Insights

Here’s why the Swoop (ASX:SWP) share price is soaring 7% today

Today’s a rocketing day on the ASX for Swoop.
The post Here’s why the Swoop (ASX:SWP) share price is soaring 7% today appeared first on The Motley Fool Australia. –

The Swoop Holdings Ltd (ASX: SWP) share price is rocketing after the company announced a new $5 million deal.

Swoop has won the contract the provide National Broadband Network (NBN) services to Western Australia.

At the time of writing, the Swoop share price is trading at $1.49, 7.58% higher than its previous closing price.

Swoop is a newly listed telco. It provides ultra-reliable, high-throughput, flexible fixed internet and telecommunication services.

Let’s take a closer look at today’s news from Swoop.

Swoop’s new contract

The Swoop share price is gaining today after it released news of a new 5-year NBN contract.

Swoop’s wholly-owned subsidiary NodeOne, alongside secure network provider Orro Group, has signed a contract worth more than $5 million.

Together, the two companies will provide NBN enterprise ethernet to users across Western Australia.

They will use NodeOne’s direct connectivity to connect more than 150 locations to all 14 of Western Australia’s NBN points of interconnects (POIs).

Swoop says the contract positions it as a ‘challenger telco’ that can offer multi-site solutions, competitive rates, and local support.

The company expects the contracted work to be finished by the end of the first half of the 2022 financial year.

Commentary from management

Swoop’s CEO Alex West commented on the news driving the company’s share price today. He said:

The team has been working closely with NBN and Orro Group for some time on this deal and it is an amazing achievement for all parties involved.

NodeOne are the only WA-based retail service provider with direct connectivity to all the NBN POIs, and when you combine this with the great relationship we have with NBN and Orro Group, our local support and account management teams, it really gave us a unique offering.

Swoop share price snapshot

The Swoop share price has gained 19.2% since its initial public offering (IPO) in late May.

The company has a market capitalisation of around $236 million, with approximately 170 million shares outstanding.

The post Here’s why the Swoop (ASX:SWP) share price is soaring 7% today appeared first on The Motley Fool Australia.

Should you invest $1,000 in Swoop right now?

Before you consider Swoop, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Swoop wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of May 24th 2021

More reading

Swoop (ASX:SWP) share price storms 8% on company takeover

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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!