was only appointed as a Non-Executive Director last week. The new director has extensive international experience in the biopharmaceutical sector across manufacturing operations, quality, and business integration. During her 28 years with CSL Limited (ASX: CSL), she was an integral part of CSL's globalisation through a series of major acquisitions.

Interestingly, this is just the latest in a number of former CSL executives to join the company. Late last year ex-CSL execs Brent MacGregor and Gordon Naylor joined as CEO and Chairman, respectively.

Sydney Airport Holdings Pty Ltd (ASX: SYD)

A change of director's interest notice reveals that one of this airport operator's directors almost doubled their holding last week. According to the notice, non-executive director Abigail Cleland picked up 17,070 shares through an on-market trade on Thursday of last week.

The release reveals that Cleland paid an average of $5.83 per share, which equates to a total consideration of ~$99,500. This lifted her holding to a total of 34,983 shares.

With the Sydney Airport share price still down 21% from its 52-week high, it appears as though this director sees value in its shares.

Once broker that would agree is Goldman Sachs. It currently has a buy rating and $6.73 price target on Sydney Airport's shares.

The post Insiders have been buying Sydney Airport (ASX:SYD) and this ASX share appeared first on The Motley Fool Australia.

In afternoon trade, the medical device company's shares are up 7% to $5.37.

Why is the Medical Developments International share price charging higher?

Investors have been buying Medical Developments International shares on Monday following the release of a roadshow presentation.

Within the presentation, the company acknowledged that current results are challenging because of COVID-19 but notes that it is investing for the future.

In respect to its results, Medical Developments International recently posted a sharp reduction in profit during the first half of FY 2021.

This was driven partly by lower sales of Penthrox, also known as the green whistle, due to COVID-19 causing a reduction in trauma-related events.

Positively, management is anticipating a rebound in sales in the second half. This is due to the easing of COVID-19 restrictions and increased community movement.

What about the future?

The company also revealed that a number of initiatives are currently in-flight.

This includes the analysis of European market access routes to growth and an organisational review to position the company for rapid growth.

In respect to Europe, management notes that there are encouraging early signs of growth in Europe. This includes, in some cases, building from the ground level after almost two years of partner inactivity.

It is also targeting new European country launches in key markets in 2021, along with potential new partnerships.

Longer term opportunities

The company also provided an update on its longer term opportunities.

It notes that it had a positive exchange with the US FDA at its Type-C meeting in January. It is now awaiting the final post-meeting note regarding its path forward in the lucrative market.

In addition to this, a phase one Pharmaco-Kinetic study in China will begin to enrol patients in the third quarter of 2021.

The company also has phase three Trauma and Procedural studies in China that are planned to commence in the not so distant future.

And finally, Medical Developments International is continuing with the CSIRO to develop alternative manufacturing methods for generic active pharmaceutical ingredients (APIs) utilising its continuous flow platform technology.

It advised that advancements have been made in late-stage Lidocaine scale-up development. The company plans to advance four additional APIs into scale-up phase during 2021.

The post The Medical Developments International (ASX:MVP) share price is jumping 7% today appeared first on The Motley Fool Australia.

The healthcare company's shares closed the day a sizeable 5% higher at $7.18.

This means the Medical Developments International share price is now up 35% since the start of November.

Why did the Medical Developments International share price storm higher?

As well as getting a boost from improving investor sentiment, the Medical Developments International share price was given a lift today from the release of an announcement relating to its capital raising.

In December, the company announced a $30 million capital raising. These funds were to be used to accelerate the commercialisation of its Penthrox "green whistle" product in Europe, to strengthen the depth and breadth of its team, and to complete clinical and other studies.

Its commercialisation strategy is being led by two new appointments from biotech giant CSL Limited (ASX: CSL) – Gordon Naylor (incoming Chairman) and Brent MacGregor (CEO).

Medical Developments International's capital raising comprised a $25 million institutional placement and a $5 million share purchase plan. Both were being undertaken at $6.50 per new share, which represented an 8.5% discount to its last close price at the time of announcement.

The institutional placement successfully completed in December and the share purchase plan was finalised today. However, due to strong demand for the latter, the company has raised more than it set out to do.

According to its release, the company received applications totalling $11.768 million from eligible shareholders. In light of this, it has elected to accept the oversubscribed amount, bringing its capital raising to a total of approximately $36.8 million.

This means approximately 1,810,412 new shares will be issued on 27 January 2021, representing approximately 2.61% of its shares on issue.

With the Medical Developments International share price closing the day at $7.14, those new shares are already in the money by just under 10%.

The post Why the Medical Developments International (ASX:MVP) share price jumped 5% higher appeared first on The Motley Fool Australia.

Four shares that have failed to follow the market higher today are listed below. Here's why they are dropping lower:

Emerge Gaming Ltd (ASX: EM1)

The Emerge Gaming share price is down 9% to 9 cents. Investors have been selling the eSports and gaming company's shares after it provided another subscriber update for its MIGGSTER platform. Emerge Gaming has now surpassed 50,000 paid subscribers, with the majority on annual plans. However, this still represents only a fraction of the 6 million+ pre-registrations the company received.

Flight Centre Travel Group Ltd (ASX: FLT)

The Flight Centre share price is down 4% to $16.14. A number of travel shares have come under pressure today, possibly due to profit taking after some strong gains recently. Also weighing on Flight Centre's shares is news that it has been dumped out of the ASX 100 index at the quarterly rebalance.

Medical Developments International Ltd (ASX: MVP)

The Medical Developments International share price is down 7% to $6.60. This decline has been driven by the completion of a capital raising. The healthcare company has raised approximately $25 million via a placement to new and existing investors in Australia and internationally. It raised the funds at an 8.5% discount to its last close price of $6.50 per new share. The proceeds will be used to support the commercialisation of its Penthrox product in Europe.

Tyro Payments Ltd (ASX: TYR)

The Tyro share price has fallen 4% to $3.31. This morning the payments company released a trading update which revealed that transaction volumes are up 18% month to date on a same day on day basis. While this is solid growth, it is still trailing its pre-COVID growth rates.

The post Why Emerge Gaming, Flight Centre, Medical Dev International, & Tyro shares are dropping lower appeared first on The Motley Fool Australia.

In early trade the healthcare company's shares were down as much as 8.5% to $6.51.

The Medical Developments International share price has rebounded a touch since then but is still down 7% to $6.61 at the time of writing.

Why is the Medical Developments International share price sinking lower?

The Medical Developments International share price has come under pressure today after announcing the successful completion of a capital raising.

According to the release, the company has raised approximately $25 million via a placement which was supported by new and existing investors in Australia and internationally. It raised the funds at an 8.5% discount to its last close price of $6.50 per new share.

Following the offer, Medical Developments International will have pro forma net cash of approximately $44.9 million.

The proceeds will be used primarily to accelerate the commercialisation of its Penthrox product in the European market, to strengthen the depth and breadth of the management team, and to complete clinical and other studies.

The company's commercialisation strategy will be led by former CSL Limited (ASX: CSL) and Seqirus executives – incoming Chairman Gordon Naylor and CEO Brent MacGregor.

Similarities with CSL.

Medical Developments International's incoming Chairman, Gordon Naylor, believes there are similarities between the company and CSL.

He commented: "There are parallels between MVP and my former employer CSL in two ways; firstly around Seqirus and what we achieved there in a short period of time. That business was driven from generating an annual loss of $250m to being a profitable high growth market leader within 3 years. Secondly, I am proud to have been part of the internationalisation of CSL from domestic roots to the global leader that the company is today."

"For businesses like MVP which have experienced success in the local and relatively small Australian marketplace there is transition risk when expanding abroad into diverse international markets. The experience that MVP's new CEO Brent MacGregor and I bring to the table is relevant to making that transition a successful one and executing on the international stage. The opportunity for the success of Penthrox in Australia to be replicated in Europe is immense and both Brent and I are excited by this challenge and look forward to executing on our strategy," he added.

A non-underwritten share purchase plan will now be undertaken. It is aiming to raise a further $5 million at $6.50 per new share.

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