The S&P / ASX 200 (Index: ^AXJO) (ASX: XJO) is trading flat this afternoon as investors worry about the domino effect of hard falls in China's stockmarket. However, there are several ASX businesses heading higher that are worth a closer look.
G8 Education Ltd (ASX: GEM) is an aggregator of childcare centres that requires a mixture of debt and equity to funds its acquisitive activities. The popularity of its childcare centres is also somewhat leveraged to varying levels of government subsidies. Given the subdued outlook for organic growth the stock's chief appeal looks to be a dividend yield around 6%, with the potential for some capital growth provided management is able to execute on its acquisitive growth strategy.
Greencross Limited (ASX: GXL) is a pet shop retailer and operator and aggregator of vetinary clinics aiming to capitalise on the increased willingness of Australians to spend on their pets. The stock got heavily sold off recently on the back of an earnings downgrade and general malaise amongst stocks the market views as aggregators. However, today the stock has lifted 2.89% to $6.06 and it looks like it may have plenty of room to run ahead of it yet.
Mesoblast limited (ASX: MSB) is a regenerative medicine business that currently has several clinical trials in progress aimed at proving the efficacy of its technology in treating various common human ailments. The company recently announced some of the results for one of its clinical trials in treating diabetes. The business has a market value around $1.3 billion, but has so far been long on promise and short on delivery. The stock is up 1% to $4 today, although is down nearly 10% over 2015.
CuDeco Limited (ASX: CDU) has lifted 23% to $1.23 today after the company reported that its Rocklands Copper Project is on track for production within the next few months. The project is expected to be profitable at current copper prices with the benefit of the falling Aussie dollar another potential tailwind. The company already has an off-take agreement with a Chinese client for 60% of the planned copper concentrate produced.
