Day: August 8, 2022

3 ETFs for ASX investors to buy right now

3 asx shares represented by investor holding up 3 fingers

3 asx shares represented by investor holding up 3 fingers

Exchange traded funds (ETFs) can be great additions to a balanced portfolio. This is because they give investors easy access to a large and diverse number of different shares that you wouldn’t ordinarily have access to.

But which ones would be top options for investors today? Listed below are three that could be worth considering:

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The first ETF to look at is the BetaShares Asia Technology Tigers ETF. It tracks the performance of the 50 largest technology companies that have their main area of business in Asia (excluding Japan). This includes the likes of Alibaba, JD.com, Pinduoduo, Samsung, Taiwan Semiconductor, and Tencent Holdings. With these companies revolutionising the lives of billions of people in the region, they have been tipped to have bright futures.

BetaShares NASDAQ 100 ETF (ASX: NDQ)

Another ETF to consider is the hugely popular BetaShares NASDAQ 100 ETF. It gives investors exposure to many of the most iconic companies in the world. This includes the likes of Amazon, Apple, Facebook, Microsoft, Netflix, and Tesla. BetaShares notes that with its strong focus on technology, the ETF provides diversified exposure to a high-growth potential sector that is under-represented on the Australian share market.

VanEck Vectors Video Gaming and eSports ETF (ASX: ESPO)

A third ETF for ASX investors to look at is the VanEck Vectors Video Gaming and eSports ETF. As its name suggests, this ETF gives investors exposure to a portfolio of the largest companies involved in video game development, hardware, and esports. Among the companies that you’ll be owning a slice of are Activision Blizzard, AMD, Electronic Arts, Nintendo, Nvidia, Roblox, and Take-Two. VanEck highlights that these companies are well-placed to benefit from the increasing popularity of video games and eSports.

The post 3 ETFs for ASX investors to buy right 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

See The 5 Stocks
*Returns as of July 7 2022

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

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 positions in and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has positions in and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF and VanEck Vectors ETF Trust – VanEck Vectors Video Gaming and eSports ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/zk6oHPf

‘The smaller you get, the worse the performance has been’: Should ASX small-cap shares be avoided right now?

a man weraing a suit sits nervously at his laptop computer biting into his clenched hand with nerves, and perhaps fear.a man weraing a suit sits nervously at his laptop computer biting into his clenched hand with nerves, and perhaps fear.

On any given trading day, news of at least one ASX small-cap share soaring upwards by more than 20% is likely. In fact, it’s entirely possible to see a small-cap share soar more than 50% in a day.

But are ASX small-cap shares the way to go, or should they be avoided?

Let’s take a look at one expert’s view on the smaller end of the market.

‘You don’t get bargains’: expert

Australia and the wider international markets have been on edge in recent times amid fears of a recession and pending interest rate hikes.

However, in an interview with livewire today, Forager Funds chief investment officer Steve Johnson said, “You don’t get bargains without dysfunctional markets“.

Johnson expressed his view on the market, given US and Australian sentiment in recent times, and noted some concern about small-cap shares. He said:

The smaller you get, the worse the performance has been. On the Russell 2000, an American small companies index, more than 70% of companies have seen their share price go down more than 30% from their peak.

Of those companies with market caps of less than $500 million, that drawdown has been 55%.

These waves of momentum are being driven by a significant percentage of the market that doesn’t care how much profit the business is going to make or how much it’s worth.

Johnson also likened the market to a “casino”. He added:

The rise of retail gambling, the nature of the stock market being more like a casino; I don’t think it’s been more prominent than it has in the past few years.

In today’s news, ASX small-cap share Cardno Limited (ASX: CDD) has soared more than 110% in two days on the back of price-sensitive market news.

Analysts also believe these two small-cap ASX shares, Airtasker Ltd (ASX: ART) and Serko Ltd (ASX: SKO), could have potential.

The post ‘The smaller you get, the worse the performance has been’: Should ASX small-cap shares be avoided right 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

See The 5 Stocks
*Returns as of July 7 2022

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

Motley Fool contributor Monica O’Shea 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 Serko Ltd. The Motley Fool Australia has recommended Serko Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/Pxup8Qe

Nickel Industries share price slips on $225 million debt capital raise

Miner on his tablet next to a mine site.Miner on his tablet next to a mine site.

The Nickel Industries Ltd (ASX: NIC) share price closed lower on Monday amid a significant debt announcement by the mineral exploration company.

Nickel Industries shares finished the day down 1.82% at $1.08 each after hitting an intraday low of $1.052 a share. They opened this morning at $1.10 each.

Let’s check what announcement the company made today.

What happened?

Nickel Industries announced it had raised US$225 million in debt capital for the Oracle Nickel Project acquisition.

The company said it had executed binding agreements for the issuing of USD $225 million worth of senior secured notes. The debt has an interest rate of 10% and will mature in August 2025.

The notes will be issued on the Frankfurt Open Market Exchange.

Part of the proceeds from the notes, along with the company’s cash reserves and future earnings from its existing operations, will be used to satisfy the company’s remaining payment obligations for the project in Indonesia. The agreement was announced in November 2021.

Nickel Industries entered a memorandum of understanding with Shanghai Decent Investment Group Co Ltd to acquire a 70% stake of the Oracle Nickel Project. It’s estimated the project will have a production capacity of 36,000 tonnes of nickel when it’s completed.

When the production of its Angel Nickel and Oracle Nickle production facilities are consolidated, the company expects a nameplate capacity of more than 100,000 tonnes of the base metal.

The Oracle Nickel Project comprises four rotary kiln electric furnaces.

The first rotary line is due to be commissioned in October this year, five months ahead of the scheduled project delivery date, the company said.

Production facilities are situated in Indonesia Morowali Industrial Park, and Halmahera Island, Indonesia. 

Nickel Industries share price snapshot

The Nickel Industries share price slipped 1.37% in a year but has shed almost 25% year to date.

Its 2022 performance is well below that of the benchmark S&P/ ASX 200 Index (ASX: XJO) which has lost 5.7% so far this year.

This coincides with a steady downturn in nickel prices on commodity markets since March this year.

At the company’s current share price, Nickel Industries has a market capitalisation of around $2.9 billion. 

The post Nickel Industries share price slips on $225 million debt capital raise 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

See The 5 Stocks
*Returns as of July 7 2022

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

Motley Fool contributor Matthew Farley 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.

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

2 little-to-no-debt ASX 200 shares to buy in a downturn: fundie

An ASX investor relaxes on her couch as the Harvey Norman share price drops due to the shares trading ex-dividend from today.

An ASX investor relaxes on her couch as the Harvey Norman share price drops due to the shares trading ex-dividend from today.

Some key S&P/ASX 200 Index (ASX: XJO) shares have been chosen as opportunities by fund managers.

There has been a whole heap of volatility during the last few months as concerns have grown about inflation and rising interest rates.

Different businesses are being impacted in different ways by these impacts.

But, there are a few names that may actually be able to generate bigger profit in this environment.

The two fund managers – Geoff Wilson from Wilson Asset Management and Dr Philipp Hofflin from Lazard Asset Management – were talking to Livewire Markets and suggested that a recession is likely over the next year and a half.

But, Hofflin pointed out a couple of ASX 200 shares that could be worthwhile to own because they may be able to remain stable:

Coles Group Ltd (ASX: COL)

Coles is one of the largest supermarket businesses in Australia with a market capitalisation of $25 billion according to the ASX.

The supermarket business was one of the picks by Hofflin. He actually picked both supermarket ASX 200 shares, Coles and Woolworths Group Ltd (ASX: WOW), but his preference is Coles.

Why Coles? The given reason was the fact that it has no debt and a “strong” balance sheet, according to the comments reported by Livewire.

Wilson said:

Look at the companies with good balance sheets, low levels of debt and the ones with strong business franchises as these have the potential to prosper, even in difficult times.

Woodside Energy Group Ltd (ASX: WDS)

Energy giant Woodside was another pick by Hofflin.

It was suggested that Woodside could be a good pick if there’s a recession like the mid-70s when inflation was persistent.

Woodside is another ASX 200 share that has a minimal amount of debt after merging with the oil and gas division of BHP Group Ltd (ASX: BHP).

It was also noted that Woodside could be one of the ASX 200 shares to benefit from the energy supply issues.

Energy prices have been elevated since the Russian invasion of Ukraine, which could help revenue, net profit after tax (NPAT) and cash flow.

According to the estimate on CMC Markets, Woodside could pay an annual dividend per share of $3.63 in FY22. That translates into a grossed-up dividend yield of 16.3%. That would be among the largest yields paid in 2022 out of all the ASX 200 shares, aside from a few miners.

The post 2 little-to-no-debt ASX 200 shares to buy in a downturn: fundie 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

See The 5 Stocks
*Returns as of July 7 2022

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

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 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.

from The Motley Fool Australia https://ift.tt/PkpRyo6