If you’re looking for a passive income boost, then you may want to check out the ASX dividend shares listed below.

Analysts have named these ASX shares as buys and tipped them to pay their shareholders bigger than average dividends in the near term. Here’s what you need to know:

Charter Hall Long WALE REIT (ASX: CLW)

The first high yield ASX dividend share to consider is the Charter Hall Long Wale REIT.

This property company has a focus on assets with long weighted average lease expiries (WALE). In fact, at the last count, it had a WALE of approximately 12 years. Combined with its 99.9% occupancy rate, this bodes well for the future.

Citi is a fan of the company due to its low risk income stream, long leases, high occupancy rate, and inflation-linked rental increases.

The broker expects this to support dividends per share of 28 cents in FY 2023 and 29 cents in FY 2024. Based on the current Charter Hall Long Wale REIT share price of $4.22, this will mean yields of 6.6% and 6.7%, respectively.

Citi has a buy rating and $5.00 price target on its shares.

Healthco Healthcare and Wellness REIT (ASX: HCW)

Another high yield ASX dividend share for passive income seekers to look at is the Healthco Healthcare and Wellness REIT.

As you might have guessed from its name, it is a real estate investment trust (REIT) with a focus on health and wellness properties. This includes properties such as hospitals, aged care, childcare, government, life sciences and research, and primary care and wellness properties.

Morgans is positive on the company and is forecasting big returns and attractive dividend yields from its shares.

For example, the broker is expecting dividends per share of 7.5 cents in FY 2023 and 7.8 cents FY 2024. Based on the current Healthco Healthcare and Wellness REIT unit price of $1.43, this will mean yields of 5.2% and 5.45% for investors.

Morgans has an add rating and $2.06 price target on its shares.

The post Analysts say buy these high yield ASX dividend shares for a passive income appeared first on The Motley Fool Australia.

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• Want passive income? Analysts say you can get 6%+ yields with these ASX dividend shares
• I think retirees will love these 2 ASX 200 dividend shares for passive income
• Buy these ASX dividend shares with 5%+ yields: analysts
• Investing as little as $25 a week could help me retire with $104,000 a year in passive income!
• Buy these ASX dividend shares with big yields today: experts

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

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Buying the S&P/ASX 200 Index (ASX: XJO) stock Coles Group Ltd (ASX: COL) could be one of the most effective ways to unlock $1,000 of monthly passive income in the form of dividends.

Now don’t get me wrong – this would take a sizeable investment to achieve. Reaching annual income of $12,000 from one ASX 200 stock would be a notable achievement.

But, it’s easier to achieve that with an investment of the quality of Coles shares, partly thanks to its appealing dividend yield.

Coles is the operator of Coles supermarkets around Australia, as well as a number of different liquor retailers including Liquorland.

$1,000 of monthly passive income from Coles

Coles has been one of the limited few ASX 200 stocks that have increased the dividend each year since COVID-19 in 2020, 2021, 2022, and the latest half-year announcement.

I think that’s a solid record, but perhaps not too surprising consider the defensive nature of supermarket retailing. We all need to eat food.

The recent inflation situation has meant that Coles has been able to increase its gross profit margin as well as its net profit after tax (NPAT) margin. This has enabled the business to increase its dividend at a pleasing pace.

Using the estimate on Commsec, the company is expected to pay an annual dividend per share of 65 cents.

At the current Coles share price, that represents a grossed-up dividend yield of 5.2%.

Let’s crunch the numbers

To generate $1,000 of monthly passive dividend income, we’re talking about $12,000 of annual dividends and then splitting that equally between 12 months.

To make $12,000 of annual income, an investor would need to own 18,462 Coles shares. The current cost of that would come at around $330,000.

But, Coles is expected to grow its dividend in both FY24 and FY25.

By FY25, the supermarket ASX 200 stock could pay an annual dividend per share of 76 cents. That would represent growth of around 17% compared to FY23.

An annual dividend payment of 76 cents per share would be a grossed-up dividend yield of 6.1% for FY25.

If investors used the FY25 payout, investors would need to buy 15,790 shares.

What could drive the earnings higher?

If earnings go higher, then it could help drive the Coles share price and the passive dividend income higher.

Coles has a number of positive tailwinds. Inflation is enabling the business to earn higher revenue and then generate higher profit, with its margins being maintained (and increased).

But, it continues to open new stores, which boosts its overall earnings potential. It’s also benefiting from the steadily-rising population of Australia (which means more customers).

The company is working on its ‘smarter selling’ strategy, which involves being more efficient, cutting costs and being more sustainable.

Coles is also working on new, large, automated warehouses, which could make the business much more efficient in those regions, save costs and improve stock flow.

Coles share price snapshot

Over the past six months, the ASX 200 stock has lifted more than 7%.

The post For $1,000 in monthly passive income, buy 18,462 shares of this ASX 200 stock appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Friday

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

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The three ASX dividend shares I’m going to cover look like passive income beasts to me.

When I think about the types of investments I’d want to own in retirement, I would choose ones with strong dividend track records that could keep paying good dividends even during a downturn.

Dividends are not guaranteed. Dividend payouts can be reduced or cut altogether.

But, I think the businesses that have built a track record of growth – and seem like they can keep increasing the payment – makes me more interested in those names.

APA Group (ASX: APA)

APA is an energy infrastructure business that owns thousands of kilometres of natural gas pipelines around Australia. It delivers half of the nation’s natural gas usage. The business also owns or has stakes in, gas storage, gas processing and a gas power plant.

This ASX dividend share is also getting involved with the renewable energy transition. It owns solar and wind-generating assets, as well as electricity transmission assets.

Why should it be considered a passive income beast? It has increased the distribution to investors each year for over a decade and a half. That’s one of the longest currently-running dividend growth streaks on the ASX.

I think energy will continue to be in demand for beyond the foreseeable future, and APA will be involved with that. It will be particularly useful if APA is successful at being able to start transporting hydrogen in its pipelines, which could lengthen the useful life of its assets and make it even greener-focused.

The estimated distribution for FY23 of 55 cents per security, translates into a forward yield of 5.5%.

Rural Funds Group (ASX: RFF)

Rural Funds is probably my favourite real estate investment trust (REIT) on the ASX.

This ASX dividend share owns a diversified portfolio of farming properties that it leases out to large, quality tenants like Treasury Wine Estates Ltd (ASX: TWE), Select Harvests Limited (ASX: SHV) and Australian Agricultural Company Ltd (ASX: AAC).

A lot of its rental income grows through either a fixed 2.5% annual increase, or it’s linked to CPI inflation, with some contracts having an occasional market review. This organic rental growth each year helps Rural Funds grow its distribution by the targeted 4% per year.

The farms are spread across different states and climate conditions to lower risks. But, the passive income beast does own a lot of water entitlements for tenants to use.

I like that the tenants take on the operational risk of the farms, and Rural Funds can benefit from the ultra-long-term growth in the value of farmland and rent.

The business is expected to pay a total distribution of 12.2 cents per share in FY23, which translates into a yield of 6%. However, higher interest rates are a shorter-term headwind for its profit and farm valuations.

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

For me, Soul Pattinson could be the best passive income beast in terms of its dividend growth – it has increased its annual ordinary dividend every year since 2000. That’s the longest growth streak on the ASX.

It operates as an investment conglomerate, which means its job is to invest in other businesses and assets. This includes ASX blue chips, ASX small-cap shares, private equity, and structured debt.

Some of its biggest investments include Brickworks Limited (ASX: BKW), TPG Telecom Ltd (ASX: TPG), New Hope Corporation Limited (ASX: NHC), Tuas Ltd (ASX: TUA), Pengana Capital Ltd (ASX: PCG) and Aeris Resources Ltd (ASX: AIS). It also has large stakes in names like Macquarie Group Ltd (ASX: MQG), BHP Group Ltd (ASX: BHP), CSL Limited (ASX: CSL) and Wesfarmers Ltd (ASX: WES).

It continues to invest in agriculture. The latest investment includes $118 million spent on citrus farms. The private investment Ampcontrol (an electrical parts business) and swimming school business called Aquatic Achievers are assessing acquisition opportunities.

In the FY23 half-year result, it increased its dividend by 24% to 36 cents per share. That makes the current ordinary grossed-up dividend yield around 4%.

The post Passive income beasts: 3 ASX dividend shares I’d buy for retirement appeared first on The Motley Fool Australia.

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• Soul Patts share price gains as first-half profit jumps 38%
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Motley Fool contributor Tristan Harrison has positions in Brickworks, Rural Funds Group, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Brickworks, CSL, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Apa Group, Brickworks, Macquarie Group, Rural Funds Group, Washington H. Soul Pattinson and Company Limited, and Wesfarmers. The Motley Fool Australia has recommended Tpg Telecom and Treasury Wine Estates. 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 lithium industry has taken a beating recently. While this is disappointing, it could prove to be a great buying opportunity for investors.

For example, three ASX lithium shares that analysts have recently named as buys with major upside potential are listed below.

Here’s what you need to know about them:

Allkem Ltd (ASX: AKE)

Despite being very bearish on lithium prices, Goldman Sachs remains bullish on Allkem. This is because the broker believes it is well-placed to offset weaker prices with its production growth. In addition, Goldman sees opportunities for the company to benefit from value-added downstream activities.

Goldman Sachs currently has a buy rating and $15.40 price target on its shares. Based on the latest Allkem share price of $10.17, this suggests potential upside of 51%.

Latin Resources Ltd (ASX: LRS)

Latin Resources could be another ASX lithium share to buy. It is focused on lithium exploration and project development across tenements in the state of Minas Gerais, Brazil. This includes the 100%-owned Salinas project, which has an initial mineral resource estimate (MRE) of 13.3Mt @ 1.2% Li2O.

However, Bell Potter doesn’t expect the MRE to stop there. Last week, it highlighted that drilling at Colina West will potentially add significant scale to the Salinas MRE.

In light of this, the broker has reiterated its speculative buy rating with a 22 cents price target. This is more than double the current Latin Resources share price of 10 cents.

Pilbara Minerals Ltd (ASX: PLS)

Finally, Pilbara Minerals’ shares could also have material upside potential according to analysts. It is the owner of the Pilgangoora Project. This is one of the largest hard rock lithium deposits in the world and considered strategically important within the global lithium supply chain.

Macquarie appears to believe recent weakness in the Pilbara Minerals share price has created an incredible buying opportunity. Last week, it retained its outperform rating with a $7.50 price target. Based on the current Pilbara Minerals share price of $3.56, this implies potential upside of 110%. Macquarie is also forecasting a massive dividend yield of 11.5% in FY 2023.

The post Analysts say 2 of these ASX lithium shares can double in value appeared first on The Motley Fool Australia.

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• Here are the top 10 ASX 200 shares today
• The first-ever Pilbara Minerals dividend is being paid today. Here’s what to expect
• Buy these ASX 200 shares for 50%+ returns: Goldman Sachs
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• Buy Pilbara Minerals and this exciting ASX growth share: analysts

Motley Fool contributor James Mickleboro has positions in Allkem. 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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Australia and New Zealand Banking Group Ltd (ASX: ANZ) shares offer investors not only the chance for share price appreciation but also provide a handy passive income stream.

ANZ shares edged lower over the course of the past week.

Shares in the S&P/ASX 200 Index (ASX: XJO) bank stock were swapping hands for $22.52 at market close on Friday.

At that price, ANZ shares trade at a fully franked trailing dividend yield of 6.5%.

Here’s how I’d aim to garner $250 of passive income each month by investing in the bank’s stock.

Aiming for $250 per month in passive income from ANZ shares

Over the past 12 months, the ANZ board declared a 72 cents per share interim dividend (paid on 1 July 2022) and a 74 cents per share final dividend (paid on 15 December).

That works out to a full-year dividend of $1.46 per share, fully franked.

So, to build my $250 of monthly passive income – or a handy $3,000 per year – I’d need to buy 2,055 ANZ shares. Which would give me an extra 30 cents.

Now there are two things to keep in mind.

First, with ANZ shares trading for $22.52 apiece, I likely won’t be able to build my $250 in monthly passive income all in one shot.

But that’s okay.

Investing is a long-term game.

If I can’t buy them all in one go, I’d set up a budget and allot enough to buy maybe 20 shares a month. Eventually, I’ll get to my goal.

The second thing to keep in mind is that we’re talking about a trailing yield, which by definition is backwards looking. There are no guarantees ANZ shares will pay similar dividends in the future. Those may be higher or lower.

On that front, however, it’s worth noting that the bank’s full-year 2022 dividend payout was 4 cents per share higher than in 2021.

And there are reasons to believe it can continue to deliver a healthy yield.

Citi’s analysts recently noted that “ANZ remains our top pick in the sector.” The broker is forecasting growing dividends from the big four bank.

Its analysts expect ANZ shares will deliver $1.66 of fully franked dividends apiece in FY 2023. And Citi believes this will increase to $1.76 per share in FY 2024.

At the current share price that works out to a yield of 7.4% in FY23 and 7.8% in FY24.

Happy income investing!

The post How I’d aim for $250 in monthly passive income from ANZ shares appeared first on The Motley Fool Australia.

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

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A popular expression in investment communities is “buy low and sell high.”

While this can work out well for investors, it does mean you could miss out on the power of compounding.

This is when you earn interest on interest or, in the case of ASX shares, returns on returns.

It is for this reason that I would prefer to do things the Warren Buffett way by buying low and holding for the long term.

This doesn’t necessarily mean set and forget, though. It just means that as long as the investment thesis remains intact, I would hold onto these ASX shares and let compounding work its magic.

This is how the Oracle of Omaha has generated staggering returns over multiples decades.

And when I say staggering, I mean it. The most recent Berkshire Hathaway (NYSE: BRK.B) annual letter reveals that the book value of its shares has increased by an average of 19.8% per annum between 1965 and 2022. This is exactly double the return of the S&P 500 index over the same period.

And what a difference that extra 9.9% per annum has made.

Berkshire Hathaway’s return of 19.8% per annum has led to a total return of 3,787,464% for investors. To put that into context, a single dollar investment would have turned into over $3.75 million today.

As a comparison, a single dollar invested in the S&P 500 index would have turned into almost $25,000. While that’s nothing to turn your nose up to, I know which return I would prefer!

What’s the secret?

Warren Buffett revealed his secret in his latest letter to shareholders. Interestingly, the legendary investors quipped that most of his “capital-allocation decisions have been no better than so-so.”

The secret has been finding a few winners over the years and letting them run. He adds:

Our satisfactory results have been the product of about a dozen truly good decisions – that would be about one every five years – and a sometimes-forgotten advantage that favors long-term investors such as Berkshire.

The lesson for investors: The weeds wither away in significance as the flowers bloom. Over time, it takes just a few winners to work wonders. And, yes, it helps to start early and live into your 90s as well.

What to look for with ASX shares

To follow in Buffett’s footsteps, I would look for ASX shares that are good value, have high quality business models, sustainable competitive advantages, and positive outlooks.

These qualities combined arguably put investors in a great position to generate market-beating returns over the long term.

The post I’m listening to Warren Buffett and loading up on cheap ASX shares appeared first on The Motley Fool Australia.

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After ten monster interest rate rises over the past year, the real estate sector, as well as ASX real estate shares, has really taken a hammering.

But with the Reserve Bank nearing the end of its rate hike campaign, is it now time to pick up some bargains?

Wilson Asset Management senior equity analyst Shaun Weick has a couple of small-cap ideas:

Ready to cash in on ‘a very strong second half’

Lifestyle Communities Ltd (ASX: LIC) shares have been severely impacted by the weak sentiment for real estate, dropping almost 25% since 3 February.

But Weick reckons it can “buck the trend” of the negativity surrounding the property market.

“That’s a buy for us. We think stabilisation in interest rates is within sight, and that will put a floor under housing market sentiment,” he said in a Wilson video.

Lifestyle Communities provides residential communities for elderly clients. Weick feels like it will have a bumper finish to the 2023 financial year.

“The company has reiterated their FY23 settlements guidance, which implies a very strong second half and the FY24 period,” he said.

“[This] is at the same time when the communities under release is more than doubling, which will drive a material acceleration in earnings growth from here.”

After the recent dip, the share price is now looking ripe for pickups.

“The valuation on the stock is screaming attractive, at 17 times earnings with significantly above-market earnings growth.”

An undiscovered gem

Qualitas Ltd (ASX: QAL) is a real estate investment manager that deals with private credit and equity in commercial property.

“Qualitas is undiscovered, much like the private credit space. We think it’s a buy.”

The crisis in confidence in the sector has also impacted the Qualitas share price, causing it to freefall more than 18% since 13 March.

But the “underlying quality” is “very high”, according to Weick, citing 60% growth in its latest results.

“The banks are continuing to retreat from the private credit space, which is underpinning very strong deployment opportunities,” he said. 

“And globally, you’re seeing institutional investors want to access a nascent asset class here in Australia.”

The private credit industry also benefits when the official cash rates rise.

Weick is not the only one bullish about Qualitas. According to CMC Markets, all three analysts currently covering the stock rate it as a strong buy.

The post Wilson analysts tip 2 small-cap ASX real estate shares to buy for juicy returns 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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If you’re looking for $10,000 of passive income, then ASX shares could certainly help you.

Listed below are a couple of ASX shares that you could buy to generate a nice income without lifting a finger. They are as follows:

ANZ Group Holdings Ltd (ASX: ANZ)

One positive from recent weakness in the banking sector is that it has made the potential yields on offer from bank shares that much sweeter. ANZ is no exception. Citi, which has a buy rating and $29.25 price target on its shares, is forecasting a $1.66 per share dividend in FY 2023. This is the equivalent of a ~7.4% dividend yield.

Based on this dividend estimate, investors would need to own 6,024 ANZ shares to receive $10,000 of income. This would take an investment of approximately $136,000.

BHP Group Ltd (ASX: BHP)

Goldman Sachs is bullish on this ASX mining giant and has a buy rating and $48.40 price target on its shares. In addition, it is forecasting a fully franked dividend of US$2.11 (A$3.16) per share in FY 2023, which equates to a 7.25% yield at current prices.

This means that if you wanted to generate $10,000 of income from its shares, you would need to pick up 3,164 BHP shares. This would require an investment of $138,000.

What if you don’t have this amount to invest?

If you don’t have the required amount to generate $10,000 of passive income from these ASX shares, don’t worry. Investors can make this a longer-term goal and focus on growing their wealth in the meantime.

As you can see above, investors will require in the region of $140,000 to generate this level of income. So, this will be our target.

Historically, the share market has provided investors with a return of 10% per annum. And while there’s no guarantee that this will happen in the future, it certainly is possible and, therefore, will be used in these calculations.

With that in mind, if you were to invest $2,200 into the share market each year and earn the market return, your portfolio would grow to be worth $140,000 after 20 years.

And if you want to get there sooner, you could increase your investment.

For example, $5,000 a year would get you there in just over 13 years, $10,000 a year would take eight and a half years, and $20,000 a year would see you hit your target in a touch over five years.

The post Want $10,000 of passive income? Check out these ASX shares appeared first on The Motley Fool Australia.

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

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Looking for exchange traded funds (ETF) to buy when the market reopens?

Well, depending on what your investment aim is, the two ETFs listed below could be worth considering.

Here’s what you need to know about these popular ETFs:

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

The first ETF to look at is the VanEck Vectors Morningstar Wide Moat ETF.

This ETF and the index it tracks has been a great place to invest over the last decade. Even after accounting for 2022’s difficulties, the index it tracks has generated an average annual return of 18.64% since 2013. This would have turned a $10,000 investment into over $55,000.

This strong performance has been driven by its focus on fairly priced US companies with sustainable competitive advantages or moats.

The fund changes its constituents periodically and removes stocks when they become overvalued. But generally, there are approximately 50 shares in the fund at any given time. At present, this includes Alphabet, Amazon, Meta Platforms, Microsoft, and Walt Disney.

Vanguard Australian Shares High Yield ETF (ASX: VHY)

Another ETF for investors to consider buying next week is the Vanguard Australian Shares High Yield ETF. It could be a top option for investors that are looking for income.

That’s because this ETF provides investors with low-cost exposure to a diverse group of ASX listed shares that have higher forecast dividends relative to the rest of the market. This excludes Australian Real Estate Investment Trusts (A-REITS).

At present, the Vanguard Australian Shares High Yield ETF is trading with an estimated forward dividend yield of 5.4%. This would mean that a $10,000 investment provides a yield of $540.

Among the ASX shares that you’ll be owning with this ETF are blue chips such as BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA), Telstra Corporation Ltd (ASX: TLS), and Woodside Energy Group Ltd (ASX: WDS).

The post Market beating returns and big yields: 2 ASX ETFs to buy next week appeared first on The Motley Fool Australia.

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More reading

• Buy this ASX ETF for retirement income
• Is a dividend ETF really better than an ASX index fund for income?
• 3 high quality ETFs for ASX investors to buy after the market selloff
• 3 reasons not investing at all could be riskier than trying to invest
• These ETFs could be top options for buy and hold 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 no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended VanEck Morningstar Wide Moat ETF and Vanguard Australian Shares High Yield 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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The Lynas Rare Earths Ltd (ASX: LYC) share price has lost a quarter of its value over the past four weeks.

The ASX rare earths share finished the session on Friday at $6.33, up 0.64% for the day.

A month ago it was trading around the $8.50 mark.

So, what’s happened?

Why is the Lynas share price tumbling?

The Lynas share price has reset its 52-week low seven times this month.

The newest low came yesterday when Lynas shares dipped to $6.18 in intraday trading.

Lynas’ fall began in early February when it was trading up around the $9.70 mark.

There has been a series of challenges.

In early February, Lynas’ Malaysian licence was renewed, but with an environmental condition that means Lynas will have to close its cracking and leaching plant at the end of FY23 if it can’t get an exemption.

The company has launched an appeal and time will tell us the outcome.

In late February, Lynas revealed a 32% cost increase in its 1H FY23 results, which of course the market didn’t like. Down the Lynas share price went.

A few days later, electric vehicle (EV) giant Telsa Inc announced it won’t use rare earths in its next-generation electric vehicles.

The market panicked, sending ASX rare earths shares tumbling. The Lynas share price dropped 6.8%.

Many experts said this was an overreaction, but as we all know, that sort of thing is common in markets! Negative sentiment and confusion can easily send share prices south.

What else is going on for Lynas?

The only price-sensitive news out of Lynas this month is actually positive. The company reported a $200 million investment by the Japanese Government on 7 March.

Not much else is going on, although yesterday Lynas did update the ASX on the holdings of its CEO Amanda Lacaze.

The notice revealed that Lacaze exercised some performance rights on Wednesday. This resulted in the acquisition of 147,433 Lynas shares through her family trust.

The post Why is the Lynas share price down 25% in a month? appeared first on The Motley Fool Australia.

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More reading

• The Lynas share price has clocked five 52-week lows this month. Broker tips 25% upside
• ‘Top quality’: Expert picks 2 ASX 200 shares to buy at a nice discount
• Lynas share price resets 52-week low twice in one week
• Tesla-induced sell-off of ASX rare earths shares like Lynas overblown: experts
• Lynas share price rebounds on $200m Japanese Government investment

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Tesla. 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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