Day: 1 June 2022

Are you looking for dividend shares to add to your income portfolio and beat inflation? If you are, then the two listed below could be worth considering.

These dividend shares have been rated as buys and tipped to provide investors with attractive yields. Here’s what you need to know about them:

Centuria Industrial REIT (ASX: CIP)

The first ASX 200 dividend share to look at is pure play industrial REIT, Centuria Industrial.

It could be a top option for investors, especially after a recent pullback in its share price. This is because demand for industrial properties has been very strong and looks set to remain strong for some time to come thanks to structural drivers.

To get a sense of how strong demand is, you just need to look at its half-year results. Centuria Industrial reported an 8.9-year weighted average lease expiry with a 99.2% portfolio occupancy. This underpinned strong funds from operation (FFO) and allowed management to upgrade its guidance.

Macquarie is very positive on Centuria Industrial and currently has an outperform rating and $4.27 price target on its shares. As for dividends, the broker is forecasting dividends per share of 17.3 cents in FY 2022 and 17.8 cents FY 2023. Based on the current Centuria Industrial share price of $3.42, this equates to yields of 5% and 5.2%, respectively.

Coles Group Ltd (ASX: COL)

Another ASX 200 dividend share that could be a buy in June is supermarket giant, Coles.

It could be a great option for income investors due to its defensive qualities, strong market position, solid long term growth prospects, and favourable exposure to rising inflation.

In addition, the company is working hard on its refreshed strategy, which is focusing on cutting costs with automation and efficiencies.

Analysts at Morgans are very positive on the company. They currently have an add rating and $20.65 price target on its shares. The broker is also forecasting fully franked dividends of 61 cents per share in FY 2022 and then 64 cents per share in FY 2023.

Based on the latest Coles share price of $17.80, this will mean yields of 3.4% and 3.6%, respectively, over the next two years.

The post 2 inflation-beating ASX 200 dividend shares experts rate as buys this month appeared first on The Motley Fool Australia.

More reading

• UBS warns of more downgrades for ASX 200 shares… but not all
• I’d buy these two ASX dividend shares in June 2022
• Analysts name 2 ASX dividend shares to buy with 5% yields
• Why is the Coles share price lagging the ASX 200 on Friday?
• Fundie reveals 3 ASX 200 shares with major pricing power to counter inflation

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 positions in 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 Scott Phillips.

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If you’re interested in adding some S&P/ASX 200 Index (ASX: XJO) shares to your portfolio in June, then the three listed below could be worth considering.

These ASX 200 shares have been named as buys and tipped to generate strong returns for investors. Here’s what you need to know about them:

CSL Limited (ASX: CSL)

The first blue chip ASX 200 share to consider is CSL. It is a leading biotechnology company which owns a portfolio of life-saving and lucrative therapies and vaccines which are generating billions of dollars in sales each year. In addition, the company invests in the region of 10% to 11% of its sales back into research and development activities every year. This ensures that CSL has a pipeline of potentially lucrative products to drive its future growth.

Citi is positive on CSL and has a buy rating and $335.00 price target on its shares. This compares to the latest CSL share price of $273.50.

NEXTDC Ltd (ASX: NXT)

Another ASX 200 share that could be in the buy zone is NextDC. It is a leading data centre operator with a collection of world class centres across key locations throughout Australia. Together with its potential expansion into Asia and Edge (regional) data centres and the ongoing structural shift to the cloud, NextDC has been tipped to grow strongly in the coming years.

Citi is also positive on NextDC. The broker has a buy rating and $14.55 price target on its shares. This compares to the latest NextDC share price of $11.06.

SEEK Limited (ASX: SEK)

A final ASX 200 share for investors to look at is leading job listings company, Seek. It appears well-positioned for growth in the coming years thanks to its leadership position, pricing power, and exposure to Australia’s recovery from the pandemic.

The team at Morgan Stanley is bullish on Seek. Its analysts currently have an overweight rating and $36.00 price target on its shares. This compares favourably to the current Seek share price of $24.24.

The post Analysts name 3 ASX 200 shares that could generate strong returns appeared first on The Motley Fool Australia.

More reading

• What happened to the CSL share price in May?
• Buy these 2 impressive ASX 200 shares in June 2022: experts
• Why is the CSL share price losing ground on Friday?
• Why I think these 3 ASX shares are top-quality buying at today’s prices
• After being stuck in the mud for 3 years, are CSL shares a buy today?

Motley Fool contributor James Mickleboro has positions in NEXTDC Limited and SEEK Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in 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 Scott Phillips.

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The Qantas Airways Ltd (ASX: QAN) share price is climbing so far this week despite turbulence created by media headlines.

The company’s share price has jumped about 0.73% since market close on Friday to the current price of $5.53. The S&P/ASX 200 Index (ASX: XJO) has gained 0.44% in the same time frame.

So what has been going on at Qantas?

Qantas and REX airlines exchange harsh words

Qantas is performing slightly better than its ASX travel share peers this week. The Flight Centre Travel Group Ltd (ASX: FLT) share price has lifted 0.34% since market close on Friday while Webjet Limited (ASX: WEB) shares have fallen 0.5%.

Qantas has been hitting headlines after competitor Regional Express Holdings Ltd (ASX: REX) cut five regional flights and accused Qantas of “bullying”. Rex withdrew flights servicing Bathurst, Grafton, Lismore, Kangaroo Island, and Ballina.

In a statement to the market on Monday, Rex chairman John Sharp said:

Qantas’ well-publicised predatory actions on Rex’s regional routes have meant that Rex no longer has the ability to cross subsidise these marginal routes.

It is unfortunate that these regional communities are the collateral damage of Qantas’ bullying and heartless behaviour.

However, Qantas refuted the claims, describing them as “far fetched”, news.com.au reported. Qantas hit back by claiming Rex is not having a problem finding money to invest in more planes for capital city routes. A Qantas spoksperson added:

Rex’s claims against Qantas have become so far-fetched, we had to create a dedicated page on our website to rebut them and update it on a fairly regularly basis.

Rex has a monopoly on three of these routes it’s abandoning, so if it can’t make them work, it has no-one else to blame but itself.

In other news, a Qantas plane reportedly had to make an emergency landing at Sydney airport on Sunday night, Daily Mail reported today. Passengers claimed they were informed they “may not land on the runway” before the plane ended up landing smoothly. However, a Qantas spokesperson said:

Passengers were informed that the aircraft may need to be towed to the gate after landing due to the hydraulic issue. At no point was the aircraft at risk of not landing on the runway.

Qantas share price snapshot

The Qantas share price has surged 17% in the past year while it’s gained 10% year to date as borders reopen.

In contrast, the S&P/ASX 200 Index (ASX: XJO) has returned about 1% in a year.

Qantas has a market capitalisation of about $9.6 billion based on its current share price.

The post What’s happening to the Qantas share price this week? appeared first on The Motley Fool Australia.

More reading

• Here’s what’s impacting the Qantas share price on Thursday
• Guess which ASX 200 shares UBS just added to its ‘best ideas’ list
• Qantas share price on watch after massive acquisition
• 2 ASX blue-chip shares this top fund manager thinks are good value
• ‘Never waste a crisis’: Expert picks one ASX share he’d buy right now

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 Scott Phillips.

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It’s been a tough start to June and winter for the Xero Limited (ASX: XRO) share price. At market close on Wednesday, Xero shares have fallen by a nasty 2.16% and are currently going for $87.36 each. That’s certainly a lot closer to Xero’s 52-week low of $75.80 than its 52-week high of $156.65.

But this latest fall is only an extension of the falls we saw for Xero shares over the month just gone. May was a hard month for most ASX 200 shares. The S&P/ASX 200 Index (ASX: XJO) lost a hefty 3.01% over May, with many ASX 200 shares recording falls far larger than that.

Xero, as a prominent ASX 200 tech share, often tends to move in an amplified pattern to the broader ASX 200. If the ASX 200 falls, Xero shares often fall by even more. Conversely, if the markets have a good time of it, Xero is usually outperforming.

So Xero shares began May at a price of $96.35 each. Yesterday, the cloud-based accounting software company closed at $89.27 a share. That’s a rather nasty fall of 7.33% – far more than the falls of the broader market over the month.

So why was Xero left out in the cold last month?

Why did the Xero share price have such a chilly May?

Well, it looks as though the company’s full-year results that Xero posted on 12 May played a large role here.

Back then, Xero dropped its full-year results for the 12 months to 31 March 2022. As we covered at the time, Xero announced a 29% increase in revenues to NZ$1.1 billion, as well as a 28% lift in annualised monthly recurring revenue to NZ$1.2 billion. The company also revealed that its total subscribers swelled by 19% to 3.3 million.

That led Xero to report an 11% rise in earnings before interest, tax, depreciation and amortisation (EBITDA) to NZ$212.7 million, which put its net loss at NZ$9.1 million.

As my Fool colleague observed when these results were released, it seems investors were expecting to see a little more from Xero. That might explain why the company’s shares fell around 10% at the time to what is now the company’s 52-week low.

Xero spent the following weeks bouncing back slightly from this dramatic fall. But it wasn’t enough to stop Xero shares from going backwards by 7.33% over the month just gone.

At the current Xero share price, this ASX 200 tech share has a market capitalisation of $13.06 billion.

The post Why did the Xero share price go backwards in May? appeared first on The Motley Fool Australia.

More reading

• Best ASX shares to buy in June 2022
• 3 ASX shares I’m telling my clients to buy: advisor
• Xero share price charges higher: Can this tech share keep rising?
• 5 things to watch on the ASX 200 on Monday
• Here’s why I think these 2 ASX growth shares are top buys in May

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Xero. The Motley Fool Australia has positions in and has recommended Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Lake Resources NL (ASX: LKE) share price sunk today amid a broader lithium market selloff.

The company’s shares fell 12.9% to $1.35 each. In contrast, the S&P/ASX 200 Materials Index (ASX: XMJ) dropped just 0.32% today.

Let’s take a look at why the Lake Resources share price struggled today.

ASX lithium shares tumble

Lake Resources may have fallen but it wasn’t the only ASX lithium share to slide today.

The Core Lithium Ltd (ASX: CXO) share price descended a whopping 20.43%, while Allkem Ltd (ASX: AKE) fell 15.39%. Meanwhile, Pilbara Minerals Ltd (ASX: PLS) shed a mammoth 22%.

This followed a similar trend in US markets on Tuesday. The Lithium Americas (NYSE: LAC) share price fell nearly 13% on the New York Stock Exchange on Tuesday following a note out of Goldman Sachs.

Goldman predicted a sharp correction in lithium prices from around $60,000 per tonne to $54,000 in 2022 and $16,000 per tonne in 2023. Analysts declared “we see the battery metals bull market as over for now”.

Lake Resources is targeting lithium carbonate production from the Kachi Lithium Brine Project in Argentina in 2024.

Meanwhile, researchers at the University of Houston have reportedly discovered a potential substitute to lithium-based battery technology.

Scientists have developed sodium glassy electrodes that can support “long-duration, grid-scale energy storage”, Science Daily reported in the US overnight. The research has been published in Nature Communications. A researcher at the University of Houston, Ye Zhang, said:

The new structural and compositional design strategies presented in this work provide a new paradigm in the development of safe, low-cost, energy-dense, and long-lifetime solid-state sodium batteries.

Further, Argentina announced it would set a reference price for lithium carbonate exports of US$53 per kilogram, as my Foolish colleague Bernd reported this morning. This aims to “avoid maneuvering that impacts tax revenues and dollar sales”.

Share price snapshot

The Lake Resources share price has surged 419% in the past year while it has gained nearly 34% year to date.

For perspective, the benchmark S&P/ASX 200 Index (ASX: XJO) has climbed about 1% in a year.

Lake Resources has a market capitalisation of about $1.8 billion based on its current share price.

The post Why did the Lake Resources share price tumble today? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX shares today
• The Lake Resources share price has plummeted 30% in a month. What’s going on?
• Lake Resources share price tumbles again: Broker now sees almost 100% upside
• Lake Resources share price drops 9%: Is this a buying opportunity?
• Low charge: Is the party over for ASX lithium stocks?

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 Scott Phillips.

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The Australia and New Zealand Banking Group Ltd (ASX: ANZ) share price plummeted 7.5% in May.

The Australian banking giant provided the market with two important updates during the month, which impacted the ANZ share price.

We take a look at the announcement and how the company’s shares reacted.

What happened to ANZ in May?

Early last month, ANZ delivered its half-year results to the market, which came ahead of shareholder expectations.

Subsequently, the bank’s shares rose 0.44% to $27.38 on the day.

However, the following six consecutive days did not bode well for ANZ shares, falling a total of 8.3%.

Broader market weakness and volatility hit the S&P/ASX 200 Index, which shed more than 5% over the same timeframe.

In addition, ANZ capped it off with a 2.83% loss yesterday after investors digested the news regarding the Australian Securities and Investments Commission (ASIC) proceedings.

The ASX regulator announced it has commenced a civil penalty proceeding on the charging of credit card cash advance fees in some circumstances.

The claim relates to a situation where “funds are deposited to put a credit card account into a credit balance, and a cash advance is subsequently made on the account drawing down on the credit balance before the deposit is processed”.

Although ANZ did not provide further comment, the matter is being taken to the court.

About the ANZ share price

Over the past 12 months ANZ shares have shed around 10%.

The company’s share price reached a 52-week low of $24.65 in March before rebounding higher momentarily and then falling again.

On valuation grounds, ANZ presides a market capitalisation of roughly $69.96 billion.

At the close of trade on Wednesday, the bank’s shares finished up 1.04% at $25.30.

The post May wasn’t kind to the ANZ share price. Here’s what happened appeared first on The Motley Fool Australia.

More reading

• ANZ share price largely unfazed by ASIC law suit
• The corporate cop is suing ANZ: share price on watch
• The ANZ share price is ‘trading at its largest discount to its peers in 15 years’: Is this justified?
• Own ANZ shares? The bank is amping up competition between its big four peers
• ASX shares paid out a record $98b in dividends in the 12 months to March. Which are the star performers?

Motley Fool contributor Aaron Teboneras 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 Scott Phillips.

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Today, the S&P/ASX 200 Index (ASX: XJO) behaved in a jittery manner as investors flip-flopped between bullish and bearish. At the end of the session, the benchmark index finished 0.08% higher at 7,217 points.

There were a few gemstones in amongst the mud on the ASX today. Notably, the communication services sector stood boldly above the rest as telcos enjoyed a spirited bid. Likewise, industrials and banks were in favour, all rising more than 1%.

Unfortunately, where there was green there was also red. Most noteworthy of the fallers were utilities, with Origin Energy Ltd (ASX: ORG) succumbing to a 14% collapse after reducing its FY2022 guidance amid energy market volatility.

However, the question is: which shares delivered the biggest returns to investors on the ASX today? Here are the top ten stocks that came through for investors:

Top 10 ASX shares countdown today

Looking at the top 200 listed companies, Telstra Corporation Ltd (ASX: TLS) was the biggest gainer today. Shares in Australia’s largest network provider appreciated by 3.09% as Optus criticised its proposed partnership with TPG Telecom Ltd (ASX: TPG). Find out more about Telstra Corporation here.

The next best performing ASX share across the market today was TPG Telecom. As you might expect, the 2.87% gain in the company’s share price is likely linked to the warm reception received by Telstra. Uncover the latest TPG Telecom details here.

Today’s top 10 biggest gains were made in these ASX shares:

ASX-listed company	Share price	Price change
Telstra Corporation Ltd (ASX: TLS)	$4.00	3.09%
TPG Telecom Ltd (ASX: TPG)	$5.915	2.87%
Fortescue Metals Group Ltd (ASX: FMG)	$20.67	2.79%
Auckland International Airport Ltd (ASX: AIA)	$6.90	2.68%
Nufarm Ltd (ASX: NUF)	$5.40	2.08%
Reliance Worldwide Corporation Ltd (ASX: RWC)	$4.00	2.04%
Chorus Ltd (ASX: CNU)	$6.61	2.01%
Commonwealth Bank of Australia Ltd (ASX: CBA)	$106.40	1.96%
Transurban Group (ASX: TCL)	$14.65	1.95%
BHP Group Ltd (ASX: BHP)	$45.41	1.79%

Our top 10 ASX shares today countdown is a recurring end-of-day summary to ensure you know which companies were making big moves on the day. Check in at Fool.com.au after the market has closed during weekdays to see which stocks make the countdown.

The post Here are the top 10 ASX shares today appeared first on The Motley Fool Australia.

More reading

• 3 ASX 200 shares smashing the market today
• Why Bailador, Fortescue, Nufarm, and Telstra shares are rising
• What’s dragging the Lynas share price 6% lower today?
• UBS warns of more downgrades for ASX 200 shares… but not all
• Here are 3 highly profitable shares I’ll be buying this month

Motley Fool contributor Mitchell Lawler has positions in Commonwealth Bank of Australia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Reliance Worldwide Corporation Limited. The Motley Fool Australia has positions in and has recommended Telstra Corporation Limited. The Motley Fool Australia has recommended Reliance Worldwide Corporation Limited and TPG Telecom Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Bitcoin (CRYPTO: BTC) price has been marching higher this week.

When most Aussies were greeting the day on Monday morning, the world’s top token by market cap was trading for US$29,100.

At the time of writing, the Bitcoin price stands at US$31,591, up 8.5% so far this week.

What’s going on?

Cryptos catching up from last week’s decoupling

2022 has seen cryptos move in almost lockstep to risk assets.

When the tech-heavy Nasdaq has posted losses, so too have most cryptos. And when risk assets have rebounded, the Bitcoin price has followed suit.

But last week that relationship broke down, with cryptos decoupling from share markets for the first time this year.

In last week’s trading, the Nasdaq gained 6.7% as investors took heart that interest rates might not rise as quickly or far as the US Fed had earlier indicated. The Bitcoin price, on the other hand, fell 5.5% last week, its eighth consecutive week of losses.

Commenting on this week’s broader crypto rally, chief investment officer at LedgerPrime Shiliang Tang said (as quoted by Bloomberg), “I expect this gap to close a bit in the short term with crypto catching up.”

Meantime, the CEO of social media trading platform Alpha Impact, Hayden Hughes, added:

Markets are long overdue for a relief rally. Bitcoin just went through eight consecutive weeks in red territory and got technically oversold to levels we traditionally only see at the bottom of bear markets.

On Alpha Impact, we’re seeing heavy buying of Ether and several altcoins, and these patterns mirror what we saw in the July 2021 bear market bottom and the January 2022 local bottom.

Bitcoin price to the moon? Not so fast!

Don’t bet the farm on the Bitcoin price continuing to charge higher just yet, though. In fact, don’t invest any more than you can comfortably afford to lose.

A strategist at crypto exchange LMAX Digital, Joel Kruger, sounded a note of caution.

Noting that markets were closed in the United States on Monday for the Memorial Day holiday, he said the Bitcoin price gains were “happening in very thin trading conditions over a weekend and into a US holiday…  So price action needs to be taken with a grain of salt.”

The post Why is the Bitcoin price bouncing back this week? appeared first on The Motley Fool Australia.

More reading

• Down 17%, what went so wrong for the Bitcoin price in May?
• Bitcoin price decouples from tech shares, but not as hoped
• Why Bitcoin, Dogecoin, and Shiba Inu are falling today
• This is the top performing crypto in 2022 so far, and it sure isn’t Bitcoin
• What do NFTs mean for the gaming industry?

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Bitcoin. The Motley Fool Australia has positions in and has recommended Bitcoin. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Many of Australia’s top brokers have been busy adjusting their financial models again, leading to the release of a large number of broker notes this week.

Three ASX shares brokers have named as buys this week are listed below. Here’s why they are bullish on them:

Altium Limited (ASX: ALU)

According to a note out of Morgan Stanley, its analysts have retained their overweight rating but cut their price target on this electronic design software company’s shares to $35.00. Morgan Stanley believes that Altium could be benefiting from global supply chain difficulties and chip shortages. This is because it suspects that its software is experiencing high demand from designers repurposing chips and its Octopart search engine is being used to source parts. The Altium share price is trading at $28.55 on Wednesday.

BHP Group Ltd (ASX: BHP)

A note out of Citi reveals that its analysts have retained their buy rating and lifted their price target on this mining giant’s shares to $50.00. Citi has been looking over BHP following the demerger of its petroleum business. It feels there could be opportunities to unlock further value with another demerger. This would see BHP split into Bulks and Metals (inc. potash). The BHP share price is fetching $45.65 today.

Wesfarmers Ltd (ASX: WES)

Analysts have retained their buy rating and $56.00 price target on this conglomerate’s shares. According to the note, the broker has been impressed with the company’s new $80 million Bunnings Pymble store. It believes this store’s unique design should be able to capitalise on the trade segment and extend its addressable market. And while changing purchasing patterns takes time, it feels that a larger presence in an attractive demographic is a good start. The Wesfarmers share price is trading at $47.58 on Wednesday afternoon.

The post Top brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

More reading

• UBS warns of more downgrades for ASX 200 shares… but not all
• Can the Altium share price cash in on the global chip shortage?
• The BHP special dividend is being paid today. Here’s the lowdown
• What went wrong for the Wesfarmers share price in May?
• 5 things to watch on the ASX 200 on Wednesday

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 positions in and has recommended Altium. The Motley Fool Australia has positions in and has recommended Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Mineral Resources Ltd (ASX: MIN) share price finished well in the red on Wednesday.

The explorer’s shares closed 8.07% lower at $58.70 apiece. For perspective, the S&P/ASX 200 Materials Index (ASX: XMJ) closed 0.32% lower

So what was hurting the Mineral Resources share price today?

Lithium price concerns

Broader market sentiment on lithium prices appeared to impact the Mineral Resources share price today.

Mineral Resources explores and produces both lithium and iron ore in Western Australia.

In the third quarter of FY22, the company produced 104,000 dry metric tonnes of spodumene concentrate from its Mt Marion Lithium Project, a 6% increase on the previous quarter.

Mineral Resources was not alone in its plunge today, however. Other ASX lithium shares that tumbled include Core Lithium Ltd (ASX: CXO), down 20.43%, and Pilbara Minerals Ltd (ASX: PLS) which closed 22.03% lower.

Allkem Ltd (ASX: AKE) shares finished down 15.83% while the Liontown Resources Limited (ASX: LTR) share price ended the session 19.08% in the red.

In the US, the Lithium Americas Corp (NYSE: LAC) share price also plummeted nearly 13% on the New York Stock Exchange on Tuesday.

A note out of Goldman Sachs forecasting the battery metals bull market is over seemed to impact lithium shares in both Australia and the United States.

Goldman said prices for battery metals are on a downward trajectory and predicted a “sharp correction in lithium”. Analysts added:

With climate change top of mind, investors are fully aware that battery metals will play a crucial role in the 21st century global economy, just as bulk and base metals did before them.

Yet despite this exponential demand profile, we see the battery metals bull market as over for now.

Analysts went as far as predicting the lithium price could fall from its current level of about US$60,350 per tonne to $16,372 per tonne by 2023. This would be a nearly 73% crash in lithium prices.

Share price snapshot

The Mineral Resources share price has jumped 26% in the past year, while it is up 5% year to date.

For perspective, the S&P/ASX 200 Materials Index has leapt nearly 4% in the past 12 months and 6% since the start of the year.

Mineral Resources has a market capitalisation of about $11.2 billion.

The post Why did the Mineral Resources share price slide today? appeared first on The Motley Fool Australia.

More reading

• These were the best performing ASX 200 shares in May
• Why ASX lithium shares have ‘absolutely more room to run’ in 2022: expert
• Analysts name 2 of the best ASX lithium stocks to buy now
• Why are ASX 200 lithium shares kicking goals today?
• The Mineral Resources share price leapt 10% this week. Too late to buy?

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 Scott Phillips.

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