Stocks of the Hour: Xero, Ramsay Health Care, Chalice Mining

Cloud-based software provider Xero (ASX:XRO) posted a mixed performance for the half year which ended in September after it investing more into its sales, marketing and product development. This meant that its earnings after tax fell despite revenue growing in that period. Investors weren’t too happy with the growth of new international subscribers as seen by the fall in the share price from this investment given that people were still cooped up at home due to the lockdowns. However, on a brighter note, average revenue per user for the company's international business grew significantly compared to Australia and New Zealand, helped by its acquisition of Planday, a workforce management platform. Shares in Xero (ASX:XRO) closed 6.2 per cent lower at $138.12.

A company that felt the pain from the Covid-19 lockdowns is Ramsay Health Care (ASX:RHC). The global private hospital provider posted a fall of almost 40 per cent in after-tax profit due to restrictions on elective surgery for the September quarter. It also didn’t help that expenses blew out, which included a $55 million hit in one-off costs due to movement and isolation restrictions. Shares in Ramsay Health Care (ASX:RHC) closed almost 4 per cent lower at $69.38.

On Tuesday, Chalice Mining (ASX:CHN) announced its biggest nickel sulphide discovery in 20 years and the largest platinum-group elements discovery in Australian history, setting the miner up for a world-class green metals project. Shares rose almost 29 per cent that day, then another 6 per cent the next day and today, shares surged again, with a total gain for the week so far of 45 per cent. Shares in Chalice Mining (ASX:CHN) closed 9.6 per cent higher at $10.01.

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Source: Finance News Network