Category: Stock Market

If you’re wanting to pick up some blue chip shares, then the two listed below could be top options.

Both of these ASX 200 blue chips have been rated as buys by brokers recently. Here’s what they are saying:

Woolworths Group Ltd (ASX: WOW)

The first ASX 200 blue chip share that could be in the buy zone is retail giant Woolworths.

Analysts at Goldman Sachs are feeling very positive about the company even in the current environment. In fact, the broker is forecasting solid sales growth and even stronger earnings growth through to FY 2024.

Goldman explained:

We are encouraged by the resilience and superior operations of WOW and reiterate our unchanged FY22-24e Sales and EPS CAGR of 6.9% and 14.9% respectively. We expect this to be driven by high price growth, well protected GPM and slight EBIT margin expansion as COVID costs roll-off and cost efficiencies continue.

Goldman recently reiterated its buy rating and $41.70 price target on the company’s shares.

Xero Limited (ASX: XRO)

Another blue chip share that could be in the buy zone is cloud accounting platform provider Xero.

The team at Morgans is positive on Xero. Its analysts believe the software company has high quality operations and strong growth potential in an industry with high barriers to entry.

The broker explained:

XRO boasts strong customer advocacy, significant barriers to entry, scalability and LTV at ~7x CAC. It should continue to grow earnings/FCF above economic trend and is profitable and liquid. We rate it highly and it appears others do as well. A key risk is XRO trades on large short-term multiples. If we remove FY22F “investing for growth” CAC, XRO trades on a ~2.2% FCF yield. Rising interest rates are a net negative for XRO’s share price and growth companies. However, XRO should be a top tech exposure due its high quality.

Morgans recently initiated coverage on the company with an add rating and $90.25 price target.

The post Experts name 2 blue chip ASX 200 shares to buy appeared first on The Motley Fool Australia.

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More reading

• What are brokers saying about the Xero share price?
• Analysts name 2 ASX 200 dividend shares to buy now
• Broker names 2 ASX tech shares to buy in July
• ASX 200 midday update: ANZ confirms MYOB talks, energy shares fall
• $264 million! The 10 highest-paid CEOs on the ASX

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 Xero. The Motley Fool Australia has positions in and has recommended Xero. 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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Australian Foreign Minister Penny Wong has spoken with her counterpart Wang Yi, with the latter providing a list of requests to fulfil to restore a tattered relationship.

Wang Yi said Australia should treat China as a partner, not as an opponent, in order to “come to a correct understanding of China”.

The foreign minister also spoke about reversing potential trade barriers in a separate announcement. This could be of benefit to ASX 200 coal shares.

China ready to “take the pulse”

Reports have surfaced suggesting that China is ready to reverse its policy governing a ban on Australian coal imports.

Coal now trades at US$415 per tonne, just off its all-time record of US$427 per tonne set on 2 May.

In a media release on Chinese media on Thursday, Wang Yi also said that China was ready to reset ties with Australia out of mutual respect, Reuters reports.

The state official said that the “Chinese side is willing to take the pulse, recalibrate, and set sail again,” in regards to diplomatic relations.

This would involve refraining from joining with others in trying to contain China, he added.

The language signals a potential turnaround in coal imports into China, particularly as fears around a shortage of Russian supplies grow.

A wind back in supply with high demand would see prices continue surging to new highs, past the record levels already set in 2022.

That would mean China removing restrictions when procuring Australian imports of metallurgical coal.

For ASX 200 miners like Whitehaven Coal Ltd (ASX: WHC) and Yancoal Ltd (ASX: YAL), this could potentially bode in well.

The shares are down and up 1% each respectively today.

The post Will it flip? Rumours stir up interest in ASX 200 coal mining shares appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX shares today
• Here’s why ASX 200 coal shares are firing up today
• ASX 200 midday update: Telstra completes acquisition, Lake Resources and Bega Cheese sink
• Here are the top 10 ASX shares today
• Why Block, Megaport, Navigator Global, and Whitehaven Coal shares are rising

Motley Fool contributor Zach Bristow 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 Bitcoin (CRYPTO: BTC) price is up 2% in the last 24 hours to US$20,574 (AU$30,429).

That puts the world’s largest token by market cap up 7% two weeks into the nascent 2023 financial year (FY23).

FY22, as we covered here, presented two dramatically different halves for the crypto.

The first half saw the Bitcoin price hit all-time highs of US$68,790 on 10 November. The second half saw it sharply reverse course, tumbling 72% by 30 June and notching a 55% fall for the financial year just past.

That was then.

The question crypto investors have now is, what’s ahead in FY23?

What’s ahead for the Bitcoin price in FY23?

Gauging the 12-month price outlook for assets as notoriously volatile as cryptos is no precise science. To say the least.

What we can do is look at what impacted the Bitcoin price over the past year and extrapolate from that what may be in store for FY23.

The real bugbear for most all cryptos in the second half of FY22 was the changing outlook for inflation and interest rates.

Bitcoin and most other risk assets, like high growth tech shares, were riding high in the first half of FY22 based on investor assumptions that inflation and interest rates would remain at historically low levels into 2024, or beyond.

Of course, you know how that assumption worked out.

With inflation numbers running hot, central banks – led by the US Federal Reserve – flip-flopped and began issuing hawkish signals and instituting a series of aggressive rate rises.

This saw cryptos and tech shares crash, with the tech heavy NASDAQ falling 31% from its own record highs in November through to the end of FY22.

As for the Bitcoin price reaction, as eToro’s market analyst and crypto expert Simon Peters explained:

Crypto markets are very sensitive to US markets, in particular to monetary policy decisions from the Fed to combat rising inflation. The raising of interest rates and rising bond yields have affected US equity valuations and, by extension, crypto markets in recent months.

If the correlation between Bitcoin and the Fed’s policies continues through FY23, then the price will follow a similar trend to what we can expect to see on indexes like the NASDAQ.

In other words, keep your eye on the Fed.

But could Bitcoin decouple from equity markets?

Can cryptos decouple from share markets?

Tony Sycamore, market analyst at City Index, noted the Bitcoin price’s surprising strength in the wake of Wednesday’s scorching inflation numbers out of the US.

“Signs of resilience emerged that indicate Bitcoin may be closer to a bottom than some may think,” he said.

According to Sycamore:

The shockingly high inflation numbers postpone expectations for a dovish Fed pivot and have again raised the prospect of more aggressive Fed rate hikes.

In months gone past, this combination would have been enough to see Bitcoin fall into an abyss. However, after initially falling 3% to a low of US$18,905 after the release of the inflation number, Bitcoin closed 4.7% higher at US$20,230. An unexpected sign of strength and decoupling from the equity market.

Mati Greenspan, CEO of Quantum Economics, said there’s no underlying reason why the token should lose ground alongside other risk assets (courtesy of Bloomberg):

At the moment, Bitcoin is correlating downward with other risk assets but there isn’t any fundamental reason for it to do that. Once it breaks correlation with the stock market, Bitcoin’s price will better reflect its true value.

Will FY23 see Bitcoin break its correlation with growth shares?

Time will tell.

The post Will the US Fed continue to influence the Bitcoin price in the 2023 financial year? appeared first on The Motley Fool Australia.

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More reading

• Here’s Bitcoin’s only path to $300,000
• Why are Bitcoin miners shutting down in Texas?
• Is the Bitcoin price heading down to US$10,000? Here’s Wall Street’s take
• What went so right and so wrong for the Bitcoin price in the 2022 financial year?
• Why did the Bitcoin price crash 41% in June?

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 Bitcoin. The Motley Fool Australia has positions in and has recommended Bitcoin. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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S&P/ASX 200 Index (ASX: XJO) shares tumbled towards the week’s end today, with the materials sector leading the downturn. The index closed 0.68% lower at 6,605.60 points.

It followed a rough session on Wall Street overnight. The S&P 500 Index (SP: .INX) slumped 0.3% in Thursday’s session overseas while the Dow Jones Industrial Average Index (DJX: .DJI) fell 0.46%. Meanwhile, the Nasdaq Composite (NASDAQ: .IXIC) posted a slight gain of 0.03%.

The S&P/ASX 200 Materials Index (ASX: XMJ) plunged more than 3% on Friday, driven lower by commodity prices and quarterly earnings from Rio Tinto Limited (ASX: RIO).  

Most base metals fell overnight. The price of nickel led the fall, slipping 8.3%, while gold futures fell 1.7% to US$1,705.80. Iron ore futures also disappointed, posting a 4.8% tumble to US$104.96.

Today wasn’t all dire, however. The S&P/ASX 200 Consumer Staples Index (ASX: XSJ) recorded a gain of around 1%.

At the end of today’s session, five of the ASX 200’s 11 sectors were in the green.

So, which ASX shares defied the downturn to post the biggest gains on Friday? Read on to find out.

Top 10 ASX shares countdown

The best performing share of the ASX’s 200 biggest companies by market capitalisation was none other than Genesis Energy Ltd (ASX: GNE).

The ASX-listed New Zealand electricity generator’s shares lifted around 4% on Friday. Take a look at what the company’s been up to here.

Today’s top 10 biggest gains were made by these ASX shares:

ASX-listed company	Share price	Price change
Genesis Energy Ltd (ASX: GNE)	$2.50	4.17%
WiseTech Global Ltd (ASX: WTC)	$44.13	3.42%
Metcash Limited (ASX: MTS)	$4.25	2.66%
Latitude Group Holdings Ltd (ASX: LFS)	$1.60	2.56%
National Storage REIT (ASX: NSR)	$2.25	2.27%
Charter Hall Group (ASX: CHC)	$11.59	2.2%
Growthpoint Properties Australia Ltd (ASX: GOZ)	$3.61	1.98%
APA Group (ASX: APA)	$12.01	1.95%
ResMed Inc (ASX: RMD)	$33.11	1.94%
Stockland Corporation Ltd (ASX: SGP)	$3.80	1.88%

Data as at 4.30pm AEST.

Our top 10 ASX shares today countdown is a recurring end-of-day summary to ensure you know which companies were making big moves on the day. Check in at Fool.com.au after the market has closed during weekdays to see which stocks make the countdown.

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

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More reading

• Coles share price claims new 52-week high, could it still be a buy?
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Why Ardent Leisure, Michael Hill, National Storage, and WiseTech shares are rising
• Australia’s unemployment rate is at a 48-year low. What’s this mean for ASX 200 shares?
• Why is the Newcrest share price slipping to a new 52-week low on Friday?

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Cochlear Ltd., ResMed Inc., and WiseTech Global. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended ResMed. The Motley Fool Australia has positions in and has recommended COLESGROUP DEF SET, ResMed Inc., and WiseTech Global. The Motley Fool Australia has recommended Cochlear Ltd. 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 ASX 200 index is home to a good number of quality blue chip shares. So many, it can be hard to decide which ones to include in your portfolio.

In order to narrow things down, listed below are two ASX 200 shares that are highly rated right now. They are as follows:

Goodman Group (ASX: GMG)

The first ASX 200 share to look at is Goodman Group. It is a leading global integrated commercial and industrial property company.

Citi is a big fan of the company and has a buy rating and $29.50 price target. It is positive on the company’s outlook largely due to the strong demand for industrial properties and its burgeoning development pipeline.

Citi also believes a recent pullback has created a buying opportunity for investors. It commented

Similar to previous periods, we see FY22 guidance as conservative given strong FUM growth into 4Q22, off the back of development completions and rising asset values (as GMG’s book cap rates are softer than market). Moreover, despite fears, we see the growth outlook as being robust for FY23 as well given solid demand for industrial (which is driving market rental growth above longer-term averages) and ongoing investment demand, which should support asset value and AUM growth. We re-iterate Buy and see the -25% YTD share price decline as a good entry point.

REA Group Limited (ASX: REA)

Another ASX 200 share to look at is property listings company REA Group.

It has been a consistently solid performer over the last decade despite whatever the economy or housing market has thrown at it.

The good news is that the team at Goldman Sachs expect this trend to continue and has put a buy rating and $164.00 price target on its shares. The broker believes REA is a high quality company capable of delivering strong earnings growth in the coming years.

The broker said:

We re-iterate our Buy rating on REA and add it to the ANZ Conviction List, with +34% upside to our revised A$164 TP. As the #1 player in our preferred vertical (audience share), we believe REA is amongst the highest quality names in our coverage, and forecast FY22-25 EBITDA CAGR of +12%.

The post Why experts are tipping these ASX 200 shares as buys appeared first on The Motley Fool Australia.

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More reading

• $264 million! The 10 highest-paid CEOs on the ASX
• The Goodman share price went through a big rollercoaster in FY22
• 2 bargain ASX shares with good times ahead: expert
• Here are the top 10 ASX shares today
• Why this broker sees huge upside for REA share price despite housing market downturn

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended REA Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Xero Limited (ASX: XRO) share price is on course to end the week in the red.

At the time of writing, the cloud accounting platform provider’s shares are down almost 1.5% to $85.93.

This means the Xero share price is now down over 40% since the start of the year.

What are brokers saying about the Xero share price?

In light of the poor performance from the Xero share price in 2022, investors may be wondering if it has created a buying opportunity.

The good news is that three leading brokers see value in its shares at the current level.

Here’s what they are saying about Xero:

Citi currently has a buy rating and $108.00 price target on the company’s shares. This implies potential upside of almost 26% for investors. The broker was pleased with its recent price increases. It commented:

We see Xero’s decision to increase prices in ANZ and UK as an indication of the company’s confidence in its position in its core markets. While the changes would not have a full impact in FY23e, we estimate the changes represent a 8% uplift to group ARPU and represents upside to our ARPU forecasts. An increase in churn is a factor to consider especially given the slowing economic outlook

Over at Goldman Sachs, its analysts have a buy rating and $113.00 price target on its shares. This represents potential upside of 31% for the Xero share price. It said:

While noting that the near term remains robust, we do acknowledge the risk of higher churn from SME business challenges and recent price increases. Nevertheless, we see Xero as well-placed to navigate this uncertainty given the stickiness & importance of its software, and lower levels of churn vs. AU overall.

Finally, analysts at Morgans are bullish and recently initiated coverage on its shares with an add rating and a more modest $90.25 price target.

XRO has a significant runway for customer growth with <10% penetration of a 45m+ SMB Total Addressable Market (TAM). We see additional earnings upside from platform / ancillary value-added services and margin expansion.

The post What are brokers saying about the Xero share price? appeared first on The Motley Fool Australia.

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More reading

• Broker names 2 ASX tech shares to buy in July
• ASX 200 midday update: ANZ confirms MYOB talks, energy shares fall
• This broker sees 30% upside for the Xero share price over the next year
• Here’s why Goldman Sachs sees lots of value in the Xero share price
• Down 40% in 2022: Is the Xero share price a buy 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 Xero. The Motley Fool Australia has positions in and has recommended Xero. 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 Coles Group Ltd (ASX: COL) share price defied the broader market’s downturn on Friday to post a new 52-week high, and one broker thinks it could go even higher.

At its highest point today, the Coles share price was trading at $18.97, 1.87% higher than its previous close.

For context, the S&P/ASX 200 Index (ASX: XJO) has been in the red all day. It’s currently down 0.75%.

So, what might be going on with the supermarket’s stock lately? Let’s take a look.

Coles share price inks new 52-week high

The Coles share price reached its highest point in more than a year on Friday despite the company’s silence.

In fact, the market hasn’t heard price-sensitive news from the supermarket since late April.

So, what might be driving it higher? Well, the Australian Bureau of Statistics found household spending increased in May despite the current inflationary environment earlier this week.

Speaking of, Coles has positive exposure to inflation, my Fool colleague James reported yesterday. On top of that, its sales have been growing and it holds a strong market position.

The supermarket can also pass on higher costs to consumers. In fact, it upped the price of Coles brand milk yesterday due to rising costs associated with sourcing, transporting, and packing the dairy product.

Morgans is one broker excited about the future of the Coles share price. It has reportedly slapped the stock with a $20.65 price target.

It also expects the supermarket giant to up its dividends to 61 cents in financial year 2022 and 64 cents in financial year 2023.

The post Coles share price claims new 52-week high, could it still be a buy? appeared first on The Motley Fool Australia.

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More reading

• Why experts have named these ASX 200 dividend shares to buy
• ASX 200 supermarket shares lead as household spending jumps
• Here’s why the Coles share price had a volatile FY22
• The Coles share price beat the ASX 200 by over 10% in June
• 3 ASX shares that could survive a recession: expert

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended COLESGROUP DEF SET. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The IGO Ltd (ASX: IGO) is enduring a tough end to the week, along with many other ASX mining shares.

The diversified miner’s shares are currently down 6.93% to $9.26 despite no news out of the company.

In broad market moves, the S&P/ASX 300 Metals and Mining Index (ASX: XMM) is down 3.06% to 4,745 points in late afternoon trading.

What’s up with the IGO share price?

The IGO share price and many of its peers are struggling today as the mining sector reacts poorly to Rio Tinto Limited (ASX: RIO)’s downgrade to alumina production today.

Not only that, economists are lowering their forecasts for key industrial metals including aluminium, zinc, and nickel.

Industrial metals have fallen across the board as the US dollar continues to strengthen against all major currency pairs.

Copper fell to trade at US$7,261 on the London Metals Exchange (LME) yesterday after falling to a near two-year low of US$7,160 a day earlier.

ANZ commodity strategist Daniel Hynes said the demand picture out of China “is improving” while prices are falling, suggesting that investors are pricing in lower economic growth.

All of this has weighed on the mining sector and appears to have transposed to the IGO share price.

Meanwhile, 83% of analysts still rate IGO as a buy right now, per Refinitiv Eikon data, with 16% saying it’s a sell.

The consensus price target from this list is $12.75 per share, suggesting there’s still upside to capture.

In the last 12 months, the IGO share price has clipped a 7% gain.

The post IGO share price declines 7% amid commodity fears appeared first on The Motley Fool Australia.

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More reading

• 3 ASX lithium shares that flew in FY22, and 1 that sank
• ASX 200 mining shares glide lower as expert reduces commodity targets
• ASX battery metals shares trying to power up after a horror June
• Here’s why the IGO share price is discovering a 5% rally on Friday
• Is now the time to be buying beaten down ASX 200 mining shares?

Motley Fool contributor Zach Bristow 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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It has been another busy week for Australia’s top brokers. This has led to the release of a large number of broker notes.

Three broker buy ratings that you might want to know more about are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

Bapcor Ltd (ASX: BAP)

According to a note out of Citi, its analysts have retained their buy rating and $8.03 price target on this auto parts retailer’s shares. The broker continues to rate Bapcor as its top pick in the sector and expects the company to continue to benefit from the lack of supply of new vehicles for longer than previously thought. The Bapcor share price is trading at $6.40 on Friday afternoon.

Megaport Ltd (ASX: MP1)

A note out of Macquarie reveals that its analysts have retained their outperform rating but cut their price target on this network as a service provider’s shares to $16.00. While Macquarie has trimmed its price target to reflect rising rates, it remains very positive and sees major upside potential for its shares. In addition, it suspects that the market is being too conservative with revenue estimates ahead of its quarterly update this month. The Megaport share price is fetching $6.80 today.

Pilbara Minerals Ltd (ASX: PLS)

Another note out of Macquarie reveals that its analysts have their outperform rating and $4.20 price target on this lithium miner’s shares. This follows the release of the results from the company’s latest BMX lithium auction. Macquarie was impressed with the price that the company commanded and notes that it is materially higher than its estimates for FY 2023. The Pilbara Minerals share price is trading at $2.38 this afternoon.

The post Brokers name 3 ASX shares to buy 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 Thursday
• Why Data#3, Netwealth, New Hope, and Pilbara Minerals shares are pushing higher
• The best and worst ASX All Ords mining shares of FY22
• Pilbara Minerals share price drops on latest BMX lithium auction update
• 3 ASX lithium shares that flew in FY22, and 1 that sank

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 FPO. The Motley Fool Australia has recommended Bapcor and MEGAPORT FPO. 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 Carsales.Com Ltd (ASX: CAR) share price is down 3.83% to trade at $18.59 in late afternoon trading.

The broader market is also down today with the benchmark S&P/ASX 200 Index (ASX: XJO) losing 0.7%.

One expert believes a new acquisition is going to do great things for the online classifieds company.

Is the Carsales share price a buy?

WAM Active Limited (ASX: WAA) is a listed investment company run by Wilson Asset Management. It invests in “market mispricing opportunities in the Australian market”.

For background, the Carsales share price is down more than 25% year to date.

In its June 2022 investor update released yesterday, the fund manager said it was positive about Carsales exercising its call option to acquire the remaining 51% of United States marketplace business, Trader Interactive.

Carsales operates the largest online classifieds business in Australia for cars, motorcycles and boats. It’s also a part-owner of Trader Interactive, which has a leading position in the categories of recreational vehicles (RVs), powersports, and commercial trucks and equipment.

Carsales earnings ‘more resilient’ than the market thinks

In the update, Wilson said the transaction would provide “immediate low, double-digit earnings per share (EPS) accretion, including tax and interest benefits.”

Furthermore:

We are positive on this strategic transaction for the company, with the move to 100% ownership in TI expected to unlock a range of additional growth opportunities for the business.

[The company] also provided a trading update during the month, with FY2022 earnings guidance in-line with consensus analyst expectations.

Despite broader macroeconomic uncertainty, the company noted strong momentum across all markets into FY2023 and we believe earnings will prove more resilient versus market expectations.

The Carsales share price lost about 8% in value over FY2022.

Capital raising completed

In an announcement to the ASX today, Carsales said it has completed the retail component of its fully underwritten one for 4.16 pro-rata accelerated non-renounceable entitlement offer.

Carsales announced the offer to the market on 27 June and it closed on Wednesday.

This is the final stage of the overall $1.207 billion equity raising to enable Carsales to buy the remaining 51% interest in Trader Interactive for US$809 million.

The retail offer was open to approximately 19,000 Carsales shareholders and 8,000 elected to participate.

The offer price was A$17.75 and approximately 10.3 million new Carsales shares were subscribed. This raised A$183 million.

Approximately 10.1 million new shares that were not taken up will be allocated to the sub-underwriters.

A separate offer to institutional investors had a 90% take-up and those new shares are already trading.

Carsales expects to settle the retail offer on 19 July. These Carsales shares will begin trading on 21 July.

The post Why this expert tips a ‘range of additional growth opportunities’ for Carsales shares appeared first on The Motley Fool Australia.

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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 carsales.com Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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