Category: Stock Market

The CSL Limited (ASX: CSL) share price has been on a decent run over the last couple of months.

Since the middle of June, the biotherapeutics company’s shares have risen a sizeable 14%.

This compares to a gain of approximately 6% for the benchmark ASX 200 index.

Why is the CSL share price on a roll?

Investors have been bidding the CSL share price higher due to the release of very positive industry data.

That data shows that plasma collection levels are now back to pre-COVID levels in the United States at long last.

This is a big positive for CSL as plasma is a key ingredient in many of its most lucrative therapies. When it was in short supply, the company was paying more than normal for donations, which was putting pressure on its margins. With supply now back to normal and collection prices reducing, CSL should soon start to see its margins improve again.

All in all, the general consensus is that CSL is now over the worst of its issues, and it is onwards and upwards from here. But will it be onwards and upwards for the CSL share price?

Where are its shares heading?

According to a note out of Goldman Sachs, its analysts believe CSL’s shares may be close to peaking for the time being.

This morning the broker has resumed coverage on the company with a neutral rating and $307.00 price target. This implies potential upside of just 5% from the current CSL share price of $292.35.

Goldman believes that the company’s shares are about fair value now based on historic earnings multiples. It explained:

Valuation of 34x NTM P/E has now recovered to the 5yr avg, and is back above the 10yr (29x). We believe risk-reward is once again well-balanced, and reinstate our rating at Neutral, with a 12-month TP of A$307.

The post Goldman Sachs gives its verdict on the CSL share price appeared first on The Motley Fool Australia.

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More reading

• CSL share price climbs as $16 billion Vifor acquisition becomes effective
• ‘Excited about the pipeline’: Why Wilson says the CSL share price is in the buy zone right now
• 3 ASX 200 shares to buy for a post-COVID resurgence: experts
• Up 8% in July, is there more upside in the CSL share price this earnings season?
• Why Citi just became even more bullish on the CSL share price

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 CSL Ltd. 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 this high-tech age that we live in, those ASX shares perceived to represent “boring” businesses can be unfairly overlooked.

According to Switzer Financial Group director Paul Rickard, Aurizon Holdings Ltd (ASX: AZJ) is a prime example of a company with this perception in the market. 

“Boring is, I guess, any business involved in rail, haulage, logistics and coal,” he told Switzer TV Investing.

“But for many investors, they’ve gone to Aurizon for the income — because it’s been a high yielder.”

Share price heavily discounted after dividend announcement

On Monday, the market savaged Aurizon shares after the company revealed its full-year financials.

Investors were disturbed that a stock well-known for its yield was cutting its dividend by 24%. The Aurizon share price plummeted 6% that morning before recovering somewhat in the afternoon.

Rickard feels like that was an overreaction.

“It did cut its dividend, but that was, by and large, expected,” he said.

“It was actually a little bit better than analyst forecasts — but it was still a dividend cut.”

The sell-off, he added, has created “some value” for those dividend hunters willing to buy in for about a 5.6% yield next year.

“The market probably misunderstood what was coming.”

Taking advantage of the market’s misjudgment

Aurizon has two main businesses. One is owning and maintaining a network of train tracks in Queensland, the other is a haulage business that has many interests outside of that state. 

While much of its business relies on transporting coal, Rickard reckons Aurizon is shifting away from that to boost the stock’s ESG attractiveness.

“It’s actually divesting a part of what’s called East Coast Rail, which is its Hunter Valley thermal coal haulage business.”

The track business, which brings in about 55% of its revenue, can be considered an infrastructure play.

The Aurizon share price closed Wednesday at $3.89.

Aurizon isn’t a stock Rickard would actively chase, but Monday’s dip makes it appealing right at the moment.

“It’s an attractive yield… Markets have probably misjudged what they’re being told to create [buying] opportunities.”

It usually trades within a tight range, and is at the lower side of that spectrum.

“I think at $3.80 to $3.90 it’s reasonable for a dividend payer,” said Rickard.

“I wouldn’t go too much above $4, and I’m not expecting a huge [capital] gain. But I think you can quantify the risks.”

The post ‘Misunderstood’: Expert names dividend ASX share to buy now at price dip appeared first on The Motley Fool Australia.

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More reading

• Why Alliance, Aurizon, MVP, and Suncorp shares are dropping today
• Aurizon share price slips as dividend cut by 24%
• 5 things to watch on the ASX 200 on Monday
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Aurizon share price sinks despite ‘transformative’ acquisition win

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 recommended Aurizon Holdings 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 Telstra Corporation Ltd (ASX: TLS) share price will be one to watch on Thursday.

That’s because this morning the telco giant has released its highly anticipated full year results.

Telstra share price on watch following strong result and dividend increase

• Revenue dropped 4.7% year over year to $22,045 million
• Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) up 8.4% to $7,256 million
• Net profit down 4.6% to $1,814 million
• Fully franked final dividend of 8.5 cents per share
• Outlook: FY 2023 underlying EBITDA of $7.8 billion to $8.0 billion

What happened in FY 2022?

For the 12 months ended 30 June, Telstra posted a 4.7% decline in revenue and an 8.4% increase in underlying EBITDA to $7.3 billion.

A key driver of Telstra’s earnings growth was its mobile business. It performed very strongly, reporting EBITDA growth of 21.2% or $700 million over the prior corresponding period. This reflects the addition of 155,000 net retail postpaid handheld services, 2.9% postpaid handheld average revenue per user (ARPU) growth, and 6.4% mobile services revenue growth.

In addition, 1 million Internet of Things (IoT) services were added, along with 218,000 wholesale services.

Telstra also advised that InfraCo Fixed income was $2.4 billion, with core access revenue up 3.1% including NBN recurring receipts up 3.3%. Amplitel was established as a standalone business with the sale of a non-controlling 49% interest delivering net cash proceeds after transaction costs of $2.8 billion. Amplitel revenue increased by 8.9%.

Things weren’t quite as positive in Fixed for Consumer and Small Business. Telstra notes that this continued to be impacted by the tail end of the NBN migration. However, there is confidence that segment EBITDA has bottomed.

Another positive was that Telstra has continued to cut costs. It revealed that underlying fixed costs were down $454 million and total operating expenses were down $906 million.

In light of this strong performance and its positive outlook, the Telstra board decided to make its first dividend increase in eight years. It lifted its final dividend by half a cent to 8.5 cents, bringing its full year dividend to 16.5 cents per share.

How does this compare to expectations?

The good news for the Telstra share price today is that this result appears to be ahead of expectations.

For example, according to a note out of Goldman Sachs, its analysts were expecting revenue of $21.6 billion and underlying EBITDA of $7.13 billion. Telstra has beaten on both.

And much like the rest of the market, the broker was not expecting a dividend increase in FY 2022. Goldman was forecasting a final dividend of 8 cents per share and a full year dividend of 16 cents per share.

Management commentary

Telstra’s CEO, Andy Penn, was very pleased with the company’s performance in FY 2022. He said:

Our mobiles result was outstanding, Consumer & Small Business Fixed grew sequentially in the second half, Enterprise returned to growth and we started to realise the benefits of setting up our infrastructure assets as standalone InfraCo businesses. We also continued to take cost out of the business, with underlying fixed costs down $454 million and total operating expenses down $906 million, or 5.8 percent.

Commenting on the company’s decision to increase its dividend for the first time in many years, Penn said:

This represents the first increase in the total Telstra dividend since 2015 and recognises the confidence of the Board following the success of our T22 strategy, the ambition in our T25 strategy of high-teens EPS growth from FY21 – FY25, the strength of our balance sheet and the recognition by the Board of the importance of the dividend to shareholders

Outlook

Telstra has provided an update on its guidance for FY 2023. Pleasingly, it is in line with previously stated targets. It is as follows:

• Total Income of $23.0 billion to $25.0 billion
• Underlying EBITDA2 of $7.8 billion to $8.0 billion
• Capex4 of $3.5 billion to $3.7 billion
• Free cashflow after lease payments (FCFal) of $2.6 billion to $3.1 billion

The post Telstra share price on watch amid strong FY22 result and surprise dividend increase appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Thursday
• Here’s the Telstra dividend forecast through to 2024
• ‘Exciting’ ASX 200 dividend share expected to deliver material returns: expert
• ‘Wouldn’t have been on my radar previously’: Why WAM likes Telstra shares right now
• Looking to buy Telstra shares? Here’s what to watch when the telco giant reports this week

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 positions in and has recommended Telstra Corporation 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 Zip Co Ltd (ASX: ZIP) share price has run out of steam recently.

After rocketing higher in July, the buy now pay later (BNPL) provider’s shares have taken a tumble.

For example, since this time last week, the Zip share price has lost 13% of its value.

Where next for the Zip share price?

Unfortunately, one leading broker believes the Zip share price could be heading lower from here

According to a recent note out of Citi, its analysts have downgraded the company’s shares to a sell rating with a 70 cents price target.

Based on the current Zip share price of $1.23, this implies potential downside of 43% for investors over the next 12 months.

What did the broker say?

Although Citi believes that Zip’s plan to tighten its risk settings will reduce its bad debts, it expects this to come at the expense of growth.

In light of this, it feels that Zip may need to find further way to lower its costs to reduce its cash burn.

It explained:

While we expect net bad debts to decline as Zip tightens risk settings, we expect this to negatively impact TTV and have lowered our growth forecasts meaningfully and think Zip needs to make further cost cuts to reduce cash burn.

Given the risks to both transaction volumes and bad debts over the next 12 to 18 months in a tougher economic environment, we downgrade to Sell/High Risk.

The broker also criticised management’s very costly decision to pursue the acquisition of Sezzle Inc (ASX: SZL).

We also have some concerns on Zip’s decision making as the Sezzle acquisition process (which we had concerns on) resulted in Zip spending $60 million of capital. We continue to see value in Zip’s Australian business given its differentiated offering (albeit with higher credit risk), but see the US business as lacking scale.

The post Top broker warns that the Zip share price could sink 43% appeared first on The Motley Fool Australia.

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More reading

• Does this signify more bad news for ASX BNPL shares like Zip?
• Why is the Block share price tumbling 5% on Wednesday?
• Could Afterpay’s global ambitions threaten the future of Zip shares?
• These are the 10 most shorted ASX shares
• Did Zip really outgrow former ASX favourite Afterpay in the June quarter?

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 ZIPCOLTD FPO. 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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Buying ASX shares can be very fruitful in the long run, but it’s demonstrably difficult to do better than average (“the market”).

If it was easy, everyone would be doing it.

So if you’re not happy with the performance of your portfolio, especially in a turbulent year like 2022, you may need to pause and assess.

After all, “Am I doing this right?” is a wise question one can ask oneself in any endeavour in life.

To help answer this self-critique, the team at Marcus Today put forward two types of amateur portfolios that should ring alarm bells:

Just buy ETFs rather than own a ‘moron portfolio’

The first red flag is if your portfolio consists entirely of well-known S&P/ASX 100 (ASX: XTO) companies.

“A lot of you probably do this by default. This is where most of you get trapped. Holding around 20, mostly big, mostly obvious stocks,” the Marcus Today blog post read.

“You trust them by virtue of their size and brand but don’t know them in detail.”

One might think holding such massive companies is “safe” but this is deceptive because it can provide a false sense of security and encourage laziness.

“This is often a more risky approach than it looks because of your lack of research and engagement.”

Many people who possess this mix of ASX shares are voluntarily “stuck” because they are too afraid of the potential tax bill after years of holding.

“You can get trapped into this approach by capital gains (‘I can’t sell’), which is understandable but not ideal,” read the blog post.

“It may seem normal and sensible, but the truth is that if you’re going to do this ‘moron portfolio’ thing, you’d be better saving yourself from a lot of admin, activity and lost evenings and weekends by just buying market ETFs.”

The Marcus Today team admits people who ended up with such a portfolio from an inheritance — or from shares provided at an initial public offering, such as Commonwealth Bank of Australia (ASX: CBA) or Insurance Australia Group Ltd (ASX: IAG) in the 1990s and 2000s — are not at fault.

But even they might want to consider mixing up the investments.

“Just don’t pretend it’s ‘clever’. It’s lazy.”

Trading anything and everything

Perhaps the opposite of just holding a bunch of ASX 100 names is stock picking anything and everything.

For the Marcus Today team, this should also ring alarm bells.

“Now we get to a place [that] a lot of beginners get trapped without knowing it’s not normal,” read the blog post.

“It involves tips and it invites a lot of volatility, risk and reward. It is for people who don’t have a heart condition.”

The amount of volatility and risk involved in such a portfolio means a lot of time and energy required to keep one’s head above water.

“This is riding the stormy seas. It’s about timing fads, finding diamonds in the rough, spotting change.

“It’s for those of you with the time and energy and risk profile to attempt transformation.”

The trouble with this approach, other than the heightened risk, is that it only really works during bull markets. Years like 2022 would have slaughtered such a portfolio.

“Stocks with no earnings die in the cold. Trading loses money when it goes cold. Trading is an activity to do when the sun comes out.”

The post ASX investors beware: Watch for 2 red flags in your portfolio appeared first on The Motley Fool Australia.

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More reading

• Is the CBA share price a buy after the bank’s FY22 results?
• 3 rising ASX shares to buy that have passed the bottom: expert
• Analysts say these top ASX dividend shares are buys
• 5 things to watch on the ASX 200 on Thursday
• Why did the ANZ share price have such a stellar run today?

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 positions in and has recommended Insurance Australia 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 Commonwealth Bank of Australia (ASX: CBA) share price was out of form on Wednesday.

The banking giant’s shares ended the day 0.3% lower at $101.00.

Why did the CBA share price edge lower?

Investors were selling down the CBA share price despite the banking giant delivering a full year result a touch ahead of expectations.

For example, according to a note out of Goldman Sachs, the bank’s earnings were 2% ahead of its expectations thanks to better than expected bad and doubtful debts. In addition, the CBA final dividend was slightly ahead of the broker’s expectations and its CET1 ratio was 8 basis points ahead of estimates at 11.5%.

Judging by the CBA share price performance, it seems as though the market was expecting an even stronger result. And with that not coming, they decided to hit the sell button.

Is it time to invest?

Unfortunately, despite Australia’s largest bank outperforming its expectations, Goldman Sachs hasn’t seen enough to change its recommendation.

It continues to rate the bank as a sell with an improved price target of $86.86.

Based on the current CBA share price, this implies potential downside of 14% for investors over the next 12 months.

Why is Goldman bearish?

While Goldman acknowledges that CBA is a high quality bank and that its fundamentals remain strong, it just can’t justify the premium valuation of the CBA share price.

It explained:

Overall we reiterate our Sell rating, given: i) while operating trends remain strong with volume growth best amongst the major bank peer group (3 month annualised 0.9x system vs. NAB also at 0.9x, WBC 0.7x, ANZ 0.6x), and ii) CBA has the best leverage of the major banks to higher rates, iii) it is also more exposed to sector wide headwinds such as intense mortgage price competition, as well as further potential macro downside that appears likely to more adversely impact the household this cycle. Overall, we do not believe its fundamentals justify the 56% 12-mo forward PER premium it is currently trading on versus peers, compared to the 19% historic average.

The post Is the CBA share price a buy after the bank’s FY22 results? appeared first on The Motley Fool Australia.

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More reading

• Does this signify more bad news for ASX BNPL shares like Zip?
• The CBA share price looks downright expensive
• CBA share price slides today despite an 11% FY22 earnings leap
• Here’s everything you need to know about the latest CBA dividend
• How to play ASX bank shares for dividends this reporting season: expert

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With the S&P/ASX 200 Index (ASX: XJO) bouncing back 8.8% over the past 50 days, the hottest question for investors right now is whether we are past the bottom.

However, experts have always warned that trying to time the market is a mug’s game. Not even professionals can do it successfully.

It’s a different matter for individual ASX shares though.

When you focus on just one stock, one can estimate whether there has been a turnaround after assessing the company’s financials, external drivers, and investor behaviour.

Keeping this in mind, Fairmont Equities managing director Michael Gable named three ASX shares this week that he thinks are on the way up:

Rocketing upwards even as the market was tanking in June

Digital audio networking provider Audinate Group Ltd (ASX: AD8) has seen its share price climb a spectacular 73% since its 11 May trough.

This is a great sign for Gable.

“It bottomed in May. The market bottomed in June,” he told Switzer TV Investing.

“If you see a stock that’s bottomed and heading higher well before the rest of the market… you’re better off buying something like this because it’s already outperforming the market.”

It seems everyone is loving Audinate right now.

According to CMC Markets, all four analysts that cover it rate the stock as a strong buy.

Last week, The Motley Fool reported Morgan Stanley had a buy rating for Audinate with a price target of $9, which has already been met.

The company is due to release its financials on 22 August.

Great result, recovery well underway

After losing 44% for the year until 17 June, REA Group Limited (ASX: REA) shares have since rallied to boost the company’s value by a third in just a few weeks.

The stock is sensitive to interest rate fears, not just as a member of the technology sector, but because of its exposure to real estate.

Gable now feels like the turnaround is in place.

“Mid-June, everyone was pricing in silly interest rates. What they’re pricing now isn’t so silly,” he said.

“It’s starting to make sense that we should get a bit of a recovery here.”

Another positive is that REA shares have shown decent resilience during a tough time for growth shares, according to Gable.

“The good thing is it hasn’t dropped as much as some other tech stocks.”

Goldman Sachs, The Motley Fool reported, is a fan of REA’s financials this week and also rated the stock as a buy.

“Overall we thought the REA result, commentary and cash performance was positive.”

‘BHP has bottomed out’ 

Mining giant BHP Group Ltd (ASX: BHP) is one that the Fairmont team has recently bought into.

The share price has gained about 7.8% since a 17 July trough.

“I think BHP has bottomed out. It’s really moving along quite nicely.”

The company this week proposed to acquire OZ Minerals Limited (ASX: OZL). Although the offer was promptly declined, Morgans doesn’t think that’s the end of the story.

“If nothing else, this development should reduce any concern that BHP might have been considering a larger, more transformative acquisition,” stated its analysts.

“There has been a consistent fear from some that history would repeat itself and BHP eventually [becomes] attracted to a +$100 billion acquisition/merger at a high point in the cycle. Instead, BHP has remained on-strategy and focused.”

The post 3 rising ASX shares to buy that have passed the bottom: expert appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Thursday
• 3 ASX All Ordinaries shares rocking new 52-week highs on Wednesday
• Does this signify more bad news for ASX BNPL shares like Zip?
• Here are the top 10 ASX 200 shares today
• Mayne Pharma share price rockets 25% on $680 million payday

Motley Fool contributor Tony Yoo has positions in AUDINATEGL FPO. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended AUDINATEGL FPO. The Motley Fool Australia has positions in and has recommended AUDINATEGL FPO. 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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If you’re searching for dividend shares to buy, then the two listed below could be worth considering.

Analysts have recently given the thumbs up to these dividend shares and are predicting attractive yields in the coming years. Here’s what you need to know about them:

Accent Group Ltd (ASX: AX1)

The first ASX dividend share that has been tipped as a buy is Accent. It is the owner of a growing portfolio of footwear focused store brands including Athlete’s Foot, HYPEDC, Pivot, Platypus, Sneaker Lab, and Stylerunner.

It has been a difficult year for Accent due to lockdowns, rising living costs, and softer consumer spending. While this is disappointing, the team at Bell Potter remain positive and see its share price weakness as a buying opportunity.

This is due to the company’s “dominant market share in the Australian footwear retailing industry and growth outlook in the youth focused sports apparel.”

The broker currently has a buy rating and $1.90 price target on the company’s shares.

In respect to dividends, Bell Potter has pencilled in a fully franked dividend of 5.7 cents per share in FY 2022 and then 9 cents per share in FY 2023. Based on the current Accent share price of $1.43, this will mean yields of 4% and 6.3%, respectively.

Elders Ltd (ASX: ELD)

Another ASX dividend share that has been tipped as a buy is agribusiness company Elders.

Unlike Accent, it has been in sensational form again in FY 2022. During the first half, the company reported an 80% increase in earnings before interest and tax to $132.8 million.

And while its growth is expected to moderate now, the team at Goldman Sachs remains very positive on the investment opportunity here. This is due to its “strong track record; good industry structure; potential for positive earnings surprise; and an attractive valuation.”

Goldman Sachs has a buy rating and $21.00 price target on its shares.

As for dividends, Goldman is forecasting dividends per share of 50 cents in FY 2022 and 53 cents in FY 2023. Based on the current Elders share price of $12.31, this implies attractive yields of 4.1% and 4.3%, respectively.

The post Analysts say these top ASX dividend shares are buys appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Brokers name 2 ASX dividend shares to buy with 4%+ yields
• Brokers name 3 ASX shares to buy today
• Why Goldman is tipping 80% upside for the Elders share price
• 5 things to watch on the ASX 200 on Friday

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 Accent Group and Elders 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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On Wednesday, the S&P/ASX 200 Index (ASX: XJO) followed the lead of US markets and tumbled lower. The benchmark index fell 0.5% to 6,992.7 points.

Will the market be able to bounce back from this on Thursday? Here are five things to watch:

ASX 200 expected to rebound

The Australian share market looks set to rebound strongly on Thursday following a stellar night on Wall Street after better than expected US inflation data. According to the latest SPI futures, the ASX 200 is expected to open the day 74 points or 1.1% higher this morning. On Wall Street, the Dow Jones was up 1.6%, the S&P 500 rose 2.1%, and the NASDAQ stormed 2.9% higher. The latter bodes well for the tech sector today.

Telstra full year results

The Telstra Corporation Ltd (ASX: TLS) share price will be one to watch on Thursday. This morning the telco giant is scheduled to release its full year results. According to a note out of Goldman Sachs, it expects Telstra to report a 6% decline in revenue to $21.6 billion but a 7% increase in underlying EBITDA to $7.13 billion. A final dividend of 8 cents per share is expected, bringing its full year dividend to 16 cents per share.

Oil prices rise

Energy shares including Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a good day after oil prices pushed higher on Wednesday night. According to Bloomberg, the WTI crude oil price is up 1.5% to US$91.92 a barrel and the Brent crude oil price is up 1.3% to US$97.38 a barrel. Optimism over gasoline demand boosted prices.

Goodman results

The Goodman Group (ASX: GMG) share price will be in focus today. This morning the integrated industrial property company will release its full year results. Goodman has been having a fantastic year and has upgraded its guidance a number of times. Its most recent guidance is for earnings per share growth of 23%. The team at Citi suspect that Goodman could even outperform this guidance.

Gold price falls

Gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a subdued day after the gold price dropped overnight. According to CNBC, the spot gold price is down 0.35% to US$1,805.2 an ounce. Improving investor sentiment reduced the appeal of the safe haven asset.

The post 5 things to watch on the ASX 200 on Thursday appeared first on The Motley Fool Australia.

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More reading

• 3 ASX All Ordinaries shares rocking new 52-week highs on Wednesday
• Does this signify more bad news for ASX BNPL shares like Zip?
• Here are the top 10 ASX 200 shares today
• Mayne Pharma share price rockets 25% on $680 million payday
• Here are the 3 most heavily traded ASX 200 shares on Wednesday

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 positions in and has recommended Telstra Corporation 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 Australia and New Zealand Bank Group Ltd (ASX: ANZ) share price was a strong performer on Wednesday.

Its shares were the best performers among the big four banks with a gain of almost 3.5% to $23.46.

Why did the ANZ share price have a stellar day?

There appears to have been a couple of catalysts for the strong ANZ share price performance today.

The first was the release of a solid full year result from rival Commonwealth Bank of Australia (ASX: CBA), which seems to have given the rest of the big four a lift.

For example, National Australia Bank Ltd (ASX: NAB) and Westpac Banking Corp (ASX: WBC) shares also rose approximately 1.5% during today’s session.

What else?

A recent note out of Credit Suisse could be helping boost the ANZ share price.

According to the note, the broker has an outperform rating and $29.25 price target on the bank’s shares. This implies potential upside of 25% for investors even after today’s gain.

Credit Suisse believes that ANZ will be an early beneficiary of a quicker and more aggressive interest rate rise cycle.

It is for this reason and its strong business banking exposure, that makes ANZ Credit Suisse’s top option for investors in the space. Particularly given its compelling valuation.

The post Why did the ANZ share price have such a stellar run today? appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• ‘It’s a bit unfair’: Here’s why ANZ shares are making news this week
• ANZ share price unfazed amid bank’s latest move to finance decarbonisation
• Here is the RBA interest rate outlook according to ASX 200 banks
• Guess how much ANZ shares have paid in dividends over the last 5 years

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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