Codan (ASX:CDA) share price tops performance on ASX Tech Index in 2021

The communications technology company is defying the tech stock downturn in 2021 to fly higher.
The post Codan (ASX:CDA) share price tops performance on ASX Tech Index in 2021 appeared first on The Motley Fool Australia. –

Shares in Codan Ltd (ASX: CDA) are leading the S&P/ASX All Technology Index (ASX: XTX) this year. The Codan share price has gained almost 60% in 2021 so far.

At the time of writing, shares in Codan are trading at $17.73, gaining 3.02% today. At the start of 2021, shares in the company were swapping hands for $11.28.

By contrast, the All Tech Index has fallen almost 10% since the beginning of the year.

Codan designs and manufactures communications and technologies designed for use in tough conditions. It produces radios, metal detectors, and mining automation systems. The company provides these to a number of users, including ‘Five Eyes’ military and intelligence agencies.

Codan has announced a number of acquisitions this year, as well as posting strong financial results. The company’s share price also managed to dodge the US-driven tech sell-off in March.

Let’s take a closer look at what Codan has been up this year.

Terrific 2021 to date

The first we heard from Codan this year was in mid-February.

Then, the company announced it had acquired US-based Domo Tactical Communications (DTC). DTC produces high bandwidth wireless communications and specialises in multiple-input multiple-output (MIMO) mesh networks.

The news saw the Codan share price hit what was then an all-time high of $13.64.

Two days later, Codan released strong results for the first half of the 2021 financial year.

On 1 April, Codan announced another acquisition, this time of critical communication technologies manufacturer Zetron Inc.

The news led its share price to close 9.5% higher than the previous day’s trade.

Codan share price snapshot

Codan shares have been having more than just a great few months on the ASX.

Since this time last year, the Codan share price has gained around 160%.

The company has a price-to-earning (P/E) ratio of 41.67 and it pays a dividend.

Codan has a market capitalisation of around $3 billion, with approximately 180 million shares outstanding.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

*Returns as of February 15th 2021

More reading

Codan (ASX:CDA) share price wobbles on news of a completed acquisition

The post Codan (ASX:CDA) share price tops performance on ASX Tech Index in 2021 appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!