With the Australian share market coming under significant pressure in recent weeks due to the coronavirus outbreak, the majority of shares on the S&P/ASX 200 index are trading lower year to date.
But not all of them are. Some shares on the benchmark index have carved out strong gains despite the market volatility.
Here's why these ASX 200 shares are flying high in 2020:
The A2 Milk Company Ltd (ASX: A2M) share price is up 10% since the start of the year. Investors have been buying the infant formula and fresh milk company's shares thanks to its strong first half performance and the belief that it is actually experiencing a jump in demand in China because of the coronavirus outbreak. In respect to the former, in the first half a2 Milk Company delivered revenue of NZ$806.7 million and EBITDA of NZ$263.2 million. This was an increase of 31.6% and 20.5%, respectively, over the corresponding period.
The TPG Telecom Ltd (ASX: TPM) share price has been a strong performer in 2020 and is up 19% year to date. Investors have been fighting to buy the telco company's shares following the release of a strong half year result, upgraded earnings guidance, and news that the ACCC will not appeal the Federal Court's decision to approve the merger between it and Vodafone Hutchison Telecommunications (Aus) Ltd (ASX: HTA). The latter is a big positive and will allow TPG Telecom to compete toe to toe with Optus and Telstra Corporation Ltd (ASX: TLS).
The NEXTDC Ltd (ASX: NXT) share price has climbed a massive 22.2% higher year to date. This strong share price gain has been driven by the data centre operator's impressive half year result last month and the release of a contract update last week. That update revealed that it has grown its contracted utilisation in Victoria by 40% since the end of the first half. This was due to major new contract commitments which have the potential to increase further depending on demand.
