Wanting some ASX small caps in your portfolio? If you are, check out the two listed below that brokers rate as buys.

Here’s what the broker is saying about these small caps:

Acrow Formwork and Construction Services Ltd (ASX: ACF)

The first ASX small cap share that could be a buy is Acrow Formwork and Construction Services.

Acrow is a growing provider of engineered formwork, scaffolding, and screen systems solutions to the construction sector.

Morgans likes the company enough to have it on its best ideas list. This is due to its belief that it is well-placed to benefit from growing civil infrastructure activity across the east coast. It also notes its attractive valuation. It said:

ACF is a well-managed business with leverage to growing civil infrastructure activity over the long term, especially on the east coast. Momentum remains strong with two earnings upgrades so far in FY23. We believe the valuation remains attractive (~7x FY24F PE and ~5% yield) with potential positive catalysts from further meaningful contract wins.

The broker has an add rating and 95 cents price target on its shares.

Maas Group Holdings Ltd (ASX: MGH)

Another small cap ASX share to consider buying is Maas. It is a growing construction material, equipment and service provider.

Goldman Sachs is a fan of Maas and believes it could be a top option right now. This is thanks to its ongoing transition, which it believes will support higher quality earnings. It explained:

We believe MGH is in a transition phase and will see higher quality real estate income become the largest source of earnings in the next 3-5 years. We believe the market is mispricing how MGH’s civil and construction capabilities support the property development business to deliver best-in-class margins and asset turnover. In our view the value created through the development of quality annuity revenue from Build-to-Rent (BTR), Land Lease (potentially generating a 4.5x ROIC annuity income stream) and commercial real estate projects could re-rate the stock.

Goldman has a buy rating and $4.00 price target on its shares.

The post Brokers name 2 small cap ASX shares to buy now appeared first on The Motley Fool Australia.

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More reading

• 6 ASX shares to pounce on from a boom reporting season: Morgans
• The obscure ASX share with 45% upside one small-caps expert is backing right now

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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I’m sure most of us share the aspiration of having a $1 million ASX share portfolio. The whole reason why we invest in ASX shares is to harness the power of compound interest – it’s a lot easier to get to $1 million by investing in shares than a savings account, after all.

Here at the Fool, we like to encourage investors to build a portfolio of between 15 and 25 different shares. This is important to harness the benefits of diversification. But the reality is that if you make it to a $1 million portfolio, it will probably be only thanks to a handful of shares.

That’s why picking the best companies you can is so important. Different companies can serve different roles in a portfolio.

You might have one share for its defensive, recession-resistant qualities that can protect your capital. You might have another one for high dividend income. A third choice might be a moonshot growth stock that you hope can turn out to be a 100-bagger.

So what kind of qualities should an investor look for in their own investments?

Well, to answer that, let’s turn to one of the greatest investors of all time, Warren Buffett.

Some Buffett wisdom for $1 million of ASX shares

Buffett is a master stock picker. He has had more than 90 years on this planet to hone his craft, and he has certainly done so, turning Berkshire Hathaway Inc into a US$644 billion company over the course of his career.

The lion’s share of Berkshire’s (and thus Buffett’s) returns have only come from a handful of shares though. Buffett said as much in his most recent letter to the shareholders of Berkshire:

In 58 years of Berkshire management, most of my capital-allocation decisions have been no better than so-so. In some cases, also, bad moves by me have been rescued by very large doses of luck …

Our satisfactory results have been the product of about a dozen truly good decisions – that would be about one every five years – and a sometimes-forgotten advantage that favors long-term investors such as Berkshire.

So what does Buffett look for in a winner? Well, luckily, some of his other letters from years gone by paint a pretty detailed picture. Here’s some of what he said in 1993:

Both Coke and Gillette have actually increased their worldwide shares of market in recent years.

The might of their brand names, the attributes of their products, and the strength of their distribution systems give them an enormous competitive advantage, setting up a protective moat around their economic castles.

The average company, in contrast, does battle daily without any such means of protection

He then expanded on this in his letter this following year:

Our investments continue to be few in number and simple in concept: The truly big investment idea can usually be explained in a short paragraph.

We like a business with enduring competitive advantages that is run by able and owner-oriented people. When these attributes exist, and when we can make purchases at sensible prices, it is hard to go wrong.

So there you have it. Of course, finding these Buffett-approved shares is easier said than done. And you also make sure you pay the right price for them.

For example, one of my favourite ASX shares, one that I expect will help me get to $1 million one day, is Washington H. Soul Pattinson And Co Ltd (ASX: SOL). But I am hoping for a cheaper share price to add to my position than what the market is currently asking.

However, there are others that I think look like better value. Those include Adairs Ltd (ASX: ADH), Harvey Norman Holdings Limited (ASX: HVN) and JB Hi-Fi Ltd (ASX: JBH). I hope Buffett would approve.

The post I’d target just a handful of ASX shares to aim for a million! appeared first on The Motley Fool Australia.

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More reading

• Why Adairs, Liontown, Qantas, and Synlait shares are dropping today
• Here are the 10 most shorted ASX shares this week
• Is it a trap? 3 ASX shares with ultra-high dividend yields
• Buy Macquarie and this high yield ASX dividend share: brokers
• 2 ASX 300 shares trading ex-dividend on Monday

Motley Fool contributor Sebastian Bowen has positions in Adairs, Berkshire Hathaway, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Adairs, Berkshire Hathaway, Harvey Norman, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Adairs, Harvey Norman, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Berkshire Hathaway and Jb Hi-Fi. 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 Woodside Energy Group Ltd (ASX: WDS) share price dropped 2.94% in trading on Monday.

The S&P/ASX 200 Index (ASX: XJO) oil and gas stock closed on Friday trading for $31.94 per share. Shares finished Monday’s session trading at $31 apiece.

It’s not just the Woodside share price that was under pressure today, mind you.

The ASX 200 fell 1.38% today. And energy stocks broadly underperformed, as witnessed by the 3.01% fall in the S&P/ASX 200 Energy Index (ASX: XEJ).

So, what’s going on?

What are ASX 200 energy investors considering?

The Woodside share price slipped amid another retrace in crude oil prices over the weekend.

Brent crude oil is down 0.80%, currently trading for US$71.03 per barrel. That’s the lowest level seen since December 2021.

Oil has had virtually the opposite reaction as gold has to the uncertainty embroiling the global financial sector over the past week and a half, with ASX 200 gold shares rocketing higher today.

Atop the banking crisis – sparked by the collapse of Silicon Valley Bank and the emergency takeover of Credit Suisse by rival UBS – the oil price has been under pressure on several other fronts.

First, investors remain concerned about a potential global recession knocking the stuffing out of energy demand.

Second, Russia has, against all odds, managed to maintain its oil exports despite a range of international sanctions in place to protest its invasion of Ukraine.

What’s next for the Woodside share price?

A range of factors will determine how well, or poorly, the Woodside share price performs over the coming months.

And the oil price will be a key component.

On that front, most analysts continue to forecast significantly higher crude oil prices for the second half of 2023.

Goldman Sachs just revised its own oil forecast down from USS$100 per barrel Brent heading into 2024.

However, the broker still sees Brent crude trading for US$94 per barrel. That 32% upside from current prices would certainly help support Woodsides moving forward.

Woodside share price snapshot

Pressured by falling energy prices, the Woodside share price has dipped into the red, down 1.18% over the past 12 months.

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

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More reading

• What Goldman Sachs new oil price forecast could mean for ASX 200 oil shares in 2023
• With oil below $75 per barrel, what’s next for the Woodside share price?
• 5 things to watch on the ASX 200 on Friday
• ASX 200 oil stocks are tanking. Is now the time to buy?
• Why Bendigo and Adelaide Bank, BHP, IPH, and Woodside shares are dropping

SVB Financial provides credit and banking services to The Motley Fool. 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 positions in and has recommended SVB Financial. The Motley Fool Australia has recommended SVB Financial. 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 S&P/ASX 200 Index (ASX: XJO) tumbled to its lowest close of 2023 on Monday, falling 1.38% to end the session at 6,898.5 points.

But the news taking the market by storm came from across the seas. Aussies woke up to word that embattled banking giant Credit Suisse will be acquired by rival UBS for around $4.8 billion.

Interestingly, it wasn’t the S&P/ASX 200 Financials Index (ASX: XFJ) leading the Aussie bourse’s falls today. Though, the sector did dump 1.7%.

Instead, it was the S&P/ASX 200 Energy Index (ASX: XEJ) that came in as the index’s worst-performing sector. It plummeted 3% after oil prices ended last week with a fizzle.

Brent crude oil fell 2.3% on Friday to finish last week nearly 12% lower than it started at US$72.97 a barrel. Meanwhile, US Nymex crude oil price dropped 2.4% on Friday to US$66.74 a barrel – marking a 13% week-on-week fall.

But not all was dire on the bourse today. The S&P/ASX 200 Communications Index (ASX: XTJ) lifted 0.4%.

These 10 top-performing ASX 200 stocks also ended the day in the green. Let’s take a look.

Top 10 ASX 200 shares countdown

A strong performance from gold prices, potentially driven by instability alarm bells, likely helped Gold Road Resources Ltd (ASX: GOR) come in as the ASX 200’s top-performing share on Monday.

The stock leapt nearly 11% to close at $1.67, taking the lead from many of its peers.

These shares made today’s biggest gains:

ASX-listed company	Share price	Price change
Gold Road Resources Ltd (ASX: GOR)	$1.67	10.96%
Evolution Mining Ltd (ASX: EVN)	$2.84	10.08%
Perseus Mining Limited (ASX: PRU)	$2.32	9.43%
De Grey Mining Limited (ASX: DEG)	$1.575	9%
Northern Star Resources Ltd (ASX: NST)	$11.82	8.54%
Healius Ltd (ASX: HLS)	$3.01	8.27%
Regis Resources Ltd (ASX: RRL)	$1.89	7.69%
Silver Lake Resources Ltd (ASX: SLR)	$1.155	6.45%
Capricorn Metals Ltd (ASX: CMM)	$4.73	6.29%
Newcrest Mining Ltd (ASX: NCM)	$25.65	5.95%

Our top 10 shares countdown is a recurring end-of-day summary to let you know which companies were making big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Monday
• Where I would go hunting for defensive ASX 200 shares with upside
• Why Breaker, Healius, Northern Star, and Tietto Minerals shares are charging higher
• ASX 200 gold shares are starting the week with a bang. Here’s why
• Why this ASX All Ords healthcare share is defying the market weakness and zooming higher

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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