Month: October 2022

It’s been a rough few decades for the share price of Telstra Corporation Ltd (ASX: TLS) – which is currently trading under the name Telstra Group Ltd and ticker code TLSDA.

The company is in the middle of a restructuring operation, shaking up its business right down to its ASX listing, as The Motley Fool’s Sebastian reports.  

The move comes after the stock dumped around 50% of its value over 23 years. It’s fallen from around $9 per share in 1999 to trade at $3.795 today.

That’s also 10% lower than it was at the start of 2022. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) has also fallen around 10% year to date.

So, with the stock having tumbled recently and a restructuring operation in progress, is now a good time to buy Telstra shares? Let’s see what experts think.

Is now a good time to buy Telstra shares?

Many experts are optimistic about the Telstra share price going forward. Though, not all would go so far as to rate it a buy.

Top broker Goldman Sachs, for one, has a neutral rating on the telecommunications giant. But it has slapped Telstra shares with a $4.40 price target, representing a potential 15% upside.

Bell Potter Securities advisor Chris Watt has also tipped the telco as a hold, noting its earnings are resilient. Watt said, courtesy of The Bull:

The future sale of its infrastructure assets is the next key catalyst in determining the strategic direction of the business going forward.

Telstra’s restructure will see the business split into four pillars: ServeCo, InfraCo Fixed, Amplitel, and Telstra International.

Back in August, the company’s chief financial officer Vicki Brady said the restructure will give the company the option to monetise the InfraCo business. Though, no sale has been decided upon.

JP Morgan believes selling a 49% stake in the asset could reap between $12 billion and $17 billion of after-tax profit, the Australian Financial Review reports.

Under such circumstances, $10.5 billion to $15.5 billion could be returned to shareholders, most likely through buybacks, the broker reportedly said. Such buybacks could, in turn, boost the telco’s dividends by 9%.

Speaking of dividends, Morgans is tipping Telstra to pay out 16.5 cents per share this financial year and next, my Fool colleague James reports.

That’s in line with the company’s financial year 2022 full-year offering. Though, that included three cents per share of special dividends.

Morgans is particularly bullish on Telstra shares, slapping the stock with an add rating and a $4.60 price target. That represents a potential 21% upside.

The post Telstra shares: Buy, hold, or fold? appeared first on The Motley Fool Australia.

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More reading

• Why is the BHP share price leaping 4% on Monday?
• Galan Lithium share price rockets 28% on ‘game changing’ update
• If I’d invested $1,000 in BrainChip shares a year ago, would I be happy right now?
• Why I’m not worried about Fortescue’s $9.6 billion decarbonisation plans smashing my dividends
• Analysts say these top ASX dividend shares are buys right now

JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. 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 positions in and has recommended Goldman Sachs and JPMorgan Chase. The Motley Fool Australia has positions in and has recommended Telstra Corporation 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Unless your portfolio consists only of energy companies, if you look at the 2022 performance of your stocks, the majority are likely down. Since the start of the year, the three major indexes — S&P 500, Nasdaq Composite, and Dow Jones — are down over 23%, 32%, and 16%, respectively (as of October 20).

On one end, bear markets and down periods can present great opportunities for those with time on their side. On the other end, the drop in prices can present a lot of value traps. A value trap is a stock trading at a low price that looks like a good deal but is a bad investment. That’s why it’s important not to take a stock’s value at face value. Instead, use these metrics.

Price-to-earnings ratio

As an investor, the sooner you learn that cheap isn’t always a good value, the better. A $500 stock could be undervalued, and a $5 stock overpriced. For example, if a penny stock were priced at $5, it would be considered absurdly high by almost all standards. However, if a stock like Booking Holdings were priced at $500 instead of its current price around $1,775, it might be the deal of the century right now.

You don’t want to buy lots of shares because they’re “cheap,” only to be investing in a failing business. Instead of looking at price alone, investors can use the price-to-earnings (P/E) ratio to help determine whether a stock is undervalued or overvalued. You can find a company’s P/E ratio by dividing its current stock price by its earnings per share (EPS). A company’s P/E ratio tells you how much you’re paying for each $1 of its earnings.

To determine a stock’s value, you can’t look at its P/E ratio by itself; you need to compare it to similar companies in its industry. Some industries have naturally low P/E ratios (like banking), and some have naturally high P/E ratios (like biotechnology). So it can be misleading to compare companies across industries. If you compare similar companies and notice a company’s P/E ratio is lower than the others, it could mean it’s undervalued and vice versa.

Payout ratio

When a company declares its dividend for the year, it does so as a dollar amount per share. Because of this, a stock’s dividend yield — found by dividing its yearly dividend by its current stock price — can often fluctuate. For example, if a company’s yearly dividend is $2 and its stock price is $100, its dividend yield would be 2%. If the stock price dropped to $50, the dividend yield would be 4%.  

With prices dropping, dividend yields are naturally increasing, leading to dividend traps. A dividend trap is a company with a too-good-to-be-true dividend yield that’s unsustainable and likely doesn’t warrant the investment.

Instead of just looking at a company’s dividend yield, you should look at its payout ratio, which lets you know how much of its earnings it’s paying out in dividends. You can find the payout ratio by dividing a company’s yearly dividend by its EPS. Generally, you can find these numbers on your brokerage platform (the easier route) or within a company’s financial statements.

If a company’s payout ratio is more than 100%, it’s paying out more than it’s bringing in. Which, needless to say, isn’t a good thing. A “good” payout ratio is also relative to the industry, but between roughly 30% and 50% is a good starting point. Too low, and it’s not quite as shareholder-friendly. Too high, and it could mean it’s unsustainable or a company isn’t reinvesting enough back into the business.

Use this time to your advantage

With many companies trading at low prices we haven’t seen in quite some time, now could be a chance for investors to go discount shopping and grab shares of some great companies. However, it’s still important to focus on the fundamentals and not be lured in by low prices or high dividend yields. A low price doesn’t mean much if the price goes lower, and a high dividend yield doesn’t mean much if you lose way more in value than you earn in payouts.

A couple of extra steps can go a long way.  

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Don’t take a stock’s value at face value — Use these metrics instead appeared first on The Motley Fool Australia.

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More reading

• Why is the BHP share price leaping 4% on Monday?
• Why is the Novonix share price surging 16% higher today?
• Galan Lithium share price rockets 28% on ‘game changing’ update
• 3 ASX mining shares that turned a $10,000 investment into $500,000
• Is the Vanguard Australian Shares (VAS) ETF the most popular ETF to buy?

Stefon Walters 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 Booking Holdings. The Motley Fool Australia has recommended Booking Holdings. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The Novonix Ltd (ASX: NVX) share price is having another strong day.

On Monday morning, the battery materials and technology company’s shares are up 16% to $2.56.

This means the Novonix share price is now up 31% since this time last week.

Why is the Novonix share price on fire right now?

Investors have been scrambling to buy Novonix’s shares in recent sessions thanks to the release of a major announcement last week.

That announcement revealed that its Anode Materials division has been selected to enter negotiations to receive US$150 million (A$240 million) in grant funding from the US Department of Energy. Under the terms of the grant, the government funds must be at least matched by the recipient.

This is part of a major government funding package which aims to strengthen the North American battery supply chain amid surging demand and growing calls to onshore these critical industries.

Management notes that these funds would be dedicated to the construction of a 30,000 tonnes per annum (tpa) US manufacturing facility, including site selection, plant layout, and engineering design with capability for additional expansion.

What else?

Also giving the Novonix share price a lift has been news that a leading broker has become bullish.

According to a note out of Morgans, its analysts have upgraded the company’s shares to a speculative buy rating and lifted their price target by $1.00 to $3.11.

Even after its strong recent gains, this implies potential upside of over 21% for investors over the next 12 months.

The broker made the move in response to the US government grant. And while its analysts acknowledge that Novonix’s project costs are greater than it expected, they are overlooking this due to the positive long term outlook for anode prices.

The post Why is the Novonix share price surging 16% higher today? appeared first on The Motley Fool Australia.

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More reading

• Novonix share price falls after ASX ‘please explain’
• Here are the top 10 ASX 200 shares today
• Why Challenger, Novonix, Piedmont Lithium, and Woodside shares are racing higher
• Novonix share price rockets 26% on $240m US Government grant news
• Why is the Novonix share price stuck on standby today?

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 Scott Phillips.

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The Galan Lithium Ltd (ASX: GLN) share price is storming ahead today.

Galan shares are up nearly 18% at the time of writing, currently fetching $1.495 apiece. However, in earlier trade, Galan shares soared more than 30% to $1.66 each before retreating.

Let’s take a look at why Galan shares are exploding today.

‘Amazing’ news

Galan Lithium advised today of a “spectacular” increase to its mineral resource estimate at the Hombre Muerto West Project in Argentina.

The new resource estimate has leapt 2.5 times to 5.8 million tonnes of lithium carbonate equivalent (LCE) at 866 milligrams per litre (mg/L) lithium.

Galan said the measured lithium resource at the site is now more than 4.4 million tonnes of LCE at 883 mg/L lithium.

The company entered a trading halt last week ahead of this “significant” resource update.

Commenting on the news, Galan managing director Juan Pablo described the result as “amazing”. He added:

Even the Galan team has been amazed by the scale of this updated Resource for Hombre Muerto West.

The outcome is game changing in terms of the step-up in the overall technical and economic potential of this world-class lithium brine asset.

Galan said the project retains its “high grade, low impurity” profile. The revised estimate was completed by the Australian team at SRK Consulting.

A definitive feasibility study is due for completion by the first quarter of 2023.

Share price snapshot

Galan Lithium shares have shed more than 22% year to date, although they have gained nearly 14% in the past month. In the last year, Galan shares have rocketed 34%.

For perspective, the S&P/ASX 200 (ASX: XJO) has fallen 8% in the past year.

Galan Lithium has a market capitalisation of about $461 million based on the current share price.

The post Galan Lithium share price rockets 28% on ‘game changing’ update appeared first on The Motley Fool Australia.

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More reading

• If I’d invested $1,000 in BrainChip shares a year ago, would I be happy right now?
• Why I’m not worried about Fortescue’s $9.6 billion decarbonisation plans smashing my dividends
• 5 things to watch on the ASX 200 on Monday
• Demolished ASX 200 materials shares: Why this fundie is buying the 30% dip
• Why did the IAG share price get smashed today?

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 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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So far, this year has been rough for many of the market’s favourite ASX mining shares. But looking to the longer term, the materials sector has been a strong performer.

Despite posting a 7% year-to-date fall, the S&P/ASX 200 Materials Index (ASX: XMJ) has gained around 50% over the last 10 years. Meanwhile, some ASX mining shares have posted gains that dwarf the index’s performance.

Indeed, an investor who bought these three ASX mining shares in October 2012 would be laughing all the way to the bank today.

Keep reading to discover which ASX mining shares have turned $10,000 into more than $500,000 over the last decade.

3 ASX mining shares that turned $10,000 into $500,000

If you ever needed a reminder of the power of investing, you’ve come to the right place.

ASX mining company	Gains over the last decade	Recent value of $3,333 invested
Chalice Mining Ltd (ASX: CHN)	2,606%	$85,482
AVZ Minerals Ltd (ASX: AVZ)	7,700%	$259,974
Liontown Resources Ltd (ASX: LTR)	4,550%	$154,984

It’s been a good 10 years for these ASX mining shares – and anyone who invested in them in 2012.

A $10,000 investment spread across the three stocks back then would have been worth $500,440 at Friday’s close.

The biggest gains of the last decade came from AVZ Minerals. Interestingly, the company hasn’t traded since May amid an ownership dispute over the Manono Lithium Project.

However, before the stock was frozen it was trading at 78 cents – up from around 1 cent this time 10 years ago. Back then the company was known as Avonlea Minerals. It was renamed AVZ Minerals in December 2012.

The Liontown share price was the next best performer. Stock in the lithium favourite lifted from 4 cents in October 2012 to $1.86 as of Friday afternoon.

Finally, the Chalice Mining share price has lifted from around 17 cents this time last decade to its previous close of $4.36.

The key takeaway

While volatility has reigned supreme this year, there are likely plenty of winners still to be found among ASX mining shares.

Indeed, the ASX has ultimately gained over the years, despite plenty of short-lived downturns such as that experienced in 2022.

The post 3 ASX mining shares that turned a $10,000 investment into $500,000 appeared first on The Motley Fool Australia.

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More reading

• Broker names the ASX 200 mining shares to buy now
• Here are the top 10 ASX 200 shares today
• Brokers name 5 ASX lithium shares to buy now
• Up 22% in a week, will Tesla’s results slow the Liontown share price surge
• Here are the top 10 ASX 200 shares today

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 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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When it comes to exchange-traded funds (ETFs) on the ASX, the Vanguard Australian Shares Index ETF (ASX: VAS) certainly has a strong presence.

For one, it has the coveted Vanguard name. Vanguard is a US-based asset manager. It has a few unique distinctions to its name. The first is that Vanguard’s founder, the late John Bogle, is widely credited with ‘inventing’ the concept of an index fund in the first place.

Back in the 1970s, Bogle initiated the world’s first index fund, tracking the US S&P 500 Index. Today, there are countless S&P 500 index funds, but Vanguard’s will always be the first.

Secondly, Vanguard, unlike almost all other ETF providers, is a not-for-profit organisation. Bogle’s vision was an asset manager owned by its investors, with profits cycled back into ever-lower fees. This is a vision intact today.

It’s for these two reasons that the legendary investor Warren Buffett had the highest of praises for Bogle. When Bogle died in 2019, CNBC reported that Warren Buffett had this to say about the man:

Jack did more for American investors as a whole than any individual I’ve known… A lot of Wall Street is devoted to charging a lot for nothing. He charged nothing to accomplish a huge amount.

High praise indeed.

So Vanguard’s Australian Shares Index ETF was always going to be a heavy hitter in the field of ASX ETFs. But is it the most popular ETF on the ASX?

Is the Vanguard Australian Shares ETF the ASX’s first choice?

Well, the answer is yes.

As of 30 September, Vanguard reported that its Australian Shares ETF had a size of $10.759 billion. In the language of ETFs, this means that it has a total of $10.759 billion in funds under management. That’s investors’ dollars in the fund.

Its closest rivals can’t even come close to competing with this. The nearest index fund rivals are the iShares S&P 500 ETF (ASX: IVV) and the Vanguard MSCI Index International Shares ETF (ASX: VGS). These funds have, on the latest data, $4.933 billion and $4.641 billion in funds under management respectively.

When it comes to ASX-based index funds, the gap is wider still. The SPDR S&P/ASX 200 Fund (ASX: STW), the oldest ASX index fund on the share market, commands $4.408 billion in funds under management at present.

The iShares Core S&P/ASX 200 ETF (ASX: IOZ) musters $3.25 billion. The BetaShares Australia 200 ETF (ASX: A200), currently the ASX’s cheapest Australian index fund, has $2.458 billion of its investors’ dollars under its stewardship.

So we can unequivocally say that the Vanguard Australian Shares Index ETF is Australians’ first choice when it comes to exchange-traded funds. It’s a mighty large gap too.

The post Is the Vanguard Australian Shares (VAS) ETF the most popular ETF to buy? appeared first on The Motley Fool Australia.

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More reading

• These could be the ETFs to buy for big dividends
• The Vanguard Australian Shares ETF has doled out record dividends this year. Here’s why
• The Vanguard Australian Shares Index ETF dividend is being paid today. Here’s the lowdown
• If I’d invested $5,000 in Vanguard’s VAS ETF at the start of 2022, here’s what I’d have now
• Why dividends matter

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 Vanguard MSCI Index International Shares ETF. The Motley Fool Australia has recommended Vanguard MSCI Index International Shares ETF and iShares Trust – iShares Core S&P 500 ETF. 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The more you learn about Warren Buffett, the more impressed you’ll likely be. He’s best known as the CEO of Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) and for boosting the company’s market value by an average annual rate of about 20% over more than 50 years.

To put that in context, the S&P 500 averaged only about 10% over that same half-century. Berkshire Hathaway is now one of America’s biggest companies, employing around 372,000 people as of the end of last year.

Berkshire holds stock in many businesses — recently owning roughly 20% of American Express and about 5.5% of Apple, for example. Buffett far prefers to own all of a great business though, instead of just a chunk of it. So he has amassed a portfolio of many wholly owned subsidiaries — some of which might surprise you. Taking a close look at them might even give you some investing insights.

Meet the Berkshire subsidiaries

In its most recent annual report, Berkshire Hathaway listed 62 subsidiaries. Here are a few to know about:

Benjamin Moore: Paint is big business. Sherwin-Williams, for example, boasts more than 5,000 stores and has a recent market value topping $50 billion. Benjamin Moore, though, has some 7,500 locations globally.

Berkshire Hathaway Automotive: This unit stems from Buffett’s 2015 acquisition of the Van Tuyl Group, which was the nation’s largest privately owned automotive dealership group.

Berkshire Hathaway Energy: This big group of energy companies serves about 12 million customers and end users throughout the US, Great Britain, and Alberta, Canada. It’s a major player in alternative energy, too, with billions of dollars invested in some of the largest US solar projects.

BNSF: Due to consolidation, there are now only a few major railroad companies in the US and BNSF, an acronym for Burlington Northern Santa Fe, is one of them. Its network features 32,500 route miles in 28 states and three Canadian provinces. It’s the largest intermodal carrier in the US, carrying more than five million shipments in 2021. Tracing its roots back to 1849, it’s the result of nearly 400 different railroad lines that merged or were acquired over 170-plus years.

Brooks Running: Yup, the 108-year-old company belongs to Berkshire. It raked in more than $1 billion in 2021, a 31% increase over the year before.

Business Wire: Many of the media releases you read, from myriad companies, are hosted on BusinessWire — another Berkshire company.

Duracell: Those bronze and gold batteries with strong brand recognition belong to Berkshire.

Fruit of the Loom: Yup, millions of Americans are walking around wearing Berkshire Hathaway undergarments.

GEICO: GEICO was relatively small when Buffett bought the chunk of it that it didn’t already own back in 1995. Today, with a workforce topping 43,000, it’s the US’s second-largest auto insurer and it offers other insurance coverage too for homes, rentals, flooding, and more.

HomeServices of America: If you’ve seen some homes for sale with a Berkshire Hathaway sign out front, you’ve seen HomeServices of America in action. It encompasses businesses focused on brokerage, mortgage, franchising, title, escrow, insurance, and relocation services, and includes 46,000 real estate agents in more than 900 offices.

International Dairy Queen: All those Blizzards and burgers, sold at more than 7,000 locations, belong to Berkshire.

Johns Manville: Tracing its roots back to 1858, Johns Manville is a leading insulation and commercial roofing company.

McLane: McLane is a key supply chain specialist in America, delivering groceries and food service offerings to convenience stores, mass merchants, drug stores, and chain restaurants covering more than 100,000 locations. It also has one of the largest private fleets of trucks. 

Pampered Chef: The direct sales giant recently boasted a force of more than 60,000 sellers of its kitchenwares.

See’s Candies: See’s has belonged to Berkshire since 1972.

There are many more Berkshire businesses, each quite impressive in its own right.

Lessons from Buffett’s businesses

All the above may be very interesting, but how can it help you? Well, think about why Buffett bought these companies. Clearly, he’s building an empire, but he’s also picky. He favors companies that are very well managed, aiming to keep management in place when he buys a company. He also loves to buy companies that generate a lot of cash, as he can then deploy it to help some of his other businesses grow or to buy more companies.

You, too, can be Buffett-like when investing: You can favor companies that generate lots of profits — some of which might be spent paying generous dividends to shareholders. You should always aim to favor great companies over merely good companies too. Great companies might have great management, great competitive advantages (such as a strong brand), great financial health, and great growth prospects. 

Learn more about Buffett, and you might improve your investing results even more. You might even invest in Berkshire Hathaway itself, to benefit from the growth of all the companies above. 

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post The companies Warren Buffett owns might surprise you appeared first on The Motley Fool Australia.

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More reading

• Warren Buffett has been buying up big on dividend stocks. Should you?
• No savings at 40? I’d use the Warren Buffett method to build wealth
• How bear markets can be a blessing for dividend investors
• Looking for the best stocks to buy in a bear market? Here’s Warren Buffett’s advice
• Does it matter what share class of Berkshire Hathaway stock you buy? Maybe

American Express is an advertising partner of The Ascent, a Motley Fool company. Selena Maranjian has positions in American Express, Apple, and Berkshire Hathaway (B shares). The Motley Fool Australia’s parent company has positions in and recommends Apple and Berkshire Hathaway (B shares). The Motley Fool Australia’s parent company recommends Sherwin-Williams and recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool Australia has recommended Apple. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The New Hope Corporation Limited (ASX: NHC) share price is rallying after getting hammered in early trade this morning.

At the time of writing, the S&P/ASX All Ordinaries Index (ASX: XAO) is storming 1.9% higher while New Hope shares are up 2% at the time of writing.

This is despite New Hope shares having turned ex-dividend today. In other words, New Hope shares are no longer trading with rights to the ASX 200 coal miner’s recently-declared monster dividend of 56 cents per share.

While New Hope has already called time on its latest dividends, three more ASX All Ords shares are going ex-dividend over the coming days. Let’s check them out.

Clover Corporation Limited (ASX: CLV)

First up is food technology company Clover, which will be turning ex-dividend tomorrow. This means that today is the final day to secure the company’s latest fully franked final dividend of 1 cent per share, which will be paid on 22 November.

Clover’s operations are underpinned by its microencapsulation technology, which enables nutritional oils such as tuna, fish, and fungal oils to be added to infant formula, foods, and beverages.

Clover handed in its FY22 results in September, headlined by 17% sales growth as net sales revenue came in at $71 million.

Momentum accelerated in the second half as international borders opened and order volumes from key infant milk manufacturers lifted. 

Despite operational challenges, the company grew its net profit after tax (NPAT) by 19% to $7 million. 

This helped the ASX All Ords share to hike its annual dividend payout to 1.5 cents, fully franked, putting Clover shares on a trailing dividend yield of 1.2%. Including franking credits, this yield bumps up to 1.7%.

McMillan Shakespeare Limited (ASX: MMS)

The next cab off the rank is salary packaging and novated leasing company McMillan Shakespeare. Its shares will turn ex-dividend on Wednesday, trading without claims to the company’s fully franked final dividend of 74 cents.

By the closing bell tomorrow, investors on McMillan’s share register can lock in a payment date of 10 November.

McMillan released its FY22 results back in August, delivering normalised revenue of $594 million, up 9% from the prior year.

The company noted that its customer focus drove business momentum across the year amid ongoing disruptions to the automotive supply chain.

Despite these challenges, the ASX All Ords share achieved statutory NPAT of $70 million, a 15% increase compared to FY21.

Across the financial year, McMillan declared total dividends of $1.08 per share, fully franked, up 76% from the dividends seen in the prior year. Given that profit only grew by 15%, this was largely due to a major lift in the company’s dividend payout ratio from 66% in FY21 to 100% in FY22. 

Based on current prices, McMillan Shakespeare shares are flashing an eye-catching trailing dividend yield of 8.0%. With the benefit of franking credits, this yield grosses up to 11.4%.

Bank of Queensland Ltd (ASX: BOQ)

Last but certainly not least, Bank of Queensland is the highest-profile name going ex-dividend this week.

As of Thursday, Bank of Queensland shares will no longer be trading with entitlements to the company’s fully franked final dividend of 24 cents per share. 

The bank has a dividend reinvestment plan (DRP) available, offering a 1.5% discount for shareholders who opt in. Those preferring to receive their dividends in cash should see the payment come through on 17 November.

The ASX 200 bank announced its FY22 results earlier this month. The bank’s net interest income decreased slightly by 1% to $1.5 billion, driven by a reduction in its net interest margin (NIM) which dropped by 12 basis points to 1.74%.

In comparison, Commonwealth Bank of Australia (ASX: CBA) reported a group NIM of 1.90% in FY22.

On the bottom line, Bank of Queensland reported statutory NPAT of $426 million, up 15% from the prior year. This helped the bank to raise its annual dividends by 18% to 46 cents per share, fully franked.

As a result, Bank of Queensland shares are currently trading on a sizeable trailing dividend yield of 6.1%, which grosses up to 8.6%.

The post Here are 3 ASX All Ords shares turning ex-dividend this week appeared first on The Motley Fool Australia.

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More reading

• The ASX 200 is roaring higher so why is the New Hope share price sinking 7%?
• 5 things to watch on the ASX 200 on Monday
• Why did ASX 200 coal shares have such a cracking Friday?
• Here are the top 10 ASX 200 shares today
• Hoping to dig into the monster New Hope dividend? Here’s what you need to know

Motley Fool contributor Cathryn Goh 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 Clover Corporation Limited. 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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BrainChip Holdings Ltd (ASX: BRN) shares have rocketed ahead in the past year.

The artificial intelligence company’s share price has leapt 80% from 49.5 cents at market close on 25 October last year to its current share price of 89 cents. In today’s trade, BrainChip shares are up another 2.3%.

So what would my investment be worth now if I had invested in this ASX technology share at the start of the year?

Good investment?

Let’s imagine I had invested $1,000 in BrainChip shares after market close on 25 October 2021. I would have walked away with 2,020 shares with ten cents left over.

Today, these shares are fetching 89 cents a share, based on the share price at the time of writing. So this investment would now be worth $1,797.80.

If I’d invested $10,000 in BrainChip shares a year ago, my investment would now be fetching $17,978.

Looking at the bigger picture for BrainChip shares, on 19 January 2022, the company’s share price hit a high of $2.13.

At that time, my $1,000 investment would have been worth a mammoth $4,302.6 If I had cashed in, I could have walked away with a more than $3,300 profit from a $1,000 investment.

Overall, if I had invested in BrainChip shares a year ago, I would certainly be happy with my investment.

Currently, BrainChip does not pay any dividends and has never done so in the past. As my Foolish colleague James reported last week, short sellers have also been targeting BrainChip shares of late.

Brain Chip share price snapshot

BrainChip shares have soared 31% in the year to date, climbing 3% in the past month.

For perspective, the S&P/ASX 200 Index (ASX: XJO) has shed around 8% year to date.

The company has a market capitalisation of about $1.5 billion based on the current share price

The post If I’d invested $1,000 in BrainChip shares a year ago, would I be happy right now? appeared first on The Motley Fool Australia.

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More reading

• Why I’m not worried about Fortescue’s $9.6 billion decarbonisation plans smashing my dividends
• 5 things to watch on the ASX 200 on Monday
• Demolished ASX 200 materials shares: Why this fundie is buying the 30% dip
• Why did the IAG share price get smashed today?
• Here are the 3 most heavily traded ASX 200 shares on Friday

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 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 Pilbara Minerals Ltd (ASX: PLS) share price is charging higher on Monday.

In morning trade, the lithium miner’s shares are up 4% to $5.28.

Why is the Pilbara Minerals share price charging higher?

There have been a couple of reasons for the rise in the Pilbara Minerals share price this morning.

The first is a strong gain by the ASX 200 index after a very positive end to the week on Wall Street. At the time of writing, the benchmark index is up 1.9% to 6,802.8 points.

This major improvement in investor sentiment has given riskier assets a big boost and sent lithium shares flying higher today.

What else?

Also giving the Pilbara Minerals share price a boost today has been the release of an announcement which reveals that the insatiable demand for lithium continues.

According to the release, the company has entered into a further contract of sale for an additional 5,000dmt cargo following completion of the BMX pre-auction held earlier this month.

Impressively, the company has commanded a price even higher than what it commanded from this month’s auction.

Pilbara Minerals has entered into a sale contract for 5,000dmt SC5.5 FOB Port Hedland priced at US$7,255/dmt. This is the equivalent of ~US$8,000/dmt on an SC6.0 CIF China basis after adjusting for lithia content on a pro-rata basis and inclusive of freight costs.

As a comparison, last week, the company accepted a US$7,100/dmt pre-auction bid, which equates to a price of US$7,830/dmt on an SC6.0 CIF China basis.

As with the other cargo, delivery of this latest sale is expected to be made from mid-November. This means it will be part of the company’s first half sales.

The post Here’s why the Pilbara Minerals share price is charging higher on Monday appeared first on The Motley Fool Australia.

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More reading

• Top brokers name 3 ASX shares to buy next week
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Brokers name 5 ASX lithium shares to buy now
• If I’d bought $5,000 of Pilbara Minerals shares at the end of June, here’s how much I could bank right now
• 5 big ASX announcements making news this week

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 Scott Phillips.

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