It was a disappointing month for the S&P/ASX 200 Index (ASX: XJO) in September. A heavy decline at the end of the month led to the benchmark index losing 4% of its value during the period to end it at 5,815.9 points.
Thankfully, not all shares on the index tumbled lower with the market last month. Four ASX 200 shares that surged higher are listed below.
Here's why they were the best performers on the index in September:
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SKYCITY Entertainment Group Limited (ASX: SKC)
The SKYCITY share price was the best performer on the ASX 200 last month with a 21.2% gain. Investors were buying the casino and resorts operator's shares following the release of its FY 2020 results. Although SKYCITY posted a disappointing decline in normalised earnings, its trading update gave investor sentiment a boost. Management revealed that local gaming in Auckland and Hamilton is now ahead of pre-COVID levels and local gaming in Adelaide is now consistent with pre-COVID 19 levels. As a result, the company is guiding to a return to profit growth in FY 2021.
CSR Limited (ASX: CSR)
The CSR share price was on form in September and charged 16.7% higher. This appears to have been driven partly by a broker note out of Macquarie. According to the note, the broker has an outperform rating and improved price target of $4.60 on the building products company's shares. It likes CSR due to its strong balance sheet, which it feels will help it navigate tough markets. It is also becoming increasingly bullish on its building products segment and has lifted its estimates accordingly.
Boral Limited (ASX: BLD)
The Boral share price wasn't far behind with a 13.7% gain over the month. The catalyst for this gain appears to have been a broker note out of Citi. It upgraded the building materials company's shares to a buy rating on the belief that construction markets are rebounding. In addition to this, it notes that there is a new management team in place and a portfolio review is coming up in October. It has suggested the company could offload its landbank, which could be worth up to $1.23 per share.
Whitehaven Coal Ltd (ASX: WHC)
The Whitehaven share price finally found some form and charged 12.4% higher in September. A broker note also appears to be the driver of this gain. According to a note of UBS, its analysts retained their buy rating and lofty $2.00 price target on the coal miner's shares. UBS notes that Whitehaven's shares have fallen materially this year due to a decline in coal prices. However, it feels investors will be rewarded if they're patient and coal prices recover. The Whitehaven share price ended the month at $1.04.
