Insights

McMillan (ASX:MMS) share price on watch today. Here’s why

The McMillan (ASX: MMS) share price will be on watch today following a business update and preliminary result for the H1 FY21 trading period.
The post McMillan (ASX:MMS) share price on watch today. Here’s why appeared first on The Motley Fool Australia. –

close up of man's eye looking through magnifying glass representing asx 200 share price on watch

McMillan Shakespeare Limited (ASX: MMS) shares will be on watch today after the company announced a business update and preliminary result for its FY21 first-half trading period. At yesterday’s closing bell, the McMillan share price finished the day at $11.54.

Why will the McMillan share price be in focus?

It will be interesting to see where the McMillan share price heads today on the back of the company’s latest update.

According to this morning’s release, McMillan advised it is continuing to experience tailwinds within the salary packaging, novated leasing, and fleet & asset management market.

Despite the challenging operating environment from COVID-19, McMillan revealed that its business performance is rapidly recovering. In particular, novated lease sales are rebounding, remarketing values for used vehicles are seeing stronger returns, and its Plan Partners is on an upwards growth trajectory.

As a result, the company anticipates that underlying net profit after tax for the FY21 first-half period will be $42.7 million. McMillan said this includes a $7.3 million payment from the Australian Government’s JobKeeper scheme.

The company is scheduled to release its half-year results for the 2021 financial year on 24 February.

Management commentary

McMillan CEO and managing director Mr Mike Salisbury welcomed the favourable trading conditions, saying:

We are pleased with the underlying performance of the business in the first half. Our investments in digital technologies and our ability to flex our operating model has delivered a stronger performance and is reflected in the ongoing positive feedback we have received from our customers.

We have benefited from unusual trading conditions in the broader motor industry in the first half. These conditions are expected to normalise throughout the course of the second half of the 2021 financial year and as such, operating performance in the second half is expected to be similar to the first half, excluding the JobKeeper contribution.

Review of the McMillan share price

The McMillan share price has gone on a seesaw ride over the past 12 months. Its shares hit a 52-week high of $13.23 last February, before falling to a decade-low of $5.01 the month after.

Since then, the McMillan share price has gradually moved higher with a few bumps along the road.

In comparison to this time last year, McMillan shares are down 9.8%.

Based on the current McMillan share price, the company commands a market capitalisation of around $893 million.

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.

See The 5 Stocks

*Returns as of June 30th

More reading

Motley Fool contributor Aaron Teboneras 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.

The post McMillan (ASX:MMS) share price on watch today. Here’s why 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!