The coal price soared ahead in 2022, taking ASX coal shares along for the ride. But will it keep lifting higher this year?

ASX shares directly impacted by changes in the coal price include Whitehaven Coal Ltd (ASX: WHC), New Hope Corporation Ltd (ASX: NHC) and Yancoal Australia Ltd (ASX: YAL).

All three fell in today’s trade, with Yancoal shares dropping 3.33%, shares in Whitehaven down 1.36%, and New Hope shares sliding 3.58% at the close of trade.

Zooming out for a look at the bigger picture, however, trading economics data shows that coal prices have soared 85% in the last year.

Let’s check the outlook for the coal price this year.

Could the coal price go higher?

The outlook for coal prices appears to be mixed for 2023. However, long term, analysts anticipate the commodity will fall.

The Australian Government’s Office of the Chief Economist said thermal coal prices were expected to rise in 2023.

According to a report in December, prices for thermal coal were forecast to rise from US$245 a tonne in FY22 to US$360 a tonne in FY23. However, in FY24, the government predicted thermal coal prices would slide to US$239 a tonne.

Meanwhile, metallurgical coal is tipped to drop from US$404 a tonne in FY22 to US$262 in FY23 and US$238 in FY24.

Coal exports are also expected to rise in the 2023 financial year. Commenting on the outlook for thermal coal, the report stated:

Thermal coal exports should exceed $75 billion this financial year, up from $46 billion in 2021–22. After 2023–24, earnings from these commodities are likely to fall back towards pre-COVID-19 levels, as gains in world supply bring down prices.

Meanwhile, an analyst quoted by Bloomberg recently tipped coal prices to lift in the new year before retreating as Europe and the United States head into summer. Saxo Capital Markets strategist Jessica Amir, cited by the publication, said:

Demand for coal usually peaks in January, so some of these shareholder returns could grow into the new year as the energy crisis continues.

She added coal prices might “lose heat before the mid-year, as Europe and US head into summer and thus demand for coal will cool”.

As my Foolish colleague Tristan reported recently, Whitehaven and New Hope could pay big dividends in FY23. New Hope may pay a dividend yield of 40% in FY23, while Whitehaven may pay 16%

Share price snapshot

The Whitehaven share price has exploded 203% in the last year.

The New Hope share price has climbed 157% in the last 52 weeks.

Yancoal shares have also surged, lifting 110% in the past year.

The post What’s the forecast for the coal price in 2023? appeared first on The Motley Fool Australia.

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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 Zip Co Ltd (ASX: ZIP) share price is in the green year to date, despite falling nearly 85% in the last year.

Zip shares have risen 21% since market close on 31 December and are currently fetching 61.5 cents.

However, in today’s trade, Zip shares fell sliding 1.6%. Let’s take a look at what is going on with the Zip share price.

What’s going on?

Zip shares may be rising this year, but it is not the only ASX buy now pay later (BNPL) share rising year to date.

The Block Inc CDI (ASX: SQ2) share price is lifting 11% this year, while Sezzle Inc (ASX: SZL) shares are rising 13%.

Optimism in the BNPL sector appears to be impacting the Zip share price and other ASX BNPL shares.

As my Foolish colleague James reported earlier this month, investors could be buying up BNPL shares after they fell sharply in 2022.

USA BNPL stocks are also charging higher in 2023. For example, the Affirm Holdings Inc (NASDAQ: AFRM) share price has soared 24% year to date. Block’s New York Stock Exchange listing Block Inc (NYSE: SQ) has also leapt 11% higher this year.

Zip has not provided any price-sensitive news to the market this year. However, the company is targeting earnings before interest, taxes and depreciation (EBITDA) profit in the 2024 financial year. Commenting on this outlook in November, CEO Larry Diamond said:

We expect to see the US exiting FY23 cash EBITDA positive and to neutralise the cash burn from our rest of world footprint during the second half of FY23.

We are on track to deliver positive cash EBITDA as a group in the first half of financial year 2024.

Zip’s CEO has been upbeat with optimism in recent months. For example, in late October Diamond predicted Zip could be the next Commonwealth Bank of Australia (ASX: CBA). He said:

We still believe, in this market, we can be the next CBA. Why not? We have the right leadership, the best technology, and the best people. We are committed to the long term.

Further, Zip also advised in late 2022 that Diamond has moved to the USA, where he sees a significant opportunity for the company. He commented:

There is still a significant opportunity for fintech in the US, as US banks are asleep at the wheel.

The post Why has the Zip share price already bolted 21% higher in 2023? appeared first on The Motley Fool Australia.

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• The Zip share price crashed 88% in 2022. Can it recover in 2023?
• Here are the 10 most shorted ASX shares

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 Affirm, Block, and Zip Co. The Motley Fool Australia has positions in and has recommended Block. 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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Are you wanting to add some new ASX growth shares to your portfolio this month? If you are, read on.

Three ASX growth shares that have been tipped as buys by Goldman Sachs are listed below. Here’s what you need to know about them:

Breville Group Ltd (ASX: BRG)

The first ASX growth share that Goldman has tipped as a buy is leading appliance manufacturer, Breville. The broker believes the company is well-placed to continue its solid growth in the coming years despite the tough economic environment. In fact, it is forecasting an EBITDA compound annual growth rate of 7% between FY 2023 and FY 2025. This is being driven by the “strong premium coffee in-home consumption trend and competitive advantage in premium brand and product.”

The broker currently has a buy rating and $24.70 price target on its shares.

NextDC Ltd (ASX: NXT)

Another ASX growth share that could be in the buy zone is data centre operator NextDC. Goldman is very positive on the company and expects another strong result in FY 2023. This is thanks to robust demand for data centre services and its strong market position. Goldman then expects “an acceleration in growth following S3/M3 openings and supply chain normalization.”

The broker has a conviction buy rating and $14.30 price target on the company’s shares.

Temple & Webster Group Ltd (ASX: TPW)

A final ASX growth share that Goldman Sachs rates as a buy is online furniture and homewares retailer Temple & Webster. Goldman Sachs believes the company is well-placed for long term growth due to its leadership position in a retail category that is still only in the early stages of shifting online.

Its analysts have a buy rating and $7.50 price target on the company’s shares.

The post Goldman Sachs names 3 ASX growth shares to own in 2023 appeared first on The Motley Fool Australia.

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More reading

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Motley Fool contributor James Mickleboro has positions in Nextdc. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Temple & Webster Group. The Motley Fool Australia has recommended Temple & Webster Group. 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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ASX mining share Norwest Minerals Ltd (ASX: NWM) shot the lights out on Thursday. The junior miner’s share price screamed 60% higher on a positive company update.

Investors went positively crazy over the stock, with more than 30 million shares traded today. To put that into perspective, Norwest has a 30-day average trading volume of 362,000 per day.

The Norwest share price finished the session at 7.2 cents.

What did the ASX mining share report?

The gold and base metals explorer released assay results from its maiden drilling program at its 100% owned Bali Copper Project in Western Australia today.

The assay results from 33 drill holes showed “broad intervals of significant copper mineralisation”.

One example is 1.4% copper at 52 metres from 0 metres, including 4.4% copper at 12 metres from four metres. Sixteen individual metres of copper assaying above 3% was found.

The highest concentration discovered was 11.2% copper.

The assay results also showed intervals of lead, zinc, and silver.

The Bali Copper Project comprises approximately 8km of the Bali shear zone. Norwest says the area has “numerous copper and other base metal prospects”.

What did the company say?

Norwest CEO Charles Schaus commented:

This is the first drilling undertaken at Bali since 1989 and we are very encouraged by the results.

The program tested each of the four prospects by systematic drilling of holes along strike with the aim of locating the source(s) for the high-grade copper exposed at surface.

All prospects returned one or more wide drill intersections of copper mineralisation.

Norwest also reported that mapping and rock chip assays have identified seven further copper-rich veins at the site. Plans for another drilling program are now underway.

Norwest share price snapshot

The Norwest Minerals share price has risen by 137% over the past six months.

However, it has halved in value since listing on the ASX at 14 cents back in November 2018.

Norwest Minerals has a market capitalisation of around $15 million based on the current share price.

The post Guess which ASX mining share exploded 60% on Thursday appeared first on The Motley Fool Australia.

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More reading

• Goldman Sachs names 3 ASX growth shares to own in 2023
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• Buy this ASX 200 bank share with 21% upside: Morgan Stanley

Motley Fool contributor Bronwyn Allen 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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