The Aussie Broadband Ltd (ASX: ABB) share price is having a strong day.

In afternoon trade, the broadband provider’s shares are up 4% to $2.57.

Why is the Aussie Broadband share price charging higher?

Investors have been buying Aussie Broadband shares on Wednesday following the release of its investor day update.

That update saw management spruik its “huge opportunity to be even bigger than today” and reaffirm its guidance for FY 2023.

In respect to the latter, management continues to expect Aussie Broadband to deliver revenue of $800 million to $840 million. This will be an increase of 46% to 54% from $546.9 million in FY 2022.

The company also reaffirmed its earnings before interest, tax, depreciation and amortisation (EBITDA) margin guidance of 10% to 10.5% for FY 2023. This will be an improvement from 7.2% during the last financial year.

Based on the middle of both its revenue and margin guidance ranges, this implies EBITDA of $84 million for the year. This will be more than double the EBITDA of $39.4 million it recorded in FY 2022.

What about its growth opportunities?

Aussie Broadband highlighted a number of growth opportunities in its investor day presentation.

As well as traditional broadband services (which it is targeting the almost doubling to 1 million services by FY 2025), the company notes that it has the ability to leverage its existing infrastructure to provide more products to its business customers at higher margins.

This includes cloud services, mobility services for Internet of Things, virtual office phones, and 4G and 5G failovers.

In respect to the cloud, the company notes that the Australian cloud infrastructure as a service market is expected to growth from $1.7 billion in FY 2021 to $3.04 billion in FY 2025.

And while major public cloud providers (Amazon, Microsoft, Google, etc.) currently dominate the market, management notes that they can be expensive and are not the best solution in every scenario. This creates an opportunity for Aussie Broadband to win market share.

All in all, management appears confident in its growth trajectory over the coming years. And judging by the Aussie Broadband share price performance today, investors seem to share this confidence.

The post Aussie Broadband share price lifts as company spruiks ‘huge opportunity’ appeared first on The Motley Fool Australia.

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More reading

• These 10 predictions could help you profit from the stock market regardless of inflation, interest rates or even another bear market
• The Aussie Broadband share price offers 40% upside: expert
• Buy this ASX share that all its directors have been snapping up: expert
• Which ASX 200 shares could benefit from the federal budget?
• Which ASX All Ords shares could perform well in a recession?

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 Aussie Broadband Limited. The Motley Fool Australia has recommended Aussie Broadband Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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There are a number of names that people have created for different categories of ASX shares. For example, ASX dividend shares, defensive ASX shares, blue-chip ASX shares and so on. Another term, which is mostly used in the US, is ‘penny stocks’. Are there penny stocks on the ASX?

What are penny stocks?

It’s all about the share price.

Some businesses have very high share prices. For example, the CSL Limited (ASX: CSL) share price is currently around $280. That’s definitely not a penny stock.

But, the generally accepted definition of a penny stock these days is a business that has a share price under $5. It used to refer to businesses where the share price was just measured in pennies, but it seems there has been a bit of inflation in the definition here.

Typically, a business with a low share price is one with a small market capitalisation.

Blue chips are usually described as among the biggest on the share market, with very entrenched brands.

Small cap ASX shares may have a market cap of less than $2 billion. Microcap ASX shares typically have market caps under $300 million.

But, a share price doesn’t necessarily tell an investor how big a business is.

For example, Sayona Mining Ltd (ASX: SYA) has a share price of around 25 cents, yet its market cap is just over $2 billion according to the ASX.

The Telstra Corporation Ltd (ASX: TLS) share price is currently sitting at $3.96, under the $5 level. But it has a market cap of $45 billion.

But then there’s a name like Lycopodium Ltd (ASX: LYL) which has a share price of well over $6, yet its market cap currently sits at $259 million.

Why are things so different?

It depends on how many shares each business has. If a business worth $100 million had 10 shares, each share would be worth $10 million.

But, if that $100 million company had 100 million shares, then the share price would be just $1.

Are penny stocks good ASX investments?

It really depends on the business.

Some ‘penny stocks’ go on to become large businesses such as Pilbara Minerals Ltd (ASX: PLS), Northern Star Resources Ltd (ASX: NST) and Altium Limited (ASX: ALU).

But, plenty of others don’t go on to achieve anything. Perhaps that business is a mining explorer that burnt through all its cash and decided to close.

Others may take a slow and steady approach to growing. Simply going from $50 million to $100 million is a doubling of the company size, which I think is an impressive return.

That’s the kind of thing that investors are thinking about with ASX penny stocks – they’re small, so maybe they have plenty of growth potential.

Being small doesn’t automatically mean they will grow a lot though. But, if they are good enough, it’s worth pointing out that it’s easier to grow from $100 million to $200 million than it is to go from $10 billion to $20 billion.

But, I’d prefer to go for small ASX shares that already have a proven business model or service, and they’re simply quite early on with their growth journey. I think this approach could lower the risk of a total wipeout for an investor.

The post Are there penny stocks on the ASX? appeared first on The Motley Fool Australia.

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More reading

• Are CSL shares a good buy right now?
• 5 things to watch on the ASX 200 on Wednesday
• Why did ASX lithium shares smash the market on Tuesday?
• Why did the Pilbara Minerals share price have such a cracker day?
• Here are the top 10 ASX 200 shares today  

Motley Fool contributor Tristan Harrison has positions in Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Altium and CSL Ltd. The Motley Fool Australia has positions in and has recommended Telstra Corporation Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Woe, thy name is the Magellan Financial Group Ltd (ASX: MFG) share price. Magellan shares have had an absolutely awful run over the past two years. Once venerated as the leading fund manager and investment company on the ASX, Magellan has seen its star fall dramatically over the past 24 months.

Back in February 2020. Magellan was a $65 share. Back in November 2020, the company was still commanding a price of around $55. Today, this company is a shell of what it once was, and is asking just $9.40 a share at the time of writing (down 2.79% for the day today).

Magellan shares have crashed 50% over 2022 year to date, and by 70% over the past 12 months. The company is down more than 85% from its all-time highs.

Magellan’s woes can be put down to a few factors: namely chronic underperformance of its funds leading to an exodus of investors, and the loss of its co-founder and former chief investment officer Hamish Douglass.

Douglass has caused some fresh concern with investors this week after it was revealed yesterday that he had sold off more than half of his ownership stake in Magellan. Douglass offloaded approximately 13 million shares for a price of $9.10 per share (worth around $118.3 million). This reduced his holding from 21.45 million shares to 8.45 million.

Was Hamish Douglass looking for a buyer for his Magellan shares?

However, it appears that there is a possibility Douglass was doing more than just offloading his Magellan shares.

According to reporting in The Australian this week, Douglass is also rumoured to have been asking around about a potential buyer for his Magellan stake. The report suggests Douglass has approached Phil King, of Regal Funds Management, about a possible buyout of Douglass’ Magellan holdings. That’s in addition to approaching Challenger Ltd (ASX: CGF) as well.

Buying out Douglass’ stake would give any potential suitor a hefty beachhead to launch more buy-ups of the company’s stock.

However, it is understood that both Regal and Challenger have rejected Douglass’ alleged advances.

If these rumours are true, it’s hardly a vote of confidence from Douglass over Magellan’s future. And it’s also the last thing investors probably want to hear right now. The Magellan share price will be an interesting one to watch going forward, that’s for sure.

The post The Magellan share price has crashed 50% in 2022. Is the company looking for a buyer? appeared first on The Motley Fool Australia.

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More reading

• Magellan share price flat after Douglass sells $118m of shares
• Why A2 Milk, Bravura, Magellan, and Pendal shares are dropping
• This ASX 200 dividend share has a 19% yield right now. Why it’s a trap: experts
• Magellan share price hits multi-year low following $2.4b horror month for outflows
• These were the best-performing ASX 200 shares in October

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 recommended Challenger Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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There’s been plenty of insider buying going on among ASX shares lately, and many of the targets are trading at, or around, 52-week lows.

That suggests those in the know believe their company is trading at attractive prices. So much so, that they’ll throw their hard-earned cash into the stocks.

Indeed, one S&P/ASX 200 Index (ASX: XJO) company has seen six directors buy its shares over the last fortnight.

Let’s take a look at the 52-week lows apparently tempting ASX directors to buy into ASX shares lately.

5 ASX insiders buying shares at near 52-week lows

We can’t talk about recent insider buying without mentioning Reliance Worldwide Corporation Ltd (ASX: RWC). The ASX 200 industrial share hit a new 52-week low of $2.96 on Tuesday.

Most of the company’s board has been bolstering their holding in the company lately, with six of its directors forking out an approximate total of $385,000 for 123,250 shares. That saw them paying an average of around $3.12 per share.

The largest parcel was snapped up by chair Stuart Crosby, who bought 31,250 shares for $99,389.65 on 28 October.

Directors Sharon McCrohan, Darlene Knight, Christine Bartlett, Brad Soller, and Russell Chenu have also made recent purchases.

Meanwhile, Bega Cheese Ltd (ASX: BGA) deputy chair Peter Margin has taken a slice of the ASX 200 dairy favourite’s shares. Margin bought 10,786 shares for $35,162.36 in late October, paying around $3.17 apiece.

The Bega share price hit a 52-week low of $3.12 on 21 October. It has since recovered 3.5% to trade at $3.23 today.

Shares in All Ordinaries Index (ASX: XAO) biotechnology company Starpharma Holdings Limited (ASX: SPL) are also both the subject of recent insider buying and trading near 52-week lows today. The stock hit its lowest point since 2015 earlier this week, falling to 49 cents.

Two of the company’s leaders, chair Rob Thomas and CEO and director Dr Jackie Fairley, snapped up 50,000 shares, worth a combined $52,000, in the company in late October.

Thomas got the better deal, buying each share for 52 cents while Fairley paid 52.8 cents apiece.

The share price of All Ords construction materials and services company Wagners Holding Company Ltd (ASX: WGN) also hit a multi-year low earlier this week when it slumped to 73 cents.

But the company’s chair and co-founder Denis Wagner seems to think the recent downturn has presented a buying opportunity. He bought 61,669 shares in the company in late October, paying nearly $50,000, or around 80 cents apiece.

The final ASX insider buying target trading at around 52-week lows is gold miner Red 5 Limited (ASX: RED). The stock hit a 52-week low of 15 cents in late October. It has since recovered to trade at 17.5 cents.

The company’s managing director Mark Williams and director Ian MacPherson both recently bolstered their stake in the company. They did so through a share purchase plan, which offered shares for 16 cents apiece.

The post 5 ASX shares trading near 52-week lows that insiders have been buying appeared first on The Motley Fool Australia.

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More reading

• 3 ASX 200 directors buying up their company shares in the past week
• 3 ASX All Ordinaries shares leaping more than 10% on quarterly updates
• Why Australian Strategic Materials, Bega Cheese, Costa, and Elmo shares are racing higher
• Why Ampol, Cann, Reliance Worldwide, and South32 shares are dropping
• Why is ASX 200 share Reliance Worldwide crashing 16% today?

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 Reliance Worldwide Corporation Limited and Starpharma Holdings Limited. The Motley Fool Australia has recommended Reliance Worldwide Corporation Limited and Starpharma Holdings Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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It may not be much of a big deal on the surface for the average Australian, but currency fluctuations do have a big impact when it comes to ASX investing, especially for Qantas Airways Limited (ASX: QAN) shares.

Over 2022 thus far, the Australian dollar has plunged in value. At the start of this year, one Aussie dollar was buying around 73 US cents. In early April, it was buying 76 cents.

But today, one local dollar only buys just under 65 US cents.

Such a dramatic fall of our currency against the greenback has many consequences, especially for some ASX shares.

When our dollar weakens against the US dollar, it means that, generally, imports become more expensive, while exports become cheaper. If an Australian tourist wishes to travel to America, a weaker dollar means more of our dollars need to be spent acquiring US dollars. Conversely, it is now cheaper for an American tourist to travel here as their dollars now buy more of ours.

So the most obvious beneficiaries of a lower Aussie dollar are the big miners. These companies can now sell their US-priced commodities at a higher currency-adjusted price than earlier this year, since buyers have to pay for iron ore, oil and gold, amongst others, in US dollars.

But what about Qantas shares?

How are Qantas shares impacted by a low Aussie dollar?

Well, the airline is a hard one to work out when it comes to currency. One might think that a lower Aussie dollar could boost incoming tourism to Australia, which would probably benefit Qantas.

But Qantas is likely to be a net loser from a low Aussie dollar, rather than a winner. For one, Australians might reconsider an international holiday, since our dollars don’t stretch as far. Suddenly, the Gold Coast or Byron Bay seems a lot more attractive than Los Angeles or New York than it did a year ago.

But Qantas’ primary concern with a low dollar is probably something more fundamental: oil.

Oil, in the form of jet fuel, is Qantas’ largest fixed cost. You need a lot of it to get a plane from one country to another. And fuel has to be paid for in US dollars. This means a weaker Australian dollar buys less fuel than it did at the start of the year.

According to reporting in the Australian Financial Review (AFR) this week, this is such a large consideration for Qantas that broker JPMorgan predicts that a US 5 cent rise in the value of the US dollar against the Aussie would boost Qantas’ earnings per share (EPS) by 7%. That’s more than any other ASX 200 share.

Luckily for Qantas, JPMorgan’s currency strategists are reportedly predicting that the Australian dollar will “claw back steep declines in 2022 over the September quarter, before climbing further to US70¢ ($1.11) by the June quarter of 2023”.

That would indeed be good news for Qantas shares.

The post How does a weak Aussie dollar impact Qantas shares? appeared first on The Motley Fool Australia.

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More reading

• Macquarie tips $800m buyback for Qantas shares
• Qantas boss says ‘we’re back’, but should you buy the ASX airline share?
• Planes, rains and automobiles: Fund names 3 ASX shares to back right now
• How is the Qantas share price avoiding today’s carnage?
• Why did the Qantas share price fly 16% higher in October?

JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool 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 positions in and has recommended JPMorgan Chase. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The S&P/ASX 200 Index (ASX: XJO) is a sea of calm relative to some of the extreme volatility witnessed in the S&P/ASX Small Ordinaries Index (ASX: XSO), particularly among the smallest companies in that index.

Writing in its October 2022 monthly report, the 1851 Emerging Companies Fund says it has seen “some of the largest daily movements in our index for many years”.

“In over 15 years of investing in the Australian small-cap sector, we have never seen the fast-changing macroeconomic environment driving share price moves like we are witnessing as opposed to underlying company fundamentals.”

Managed by small-cap veteran Chris Stott, since inception in February 2020 the 1851 Emerging Companies Fund has returned 12.8% per annum, soundly outperforming its benchmark.

October saw the fund rise 4.4% after fees compared to its benchmark’s rise of 6.5%

Contributors to performance included the XRF Scientific Limited (ASX: XRF) share price jumping 24% higher for the month after the manufacturer of equipment and chemicals largely for the mining sector reported a “strong trading period across all divisions, driven by activity in the mining sector and buoyant demand for capital equipment products”.

On the flip side, the Eureka Group Holdings Ltd (ASX: EGH) share price fell 14% in October after the owner and manager of senior independent living communities announced a $28m capital raise at $0.47 to fund the purchase of two new villages. The company also announced they are in due diligence with over $20m worth of further potential acquisitions. 

In early November, 1851 Capital lodged a notice of initial substantial holder with the ASX, declaring it held 5.06% voting power in Eureka Group. 

The fund’s five largest positions are listed as Capitol Health Ltd (ASX: CAJ), PSC Insurance Group Ltd (ASX: PSI), PeopleIn Ltd (ASX: PPE), OFX Group Ltd (ASX: OFX) and Ridley Corporation Ltd (ASX: RIC).

The OFX Group share price continued its upward trajectory into November after the foreign exchange services company reported a strong performance for the first half of FY23, including upgrading its profit guidance for the full year. In what has been a tough year for many payment companies, OFX Group shares have been a standout, gaining 57% over the past 12 months.

1851 Capital expects inflation to peak this coming quarter, saying the impact of the recent east coast rain will likely drive food prices higher once again. Despite the recent hikes in interest rates, the fund says economic activity continues to remain robust with no major slowdown evident.

“We continue researching for companies to position for an inevitable economic recovery over the medium term,” concluded the fund.

The post Top fund manager has ‘never seen’ ASX share price moves like we are witnessing appeared first on The Motley Fool Australia.

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More reading

• Whitehaven share price dives 9% as floods hit guidance
• Nervous about buying ASX shares right now? Here are some top tips from Scott Phillips
• 5 things to watch on the ASX 200 on Wednesday
• Here are the top 10 ASX 200 shares today  
• Here are the 3 most traded ASX 200 shares on Tuesday

Motley Fool contributor Bruce Jackson 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 OzForex Group Limited, PSC Insurance Group, and Peoplein. The Motley Fool Australia has recommended OzForex Group Limited, PSC Insurance Group, and Peoplein. 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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Many of Australia’s top brokers have been busy adjusting their financial models again, leading to the release of a large number of broker notes this week.

Three ASX shares brokers have named as buys this week are listed below. Here’s why they are bullish on them:

Allkem Ltd (ASX: AKE)

According to a note out of Macquarie, its analysts have retained their outperform rating and lifted their price target on this lithium miner’s shares to $21.00. Macquarie has upgraded its earnings estimates for Allkem and other lithium shares to reflect its stronger lithium price forecasts. This is being driven by growing demand for the battery making ingredient. The Allkem share price is trading at $15.89 on Wednesday.

Block Inc (ASX: SQ2)

Another note out of Macquarie reveals that its analysts have upgraded this payments giant’s shares to an outperform rating with an improved price target to $145.00. Macquarie was pleased with Block’s quarterly update and particularly the performance of its Cash App business. In light of this and recent share price weakness, the broker has upgraded Block’s shares to an outperform rating. The Block share price is fetching $96.23 this afternoon.

Santos Ltd (ASX: STO)

Analysts at Morgans have retained their add rating but trimmed their price target on this energy producer’s shares to $9.00. This follows the release of the company’s investor day briefing on Tuesday. The broker was disappointed with the update and notes that Santos’ 2023 guidance for production and capex fell short of both Morgans and consensus estimates. Nevertheless, the broker remains positive and highlights that this does not materially impact investment views or have a lasting impact. The Santos share price is trading at $7.58 on Wednesday afternoon.

The post Top brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

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More reading

• Why did ASX lithium shares smash the market on Tuesday?
• Here are the top 10 ASX 200 shares today  
• Why did the Santos share price take a dive following the company’s investor briefing?
• Is the Allkem share price a buy ahead of next week’s AGM?
• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor James Mickleboro has positions in Allkem Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Block, Inc. The Motley Fool Australia has positions in and has recommended Block, Inc. 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 Whitehaven Coal Ltd (ASX: WHC) share price is down 9.35% in early afternoon trade on Monday amid flooding from La Niña events hampering production at its open-cut mines in the Gunnedah Basin in New South Wales.

Shares in the prominent coal producer currently trade for $8.53.

The S&P/ASX 200 Energy Index (ASX: XEJ) is also almost flat at a 0.46% gain for the day.

Crucially, flooding at the Gunnedah Basin was said to have changed its outlook and guidance for the financial year 2023. Let’s cover the highlights.

Flooding changes Whitehaven’s FY23 guidance

The following changes to Whitehaven’s guidance for FY23 were announced:

• Managed ROM [run-of-mine] production down: 19-20.4 Mt
• Maules Creek production down: 10.3-11 Mt
• Narrabri production up: 5.6-6 Mt
• Gunnedah O/C production down: 3.1-3.4 Mt
• Managed coal sales down: 16.5-18 Mt
• Equity coal sales down: 13.1-14.4 Mt
• Unit cost per coal up: 95-102 $/t

Whitehaven notes that flooding has not been directly observed on site, but that it is expected to affect run-of-mine (ROM) production, particularly at its Maules Creek and Tarrawonga sites.

Meanwhile, the company expects stronger production at Narrabri along with a higher unit cost per coal moving forward.

Flooding has reportedly reduced access to needed haulage and transportation roads, while also changing the moisture profile of the soil at Gunnedah Basin. It has also elevated water levels at its dams and river systems.

The effect of floods put a damper on operations at all three open-cut mines in September, and this wet weather has persisted into October and now November.

The International Monetary Fund (IMF) notes that climate change is likely playing a part in increasing the frequency and severity of natural disasters, such as floods. It expects these events to become more common by the end of the century as temperatures rise.

Whitehaven Coal share price snapshot

The Whitehaven Coal share price is up 226% year to date. That’s beating the S&P/ASX 200 Index (ASX: XJO) by a huge margin as it’s down 6% for the same period.

The company’s market capitalisation is around $8.75 billion.

The post Whitehaven share price dives 9% as floods hit guidance appeared first on The Motley Fool Australia.

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More reading

• Nervous about buying ASX shares right now? Here are some top tips from Scott Phillips
• 5 things to watch on the ASX 200 on Wednesday
• Here are the top 10 ASX 200 shares today  
• Here are the 3 most traded ASX 200 shares on Tuesday
• Guess which ASX 200 director sold $6.5m worth of their company shares last week

Motley Fool contributor Matthew Farley 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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As one of the big four banks, the National Australia Bank Ltd (ASX: NAB) dividend is a popular option for income investors.

In light of this, readers might be interested to learn what the bank is saying about its dividend today following the release of its full year results for FY 2022.

Here’s the lowdown on the NAB dividend

This morning NAB released its full year results and, for the 12 months ended 30 September, reported cash earnings of $7,104 million. This represents an increase of 8.3% year over year.

This solid earnings growth allowed the NAB board to declare a fully franked final dividend of 78 cents per share, which was an increase of 16.4% over last year’s final dividend of 67 cents.

For the full year, this took NAB’s dividend to a fully franked 151 cents per share, which was an increase of 18.9% year over year and equates to a total return of $4.8 billion.

Based on the current NAB share price, this final dividend equates to a fully franked 2.5% yield and its full year dividend represents a 4.9% yield.

Commenting on its decision to pay this dividend, NAB said:

NAB is making excellent progress on our strategy and the Board is encouraged to see the operational results that this is delivering. This is reflected in improved earnings with all businesses contributing to underlying profit growth, and significant and sustainable momentum across the Group. Our most recent colleague engagement score is 76, compared with 77 in July 2021, and is close to the latest top quartile score of 78. Taking all this into account, the Board has determined dividends for the year of 151 cents per share, returning $4.8bn in total to shareholders.

What else do you need to know?

If you wish to be eligible for the upcoming NAB dividend, you’ll need be a shareholder before its shares trade ex-dividend on 15 November. After which, you can look forward to receiving this dividend just under a month later on 14 December.

If you’re already a shareholder and looking to use NAB’s dividend reinvestment plan (DRP), you’ll need to make sure that you have indicated that this is your wish (if you haven’t previously done so) before the close of business on 17 November. Unfortunately, on this occasion, there is no DRP discount for the final dividend of FY 2022.

The post Everything you need to know about the NAB dividend appeared first on The Motley Fool Australia.

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More reading

• Why is the NAB share price sinking today?
• NAB share price on watch following FY22 earnings miss
• 5 things to watch on the ASX 200 on Wednesday
• Are ASX 200 bank shares a no-brainer buy in an inflationary environment?
• Are NAB shares a buy ahead of this week’s results?

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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The Fortescue Metals Group Limited (ASX: FMG) share price is off to a great start in early trading today, rising 2.53% to $17.05 at the time of writing.

There is no news out of Fortescue today, but its home sector is thriving. The S&P/ASX 200 Materials (ASX: XMJ) is the best-performing sector so far today, up 2.36%.

Fellow ASX mining shares are also rising. The Rio Tinto Limited (ASX: RIO) share price is up 2.11% to $98.38. The BHP Group Ltd (ASX: BHP) share price is up 1.71% to $41.04.

Iron ore price up… for the moment

The big miners are likely being moved higher today by the rising iron ore price in recent days.

The iron ore price dipped slightly in overnight trading but is up 7.93% over the past week. Iron ore is currently fetching US$88.50 per tonne, according to Trading Economics.

This is boosting ASX iron ore shares, with the Fortescue share price up 12.5% over the past five trading days. BHP shares are up 8.4% and Rio Tinto shares are up 9.2% over the same period.

Fortescue is getting a bigger benefit because it’s an iron ore pure play.

The iron ore price has almost halved in six months after reaching a 52-week peak of about $160 per tonne in March.

According to Trading Economics:

Chinese authorities emphasized that the zero-Covid policy will remain in place for the time being, erasing previous hopes that the economy would reopen and jeopardizing demand.

While holding a slight rebound since the beginning of November, iron ore prices are 45% down from the peak hit in March amid prevalent recession fears and woes in China’s property sector.

Key manufacturing PMIs in China pointed to continued contraction in factory activity at the start of the fourth quarter.

Also, investment in the country’s giant but debt-ridden property sector fell more than 8% year-on-year in the first three quarters of the year, pointing to increased hesitance for new building activity.

Low steel demand drove iron ore imports to fall by 4.7% in October.

Buy the dip strategists take note. The Fortescue share price dipped below $15 late last month. We haven’t seen that since November last year.

Had you popped $10,000 into Fortescue shares on 31 October when they closed at $14.70, you’d be up $1,600 right now. Just sayin’.

Moving on…

Other commodities also up this week…

Other materials commodities up over the past week include silver, up 10.72% to US$21.358 per ounce.

The price is the highest since June as a result of the lower US dollar and weakening treasury bond yields.

This has contributed to an 8% lift in the South32 Ltd (ASX: S32) share price over the past five days. South32 operates one of the world’s largest silver mines, located in Cannington in Queensland.

Pure-play ASX silver shares like Silver Mines Limited (ASX: SVL) have received an even bigger benefit.

Silver Mines shares are up 12.9% over the past five days. The company owns the undeveloped Bowdens Silver Project in New South Wales.

Copper prices are up 6.13% this week to US$3.68 per pound. This would be contributing to the boost in Rio Tinto shares, with the company operating the largest copper mine in the world, located in Chile.

According to Trading Economics: “Commodity trader Trafigura warned that global copper stocks have fallen to record lows, with current inventories enough to supply world consumption for just 4.9 days.”

Other ASX copper shares receiving a boost this week include OZ Minerals Limited (ASX: OZL), the market’s largest pure-play copper miner.

The Oz Minerals share price is up 6% this week to $26 per share.

The post Why is the Fortescue share price bolting out of the gate on Wednesday? appeared first on The Motley Fool Australia.

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More reading

• Why is the Fortescue share price firing up 4% today?
• Why are ASX 200 mining shares bolting out the gates on Monday?
• Looking to buy Fortescue shares? Here are the questions I asked before jumping in
• Hotels, hurt feelings, and HR hassles, but Fortescue’s biggest shareholder still got richer this week
• What’s the forecast for the iron ore price right now?

Motley Fool contributor Bronwyn Allen has positions in BHP Billiton Limited and Fortescue Metals Group Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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