Woolworths Group Ltd (ASX: WOW) shares have been garnering increased attention as Australian consumers face a year of high interest rates and continuing high inflation.

That combination is likely to put pressure on discretionary stocks as 2023 unfolds, while ASX consumer staples stocks should fare better. At the end of the day, we all need to eat and provide our households with the essentials.

As the operator of Australia’s iconic supermarket, the owner of Big W, and with a growing footprint in the pet food and care business, Woolworths is a leading S&P/ASX 200 Index (ASX: XJO) consumer staple stock.

And one that pays a fully franked, trailing dividend yield of 2.6%.

But with Woolworths shares up 6% since the opening bell on 3 January, is now a good time to buy…or not?

Is now the time to buy Woolworths shares?

A number of leading analysts believe Woolworths shares are a good buy right now.

Among them, Catapult Wealth portfolio manager Tim Haselum who recommends buying on any share price pullbacks.

Haselum cited Woolies’ “strong balance sheet” and the continuing decline in pandemic-related costs as positives for investors:

Several disruptions and abnormal costs during the past two years appear to be ending. We expect COVID-19 costs to continue falling…

The shares also appeal for their defensive qualities. Any price weakness represents a buying opportunity, in our view.

Another bullish outlook on Woolworths shares comes from Goldman Sachs.

The broker sounded a positive note on the strength of the retailer’s market position and its digital leadership. Its digital initiatives in particular could help Woolies increase its margins and market share in 2023 and the years ahead.

Goldman Sachs believes Woolworths will lift its dividend payouts in FY 2023 and FY 2024.

Its analysts forecast an FY23 dividend of $1.02 per share and an FY24 dividend payout of $1.13 per share. At the current share price of $34.85, that works out to a forecast yield of 2.9% in this financial year and a yield of 3.2% in the upcoming financial year.

Goldman has a price target of $41.70 on Woolworths shares, some 20% above the current price.

Or not?

However, not everyone is convinced now is the best time to buy Woolworths shares.

Senior investment adviser at Ord Minnett Tony Paterno said investors who already own shares may even want to think about cashing out for a profit.

According to Paterno (quoted by The Bull)

The supermarket giant has entered into an agreement to acquire a 55% equity interest in Petspiration Group, a specialty pet food, accessories and services retailer for $586 million. It builds on the company’s long-term strategic goal to offer an ecosystem for everyday needs.

We expect a challenging year for the grocery industry, as shoppers become ever more value conscious. Investors may want to consider taking a profit.

How have Woolworths shares been tracking longer-term?

As you can see in the chart below, Woolworths shares have had a bit of a wild ride over the past 12 months, up just over 1% for the full year. Over the past five years, the ASX 200 retailer has gained 49%.

The post Should I buy Woolworths shares for 2023 or not? appeared first on The Motley Fool Australia.

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More reading

• ASX 200 consumer staples shares raced higher to finish the day on top
• Why I think Woolworths shares aren’t worth the worry
• ‘Fierce competitor’: Expert names 2 big brand ASX shares ready to take off in 2023
• Did Woolworths just become 18% more valuable?
• Here are the top 10 ASX 200 shares today

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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The Insurance Australia Group Ltd (ASX: IAG) share price is sliding on Monday, down 3.74% in early afternoon trade.

The S&P/ASX 200 Index (ASX: XJO) insurance stock closed on Friday trading for $5.08 per share and is currently trading for $4.89.

This comes as IAG cautioned that the financial impact of the storms and floods in and around Auckland, New Zealand is expected to rise as more impacted customers file additional claims.

What did the insurance company report?

The insurance giant operates the AMI, State and NZI brands in New Zealand.

And the IAG share price is under pressure after the company reported that, as of early this morning, it had already received more than 5,000 claims across the three brands. A number it said would likely increase as the event is still unfolding.

IAG’s CEO Nick Hawkins highlighted the company’s priority is the impacted customers.

“The tragic loss of life and the vision of the damage to Auckland is devastating,” he said. “Our Major Event Response team has been supporting customers since Friday night with temporary accommodation and other emergency support.”

With the full financial impact still unknown, IAG said it may need to review its estimate for natural peril costs for the 2023 financial year (FY23).

A combination of reinsurance arrangements leaves IAG with a maximum event retention cost of $236 million.

“We have a large team ready to help people with their claims and we will have our assessors on the ground in affected areas as soon as it is safe to do so,” Hawkins added.

IAG share price snapshot

Despite today’s retrace, the IAG share price remains up 3% in 2023.

And, as you can see in the chart below, IAG shares are up 15% over the past 12 months. That handily outpaces the 7% full-year gains posted by the ASX 200.

The post Why is the IAG share price tumbling 4% on Monday? appeared first on The Motley Fool Australia.

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• 2 Warren Buffett-style ASX dividend stocks for big income
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• Bought $1,000 of IAG shares 10 years ago? Here’s how much dividend income you’ve pocketed
• What do IAG shares have in common with Warren Buffett?
• Why Brainchip, IAG, Premier Investments, and Telix shares are sinking today

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 positions in and has recommended Insurance Australia 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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There have been countless quarterly updates released on Monday. Some have been received well by investors, others less so.

Three that haven’t gone down particularly well with investors are summarised below. Here’s why these ASX All Ordinaries shares are falling:

Alcidion Group Ltd (ASX: ALC)

The Alcidion share price is down 3% to 15.5 cents. This healthcare technology company’s shares have come under pressure despite reporting strong sales figures during the second quarter. Alcidion reported new sales of $16.8 million, with $4.2 million to be recognised in FY 2023. This led to FY 2023 contracted revenue hitting $32.9 million, which is up 21% on the prior corresponding period. For the first half, Alcidion recorded cash receipts of $18.8 million, which is up 15% year over year.

Electro Optic Systems Holdings Ltd (ASX: EOS)

The EOS share price is down over 7% to 64 cents. This follows the release of the technology company’s fourth quarter and full year update. Unfortunately, EOS revealed that some sales opportunities that were previously expected to be signed and commence delivering revenue in the second half of 2022 have been delayed by customers. And while receipts from customers came to almost $41 million, the company still posted an operating cash outflow of $13.9 million for the quarter. This left EOS with a cash and equivalents balance of $21.75 million.

Whispir Ltd (ASX: WSP)

The Whispir share price is down 5% to 48.5 cents. Investors have been selling this communications management systems provider’s shares after it reported a 9% year over year decline in cash receipts to $14.84 million during the second quarter. Though, it is worth noting that the prior corresponding period included COVID-19 vaccine rollout related revenues. Whispir ended the period with total cash and equivalents of $9.5 million, which it estimates to be 1.7 quarters of funding.

The post 3 ASX All Ordinaries shares getting hammered on quarterly updates appeared first on The Motley Fool Australia.

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More reading

• 2 ASX shares exploding over 17% on strong updates
• 4 ASX 200 shares hitting new 52-week highs on Monday
• ResMed share price sinks 7%: Is this a buying opportunity?
• 4 ASX All Ords shares insiders have been buying up in January
• Is the ANZ share price cheap right now?

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 Alcidion Group, Electro Optic Systems, and Whispir. The Motley Fool Australia has recommended Alcidion Group and Whispir. 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’s been a bit of a lacklustre start to the trading week for ASX shares so far this Monday. At the time of writing, the ASX All Ordinaries Index (ASX: XAO) has dropped into the red, currently down by 0.12% at 7,700 points after what was an initially positive morning for the share market.

But just because the share market is having a down day doesn’t mean all ASX shares are following suit. In fact, there are two ASX shares that have shot up more than 17% today after some strong updates.

2 ASX shares rocketing 17% or more today

EVZ Ltd (ASX: EVZ)

ASX engineering services share EVZ is our first company that has seen a galloping share price this Monday. EVZ shares are currently up a whopping 17.65% to 20 cents per share after closing at 17 cents last Friday.

This comes after the company posted a well-received quarterly activities report this morning.

For the three months to 31 December 2022, EVZ announced cash receipts worth $32 million. That was a massive 216% increase over the previous corresponding period. The company also forecast that “additional new contract wins position the group for further growth during FY2023 and beyond”.

No wonder investors have been so excited today. EVZ shares are now up 15% over the past 12 months.

Camplify Holdings Ltd (ASX: CHL)

Another ASX All Ords share booming today is Camplify. Shares in Camplify are up an extraordinary 22.86% right now to $2.20 a share after the company closed at $1.75 a share on Friday.

This digital vehicle matching services provider has also just posted a quarterly update covering the three months to 31 December 2022. Camplify has declared a gross transaction volumes figure of $24.7 million for the quarter, a rise of almost 110% over the previous corresponding quarter.

Revenue came in at $6.6 million, which was 63.8% above the same quarter last year. The company recorded $31.2 million in future bookings over the quarter, a 270% increase on last year’s numbers. Further, Camplify reported that its New Zealand expansion plans were going swimmingly, with New Zealand gross transactional volumes rising by 1,040%.

Clearly, investors have been impressed with what the company had to say today.

The post 2 ASX shares exploding over 17% on strong updates appeared first on The Motley Fool Australia.

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More reading

• 3 ASX All Ordinaries shares getting hammered on quarterly updates
• 4 ASX 200 shares hitting new 52-week highs on Monday
• ResMed share price sinks 7%: Is this a buying opportunity?
• 4 ASX All Ords shares insiders have been buying up in January
• Is the ANZ share price cheap right now?

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Camplify. 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 feeling a bit off on Monday, you’re not alone. Many shares are also having a relatively tedious day, with the S&P/ASX 200 Index (ASX: XJO) trading 0.16% lower than it was at Friday’s close.

Fortunately, that hasn’t stopped some overachievers from outperforming. Four ASX 200 shares have posted new 52-week highs this morning.

Here is all you need to know about the quartet trading at long-forgotten heights today.

4 ASX 200 shares posting new 52-week highs

Making the first notable jump this morning is the Pro Medicus Limited (ASX: PME) share price. The ASX 200 health imaging provider’s stock rose 2% today to a new 52-week high of $66.42.

The gain came as the company announced a new 8-year $12 million deal with US community-based, integrated delivery network (IDN) Samaritan Health Service.

The deal will see Pro Medicus’ Visage 7 Enterprise Imaging Platform replacing legacy systems across Samaritan’s network.

Pro Medicus CEO Dr Sam Hupert commented on the news, saying:

IDNs are the largest market segment in North America, and this is our fifth material IDN contract in the last 12 months.

Joining Pro Medicus’ shares in posting a new 52-week high today are those of Treasury Wine Estates Ltd (ASX: TWE).

The ASX 200 wine company’s stock peaked at $14.47 earlier today. That marked a 0.5% gain and a new post-pandemic high.

Interestingly, there’s been no news from the company lately. Though, it has been tipped to benefit from an apparent easing of tensions between Australia and China.

Also in on the action is the TechnologyOne Ltd (ASX: TNE) share price.

It rose nearly 2.2% this morning to reach $15.14 – a new all-time high.

The stock dodged the carnage that plagued the S&P/ASX 200 Information Technology Index (ASX: XIJ) in 2022 and has made the most of the sector’s 2023 gains.

It’s already risen 15% year to date.

And last but not least is Karoon Energy Ltd (ASX: KAR).

The ASX 200 oil and gas exploration company’s shares lifted 1.2% to hit a multiyear-high of $2.45 this morning before slipping into the red.

Today’s slump follows a 12% gain posted by the stock over the course of last week amid the release of its December quarterly report.

The post 4 ASX 200 shares hitting new 52-week highs on Monday appeared first on The Motley Fool Australia.

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• 3 ASX shares to cash in on China’s reopening to the world: Jun Bei Liu

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Pro Medicus. The Motley Fool Australia has positions in and has recommended Pro Medicus. The Motley Fool Australia has recommended Technology One 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 ResMed Inc (ASX: RMD) share price has started the week deep in the red.

At the time of writing, the sleep treatment focused medical device company’s shares are down 7% to $31.25.

Why is the ResMed share price sinking?

On Friday, the ResMed share price rose 2% following the release of the company’s quarterly update.

Unfortunately, US investors didn’t respond anywhere near as positively, leading to the company’s NYSE listed shares falling by approximately 3.5% on Friday night.

So, with each ResMed share equal to one-tenth of its NYSE shares, they have given back Friday’s gains and some more today to reflect this.

Is this a buying opportunity?

A number of brokers are likely to see the weakness in the ResMed share price as a buying opportunity.

For example, this morning Morgans has reiterated its add rating with an improved price target of $37.24. It was pleased with its stronger than expected second quarter performance. Morgans commented:

2Q was ahead of market expectations, with robust sales across all product lines, but with GM headwinds limiting robust operating leverage.

Elsewhere, Goldman Sachs has retained its buy rating with an improved price target of $38.00. The broker was also pleased with its performance and remains positive on its outlook. It said:

Steady improvements in diagnosis rates and supply chain could widen opportunity for share gains.

Finally, over at Citi, its analysts have held firm with their buy rating and lifted their price target to $39.00. Citi notes that industry conditions are improving and are favourable for ResMed. The broker commented:

The supply chain situation is improving for RMD and the competitive dynamic remains in its favour.

Based on the current ResMed share price, these price targets imply potential upside of 19% to 25% for investors over the next 12 months.

The post ResMed share price sinks 7%: Is this a buying opportunity? appeared first on The Motley Fool Australia.

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• Add some oomph to your portfolio with these ASX growth shares: analysts
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• ASX 200 healthcare share charges higher as quarterly revenue surges
• 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 positions in and has recommended ResMed. The Motley Fool Australia has positions in and has recommended ResMed. 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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ASX investors love to see the insiders of a company they own shares of putting their money where their mouths are and buying shares of the companies they are running. After all, the ultimate job of a company insider is to lead their company to prosperity. And long-term prosperity usually means higher share prices over time. 

So let’s look at four ASX All Ords shares that insiders have been buying up this January.

4 ASX All Ords shares that insiders have been buying up in 2023

Liontown Resources Ltd (ASX: LTR)

First up today is ASX lithium share Liontown Resources. As we covered a few days ago, Liontown chair Tim Goyder made a big investment in the company he runs earlier this month.

Goyder picked up a cool million shares at a cost of $1.5 million back on 20 January. The shares traded in a range of $1.375 and $1.465 on that day. This indicates that Goyder is sitting on a tidy profit today, given the shares are currently going for $1.64 at the time of writing.

New Hope Corporation Limited (ASX: NHC)

ASX coal miner New Hope is next up. This energy share has had one of the best runs on the All Ords over the past year or so, up more than 160% since January 2022. One insider thanking their lucky stars would be non-executive director, Jacqueline McGill.

McGill bought more than 10,000 shares of the company back on 6 January for $5.88 each, costing the director almost $59,000. This comes after McGill also bought 20,000 shares back in June last year for $3.66 each.

Today New Hope is asking $5.98 a share, meaning McGill would be a very happy camper indeed.

Andromeda Metals Ltd (ASX: ADN)

Our third ASX All Ords share worth taking a look at is the copper and gold explorer Andromeda Metals. More than one Andromeda insider has been putting money where their mouths are this month. Firstly, independent non-executive chair Michael Wilkes. Wilkes acquired 1.06 million new shares in Andromeda over 10-11 January, costing the director close to $53,000. This implies a buy price of around 5 cents per share.

But we also had managing director James Marsh pick up just over 1.9 million new shares over 13-16 January. This transaction was worth around $110,000, implying a buy price of just over 5.8 cents per share.

Andromeda non-executive director Melissa Holzberger didn’t want to miss out either. Holzberger netted another 384,615 shares on 16 January, for a cost of $24,615. That implies a cost per share of 6.2 cents.

So on today’s current Andromeda Metals share price of 5.6 cents per share, Wilkes would certainly be doing the best out of all of these recent insider purchases.

Race Oncology Ltd (ASX: RAC)

Finally today, we have ASX All Ords healthcare share Race Oncology. As we covered earlier this month, executive director and chief science officer Dr Daniel Tillett spent January buying up shares in the company. Tillett bought an additional 25,550 shares in Race over 11-13 January, at a total cost of $50,223.

That implies an average purchase price of $1.966 per share. In the days after this buy, Race shares went as high as $2.07, but the company is trading at $1.95 per share today.

The post 4 ASX All Ords shares insiders have been buying up in January appeared first on The Motley Fool Australia.

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• With a 30% forecast yield, is this dividend stock the biggest bargain on the ASX 200?
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• Here are the 3 most heavily traded ASX 200 shares on Friday
• Why Liontown, Megaport, Origin, and Tyro shares are pushing higher today
• Which ASX lithium share executive just invested $1.5 million in his company?

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 ANZ Group Holdings Ltd (ASX: ANZ) share price has had a good start to the year, rising by around 10%.

Can the ASX bank share be a top idea in the current environment as interest rates keep rising?

With that in mind, let’s have a look at what an expert thinks of one of Australia’s biggest banks.

ANZ share price rated as a buy

Writing on The Bull, Jed Richards from Shaw and Partners decided to put a buy recommendation on the ASX bank share. Richards said:

The ANZ is our top pick in the banking sector. Australian banks generate about 90 per cent of their earnings from net interest income. Generally, the higher the cash rate, the greater the net interest. ANZ is the cheapest major bank from a valuation perspective, and was recently trading on an attractive grossed up dividend yield of around 7 per cent.

Why do interest rates matter to bank earnings?

As the Reserve Bank of Australia (RBA) cash rate rises, banks are passing on the interest rates to borrowers. This means that households are paying more on their loans and could see even higher rates in the next few months.

However, while savers are seeing interest rate rises, it’s not of the same scale or speed as borrowers. This is having the effect of boosting the net interest margin (NIM) of banks.

Higher lending profitability means the bank is on track to generate higher earnings per share (EPS).

How much profit could ANZ make in FY23?

Estimates on Commsec suggest that ANZ could generate $2.35 on EPS in the current financial year.

That would put ANZ shares at under 11 times FY23’s estimated earnings.

How does that compare to the other major ASX bank shares?

Looking at the FY23 projected profit numbers on Commsec:

Commonwealth Bank of Australia (ASX: CBA) shares are valued at 18 times forward earnings.

Westpac Banking Corp (ASX: WBC) shares are valued at 11 times forward earnings.

National Australia Bank Ltd (ASX: NAB) shares are valued at under 13 times forward earnings.

So, it is noticeably cheaper than CBA and NAB, while being slightly cheaper than Westpac, on an earnings multiple basis.

The post Is the ANZ share price cheap right now? appeared first on The Motley Fool Australia.

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• Investing in ASX 200 bank shares? Here’s the dividend outlook for 2023
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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 recommended Westpac Banking. 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 Core Lithium Ltd (ASX: CXO) share price is marching higher on Monday, up 2.65% in morning trade.

The S&P/ASX 200 Index (ASX: XJO) lithium stock closed on Friday trading for $1.13 per share and is currently trading for $1.16.

This comes following the release of the company’s quarterly results for the three months ending 31 December.

Read on for the highlights.

Finniss on track for production

During the quarter, Core Lithium delivered its first shipment of 15,000 dry metric tonnes (dmt) of direct shipping ore (DSO) to a customer in Fangchen, China. The average grade was 1.4% Li2O and the ore sold for US$951/dmt.

Construction work at the miner’s Finniss project in the Northern Territory continued on track, including successfully commissioning the crushing and screening plant.

Primero was awarded a five-year operations and maintenance contract for the Dense Media Separation (DMS) plant during the quarter. And the Core Lithium share price could be getting some tailwinds today as the company reiterated that its DMS plant remained on schedule for production of first spodumene concentrate in the first half of 2023.

The three-month reporting period also saw Core Lithium successfully complete a $100 million equity raising.

As at 31 December, the miner held $125 million in cash. That figure doesn’t include proceeds from the sale of DSO, which it received in the current quarter.

What did management say?

Commenting on the results helping push the Core Lithium share price higher today, CEO Gareth Manderson said:

Core Lithium has continued to reach key milestones this quarter including the mining of ore, commissioning the crushing plant, sale of pre-production direct shipping ore (DSO) and the successful completion of the $100 million placement.

The Finniss operations team are managing the weather impacts experienced from Tropical Cyclone Ellie that brought above average rainfall during December. We continue to refine our approach to manage the impacts of wet season events and remain on track for commissioning of the concentrator with our key contracting partners.

Core Lithium share price snapshot

The Core Lithium share price is off to a strong start in 2023, up more than 14%. Over the past 12 months, the ASX 200 lithium stock has gained an impressive 52%.

The post Core Lithium share price marches higher as key quarterly milestones achieved appeared first on The Motley Fool Australia.

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More reading

• What’s with ASX 200 lithium shares today?
• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• If I invest $10,000 in Core Lithium shares now, what could my return be this year?
• Here are the 3 most heavily traded ASX 200 shares on Tuesday
• Here are the top 10 ASX 200 shares today

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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Xero Limited (ASX: XRO) shares are starting the week strongly.

In morning trade, the cloud accounting platform provider’s shares are up 5% to $78.92.

Why are Xero shares shooting higher?

Investors have been scrambling to buy Xero shares this morning after the company was the subject of a bullish broker note out of Goldman Sachs.

According to the note, the broker has added the company to its coveted conviction buy list with a buy rating and new price target of $109.00.

Even after today’s solid gain, this suggests that the Xero share price could rise 38% for investors over the next 12 months.

What did the broker say?

Goldman has been looking through the tech sector and has named Xero as its top pick.

And while it acknowledges that Xero is high risk, it believes it has higher reward potential that more than justifies an investment. It commented:

Following our geographic analysis and recent high frequency data, we are incrementally positive of XRO’s risk reward: (1) a backstop in underlying ANZ/UK profitability (trading on 26X FY24 EV/EBITDA with no NA value – attractive in our view); (2) a shift in high-frequency indicators towards profitable growth (price rises & less hiring); (3) our above consensus forecasts into FY23 & beyond.

The broker also highlights the company’s massive total addressable market (TAM) that Xero can grow into over the next decade and beyond. It adds:

Xero is a Global Cloud Accounting SaaS player, with existing focuses in ANZ, UK, North American and SE Asian markets. We see Xero as very well-placed to take advantage of the digitisation of SMBs globally, driven by compelling efficiency benefits and regulatory tailwinds, with >100mn SMBs worldwide representing a >NZ$76bn TAM. Following the recent underperformance (absolute/relative), we see an attractive entry point into a compelling global growth story and our preferred large-cap technology name in ANZ, and are Buy rated (on CL).

The post Why Xero shares are Goldman’s top ASX 200 tech pick appeared first on The Motley Fool Australia.

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More reading

• These ASX 200 tech shares are leading the market today
• Top ASX growth shares to buy in 2023
• 3 excellent ASX 200 growth shares with major upside potential: analysts
• Leading brokers name 3 ASX shares to buy today
• 5 things to watch on the ASX 200 on Monday

Motley Fool contributor James Mickleboro has positions in Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Xero. The Motley Fool Australia has positions in and has recommended Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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