Day: 21 November 2022

Coles Group Ltd (ASX: COL) shares often command the market’s attention. As its one of the S&P/ASX 200 Index (ASX: XJO)’s largest consumer staples stocks ­– boasting a market capitalisation of $23 billion – many market watchers likely wonder whether it’s worth buying.

Particularly, as the supermarket operator’s shares offer a notably better dividend yield than those of its larger peer Woolworths Group Ltd (ASX: WOW).

But are Coles shares worth buying for the dividends alone? Let’s take a look at what experts think.

Right now, the Coles share price is $17.19.

Are Coles shares an ASX 200 dividend buy?

The Coles share price has outperformed that of Woolworths so far this year, falling 4% to the latter’s 9% tumble. That may have led some to consider the ASX 200 supermarket operator over Woolies.

That’s certainly the preference of broker Morgans. It recently said:

Trading on 20.6x [financial year 2023 forward price-to-earnings (P/E) ratio] and 4% yield, we continue to see [Coles] as offering good value with the company’s solid balance sheet and defensive characteristics putting it in a good position to navigate through a weaker economic environment. 

Morgans tips Coles shares to rise to $19.50, slapping it with a buy rating, my Fool colleague James reports. That represents a potential 13% upside.

Additionally, the broker expects Coles to pay out 64 cents of dividends per share this financial year and 66 cents per share next.

For reference, it offered shareholders 63 cents per share in financial year 2022, leaving it with a 3.66% dividend yield at the time of writing. That’s likely music to the ears of investors looking for growing dividends.

Comparatively, Woolies stock trades with a 2.63% yield right now. Both supermarket operators offer fully-franked dividends, meaning they can bring additional benefits to some investors come tax time.

Thus, a dividend-focused investor might favour Coles as the supermarket share to buy at the moment.

Though, it’s worth noting that Goldman Sachs tips Coles as a sell, placing a $15 price target on its stock. It prefers Woolworths shares.

The post Are Coles shares worth buying for dividends right now? appeared first on The Motley Fool Australia.

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More reading

• Experts name 2 ASX shares with fully franked dividend yields to buy next week
• If you’d bought $10,000 worth of Wesfarmers shares in January, this is how much you’d have earned in dividends
• Which stocks are in the Vanguard Australian Shares Index ETF (VAS) right now?
• How to have your ASX 200 dividend cake and eat it too
• Here’s how much dividend income $10,000 worth of Coles shares will get you 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 positions in and has recommended Goldman Sachs. 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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NIB Holdings Limited (ASX: NHF) shares are pushing higher again on Monday.

At the time of writing, the private health insurer’s shares are up almost 1% to $7.20.

This adds to the decent gains NIB’s shares have made since the Medibank Private Ltd (ASX: MPL) cyber incident became public.

How much have NIB’s shares risen since the incident?

First things first, the NIB share price actually sank 12% on the day that Medibank’s hack was announced.

However, that was primarily due to the company raising $150 million to support its expansion into the NDIS market.

NIB raised the funds at $6.90 per new share, which represents an 8.1% discount to its last close price.

So, if we take this out of the equation, you could argue that the NIB share price fell 3.9% in response to news of Medibank’s hack. Investors may have feared that the hackers could have infiltrated their systems as well. But this ultimately wasn’t the case.

So, after accounting for the capital raising, the NIB share price has gained somewhere in the region of 4.5% since the incident. Whereas the Medibank share price has gone the other way and lost almost 20% of its value since the hack was announced.

That’s a relative outperformance of approximately 24% for NIB’s shares. I know which private health insurer I would’ve wanted in my portfolio!

Can its shares keep rising?

The good news for investors is that one leading broker believes the NIB share price can keep rising.

According to a note out of Morgans, its analysts have retained their add rating with an improved price target of $8.54. This implies potential upside of almost 19% for investors over the next 12 months.

Morgans was impressed with the company’s strong start to FY 2023 and has been forced to upgrade its earnings estimates to reflect this. It explained:

We lift NHF FY23F/FY24F EPS by 11%/2% reflecting more favorable underlying growth trends than expected and also a lift to investment income assumptions. Our PT rises marginally to A$8.54 (previously A$8.27).

Overall, the broker believes NIB’s outlook is positive and its shares are trading at an attractive level. It concludes:

NHF is a well-run company, and the near-term operating environment remains favourable for its key Australian Residential Health Insurance business (assisted by a benign claims environment). Covid-19 headwinds that were affecting some of NIB’s other businesses, e.g. IIHI and Travel etc. also appear to be easing. With NIB trading at a >10% discount to our target price, we maintain our ADD call.

The post Guess how much NIB shares have gained since Medibank’s cyber attack? appeared first on The Motley Fool Australia.

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More reading

• Leading brokers name 3 ASX shares to buy today
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• Here are the top 10 ASX 200 shares today
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended NIB Holdings 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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S&P/ASX 200 Index (ASX: XJO) bank shares have received a lot of airtime in the financial media in the latter half of 2022 amid the new dawn of rising interest rates.

When the Reserve Bank of Australia (RBA) lifted rates from the historic low 0.10% to the still rock bottom 0.35% in May, it represented the first tightening from the central bank in more than a decade.

As rates continued to march higher to today’s 2.85%, with more hikes likely, investors have sought out shares that are more likely to outperform in a higher rate environment.

You’ll often find ASX 200 bank shares on that list. That’s because higher rates enable big bank stocks like Australia and New Zealand Banking Group Ltd (ASX: ANZ), National Australia Bank Ltd (ASX: NAB), Westpac Banking Corp (ASX: WBC) and Commonwealth Bank of Australia (ASX: CBA) to increase their net interest margins.

Yet, as rates ratchet ever higher, that NIM benefit stands to be outweighed by increasing levels of bad debts among the bank’s stressed customers.

So are ASX 200 bank shares in for some turmoil ahead or a buying opportunity hiding in plain sight?

Are ASX 200 bank shares a buying opportunity?

According to analysts at Citi, the big banks are well positioned to handle the coming increase in non-performing loans.

That’s not to say Citi doesn’t expect to see more borrowers default. Its analysts are forecasting a “material pick-up in new impaired assets”. However, the broker believes the banks have prepared for that pick-up by increasing their provisions.

According to Citi (courtesy of The Australian):

Despite better revenues than expected, [ASX 200] banks’ share prices have had muted reactions, with investors’ minds likely looking forward to the impact on asset quality… Unlike past BDD events (GFC, Covid), stress coming from higher rates is an event the banks are anticipating. Consequently, collective provisions are very full, and incremental stress will flow through the individual provision.

Citi has a bullish outlook on the ASX 200 banks when compared to other sectors in the face of economy-hindering high inflation and rising interest rates.

“With bank balance sheets anticipating pending stress in the economy, as opposed to other sectors, we think it should hold them in a good relative position,” the analysts said.

Citi added:

[Investors need] to draw a distinction between the deterioration in asset quality (which we agree with), and how it plays through the banks profit and losses. Our forecasts don’t imply that the credit stress may be lower than what many expect, only that the provisions are largely prepared for the anticipated event.

How have the big banks fared since rates have started rising?

Over the past six months, the ASX 200 is down a slender 0.2%.

As for the big bank shares, the CBA share price is up 1.8%; Westpac shares are up 2.1%; the NAB share price has dipped 0.3%; and ANZ shares are down 1.6%.

If Citi has this right and ASX 200 investors have been overly pessimistic about the coming rise in bad debts, the big bank shares could indeed prove to be an opportunity hiding in plain sight.

The post Are ASX 200 bank shares a buying opportunity hiding in plain sight? appeared first on The Motley Fool Australia.

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More reading

• If I’d invested $1,000 in Westpac shares at the start of 2022, here’s how much I’d have now
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Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Westpac Banking Corporation. 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 disappointing day of trading for the All Ordinaries Index (ASX: XAO) so far this Monday, kicking off the trading week on a rather sour note. After initially spiking this morning, the All Ords is presently in the red, down by 0.24% at just under 7,340 points.

But the BrainChip Holdings Ltd (ASX: BRN) share price is doing even worse than that. Brainchip shares have slumped in value so far today. The ASX artificial intelligence company has taken a 2.02% dip at this point of today’s session. That puts Brainchip at 63 cents a share.

This might be especially disappointing for investors this Monday, given the corporate announcement that Brainchip released yesterday.

Brainchip share price struggles despite new Amazon recruitment

The company announced that it has recruited Nandan Nayampally as chief marketing officer. Nayampally’s role will inove driving “all aspects of marketing, product management and business strategy for the company’s Akida TM event-based AI neural processor IP, and its portfolio of Essential AI enabling technology solutions”.

The crown jewel of Nayampally’s curriculum vitae had a former role at US tech giant Amazon.com Inc (NASDAQ: AMZN). Here, Nayampally reportedly “helped accelerate the adoption of Alexa Voice and other multimodal services into third-party devices”.

Here’s some of what Brainchip CEO Sean Hehir had to say on recruiting Nayampally to the company:

Nandan has a deep technical understanding of semiconductor design and IP as well as the market factors that lead to product success… We look forward to leveraging his product experience and executive success at companies like Arm and Amazon to help us deliver BrainChip solutions to the market.

Nayampally added this:

I am excited to join BrainChip. Our unique approach to performant and efficient edge AI at scale is a great enabler for an industry that is looking for innovative and transformative solutions…

It is a great opportunity to not only advance product intelligence at the sensor and the edge but unleash the full power of AI. BrainChip is positioned to create that positive change and I’m thrilled to be a part of making that happen.

But it doesn’t seem like investors are too impressed by this announcement, judging by the performance of the Brainchip share price this Monday.

Brainchip shares have copped a nasty beating over 2022. The company remains down 20% year to date. As well as down more than 73% from the record high of $2.34 a share that we saw back in January.

The post BrainChip share price dips despite ex-Amazon hire appeared first on The Motley Fool Australia.

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• Does Amazon’s latest healthcare move make the stock a buy?
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• Amazon unveils new healthcare service: Is the stock a buy?

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Motley Fool contributor Sebastian Bowen has positions in Amazon. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Amazon. The Motley Fool Australia has recommended Amazon. 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 a rough day for the All Ordinaries Index (ASX: XAO), but two of the shares that call it home are having a party.

They’ve soared as much as 9% today to hit new multi-year, or all-time, highs. Meanwhile, the benchmark index has slipped 0.34% at the time of writing.

So, without further ado, here are the All Ordinaries shares leaping to long-forgotten highs on Monday.

2 ASX All Ordinaries shares trading at their highest in years

The share price of department store operator Myer Holdings Ltd (ASX: MYR) is leaping on Monday despite the company’s silence.

It is sitting at a high of 74 cents at the time of writing – marking a 10.5% gain on the previous close and its highest point since April 2019.

The latest happening was the company’s appointment of Terrence McCartney to its board earlier this month. McCartney was nominated to join the board by major Myer shareholder Premier Investments Limited (ASX: PMV), headed by Solomon Lew.

At its annual general meeting (AGM) last fortnight, Myer also revealed the first 13 weeks of financial year 2022 was its best start to a fiscal year on record.

Another All Ordinaries share hitting multi-year highs on Monday is Supply Network Limited (ASX: SNL). Indeed, stock in the aftermarket automotive parts supplier reached its highest level ever earlier today.

It soared 5.8% to trade at a record $12.18 at its intraday high before sliding back down again. Right now, Supply Network shares are trading just 0.78% higher at $11.60.

Interestingly, there’s been no news from the company this month. The last time the market heard price-sensitive news from the stock was way back in August.

Then, it dropped its audited results for the 12 months ended 30 June, posting a 22% year-on-year jump in revenue and a 44.6% increase in after-tax profits, coming in at $198.5 million and $20 million, respectively.

The post 2 ASX All Ordinaries shares hitting multi-year highs on Monday appeared first on The Motley Fool Australia.

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• 8 All Ords shares that soared 10% or more today
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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 Supply Network Limited. The Motley Fool Australia has positions in and has recommended Supply Network Limited. The Motley Fool Australia has recommended Premier Investments 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 Rio Tinto Limited (ASX: RIO) share price is struggling today, down 2.54% in afternoon trade.

Shares in the mining giant currently trade for $103.68 each.

By comparison, the S&P/ASX 200 Index (ASX: XJO) is having a much better start to the week at just a 0.27% loss for the day so far.

So why is Rio Tinto struggling to keep up with the ASX 200 on Monday? Let’s take a look at what’s happening.

What’s going on with the Rio Tinto share price?

There’s no news from Rio Tinto this morning to justify its shares slipping into the red. But some negative momentum could be carrying over from last week to put pressure on its valuation.

Last Friday Rio Tinto announced a snag in its deal to acquire Turquoise Hill Resources. This came in the form of ending its agreements with Turquoise Hill minority shareholders Pentwater Capital Management and SailingStone Capital Partners.

The agreements were terminated due to concerns raised by the shareholders over dissent and dispute resolution provisions found in their contracts.

These shareholders previously said they would use their dissent rights and withhold their votes to more easily allow Rio Tinto to acquire a 49% stake in Turquoise Hill’s business. Without their support, it may make it more difficult for the company to smoothly proceed with its acquisition, along with putting some negative sentiment on its share price.

The materials sector is struggling

The underperformance of the materials sector could also be helping to drag the Rio Tinto share behind the broader market in today’s trading session.

This is reflected in the S&P/ASX 200 Materials Index (ASX: XMJ) being down 1.65%. That puts it down the bottom with the worst-performing sector indices since market open today.

Some other notable ASX materials shares taking a beating include Fortescue Metals Group Limited (ASX: FMG), which is down 3.8%. Meanwhile, BHP Group Ltd (ASX: BHP) is slipping 2.2% this afternoon.

Thus Rio Tinto could be falling behind the ASX 200 due to macro as well as company-specific factors on Monday.

Rio Tinto share price snapshot

The Rio Tinto share price is up 3.57% year to date. While the S&P/ASX 200 Index is doing far worse at a 4.2% loss for the same period.

The company’s market capitalisation is around $39.4 billion.

The post Why is the Rio Tinto share price trailing the ASX 200 on Monday? appeared first on The Motley Fool Australia.

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• Why is the Lake Resources share price smashing the ASX 200 on Monday?
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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.

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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.

Even well into his 90s, Warren Buffett still commands the respect of the investing community. Many investors watch the Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) leader’s every move when it comes to stock market decisions, and Buffett is never shy about making aggressive moves when it suits him.

The most recent disclosures from Berkshire regarding its stock portfolio included a new position in a tech stock, Taiwan Semiconductor Manufacturing (NYSE: TSM). Over the years, Buffett has at times expressed a reluctance to invest in tech stocks, considering the industry to be outside his circle of maximum competence as an investor.

Nevertheless, Taiwan Semi isn’t the first tech stock to make Berkshire’s portfolio, and it’s clear from his past choices that there are certain attributes Buffett seeks out in adding technology-focused companies to the list. Those same things can help you when you’re looking to invest in unfamiliar waters, whether it’s in technology or other types of stocks.

1. Industry leadership

Buffett has typically chosen tech stocks that have already become leaders in their respective industries. The most obvious example is Apple (NASDAQ: AAPL), which remains the dominant company in electronic devices of many different sorts. From iPhones and Apple Watches to Mac computers and various tablets, Apple is a favorite among its customers and always has people watching for its latest product releases.

This trait is evident in other companies in the Berkshire portfolio. HP (NYSE: HPQ) has long been the industry leader in computer printers, while Activision Blizzard (NASDAQ: ATVI) is one of a handful of top players in the video game industry.

Taiwan Semi meets that bill as well, with a commanding market share over 50% in the semiconductor foundry market. The vast majority of cutting-edge chips get made by Taiwan Semi, and that trend appears likely to continue as chip designers more frequently turn to the foundry specialist for production rather than making costly provisions to make chips in-house.

2. Good value

Buffett is the quintessential value investor, sticking to his guns even when the style goes out of favor. With a current valuation of around 15 times trailing earnings, Taiwan Semi fits the mold of Buffett-held tech stocks.

Apple’s valuation has expanded dramatically since Buffett’s initial purchases, but when he started his position, the tech leader traded at much lower earnings multiples. Meanwhile, HP also trades at rock-bottom levels by traditional valuation metrics, as investors anticipate a drop in earnings following pandemic-spurred purchases of printers and other equipment. Activision is somewhat of a special case, given its pending potential acquisition by Microsoft (NASDAQ: MSFT), but that still makes it a value play of sorts.

3. Growth prospects

Despite looking for value, Buffett also wants companies that have growth potential. Taiwan Semi looks prepared to keep extending its competitive advantages and serving an even wider array of semiconductor clients. Apple has also managed to keep growing with innovative new offerings and updated product lines on existing favorites.

Of course, sometimes Buffett gets things wrong. His past ownership of IBM (NYSE: IBM) hinged on the pioneering computer company’s ability to use its strong brand and financial resources to find new niches for leadership, but IBM largely failed to restore its business to its former glory. That eventually led many to see Buffett’s purchase of Big Blue as a big mistake.

Expanding your horizons

When you consider looking beyond your core area of expertise for investing ideas, it doesn’t hurt to look for these three favorable characteristics. Regardless of whether you’re talking about tech or a completely different sector, looking for an attractive combination of current value and future growth always makes sense, and you’ll often find the most stable and secure businesses among the current leaders of a promising industry. 

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

The post What Warren Buffett wants from tech stocks appeared first on The Motley Fool Australia.

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• Here’s why the Sandfire share price is flaming out on Monday
• Why is the Woolworths share price having such a wow of a time today?
• Leading brokers name 3 ASX shares to buy today
• Up 50% in 2 weeks, this ASX hydrogen share is still a buy: expert
• Hamish Douglass has been selling down his Magellan shares. Should you?

Dan Caplinger has positions in Apple, Berkshire Hathaway (B shares), and Microsoft. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Activision Blizzard, Apple, Berkshire Hathaway (B shares), HP, Microsoft, and Taiwan Semiconductor Manufacturing. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended 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 Activision Blizzard, Apple, and Berkshire Hathaway (B shares). 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 Sandfire Resources Ltd (ASX: SFR) share price is starting the week in the red.

In afternoon trade, the copper miner’s shares are down 0.5% to $4.76.

Why is the Sandfire share price falling?

The weakness in the Sandfire share price today has been driven by the company completing its institutional placement.

According to the release, the company has successfully closed the institutional component of its 1 for 8.8 pro-rata accelerated non-renounceable entitlement offer to raise approximately $147 million.

These funds were raised at an offer price of $4.30 per share, which represents a 10.2% discount to the last closing price of $4.79. In light of this discount, today’s modest decline by the Sandfire share price is pretty good outcome for shareholders.

A further $53 million will now be raised via a fully underwritten retail entitlement offer.

Why is Sandfire raising funds?

Management notes that the equity raising strengthens Sandfire’s balance sheet, providing enhanced financial flexibility. It also ensures that the company remains well funded to progress its ongoing strategic growth initiatives and exploration across its portfolio.

Furthermore, proceeds will be used to repay the ANZ Corporate Debt Facility and fund increased working capital as Motheo progresses from construction to first production and ramp up. This is expected from early in the fourth quarter of FY 2023.

Sandfire chair, John Richards, commented:

We are very pleased with the level of support shown by our shareholders for the Institutional Entitlement Offer. This raising increases our financial flexibility, putting the Company in a strong financial position to continue to execute our strategy to deliver growing and sustainable copper production from our portfolio of leading international projects.

The post Here’s why the Sandfire share price is flaming out on Monday appeared first on The Motley Fool Australia.

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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 Woolworths Group Ltd (ASX: WOW) share price is in the green today despite the broader market’s slump.

Right now, stock in the supermarket giant is up 1.04%, trading for $35.02. For comparison, the S&P/ASX 200 Index (ASX: XJO) has slumped 0.18%.

So, what might be going right for the Woolies share price on Monday? Let’s take a look.

What’s boosting the Woolworths share price today?

The Woolworths share price is outperforming today alongside the company’s home sector.

The S&P/ASX 200 Consumer Staples Index (ASX: XSJ) is also up 0.98% at the time of writing, which might be rubbing off on the Woolworths share price.

Among the Consumer Staples index leaders is Woolies’ peer Coles Group Ltd (ASX: COL). Stock in Coles has lifted 1.45% right now.

Shares in Endeavour Group Ltd (ASX: EDV) – spun out of Woolworths last year – are also gaining, rising 0.63%.

The last time the market heard price-sensitive news from Woolworths was a little over two weeks ago. Then, it dropped an update on its performance over the three months ended 30 September.

The stock tumbled 3.5% on the update’s release. Fortunately, it has since regained that loss, and more.

The Woolworths share price is currently 6% higher than it was this time last month. Though, it’s still 9% lower than it was at the start of 2022 and 13% lower than it was this time last year.

For comparison, the ASX 200 has dumped 6% year to date and 3% over the last 12 months.

The post Why is the Woolworths share price having such a wow of a time today? appeared first on The Motley Fool Australia.

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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 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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With so many shares to choose from on the ASX, it can be hard to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you.

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

Champion Iron Ltd (ASX: CIA)

According to a note out of Goldman Sachs, its analysts have retained their buy rating and $6.90 price target on this iron ore miner’s shares. The broker likes Champion Iron due to the doubling of its production of high grade iron ore to 16Mtpa and strong free cash flow ramp-up from FY 2023. In addition, it highlights that the company’s shares trade at an attractive 0.85x net asset value. The Champion Iron share price is trading at $6.04 on Monday afternoon.

Lovisa Holdings Ltd (ASX: LOV)

A note out of UBS reveals that its analysts have upgraded this fashion jewellery retailer’s shares to a buy rating with an improved price target of $29.00. The broker was impressed with Lovisa’s trading update and notes that it is outperforming peers. UBS was also pleased to see the company’s global expansion has continued, with several new markets about to be entered. All in all, UBS has upgraded its earnings estimates meaningfully and lifted its valuation accordingly. The Lovisa share price is fetching $24.45 today.

NIB Holdings Limited (ASX: NHF)

Analysts at Morgans have retained their add rating and lifted their price target on this health insurer’s shares to $8.54. Morgans has been pleased with the company’s strong start to the financial year, highlighting its solid policyholder growth and favourable claims environment. This has led to Morgans upgrading its earnings estimates for the near term. The NIB share price is trading at $7.18 this afternoon.

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

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More reading

• Is this ASX 200 share the gift that keeps on giving?
• Here are the top 10 ASX 200 shares today
• The $6 ASX 200 mining share that ‘absolutely should’ trade in line with Fortescue: fundie
• NIB share price surges ahead as profits soar 31%
• Lovisa share price charges to record high on 60% sales boost

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 Lovisa Holdings Ltd. The Motley Fool Australia has recommended Lovisa Holdings Ltd and NIB Holdings 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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