Category: Stock Market

  • Got a spare $1,000? I’d buy 10 shares of this ASX 200 stock to aim for a million

    A businessman stacks building blocks.A businessman stacks building blocks.

    Just one grand could be the start of something special.

    It sounds corny, but it’s true with the magic of ASX shares and compounding.

    Maybe it’s a reflection on the state of numeracy in the general population, but many Australians are walking around without realising how a million bucks could be within reach.

    Let’s check out how one could achieve this with one particular S&P/ASX 200 Index (ASX: XJO) stock as an example:

    ASX 200 outfit cleaning up its act

    Fintech Block Inc CDI (ASX: SQ2) might be a US$40 billion giant, but it’s been making some huge changes in the way it operates.

    The previously profligate startup is cleaning up its expenses and focusing on cash flow. And the market is sitting up and taking notice.

    “Block Inc outperformed in December following the release of its 3Q23 result the month prior, which exceeded investor expectations with respect to future cost discipline, and strong messaging about internal personnel productivity,” read a memo to clients from ECP analysts.

    “The result is an expectation of faster operating leverage to emerge across business units, with a plan to hit Block’s ‘rule of 40’ in 2026.”

    Indeed the Block share price has rocketed 61.8% since the start of November.

    Block Inc shares, however, have pulled back 13.7% so far this year with the market volatility caused by the uncertainty of how soon interest rate cuts might come.

    Despite this, according to CMC Invest, all three analysts that cover the ASX 200 stock still reckon it’s a strong buy.

    And this buying opportunity means you can now pick up 10 Block shares with your $1,000.

    Let’s make a million

    Past is never an indicator of future performance, but checking out the track record of Block shares gives us an idea of what’s realistic for that $1,000 to achieve.

    The ASX 200 stock only listed in 2022, so for long term history we need to examine the original US version, Block Inc (NYSE: SQ).

    That has returned 402% since listing in November 2015.

    If we round those figures to a 400% gain over eight years, the compound annual growth rate (CAGR) works out to be 22.3%.

    That’s not a bad result at all, considering that period has seen multiple market corrections, such as the 2018 correction, the 2020 COVID-19 crash, and the 2022 inflation crisis.

    So if your $1,000 of Block shares can grow at 22% each year, and you can chip in $800 a further each month, you’re on your way.

    After 16 years at that rate, your investment will have grown to $1,031,456.

    There’s your million.

    If you can start when you are 35 years old, you will have reached seven figures at 51, which is not a bad age to retire at.

    The post Got a spare $1,000? I’d buy 10 shares of this ASX 200 stock to aim for a million appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now…

    See The 5 Stocks
    *Returns as of 10 November 2023

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    Motley Fool contributor Tony Yoo has positions in Block. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Block. 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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  • Here’s how the ASX 200 market sectors stacked up this week

    A young man talks tech on his phone while looking at a laptop. A financial graph is superimposed across the image.A young man talks tech on his phone while looking at a laptop. A financial graph is superimposed across the image.

    Technology led the ASX 200 market sectors again this week, gaining 2.85% over the five trading days.

    The S&P/ASX 200 Index (ASX: XJO) weakened by 0.94% over the week to finish at 7,421.2 points on Friday.

    Four market sectors finished the week in the green.

    Let’s review what happened.

    Tech shares led the ASX sectors again this week

    This is the second consecutive week that tech stocks have led the market.

    As we reported, ASX 200 tech shares gained 2.76% last week. Combined with this week’s gains, tech stocks have gathered 5.6% over the past fortnight.

    We saw a historic moment overseas with tech stocks this week. On Tuesday, long-time leader Apple Inc (NASDAQ: AAPL) was knocked off its perch as the world’s largest company by market cap.

    Microsoft Corp (NASDAQ: MSFT) took the mantle, with my colleague Tony reporting that the company’s stake in OpenAI has encouraged more investment in recent times.

    On the ASX 200 boards this week, Xero Limited (ASX: XRO) set the pace among the five biggest ASX tech shares. The Xero share price lifted 5.02% over the five trading days to close at $114.73 on Friday.

    The Altium Limited (ASX: ALU) share price rose by 3.5% over the five days to finish at $48.22 on Friday. Tech sector heavyweight Wisetech Global Ltd (ASX: WTC) rose by 1.06% to $73.74.

    The Nextdc Ltd (ASX: NXT) share price faltered by 1.51% to $13.72. TechnologyOne Ltd (ASX: TNE) shares were barely in the green, up by 0.33% this week to $15.42.

    None of these big ASX 200 tech players released any price-sensitive news this week.

    Among the smaller tech companies, EML Payments Ltd (ASX: EML) gained 34% this week. This was largely due to news that EML will close its PFS Card Services Ireland Limited (PCSIL) segment as recommended by the reconstituted board of PCSIL. EML shares closed on Friday at $1, up 9.9% for the day.

    DroneShield Ltd (ASX: DRO) shares flew 4.05% higher this week to close at 39 cents on Friday. The company reported a maiden before-tax profit this week of $4 million. This compares to a $2.9 million loss in 2022.

    By the way, if you’re curious to know the best-performing ASX tech shares of 2023, click here.

    ASX 200 market sector snapshot

    Here’s how the 11 market sectors stacked up this week, according to CommSec data.

    Over the past five days:

    S&P/ASX 200 market sector Change this week
    Information Technology (ASX: XIJ) 2.85%
    Consumer Discretionary (ASX: XDJ) 1.15%
    Financials (ASX: XFJ) 0.46%
    Communication (ASX: XTJ) 0.19%
    Energy (ASX: XEJ) (0.46%)
    Healthcare (ASX: XHJ) (0.48%)
    Consumer Staples (ASX: XSJ) (0.51%)
    Industrials (ASX: XNJ) (1.6%)
    Utilities (ASX: XUJ) (2.51%)
    A-REIT (ASX: XPJ) (2.76%)
    Materials (ASX: XMJ) (3.72%)

    The post Here’s how the ASX 200 market sectors stacked up this week appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now…

    See The 5 Stocks
    *Returns as of 10 November 2023

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    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 positions in and has recommended Altium, Apple, DroneShield, EML Payments, Microsoft, Technology One, WiseTech Global, and Xero. The Motley Fool Australia has positions in and has recommended WiseTech Global and Xero. The Motley Fool Australia has recommended Apple, DroneShield, and Technology One. 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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  • Here are the top 10 ASX 200 shares today

    Five happy young friends on the coast, dabbing and raising their arms in the air.

    Five happy young friends on the coast, dabbing and raising their arms in the air.

    The S&P/ASX 200 Index (ASX: XJO) enjoyed an encouraging end to the trading week this Friday, in what will be a very welcome move for investors.

    For most of this week, the ASX 200 had been losing steam. But today changed all of that, with the index giving a rosy 1.02%, leaving it at 7,421.2 points.

    This return to form for the ASX follows a strong night of trading up on the American markets last night.

    The Dow Jones Industrial Average Index (DJX: .DJI) also returned to green territory, banking a gain of 0.54%.

    It was even better for the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC), which enjoyed a 1.35% bounce.

    But returning to the local markets now, let’s check out what the different ASX sectors were up to today.

    Winners and losers

    As you might expect, we only had a single loser this Friday amongst the various ASX sectors.

    That was the utilities space. The S&P/ASX 200 Utilities Index (ASX: XUJ) had a disappointing time, shedding 0.48% of its value.

    But that’s it for the losers.

    Turning to the winners now, and the best place to have had money invested in today was in tech shares. The S&P/ASX 200 Information Technology Index (ASX: XIJ) had an absolute corker, rocketing by 3.01%.

    Next, we had healthcare stocks. The S&P/ASX 200 Healthcare Index (ASX: XHJ) lived up to its name today, rising by 2.13%.

    Consumer discretionary shares weren’t quite as bubbly, but the S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) still managed a respectable rise of 1.2%.

    Right behind that were ASX energy shares. The S&P/ASX 200 Energy Index (ASX: XEJ) vaulted a pleasing 1.18% higher by close of trading.

    Financial stocks also had a great day, evidenced by the S&P/ASX 200 Financials Index (ASX: XFJ)’s rise of 1.09%.

    Communications shares came in next. The S&P/ASX 200 Communication Services Index (ASX: XTJ) was also on fire, rising by 0.94%.

    Real estate investment trusts (REITs) had a party as well, illustrated by the S&P/ASX 200 A-REIT Index (ASX: XPJ)’s gain of 0.93%.

    Industrials were making investors happy too. The S&P/ASX 200 Industrials Index (ASX: XNJ) managed to bank a rise of 0.83%.

    Consumer staples stocks were another bright spot. The S&P/ASX 200 Consumer Staples Index (ASX: XSJ) vaulted 0.65% higher by the end of the day.

    Mining shares were pushing the index up too. The S&P/ASX 200 Materials Index (ASX: XMJ) managed to add 0.42% this Friday.

    Our final winner was the gold sector. The All Ordinaries Gold Index (ASX: XGD) almost entered red territory but snatched a win by inching 0.09% higher.

    Top 10 ASX 200 shares countdown

    Today’s winning company turned out to be gaming giant Lottery Corp Ltd (ASX: TLC).

    Lottery Corp shares rocketed a pleasing 6.02% up to $4.93 each, despite no official news out from the company itself.

    Here’s a look at the rest of the best shares from today’s trading:

    ASX-listed company Share price Price change
    Lottery Corp Ltd (ASX: TLC) $4.93 6.02%
    Xero Limited (ASX: XRO) $114.73 4.80%
    Weebit Nano Ltd (ASX: WBT) $3.70 4.52%
    PEXA Group Ltd (ASX: PXA) $10.87 4.52%
    Coronado Global Resources Inc (ASX: CRN) $1.675 4.04%
    Whitehaven Coal Ltd (ASX: WHC) $8.11 3.84%
    Nanosonics Ltd (ASX: NAN) $4.27 3.64%
    A2 Milk Company Ltd (ASX: A2M) $4.32 3.35%
    Pro Medicus Limited (ASX: PME) $99.69 3.20%
    Aristocrat Leisure Limited (ASX: ALL) $42.60 3.15%

    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.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now…

    See The 5 Stocks
    *Returns as of 10 November 2023

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    Motley Fool contributor Sebastian Bowen has positions in A2 Milk. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Lottery, Nanosonics, PEXA Group, Pro Medicus, and Xero. The Motley Fool Australia has positions in and has recommended Nanosonics and Xero. The Motley Fool Australia has recommended A2 Milk and Pro Medicus. 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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  • Analysts say these 3 ASX dividend stocks are buys with big yields

    Hand of a woman carrying a bag of money, representing the concept of saving money or earning dividends.

    Hand of a woman carrying a bag of money, representing the concept of saving money or earning dividends.

    There are a large number of ASX dividend stocks to choose from on the Australian share market.

    But which ones could be buys right now?

    Three that have been given the thumbs up by brokers are listed below. Here’s what they are forecasting from them:

    Baby Bunting Group Ltd (ASX: BBN)

    The first ASX dividend stock that could be a buy for income investors is baby products retailer Baby Bunting.

    The team at Morgans is feeling upbeat about the company’s outlook after a couple of years of struggles. In fact, it sees a return to growth on the horizon.

    For example, it is forecasting fully franked dividends per share of 9.5 cents in FY 2024 and then 12.4 cents in FY 2025. Based on the current Baby Bunting share price of $1.82, this will mean dividend yields of 5.2% and 6.8%, respectively.

    Morgans has an add rating and $2.50 price target on its shares.

    Centuria Industrial REIT (ASX: CIP)

    Another ASX dividend stock that has been given the thumbs up by analysts is Centuria Industrial.

    It is largest domestic pure play industrial REIT with a 91% weighting to Australia’s high performing eastern seaboard industrial markets.

    Macquarie is a fan of the company and is forecasting a result slightly ahead of guidance in FY 2024.

    It expects this to underpin dividends per share of 16 cents in FY 2024 and 16.5 cents in FY 2025. Based on the current Centuria Industrial share price of $3.09, this represents yields of 5.2% and 5.3%, respectively.

    The broker has an outperform rating and $3.41 price target on its shares.

    Orora Ltd (ASX: ORA)

    Finally, Goldman Sachs think this packaging company would be a good ASX dividend stock to buy.

    The broker likes that Orora’s base business has defensive qualities and is positive on growth capital investments. In addition, it feels the current market implied valuation of the Saverglass business provides a favourable risk-reward skew.

    As for income, its analysts are forecasting dividends per share of 14 cents in FY 2024, 15 cents in FY 2025, and 16 cents in FY 2026. Based on the current Orora share price of $2.63, this will mean yields of 5.3%, 5.7%, and 6.1%, respectively.

    Goldman has a buy rating and $3.50 price target on its shares.

    The post Analysts say these 3 ASX dividend stocks are buys with big yields appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now…

    See The 5 Stocks
    *Returns as of 10 November 2023

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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 Goldman Sachs Group and Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended Orora. 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 ASX All Ords healthcare share is leaping 10% on cancer-killing drug trial progress

    Group of Imugene scientists cheering in the lab after the company received another patent for HER-VaxxGroup of Imugene scientists cheering in the lab after the company received another patent for HER-Vaxx

    ASX All Ords healthcare share Imugene Limited (ASX: IMU) is up 10% on Friday to 11 cents.

    The share price bump follows another update from the clinical-stage immuno‐oncology biotech company, which is developing virotherapies to treat and kill cancer.

    What news does this ASX All Ords biotech have today?

    On Friday, Imugene released a second update for the week on its Phase 1 MAST (Metastatic Advanced Solid Tumours) trial.

    The trial is evaluating the safety and efficacy of Imugene’s novel cancer-killing virus CF33-hNIS (Vaxinia).

    Today we learned that the first patients in the Phase 1 study’s higher dose cohort have received their dose.

    On Wednesday, the ASX All Ords company reported early positive signals in the trial, which sent its share price soaring 14%.

    Imugene said 38 patients had been dosed with Vaxinia during the continuing dose escalation phase.

    Of them, 31 had undergone their first scans after 42 days to see the results.

    In the IT cohorts comprising 14 patients, seven of the 15 cancer lesions injected with Vaxinia had reduced in size, and three were eradicated.

    The CEO of Imugene, Leslie Chong, said:

    Following the positive news on VAXINIA’s early signals and FDA Fast Track Designation to end 2023, we are pleased to start the new year by announcing the ongoing progress of the MAST trial as we continue to see no safety issues with the drug.

    We also look forward to expanding the trial to take a closer look at bile duct cancer where we’ve seen early encouraging results.

    Imugene gave a poster presentation on Vaxinia for the treatment of gastrointestinal (GI) malignancies at the annual ASCO Gastrointestinal Cancers Symposium (ASCO-GI) in San Francisco, California today.

    The presentation contained preliminary data from the first three dose levels in the MAST study.

    The company said the data demonstrated encouraging anti-tumor activity with Vaxinia monotherapy.

    This included one patient who achieved an immunological complete response with no known recurrence after one year.

    Imugene told attendees that Vaxinia “may be an effective and safe treatment option for GI malignancies …”.

    The company also said Vaxinia warrants further investigation in biliary tract cancer patients.

    Imugene share price snapshot

    This ASX All Ords healthcare share has fallen 33% over the past 12 months.

    Over the same time period, the S&P/ASX 200 Health Care Index (ASX: XHJ) has retreated 1.23%.

    The post This ASX All Ords healthcare share is leaping 10% on cancer-killing drug trial progress appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now…

    See The 5 Stocks
    *Returns as of 10 November 2023

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    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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  • Why is the Deep Yellow share price missing out on today’s market rally?

    two men in hard hats and high visibility jackets look together at a laptop screen that one of the men in holding at a mine site.

    two men in hard hats and high visibility jackets look together at a laptop screen that one of the men in holding at a mine site.

    It’s been a much-needed happy day for the S&P/ASX 200 Index (ASX: XJO) and most ASX shares so far this Friday. The ASX 200 is presently up by a rosy 0.99% to back over 7,400 points. However, if we look at the Deep Yellow Ltd (ASX: DYL) share price, it seems these gains have not extended to ASX uranium shares.

    While the ASX is riding high, Deep Yellow shares are sinking. The uranium producer is currently down a nasty 4.97% to $1.49 a share.

    Other ASX uranium shares are suffering too. Boss Energy Ltd (ASX: BOE) is nursing a loss of 2.5%, and Paladin Energy Ltd (ASX: PDN) is down 2.4%.

    But Deep Yellow seems to be getting singled out here. So what’s going on?

    Why is the Deep Yellow share price tanking on Friday?

    To clear this up, there’s been no official news or ASX announcements out of Deep Yellow itself today.

    However, we still might be able to work out what might be going on.

    According to a report in the Australian Financial Review (AFR) this week, ASX broker Bell Potter has recently been attempting to set up meetings between Deep Yellow and investors. However, those meetings were subsequently cancelled by Deep Yellow after it was speculated that they could be preceding a new capital raise program.

    The Deep Yellow share price has exploded higher over the past 12 months, rising close to 100%. So it makes sense that Deep Yellow might want to take advantage of this situation with a new capital raising program.

    However, the report notes that the explosive runup for Deep Yellow shares has also attracted short-seller interest. As such, a new capital raise, or even rumours of one, could embolden these shorters (capital raises normally result in a drop in share price).

    As such, it’s possible that this is what is putting a dampener on the Deep Yellow share price this Friday. Considering Deep Yellow’s recent share price performance though, it probably won’t bother too many investors.

    The post Why is the Deep Yellow share price missing out on today’s market rally? appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now…

    See The 5 Stocks
    *Returns as of 10 November 2023

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    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 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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  • If I’d invested $10,000 in Flight Centre shares a year ago here’s what I’d have now!

    A smiling travel agent sitting at her desk working for Corporate Travel ManagementA smiling travel agent sitting at her desk working for Corporate Travel Management

    Over the past months, Flight Centre Travel Group Ltd (ASX: FLT) shares have often found themselves among the 10 most shorted shares on the ASX.

    And this week is no exception.

    The S&P/ASX 200 Index (ASX: XJO) travel stock kicked off the week as the ninth most shorted share on the ASX, with 8.9% of its shares held short.

    Depending on their timing, of course, some short sellers may or may not have made money betting against Flight Centre.

    But it certainly doesn’t look like they will this week.

    As of last Friday’s close, Flight Centre stock is up 1.8%, currently trading for $20.85 a share.

    As for the past 12 months, here’s what I’d have today if I’d invested $10,000 in Flight Centre a year ago.

    How have Flight Centre shares performed over the year?

    On 19 January 2023, the ASX 200 travel stock closed the day trading for $15.86.

    That means I could have snapped up 630 shares, with enough change left over for a pint of beer.

    As mentioned above, in afternoon trade today shares are trading for $20.85. Meaning my 630 Flight Centre shares would be worth $13,135.50. Or a handy gain of $3,135.50 from my $10,000 investment a year ago.

    But let’s not forget the welcome return of the company’s fully franked dividends, paid out on 19 October.

    While not very large at 18 cents per share, Flight Centre paid its first dividend this year since 2019. The dividends were then derailed by the outbreak of the global pandemic.

    If we add those dividends back in then the accumulated value of my Flight Centre stockholdings equates to $13,248.90.

    That’s a 32.5% gain in 12 months.

    Short sellers, take note.

    What now?

    Despite the strong short interest in Flight Centre shares, Morgans analysts remain quite optimistic about the company’s outlook.

    In late December, the broker had an ‘add’ rating on the stock with a $26 price target.

    That’s almost 25% above the current price.

    The post If I’d invested $10,000 in Flight Centre shares a year ago here’s what I’d have now! appeared first on The Motley Fool Australia.

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    *Returns as of 10 November 2023

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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 recommended Flight Centre Travel 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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  • ANZ shares breach 52-week record amid merger expectations

    A man in his 30s holds his laptop and operates it with his other hand as he has a look of pleasant surprise on his face as though he is learning something new or finding hidden value in something on the screen.A man in his 30s holds his laptop and operates it with his other hand as he has a look of pleasant surprise on his face as though he is learning something new or finding hidden value in something on the screen.

    ANZ Group Holdings Ltd (ASX: ANZ) shares have set a new 52-week high on Friday at $26.12.

    The ANZ share price is currently $26.00, up 0.81%, while the S&P/ASX 200 Index (ASX: XJO) is up 0.9%.

    There is no official news from ANZ today.

    The ASX bank share is currently awaiting the outcome of its appeal against the Australian Competition and Consumer Commission’s (ACCC) decision to block its merger with the banking division of Suncorp Group Ltd (ASX: SUN).

    ANZ applied for a review of the ACCC’s decision by the Australian Competition Tribunal in August 2023.

    As reported by Reuters, top broker Citi has put out a note on Suncorp saying the sale of its banking unit is “more likely to occur than not”.

    Citi says it expects solid revenue growth for Suncorp due to interest rate increases over the past six months.

    However, it also expects 1H FY24 net interest margins to be lower than forecasted due to an “intensely competitive environment”.

    Citi has raised its 12-month share price target on Suncorp shares to $15.55.

    The Suncorp share price is currently $14.01, up 0.21% for the day.

    ANZ share price snapshot

    ANZ shares have lifted 4.5% over the past 12 months, while Suncorp shares have risen 13.35%.

    The post ANZ shares breach 52-week record amid merger expectations appeared first on The Motley Fool Australia.

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    Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Bronwyn Allen has positions in Anz 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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  • APM shares rebound on Friday following 40% thrashing on weaker profit news

    A woman stands at her desk looking a her phone with a panoramic view of the harbour bridge in the windows behind her with work colleagues in the background.A woman stands at her desk looking a her phone with a panoramic view of the harbour bridge in the windows behind her with work colleagues in the background.

    APM Human Services International Ltd (ASX: APM) shares are rebounding today but only slightly — up 2.8% to 81 cents. Meantime, the S&P/ASX 200 Index (ASX: XJO) is up 0.9%.

    The international employment services company was thrashed by the market yesterday after releasing its 1H FY24 update after the market close on Wednesday.  

    APM reported preliminary unaudited revenue of $1.14 billion for the six months ended 31 December, up from $853.7 million in 1H FY23.

    However, its underlying NPATA plummetted 35% from $85.4 million in 1H FY23 to $55 million in 1H FY24.

    Investors delivered a walloping to APM shares yesterday, with the share price falling 40%.

    APM shares spiralled to an all-time low of 79 cents and a closing value of 80 cents.

    This is a stunning turn of events for the company, which was only listed a little over two years ago at $3.55 per share. The chart below documents the decline of the APM share price.

    The company said the weak first-half performance was due to continuing low unemployment.

    This meant reduced client flows into employment services programs and fewer job placements, especially in Australia and the United Kingdom. It also cited higher interest rates and taxes.

    APM expects things to improve in 2H FY24, noting that a second-half skew is consistent with prior reporting periods.

    APM’s update comes amid the sixth consecutive quarterly fall in job vacancies in Australia.

    The unemployment rate is also steadying at 3.9% for both November and December.

    David Taylor, head of labour statistics at the Australian Bureau of Statistics (ABS), said:

    In trend terms, many of the key indicators still point to a tight labour market.

    However, the increasing unemployment rate since November 2022, along with the rising underemployment rate and slowdown in the growth of employment and hours worked, suggest that the labour market is starting to slow.

    The post APM shares rebound on Friday following 40% thrashing on weaker profit news appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

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    *Returns as of 10 November 2023

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    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 recommended APM Human Services International. 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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  • Could AI be a boon for this ASX ETF?

    Cybersecurity professional man inspects server room and works on ipad

    Cybersecurity professional man inspects server room and works on ipad

    The rise of artificial intelligence (AI) will arguably benefit many ASX shares. But there’s one ASX exchange-traded fund (ETF) that might be first in line to rake in some of AI’s transformative upside.

    The BetaShares Global Cybersecurity ETF (ASX: HACK) is a popular choice for many ASX investors. It’s an ETF that specialises in providing exposure to the cybersecurity industry, and the most important players within it.

    But it could also be poised to prosper from the rise of AI.

    ASX ETF to benefit from the rise of AI cyberattacks

    A recent report from NBC revealed the rising use of AI tools like ChatGPT by hackers to produce fraudulent emails, cyberattacks and criminal schemes.

    The report quotes the United States National Security Agency (NSA)’s director Rob Joyce, who stated the following:

    We already see criminal and nation-state elements utilizing AI,” he said. “We’re seeing intelligence operators, we’re seeing criminals on those platforms… One of the first things they’re doing is they’re just generating better English-language outreach to their victims, whether it’s phishing emails or something much more elaborative in the case of malign influence.

    However, Joyce also argued that AI technology is being employed to help defend against cyberattacks and hacking. The NSA has recently announced the creation of an AI Security Centre to promote the “secure adoption of new AI capabilities” across the cybersecurity world.

    Joyce stated that “AI machine learning, deep learning, is absolutely making us better at finding malicious activity. It is helping us see things illuminated so it stands out from the norm”.

    And that brings us back to the BetaShares Global Cybersecurity ETF. This ETF holds many companies that are at the forefront of the fight against cybercrime. These include Broadcom, Crowdstrike, Palo Alto, Okta and Zscaler.

    To illustrate, access management stock Okta is currently developing Okta AI. Using Okta AI can reportedly lead to a 90% reduction in bot activities over 90 days.

    Another cybersecurity stock, Crowdstrike, is also harnessing the power of AI to “detect the most advanced threats while minimizing false positives”. The company’s “world-class AI” is reportedly “trained on trillions of security events from a variety of platforms”.

    So while the rise of AI has led to new challenges in the cybersecurity front, it is also opening up new solutions in the fight against online illegal activity. And this ETF can help investors get a slice of the action.

    The post Could AI be a boon for this ASX ETF? appeared first on The Motley Fool Australia.

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    *Returns as of 10 November 2023

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    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 BetaShares Global Cybersecurity ETF, CrowdStrike, Okta, Palo Alto Networks, and Zscaler. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Broadcom. The Motley Fool Australia has positions in and has recommended BetaShares Global Cybersecurity ETF. The Motley Fool Australia has recommended CrowdStrike and Okta. 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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