Day: March 12, 2022

3 ASX growth shares brokers rate as buys

Confident male Macquarie Group executive dressed in a dark blue suit leans against a doorway with his arms crossed in the corporate office

Confident male Macquarie Group executive dressed in a dark blue suit leans against a doorway with his arms crossed in the corporate officeConfident male Macquarie Group executive dressed in a dark blue suit leans against a doorway with his arms crossed in the corporate office

Are you interested in adding some more ASX shares to your portfolio?

Three ASX growth shares that could be worth considering are listed below. Here’s what you need to know about them:

Altium Limited (ASX: ALU)

The first ASX growth share to look at is Altium. It is a printed circuit board (PCB) design software provider which could be worth considering due to its leading position in a market exposed to the Internet of Things and artificial intelligence booms. The proliferation of electronic devices these markets are causing is expected to lead to increasing demand for its software over the next decade.

Bell Potter is positive on Altium and currently has a buy rating and $38.75 price target on its shares.

The broker has been pleased with Altium’s shift to subscriptions and sees the company as a potential takeover target. In respect to the latter, it said: “Altium has already received an unsolicited takeover offer from Autodesk at $38.50 which was rejected. Our view is Autodesk’s Fusion 360 platform is lacking a high powered ECAD offering so we believe Autodesk would still be very interested in Altium and may come back with a revised offer.”

Aristocrat Leisure Limited (ASX: ALL)

Another ASX growth share to look at is Aristocrat Leisure. It is one of the world’s leading gaming technology companies. It has bounced back strongly from the pandemic and appears to be winning market share from its rivals. Another positive is that its digital business, now called Pixel United, continues to grow strongly and generate significant recurring revenues.

Morgans is a fan of the company. It has an add rating and $48.00 price target on its shares.

The broker has previously noted that Aristocrat is “clearly excelling in the land based arena” and that its digital business is “well placed in the current environment with strong demand expected.”

Life360 Inc (ASX: 360)

A final ASX growth share to look at is Life360. This growing technology company is responsible for the Life360 mobile app. This market leading app is for families and offers useful features such as communications, driver safety, and location sharing. As of its last update, the company’s user base had reached over 30 million globally. This is generating significant recurring revenues and opens the door to material cross and upselling opportunities for its recently acquired businesses. These are wearables company Jiobit and items tracking company Tile.

Bell Potter is bullish on the company’s future. It currently has a buy rating and $10.00 price target on its shares.

The broker said: “[Life360] remains a key pick and we believe has been oversold as, despite currently being loss making, has ample cash to fund it through to cash flow breakeven or positive in 2023 or 2024 while maintaining strong top line revenue growth and realising the synergy benefits from the recent Tile acquisition.”

The post 3 ASX growth shares brokers rate as buys 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 over ten 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 January 12th 2022

More reading

Motley Fool contributor James Mickleboro owns Life360, Inc. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Altium and Life360, Inc. 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.

from The Motley Fool Australia https://ift.tt/cjiv3d4

3 exciting ETFs ASX investors need to know now

Man looking at an ETF diagram.

Man looking at an ETF diagram.Man looking at an ETF diagram.

If you’re looking for an easy way to invest your hard-earned money, then exchange traded funds (ETFs) could be worth considering.

This is because rather than deciding on which individual shares to put your money into, ETFs allow you to invest in a large group of shares through just a single investment.

With that in mind, here are three ETFs that are proving to be popular with investors right now:

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The first ETF for investors to look at is the BetaShares Asia Technology Tigers ETF. This ETF tracks the performance of an index comprising ~50 of the largest technology and online retail shares in Asia (excluding Japan). BetaShares notes that due to its younger, tech-savvy population, Asia is surpassing the West in terms of technological adoption. As a result, the sector is expected to remain a growth sector for some time to come. Among the ETF’s holdings are Alibaba, Baidu, JD.com, Pinduoduo, Samsung, Taiwan Semiconductor, and Tencent.

BetaShares Crypto Innovators ETF (ASX: CRYP)

Another ETF to look at is the BetaShares Crypto Innovators ETF. BetaShares notes that this very high risk ETF provides “picks and shovels” exposure to the companies that are building crypto mining equipment, crypto trading venues, and other key services that allow the crypto economy to grow. At present, the ETF is invested in up to 36 crypto leaders such as Coinbase, Riot Blockchain, and Microstrategy. It also owns shares with indirect exposure such as Block/Square, PayPal, and Robinhood.

ETFS Battery Tech & Lithium ETF (ASX: ACDC)

A final ETF to look at is the ETFS Battery Tech & Lithium ETF. The fund manager, ETFS, notes that this ETF offers investors exposure to the energy storage and production megatrend. This includes companies involved in the supply chain and production for battery technology and lithium mining. It notes that demand for energy storage is being driven by the movement towards emissions reduction and renewable energy, which bodes well for companies included in the fund. This includes AMG Advanced Metallurgical Group, Lockheed Martin, and Australian lithium miner Pilbara Minerals Ltd (ASX: PLS).

The post 3 exciting ETFs ASX investors need to know now 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 over ten 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 January 12th 2022

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. owns and has recommended Betashares Crypto Innovators ETF. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/pvUISZJ

$20k invested in these ASX shares 10 years ago is now worth…

A woman holds a lightbulb in one hand and a wad of cash in the other

A woman holds a lightbulb in one hand and a wad of cash in the otherA woman holds a lightbulb in one hand and a wad of cash in the other

I’m a big fan of buy and hold investing and believe it is one of the best ways for investors to grow their wealth.

To demonstrate how successful it can be, I like to pick out a number of popular ASX shares to see how much a single $20,000 investment 10 years ago would be worth today.

This time around I have picked out the two ASX shares that are listed below:

CSL Limited (ASX: CSL)

The CSL share price has generated strong returns for investors over the last decade. This has been driven by consistently solid profit growth underpinned by strong demand for its immunoglobulins, its high level of investment in research and development, and successful acquisitions. Over the period, the company’s shares have provided a total return of 23.7% per annum, which would have turned a $20,000 investment in 2012 into almost $170,000 today.

Goodman Group (ASX: GMG)

Thanks to the expert positioning of this integrated industrial property company’s portfolio to in-demand areas such as ecommerce and logistics, Goodman has been a market beater over the last 10 years. During this time, Goodman’s shares have delivered a total return of 21.8% per annum. This means that if you would have invested $20,000 into its shares 10 years ago, it would now be worth almost $145,000.

SEEK Limited (ASX: SEK)

This job listings giant has been a great place to invest over the last decade. Thanks to its domination of the local market and its growing international operations, SEEK has delivered solid revenue and earnings growth over the period in question. This has ultimately led to the company’s shares generating a total return of 17.3% per annum since 2012. Which would have turned $20,000 into just under $100,000.

The post $20k invested in these ASX shares 10 years ago is now worth… 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 over ten 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 January 12th 2022

More reading

Motley Fool contributor James Mickleboro owns SEEK Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended CSL Ltd. The Motley Fool Australia has recommended SEEK Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/xkK8w4W

The CSL (ASX:CSL) share price has struggled to gain traction in 2022. Does that make it cheap?

AGL share price ASX value buy share price

AGL share price ASX value buy share priceAGL share price ASX value buy share price

The CSL Limited (ASX: CSL) share price has struggled since the start of 2022. It’s down over 13%. Does that mean that the ASX healthcare share is cheap?

It’s now lower than it was at the bottom of the COVID-19 crash.

What’s going on with the CSL share price?

My colleague Tony Yoo has quoted the fund manager Jun Bei Liu from investment manager Tribeca.

She said pointed out that healthcare names have underperformed, not because of the war but because they were expensive companies relative to other sectors.

There is also the prospect of much faster interest rate hikes to combat the high level of inflation that the world is seeing.

Billionaire Ray Dalio from investment group Bridgewater Associates once said about interest rates:

It all comes down to interest rates. As an investor, all you’re doing is putting up a lump sum payment for a future cash flow.

The CSL share price initially rose after investors got a look at the result, but it has since dropped back.

To be able to call something “cheap”, knowing how much profit a business is generating can be useful.

FY22 half-year result

CSL reported a net profit after tax (NPAT) of $1.67 billion for the first six months of FY22, which was down 5% in constant currency terms. However, revenue was up 4% in constant currency terms.

Management said that was strong growth in a number of areas for the business, whilst HPV royalties rebounded strongly (up 134%). Seqirus, the influenza vaccine business, was one of the segments that saw a strong performance with revenue up 17% in constant currency terms.

Ig and albumin sales were limited by constrained plasma collections in FY21.

In FY22, the net profit is expected to be in the range of between $2.15 billion to $2.25 billion at constant currency.

The interim dividend was increased by 8% in Australian dollar terms to A$1.46 per share.

Acquisition

The company also recently announced that it was acquiring Vifor Pharma, a global specialty pharmaceutical company with leadership in renal disease and iron deficiency.

Management said this will represent a meaningful acceleration of its 2030 strategy by further enhancing its focus on therapeutic leadership areas, innovation and sustainable growth.

Is the CSL share price a cheap buy?

When talking about CSL, Resmed CDI (ASX: RMD) and Cochlear Limited (ASX: COH), the fund manager Liu said:

All of them have reported pretty good numbers… And since then the share prices have come off again

All of that together makes these companies absolute standouts. When there’s a rebound it is these companies that will be the first ones to move [upwards]. They have pricing power. They can apply faster price increases so that their earnings growth is not going to be impacted. These companies will continue to grow.

Plenty of brokers also think that CSL is a buy, such as Citi, with a price target of $335. Morgans is another broker with a positive outlook – it rates CSL as a buy with a price target of $327.60.

On Citi’s numbers, the CSL share price is valued at 30x FY23’s estimated earnings.

The post The CSL (ASX:CSL) share price has struggled to gain traction in 2022. Does that make it cheap? appeared first on The Motley Fool Australia.

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

Before you consider CSL, 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 CSL wasn’t one of them.

The online investing service he’s run for over 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 January 13th 2022

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. owns and has recommended CSL Ltd. and Cochlear Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended ResMed. The Motley Fool Australia has recommended Cochlear Ltd. and ResMed Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/aPwgJkl