Here's why the Tyro (ASX:TYR) share price is leaping 5% today

Tyro shares are rallying to year-to-date highs.

| More on:

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

The Tyro Payments Ltd (ASX: TYR) share price is a top performer today, rallying 5.87% to $3.97.

A woman leaps in the air, so excited because she just purchase a new car.

Image source: Getty Images

What's lifting the Tyro share price on Monday?

Weekly COVID-19 trading update

Tyro has been providing weekly transaction value updates since March 2020. This measure was introduced to provide transparency as to the impact of COVID-19 on its EFTPOS machines business.

This week's update highlighted a 28% increase in date-on-date transaction values to 3 September of $219 million.

While September year-to-date figures were up 23% to $4.579 billion.

Tyro's transaction value has remained buoyant despite prolonged lockdowns taking place across Victoria and New South Wales.

Tyro joins the ASX 200

S&P Dow Jones Indices announced a rebalance on Friday 3 September. The rebalance will be effective before market open on 20 September.

The Tyro share price, in addition to Lifestyle Communities Limited (ASX: LIC), Pinnacle Investment Management Group Ltd (ASX: PNI) and SeaLink Travel Group Ltd (ASX: SLK), will be added to the S&P/ASX 200 Index (ASX: XJO).

While weak performers G8 Education Ltd (ASX: GEM), NRW Holdings Limited (ASX: NWH), Nuix Ltd (ASX: NXL) and Westgold Resources Ltd (ASX: WGX) will be removed from the index.

Tyro shares performing strongly post-FY21 results

The Tyro share price has rallied 10.5% since releasing its FY21 results on Thursday 26 August.

Despite terminal connectivity issues in January and rolling COVID-19 lockdowns across major cities, the company delivered a well-rounded result.

The payment solutions company delivered a 26% increase in transaction values to a record $25.5 billion and a 13% increase in revenue to $238.5 million.

The company's bottom line showed signs of improvement with earnings before interest, taxes, depreciation and amortisation (EBITDA) of $14.2 million compared to a $4.4 million loss in FY20. This is in addition to a normalised net loss before tax of $10.9 million, compared to a $25.9 million loss in FY20.

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended PINNACLE FPO and Tyro Payments. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Nuix Pty Ltd. The Motley Fool Australia owns shares of and has recommended PINNACLE FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

3 children standing on podiums wearing Olympic medals.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a horrid day on the markets.

Read more »

A young man punches the air in delight as he reacts to great news on his mobile phone.
Share Gainers

Why EBR, EOS, Racura, and Woodside shares are rising today

These shares are avoiding the market selloff.

Read more »

The silhouettes of ten people holding hands with their arms raised against the sky, as the sun rises or sets in the background.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a happy hump day session for the ASX.

Read more »

Ecstatic woman looking at her phone outside with her fist pumped.
Share Gainers

Why EOS, Humm, New Hope, and Sims shares are storming higher today

These shares are having a good session on hump day. But why?

Read more »

Wife and husband with a laptop on a sofa over the moon at good news.
Healthcare Shares

Why are Telix shares racing 8% higher today?

Telix shares are now 11% higher for the year-to-date.

Read more »

Two smiling work colleagues discuss an investment at their office.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a rare green day for investors this Tuesday.

Read more »

Excited couple celebrating success while looking at smartphone.
Share Gainers

Why Challenger, Meeka Metals, Vulcan Energy, and West African Resources shares are rising today

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

Read more »

Green stock market graph with a rising arrow symbolising a rising share price.
Gold

Guess which ASX gold share is rocketing 24% on an 'unexpected bonus'

Investors are piling into this junior ASX gold stock on Tuesday. But why?

Read more »