Category: Stock Market

Looking for ASX dividend stocks for your income portfolio? If you are, then you could check out the three listed below that have been named as buys and tipped to offer big yields.

Here’s what brokers are saying about these shares:

Dalrymple Bay Infrastructure Ltd (ASX: DBI)

The first ASX dividend stock that could be a buy is Dalrymple Bay Infrastructure. It is the long-term operator of the Dalrymple Bay Coal Terminal (DBCT).

DBCT is the world’s largest metallurgical coal export facility, serving as a global gateway from the Bowen Basin and is a critical link in the global steelmaking supply chain.

Citi is feeling positive on the company thanks to its big yields and hedged debt.

In respect to the former, the broker is forecasting dividends per share of 20.6 cents in FY 2023 and 22 cents in FY 2024. Based on the latest Dalrymple Bay Infrastructure share price of $2.80, this will mean juicy yields of 7.35% and 7.9%, respectively.

Citi has a buy rating and $3.00 price target on its shares.

Dexus Convenience Retail REIT (ASX: DXC)

Another ASX dividend stock that analysts are positive on is Dexus Convenience Retail REIT.

Bell Potter is a big fan of the convenience retail and service station property fund. It believes its shares are cheap and deserve to trade on higher multiples. Particularly given that it operates in a “sub-sector where there is clear price discovery, and investors for commercial real estate have a clear preference for smaller cheque size assets.”

In addition, the broker is expecting some big dividend yields. It is forecasting dividends per share of 20.9 cents in FY 2024 and 20.5 cents in FY 2025. Based on its current share price of $2.65, this equates to yields of 7.9% and 7.7%, respectively.

Bell Potter has a buy rating and $2.85 price target on Dexus Convenience Retail REIT’s shares.

Universal Store Holdings Ltd (ASX: UNI)

This youth fashion retailer could be another ASX dividend stock for investors to buy.

That’s the view of the bullish analysts at Morgans, which highlight the company’s “attractive array of medium-term growth prospects.”

The broker is expecting this to allow Universal Store to pay fully franked dividends of 26 cents in FY 2024 and then 29 cents in FY 2025. Based on the latest Universal Store share price of $4.10, this equates to yields of 6.3% and 7.1%, respectively.

Its analysts have an add rating and $4.55 price target on its shares.

The post Get a big income boost from these high-yield ASX dividend stocks appeared first on The Motley Fool Australia.

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More reading

• Bell Potter says these ASX dividend shares are top buys
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Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor James Mickleboro has positions in Universal Store. 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 iron ore price edged higher again overnight to be trading at just under US$136 per tonne.

That’s helping all three of the big S&P/ASX 200 Index (ASX: XJO) iron ore stocks outpace the benchmark today.

At the time of writing in early afternoon trade on Tuesday, the ASX 200 is up a healthy 0.5%.

Here’s how these top mining shares are performing at this same time:

• BHP Group Ltd (ASX: BHP) shares are up 0.8%
• Rio Tinto Ltd (ASX: RIO) shares are up 1%
• Fortescue Metals Group Ltd (ASX: FMG) shares are up 1.5%

That’s certainly welcome news to shareholders.

But if Citi’s outlook for the iron ore price proves out, then there could be more outperformance ahead for BHP, Rio Tinto and Fortescue shares.

Iron ore price flagged to hit US$150 per tonne

As you likely recall, the iron ore price dipped below US$100 per tonne in late May last year. The industrial metal, and the ASX 200 mining stocks, came under pressure amid concerns over falling steel demand from China.

At the time, a number of analysts were forecasting that the critical steel-making metal would remain below US$100 per tonne in 2024, as China’s policymakers were seen as not doing enough to spur the nation’s sluggish economy and property markets.

What a difference a few months can make.

Last week the People’s Bank of China (PBoC) said it will cut the reserve requirements for Chinese banks, commencing in February. China’s government is also moving to shore up its steel-hungry real estate sector.

This sees Citi upgrading its forecast for copper prices – the number two revenue earner for BHP shares and the other big ASX 200 miners – along with predicting the iron ore price will reach US$150 per tonne in the three months ahead.

According to Citi analyst Wenyu Yao (quoted by The Australian Financial Review):

We see these measures as positive and can see this risk rally continuing over the coming month on the back of further details regarding urban village redevelopment and anticipated strong total social financing figures.

And in further good news for investors in Rio Tinto, BHP and Fortescue shares, the iron ore price could get some added tailwinds heading into the second quarter, according to the broker.

“As policy momentum could gather speed ahead of the National People’s Congress in March, we see rising upside catalysts into the second quarter from both macro expectations and strengthening fundamental,” Yao said.

The post Buying ASX 200 mining shares? Here’s Citi’s 2024 prediction for the iron ore price appeared first on The Motley Fool Australia.

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More reading

• BHP share price tumbles amid reported $14.8 billion Brazil dam disaster hit
• Are ASX blue-chip shares actually safe investments?
• Buy Rio Tinto and these ASX dividend stocks
• How to generate $10,000 of passive income from BHP shares
• Fortescue share price lifts off amid near-record iron ore shipments

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 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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Looking at Coles Group Ltd (ASX: COL) shares, and investors might not grasp just how little they’ve managed to squeeze out of this ASX 200 consumer staples stock in recent years.

Coles shares have always been a bouncy investment. Over the past 12 months alone, the grocery and supermarket giant has fluctuated between $14.82 and $18.85 a share. That’s a difference worth more than 20%.

But at today’s share price of $15.74 (at the time of writing), one thing is painfully evident: Coles shares have gone nowhere over the past four years.

Yes, Coles was also going for around this same share price way back in November of 2019. So if you bought Coles shares back then, you’ve only had the company’s dividend to keep you warm at night.

See for yourself below:

Not that Coles’ dividend has been insubstantial. Investors have long enjoyed a dividend yield of just over 4% from the supermarket operator. That yield has always come fully franked as well.

But the fact remains that Coles has functioned as more of a term deposit over the past four years than a successful, compounding stock market investment.

Rubbing salt in the wound, shares of Coles’ arch-rival Woolworths Group Ltd (ASX: WOW) have enjoyed capital growth of around 10% over the same period.

So perhaps Coles investors are hoping that 2024 is the year that the company goes from loser to winner.

Can Coles shares turn it around in 2024?

Well, the good news is that while the Coles share price has been stagnant over the past four years or so, the company has still been growing. In its 2019 earnings report, Coles posted total group revenue of $38.18 billion, with an earnings before interest and tax (EBIT) of $1.47 billion.

Fast forward to the company’s full-year earnings for FY2023 from August last year, and we can see that group sales had increased to $41.47 billion, with an EBIT of $1.97 billion.

This should give investors some comfort as we head into 2024.

But let’s see what an ASX expert is predicting when it comes to Coles shares this year.

Just yesterday, my Fool colleague James covered the views of ASX broker Citi on Coles shares.

ASX broker names Coles as a buy

Citi indeed believes that Coles shares are going to have a great year in 2024. The broker has given Coles a 12-month share price target of $17.50 a share, alongside a buy rating. If realised, this would see the Coles share price gain approximately 11% from where the company sits today.

Citi is taking a long view of Coles. The broker reckons the grocer will struggle to grow its earnings over FY2024. However, it is also anticipating Coles will be able to bank solid earnings growth over both FY2025 and FY2026.

That in turn, according to Citi, will see the company increase its dividends substantially over those financial years as well, resulting in an annual dividend of 70 cents per share over FY2025. If Citi is on the money here, it could see Coles shares with a forward dividend yield of 4.45% today.

So that’s what one ASX expert has in mind for Coles this year. But we’ll have to wait and see whether the market does decide to yank the supermarket operator out of its four-year slump in 2024. No doubt investors have their fingers crossed.

The post Can Coles shares go from loser to winner in 2024? appeared first on The Motley Fool Australia.

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More reading

• Buy Rio Tinto and these ASX dividend stocks
• At 20x earnings and a 4% yield, surely I can’t ignore this ASX 200 stock?
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• How I’d build a backup superannuation fund with $10,000 and 5 ASX shares
• Top ASX shares to buy in 2024 instead of investing in a term deposit

Citigroup is an advertising partner of The Ascent, a Motley Fool company. 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 no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Coles 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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The All Ordinaries Index (ASX: XAO) is up 0.7% today, with this ASX All Ords stock doing a lot of the heavy lifting.

Up 24% in earlier trade today, the women’s clothing retail stock is currently trading for 53 cents a share, up 21.8%. That sees the ASX All Ords stock up an eye-popping 112% since the recent lows on 2 November.

Any guesses?

If you said City Chic Collective Ltd (ASX: CCX), go to the head of the virtual class.

Here’s what’s driving investor interest.

ASX All Ords stock lifts off on takeover potential

The City Chic share price looks to be taking off today after the company released its half year trading update for the six months to 31 December (H1 FY 2024) and responded to media speculations about potential interest in its North American business.

Starting with the potential acquisition of its North American business, the ASX All Ords stock said that it is “regularly involved in exploratory discussions with different parties regarding initiatives that could create value for its shareholders”.

The company highlighted that “there is no certainty that any of these opportunities, including any potential sale of City Chic’s North American business, proceed to a binding transaction”.

Luminis Partners has been a long-standing adviser to City Chic on various projects.

Turning to the half-year update…

City Chic share price lifts amid improving margins

The ASX All Ords stock reported global sales revenue of $106 million for H1 FY 2024. That’s down 29% from the prior corresponding period.

Underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) for the six months came in at a loss of $7 million to $10 million.

However, the company reported a 10% improvement in margin in Q2 FY 2024 compared to Q1. Second-quarter revenue was also up from the first quarter, while costs were down following the company’s strategic action plans.

The inventory overhang was also reduced. City Chic reported inventories were down 27% since 2 July, with some $40 million of inventory cleared.

Commenting on the results that look to be giving the ASX All Ords stock a healthy boost today, City Chic CEO Phil Ryan said:

In the first quarter our focus was on clearing our inventory position and delivering new, relevant product to support our key trading period and we did that successfully.

This is reflected in stronger sell through at improved margins in the second quarter, especially in our stores business, and we remain on track to return to profitable trading overall in the second half.

As at 31 December, the ASX All Ords stock had a net cash position of $3.5 million.

The post Guess which ASX All Ords stock just rocketed 24% on takeover interest appeared first on The Motley Fool Australia.

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More reading

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• Zip share price surges 7% on quarterly cash flow report
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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 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 S&P/ASX 200 Index (ASX: XJO) is on form again on Tuesday. In afternoon trade, the benchmark index is up 0.6% to 7,621.6 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are falling:

29Metals Ltd (ASX: 29M)

The 29Metals share price is down 11% to 45 cents. Investors appear disappointed by the copper producer’s quarterly update. 29Metals reported copper production of 5.2kt for the fourth quarter. This brought its full year production to 18.1kt. Management is guiding to copper production of 18kt to 22kt for 2024.

Aroa Biosurgery Ltd (ASX: ARX)

The Aroa Biosurgery share price is down 9% to 65.25 cents. This follows the release of the medical device company’s quarterly update. That update revealed that management has reduced its FY 2024 total revenue guidance to between NZ$67 million and NZ$70 million. This has been driven by a decrease in expected revenue from TELA Bio due to a previous overestimation of Aroa’s revenue share on inventory supplied and a delay to a joint product development project.

Mader Group Ltd (ASX: MAD)

The Mader share price is down 6% to $6.26. Investors have been selling this specialist technical services provider’s shares despite the release of a solid quarterly update. Mader reported a 31% increase in total revenue to $189.3 million for the second quarter. In addition, the company has reaffirmed its confidence in “delivering FY24 revenue of at least $770m and NPAT of at least $50m.”

Netwealth Group Ltd (ASX: NWL)

The Netwealth share price is down 5% to $16.49. This appears to have been driven by a broker note out of Macquarie this morning. According to the note, the broker has downgraded Netwealth’s shares to an underperform rating with a $14.80 price target. It notes that Netwealth’s quarterly update shows that its growth is continuing to moderate.

The post Why 29Metals, Aroa Biosurgery, Mader, and Netwealth shares are falling appeared first on The Motley Fool Australia.

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More reading

• Up 40% since October, Netwealth share price reacts to record $6 billion increase
• These ASX 200 shares just hit new 52-week highs
• Here are the top 10 ASX 200 shares today
• How I’d invest $40k to create a lifelong passive income of $36,000 a year
• Why 29Metals, Alumina, Beach Energy, and Worley shares are falling 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 positions in and has recommended Macquarie Group, Mader Group, and Netwealth Group. The Motley Fool Australia has positions in and has recommended Macquarie Group, Mader Group, and Netwealth 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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The Zip Co Ltd (ASX: ZIP) share price lifted 6.75% in early trading on Tuesday to 79 cents.

This follows the release of the company’s cash flow report for the December quarter.

Zip shares have retreated slightly to 78 cents at the time of writing.

Let’s check out the details.

Zip share price lifts again on more positive quarterly news

Today’s quarterly cash flow report follows the release of Zip’s 2Q FY24 results and interim 1H FY24 update on 22 January, which resulted in a 17% increase in the Zip share price.

As covered by my colleague James, the buy now, pay later provider reported an 8.5% lift in transaction value over the prior corresponding period (pcp) to $2.8 billion in December.

Revenue rose by 26.1% to $225.6 million for the quarter, which equated to an improved margin of 8.2%.

Management said first-half group cash EBTDA was expected to be between $29 million and $33 million.

Today’s cash flow report reveals an increase in cash and cash equivalents from $260.7 million at the beginning of the quarter to $303.8 million as of 31 December.

Total funding available via cash and debt financing at the end of the quarter was $533.4 million.

BNPL stock price snapshot

The Zip share price has risen by 25% over the past month and by 72% over the past six months.

The BNPL share hit a new 52-week high of 80 cents on 24 January.

The post Zip share price surges 7% on quarterly cash flow report appeared first on The Motley Fool Australia.

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More reading

• Why IDP Education, Karoon Energy, Liontown, and Zip shares are falling today
• The Zip share price has soared 147% in 3 months, can it keep going?
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Motley Fool contributor Bronwyn Allen has positions in Zip Co. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Zip Co. 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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ASX travel share Webjet Limited (ASX: WEB) stock is on my buy list for a few different reasons. It has already recovered a long way from the COVID-19 weakness, but there could be more positivity to come.

Webjet operates three different businesses – an online travel agency (OTA) business, a business-to-business (B2B) segment called WebBeds, and a car and campervan rental website called GoSee.

The Webjet stock price is still 30% lower than where it was in January 2020, though there’s a higher share count these days after its capital raising ensured its balance sheet was good enough to survive.

But, from here, I think the business can excel for a few different reasons.

Improving market share

The pandemic was a rough time for many travel operators, but travel has seen a booming recovery. In the company’s FY24 first-half result, it reported a 35% increase in total transaction value to $2.9 billion.

When the company reported its HY24 result, it revealed Webjet OTA had seen a “material increase in international market share”. The business doesn’t have a physical presence, and households have been doing a lot more things digitally since the start of COVID-19 thanks to digital adoption.

Webjet said its OTA international flights market share grew 24% compared to the FY23 first half, with its software Trip Ninja “playing a key role providing unique content and real savings for customers.”

Strong cost control

Revenue is just one element of a company’s performance, costs also play an important part in profitability.

Webjet did a lot of work during the COVID-19 pandemic to reduce its cost base and increase its operating leverage.

As it processes more TTV, this can lead to even higher profit margins because of how profitable each extra transaction is for a digital business.

In HY24, the company saw its total revenue increase by 39%, the underlying earnings before interest, tax, depreciation and amortisation (EBITDA) rose by 40.6% and the profit before tax improved by 126%. These are strong improvements that can help Webjet stock.

If revenue can keep increasing, then I expect the profit before tax margin can keep growing thanks to its digital operations and cost controls.  

International travel recovery

Webjet said in its HY24 result that while there had been strong growth in international bookings for the period, capacity constraints by airlines “continued to subdue overall bookings”. But, the company suggested that it’s seeing “ongoing growth opportunities as capacity returns to 2019 levels.”

There is still scope for Webjet’s earnings to show more of a recovery from COVID-19 impacts with the recovery of international travel. As I’ve mentioned, more volume should be helpful for revenue and even better for margins and profit.

Foolish takeaway

According to Commsec, the Webjet share price is valued at 19 times FY25’s estimated earnings. I like the business now, but it’d be even more appealing if it was a bit cheaper.

The post Webjet stock: 3 reasons it’s on my buy list appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) has followed Wall Street’s lead and is charging higher. At the time of writing, the benchmark index is up 0.5% to 7,616.4 points.

Four ASX shares that are rising more than most today are listed below. Here’s why they are climbing:

Gold Road Resources Ltd (ASX: GOR)

The Gold Road share price is up over 8% to $1.51. This may have been driven by a broker note out of Macquarie. In response to a selloff on Monday, its analysts have upgraded the gold miner’s shares to an outperform rating with a $1.60 price target. In addition, Jefferies has lifted its recommendation to a buy rating with a $2.00 price target.

Ioneer Ltd (ASX: INR)

The Ioneer share price is up 11% to 12.2 cents. This follows the release of a quarterly update from the lithium-boron developer. Management spoke very positively about the year ahead. It said: “2024 promises to be a momentous year for Ioneer, including the expected conclusion of the federal permitting process and the commencement of construction at Rhyolite Ridge.”

Megaport Ltd (ASX: MP1)

The Megaport share price is up 26% to $12.38. Investors have been buying the elasticity connectivity and network services interconnection provider’s shares following the release of its quarterly update. For the three months, Megaport reported total revenue of $48.6 million. This was an increase of 5% quarter on quarter and 31% year on year.

Nickel Industries Ltd (ASX: NIC)

The Nickel Industries share price is up 20% to 72 cents. This has been driven by the release of a strong quarterly update and the announcement of a new dividend policy and on-market share buyback. In respect to the latter, the company will be buying back up to US$100 million worth of shares over the next 12 months.

The post Why Gold Road, Ioneer, Megaport, and Nickel Industries shares are roaring higher appeared first on The Motley Fool Australia.

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More reading

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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 positions in and has recommended Megaport. The Motley Fool Australia has recommended Megaport. 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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Oil price rises in recent days reflect a higher risk of Iran becoming more involved in current Middle East tensions, according to CBA’s director of mining and energy commodity research, Vivek Dhar.

The Brent Crude oil price closed at US$82.40 per barrel, down 1.38% overnight.

The WTI Crude oil price closed at US$76.96 per barrel, up 0.23%.

Both oil prices reached their highest levels since November in recent days amid concerns over how Middle East tensions may play out from here.

Middle East tensions supporting oil prices

According to The Australian, Dhar expects tensions between the United States and Iran to continue to support oil prices given the potential impact on global supply chains.

Dhar says global oil supply could be disrupted if Iran gets involved in a direct confrontation with the US.

The world is waiting to see how US President Joe Biden will respond to a drone strike on a US military base in Jordan that killed three servicemen and wounded more than 40 others on Sunday.

Iran has denied any involvement but AP News reports that US officials have “assessed that one of several Iranian-backed groups was behind it”.

Dhar says an escalation in US-Iran tensions could result in greater enforcement of sanctions on Iran’s oil supply. Iran exports made up about 1% to 1.5% of the world’s oil supply in 2023.

But the greater concern is that Iran may blockade the Strait of Hormuz. About 15% to 20% of the world’s oil supply transits through there.

Meanwhile, Iran-based Houthi rebels continue to attack international trade ships in the Red Sea, through which about 6.5% to 7% of global oil and fuel supply transits.

Dhar says an attack over the weekend on a tanker carrying Russian fuel for global commodities supplier Trafigura was the “most significant attack on a tanker since tensions in the region escalated in the wake of the Israel‑Hamas war.”

ASX oil shares on Tuesday

Oil prices have a direct impact on ASX oil shares because they impact company earnings.

Today, Woodside Energy Group Ltd (ASX: WDS) shares are down 0.52% to $31.75 at the time of writing.

Santos Ltd (ASX: STO) shares are down 0.64% to $7.75.

Beach Energy Ltd (ASX: BPT) shares are steady at $1.63 apiece.

The post How US-Iran tensions will support oil prices: CBA analyst appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Tuesday
• How investing $100 per week can create $1,500 in annual ASX dividend income
• Could this be jump-starting ASX energy shares today?
• Why Bapcor, Domino’s, Santana Minerals, and Woodside shares are charging higher
• Leading brokers name 3 ASX shares to buy today

Motley Fool contributor Bronwyn Allen has positions in Woodside Energy Group. 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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Nickel Industries Ltd (ASX: NIC) shares are having a very strong session.

In morning trade, the ASX 200 nickel stock is up 17% to 70.5 cents.

Why is this ASX 200 stock jumping?

There are a couple of reasons why investors have been buying this nickel producer’s shares on Tuesday.

The first is the release of a quarterly update which revealed record production and sales volumes.

According to the release, production came in at a record of 34,450 tonnes of nickel metal. This is up from 29,367 tonnes during the previous quarter.

This allowed the ASX 200 stock to sell a record 34,427 tonnes of nickel metal. This was an 18% increase on the prior corresponding period.

There were no records for its earnings, though. Softer pricing led to EBITDA falling quarter on quarter to US$85.1 million from US$97.6 million.

Nevertheless, at the end of the quarter the company had cash, receivables, and inventory of US$1,302.5 million.

What else is happening?

Also getting investors excited was news that the ASX 200 stock is planning to return funds to investors through an on-market share buyback.

Nickel Industries intends to return up to US$100 million of additional capital to shareholders over the next 12 months, in addition to dividends.

Speaking of dividends, this morning the company announced a revised dividend policy. The new policy will see between 30% and 60% of free cash flow returned to shareholders by way of regular dividends declared on an interim and final basis each financial year.

The ASX 200 stock’s managing director, Justin Werner, said:

Nickel Industries has transitioned into a position to target higher shareholder returns via our new Capital Management Framework through strong operating performance. The revised dividend policy represents a significant uplift from existing dividend levels and will allow for greater returns to shareholders. We are pleased to announce an initial on-market share buyback as we strongly believe the current share price undervalues the Company.

The post Guess which ASX 200 stock is up 17% on big news appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• 3 ASX 200 stocks starting the new year at near 52-week lows

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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