It might be a good thing that the BWX Ltd (ASX: BWX) share price remains halted today.

That’s because the personal care products company has become the latest victim of a cyberattack.

What’s going on with this ASX All Ords share?

This morning, BWX revealed that its Flora & Fauna business has identified that a malicious code unlawfully inserted into its website may have resulted in customer credit card numbers and expiry dates being transmitted to an unauthorised third-party.

The release notes that approximately 2,500 customers, who transacted on the Flora & Fauna website between 13 August 2022 and 29 September 2022, may have been impacted by the cyberattack.

BWX highlights that only credit card numbers and expiry dates appear to have been transmitted to the unauthorised third party. No other personal information, such as customer names, CVV codes, passwords, or other information entered at checkout have been accessed.

What remains unclear, though, is what changed on 29 September to stop the code and how long the company has known about the attack.

‘Considerable concern’

BWX’s CEO, Rory Gration, commented

We apologise to our Flora & Fauna customers who will experience considerable concern due to this cyber incident. We take the privacy and security of customer data very seriously and we want to assure our customers that we acted promptly to identify, isolate and remove the malicious code on the Flora & Fauna website, as well as taking additional steps to upgrade security on the Flora & Fauna website. We have notified potentially affected customers of the breach, explained steps they can take to limit risk to their information and will ensure affected customers are provided with appropriate information and support.

Why is the BWX share price suspended?

The BWX share price has been out of action since August at the company’s request.

This is because it is taking BWX an alarming amount of time to prepare its audited accounts after identifying irregularities in its financial reports.

The company recently extended its suspension, explaining:

BWX advises that this timeline has been extended, with the release of audited accounts – including certain revenue recognition issues for FY21 and 1H FY22 and the likely impairment of intangible assets – expected in mid-November 2022. The Board considers it imperative that the audit and any adjustments are completed accurately, which necessitates additional time.

The post Another ASX All Ords company has just been hit with a cyberattack. Here’s the lowdown appeared first on The Motley Fool Australia.

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More reading

• CSR share price rockets higher on profit and dividend boost
• 5 big ASX announcements making news this week
• Magellan share price hits multi-year low following $2.4b horror month for outflows
• Block share price jumps 10% on Q3 beat
• Tesla sees a China slowdown, but this Nasdaq stock is faring much worse

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

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The CSR Limited (ASX: CSR) share price is soaring in early trade on Friday, up 4.8% at the time of writing having opened 8% higher.

Shares in the S&P/ASX 200 Index (ASX: XJO) building products producer closed yesterday trading for $4.53 and are currently trading for $4.75 apiece.

This comes following the release of the company’s half-year results for the six months ending 30 September.

Here are the highlights.

CSR share price takes off on 27% profit lift

ASX 200 investors are bidding up the CSR share price after the company reported a 27% year-on-year increase in net profit after tax (NPAT) of $110 million before significant items for the six-month period.

Trading revenue increased 14% from the prior corresponding half-year to $1.3 billion.

And earnings before interest and tax (EBIT) before significant items came in at $171 million, an increase of 29%. EBIT in the company’s building products and property segments were both higher year on year, while EBIT in its aluminium segment was slightly lower, impacted by higher raw material and input costs.

The CSR share price is also likely getting a boost from the company’s declaration of an interim dividend of 16.5 cents per share, fully franked. That’s up 22% from the interim dividend paid in the prior corresponding period.

CSR also reported it’s now purchased $22 million in shares in its $100 million on-market share buyback, announced on 30 June.

What did management say?

Commenting on the half-year results that look to be giving the CSR share price a boost today, CEO Julie Coates lauded the business’s strong performance in an inflationary environment.

Coates added:

Cost, supply chain and labour pressures are supporting adoption of CSR systems like Hebel lightweight aerated autoclaved concrete as faster build times and reduced labour requirements are becoming increasingly valuable to builders. Our upgraded Hebel manufacturing facility has significant capacity to deliver into this growing demand.

Investing in our property assets and our market leading development capability is a core part of our strategy. Future earnings will be supported by the independent valuation of CSR’s Property assets with development potential, which has increased in value on an “as is” basis to $1.5 billion.

What’s next?

For some insight as to where the CSR share price could be heading over the full year, the company said it “has entered the second half with good momentum”.

It pointed to strong demand for building products and underlined its ability to manage the current inflationary period across its product categories.

Without offering a specific guidance range, CSR stated it “expects to deliver a strong group result for YEM23”.

CSR share price snapshot

Despite today’s boost, the CSR share price remains down 21% for the calendar year. That compares to a year-to-date loss of 10% posted by the ASX 200.

The post CSR share price rockets higher on profit and dividend boost appeared first on The Motley Fool Australia.

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

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It’s been another big week of news on the ASX, with many of the market’s inhabitants releasing some major announcements.

Looking beyond the market, there’s also been plenty of news from central banks.

The Reserve Bank of Australia upped the benchmark interest rate by 0.25% on Tuesday, taking it to 2.85%. Then, on Thursday, the US Federal Reserve hiked rates another 0.75% – leaving the nation’s cash rate at 3.75% to 4%. Both hikes were in response to soaring inflation.

Inflation was also the talk of the town on the Aussie bourse this week after an S&P/ASX 200 Index (ASX: XJO) giant posted a quarterly update. Let’s get stuck into it.

5 ASX announcements making news this week

Woolworths’ earnings disappoint

The Woolworths Group Ltd (ASX: WOW) share price slumped yesterday when the supermarket operator posted its September quarter update, detailing a 1.8% increase in group sales.

Its BIG W and Australian business-to-business legs’ growth managed to offset a decline in sales at its Australian and New Zealand food businesses. Much of the drop was due to the cycling of COVID-19 lockdowns in the prior comparable period.

Woolworths CEO Brad Banducci also commented:

Inflation continued to accelerate in Q1 … We continue to see early signs of customer purchasing habits changing, but it remains unclear how much of this relates to cost-of-living pressures compared to COVID normalisation.

Another regulatory blow for EML

The share price of EML Payments Ltd (ASX: EML) also suffered this week, plummeting 35% on Monday. Its fall came after the former ASX 200 fintech announced it had agreed to pause the onboarding of new users to its United Kingdom subsidiary, Prepaid Financial Services, amid regulatory concerns.

The issues raised were said to be similar to the (still unresolved) concerns brought about by the Central Bank of Ireland in 2021. They related to the company’s compliance with anti-money laundering and counter-terrorism financing laws.

Nitro catches a winning takeover curveball

After months of courtship and two takeover bids, the Nitro Software Ltd (ASX: NTO) board has finally recommended a potential buyer’s offer. However, it wasn’t posed by the suitor previously chasing the company.

Canada’s Alludo’s $2 per share takeover offer was 11% higher than the $1.80 bid Potentia Capital offered on Friday. Potentia has been chasing Nitro since August when it posted its initial $1.58 bid.

Lithium drives IGO’s earnings higher

Good news for ASX lithium fans – IGO Ltd (ASX: IGO) announced its lithium business’ sales revenue more than doubled quarter-on-quarter to come in a $1.8 billion over the three months ended 30 September.

That helped the company report a 136% increase in after-tax profits, coming in at $253 million, and a 54% jump in underlying earnings before interest, tax, depreciation, and amortisation (EBITDA), reaching a record $398 million.

Tiny lithium mining share surges 81% amid exploration news

Finally, a win for the little guys. The share price of $110 million lithium explorer Winsome Resources Ltd (ASX: WR1) exploded this week. It has gained 80.8% since the close of trade on Friday, and is currently trading at 85 cents apiece.

The surge followed last week’s announcement of positive drilling results at two of the ASX company’s Canadian projects.

This week, it provided additional data on numerous drill holes and an investor presentation. The releases seemingly spurred the market’s interest in the stock once more.

But that wasn’t the end of the drama. The lithium share was halted following an ASX query on Wednesday.

It returned to trade this morning on an update pertaining to its previously released presentation. Additionally, the company responded to the ASX’s ‘please explain’, saying:

With this series of encouraging exploration results being made public, there appears to be a recognition that WR1’s market capitalisation is low when compared with many of its peers in the lithium exploration market.

The post 5 big ASX announcements making news this week appeared first on The Motley Fool Australia.

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• Goldman says Woolworths share price pullback provides ‘a value entry point to a quality player’
• 5 things to watch on the ASX 200 on Friday
• Why Bravura, Domino’s, Lendlease, and Woolworths shares are sinking
• Leading fund manager names the 3 ASX stocks that drove its returns higher in October
• 3 ASX 200 directors buying up their company shares this week

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 EML Payments. The Motley Fool Australia has positions in and has recommended EML Payments. The Motley Fool Australia has recommended Nitro Software Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Magellan Financial Group Ltd (ASX: MFG) share price is on course to end the week in the red.

In morning trade, the struggling fund manager’s shares are down 3% to a multi-year low of $9.52.

This latest decline means that the Magellan share price is now down 50% in 2022.

Why is the Magellan share price falling?

Investors have been hitting the sell button on Friday after the fund manager released its latest funds under management (FUM) update.

According to the release, Magellan continued the trend of bleeding funds during the month of October.

After reporting net outflows of $3.6 billion in September, Magellan followed this up with net outflows of $2.4 billion in October. This comprised net retail outflows of $0.4 billion and net institutional outflows of $2 billion.

However, with both the Australian dollar continuing to soften and global markets having a very strong month in October, the company’s FUM actually managed to increase a fraction during the month.

The release reveals that at the end of the period, Magellan’s FUM stood at $51.0 billion. This is up from $50.9 billion at the end of September.

Magellan’s $51.0 billion of FUM comprises retail FUM of $20.5 billion (up from $19.8 billion) and institutional FUM of $30.5 billion (down from $31.1 billion). It is also based on an AUD/USD exchange rate of 0.63945. The latter is down from 0.64295 a month earlier.

As a comparison, a year ago, Magellan’s FUM was $114.8 billion at an AUD/USD exchange rate of 0.7511. That’s a 55% decline in the company’s FUM before taking currency benefits into account. Oh, how the mighty have fallen!

The post Magellan share price hits multi-year low following $2.4b horror month for outflows appeared first on The Motley Fool Australia.

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• Could something big be going down at Magellan?
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• Magellan share price sinks again despite ‘$100 billion’ outlook
• 5 things to watch on the ASX 200 on Thursday

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 Block Inc (ASX: SQ2) share price is on course to end the week on a very positive note.

In morning trade, the payments company’s shares are up 10% to $96.33.

Why is the Block share price racing higher?

Investors have been bidding the Block share price higher this morning following the release of the company’s third quarter update.

For the three months ended 30 September, Block’s gross payment volume came in at US$54.4 billion, up from US$52.5 billion in the second quarter and from US$45.4 billion in the prior corresponding period.

This led to Block recording total net revenue of US$4.52 billion for the period, which was up 17% over the prior corresponding period and ahead of the consensus estimate of US$4.47 billion.

Excluding bitcoin and buy now pay later (BNPL) revenue, Block’s revenue was up 25% to US$2.54 billion. Bitcoin revenue came in at US$$1.76 billion and BNPL revenue was US$210 million for the quarter.

Growing even quicker was the company’s gross profit. Block reported a 38% increase in gross profit to US$1.57 billion. This was driven by a 51% lift in Cash App gross profit to US$774 million and a 29% increase in Square gross profit to US$783 million.

This ultimately led to Block reporting adjusted EBITDA of US$327 million and a net loss of US$15 million. These are big improvements on the EBITDA of US$187 million and net loss of US$208 million that were recorded in the second quarter.

On the very bottom line, Block’s third quarter adjusted earnings per share came in at US$0.42, well ahead of the US$0.23 consensus estimate. This helps explain why the Block share price is having such a strong morning despite another tech selloff on Wall Street last night.

Management commentary

Block’s management spoke briefly about a few highlights from the quarter. It commented:

In the third quarter of 2022, we generated gross profit of $1.57 billion, up 38% year over year. Cash App generated gross profit of $774 million, up 51% year over year, and Square generated gross profit of $783 million, up 29% year over year.

Cash App Card has significant momentum and has scaled to more than 35% of our monthly actives: In September, there were nearly 18 million Cash App Card actives, up more than 40% year over year with weekly and daily actives increasing at an even more rapid rate during the same period.

Our software point-of-sale solutions are purpose-built for specific verticals and have experienced strong growth: In the third quarter, Square for Restaurants, Square for Retail, and Square Appointments cumulatively grew gross profit more than 45% year over year.

The post Block share price jumps 10% on Q3 beat appeared first on The Motley Fool Australia.

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• How are ASX 200 tech shares faring after the overnight NASDAQ plunge?
• Why did the Block share price just tumble 7%?
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Investors have watched the Federal Reserve closely for signs of just how aggressive it will be in tightening its monetary policy to fight inflation. After initially seeing at least a glimmer of hope that the Fed might not move at breakneck speed with ongoing interest rate increases, the news conference that Fed Chair Jerome Powell gave put to rest any ideas of a near-term tempering of the central bank’s resolve. The Nasdaq Composite (NASDAQINDEX: ^IXIC) fell sharply after the announcement, falling more than 1% Thursday morning when regular trading opened.

Electric vehicle (EV) pioneer Tesla (NASDAQ: TSLA) has been a big detractor from the market’s performance over the past couple of months, finally succumbing to investor fears about the impact of a global economic downturn on the auto manufacturer. Yet while Tesla’s declines Thursday morning were relatively mild, Roku (NASDAQ: ROKU) delivered a financial report that investors found more troubling, and that sent its stock sharply lower in premarket trading.

Tesla reports on China

Shares of Tesla moved lower between 1% and 2% in premarket trading on Thursday morning, adding to a nearly 6% decline on Wednesday. The EV company reported monthly sales figures in the key Chinese market, and even though the numbers were impressive, they failed to live up to the lofty expectations that many shareholders have for Tesla.

The latest figures from the China Passenger Car Association showed that Tesla delivered just over 71,700 electric vehicles manufactured at its Chinese Gigafactory facility in Shanghai during October. That was a healthy number, but it was down by 14% from the more than 83,100 EVs that Tesla delivered in September, which set a record for the company.

Tesla investors also have to take into account some other trends that could affect its competitive stance in the world’s most populous nation. Despite the encouraging adoption of Tesla vehicles by Chinese consumers, the U.S. automaker still ranks far behind the EV delivery volume of China’s BYD, which came in at more than 217,500 cars. Moreover, with factors like China’s zero-COVID policy and a general economic slowdown taking shape, Tesla has had to resort to cutting its prices for its mass-market Model 3 and Model Y vehicles. That flies in the face of increases in costs that threaten Tesla’s bottom-line growth.

China is an essential market for Tesla to tap, even though it comes with considerable obstacles. Any further pressure in China could make it hard for the stock to recover from its recent declines.

Roku runs into the ad downturn

Shares of Roku fell much more sharply, dropping 15% early Thursday. The streaming TV specialist said its business could take a double hit for the rest of the year, making investors more nervous about its longer-term prospects.

Roku’s third-quarter financial report included numbers that indicated ongoing growth in some areas. Revenue was up 12% year over year to $761 million, with streaming hours climbing 21% to 21.9 billion. Roku reported 65.4 million active accounts at the end of September, up by 9 million accounts in the past 12 months. Average revenue per user posted a 10% jump to $44.25.

However, Roku noted that advertising spending on its platform grew at a slower rate than it had expected at the beginning of 2022, citing weakness across the industry. Moreover, with strains on consumer budgets, Roku sees sales of its hardware also coming under pressure. Investors were surprised to see Roku predicting a possible year-over-year sales drop in the fourth quarter.

Investors weren’t prepared for that much bad news, explaining the big share-price drop. Yet such moves have been par for the course this earnings season, as shareholders demand near-term profit potential and resiliency against deteriorating macroeconomic conditions. 

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Tesla sees a China slowdown, but this Nasdaq stock is faring much worse appeared first on The Motley Fool Australia.

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Dan Caplinger 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 Roku and Tesla. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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Some companies are ramping up their cybersecurity spending to make sure they don’t run into the same sorts of problems that Optus and Medibank Private Ltd (ASX: MPL) are currently facing. One of these is Flybuys, which could have an impact on Coles Group Ltd (ASX: COL) shares.

For readers that haven’t heard of it, Flybuys is reportedly Australia’s largest loyalty scheme, with eight million members. Considering how many people’s details it holds, Flybuys is putting a lot of work into cybersecurity.

Flybuys is jointly owned by Coles and Wesfarmers Ltd (ASX: WES).

Boost to the cyber defence budget

According to reporting by The Australian, the Flybuys 2022 financial accounts show that directors noted the company had “significantly increased investment in cyber security to help protect the company’s and members’ data”.

In 2022 the business spent $32.62 million on technology, up from $23.15 million in 2021. Those expenses include cybersecurity.

The newspaper reported that approximately 20% of all retail expenditure in Australia is represented within the Flybuys system, and it represents “a huge pool of personal and financial data that could prove a tasty target for cybercriminals”.

Flybuys CEO Anna Lee confirmed that spending on protecting customer data against hackers was growing. She said:

As one of Australia’s most trusted loyalty programs, protecting our member data remains a top priority at Flybuys. We continually review and improve our data collection and security infrastructure, and this additional investment is reflective of that commitment to our members.

As cyber security threats continue to evolve, so too does out investment in this space. It’s incumbent on us to not only provide the best experience possible for our members, but ensure that experience is backed by the core systems that will help protect our members.

How is Flybuys going?

Flybuys reportedly saw revenue increase by 28.4% to $391.9 million. This included $341.9 million of revenue from points paid to Flybuys from its retail partners.

It was noted by The Australian that the end of lockdowns and travel restrictions saw a rebound in consumer spending and other activities that generated more points than were redeemed.

What this means in the context of Coles shares

Flybuys isn’t designed to make a profit, but the loyalty business seemingly adds value for Coles and Wesfarmers, otherwise they wouldn’t keep running it.

Bunnings and Officeworks recently joined the program.

In Coles’ latest quarterly update, the business announced that its total sales had increased by another 1.3%, with supermarket sales increasing by 1.6%.

The company said it’s on track to deliver cumulative ‘smarter selling’ benefits of $1 billion by the end of FY23 under its four-year program.

Sales growth has continued into the second quarter of FY23, though it’s seeing higher costs relating to inflation.

The post Why Flybuys could cost Coles shares amid greater cyber concerns appeared first on The Motley Fool Australia.

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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 positions in and has recommended COLESGROUP DEF SET and Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Woolworths Group Ltd (ASX: WOW) share price was out of form on Thursday.

The retail giant’s shares ended the day 4% lower at $32.05.

This followed the release of a mixed first quarter update from Woolworths.

Is the Woolworths share price pullback a buying opportunity?

According to a note out of Goldman Sachs, its analysts believe the pullback has created a buying opportunity for investors.

This morning the broker has reiterated its conviction buy rating with a slightly trimmed price target of $41.70.

Based on the current Woolworths share price, this implies potential upside of 30% for investors over the next 12 months.

Goldman is also expecting a fully franked 3.2% dividend yield in FY 2023, sweetening the deal further for investors.

What did the broker say?

While Goldman was a little underwhelmed with Woolworths’ first quarter update, it saw enough to remain positive. It said:

WOW reported 1Q23 sales largely in-line on Group basis though both AU Foods and NZ Foods came in slightly below expectations whilst AU B2B and Big W outperformed. The key underperformance vs GSe was AU Foods SSS being -1.1% (vs +3.0% GSe) largely coming from higher than expected volume decline YoY due to elevated prior year comps during lock-downs, which resulted in 1Q23 e-Comm sales -10.8% YoY.

After taking everything into account, including management’s briefing, Goldman Sachs has trimmed its sales and earnings estimates for the near term. It explained:

On the back of this, we trim our FY23-25e sales by -1.3%-1.4% and NPAT by -5.3%-3.0% respectively. This is largely on a lower sales and EBIT outlook for NZ Food as well as s~2-3% lower AU Foods sales and EBIT on lower volumes in 1H23.

Overall, the broker believes investors should look beyond this update and focus on the quality of the company and its positive long term outlook. It concludes:

Despite a noisy and softer 1Q23, we remain confident that WOW is the superior operator within AU supermarkets with a clear growth pathway to deliver ~3% sales and ~9% NPAT FY22-25e CAGR. WOW is trading at 22.1x FY24E P/E vs our TP implied 27.8x and historical average of 23.2x, providing a value entry point to a quality player in our view. Reiterate Buy (on CL).

The post Goldman says Woolworths share price pullback provides ‘a value entry point to a quality player’ appeared first on The Motley Fool Australia.

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

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Thinking about buying S&P/ASX 200 Index (ASX: XJO) dividend shares next week? If you’ve got your eye on these four, you’d better be quick!

They’re about to trade ex-dividend, and once they do, new investors will have missed out on their upcoming payouts.

Stocks also often fall by the approximate value of their dividend as they pass their ex-dividend dates, as the upcoming payout can no longer be factored into its share price.

So, which ASX 200 shares will be trading ex-dividend next week? Keep reading to find out.

4 ASX 200 shares trading ex-dividend next week

Among the first shares off the ex-dividend rank is ASX 200 big four bank Australia and New Zealand Banking Group Ltd (ASX: ANZ).

The bank will be handing out its fully franked 74-cent final dividend to those holding its shares before Monday on 15 December.

Macquarie Group Ltd (ASX: MQG) shares will also trade ex-dividend on Monday.

The financial services giant is offering those that hold its shares at today’s close its $3 per share, fully franked, interim dividend. It will begin to hit investors’ accounts on 13 December.

Iron ore favourite Champion Iron Ltd (ASX: CIA) will also be trading ex-dividend on – you guessed it – Monday. The company revealed its interim last Thursday.

It’s unfranked and comes in at 10 Canadian cents. The official Australian dollar equivalent will come to light on 22 November. But, for now, the current exchange rate means 10 Canadian cents is equivalent to 12 Aussie cents. The dividend will be paid on 29 November.

Finally, breaking the pattern is ASX 200 healthcare share ResMed Inc (ASX: RMD). It won’t be trading ex-dividend until Wednesday.

Unlike the previous three dividends, ResMed’s has been derived from the company’s September quarter earnings. It’s worth 4.4 US cents. The official Australian dollar amount will be revealed on 11 November, but until then, 4.4 US cents is worth around 7 Aussie cents. ResMed will start to pay out the offering on 15 December.

The post 4 ASX 200 shares trading ex-dividend next week appeared first on The Motley Fool Australia.

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More reading

• Hoping to bank the latest ANZ dividend? Read this
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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 ResMed Inc. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended ResMed. The Motley Fool Australia has positions in and has recommended ResMed Inc. The Motley Fool Australia has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Aussie Broadband Ltd (ASX: ABB) share price has a lot of upside, according to one expert.

This business primarily provides broadband, voice over internet protocol (VOIP), and mobile services to residential customers. Its target is to be Australia’s fourth-largest provider of communications and technology services.

Aussie Broadband has also acquired Over The Wire, which has a lot of capabilities across data, voice, cloud, and managed services. Over The Wire is focused on business, enterprise and government, and wholesale segments.

By combining these two businesses, it can be an integrated full-service provider across the “full suite” of solutions to residential, business, enterprise and government, and wholesale customers. It will also have full ownership of tier 1 voice and data networks in Australia, interconnection to all 121 NBN points of interconnection and a cloud infrastructure platform.

With all of the volatility that’s going on, I think it’s a good idea to look at how the company is actually performing, not just what the share price is doing.

FY23 first-quarter update

The ASX telco share announced that in the FY23 first quarter, it had reached 610,098 broadband services, up 4.3% from 30 June 2022.

In the quarter, it generated $184.4 million of revenue, which was an increase of 4.6% from the fourth quarter of FY22.

It said that Aussie Broadband’s residential and business segment delivered consistent net additions despite strong price-based competition without the need for heavy promotion use, reducing its customer acquisition costs and long-term churn risk.

The mobile division grew “strongly” thanks to a new marketing strategy and change to plans. There were 4,953 net mobile additions during the quarter.

Wholesale and white-label additions were lower because of white-label customer internal platform change., Management is expecting white-label additions to improve in the second quarter of FY23.

In terms of its NBN market share, it had reached 6.73% at September 2022, up 27 basis points from 30 June 2022. Since December, Aussie Broadband has reportedly taken more net additions than the rest of the industry combined.

Guidance for FY23

Aussie Broadband noted that based on current market conditions, the operating plan, and year-to-date trading, it’s expecting revenue of between $800 million and $840 million.

It’s planning growth in higher margin business, enterprise and government customers, and the full-year benefit of Over The Wire. This should deliver an underlying earnings before interest, tax, depreciation and amortisation (EBITDA) margin, excluding integration costs, of between 10% and 10.5%, up from 7.2% in FY22.

Aussie Broadband share price target

One of the brokers that likes the ASX telco share is Ord Minnett, with a price target of $3.61. That implies a possible rise of more than 40% from Thursday’s closing price of $2.52.

The broker likes the expected increasing profitability of the business and thinks Over The Wire can help it become bigger.

Based on the estimated earnings for FY24, Ord Minnett thinks the business is priced at 13x FY24’s projected profit.

The post The Aussie Broadband share price offers 40% upside: expert appeared first on The Motley Fool Australia.

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More reading

• 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?
• Aussie Broadband share price is ‘quite cheap for what it is’: expert

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 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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