With an economy slowing to a grind after nine consecutive months of interest rates rises, picking ASX shares to buy has never been more hazardous.

If the underlying business does not have growth drivers that can withstand consumers closing their wallets, earnings could be significantly impacted.

Considering this dilemma, here are three ASX shares that experts have declared as a buy this week:

Growing through economic cycles

While Australians might have less disposable income to spend, with employment still at historically high levels, toll roads are seeing high usage.

This is where Transurban Group (ASX: TCL) comes in.

“Transurban owns and operates toll roads in Australia and the US,” Marcus Today equity analyst Damien Shaw told The Bull.

“Its latest financial half-year report revealed record traffic volumes, with average daily traffic exceeding 2.5 million trips. This resulted in record proportional toll revenue of $1.658 billion.”

The Transurban share price has already risen more than 10% this year, all while paying out a dividend yield of 3.7%.

But Shaw would buy now for even further potential.

“Transurban continues to grow and achieve its strategic goals through economic cycles,” he said. 

“This reflects the quality of its asset portfolio.”

‘Dominant market position’

Online classifieds site Carsales.com Ltd (ASX: CAR) doesn’t quite have a monopoly, but it is the biggest player in its field.

According to Shaw, its half-yearly results “mostly met market expectations”. 

“Strong revenue growth across all divisions was assisted by Carsales’ dominant market position and investment in technology.”

For a technology-related growth company, the share price hasn’t done too badly. It is up 13.5% over the past year and 10.8% year to date.

Carsales.com’s business is one that benefits from the network effect.

“Appealing to a huge audience of online automotive buyers and sellers lifts inventory, to the detriment of competitors.”

According to CMC Markets, seven out of 15 analysts currently agree with Shaw that Carsales is a buy.

‘We expect continuing strong demand’

Quite different from critical infrastructure and dominant market position, but still a tailwind, is the demand for copper.

For Red Leaf Securities chief John Athanasiou, Sandfire Resources Ltd (ASX: SFR) is the best stock to buy to play that theme.

“Copper is a dominant revenue stream for Sandfire,” he said.

“It produced more than 48,000 tonnes of copper in the first half of fiscal year 2023.”

Athanasiou reminded investors that copper is “a critical element in producing batteries for electric vehicles”. 

“We expect continuing strong demand for copper moving forward.” 

The Sandfire share price has gained 5.4% since the start of the year.

The post 3 ‘quality’ ASX shares to buy now before they rocket: experts appeared first on The Motley Fool Australia.

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• Sandfire share price slides as profits turn to losses
• Want an income boost? Buy these ASX dividend shares: experts
• 3 ASX shares I’d buy for passive income instead of BHP’s declining dividend
• 3 ASX 200 shares that could drive strong returns in an inflationary world: expert
• 2 excellent ASX shares to buy for a retirement portfolio: experts

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 Carsales.com. 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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Now that reporting season is winding up, it’s time to review which ASX shares have the best prospects heading into the next one in August.

Tribeca portfolio manager Jun Bei Liu this week mentioned some of the stocks that she would be happy to buy after their latest results:

Back to the future for dairy producer

China was significantly behind other large economies in loosening its COVID-19 restrictions. Only in December did it back away from a strict zero-COVID policy.

That provided a golden opportunity for some ASX companies, such as A2 Milk Company Ltd (ASX: A2M). 

The dairy company’s latest report impressed Liu.

“The result was incredible. China delivered over 40% growth,” Liu told Switzer TV Investing.

“That reopening thematic in China is really gathering momentum for that business.”

One of A2 Milk’s biggest sales channels before the pandemic was through what is called the daigou. These are Chinese people based overseas who ship or carry western goods back into China for resale.

That international movement of people came to a halt as the coronavirus restrictions came in. But Liu feels like it’s about to explode again.

“[Chinese] students are yet to return to drive that daigou channel, but we know that’s coming.”

Liu is certain about the influx of students because last month, the Chinese Communist Party issued a directive that online learning from Australian universities would no longer be recognised.

A2 Milk has a “very strong balance sheet“, she added.

“It really provides a really good buying opportunity post that result showing the continuation of that earnings recovery.”

Biggest market gone, but could return this year 

Along similar lines, Liu is a fan of Treasury Wine Estates Ltd (ASX: TWE).

The company was devastated in 2020 when Australia-China diplomatic relations turned combative, and punitive tariffs effectively locked the wine producer out of its biggest market.

Now with a different government in Australia and a more conciliatory Chinese regime, Liu is optimistic about Treasury Wine’s fortunes.

“To me, this is a very good buying opportunity.”

Unfortunately, the Treasury share price dipped 6.9% in a single day earlier this month. But Liu feels like investors overreacted.

“They grew close to 20% and they guided 17% growth for the next 12 months,” she said.

“The market was disappointed because it wasn’t 20%… It was quite unfair to be punished with earnings expectations despite the slowdown around the world.”

Energy crisis could be exacerbated with China’s reopening

China’s economy ramping up this year will mean demand for energy may shoot up.

The energy sector has generally enjoyed a surge in valuations due to a global shortage of oil and gas over the past year.

But one exception seems to be Santos Ltd (ASX: STO), which is trading now 2.7% lower than it did a year ago.

Liu reckons it could be a value buy at the moment, as the company’s current valuation implies the oil price being 10% cheaper than it is now.

“It does give you quite a bit of upside,” she said.

“With the China reopening gathering momentum in the next few months, oil is pretty well positioned.”

The post ‘Result was incredible’: 3 ASX 200 shares Jun Bei Liu would buy now appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Thursday
• 5 things to watch on the ASX 200 on Tuesday
• 5 things to watch on the ASX 200 on Monday
• 7 ASX 200 shares with ex-dividend dates next week
• Looking to get in on the boosted Santos dividend? You better hurry!

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 A2 Milk 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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On Wednesday, the S&P/ASX 200 Index (ASX: XJO) fought hard to start the month with a gain but fell just short. The benchmark index edged slightly lower to 7,251.6 points.

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

ASX 200 expected to fall again

The Australian share market is expected to fall gain on Thursday following a poor night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 6 points or 0.1% lower this morning. In late trade in the United States, the Dow Jones is down 0.2%, the S&P 500 has fallen 0.6% and the NASDAQ is down 0.8%.

Nickel Industries shares named as a buy

The Nickel Industries Ltd (ASX: NIC) share price could have major upside potential according to analysts at Bell Potter. This morning the broker has retained its buy rating with a slightly improved price target of $1.87. Bell Potter commented: “Its aggressive growth outlook and undemanding valuation metrics make it one of our top picks.”

Oil prices rise again

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a decent session after oil prices rose again on Wednesday night. According to Bloomberg, the WTI crude oil price is up 0.7% to US$77.61 a barrel and the Brent crude oil price is up 0.9% to US$84.18 a barrel. Traders have been bidding oil higher over the last couple of days thanks to strong economic data out of China.

Shares going ex-dividend

A number of ASX 200 shares are going ex-dividend on Thursday and could drop into the red. This includes supermarket giant Coles Group Ltd (ASX: COL), private health insurers Medibank Private Ltd (ASX: MPL) and NIB Holdings Limited (ASX: NHF), and lithium miner Pilbara Minerals Ltd (ASX: PLS).

Gold price climbs

ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a good session after the gold price rose overnight. According to CNBC, the spot gold price is up 0.5% to US$1,845.5 an ounce. The precious metal rose after the US dollar softened in response to China’s strong economic data.

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

• Here are the top 10 ASX 200 shares today
• Own Telstra shares? Here’s how the ASX 200 telco is raising $650 million
• Why are ASX 200 mining shares leading the market today?
• Investing in ASX 200 lithium stocks? Here’s why this 6% decline in China matters
• 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 Coles Group. The Motley Fool Australia has recommended NIB Holdings. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The S&P/ASX 200 Index (ASX: XJO) traded in the green for much of Wednesday before plunging into the red at the last moment. It ended the day 0.09% lower at 7,251.6 points.

And mining shares led much of its gains, with the S&P/ASX 200 Materials Index (ASX: XMJ) coming in as today’s top-performing sector. It rose 2.3% to regain all of its Monday losses.

The S&P/ASX 200 Energy Index (ASX: XEJ) also outperformed today, gaining 1.6% following a strong overnight session for oil prices.

Brent crude oil rose 1.7% to US$83.89 a barrel overnight while US Nymex crude oil lifted 1.8% to trade at US$77.05 a barrel.

But not all rejoiced today. The S&P/ASX 200 Communications Index (ASX: XTJ) fell 2.3% on Wednesday as Telstra Group Ltd (ASX: TLS) shares traded ex-dividend.

So, with all that covered, which ASX 200 share posted the index’s biggest gain today? Let’s take a look.

Top 10 ASX 200 shares countdown

Today’s top-performing ASX 200 share was none other than Ramelius Resources Ltd (ASX: RMS). It gained 6.7% to close at $0.955 despite only silence from the gold miner.

These shares made today’s biggest gains:

ASX-listed company	Share price	Price change
Ramelius Resources Ltd (ASX: RMS)	$0.955	6.7%
St Barbara Ltd (ASX: SBM)	$0.575	5.5%
Perseus Mining Limited (ASX: PRU)	$2.06	4.83%
Allkem Ltd (ASX: AKE)	$11.87	4.58%
Mineral Resources Ltd (ASX: MIN)	$86	4.17%
Evolution Mining Ltd (ASX: EVN)	$2.83	4.04%
BlueScope Steel Limited (ASX: BSL)	$19.82	3.99%
De Grey Mining Limited (ASX: DEG)	$1.45	3.94%
Champion Iron Ltd (ASX: CIA)	$7.66	3.93%
Regis Resources Ltd (ASX: RRL)	$1.805	3.74%

Our top 10 shares countdown is a recurring end-of-day summary to let you know which companies were making big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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More reading

• Own Telstra shares? Here’s how the ASX 200 telco is raising $650 million
• Why are ASX 200 mining shares leading the market today?
• Investing in ASX 200 lithium stocks? Here’s why this 6% decline in China matters
• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• Why Allkem, Argosy Minerals, Mayne Pharma, and NextDC shares are racing higher

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Telstra 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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Telstra Group Ltd (ASX: TLS) shares closed the session on Wednesday down 2.8% to $4.04 apiece.

This is likely due to the communications sector stock going ex-dividend today.

Meanwhile, the S&P/ASX 200 Index (ASX: XJO) closed down 0.1% on a lacklustre day of trading.

What’s this about a bond raise?

The ASX 200 telco hasn’t announced any official news to the market today.

However, The Australian reports that Telstra intends to raise $650 million through an Australian bond raise.

This is the biggest Australian bond raise by the ASX 200 telco since 2017.

The margin is 100 basis points above the bank bill swap rate, with a coupon value of 4.93%.

The senior bond has a five-year timeframe and has reportedly attracted $1.9 billion in demand.

The article states the raise is “believed to be part of Telstra’s normal course of fundraising activities”.

As my Fool colleague Sebastian reports, Telstra shares are among the three most heavily traded ASX 200 stocks on Wednesday.

At the closing bell, more than 15.625 million Telstra shares have swapped hands today.

Should you buy Telstra shares?

As we recently reported, top broker Macquarie is bullish on Telstra shares with a 12-month price target of $4.64. It also forecasts a fully franked full-year dividend of 17 cents per share in FY23.

Macquarie likes Telstra’s higher earnings certainty, strong cash flows, and tax-effective dividend income.

Another top broker, Goldman Sachs, also has a buy rating on Telstra shares and predicts similar growth with a price target of $4.60.

Morgans is the latest broker to put a buy rating on Telstra, with a price target of $4.70.

The post Own Telstra shares? Here’s how the ASX 200 telco is raising $650 million appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Looking to buy Telstra shares? Boss reveals ‘profound opportunity’ for growth
• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• Why Brainchip, Cooper Energy, Link, and Telstra shares are dropping today
• ASX 200 leaps higher on latest GDP and inflation news

Motley Fool contributor Bronwyn Allen has positions in Macquarie Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has positions in and has recommended Macquarie Group and Telstra 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 Telstra Group Ltd (ASX: TLS) share price has made a good recovery since its plunges in 2018 and again in 2020. But Telstra management is now eyeing other growth opportunities.

It has gone through the transition to the NBN, which caused a big hit to year-over-year profit growth.

Telstra is now working on rolling out its 5G service to customers. This can unlock new forms of entertainment, communication, and so on. It could also mean that Telstra is able to serve and connect industries in new or different ways.

With that in mind, it has been reported today that Telstra is focused on a particular area for growth. This could also help the Telstra share price.

Can agriculture spur the next leg of earnings growth?

Talking to the Australian Financial Review, Telstra CEO Vicki Brady reportedly named growth of services to agriculture (and other non-traditional markets) as a key focus of her leadership.

These insight came about while the telco’s CEO was attending the annual Mobile World Congress in Barcelona.

An important part of the strategy is working with more industries as digitisation increases. The AFR quoted some of her speech:

It is an exciting time to be in telco, and I’m looking ahead at the next decade as one of profound opportunity…Connectivity is the bedrock, but it is not the end point, it is just the beginning.

She pointed to the Australian Farmers Federation wanting to grow production from $75 billion today to over $100 billion by 2030, which could mean deploying internet of things (IoT) devices and other digital technology.

It could also mean connecting its mobile and IoT networks and satellites with other technologies, such as long-range wi-fi from companies like start-up Zetifi. Brady said:

Zetifi is a good example of us needing to get comfortable with not being the only connectivity option available.

This requires a mindset change. I’ve been in telco for more than two decades, and I’ve seen opportunities pass by because we were defending what we had, instead of thinking about the larger opportunity that could be created if we worked together.

If we don’t, we risk others capturing that value over our networks.

…we are absolutely at our core a telecommunications company and I don’t want it to be misinterpreted, as that will be critical … However, I think we’ve got an opportunity on top of that connectivity, with the ability to partner and co-create.

Overall, this could be quite positive for the business if it unlocks more earnings streams.

Telstra share price snapshot

Since the start of 2023, Telstra shares have risen 2.5%.

The post Looking to buy Telstra shares? Boss reveals ‘profound opportunity’ for growth appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• Why Brainchip, Cooper Energy, Link, and Telstra shares are dropping today
• Why is the Telstra share price sliding lower on Wednesday?
• Top ASX shares to buy in March 2023
• Here are the 3 most heavily traded ASX 200 shares on Tuesday

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 Telstra 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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When we hear that a director, let alone the CEO, of an ASX 200 share that we own is selling shares, it can cause some consternation. But $1 million worth of shares? Now we have something worth talking about.

That’s exactly the situation faced by investors in Super Retail Group Ltd (ASX: SUL) today.

This morning, Super Retail Group, the company behind famous retail names like Rebel, BCF and Super Cheap Auto, put out an ASX announcement detailing this director transaction.

It reveals that Super Retail CEO and group managing director Anthony Heraghty offloaded a total of 87,000 shares of Super Retail Group last month. The transactions occurred over 22, 23 and 24 February, and amounted to a value of just over $1.17 million.

That implies an average sale share price of roughly $13.46 per share. That’s fairly close to Super Retail’s new 52-week high of $13.75 that we saw the company hit late last month.

Today, Super Retail shares are going for a bit below that level, asking $12.98 each at the time of writing.

Heraghty has been the CEO of Super Retail since early 2019. So why is the CEO of this company selling shares? Does this mean investors should follow suit and bail out?

ASX 200 CEO sells shares, should investors be worried?

Well, not really. CEOs buy and sell shares of their companies all of the time. We investors obviously like to see management have the same skin in the game as we do.

But even CEOs need to think about wealth diversification. It’s rarely good investing practice to tie up 100% of one’s wealth in a single share, even for an ASX 200 CEO.

In a statement put out concurrently with the ASX notice, Super Retail clarified that Heraghty’s share sales have “been undertaken to fund a tax payment relating to the exercise of vested performance rights”.

It also stressed that “Mr Heraghty continues to hold 252,840 ordinary shares and 340,986 performance rights in the Company”.

Those ordinary shares alone would have a value of just over $3.28 million today. So it’s not as though the CEO doesn’t still have a lot of skin in the game here.

So it’s up to investors to decide whether this sale of Super Retail Group’s shares by its CEO is worthy of concern or not. But from the outside, this doesn’t look like anything too out of the ordinary for a director.

The post Why did this ASX 200 CEO just sell $1 million worth of his company’s shares? appeared first on The Motley Fool Australia.

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More reading

• 3 ASX 300 shares soaring to new 52-week highs on Friday
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today
• Why A2 Milk, Piedmont Lithium, QBE, and Super Retail shares are racing higher
• Why term deposits can’t compete with these 5 ASX dividend machines

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 Super Retail Group. The Motley Fool Australia has positions in and has recommended Super Retail 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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As the close of trading draws near, the top 5 best-performing shares of the S&P/ASX 200 Index (ASX: XJO) are all mining stocks.

Leading the bunch is ASX gold share Ramelius Resources Ltd (ASX: RMS), up 6.15% to 95 cents.

Next on the list is ASX lithium share Allkem Ltd (ASX: AKE), up 5.77% to $12.01.

Then we have gold miner Evolution Mining Ltd (ASX: EVN), whose share price is up 4.78% to $2.85.

It’s followed by iron ore share Champion Iron Ltd (ASX: CIA), up 4.6% to $7.70.

Rounding out the top 5 are Mineral Resources Ltd (ASX: MIN) shares, up 4.6% to $86.34.

What’s pushing ASX 200 mining shares higher?

Ramelius Resources has not reported any news today. However, Ramelius shares have risen by 14% since the miner released its 1H FY23 results on 21 February.

The miner reported a small decline in sales revenue to $304.8 million and a 33.7% decline in underlying EBITDA to $106.3 million. However, it reaffirmed its FY23 production guidance of between 240,000 ounces and 280,000 ounces at an all-in sustaining cost of between $1,750 per ounce and $1,950 per ounce.

Moving on to Allkem shares, which are shining brightly today after top broker Goldman Sachs backed the company to withstand the coming decline in lithium prices better than other ASX lithium shares.

The broker reckons there’s a 30%-plus upside for Allkem shares over the next 12 months.

As my Fool colleague James reports, Goldman says Allkem’s production growth potential and downstream opportunity will see it through a big decline in lithium prices over the next few years.

Evolution Mining told the ASX yesterday it has seen ongoing drilling success at its Ernest Henry site. Investors are excited about the news, with Evolution shares up 7% since the announcement.

Evolution Mining CEO Lawrie Conway said: “The significance of the recent drilling intercepts released today indicates that Bert, which is located adjacent to the open pit, is a sizable mineralisation domain that remains open down-plunge.”

There’s been no news from Champion Iron over the past three weeks.

Finally, Mineral Resources shares are also up on no news today. However, last week the company revealed incredible earnings growth in its 1H FY23 report.

Its net profit after tax (NPAT) went up 1,890% to $390 million over the half. Revenue increased by 74% to $2,350 million, driven by turbocharged lithium revenue of $997.2 million, up from $143 million year over year.

The post Why are ASX 200 mining shares leading the market today? appeared first on The Motley Fool Australia.

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More reading

• Investing in ASX 200 lithium stocks? Here’s why this 6% decline in China matters
• Why Allkem, Argosy Minerals, Mayne Pharma, and NextDC shares are racing higher
• Own ASX lithium shares? Here is the latest Goldman Sachs lithium price forecast
• Broker says buy ASX 200 lithium share Allkem for 34% upside
• Get a second income with these ASX dividend shares: experts

Motley Fool contributor Bronwyn Allen has positions in Allkem. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. 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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S&P/ASX 200 Index (ASX: XJO) lithium stocks are shrugging off some potentially concerning news about the outlook for the battery-critical metal. At least for now.

We’ll get to that news in a tick.

First, here’s how the top five lithium shares are performing in afternoon trade today:

• Pilbara Minerals Ltd (ASX: PLS) shares are up 2.4%
• Core Lithium Ltd (ASX: CXO) shares are up 2.7%
• Allkem Ltd (ASX: AKE) shares are up 5.2%
• IGO Ltd (ASX: IGO) shares are up 2.8%
• Mineral Resources Ltd (ASX: MIN) shares are up 3.49%

Looks like greed is trumping fear for investors in ASX 200 lithium stocks today.

But should they be concerned?

Why this 6% decline in China matters for ASX 200 lithium stocks

China produces approximately 75% of the world’s lithium-ion batteries each year.

And the Middle Kingdom boasts by far the largest production and sales figures for EVs of any nation on Earth.

In December alone, the China Automobile Association reported China produced 795,000 EVs. And the nation’s dealers dipped into their inventories, with a whopping 814,000 EVs sold.

The story was much the same throughout 2022. And this surge in demand helped drive lithium prices to all-time highs last year. Since that peak, prices have retraced some 30%. But many analysts are forecasting they could have further to fall.

The decline is partly demand related.

As Reuters reports, January saw a 6.3% decline in sales of EVs and plug-in hybrids in China. That’s after the sector grew 90% in 2022.

Commenting on the potential impact, Barrenjoey analysts said, “While we remain positive on the long-term outlook for lithium, the short-term outlook is less clear, with a clear acceleration in China EV sales needed to allay market fears.”

January’s decline is likely linked to the government’s plan to end subsidies for EVs. But it’s fuelling concerns that demand growth may slow just as supply growth looks set to explode.

Too much lithium?

ASX 200 lithium stocks could come under pressure more from a potential excess supply hitting the markets than from any big fall in demand.

And some analysts are forecasting this will see prices for the battery-critical metal continue to fall.

Chinese spot prices for lithium carbonate have dropped from some 600,000 yuan ($128,000) per tonne at the November peak to around 400,000 yuan ($86,000) today.

Commenting on market dynamics, vice president at Rystad Energy Susan Zou said (as quoted by Reuters):

Demand is still healthy, but battery and EV makers are currently destocking instead of placing new orders. The subdued spot demand therefore is weighing on sentiment and pressing down prices..

A lithium carbonate price of 200,000-300,000 yuan per tonne is where both upstream and downstream will feel comfortable.

“Supply is coming on stream faster than you can say ‘boo’,” Ord Minnett analyst Dylan Kelly added. “Demand remains strong, but prices have been unsustainable for some time now.”

Indeed, many lithium miners are not yet at the production stage. As they do begin producing, global supplies will ramp up.

Even among the ASX 200 lithium stocks, only Allkem, Mineral Resources, and Pilbara Minerals are currently producing.

Core Lithium looks to be next in line. Maiden spodumene concentrate production from its Finniss Lithium Project is expected to commence in the first half of 2023.

The post Investing in ASX 200 lithium stocks? Here’s why this 6% decline in China matters appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• Why Allkem, Argosy Minerals, Mayne Pharma, and NextDC shares are racing higher
• Why did the Pilbara Minerals share price sink 9% in February?
• Own ASX lithium shares? Here is the latest Goldman Sachs lithium price forecast
• Broker says buy ASX 200 lithium share Allkem for 34% upside

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 February earnings season saw plenty of ups and downs, as well as some insider buying among these S&P/ASX 200 Index (ASX: XJO) shares.

They’ve each seen directors trading in their company’s stocks over the last week.

So, which ASX 200 directors were buying, and how much were they snapping up? Let’s take a look.

6 ASX 200 directors buying their company shares

Insider buying is often taken as a sign those working behind the scenes at an ASX 200 company are bullish on its share price’s future.

Thus, a barrage of director trades in Dexus Property Group (ASX: DXS) stock might have pricked the ears of market watchers. Particularly the $216,794 trade made by director Paula Dwyer, who snapped up 25,000 shares last Wednesday.

And Dwyer’s wasn’t the only insider to buy. Directors Elana Rubin and Rhoda Phillippo forked out $50,052 and $21,357 respectively for parcels of 5,813 shares and 2,500 shares over the course of the week.

AGL Energy Limited (ASX: AGL) has also seen recent insider buying, with director John Pollaers buying 10,000 shares for around $6.92 apiece.

Over at ASX 200 financials giant AMP Ltd (ASX: AMP), director Michael Sammells was on a share-buying spree. He snapped up 50,000 stocks in the company for around $1.09 apiece – sneaking in before it traded ex-dividend.

Meanwhile, Ansell Limited (ASX: ANN) director Debra Goodin bought 486 shares in the personal protective equipment manufacturer for a total of $12,959.34.

Director of hauling company Aurizon Holdings Limited (ASX: AZJ), Lyell Strambi, also got in on the insider buying action over the last week. He bought 5,952 shares for $3.36 each – a total of approximately $20,000.

And finally, Bendigo and Adelaide Bank Ltd (ASX: BEN) director David Foster bought 1,021 shares in the regional bank for $9.79 apiece – forking out $9,996 for the additional parcel.

The post 6 ASX 200 directors buying up their company shares in the past week appeared first on The Motley Fool Australia.

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More reading

• AMP shares drop then pop amid ex-dividend and delay of $225 million sale
• Why is the AMP share price sinking today?
• These ASX 200 shares were crushed in February
• Hoping to bag the newly reinstated AMP dividend? Read this
• I’d invest $5,000 into these excellent ASX shares for the long term

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Bendigo And Adelaide Bank. The Motley Fool Australia has recommended Ansell and Aurizon. 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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