Why Afterpay and these ASX 200 shares have more than doubled in 2019

The Afterpay Touch Group Ltd (ASX: APT) share price is one of three that have doubled on the ASX 200 in 2019…

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

On Wednesday the S&P/ASX 200 index closed at a record high of 6,850.6 points. When the benchmark index hit that level, it meant it had gained an impressive 23.2% since the start of the year.

Whilst that is outstanding, some shares on the index have performed even better. Here's why these shares have doubled in value this year:

The Afterpay Touch Group Ltd (ASX: APT) share price is up a massive 163% this year. Investors have been buying the payments company's shares thanks to its strong performance in FY 2019 and impressive start to the new financial year. This strong form has been driven by the increasing popularity of its buy now pay later platform with consumers and merchants in Australia-New Zealand, the United States, and now the UK. Its success in these markets appears to demonstrate that the platform has the potential to go global. Another positive is its recent AML/CTF audit which didn't recommend any sweeping changes to its operating model.

The Fortescue Metals Group Limited (ASX: FMG) share price has stormed a sizeable 154% higher this year. The catalyst for this strong gain has been a material rise in the iron ore price in 2019. The price of the steel making ingredient has rocketed higher this year due to strong demand in China and supply disruption in Australia and Brazil. Combined with Fortescue's focus on keeping costs down and increasing the grade of its produce, the iron ore miner delivered a bumper profit result in FY 2019. This allowed the company to return billions of dollars to its shareholders through dividends.

The Jumbo Interactive Ltd (ASX: JIN) share price has been on fire again in 2019 and is up 183% year to date. Investors have been fighting to buy the lottery ticket seller's shares following an impressive FY 2019 result. Jumbo delivered a 64% jump in revenue to $65 million and a staggering 124% lift in net profit after tax to $26.4 million. Pleasingly, management appears confident that this strong form can continue in FY 2020. Furthermore, another positive is its recent expansion into the UK market. If this is a success, it could underpin further strong growth in the coming years.

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and recommends Jumbo Interactive Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Jumbo Interactive Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Gainers

A young man talks tech on his phone while looking at a laptop. A financial graph is superimposed across the image.
Share Gainers

Why Capricorn Metals, Insignia, Perseus Mining, and Qoria shares are storming higher

These shares are having a strong session on Tuesday. But why?

Read more »

A man clenches his fists in excitement as gold coins fall from the sky.
Share Gainers

Why Amaero, AMP, Block, and South32 shares are racing higher today

These shares are starting the week on a positive note. But why?

Read more »

Ten happy friends leaping in the air outdoors.
Share Gainers

Here are the top 10 ASX 200 shares today

It was another momentous session for ASX shares this Friday.

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Share Gainers

Why BHP, Catalyst Metals, Mesoblast, and Pilbara Minerals shares are shooting higher

These shares are ending the week with a bang. But why?

Read more »

Doctor doing a telemedicine using laptop at a medical clinic
Healthcare Shares

The Mesoblast share price just rocketed 38%! Here's why

ASX investors just sent the Mesoblast share price up 38%. But why?

Read more »

A businessman stacks building blocks.
Share Gainers

Here are the top 10 ASX 200 shares today

ASX shares hit a new record high today.

Read more »

A man sees some good news on his phone and gives a little cheer.
Share Gainers

Why Auckland Airport, Australian Ethical, Breville, and Clarity shares are charging higher

These shares are having a better day than most on Thursday. But why?

Read more »

A man sits on a bench atop a mountain with a laptop, making investments with a green ESG mind.
Share Gainers

Here are the top 10 ASX 200 shares today

Investors endured a day to forget this hump day.

Read more »