On Tuesday the S&P/ASX 200 index dropped lower for the second day in a row. Despite this disappointing end to the month, the benchmark index recorded a gain of 2.34% in April.
Whilst this was a strong gain, it paled in comparison to some of the gains that were made on the market last month. Here's why these were the best performers on the ASX 200 in April:
The Eclipx Group Ltd (ASX: ECX) share price was far and away the best performer on the benchmark index last month with a gain of 59%. The fleet management company's shares have been on a solid run over the last few weeks despite there being no news out of it. But with its shares down significantly this year, it appears as though some investors believe that they are attractively priced. Eclipx's shares have been hammered in 2019 due to the sudden deterioration in its performance and the breakdown of merger talks.
The DuluxGroup Limited (ASX: DLX) share price was the next best performer with a gain of 32% in April. The paint company's shares rocketed higher after its board unanimously recommended a $9.80 cash per share takeover offer from Japan's Nippon Paint. Management believed the takeover would provide increased opportunity for Dulux to pursue its growth ambitions, leveraging Nippon's global scale and resources to realise significant synergies for the combined entity.
The Nearmap Ltd (ASX: NEA) share price was a strong performer in April with an impressive 23.5% gain. News that the aerial imagery technology company would be added to the S&P/ASX 200 index appears to have been a key catalyst for this strong gain. In addition to this, Nearmap's shares have been climbing strongly since the release of an impressive half year result in February. In the first half of FY 2019 Nearmap posted revenue of $36.3 million, up 46% on the prior corresponding period. Also catching the eye was its 123% increase in total subscriber lifetime value to $1.07 billion.
The Magellan Financial Group Ltd (ASX: MFG) share price continued its strong run and rose a sizeable 22.5% last month. The fund manager's shares have been on a tear since the release of a strong half year result in February. In the first half of FY 2019 Magellan posted a 40.8% increase in revenue and a massive 224.6% lift in net profit after tax. This was driven by the outperformance of its funds and a strong increase in funds under management. Pleasingly, the latter continued in March with Magellan reporting net inflows of $1,177 million at the start of April.
