Category: Stock Market

If you’d like to make some investments but aren’t sure which shares to buy, you could look at exchange traded funds (ETFs) instead.

But which ETFs could be buys? Three that are very popular are listed below. Here’s what you need to know about them:

BetaShares Global Energy Companies ETF (ASX: FUEL)

The first ETF to look at is the BetaShares Global Energy Companies ETF. This ETF allows investors to gain exposure to the global energy market at a time when oil prices are at high levels due to supply constraints.

BetaShares notes that the ETF includes energy producers that are larger, more geographically diversified, and more vertically integrated than Australian-listed energy companies.

Among its holdings are well-known energy giants including BP, Chevron, ExxonMobil, and Royal Dutch Shell.

BetaShares NASDAQ 100 ETF (ASX: NDQ)

Another ETF to look at is the BetaShares NASDAQ 100 ETF. This ETF provides investors with access to 100 of the largest non-financial companies listed on the famous exchange.

BetaShares thinks this ETF is a good option for Australian investors. It notes that the ETF’s strong focus on technology provides investors with diversified exposure to a high-growth potential sector that is under-represented in the Australian sharemarket.

Among the 100 shares included in the ETF are giants such as Amazon, Apple, Meta (Facebook), Microsoft, Netflix, Nvidia, Tesla, and Google parent, Alphabet.

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

A final ETF for investors to look at is the VanEck Vectors Morningstar Wide Moat ETF. It could be a good option for investors that want to replicate Warren Buffett’s investment style.

That’s because this ETF aims to invest in a group of fairly valued companies that have sustainable competitive advantages. The latter is something that Mr Buffett calls moats.

At present there are in the region of ~50 shares included in the ETF. This includes companies from a range of sectors such as Adobe, Alphabet, Amazon, Boeing, Campbell Soup, Constellation Brands, Microsoft, and Walt Disney.

The post Here are 3 fantastic ETFs for ASX investors to buy now appeared first on The Motley Fool Australia.

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More reading

• Why the BetaShares Nasdaq 100 ETF may have done better in FY22 than you thought
• Here’s how June treated the NDQ ETF
• 3 quality ETFs for ASX investors to buy next week
• 2 fantastic international ETFs for ASX investors to buy
• Why I think these 2 ASX shares are ideal for growth investors

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 BETANASDAQ ETF UNITS and BetaShares Global Energy Companies ETF – Currency Hedged. The Motley Fool Australia has positions in and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended VanEck Vectors Morningstar Wide Moat ETF. 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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Commonwealth Bank of Australia (ASX: CBA) shares have just ended the week in the red.

The banking giant’s shares dropped 0.5% to $92.59 on Friday.

Why did CBA shares have a subdued day?

Today’s subdued showing by the CBA share price could have been driven by a broker note out of Morgan Stanley yesterday.

That note reveals that the broker believes investors shouldn’t be getting their hopes up for another share buyback anytime soon.

According to the note, the broker believes that CBA and the rest of the big four banks have fewer capital management options than they did a year ago now that average capital ratios are only a touch above pre-pandemic levels.

Furthermore, with rates rising fast to combat inflation and potentially causing a recession, its analysts feel the current environment may be too uncertain to risk further buybacks.

The broker commented:

The major banks have announced $18 billion of buybacks since the middle of last year. However, given a more uncertain operating outlook, we don’t expect any further buybacks to be announced this year.

Shares remain a sell

It is partly for this reason that the broker doesn’t see value in CBA shares at the current level. The note reveals that its analysts have an underweight rating and $79.00 price target on its shares.

Based on the current CBA share price, this implies potential downside of 14.7% for investors over the next 12 months.

The only big four bank the broker is recommending as a buy is Westpac Banking Corp (ASX: WBC).

Its analysts currently have an overweight rating and $22.30 price target on its shares. This suggests potential upside of 12% for investors from current levels.

The post Own CBA shares? Here’s why this analyst doesn’t foresee further buybacks appeared first on The Motley Fool Australia.

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More reading

• What’s the outlook for ASX 200 dividend shares in FY23?
• Could rising rates hurt ASX 200 bank shares in the longer run?
• Why are ASX 200 bank shares responding positively to higher interest rates?
• What happened with the CBA share price in the 2022 financial year? 
• What’s going on with ASX 200 bank shares on Tuesday?

Motley Fool contributor James Mickleboro has positions in Westpac Banking Corporation. 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 Westpac Banking Corporation. 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:

Allkem Ltd (ASX: AKE)

According to a note out of UBS, its analysts have retained their buy rating and lifted their price target on this lithium miner’s shares to $15.55. UBS has become less positive on base metals and more positive on lithium. The broker expects lithium prices to remain strong and underpin strong free cashflow for Allkem. The Allkem share price is trading at $10.55 on Friday afternoon.

Baby Bunting Group Ltd (ASX: BBN)

A note out of Citi reveals that its analysts have retained their buy rating and $6.22 price target on this baby products retailer’s shares. Baby Bunting remains Citi’s top pick in the small cap retail space. Particularly given how the company is making early progress with its expansion into less penetrated categories such as toys and babywear. Combined with its store rollout, supply chain initiatives, and its private label offering, Citi believes Baby Bunting is well-placed for growth. The Baby Bunting share price is fetching $4.40 today.

Corporate Travel Management Ltd (ASX: CTD)

Analysts at Morgans have retained their add rating but cut their price target on this corporate travel specialist’s shares to $25.85. Although the broker acknowledges that the travel sector recovery may take longer than first expected, it sees recent weakness as a buying opportunity. But you may have to act fast. Morgans suspects that reporting season in August could be a catalyst for a rerating. The Corporate Travel Management share price is trading at $19.54 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

• These 3 ASX 200 lithium stocks are exploding on Friday
• Why did the Allkem share price soar 60% in FY22?
• Here are the top 10 ASX shares today
• Is now the time to be buying beaten down ASX 200 mining shares?
• Can ASX lithium shares recharge in FY23?

Motley Fool contributor James Mickleboro has positions in Allkem Limited. 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 Baby Bunting and Corporate Travel Management 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 S&P/ASX 200 Index (ASX: XJO) is enjoying a robust end to the trading week so far this Friday. At the time of writing, the ASX 200 is up by a decent 0.58% at just over 6,680 points.

So let’s delve deeper into these gains today, and check out the ASX 200 shares that are currently topping the market’s share trading volume charts today, according to investing.com. See if you can spot a theme today.

The 3 most traded ASX 200 shares by volume this Friday

Core Lithium Ltd (ASX: CXO)

First up today is Core Lithium. This ASX 200 lithium stock has had a hefty 14.67 million of its shares bounce around the share market so far this Friday. There have been no developments out of Core Lithium itself today, however, the company’s shares have had a very bumpy trading session.

Core Lithium initially opened up more than 4% this morning. But investors seem to have gotten cold feet and have sent the shares lower over today’s session. At present, Core Lithium has now seen its lead whittled back to a 0.53% gain. It’s probably these big moves that have elicited the high trading volumes we see.

Pilbara Minerals Ltd (ASX: PLS)

Our next ASX 200 share is a fellow lithium producer in PIlbara Minerals. In Pilbara’s case, we’ve seen a notable 18.21 million shares bought and sold at the present time.

There’s no news to speak of out of Pilbara either. So this volume can probably be explained by the monster 7.5% this company has gained over today so far. Yes, Pilbara shares are now trading at $2.36 after closing at $2.20 yesterday.

Lake Resources N.L. (ASX: LKE)

Our third and final ASX 200 share for today is yet another ASX lithium stock. Lake Resources has had a whopping 20.1 million shares change hands as it currently stands. Like Core Lithium, Lake Resources shares initially lit up this morning and rose by 8.21% at one point.

But sentiment has also cooled slightly, and the company is now up by 4.57% at 73 cents a share. Again, it is probably these gyrations that have elicited such a huge trading volume metric this Friday.

The post Here are the 3 most heavily traded ASX 200 shares on Friday appeared first on The Motley Fool Australia.

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More reading

• These 3 ASX 200 lithium stocks are exploding on Friday
• Pilbara Minerals share price blasts 8% higher as lithium regains attention
• Why is the Life360 share price soaring 12% today?
• Lake Resources shares are the most traded today. What’s going on?
• Down 40% in 2022: Is the Xero share price a buy today?

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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The S&P/ASX 200 Index (ASX: XJO) is on form again and poised to record another solid gain. In afternoon trade, the benchmark index is up 0.55% to 6,685 points.

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

Pro Medicus Limited (ASX: PME)

The Pro Medicus share price is up 5% to $47.45. This morning the team at Goldman Sachs upgraded this health imaging technology company’s shares to a neutral rating from sell. And while the broker’s price target of $42.60 is lower than where its shares trade today, Goldman spoke very positively about the company’s future.

St Barbara Ltd (ASX: SBM)

The St Barbara share price is up 7.5% to 89.2 cents. Investors have been buying this gold miner’s shares after its strong fourth quarter performance allowed it to achieve its revised guidance for FY 2022. Total gold production came in at 86.4k ounces during the quarter, up 40% from the previous quarter. This took its full year production to 281k ounces.

Vulcan Energy Resources Ltd (ASX: VUL)

The Vulcan share price is up 6% to $5.78. As well as getting a boost from a rebound in the lithium industry, a positive announcement has given Vulcan’s shares a lift. Vulcan revealed that it has signed an agreement with Italian renewable energy giant Enel Green Power to explore the development of a geothermal well housing lithium in Italy.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price is up 7% to $5.07. Whitehaven Coal and the rest of the resources sector have been performing strongly today amid news that China is planning a huge infrastructure-focused stimulus program to boost its economy. The S&P/ASX 200 Resources index is up 1.8% this afternoon.

The post Why Pro Medicus, St Barbara, Vulcan, and Whitehaven Coal are pushing higher appeared first on The Motley Fool Australia.

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More reading

• St Barbara shares sparkle 7% brighter amid strong production update
• Vulcan Energy share price leaps 8% on Italian energy producer agreement
• Why Goldman Sachs just upgraded Pro Medicus shares
• 5 things to watch on the ASX 200 on Friday
• Becoming Australia’s biggest export failed to ignite ASX coal shares 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 Pro Medicus Ltd. The Motley Fool Australia has positions in and has recommended Pro Medicus 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 Rio Tinto Limited (ASX: RIO) share price is up 1.44% in late afternoon trading to $98.56.

Fellow ASX mining shares BHP Group Ltd (ASX: BHP) and Fortescue Metals Group Limited (ASX: FMG) are similarly up by 1.82% and 1.34% respectively.

The big miners might be doing well today because of reports that China is considering a massive new stimulus program to boost its economy following disruptive recent COVID-19 lockdowns.

Let’s look at the detail.

Rumours of China stimulus boost Rio Tinto share price

According to a Bloomberg report, the Chinese Ministry of Finance is considering a US$220 billion stimulus program.

The program would be funded through special bonds issued by local governments. The bonds would be taken from their FY23 quotas to ramp up infrastructure investment.

The Chinese budget year begins in January. This would be the first time the central government has allowed bonds to be issued ahead of time. Therefore, the plan would require a State Council review and possibly approval by the National People’s Congress.

The US$2.2 billion would be on top of US$164 billion in infrastructure spending already announced in recent weeks.

Bloomberg quoted Wei Yao, Societe Generale’s chief economist and head of research for Asia/Pacific: “It has been clear for sometime that local governments need more money. The central government is still unwilling to expand its own balance sheet.”

The article said it is instead letting local governments borrow more. Yao says that means “a fiscal cliff next year”.

What this means for ASX mining shares

More infrastructure spending in China means more demand for our commodities, particularly iron ore which is used to make steel.

Commodity prices have increased on the news.

According to Trading Economics, Zinc rose by 3.55%, iron ore (62% fe) is up 2.46%, and aluminium is up 1.37%.

Rio Tinto share price outlook

The Rio Tinto share price is down 1.18% in the year to date. This is largely due to the falling iron ore price.

While the price is still elevated, it has fallen in 2022 due to fears of a global recession caused by rising inflation and interest rates.

As my Fool friend Tristan reports today, top broker UBS has downgraded its 12-month price target for Rio Tinto to $98. Credit Suisse is more bullish with a price target of $118 on Rio Tinto shares.

In addition, Credit Suisse thinks Rio will pay a grossed-up dividend yield of 20% in FY22 and 18% in FY23.

The post Rio Tinto shares avoid a rocky Friday amid US$220 billion commodity stimulus rumours appeared first on The Motley Fool Australia.

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More reading

• Own Rio Tinto shares? Here’s the outlook for July
• What’s the outlook for ASX 200 dividend shares in FY23?
• Here are the top 10 ASX shares today
• 5 worst ASX energy shares of FY22
• Is now the time to be buying beaten down ASX 200 mining shares?

Motley Fool contributor Bronwyn Allen has positions in BHP Billiton Limited and Fortescue Metals Group Limited. 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) is on course to finish the week on a positive note. At the time of writing, the benchmark index is up 0.6% to 6,687.5 points.

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

Collins Foods Ltd (ASX: CKF)

The Collins Foods share price is down 3.5% to $10.17. The catalyst for this was the quick service restaurant operator’s shares trading ex-dividend this morning for its final dividend of FY 2022. Eligible shareholders can look forward to receiving this 15 cents per share dividend at the start of next month on 1 August.

GQG Partners Inc (ASX: GQG)

The GQG share price is down 2% to $1.31. This morning this fund manager released its latest funds under management (FUM) update. GQG’s update revealed that its FUM fell 8.35% in June. This was driven partly by International Equity FUM dropping 8% and Global Equity FUM sinking 11.1% during the month.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price is down almost 3% to $11.93. Investors have been selling this struggling fund manager’s shares following the release of its monthly FUM update. That update revealed that Magellan’s FUM continues to dwindle. Magellan’s FUM stood at $61.3 billion at the end of June. This is down 5.7% from $65 billion at the end of May.

SkyCity Entertainment Group Limited (ASX: SKC)

The SkyCity share price is down 7.5% to $2.29. This casino and resorts operator’s shares have come under pressure this month after it revealed that the South Australian gaming regulator is undertaking an independent review of SkyCity Adelaide. The SkyCity share price has now fallen 13.5% since announcing the review.

The post Why Collins Foods, GQG, Magellan, and SkyCity shares are dropping appeared first on The Motley Fool Australia.

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More reading

• Here’s why the Collins Food share price is sinking on Friday
• Here’s why the Magellan share price is sinking 6% today
• Why I think these 2 ASX All Ords shares are at bargain prices in July
• 5 ASX dividend shares with the highest yields in FY22
• Here are the top 10 ASX shares today

Motley Fool contributor James Mickleboro has positions in Collins Foods Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Collins Foods Limited. The Motley Fool Australia has recommended Collins Foods 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 Galileo Mining Ltd (ASX: GAL) share price isn’t going anywhere on Friday.

This comes after the company requested that its shares be placed in a trading halt before market open today.

At the time of writing, shares in the cobalt and nickel explorer remain frozen at $1.275 apiece.

Why is the Galileo Mining share price halted?

In a statement to the ASX, Galileo Mining advised it is preparing to make an important announcement to investors.

This is in relation to material drill assay results from the company’s flagship Callisto discovery.

Galileo Mining requested the trading halt remain in place until Tuesday 12 July or when the announcement is made, whichever comes first.

A brief rundown on Galileo Mining

Based in Western Australia, Galileo Mining is focused on exploring its Norseman and Fraser Range projects for base metals.

The company wholly owns the Norseman Project and has joint ventures with the Creasy Group in the Fraser Range.

The Callisto palladium-nickel discovery is located within the Norseman project, near the town of Kalgoorlie in Western Australia.

Earlier this week, the company received firm commitments for a $20.4 million placement to expand its drilling program at Callisto.

Galileo Mining managing director Brad Underwood commented:

The placement will increase our total cash to approximately $26.5 million and allow us to aggressively explore this significant new palladium province within our Norseman Project area.

Galileo Mining share price snapshot

Since this time last year, Galileo Mining shares have registered an incredible gain of more than 360%.

However, in 2022, the company’s shares have zipped further with a 460% gain on the back of positive investor sentiment.

Based on valuation grounds, Galileo Mining presides a market capitalisation of roughly $227.98 million.

The post What’s behind the frozen Galileo Mining share price today? appeared first on The Motley Fool Australia.

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More reading

• Why Beach, BHP, Bubs, and Galileo Mining shares are sinking
• Here’s why the Galileo Mining share price is charging higher today
• Why is the Galileo Mining share price diving 21% this week?

Motley Fool contributor Aaron Teboneras 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 BHP Group Ltd (ASX: BHP) share price is rebounding on Friday after hitting a year-to-date low earlier this week.

At the time of writing, shares in the world’s largest miner are up 1.93% to $39.69.

For context, the S&P/ASX 200 Index (ASX: XJO) is 0.52% higher to 6,682.7 points.

Let’s take a look at what’s causing the miner’s shares to race past the benchmark ASX 200 index.

What’s driving BHP forward?

There could be a couple of reasons why the BHP share price is heading north today despite no company announcements.

Firstly, the S&P/ASX 200 Resources Index (ASX: XJR) is the best performing index across the ASX today with a 2.27% gain.

This has led shares in Rio Tinto Limited (ASX: RIO) and Fortescue Metals Group Limited (ASX: FMG) to lift 1.47% and 1.40%, respectively.

The strong turnaround for the benchmark index of Australian resource companies comes amid a 17% fall since 8 June.

Recently, bearish sentiment impacted global markets following investor concerns about a looming recession on the back of China’s COVID-19 crisis.

However, those worries have been alleviated for now as a number of blue-chip shares trade in bargain territory.

In addition, the price for iron ore appears to have stabilised after cooling down from its year-to-date highs of US$150.

Currently, the steel-making ingredient is fetching US$114.50 per tonne.

As reported by Trading Economics, China’s portside inventories increased last week after declining for the previous two months.

Both Australia and Brazil ramped up their iron ore shipments to the Asian powerhouse.

Subsequently, China’s blast furnaces are likely to operate close to full capacity as iron ore supply flows in.

BHP share price snapshot

Since the beginning of 2022, the BHP share price has struggled to take off amid a challenging economic environment.

The mining giant’s shares are up 7% year-to-date, but down 10% in the past 12 months.

Based on today’s price, BHP has a market capitalisation of $191.15 billion.

The post Why BHP and other ASX mining shares are making strides on Friday appeared first on The Motley Fool Australia.

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More reading

• What’s the outlook for ASX 200 dividend shares in FY23?
• Is now the time to be buying beaten down ASX 200 mining shares?
• 5 ASX dividend shares with the highest yields in FY22
• These ASX 200 mining shares are bouncing back on Thursday
• Should investors dig the BHP share price in July?

Motley Fool contributor Aaron Teboneras 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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A basket of ASX shares involved with lithium production is going gangbusters on Friday.

At the time of writing, the Novonix Ltd (ASX: NVX) share price is soaring 7.2%, Pilbara Minerals Ltd (ASX: PLS) is also trading 7.2% higher, and Allkem Ltd (ASX: AKE) shares are going for 5.6% more than when they started the day.

What’s going on?

Enjoy the inexplicable bounce in ASX lithium stocks

None of the three ASX lithium stocks made any announcements today that would affect their share prices.

The trio seems to be simply enjoying a rebound after lithium shares deflated badly in June.

All these recent movements seem to be sentiment-driven. According to Trading Economics, the lithium carbonate price has remained steady since early March.

The S&P/ASX 200 Index (ASX: XJO) is also up more than 0.5% on Friday, so there is considerable upwards momentum in the share market generally.

Pilbara, based in Western Australia, has seen its share price plummet 32% year-to-date.

Novonix is a pre-revenue ASX lithium share that enjoyed a spectacular (and speculative) 594% rise in its stock price last calendar year. 

This year, though, it is suffering through a 76% drop.

Allkem has fared the best in 2022, losing just 5.8% of its valuation so far. The stock surged 60% upwards in the 2022 financial year.

Long-term demand for lithium

Lithium is in demand as an ingredient for high-powered batteries, such as those used in electric cars.

Hence it’s seen as a valuable commodity in a world transitioning to lower carbon economies.

Shaw and Partners portfolio manager James Gerrish also explained last month that lithium is difficult to substitute.

“Lithium has unique characteristics that are difficult to replicate. It is a light metal but is able to store large amounts of energy and is an excellent conductor of electricity,” he said in a Market Matters Q&A in June.

“Demand for lithium has grown at [approximately] 20% compound annual growth rates through 2017 to 2022 and we think that will continue, while lithium deposits that are technically and economically viable to exploit are rare.”

The post These 3 ASX 200 lithium stocks are exploding on Friday appeared first on The Motley Fool Australia.

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Motley Fool contributor Tony Yoo 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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