Day: 21 December 2021

  • Why has the short interest in Zip (ASX:Z1P) shares fallen in December?

    Investor watching a share price chart falling

    The short interest in Zip Co Ltd (ASX: Z1P) shares fell in early December and has remained flat since.

    According to The Motley Fool Australia’s weekly breakdown of the ASX’s most shorted shares, the buy now, pay later (BNPL) company ended November with 9.4% short interest.

    As of yesterday, the most recent data sees the company with a short interest of 9%.

    So, what might be making short sellers slightly more bullish on the Zip share price? Let’s take a look.

    Why did the short interest in Zip shares drop?

    Short sellers likely had a field day on the Zip share price in November – it tumbled 20% over the course of last month.

    But things seemed to be looking more favourable for Zip in early December. The dip in its short interest could have been strengthened by a positive update released earlier this month.

    On 7 December, Zip announced it saw its monthly transaction volume grow to $906.5 million in November – a 52% increase of the same month of 2020. It also saw the number of transactions using its service jump 86% to 7.5 million.

    However, the broader BNPL sector’s movements have been weighing heavily on the Zip share price lately. Of course, that’s fantastic news for short sellers.

    The company’s stock has hit numerous new 52-week lows in December.

    First, a particularly bad day for ASX tech shares saw the Zip share price tumble 10% to a new 12-month low of $4.34.

    It also slumped 6% to another low of $4.05 on Friday amid news from a United States regulator.

    The nation’s Consumer Financial Protection Bureau had ordered Zip, along with 4 of its popular peers, to provide it with the pros and cons of its offerings. The companies’ answers will help make up an inquiry into the BNPL industry.

    All in all, those holding Zip’s 9% short interest are probably having a joyous December – the company’s share price has tumbled another 20% since the month began.

    The post Why has the short interest in Zip (ASX:Z1P) shares fallen in December? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Zip right now?

    Before you consider Zip , you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Zip wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

    More reading

    Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended ZIPCOLTD FPO. 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 final Westpac (ASX:WBC) dividend is being paid today. Here’s what you need to know

    a man in a business suit whose face isn't shown hands over two australian hundred dollar notes from a pile of notes in his other hand to an outstretched hand of another person.

    Today is payday for the shareholders of Westpac Banking Corp (ASX: WBC), with the banking giant planning to pay its final dividend of FY 2021 this morning.

    Westpac dividend being paid today

    At the start of November, Westpac released its full year results for FY 2021 and reported a 138% increase in statutory net profit to $5,458 million and a 105% jump in cash earnings to $5,352 million.

    This was driven largely by a 144% increase in Business segment cash earnings to $1,789 million, which was supported by a more modest 12% increase in Westpac’s Consumer business cash earnings to $3,081 million.

    Together with its strong balance sheet, this allowed Westpac to announce a $3.5 billion buyback and declare a fully franked final dividend of $2.2 billion or 60 cents per share.

    The latter brought its full year dividend to a total of 118 cents per share, which represents an increase of 280% over the COVID-impacted FY 2020 dividend and a payout ratio of 62%.

    Dividend outlook

    The good news for Westpac shareholders is that a number of brokers expect further dividend increases in the years to come.

    For example, the team at Morgans has pencilled in a fully franked Westpac dividend of 123 cents per share in FY 2022 and then 162 cents per share in FY 2023.

    Based on the current Westpac share price of $21.01, this implies very generous yields of 5.9% and 7.7%, respectively, for investors over the next two financial years.

    Morgans also sees plenty of upside for Westpac’s shares. It currently has an add rating and $29.50 price target, which suggests they could climb as much as 40% over the next 12 months.

    The broker commented: “Westpac is our preferred major bank. While WBC stock is now being priced like it is a value trap, we do not believe it is a value trap.”

    The post The final Westpac (ASX:WBC) dividend is being paid today. Here’s what you need to know appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Westpac right now?

    Before you consider Westpac, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Westpac wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

    More reading

    Motley Fool contributor James Mickleboro owns Westpac Banking Corporation. 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 recommended Westpac Banking Corporation. 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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  • Is the Boral (ASX:BLD) share price already fully valued?

    a man in a hard hat and checkered shirt holds paperwork in one hand as he holds his hands upwards in an enquiring manner as though asking a question or exasperated by uncertainty.

    The Boral Limited (ASX: BLD) share price has been a strong performer in 2021.

    Since the start of the year, the building products company’s shares have risen 21%.

    Is it too late to invest?

    The broker community remains extremely divided on the Boral share price.

    In one corner you have Macquarie Group Ltd (ASX: MQG) and Citi which believe Boral’s shares can rise from here.

    In the other corner you have Morgan Stanley and UBS that believe Boral shares are fully valued now.

    Where next for Boral share price?

    Macquarie and Citi currently have buy and neutral ratings, respectively, with price targets of $7.20 and $7.15. Based on the current Boral share price, this represents upside of 19% to 20%.

    While Macquarie was disappointed with the sale price of Boral’s fly-ash business, which it notes has a lot of potential due to fly ash’s key role in the green concrete process, it remains positive due to the strengthening infrastructure demand environment and its transformation plan.

    Elsewhere, the teams at Morgan Stanley and UBS currently have underweight and neutral ratings, respectively, with $6.10 price targets. This is broadly in line with where the Boral share price trades today, which suggests its shares are fully valued at the current level.

    While UBS acknowledges that infrastructure demand is strong, it believes this is being offset by higher costs due to higher freight and labour expenses.

    Morgan Stanley appears to agree with this view. In fact, it expects Boral to deliver a very disappointing half year result early next year. According to a recent note, the broker has pencilled in first half earnings decline of approximately 40% in FY 2022. In light of this, Morgan Stanley doesn’t appear to be in a hurry to change its rating on the Boral share price.

    Which brokers make the right call, time will tell.

    The post Is the Boral (ASX:BLD) share price already fully valued? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Boral right now?

    Before you consider Boral, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Boral wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

    More reading

    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 recommended Macquarie Group Limited. 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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  • Webjet (ASX:WEB) shares have a 9% short interest. What does this mean?

    a father measures the height of a small girl standing against a wall in their home.

    Webjet Limited (ASX: WEB) shares are among the most shorted on the ASX. The company’s short interest reached 9.3% this week.

    That makes it the fourth most shorted Australian stock.

    But what does that actually mean? Let’s take a look at the implications of Webjet’s considerable short interest.

    What does Webjet shares’ short interest mean for investors?

    The Webjet share price is still under short attack, and it might be bad news for those invested in the company for growth.

    To put it simply, short selling is a way for large-scale investors to profit from share price falls.

    To ‘short’ a stock, a person must borrow it from another investor for a designated amount of time. The borrower then sells those loaned shares on the market.

    The idea is the borrower will take the cash from selling the loaned shares and sit on it for a time.

    If all goes well for the short seller (and poorly for long term investors), the share price of the borrowed stock will fall.

    That will let the short seller buy the loaned shares back for less than they sold them for, before returning the stock to their owner.

    The short seller can then pocket the difference as profit.

    So, what is short interest? It’s how many of a company’s shares are currently involved in short selling operations.

    Thus, 9.4% of Webjet’s outstanding shares are currently being wagered on its share price falling in the short to medium term.

    Of course, that figure is probably worrying to many long-term investors.

    Still, there’s always a chance the share price will go up and short sellers will have to fork out more than they earned to return the shares.

    Interestingly, that’s what many brokers seem to expect will happen.

    As The Motley Fool Australia recently reported, Morgans and Goldman Sachs both expect to see growth out of the company.

    Goldman Sachs has a price target of $6.90 on the travel company’s stock, while Morgans has slapped it with a target of $6.60.

    As of Monday’s close, the Webjet share price is $5.04, leaving the brokers predicting it has an upside of 30% to 36%.

    The post Webjet (ASX:WEB) shares have a 9% short interest. What does this mean? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Webjet right now?

    Before you consider Webjet, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Webjet wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

    More reading

    Motley Fool contributor Brooke Cooper 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 recommended Webjet 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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  • 2 value ASX shares ready for a big 2022: fund manager

    stephen bruce headshot.

    Ask A Fund Manager

    The Motley Fool chats with fund managers so that you can get an insight into how the professionals think. In this edition, Perennial Value Management portfolio management director Stephen Bruce explains how growth has overlapped with value in the past 2 years and his fund’s 2 biggest bets at the moment.

    Investment style

    The Motley Fool: How would you describe your fund to a potential client?

    Stephen Bruce: We’re a broad-cap ESG-aware, value-oriented Australian equities fund. We’ve got a long track record. We’ve been around for over 20 years, with a moderate value-style process. 

    The important thing is that we’ve got a real broad-cap focus. So we want to be able to find the opportunities wherever they are across the market cap spectrum. I think one of the reasons that we think we’ve got a good opportunity to do that is that we’re part of a very big equity business with 21 investment staff who cover everything from large caps, small caps, micro caps — and even down into the unlisted space, which is kind of helpful too in the sense that it gives you a good feel for what’s coming to [Initial Public Offering] IPO, et cetera.

    MF: The last month or so has been poor for growth stocks with inflation and interest rate fears. Do you feel like next year will be a positive one for value stocks?

    SB: I think in the same way the last 12 months has been pretty good for value and, in fact, since the day the market turned back in March 2020, it’s been good. 

    That really, in our view, comes down to this change of emphasis in the way the economy’s being managed — from an exclusive focus on monetary policy towards the acceptance that fiscal policy is important as well. 

    That’s led to this kind of a broadening of growth across the market. And if that continues, which on balance we expect it will — I’ll say why in a second — then we would think that you’re going to start to see this sort of kick up in interest rate, inflation being a bit more normal, lower than it is now but higher than it has been.

    And in that environment where you could find growth across quite a number of parts of the market and money isn’t quite as free as it used to be, the more valuey parts of the market tend to do better. 

    Some of the really expensive parts of the market might start to feel a bit of valuation pressure coming onto them. We’ve seen a bit of that just recently.

    Biggest convictions

    MF: What are your two biggest holdings?

    SB: Healius Ltd (ASX: HLS), which was one of our biggest holdings last time we spoke, is actually our biggest holding at the moment. 

    The investment case with that one hasn’t really changed in the sense that it’s got this really strong leverage to COVID testing. Being the second biggest pathology operator in Australia and doing about 20% of all pathology tests, it’s had an enormous first quarter. 

    Just as we’re sort of expecting it to fade, with the latest variant of COVID entering the scene, those testing rates have started to go back up again. So that’s the headline near-term driver but, in the background, it’s a business which is being, we believe, significantly improved from an operating point of view — we should see that once COVID’s washed through over time, the business that’s left will be in much better shape and generating much better margins.

    It’s also in a sector where there’s a lot of corporate activity. One of the really interesting things is infrastructure investors, which are a growing part of the market as more and more money is looking for assets with supposedly stable returns, it’s been expanding what is considered “infrastructure”. Many healthcare businesses are now starting to fall under the broader umbrella of infrastructure. 

    And if you think about something like pathology, where it grows at about 5% per annum, it’s largely government-funded, it’s pretty economically insensitive, that’s potentially an attractive space and we’re starting to see offshore non-traditional investors starting to look at that space.

    MF: What’s your other big one?

    SB: Interestingly our other second-biggest overweight is actually BHP Group Ltd (ASX: BHP). We have been underweight off miners for probably the last 6 months or so, but just with the extent that the share prices have come back and how far the iron oil price has fallen — it’s done the round trip from $100 to $200 and back again — even if you assume that iron ore stays at $100, BHP’s probably trading on 10 times cash flow and it’ll pay you a 10% dividend yield, which to us looks like really good value.

    But our expectation is that as we go into the new year, Chinese steel production will start to pick up again as the property market starts to accelerate. Because now, as we all know, the Chinese government has been clamping down on the property market which accounts for 40% of steel consumption in China.

    But now they’ve sort of seemed to have achieved a fair bit of what they’ve been wanting to do — rein in the big private developers, cool the market a bit — we’re starting to see the early signs of them easing up there. 

    It’s obviously such an important part [of the economy] and the comments that have come out of the most recent party meetings around their areas of focus all kind of indicate that housing, a recovery in housing and including construction of say, social housing, are going to be important. 

    That augurs pretty well. So if the iron ore price, which already seems to [have] started to head back up — it’s $114 or so now — if that continues, then we see a lot of upside in all of the big miners. But BHP is quite good in the sense that at the moment it’s got pretty good operational performance. It’s got an ungeared balance sheet. It’s divested. Its fossil fuel exposure though is cleaning itself up and attracts some extra interest from that perspective as well.

    The post 2 value ASX shares ready for a big 2022: fund manager appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

    More reading

    Motley Fool contributor Tony Yoo 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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  • Nine (ASX:NEC) share price on watch following $650m NRL deal

    Rugby player runs with the ball as four tacklers try to stop him.

    The Nine Entertainment Co Holdings Ltd (ASX: NEC) share price will be on watch on Tuesday.

    This follows the release of a positive update after the market close on Monday.

    Why is the Nine share price on watch?

    The Nine share price could be given a boost today from news that it has secured the broadcast rights to the NRL for the 2023 to 2027 seasons. This extends its partnership with the league beyond three decades.

    According to the release, the agreement will see the live broadcast of NRL matches on Free-To-Air TV remain broadly in line with Nine’s current contract, except for an extra three matches per year. This is due to the expansion of the league to a 17-team competition in 2023.

    Nine’s agreement includes the exclusive Free-to-Air broadcast of three premium live games a week, on each of Thursday and Friday evenings and Sunday afternoons, as well as the Finals series, and other special event matches. Nine will also show a Saturday night match live in each of the last five rounds of the weekly competition.

    Furthermore, the NRL Grand Final and State of Origin will continue to be exclusively shown on Nine and 9Now. All State of Origin matches will be broadcast on Wednesday evenings from 2023.

    Finally, the company has secured the radio and audio streaming rights for at least four matches each week, as well as the finals series and State of Origin series.

    What is Nine paying?

    The good news for Nine is that there hasn’t been an escalation in prices for these rights.

    Nine is paying an average of ~$115 million per annum, which is in line with the price it paid for the 2018 to 2022 contract. The only difference this time is the additional ~$15 million per annum of contra and other non-cash services that will be provided. This is up from ~$10 million per annum previously.

    Nine’s Chairman, Peter Costello, said: “This is a major deal for our business to bring this exciting sport to the Australian public across our platforms. The negotiation has been constructive and in the spirit of partnership across our businesses and we thank the NRL for the positive engagement in the process for an outcome that benefits all Australians and fans of the game.”

    This sentiment was echoed by Nine’s CEO, Mike Sneesby.

    He commented: “We are very pleased to extend our 30-year partnership with the NRL for a further five years. This certainty enables Nine to continue to bring the game live and free to all Australians, and partner with the NRL to further develop the game for the clubs and the broader community. This is an outstanding result as together we build a strong media partnership delivering quality, and free, NRL coverage for all Australians for the next six years.”

    The post Nine (ASX:NEC) share price on watch following $650m NRL deal appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Nine right now?

    Before you consider Nine, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Nine wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

    More reading

    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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  • Why this top broker says the Medibank (ASX:MPL) share price will hit new, all-time highs in 2022

    a doctor in a white coat makes a heart shape with his hands and holds it over his chest where his heart is placed.

    The Medibank Private Limited (ASX: MPL) share price could hit a new, all-time high in 2022 according to a leading broker.

    Medibank is the largest private health provider in Australia with its Medibank and ahm brands.

    What broker has high expectations for the Medibank share price?

    Credit Suisse currently rates Medibank as a buy with a price target of $3.70. That implies the Medibank shares could rise by close to 10% over the next year, if the broker is right.

    If the Medibank share price did indeed reach $3.70 in 2022, then that would be a new all-time high for the business.

    Credit Suisse notes that Medibank continues to grow its total number of policyholders, which is helping it increase its market share.

    The broker referenced Medibank’s latest update at its annual general meeting (AGM) when coming up with its recent thoughts for the business.

    AGM update

    Medibank is committed to returning any permanent net claims savings due to COVID back to customers and it expects to confirm the next segment of customer support before the end of the year.

    Management said that its strong policyholder growth has continued with the addition of around 21,000 policyholders in the first four months of this financial year.

    Due to that above growth, and the assumption that industry participation growth will be slower in FY22 relative to FY21, it’s now aiming to grow by at least 3% in FY22, including growth in the Medibank brand.

    On an underlying basis, Medibank is expecting average net claims per policy to be in line with the second half of FY21, or 2.4% among resident policyholders.

    Medibank also highlighted that it’s transforming into a health company, with preventative health and new models of care enabling the business to provide people with even more support to manage their health and wellbeing.

    The digital offering is a key part of Medibank’s plan to support day to day engagement with customers, allowing for a more personalised and connected health experience.

    Medibank share price valuation

    Based on the broker Credit Suisse’s profit projections for FY22, the Medibank share price is valued at 21x FY22’s estimated earnings with a grossed-up dividend yield of 5.4%.

    The post Why this top broker says the Medibank (ASX:MPL) share price will hit new, all-time highs in 2022 appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Medibank right now?

    Before you consider Medibank, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Medibank wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

    More reading

    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 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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  • Analysts say buy these ASX dividend shares

    a man sits on his sofa loong at his phone and raises a fist to the air in happy celebration.

    Are you looking for dividend shares to buy? If you are, then you might want to look at the shares listed below.

    Here’s why these ASX dividend shares could be worth considering right now:

    Accent Group Ltd (ASX: AX1)

    The first ASX dividend share to look at is Accent. It is the retailer behind a growing network of footwear focused brands including The Athlete’s Foot, Platypus, Stylerunner, and HypeDC to name a few.

    Accent could be a good option for income investors due to its track record of growing its earnings and dividends at a consistently solid rate for many years, as well as its very positive long term outlook. The latter is being underpinned by the popularity of its stores, its exclusive licensing agreements, and its expansion opportunities.

    Bell Potter is a big fan of Accent. It currently has a buy rating and $3.05 price target on its shares.

    As for dividends, the broker is forecasting fully franked dividends per share of 9.1 cents in FY 2022 and then 13.5 cents in FY 2023. Based on the latest Accent share price of $2.32, this represents yields of 3.9% and 5.8%, respectively.

    Transurban Group (ASX: TCL)

    Another ASX dividend share for income investors to look at is Transurban.

    It is one of the world’s leading toll road operators which owns a portfolio of key roads in Australia and North America. In addition, the company has a pipeline of development projects that should support its growth over the next decade.

    Morgans is positive on Transurban. This is due to its shares providing investors with exposure to trends such as regional population growth, employment growth, and urbanisation. The broker currently has an add rating and $14.79 price target on the company’s shares.

    In respect to dividends, Morgans expects dividends per share of 39 cents in FY 2022 and then 57 cents in FY 2023. Based on the current Transurban share price of $13.63, this will mean yields of 2.9% and 4.2%, respectively.

    The post Analysts say buy these ASX dividend shares appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

    More reading

    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 recommended Accent Group. 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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  • 5 things to watch on the ASX 200 on Tuesday

    Smiling man with phone in wheelchair watching stocks and trends on computer

    On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week on a subdued note. The benchmark index fell 0.15% to 7,292.2 points.

    Will the market be able to bounce back from this on Tuesday? Here are five things to watch:

    ASX 200 expected to edge lower

    The Australian share market looks set for another subdued day on Tuesday. According to the latest SPI futures, the ASX 200 is expected to open the day 10 points or 0.15% lower this morning. This is a decent result considering the poor start to the week on Wall Street. In late trade the Dow Jones is down 1.5%, the S&P 500 is down 1.45%, and the Nasdaq is 1.6% lower.

    Nine secures NRL rights

    The Nine Entertainment Co Holdings Ltd (ASX: NEC) share price will be one to watch on Tuesday after it confirmed an agreement for NRL broadcast rights for the 2023 to 2027 seasons. Under this agreement, the live broadcast of NRL matches on Free-To-Air TV will be broadly in line with the current contract, albeit with an extra three matches, due to the expansion of the league. Nine is paying an average of $115 million per annum, which is in line with the prior agreement.

    Oil prices fall

    Energy producers such as Beach Energy Ltd (ASX: BPT) and Woodside Petroleum Limited (ASX: WPL) could have a difficult day after oil prices tumbled again. According to Bloomberg, the WTI crude oil price is down 3.6% to US$68.26 a barrel and the Brent crude oil price has fallen 3% to US$71.31 a barrel. Oil prices fell amid concerns over demand because of the spread of Omicron.

    Gold price falls

    Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a difficult day after the gold price dropped. According to CNBC, the spot gold price is down 0.7% to US$1,792.40 an ounce. The precious metal fell despite Wall Street tumbling overnight.

    Westpac dividends

    Today is payday for the shareholders of Westpac Banking Corp (ASX: WBC). Eligible shareholders can look forward to receiving the banking giant’s final dividend of FY 2021. Last month Australia’s oldest bank declared a fully franked final dividend of 60 cents per share. This equates to a 2.9% yield based on the current Westpac share price.

    The post 5 things to watch on the ASX 200 on Tuesday appeared first on The Motley Fool Australia.

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    Motley Fool contributor James Mickleboro owns Westpac Banking Corporation. 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 recommended Westpac Banking Corporation. 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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