If you’re wanting to invest in the mining sector in 2022, then you may want to look at the ASX mining shares listed below.

Bell Potter has just named them among its top picks for 2022. Here’s what you need to know:

Mining outlook

Firstly, it is worth highlighting that Bell Potter remains positive on the sector.

It commented: “While the short-term outlook for base metals and iron ore has been dampened by power restrictions and high energy prices in key economies, plus the emergence of new COVID strains, the underlying thematic of tight supply-demand fundamentals remains.”

It also believes that while rising interest rates pose a risk to the gold price, it views “the gold price outlook as skewed to the upside.”

With all that in mind, here are the picks:

Chalice Mining Ltd (ASX: CHN)

Bell Potter is bullish on this mineral exploration company, largely due to its exciting Julimar project in Western Australia. It has a speculative buy and $11.73 price target on the company’s shares.

The broker commented: “The release of CHN’s maiden Resource for the Gonneville deposit at its Julimar PGE-Ni-Cu-Au project in WA confirmed its status as a world class discovery. Containing 10Moz 3E (Palladium + Platinum + Gold), 530kt Ni, 330kt Cu and 53kt Co, it remains open and prospectivity remains high. There are further opportunities for significant Resource growth along the 26km strike length of geophysical anomalies associated with the Gonneville mineralisation. We expect the Scoping Study due for release in Q2CY22 will be a material, positive catalyst, setting out a baseline development case that will be likely to grow with the Resource.”

Liontown Resources Limited (ASX: LTR)

The broker is also a fan of this lithium developer. It believes its Kathleen Valley lithium project is well-placed to benefit from high lithium prices. Bell Potter has a speculative buy and $2.15 price target on its shares.

Its analysts explained: “LTR is positioned to become a key supplier of battery raw materials and is now capable of funding Kathleen Valley’s initial development capital. The project DFS highlighted production of 658ktpa SC6 with potential for conversion into 86ktpa lithium hydroxide (75ktpa lithium carbonate equivalent, LCE). LTR is independent, debt free and with all offtake uncommitted it is in a strong strategic position in a market for lithium facing supply shortages as decarbonisation policies are enacted. Key catalysts are now signing product offtake contracts, project permitting and commencing project development.”

Regis Resources Limited (ASX: RRL)

In the gold sector, the broker is bullish on Regis Resources. It currently has a buy rating and $3.81 price target on the company’s shares.

Bell Potter commented: “RRL’s share price has continued to drift on a forecast slow start to FY22 and a lack of conviction on the gold price. However, RRL continues to be competitive with peers on operating and cost metrics and is relatively cheap on a number of valuation metrics. While Duketon and Tropicana are currently not performing at their best, we expect stronger performances in 1HCY22 and, particularly in Tropicana’s case, over the longer term. RRL offers exposure to a long-life, low-cost asset base and the opportunity of organic growth at McPhillamys lifting group production to ~700kozpa. On a riskreward basis, at these levels, we view RRL is a standout in the sector.”

The post Bell Potter names the best ASX mining shares to buy in 2022 appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Next year, 2022, could be a big year for some of the ASX tech shares according to some leading experts.

The last couple of years have been incredible times of transformation for some businesses, and the economy as a whole.

These two ASX tech shares could have a lot more for investors over the next 12 months:

Temple & Webster Group Ltd (ASX: TPW)

The online furniture and homewares business is rated as a buy by Credit Suisse with a price target of $15.89.

It was also very recently rated as a buy by UBS, with a price target of $12.20.

UBS thinks that the company will keep benefiting from the shift of consumers to buying things online. More customers are returning and buying more from the e-commerce retailer, and the business can keep adding new product lines to expand its addressable market.

Analysts and management alike believe that the business can grow revenue quickly and also increase its profit margins as it benefits from operating leverage.

The business is expecting its fixed costs to become smaller in percentage terms compared to revenue as the business gets bigger. Greater scale will also help with things like improved supplier terms, greater ranges of (private label) products, increasing marketing and even further improvements with its technology (like augmented reality).

This ASX tech share is continuing to see strong year on year growth. In FY22, from 1 July 2021 to 15 October 2021, revenue had increased 56% compared to the prior corresponding period.

It continues to invest into areas of the business to grow its online market share with the ultimate goal of becoming the largest retailer (online and offline) for furniture and homewares in its ‘home’ market.

Airtasker Ltd (ASX: ART)

Online services marketplace business Airtasker is rated as a buy by the broker Morgans. It has a price target of $1.27 – that’s more than 40% higher than where it is today.

Morgans thinks that Airtasker has good long-term growth potential.

Not only is the business growing in Australia, but it’s experiencing rapid growth internationally as well.

The FY22 first quarter saw gross marketplace volume (GMV) growth of 6.2% year on year to $35 million despite key markets (like Sydney and Melbourne) in lockdown for the quarter.

Airtasker has seen a “strong post-lockdown bounce back” with the last weekly update revealing GMV of $3.6 million, which equates to an annualised run rate of $185 million.

In the first quarter of FY22 it saw international GMV growth of more than 100%, driven by “strong growth” in the UK.

The ASX tech share is expanding in the US with its Zaarly acquisition and it’s expanding in some city markets including Dallas, Kansas City, Miami and Atlanta. Airtasker said the USA expansion was just in its early days.

It’s planning to expand its marketing expenditure significantly to grow geographically and increase its brand recognition.

The post 2 fantastic ASX tech shares tipped for big things in 2022 appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Temple & Webster Group Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Airtasker Limited. The Motley Fool Australia has recommended Temple & Webster Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The National Australia Bank Ltd (ASX: NAB) share price has been a very positive performer this year.

Since the start of the year, the banking giant’s shares have risen 26%.

Throw in the fully franked 127 cents dividends it has paid, and you’ve got a return that smashed the benchmark.

The good news is that one leading broker still believes there’s more to come.

Three reasons the NAB share price remains good value

According to a note out of Goldman Sachs, it has a buy rating and $31.15 price target on the bank’s shares.

Based on the current NAB share price, this implies further upside of 8%. And if you add in the ~5% dividend yield Goldman is forecasting in 2022, this increases to 13%.

Why is it the broker positive on NAB?

There are three reasons for this positive sentiment. One of those is the progress it has already made with its cost cutting.

It explained: “We reiterate our Buy (on CL) on NAB and it remains our preferred sector exposure given: i) NAB’s cost management initiatives, which seem further progressed relative to peers, have freed up investment spend to be more directed towards customer experience (50% in FY22 from 39% in FY21) as opposed to infrastructure.”

Another reason the broker is positive is the bank’s strong position in business banking.

Goldman commented: ii) given NAB’s position as the largest business bank, we believe it will benefit more from the continued economic recovery (management is seeing all segments in its Business & Private Bank exhibiting solid growth without sacrificing margin, and asset quality remains pristine); 

Finally, Goldman is happy with the state of the bank’s balance sheet

It concluded: “iii) good balance sheet momentum with NAB expecting at or above system growth across all divisions.”

All in all, the NAB share price may be powering higher this year, but Goldman doesn’t believe it is too late to get in on the action.

The post Is the NAB (ASX:NAB) share price great value? Goldman thinks it is appeared first on The Motley Fool Australia.

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• December has been a great month so far for the NAB (ASX:NAB) share price

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The new year is just around the corner. What’s the outlook for both the Coles Group Ltd (ASX: COL) share price and the dividend?

Coles has seen a mixture of challenges and successes since the start of the COVID-19 pandemic.

But despite COVID-19 now being two years old, the effects are still being felt across various parts of the economy.

How is the next 12 months looking for the supermarket business?

Current trading conditions

In the first quarter of FY22, which was the 13 weeks to 26 September 2021, Coles saw supermarket sales rise 1.8% year on year to $8.6 billion and total sales went up 1.5% to $9.76 billion.

Turning to the second quarter, the first four weeks showed comparable supermarket sales were broadly in-line with the first quarter and up approximately 8% on a two-year basis. These numbers are just helping the first half of FY22 though.

Coles was optimistic heading into Christmas, with consumer savings at an all-time high and the launch of a large range of entertaining options which the company said was good value. The supermarket business thinks it will see elevated sales as family and friends get together again.

COVID-19 costs were expected to peak in October and then start to moderate in November and December. Lower costs are expected in the second half.

Construction delays have impacted the capital expenditure program in the first half of FY22, so the business is shifting some of the capital program into FY23. In FY22, capital expenditure is now expected to be between $1.2 billion to $1.4 billion.

Coles is also facing Fair Work Ombudsman proceedings. It has incurred $13 million of remediation costs (including interest and superannuation) relating to some salaried team members, with a further $12 million provisioned in its most recent accounts.

Analyst thoughts on the Coles share price and dividend

The broker Citi thinks that Coles is a buy, with a price target of $19.60 for the next year. That implies a potential rise of just over 10%. Citi thinks it is going to take longer for things to get back to normal, which could benefit Coles.

On Citi’s numbers, Coles has a FY22 grossed-up dividend yield of 5.3%. The Coles share price is valued at 22x FY22’s estimated earnings.

Morgans also rates the business as a buy, with a price target of $19.90. This broker is expecting the supermarket business to pay a grossed-up dividend yield of 5% this financial year.

But not every analyst is positive on Coles.

UBS currently rates Coles as a sell, with a price target of $16.50. That suggests that Coles shares could fall by around 5% over the next year if the broker is right. The broker thinks that the supermarkets have seen the best of the demand conditions and that Woolworths Group Ltd (ASX: WOW) is/was achieving better results.

The post What’s the outlook for the Coles (ASX:COL) share price and dividend in 2022? appeared first on The Motley Fool Australia.

More reading

• 2 top ASX 200 dividend share picks for income
• Why is the Coles (ASX:COL) share price sinking 4% today?
• Own Coles (ASX:COL) shares? Here’s how the share price performed in November
• Why is the Metcash (ASX:MTS) share price smashing Coles this year?
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Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns and has recommended COLESGROUP DEF SET. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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