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

Boss Energy Ltd (ASX: BOE)

The Boss Energy share price is down 4.5% to $3.88. This appears to have been driven by a broker note out of Macquarie this morning. Although the broker remains positive on the uranium producer, it has cut its price target by almost 17% from $6.00 to $5.00. Elsewhere, another note out Morgan Stanley reveals that it has held firm with its equal weight rating and trimmed its price target to $4.55. This is due to production ramp up and cost concerns.

DroneShield Ltd (ASX: DRO)

The DroneShield share price is down 3.5% to $1.94. This may have been driven by profit taking from some investors after this counter drone technology company's shares delivered incredible returns in recent months. In fact, even after today's weakness, the DroneShield share price is up approximately 400% since the start of the year. This has been driven by impressive sales growth and its very positive outlook thanks to new contracts and industry tailwinds.

Jumbo Interactive Ltd (ASX: JIN)

The Jumbo Interactive share price is down 3% to $16.59. This morning, analysts at Citi initiated coverage on the online lottery ticket seller with a bearish view. According to the note, the broker has slapped a sell rating on the company's shares with a price target of $15.00. This implies potential downside of approximately 10% from current levels. It believes the market is too optimistic on Jumbo's earnings and suspects that it could fall short of expectations in FY 2025. Looking further out, it also highlights key renewals that create significant earnings risks in the coming years.

RAIZ Invest Ltd (ASX: RZI)

The RAIZ Invest share price is down over 2.5% to 36.5 cents. This morning, this micro-investing platform provider announced that it would be exiting the Malaysia market. Following the completion of a strategic review, it has agreed with its joint venture partner to close the business. Raiz CEO, Brendan Malone, said: "The decision to close the Malaysian Operations will enable Raiz to focus on strengthening and expanding its Australian business. With our continued product innovation and our marketing campaign, we are confident the Raiz Australian business will continue to grow and deliver a strong economic performance for shareholders."

The post Why Boss Energy, DroneShield, Jumbo, and Raiz shares are falling today appeared first on The Motley Fool Australia.

Four ASX shares that are not letting that hold them back are listed below. Here's why they are rising:

EML Payments Ltd (ASX: EML)

The EML Payments share price is up over 21% to 90.5 cents. This follows news that the payments company is shutting down its troubled PFS Card Services Ireland Limited (PCSIL) business. Management advised that it will now be closed to new business and wound down in a professional and orderly manner. A liquidator has been provisionally appointed by the High Court of Ireland to begin the wind-down.

Mount Gibson Iron Ltd (ASX: MGX)

The Mount Gibson Iron share price is up 4% to 53.5 cents. Investors have been buying the iron ore miner's shares following the release of its quarterly update. Mount Gibson revealed that quarterly ore sales revenue came in at $228 million for the quarter. This took its sales revenue for the first half of FY 2024 to $436 million. In addition, cashflow of $123 million was generated for the December quarter.

Nuix Ltd (ASX: NXL)

The Nuix share price is up 3% to $1.65. This is despite there being no news out of the investigative analytics and intelligence software provider. Though, it is worth noting that Nuix's shares were sold off last week. Some investors may believe they were oversold and have been snapping them up today.

RAIZ Invest Ltd (ASX: RZI)

The Raiz share price is up 4% to 38 cents. This follows the release of the investment platform provider's quarterly update. Raiz reported a 6% quarter on quarter increase in revenue to $5.47 million. Management also reiterated that it is on the path to positive EBITDA.

The post Why EML, Mount Gibson, Nuix, and Raiz shares are rising today appeared first on The Motley Fool Australia.

That's all thanks to the miracle of compounding.

So if one can start investing in their teenage years, well, they are certainly setting themselves up for a happy journey indeed.

However, buying shares if you're under 18 is not as straightforward as it is for someone who has reached the age of majority. So today, let's talk about how buying shares when you're under 18 works.

How can teenagers buy ASX shares?

Unfortunately, it is not possible for a minor to buy, sell or own shares in their own name. No Australian brokerage service will accept the membership of someone who is under 18 on their own.

Saying that doesn't mean owning shares is out of reach for young investors who want to start building a portfolio as soon as possible.

It is possible for a minor to start investing before they turn 18. They will need an adult to invest on their behalf, though. This normally works through a 'trust' structure, where the adult holds the shares in the child's name as a beneficiary.

When the child turns 18, the shares can then be transferred to full ownership.

Commonwealth Bank of Australia (ASX: CBA)'s CommSec brokerage platform offers this service, as do a number of other brokers.

Never too early to start learning

Teenagers who want to start investing have other options too. There are a number of investing apps that can help anyone under 18 get started with shares.

One such option is the Raiz app, run by Raiz Invest Ltd (ASX: RZI). If you're under 18, you will still need an adult's consent to open an account, but services like these can make that first step relatively easy.

There can be tax implications for investing on behalf of a minor. Thus, both parents and teenagers should talk to a tax professional before engaging in any investing activity.

Unfortunately, investing for someone who is under 18 can be a little more complicated than it is for adults. However, it is still possible to get started on your investing journey before you turn 18. So what are you waiting for?

The post Under 18 and wondering if teenagers can buy ASX shares? Read this appeared first on The Motley Fool Australia.

That's because smaller, rapidly expanding businesses are typically the ones who have taken on debt to fuel their growth.

And when a company borrows funds to operate, investors revise down its valuation as interest rates rise. This is because every dollar of future earnings will cost more to produce.

As such, during frightening times for small cap and growth shares, it could be worthwhile checking out the businesses that have plenty of cash on their books.

This theoretically means rate hikes don't affect their future performance. If anything, it can help them marginally, as they can earn a better return on their cash.

And of course, not needing to do equity raising rounds means existing shareholders don't have their investments diluted.

Small caps with so much cash they gave some back

In a shocking month, small-cap specialist fund Cyan C3G saw almost every stock in its portfolio suffer a freefall in June.

But portfolio managers Dean Fergie and Graeme Carson feel especially comfortable about their holdings that boast useful cash reserves.

In fact, two of those companies actually implemented a share buyback to return some of that excess capital back to investors.

"Touch Ventures Ltd (ASX: TVL) holds almost all of its current market capitalisation in cash — $74 million market cap vs $67 million in cash, plus investment assets valued in May 2022 at over $120 million!" Fergie and Carson said in a memo to clients.

"And, quite prudently, has activated an aggressive share buyback, repurchasing over 1 million shares in June."

Despite this, Touch shares lost 24% in June.

ReadCloud Ltd (ASX: RCL) suffered even more, shaving 29% off its valuation last month.

"Digital textbook company ReadCloud holds $5.4 million on its balance sheet, made a net profit of over $1 million in 1H22 and has also announced a share buy-back."

Price crashes don't make sense

The memo also named three other cashed-up businesses that Cyan is keeping the faith in.

"Other companies that hold significant net cash balances include Alcidion Group Ltd (ASX: ALC) $18 million; Raiz Invest Ltd (ASX: RZI) $19 million; and Vita Group Limited (ASX: VTG) $20 million."

The portfolio managers spoke of their angst in seeing great businesses like Alcidion and Raiz respectively lose 21% and 22% of their valuation last month.

"With Alcidion having a strong balance sheet, significant recurring revenues derived from government and private domestic and international hospitals and health care providers, there are numerous reasons to expect this stock could be a strong performer again in FY23," read the memo.

"With almost 300,000 active and engaged financial customers in Australia, Raiz is generating strong recurring revenues and is likely to garner the interest of a myriad of local financial institutions."

The post 5 small-cap ASX shares sitting on a pile of cash: experts appeared first on The Motley Fool Australia.

The Cyan C3G Fund, which specialises in small-cap stocks, has felt the pain as much as any retail investor.

Portfolio managers Dean Fergie and Graeme Carson told clients in a memo that, as participants in the fund themselves, their personal wealth has also taken a massive haircut.

"There's no other way to express it. We had a terrible FY22, with the fund falling 38%," read the memo.

"Even against the S&P/ASX Small Ordinaries Industrials (ASX: XSI), which lost 24%, it was a poor result."

While they admitted to some mistakes — mainly not taking some profits last year before the crash — the fund has a long-term focus.

"Nobody rings a bell at the bottom, but from what we're seeing and hearing, our company outlooks are far better than the market prices are currently implying," read the Cyan memo.

"As such, we remain particularly confident that the prices of our holdings will improve significantly in the near-term."

With this philosophy in mind, there are a couple of ASX shares in the Cyan portfolio that have been particularly bruised. But Fergie and Carson are holding on for a turnaround.

Strong balance sheet and recurring revenues

Healthcare software provider Alcidion Group Ltd (ASX: ALC) saw its share price tumble nearly 70% over the 2022 financial year.

Fergie and Carson admitted COVID-19's impact on its United Kingdom growth and an "ill-timed" stock issue late last year just before markets plunged did not help.

"However, a raft of recent contract wins have shown significant catch-up by the company," their memo read.

"Indeed, total revenue for FY22 is likely to come in at around $34 million — up 40% on the prior year — a positive result and in stark contrast to recent stock price action."

Alcidion's market capitalisation is now down to just $146 million, so analyst coverage is scarce.

However, the experts at Canaccord Genuity Corp agree with Cyan. They rate the stock as a strong buy, according to CMC Markets.

The Cyan portfolio managers said that all the original tailwinds are still there for the company to make a roaring comeback. 

"With Alcidion having a strong balance sheet, significant recurring revenues derived from government and private domestic and international hospitals and health care providers, there are numerous reasons to expect this stock could be a strong performer again in FY23."

Sell-off of this takeover target is 'overdone'

The share price for micro-investment platform Raiz Invest Ltd (ASX: RZI) plunged 60% over the 2022 financial year.

Fergie and Carson said the stock "hurt us materially".

"Frustratingly, the company's metrics have actually improved over the year," read their memo.

"FUM [funds under management] is up from $905 million to $940 million and customer numbers globally are up 35% — albeit in Australia they have only risen 3%."

While they admitted there is transitory concern about a slowdown in domestic growth, they reckon the market has overreacted.

"We seriously consider that the pull-back in the price is overdone, particularly in light of the $10 million investment Seven West Media Ltd (ASX: SWM) made in the company late last year."

The Cyan team also thinks Raiz's considerable customer base and reduced valuation could make it attractive as a takeover target.

"With almost 300,000 active and engaged financial customers in Australia, Raiz is generating strong recurring revenues and is likely to garner the interest of a myriad of local financial institutions."

The post 2 ASX shares we're sticking with after 60% falls: fund managers appeared first on The Motley Fool Australia.

But it's not just everyday retail investors feeling the pinch. The professionals aren't faring much better in a rough market.

One of the most successful funds in recent years, the Cyan C3G Fund, revealed this week that it "suffered badly" in May to see a fall of 14%.

"Performance in May was incredibly frustrating," portfolio managers Dean Fergie and Graeme Carson told clients in a memo.

"All but one of our holdings fell over the month, resulting in the overall poor performance."

Cyan attributed the "severe selling pressure" to a perfect storm of supply constraints, central bank tightening and geopolitical issues.

"In the six weeks to early June, the S&P/ASX Emerging Companies (ASX: XEC) index has fallen 17%." 

Normal programming will return sooner or later

But in the long run, the pair said fortunes would turn around.

"Logistics is improving, supply chains are opening up, costs are still a challenge but will subside as other parts of the supply chain normalise."

A steep hike in interest rates will indeed temporarily result in depressed consumer spending. 

But the portfolio managers reminded clients that even a 150-basis point increase would result in a cash rate that's still historically low.

"In terms of valuing companies on future earnings (which is what the stock market does), it is far from terminal, or perhaps not even particularly material," read the document.

"We feel the market is being overly bearish on where long-term rates might land."

Considering this, the Cyan team named three ASX shares that plunged last month that still have excellent underlying businesses (and it's still holding onto):

Value of brands could exceed the company's current valuation

Brewer Mighty Craft Ltd (ASX: MCL) watched in horror as its share price lost a quarter of its value last month.

It has lost even more in this week's brutal sell-off, to be down 42% since the start of May.

For the Cyan team, this is purely a macroeconomic reaction — because the business is going gangbusters.

"It is currently being valued at $70 million by the market," read the memo. 

"[But] it is expected to deliver more than $70 million in sales during this COVID-impacted year and strong profitable growth in FY23."

The company has a 37% stake in fast-growing brand Better Beer, which is expected to sell 4 million litres this financial year and 10 million in the next.

"On those metrics — at $25 per litre of value (which is the general metric for valuing boutique beer brands that reach scale) — Mighty Craft's ownership of the brand alone could be worth $90 million+."

No debt, profitable, pays dividend

Cyan lost 15% on its Kip McGrath Education Centres Limited (ASX: KME) last month.

Kip McGrath runs an education and tutoring business in the English-speaking markets of Australia, New Zealand, the United States, the United Kingdom and South Africa.

The financials are healthy, according to Fergie and Carson, who noted it has no debt, is cash flow positive, profitable, and pays a dividend. 

The company is also forecast to grow revenue and earnings in excess of 20% next financial year. 

"It is potentially an M&A target and has recently successfully pushed into the US," read the Cyan memo.

"The stock is down 40% from its highs of a few months ago and has delivered no negative news."

'Extremely attractive' takeover target

Fergie and Carson have been fans of micro-investing platform RAIZ Invest Ltd (ASX: RZI) for a while, and a 15% loss in May hasn't changed this view.

This is another ASX share that has no debt and holds $18 million in cash.

"Over the past 12 months, it has grown active customers by 50% to around 650,000, who collectively invest more than $1 billion," read the Cyan memo.

"The company is profitable in its core operations in Australia and is pushing successfully into south-east Asia."

May was just the continuation of a shocking run in 2022. Raiz shares have plunged almost 64% since the start of the year.

Similar to Kip McGrath, Raiz could make an "extremely attractive" takeover target.

"As a comparative valuation, Raiz's US parent Acorns Grow is valued at ~$800 per customer," the memo read.

"Completely ignoring Raiz's 350,000 strong customer base Asia, its Australian business of 290,000 customers is presently being valued by the local market at just $170 per customer."

The post 'Frustrating': Fund backs 3 great ASX shares with plunging prices appeared first on The Motley Fool Australia.

And that's exactly the disappointment Cyan portfolio manager Dean fergie relayed to his clients in a memo this week.

"Market sentiment, in the short-term, is a powerful force and the recent inflation fears (and associated rate rises), exacerbated by the invasion of Ukraine and the uncertainty and concerns around energy prices and the potential economic impact, has created almost the perfect storm for many of the fund's holdings."

However, Fergie told his clients that short-term shocks like this still doesn't shake his longer-term faith in the stocks that he's backed.

"In times of turmoil, it is valuable to focus on the underlying operational performance of our investments, particularly when the disconnect between the share prices and business performances has been stark," he said.

"We remain particularly positive given the optimistic results recently released."

Fergie examined 3 ASX shares that plunged in February despite the company performance still remaining strong:

Drink away the world's woes

Shares for craft drink provider Mighty Craft Ltd (ASX: MCL) fell a hair-raising 18% over last month.

Fergie noted that this freefall happened at the same time as it reported spectacular numbers.

The first-half saw revenue of $30 million, which is up 132%, and a "wildly successful launch" of its Better Beer brand.

"With the economy reopening and increased scale of the business post its acquisition of The Adelaide Hills Group, the company moved into profitability in the last quarter of the calendar year — a milestone that looked a pipedream only a few months ago."

According to Fergie, that was not just a fluke half and the outlook remains strong.

"We continue to back management to deliver on their aggressive growth ambitions which include posting revenues in excess of $70 million for FY22," he said.

"Despite these important financial milestones being achieved, the share price did not, in the short-term, reflect the company's underlying achievements."

Mighty Craft shares closed Thursday at 30 cents, which is almost 30% down from the start of February.

Wealth managers in the firing line

Fergie has publicly backed micro-investment platform Raiz Invest Ltd (ASX: RZI) for a while now.

Similar to Mighty Craft, the company reported excellent numbers in February but the share price sunk like a stone.

"Investment platform business Raiz delivered strong growth metrics period-on-period, including active customer growth of 73% to 595,000, funds under management growth of 71% to $1 billion and group revenue growth of 77% to $9.3 million (the vast majority of which is recurring)," said Fergie.

"Again, this was not reflected in share price movement with the stock falling 17% in February."

He suspected general market sentiment went against listed fund managers, with huge selloffs seen in sector stalwarts Magellan Financial Group Ltd (ASX: MFG) and Pinnacle Investment Management Group Ltd (ASX: PNI).

Raiz shares closed Thursday at $1.14.

The software maker that set a new company record 

Healthcare software provider Alcidion Group Ltd (ASX: ALC) reported "solid" half-year results, according to Fergie.

But guess what, its share price plunged 17% in February.

Fergie noted the contracted revenue of more than $27 million was a company record, despite COVID-19 delaying purchasing decisions in UK hospitals.

"As such we expect some material short-term catalysts by way of new contracts out of the region," he said.

"Alcidion is building a very strong position in the healthcare industry which is expected to rapidly expand as the digitisation of the healthcare industry accelerates."

The Alcidion share price finished Thursday at 18 cents.

Deals galore in February, but share price didn't match the news

Fergie has also been a longtime fan of games developer Playside Studios Ltd (ASX: PLY), which saw its shares lose 9% in February.

Again, Fergie is consoled by an excellent half-year report.

"This Australian-based game developer delivered a great interim result which clearly illustrated its strong growth and a healthy outlook," he said.

"Revenue grew 61% half-on-half to $9.4 million." 

In the same month, Playside revealed it booked $8.4 million in revenue in just one week after it launched Beans NFT.

"Further good news was released when Playside signed a material work-for-hire contract with Activision Blizzard Inc (NASDAQ: ATVI), one of the world's most successful interactive entertainment companies and maker of iconic games such as Call of Duty, Overwatch, Guitar Hero and Candy Crush."

The share price movement in February confounded Fergie.

"Through the month the share price of PLY rallied from $1.02 to $1.40 before, disappointingly, ending the month at $0.93 — a head-scratching outcome given the materially good news."

Playside shares closed Thursday at 94 cents.

The post 4 fallen ASX shares that are still awesome businesses: expert appeared first on The Motley Fool Australia.

In fact, the S&P/ASX 200 Index (ASX: XJO) has sunk 8.7% since 4 January as investors abandon their shares in anticipation of interest rates rises in the US.

In such times of economic uncertainty, it's prudent to take a look at what financial services Australians might need.

Medallion Financial Group analyst Jean-Claude Perrottet certainly took this angle, picking out 2 ASX shares to buy that will serve vastly different clientele:

'Consistent revenue growth in the past decade'

Credit Corp Group Limited (ASX: CCP) is a debt buyer and collector. As such, its business could increase in times of economic distress, like when interest rates head up.

Perrottet told The Bull that the company operates in the US and New Zealand, as well as Australia.

"Credit Corp has generated consistent revenue growth in the past decade," he said.

"CCP has lifted earnings and investment guidance for fiscal year 2022 following the recent acquisition of Radio Rentals. The acquisition could continue to provide significant upside moving forward."

Credit Corp shares ended Tuesday at $32.15. 

The stock is up more than 10% over the past year, and pays out a handy 2.24% dividend yield.

'Bright outlook for the future'

Shares for fintech RAIZ Invest Ltd (ASX: RZI) have arguably been frustrating to own the past 12 months.

Despite excellent growth numbers for its micro-investment app, both in terms of user numbers and funds under management, the stock price was up and down over 2021.

And with an 18.6% drop over the past week or so, it's only 7.7% higher than where it was a year ago.

Perrottet still has faith that the growth numbers will start to filter through to investor enthusiasm.

"In December, management confirmed an impressive 70.8% increase in funds under management to $1 billion amid significantly increasing the number of clients," he said.

"Positive metrics paint a bright outlook for the future."

Raiz shares finished Tuesday at $1.40.

The post 2 cheap financial ASX shares to buy right now appeared first on The Motley Fool Australia.

Four ASX shares that are not letting that hold them back are listed below. Here's why they are pushing higher:

Anteotech Ltd (ASX: ADO)

The Anteotech share price is up 5.5% to 29 cents. This appears to have been driven by optimism that this surface chemistry company will benefit greatly from demand for COVID-19 rapid antigen tests. Late last year the company completed its TGA submission for the EuGeni Reader and SARS-CoV-2 Ag Rapid Diagnostic Test. However, it is worth noting that it is still waiting for approval in Australia.

Brainchip Holdings Ltd (ASX: BRN)

The Brainchip share price has continued its rise and is up a further 23% to 96.5 cents. Investors have been buying the artificial intelligence technology company's shares this week following reports that Mercedes has included Brainchip's Akida chip in its Vision EQXX electric concept car. The chip is reportedly being used to power its "Hey Mercedes" smart assistant feature.

RAIZ Invest Ltd (ASX: RZI)

The RAIZ Invest share price is up 2% to $1.79 following the release of its monthly update. That update revealed that the micro-investing platform provider's active customers increased 3.3% globally to 594,992 during December. Though, taking some of the shine off the news was a decline in Australian active customers.

Santos Ltd (ASX: STO)

The Santos share price is up 2.5% to $6.76. Investors have been buying this energy producer's shares after oil prices rose overnight. Prices pushed higher despite OPEC revealing that it will go ahead with its plan to raise its output target by 400,000 barrels per day next month. The Santos share price is now up 10% in the space of two weeks.

The post Why Anteotech, Brainchip, RAIZ, and Santos shares are pushing higher appeared first on The Motley Fool Australia.

The S&P/ASX All Technology Index (ASX: XTX) is down more than 4.7% in the past month, even though a rise in interest rates actually hasn't happened yet.

But for many of these tech shares, the underlying businesses haven't fundamentally changed, nor their future potential.

As such, let's take a look at 2 ASX tech shares that Medallion Financial managing director Michael Wayne thinks are up for a big 2022:

Pricing power and large overseas market

Raiz Invest Ltd (ASX: RZI) is a micro-investment app that's seen its shares rise 76% this year, although it did most of the heavy lifting before March.

Wayne reckons this fintech is one to watch next year.

"As we enter 2022, one business that we think is well-positioned to prosper even in the event of an inflationary environment is a company called Raiz," he posted on Livewire.

"We believe the potential impact of rising inflation on the business is unlikely to have much of a direct impact on customer willingness to invest."

According to Wayne, the business has shown an ability to increase prices to increase its revenue, rather than purely relying on attracting new clients.

"Over the years, the company has been able to steadily implement platform fee increases from $1.25 per month to $2.50 per month and now $3.50 per month — levels of growth that far exceed the minor growth experienced in customer acquisition costs."

Raiz is also expanding into south-east Asia, where the market is even more primed as a "first-mover" for mobile-based investment solutions.

"Indonesia has a very large official population of 277 million, of which approximately 55 million are considered to be target customers for Raiz," said Wayne.

"Aside from being a large potential customer base, the target population is smartphone savvy with each Indonesian having to an extent skipped the personal computer era and said to own on average 4 mobile phones per person."

Raiz shares closed Friday at $1.74, up 2.35% for the day.

'A compelling investment opportunity'

Longtime ASX darling Seek Limited (ASX: SEK) has continued on its merry way in 2021, gaining in excess of 20% during the year.

The job-hunting website hasn't fared too badly even during the tech rout in the past month, with the stock price actually pushing up 3.14%.

Wayne's team still likes the look of Seek in their portfolio.

"We remain positive on Seek as the apparent earnings implications resulting from years of product and early-stage venture investments are starting to be realised," Wayne told Money magazine.

"With a footprint spanning the globe, solid management team, high demand for skilled employees, and a pipeline of new opportunities offering differentiating characteristics, we believe Seek presents as a compelling investment opportunity within the current market."

It's not necessarily a consensus pick among other professionals though.

According to CMC Markets, 5 out of 10 analysts rate Seek as a "hold" while 4 think it's a "strong buy".

Seek shares closed Friday at $35.22.

The post 2 ASX tech shares to keenly watch in 2022 appeared first on The Motley Fool Australia.

The following day, shares in the then nascent buy now, pay later (BNPL) company closed at $2.90.

You may not have heard of the company back then. Few investors had.

But over the following years, as the Afterpay share price continued to push higher and the BNPL space grew more popular, the company began to make regular financial headlines and was added to ever more portfolios.

Just before the onset of the pandemic driven market selloff, on 21 February 2020, Afterpay was trading for $38.44 per share. That was up a phenomenal 1,225% since its second day of listing.

In the following month, like most every ASX share, the Afterpay share price crumbled. On 20 March 2020 it bottomed out at $12.44 per share, a loss of 68%.

But Afterpay wasn't down and out. Far from out.

Over the next 11 months the buy now, pay later company's share price soared 1,121%, peaking out at $151.92 on 19 February this year. Meaning investors who hadn't heard of the company before then, almost certainly did during its incredible march higher.

Which also means that ASX investors keeping a keen eye open for 'the next Afterpay', hoping to get in early.

Could this ASX share really be the next Afterpay?

Dean Fergie is the director of Cyan Investment Management. And Afterpay is one of the shares that counts as an early win for the fund.

Speaking to Livewire, when Fergie was asked what his "next Afterpay" was, he "fired back with Raiz Invest Ltd (ASX: RZI)". If you're not familiar with Raiz, Livewire explains, the company was "the name behind the retail-investing-platform-formerly-known-as-ACORNS."

Here's how the micro-investing platform has been performing.

How has Raiz Invest been performing?

Raiz listed on the ASX on 21 June 2018.

Since closing at $1.39 per share on its second day of trading, the Raiz share price has gained 22%.

The past 12 months has seen that performance pick up, with Raiz shares gaining 77% since this time last year.

Raiz got a good boost from some strong figures in its full 2021 financial year report.

Revenue grew 37% year-on-year to $13.4 million and the company ended the year with $19.4 million cash on hand, as at 30 June.

So is Raiz the next Afterpay?

We'll leave those prognostications to the expert analysts, like Dean Fergie.

The post Could this ASX share really be the next Afterpay (ASX:APT)? appeared first on The Motley Fool Australia.

Before market open, the micro-investing platform informed shareholders of a strategic investment from Seven West Media Ltd (ASX: SWM). The Australian media giant will leverage its country-wide audience to assist in accelerating Raiz's customer growth.

This strategic move on behalf of Seven West is less than a month after it announced the acquisition of Prime Media Group Limited (ASX: PRT). Making the Raiz investment the company's second strategic play in the past month.

What is spotlighting the Raiz share price today?

It was only a few weeks ago when Raiz proudly announced it had reached a major milestone in the company. On 10 November 2021, the mobile-based investing platform paraded its achievement of hitting $1 billion in funds under management (FUM).

Today, news of the $960 million diversified media company, Seven West Media, getting involved with Raiz will likely grab the market's attention.

According to the release, ASX-listed Seven West will take a strategic investment of a 6.6% stake in Raiz. This will be facilitated through a $10 million share placement. Additionally, the new Raiz shares were priced at the 10-day volume-weighted average price of $1.617.

Aligning both parties, the media giant will make payment for the investment via two components. Firstly, Raiz will receive $2 million in cash. Secondly, Seven will conduct advertising across its various avenues to the equivalent value of $8 million. This will give the Raiz platform reach to over 18 million Australians through the media giant's publications.

Management commentary

Commenting on the announcement, Raiz joint group CEO Brendan Malone said:

With Seven we will be able to re-engage with many of these customers as well as expand our reach to a fresh audience and explain why Raiz is an excellent product for them for saving and investing in and outside of superannuation, even if they have broking accounts or high interest saving accounts with other organisations. We are not an either-or product.

Meanwhile, Seven West Media managing director and CEO James Warburton said:

Raiz is a disruptive digital player that is targeting a huge market opportunity. Combining Raiz's consumer offering, which has widespread appeal, with SWM's scale and audience reach provides a significant opportunity to grow the business and is a strong fit with the strategy of our Seven West Ventures group.

The Raiz share price has strengthened by 62% since the beginning of 2021.

The post Raiz (ASX:RZI) share price climbs 8% as Seven West Media makes strategic investment appeared first on The Motley Fool Australia.

But, according to one leading broker, shares in the micro-investing platform could go even higher.

Let's have a look at the fintech company and what's happening with its share price.

Broker paints positive outlook on Raiz share price

Shares in Raiz could receive a boost after a bullish note from renowned broker Taylor Collison.

Analysts slapped a 'speculative buy' rating on the company, highlighting the large market opportunity in the micro-investing landscape.

According to the broker, Raiz remains well-positioned to capitalise on the market opportunity, citing its positive cash flow and solid balance sheet.

The note highlighted several other factors that could propel the fintech's growth.

In particular, analysts noted the company's continued increase in active users and funds under management.

Raiz also has an expanding pipeline of growth products and innovations such as its superannuation and ESG offerings.

The company's expansion into Southeast Asia was also lauded as an ideal hunting ground given the region's high mobile phone usage, large aspirational populations and small-scale investors.

Analysts also waived the company's recent boardroom conflict as an unwelcome distraction, citing no effect on Raiz's business performance.

The note pointed to Raiz's recent full-year report as an indicator of its growth potential.

How did Raiz perform in FY21?

The Raiz share price received a huge boost after releasing its full-year report for FY21.

The fintech reported impressive growth to 30 June 2021, highlighting a strong balance sheet with cash on hand of $19.4 million.

Other highlights from Raiz's full-year report included;

• 37% year on year (YOY) increase in group revenue of $13.4 million
• global active customers up 87% YOY to 456,927
• Australian funds under management (FUM) up 76% YOY to $799.6 million
• superannuation FUM up 53% YOY to $106.6 million
• micro investing platform segment revenue up 40% YOY to $11.4 million
• revenue per customer (run rate) in Australia up 32% YOY

Throughout the financial year, Raiz noted implementing a number of features to increase customer engagement.

Snapshot of the Raiz share price

Raiz is an Australian financial technology (fintech) company that provides users with a mobile-focused micro-investing platform.

The company has a tiered revenue model consisting of maintenance fees, account fees, netting and advertising fees.

Since the start of the year, shares in Raiz have bolted more than 90%.

The Raiz share price closed Friday's session at $1.80.

The post Why this broker sees more upside in the Raiz (ASX:RZI) share price appeared first on The Motley Fool Australia.

At market close, the investment platform provider's shares are up 9.30%, trading at $1.88. This follows a sharp share price fall on Wednesday after a surprise move to remove certain directors from the Raiz board. Catching shareholders off guard, the Raiz share price tumbled 13.1%.

Getting outsted by the founder and CEO

Investors of Raiz must feel as though yesterday's selloff was overdone as the share price regains today.

The surprise announcement sprung on shareholders entailed a 'Section 249D Notice' from BBH-GL Nominees Pty Ltd. For context, this company is associated with Raiz's founder and CEO, George Lucas.

According to the share registry, Mr Lucas holds 5.12% of total shares on issue through his holding company. Because of this, Lucas is able to propose the removal of all or certain directors.

According to the release, the proposal is to remove 3 out of the 4 other board members. This includes Nina Finlayson, Kevin Moore, and Kelly Humphreys. Undoubtedly, such an unpredictable move has introduced volatility to the Raiz share price.

Upon receipt of the notice, the Raiz directors have 21 days to call a general meeting. Additionally, a further 21 days' notice of the meeting is required to be given to shareholders. In trying to fit within these constraints, the meeting must also be held within 2 months of the company receiving the notice.

Unfortunately, shareholders still remain in the dark as to why Mr Lucas has proposed the swift removal of these directors.

The announcement finished by stating further details will be provided in due course.

Raiz share price snapshot

The Raiz share price has performed exceptionally over the past 12 months. Specifically, this Aussie fintech has surged 133% over the past year.

As a result of the phenomenal performance, the company now commands a $150 million market capitalisation.

The post Raiz (ASX:RZI) share price rebounds 10% after move to boot out directors appeared first on The Motley Fool Australia.

At the time of writing, the investment platform provider's shares are down 16% to $1.66.

Though, despite today's heavy decline, the RAIZ Invest share price is still up an impressive 70% in 2021.

Why is the RAIZ Invest share price crashing today?

Investors have been selling down the RAIZ Invest share price today following the release of a surprising announcement this morning.

According to the release, the company has received a request from BBH-GL Nominees to call a meeting of shareholders.

BBH-GL Nominees is a company associated with RAIZ Invest's Founder, Managing Director and CEO, George Lucas.

At the last count, BBH-GL Nominees held 4,458,338 RAIZ Invest shares, making it a substantial holder with greater than 5% of its shares outstanding. This gives it the right to call a meeting of shareholders pursuant to s249D of the Corporations Act (Cth) 2001.

Why is there a meeting being called?

BBH-GL Nominees and Mr Lucas have requested the convening of a general meeting of shareholders to vote on a surprise resolution.

According to the release, the resolution is: "That pursuant to section 203D of the Corporations Act and clause 10.19(e) of the Company's Constitution, Nina Finlayson, Kevin A Moore and Kelly Humphreys are removed as directors of the Company with effect from the close of this meeting."

No details have been provided on why BBH-GL Nominees and CEO George Lucas want these directors to be removed.

It is also worth noting that one of these directors, Kevin Moore, is the RAIZ Invest Chairman and only joined the company on 1 December 2020.

For the Founder and CEO to attempt to remove his Chairman after less than a year, is not a good look for a company and hints at some major disagreements in the board room. Which certainly goes a long way to explaining the weakness in the RAIZ Invest share price today.

Further details are expected to be released ahead of the proposed meeting.

The post RAIZ Invest (ASX:RZI) share price crashes 16% amid leadership fight appeared first on The Motley Fool Australia.

Investors are bidding shares in the company higher after it released its full-year results for FY21 earlier today.

Let's take a look at what Raiz announced.

Strong growth in FY21 spurs Raiz share price higher

Here are some of the key metrics Raiz reported for FY21;

• 37% year on year (YOY) increase in Group Revenue of $13.4 million
• Global Active Customers up 87% YOY to 456,927
• Australian funds under management (FUM) up 76% YOY to $799.6 million
• Superannuation FUM up 53% YOY to $106.6 million
• Micro Investing Platform segment revenue up 40% YOY to $11.4 million
• Revenue Per Customer (run rate) in Australia up 32% YOY

Raiz also highlighted its strong balance sheet, noting cash on hand of $19.4 million as of 30 June 2021.

What happened in FY21 for Raiz?

In its results presentation, Raiz noted that growth in FY21 was fuelled by its Australian operations.

Throughout the financial year, the company noted implementing a number of features to increasing customer engagement.

Raiz introduced Custom Portfolios in Australia due to attract new customers and FUM. The company also introduced the onboarding of self-managed superannuation funds (SMSFs).

In addition, the company also launched its Raiz Home Ownership business in FY21, which focuses on helping first homeowners enter the property market.

Raiz also reported continued growth across Southeast Asia for FY21, despite the ongoing impacts of Covid-19.

During the March quarter, Raiz introduced new payment gateways in Indonesia to help facilitate recurring payments and improve customer experience.

What did management say?

Managing Director and CEO of Raiz George Lucas noted:

In Australia, we remain on track to hit our goal of $1 billion of FUM by the end of 2021. We see the Superestate acquisition, the first in our five-year history, as an important component in our domestic strategy going forward. In addition to giving us more FUM and Active Customers, it will allow us to offer residential property as an asset class and enhance our data analytics.

What's next for Raiz?

Raiz is an Australian financial technology (fintech) company that provides users with a mobile-focused micro-investing platform.

The company charges users a flat monthly investment fee which comprises more than 60% of the company's revenue. As a result, FUM and active customers are key metrics to the company's ability to generate recurring revenue.

Raiz highlighted that the company remains focused on growing its business across all geographies.

The company plans to follow low-cost customer acquisition to drive new growth and also highlighted various new product developments heading into FY22.

At the time of writing, the Raiz share price is trading more than 7.5% higher for the day.

Shares in Raiz were up more than 8% earlier, after hitting an intraday high of $2.09.

Since the start of the year, shares in Raiz have surged more than 116% in 2021.

The post Raiz (ASX:RZI) share price rockets on FY21 results appeared first on The Motley Fool Australia.

Australian fund Cyan C3G gained 1.8% in July and remains a firm believer in growth shares.

"Most recently the growth and tech sectors have received support on the back of the announcement that Afterpay Ltd (ASX: APT) will be acquired by Square Inc (NYSE: SQ) for $39 billion," portfolio manager Dean Fergie said in a memo to clients.

"This illustrates that fast-growing fintech businesses such as Square Inc are willing to buy aggressively to improve [their] strategic position as they continue to disrupt traditional industry incumbents."

Three particular ASX shares within the Cyan portfolio leapt ahead last month. Despite the ballooning valuations, Fergie's team will continue to keep the faith to call them "long-term holdings":

A true Delta lockdown winner

Fergie previously told The Motley Fool how fond he was of Maggie Beer Holdings Ltd (ASX: MBH), and his belief was rewarded handsomely.

The gourmet food ASX share returned 6% over July.

It was no coincidence that demand for its goods and services accelerated during the ongoing COVID-19 resurgence.

In great timing, Maggie Beer had just completed its acquisition of online business The Hamper Emporium.

"Particularly considering the extended periods of domestic lockdown, the online element of their hamper business is looking increasingly attractive," said Fergie.

"The market now appears to be realising the benefits, synergies and strengthened business model of the combined group."

Maggie Beer shares are arguably not super expensive though, with the price still more than 16% lower than when the year started.

Aussie studio about to release blockbusters

Fergie has also been on the record as a fan of Playside Studios Ltd (ASX: PLY).

And that loyalty brought his fund a stunning 40% during July.

"This Melbourne based game developer, which listed in December last year, delivered solid cashflow performance and proved that its business model, which combines work for hire and original IP games development, is performing outstandingly."

And what's better is that Fergie anticipates more positive news coming over the next year or so.

"The company has an exciting 12 months ahead with the upcoming release of several new games including titles based on blockbuster movies Legally Blonde and The Godfather which should contribute to a material uplift in revenues in FY22."

Similar to Maggie Beer, despite the sensational climb in July, Playside shares are still down more than 11% for the year.

Raiz the roof, says fund manager

The micro-investing app RAIZ Invest Ltd (ASX: RZI) had a sensational 28 July, when the share price rocketed 8%.

The boost was thanks to a record quarterly result.

"Raiz achieved record results for global active customers, funds under management (FUM) and revenue," reported The Motley Fool's Kerry Sun.

"Global active customers totalled 456,927 at quarter-end, an increase of 86.7% on the prior corresponding period."

All up Raiz shares stepped up 10% for the month of July.

"It is comfortably on track to exceed FUM of $1 billion by the close of 2021, representing a doubling in size over 12 months," said Fergie.

"It remains one of our most high-conviction positions as we find the company's consumer product offering very compelling."

The fintech had another upward spike in its stock price last week after it revealed positive July performance metrics.

Raiz shares are up a stunning 90% for the year.

The post One Delta lockdown winner and 2 other rocketing ASX shares appeared first on The Motley Fool Australia.

But the irony is the same experts that espouse this to retail investors don't, or can't, follow it themselves.

That's because fund managers are judged by portfolio performance on a monthly, quarterly and yearly basis.

If you have to keep your head above water every month, sometimes you don't have the luxury of holding onto a quality stock for a long duration, waiting for it to realise its full potential.

So that's why it's interesting to hear what professional portfolio managers would do if they didn't have these short-term pressures.

Here are 5 ASX shares that fund managers would hold onto if the market shut down tomorrow for 5 years.

People say it's expensive, but it will keep growing

The Montgomery Fund portfolio manager Joseph Kim liked the look of industrial real estate provider Goodman Group (ASX: GMG). 

"People are going to say, it looks expensive. It's [been] 'expensive' for a long period of time."

He told The Motley Fool that 5 years is a long time, but Goodman seems to have all its ducks lined up.

"You've got a management team that's aligned [to a] value-focused business. You can see the pipeline of developments that they have," Kim said.

"And in the next 2 or 3 years, you should be growing at about 10% [per annum]. The business is getting more valuable over time."

Goodman shares were trading at $23.37 on Friday afternoon, having risen more than 20% on the year.

A simple business model to understand

For Cyan Investment Management portfolio manager Dean Fergie, RAIZ Invest Ltd (ASX: RZI) is his fund's biggest holding because he's happy to just keep holding it.

If you can't sell the stock for 5 years, it helps if what the company does is easy to understand.

"It's basically a micro investing platform. It allows retail investors to save by rounding up in their spending," he told The Motley Fool. 

"It allows them to make their own deposits into small investment accounts. It's all online via an app. It's all automated."

Raiz broke off a few years ago from its US parent Acorns, which is now reverse-listing at a US$2.2 billion valuation.

"On similar valuation metrics such as customer numbers and FUM [funds under management], would value Raiz at somewhere around $4 per share," Fergie said in June.

On Friday afternoon Raiz was trading for $1.90, which is an impressive 94% up for the calendar year.

I've already held this ASX share for 5 years

TMS Capital portfolio manager Ben Clark told The Motley Fool that his fund has already held CSL Limited (ASX: CSL) since its inception, which was almost exactly 5 years ago.

"I picked that one because I think, come hell or high water, whatever gets thrown at us over the next 5 years that you couldn't do anything about because you couldn't trade the shares, it is a business that is incredibly resilient," he told Ask A Fund Manager.

"You can sleep well knowing CSL will come through it because it has the balance sheet [and] the industry it operates in is forecast to continually grow."

CSL's plasma donation business in the US plummeted last year after the arrival of COVID-19. But Clark was comfortable that it would eventually return as the country moves into a post-pandemic lifestyle.

"Everyone goes on about the vaccines with CSL — it's a good part of the business. [But] it's not going to really turn the needle. It's the blood collection business that's the engine that drives CSL and that's had a really difficult year and it should start to accelerate."

CSL shares are up 4.3% for the year, going for $297.27 on Friday afternoon.

The product will shine through

For those who are willing to take on a bit more risk in return for better gains, Montgomery's Kim nominated AVITA Medical Inc (ASX: AVH).

"There's a lot of concern around cash burn and the total addressable market, et cetera. I won't say it's not risky because they still need to execute."

The US company makes regenerative medical treatments, with the current flagship product designed to treat burns patients.

While old habits are hard to shake even in the medical world, Kim admitted.

"But then, ultimately, as a doctor with the duty of care, you've got to provide the best outcome to your patients. I think from that perspective, I'm pretty optimistic now."

Avita shares were trading for $5.10 on Friday afternoon, after hitting $7.37 back in January.

Our 'most successful investment'

Cyan's Fergie would be happy to hold onto his fund's "most successful investment over the past 2 or 3 years" for a further half-decade.

But he admitted Alcidion Group Ltd (ASX: ALC)'s activities are more difficult to quantify than a business like Raiz.

"They provide software to hospitals — patient tracking, nurse paging and clinical decision-making software," he told The Motley Fool.

"They're sort of replacing all the [manual work] when you go to hospital and people are just writing on boards to say 'I've given them this medicine and I'll come back,' and someone else reads it."

According to Fergie, the technology platform is now "commercially proven". 

"This year, they're going to do something like $28 million in revenue. They're in reference sites, both here in Australia and the UK," he said. 

"It's a really kind of exciting role, that of new technology. It isn't widely adopted in a very slow-moving industry." 

Alcidion shares have shot up in excess of 92% this year. The ASX share was trading at 36 cents on Friday afternoon.

The post 5 ASX shares to hold for 5 years appeared first on The Motley Fool Australia.

At the time of writing, shares in the company have backtracked a little to be up 6.11%.

Investors have flocked to buy shares in the fintech company after Raiz released an update earlier this morning.

Here's what Raiz had to announce.

Raiz share price higher on performance metrics

The Raiz share price is well in the green today, after releasing its performance metrics for July.

Raiz noted that numbers from its recent acquisition of Superstate were included in its key metrics for the first time.

As a result, the company highlighted that Superestate added $71.6 million to superannuation funds under management (FUM) for a 69.8% increase to $181.00m million. In addition, the acquisition managed to add and an extra 6,073 active customers to the Raiz platform.

Overall, Raiz highlighted continued growth in funds under management (FUM) in Australia.

For July, the company recorded a 4.4% increase in total retail FUM to $ $904.82 million.

In addition, Raiz noted a 69.8% increase in superannuation contributions in July.

In the update, Raiz Managing Director and CEO George Lucas noted that; "Superestate's contribution aside, we were on target to hit our $1 billion FUM by the end of this calendar year".

The company's management also noted that operations in southeast Asia remain on track, reporting a 9.9% increase in active customers to 129,574.

More on the Raiz share price

Raiz is an Australian financial technology (fintech) company that provides users with a mobile-focused micro-investing platform.

Raiz charges users a flat monthly investment fee which comprises more than 60% of the company's revenue. As a result, FUM and active customers are key metrics to the company's ability to generate recurring revenue.

Earlier this year, Raiz completed a $10.2 million capital raise. Funds from the placement were used in the $9.5 million acquisition and integration of fund manager Superstate.

Raiz cited that the acquisition of Superstate would allow the fintech's users access to residential property as an asset class.

Overall, the Raiz share price has performed extraordinarily well in 2021. Including today's price action, shares in the Aussie fintech have doubled since the start of the year.

At the time of writing, the Raiz share price is trading more than 5% higher for the day. Shares in Raiz stormed more than 8% earlier, after hitting an intraday high of $1.95 earlier.

The post Here's why the Raiz (ASX:RZI) share price is storming 8% higher today appeared first on The Motley Fool Australia.

At the time of writing, the financial technology company's share price is up 8.33% to $1.69.

Raiz share price rallies higher on record quarterly results

In the June quarter, Raiz achieved record results for global active customers, funds under management (FUM) and revenue.

Global active customers totalled 456,927 at quarter-end, an increase of 86.7% on the prior corresponding period (pcp). The company said that the increase was "in line with expectations on organic and paid acquisitions across geographies".

The company delivered a 76.7% increase in normalised revenue to $3.6 million, underpinned by an increase in user maintenance fees, account fees and advertising revenues.

Raiz highlighted that its Australian businesses continue to operate on a cash-flow positive basis, with normalised revenue increasing 17.4% in the June quarter. This growth was supported by a similar uplift in Australian FUM, up 15.2% quarter-on-quarter to $799.6 million.

In addition, Raiz said that growth across its Indonesia and Malaysia businesses was meeting expectations, despite the resurgence of COVID-19 cases in both countries.

In the June quarter, active customers in Indonesia and Malaysia grew 17.2% and 19.6% respectively.

The company plans to continue to invest and grow in the region, revealing plans to expand into Thailand.

Superestate acquisition completion

Back in April, Raiz announced the acquisition of Superestate, a niche integrated superannuation and Australian residential property investment platform.

The acquisition will move $70 million of FUM in superannuation, 6,000 customers and a residential property fund onto the Raiz platform.

According to today's announcement, the acquisition is expected to be complete on 28 July.

About the Raiz share price

The Raiz share price has rallied 79% year-to-date, with most of its gains occurring between January and February.

Raiz shares have mostly been moving sideways after hitting a record high of $2.20 on 16 February.

The post Raiz (ASX:RZI) share price rallies 8% on record quarterly results appeared first on The Motley Fool Australia.