The Nearmap Ltd (ASX: NEA) share price is on watch this morning after the company released its full-year results for FY22.

Shares in the aerial imaging company finished 2.1% higher yesterday, lifting the share price to $1.925.

Nearmap share price primed amid strong growth

• Statutory revenue up 29% year on year to $145.9 million
• Annual contract value (ACV) up 31% to $167.6 million
• Subscription revenue incorporating premium content increased to 73% of the portfolio
• Gross profit up 37% to $111 million
• Net loss widened from $18.8 million to $30.8 million
• Cash balance of $93.7 million at the end of June 2022

Nearmap’s North American operations contributed the lion’s share of ACV portfolio growth during the period. According to the earnings results, North American ACV experienced a significant 45% growth, reaching US$64.3 million.

The company also delivered growth in the Australian and New Zealand (ANZ) region. For the full year, ACV climbed a more modest 8% to $74.3 million. However, Nearmap’s ANZ division touted wider gross margins than North America at 91% compared to 56%.

What else happened in FY22?

The most notable news event for the Nearmap share price during FY22 is probably the most recent. Only two days ago, shareholders were treated to a takeover bid from Thoma Bravo L.P.

Most excitingly, the offer price of $2.10 represents a substantial premium to what Nearmap shares have been trading for. At this stage, the company believes the offer to be credible enough the grant non-exclusive due diligence to Thoma Bravo.

What did management say?

Nearmap CEO and managing director Dr Rob Newman commented on the results, stating:

Nearmap has produced another strong set of results, validating the razor-sharp focus we have on our strategy. Our team continues to successfully execute to this strategy, delivering consistently strong growth from our core industry verticals.

We have now clearly established our market leadership position in the North American market and continue to extend our market leadership position in Australia & New Zealand.

Furthermore, Newman reiterated that the ongoing legal matters in the US have no operational impact, saying:

We’ve delivered these results with a disciplined approach to cash management, ending FY22 in a strong position with $94 million of cash on the balance sheet and no debt. Excluding the impact of the litigation expense related to the US District Court, which I would reiterate continues to have no operational impact on our business, we consumed less than $20m of cash in FY22, lower than initial guidance of $30m.

What’s next?

Management refrained from providing any specific guidance for the next financial year. Although, Newman did note that the Nearmap remains on track to generate positive free cash flow by FY24.

Operationally, the company plans to produce and deliver five HyperCamera3 systems during the first half of FY23.

Nearmap share price snapshot

The Nearmap share price had been in the red for much of this calendar year. However, thanks to the recent takeover bid, shares in the aerial imaging company are now up 25% year-to-date.

For comparison, the S&P/ASX 200 Index (ASX: XJO) is down 6.4% over the same window of time.

The post Nearmap share price on watch as revenue leaps 29% appeared first on The Motley Fool Australia.

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More reading

• Why BlueScope, Carsales, Core Lithium, and Nearmap shares are racing higher
• Nearmap share price jumps 30% on takeover news
• Leading brokers name 3 ASX shares to buy today
• Why is the Nearmap share price gliding 9% higher today?

Motley Fool contributor Mitchell Lawler 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 Nearmap Ltd. The Motley Fool Australia has positions in and has recommended Nearmap Ltd. 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 CSL Limited (ASX: CSL) share price will be one to watch today.

This comes after the global biotherapeutics company released its highly anticipated full-year results.

CSL share price on watch after delivering a mixed performance

This morning, CSL delivered its FY22 results for the 12 months ending 30 June 2022. Here are some of the key takeaways.

• Total revenue up 3% in constant currency to US$10,668 million
• Gross profit down 1% to US$5,786 million
• Net profit after tax (NPAT) down 6% to US$2,236 million
• Full-year dividend of US$2.22 per share, flat year on year
• FY23 guidance: NPAT to grow between 7.6% to 11.8% in constant currency on FY22 NPAT

What happened in FY22?

CSL advised that its FY22 performance was in line with expectations despite a difficult global environment.

Under the CSL Behring portfolio, immunoglobulin and albumin sales were limited by COVID-constrained plasma collections in FY21. However, this didn’t stop CSL Behring achieving sales of US$8,598 million, up 2%.

CSL’s Seqirus business experienced a strong surge in seasonal influenza vaccines, up 16%. A record volume of around 135 million doses was distributed around the world. As a whole, Seqirus revenue jumped to US$1,964 million, up 13% from the prior corresponding period.

The company also updated investors its plasma collection issues.

CSL noted that volume has now exceeded pre-pandemic levels following operating and marketing initiatives that were previously undertaken.

The company opened 27 new centres to attract lapsed and new donors through its doors in FY22.

Furthermore, CSL carefully managed costs and significantly boosted its investment in research and development to US$1,156 million, up 17%.

Management commentary

CSL’s CEO and managing director, Paul Perreault, said:

CSL has delivered a good result at the top end of our guidance, demonstrating our resilient performance against the ongoing challenges presented by the global COVID pandemic.

Despite the uncertain environment, we have carefully managed our costs and significantly boosted our investment in Research and Development, supporting our commitment to providing innovative medicine to patients.

Perreault went on to add:

During FY22, we announced the agreement to acquire Vifor Pharma and we are excited that this acquisition recently closed on 9 August 2022. CSL Vifor adds a high-value and complementary portfolio of products and market leading positions in renal disease and diseases of iron deficiency to CSL.

I remain confident in the value CSL Vifor will bring to CSL shareholders, adding to the sustainability of CSL’s growth.

What’s the outlook for FY23?

One thing that could boost the CSL share price today is its guidance for FY23.

Management is forecasting a strong mid-term outlook as COVID recedes. It also highlighted a promising cluster of R&D programs that are nearing completion.

Perreault commented: 

We have continued to invest in all facets of our business and I am very encouraged by the improved momentum we are seeing in our core immunoglobulin franchise.

The strong growth we have seen in plasma collections is anticipated to continue as COVID recedes and underpin strong future sales growth in our core plasma therapies. The current higher cost of plasma is also expected to prevail into FY23.

We anticipate our influenza business, CSL Seqirus, to deliver another strong year driven by demand for its differentiated products.

CSL’s net profit after tax for FY23 is anticipated to be approximately $2.4 billion to $2.5 billion at constant currency, returning to strong sustainable growth. This excludes CSL Vifor earnings and costs associated with the acquisition.

CSL share price snapshot

Since the beginning of 2022, the CSL share price has moved in circles to post a small gain of 2%.

For context, the benchmark S&P/ASX 200 Index (ASX: XJO) has lost around 4.5% over the same timeframe.

CSL is the ASX’s largest healthcare company and presides a market capitalisation of approximately $142.78 billion.

The post CSL share price on watch following FY22 results appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Wednesday
• Looking to buy CSL shares? Here’s what to watch when the biotech company reports this week
• Here are 3 ASX blue-chip shares reporting this week
• Goldman Sachs gives its verdict on the CSL share price
• CSL share price climbs as $16 billion Vifor acquisition becomes effective

Motley Fool contributor Aaron Teboneras 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 CSL Ltd. 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 Santos Ltd (ASX: STO) share price will be one to watch on Wednesday.

This follows the release of the energy producer’s half year results for FY 2022.

Santos share price on watch amid huge profit growth

• Revenue up 85% to US$3,766 million
• EBITDAX up 12% to US$2,731 million
• Underlying net profit after tax up 300% to US$1,267 million
• Free cash flow tripled to US$1,708 million
• Interim dividend up 38% to 7.6 US cents

What happened during the first half?

For the six months ended 30 June, Santos delivered an 85% increase in revenue to US$3,766 million and a massive 300% jump in its underlying net profit after tax to US$1,267 million.

This was driven by record production, a big increase in the price of oil and LNG, and the merger with Oil Search.

Speaking of its merger, management advised that its annual merger integration synergies target has now increased to US$110 million to US$125 million.

Another positive was Santos’ free cash flow generation. It reported the tripling of its free cash flow to a record US$1,708 million for the six months.

In light of its strong free cash flow generation, the Santos board declared an interim dividend of 7.6 US cents. This is up 38% compared to the same period last year.

Combined with its previously announced US$350 million on-market share buyback, this means Santos will be returning a total of US$605 million of 18 US cents per share to shareholders.

How does this compare to expectations?

As strong as this result was, it appears to have come in a touch short of expectations.

For example, according to a note out of Citi, its analysts were expecting a net profit after tax of US$1,333 million.

This could potentially weigh on the Santos share price today. Particularly given that energy shares were already likely to come under pressure after a pullback in oil prices overnight.

Management commentary

Santos’ managing director and chief executive officer, Kevin Gallagher, was pleased with the half. He said:

Demand for our products has remained strong in both Australia and internationally, due to increased demand and shortages of supply from producing nations due global underinvestment in new supply.

We are seeing these issues play out in the significant shift in global energy policy towards energy security as a key priority. Our critical fuels not only play a key role in the energy security of Australia and Asia, but they also provide affordable and reliable alternatives to switch from higher emitting fuels.

Today’s results demonstrate the strength of Santos, with strong diversified cashflows and capacity to provide sustainable shareholder returns, fund new developments and the transition to a lower carbon future.

Outlook

Looking ahead, management continues to target production of 102-107 mmboe and costs of US$7.90 to US$8.30 per barrel of oil equivalents for FY 2022. It also held firm with its sustaining capex at ~US$1,100 million.

It has, however, reduced its 2022 major capex guidance to ~US$1,400 to US$1,500 million, including Pikka Phase 1 final investment decision.

The post Santos share price on watch after 300% first half profit growth appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Wednesday
• 5 things to watch on the ASX 200 on Tuesday
• What’s impacting the Santos share price today?
• Is the Santos share price a buy following the energy giant’s latest acquisition?
• 5 things to watch on the ASX 200 on Monday

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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Are you interested in adding some more ASX shares to your portfolio this week?

Two ASX growth shares that could be worth considering are listed below. Both have been named as buys by the team Bell Potter. Here’s what you need to know about them:

Altium Limited (ASX: ALU)

The first ASX growth share to look at is Altium. It is a global printed circuit board (PCB) design software provider. Thanks to Altium’s leadership position in a market growing strongly, management has set itself some major growth targets for the coming years.

This includes dominating its industry and growing its revenue to US$500 million by 2026. This will be a big increase from the revenue of US$213 million to US$217 million that it is guiding to in FY 2022.

Bell Potter appears confident the company will achieve its goals. As such, it has put a buy rating and $34.00 price target on its shares.

TechnologyOne Ltd (ASX: TNE)

Another ASX growth share for investors to look at is enterprise software provider TechnologyOne.

It provides its high quality and sticky software to customers in the government, local government, financial services, health & community services, education, and utilities and managed services markets.

TechnologyOne is currently transitioning to become a software-as-a-service (SaaS) focused business with recurring and higher margin revenue. Pleasingly, the transition is going well and management is confident that it will continue to be the case. As a result, it is aiming to almost double its annual recurring revenue (ARR) to $500 million by FY 2026.

The team at Bell Potter are also very positive on Technology One. The broker currently has a buy rating and $14.25 price target on its shares.

The post Broker names 2 ASX growth shares to buy this week appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Better ASX tech buy: Xero or Altium?
• Experts name 2 ASX 200 shares to buy next week
• Here are 2 excellent ASX tech shares a top broker says are buys
• 2 stellar ASX 200 shares that brokers rate as buys

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 Altium. The Motley Fool Australia has recommended TechnologyOne 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 Corporate Travel Management Ltd (ASX: CTD) share price is in focus this morning following the release of the company’s financial year 2022 earnings.

The corporate travel specialist’s stock closed yesterday’s session at $21.46.

Corporate Travel Management share price on watch

Here are the key takeaways from the S&P/ASX 200 Index (ASX: XJO) travel company’s year ended 30 June:

• Total revenue came to $388.7 million – 94% higher than that of the prior corresponding period (pcp)
• Underlying earnings before interest, tax, depreciation, and amortisation (EBITDA) of $59.8 million – up from a $7.2 million loss
• Net profit after tax (NPAT) came to $3.1 million – up from a $55.4 million loss
• Underlying NPAT reached $17.5 million, coming to fruition in the final quarter
• Total transaction value (TTV) reached $5.1 billion – a 215% improvement
• Revealed a 5 cent per share unfranked dividend – its first post-pandemic payout

Corporate Travel Management reported a profit, albeit a slight one, for financial year 2022.

Indeed, it’s been profitable at an EBITDA level since early 2021. But it was the June quarter that really lifted its bottom line.

The company posted an underlying NPAT of $20.5 million for the quarter ended 30 June. It also boasted $1.8 billion of TTV, $141 million of revenue, and $35.7 million of underlying EBITDA in the final quarter.

It ended financial year 2022 with no debt, $127 million of cash, and strong operating cash flows. It also intends to pay out 50% of NPAT in dividends going forward.

What else happened in FY22?

The major news from Corporate Travel Management in financial year 2022 was of its acquisition of Helloworld Travel Ltd (ASX: HLO)’s corporate and entertainment travel businesses.

The ASX 200 company underwent a $100 million capital raise to fund the purchase. Under the raise, Corporate Travel Management offered new shares priced at $21 apiece.

It also battled border closures brought about by the spread of COVID-19 variants last financial year.

What did management say?

Corporate Travel Management managing director Jamie Pherous commented on the company’s earnings, saying:

Following the removal of most border and travel restrictions globally, the fourth quarter momentum makes us optimistic for the future, and we are pleased that the business has successfully translated that momentum into earnings.

Corporate Travel Management is a different business than it was prior to the COVID-19 pandemic. We are larger, more diverse, and more relevant to our market globally. This gives us an exciting platform from which to continue our organic growth trajectory in financial year 2023 and beyond.

What’s next?

Corporate Travel Management expects to fully recover from the pandemic in financial year 2024, in line with International Air Transport Association forecasts.

That could see it posting $810 million revenue and $265 million of underlying EBITDA, based on pro forma figures.

However, such a recovery isn’t likely to be linear in financial year 2023 due to capacity constraints and travel restrictions in Greater China, both of which are expected to be resolved this fiscal year.

Finally, it noted forward bookings for September are strong in North America and Europe. Meanwhile, TTV is already at pre-pandemic levels in Australia and New Zealand. Finally, a reduction in Hong Kong’s quarantine period from seven to three days brought an increase in activity earlier this month.

Corporate Travel Management share price snapshot

The Corporate Travel Management share price has been performing in line with the broader market in 2022.

It’s dumped 7% year to date, as has the ASX 200.

Though, the stock is trading 1% higher than it was this time last year, while the index has slipped 5% over the last 12 months.

The post Corporate Travel Management share price in focus as dividends return appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
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• Top brokers name 3 ASX shares to buy today
• Here are the top 10 ASX 200 shares today
• Why are Flight Centre, Webjet, and other ASX travel shares sinking 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 Helloworld Limited. The Motley Fool Australia has positions in and has recommended Helloworld Limited. The Motley Fool Australia has recommended Corporate Travel Management 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 Flight Centre Travel Group Ltd (ASX: FLT) share price will be one to watch next week.

On August 25, the travel agent giant will release its full year results for FY 2022.

Ahead of the release, let’s take a look to see what the market is expecting from the travel agent.

What is expected from Flight Centre in FY 2022?

According to a recent trading update, for the 12 months ended June 30, Flight Centre is expecting to post another large EBITDA loss of between $180 million and $190 million.

However, this will be a big improvement on its underlying EBITDA loss of $337.9 million from FY 2021.

This improvement was driven by a much stronger performance in the second half, with the company expecting to be breakeven on an underlying EBITDA basis for the six months to June 30.

What are analysts saying?

According to a note out of Goldman Sachs, the broker is expecting Flight Centre to deliver a result in the middle of its guidance range. It also expects the company’s cost outlook to be better than the market is forecasting.

It commented:

We expect FLT to report FY22 EBITDA loss at A$185.1mn, vs. guidance of A$180-190mn loss. We expect FY22 TTV to be at c. 43% of FY19 levels with EMEA and Americas leading recovery. In terms of activity type, we expect corporate travel to benefit from new account wins and strength in SME recovery.

We expect FLT to report revenue of c. A$1.1bn, c. 13% ahead of Visible Alpha Consensus Data. However, our operating cost outlook remains ahead of consensus outlook, and this remains the key focus area for us into FY22 results. Secondly, progress in corporate contract wins will be crucial to the longer term growth outlook for FLT. We expect corporate TTV to represent c. 53% of group TTV at full recovery in FY24 vs. 38% on a pre-COVID basis.

Is the Flight Centre share price good value?

Goldman is sitting on the fence with its rating on the Flight Centre share price. It currently has a neutral rating on its shares.

However, with a price target of $20.90, Goldman sees potential upside of 16% for investors over the next 12 months.

The post Own Flight Centre shares? Here’s what to expect from its FY22 results appeared first on The Motley Fool Australia.

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More reading

• These are the 10 most shorted ASX shares
• Do experts think the Flight Centre share price is ready for imminent takeoff?
• Better ASX travel buy: Flight Centre or Webjet?
• Are we flying first class with Flight Centre shares?
• These are the 10 most shorted ASX shares

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 Flight Centre Travel 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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If you’re looking for ASX 200 shares to buy, then you may want to check out the two listed below.

Both have recently been named as buys by brokers. Here’s why they are bullish on them:

BHP Group Ltd (ASX: BHP)

The first ASX 200 share to look at is mining giant BHP. It released its full year results this week and impressed the market with its record operating profits and free cash flow. This allowed the company to reward its shareholders with a bumper US$3.25 per share fully franked dividend in FY 2022.

The team at Morgans were impressed with BHP’s performance. In response to the result, the broker has retained its add rating and $48.40 price target on the Big Australian’s shares.

Morgans commented:

A strong result from BHP, with earnings slightly ahead of expectations while positively surprising on both dividend and free cash flow (FCF) generation. […] Our long-term preference for BHP over RIO continues to pay dividends (literally), with BHP asserting itself as the better miner and with the stronger growth profile.

Westpac Banking Corp (ASX: WBC)

Another ASX 200 share that is rated as a buy is big four bank Westpac.

Australia’s oldest bank is Goldman Sachs’ top pick in the sector at the moment. The broker believes Westpac provides the best exposure to rising rates and feels that its shares offer the most upside potential.

Goldman currently has a conviction buy rating and $26.55 price target on the banking giant’s shares.

It commented:

We continue to see WBC as our preferred exposure to the A&NZ Financials reflecting: i) its strong leverage to rising rates, ii) while we think its A$8 bn FY24 cost target will now be unachievable, we still forecast a 7% reduction in underlying expenses, iii) its recent market update highlighted that the business is still investing effectively in its franchise, and iv) our 12-mo TP implies a 23% TSR, and we note the stock is trading at a 20% discount to peers, versus the historic average discount of 2%.

The post Brokers say BHP and this ASX 200 share are buys appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Why has the Panoramic Resources share price surged 40% in a month?
• Why BHP, Life360, Tassal, and Temple & Webster shares are charging higher
• The BHP share price now trades on a fully franked dividend yield of 11%
• Everything you need to know about the latest BHP dividend

Motley Fool contributor James Mickleboro has positions in Westpac Banking Corporation. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Westpac Banking Corporation. 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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Are you in the process of building an income portfolio but don’t feel like you have sufficient funds to maintain a truly diverse portfolio? Then exchange traded funds (ETFs) could be a great option for you.

There are a number of ETFs that have been set up to give investors exposure to a collection of dividend shares through a single investment. Two that could be worth considering are listed below:

Vanguard Australian Shares High Yield ETF (ASX: VHY)

The first ETF for income investors to consider is the Vanguard Australian Shares High Yield ETF.

This ETF provides investors with low-cost exposure to companies that have higher than average forecast dividends. This is done with diversification in mind, with the fund restricting the proportion invested in any one industry to 40% of the total ETF and 10% for any one company.

Among the companies included in the fund are the big four banks and mining companies such as BHP Group Ltd (ASX: BHP) and Fortescue Metals Group Limited (ASX: FMG).

The Vanguard Australian Shares High Yield ETF currently trades with an estimated forward dividend yield of 5.9%.

BetaShares S&P 500 Yield Maximiser (ASX: UMAX)

Another ETF for income investors to look at this week is the BetaShares S&P 500 Yield Maximiser.

BetaShares notes that this ETF aims to generate attractive quarterly income and reduce the volatility of portfolio returns by implementing an equity income investment strategy over a portfolio of shares comprising the S&P 500 Index.

This index is home to 500 of the largest companies listed on Wall Street. Among the companies you’ll be investing in are the likes of Apple, Johnson & Johnson, Microsoft, and United Health.

At the last count, the BetaShares S&P 500 Yield Maximiser’s units were providing investors with a 6.2% distribution yield.

The post 2 excellent ASX ETFs to buy for dividends 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 positions in and has recommended BetaShares S&P500 Yield Maximiser. 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 Goodman Group (ASX: GMG) share price dropped on Tuesday after the market gave a lukewarm response to the company’s full year results for FY 2022.

The integrated industrial property company’s shares ended the day 0.5% lower at $20.55.

Is the Goodman share price good value now?

While the market didn’t respond overly positively to Goodman’s results, the team at Goldman Sachs was pleased. So much so, this morning the broker has reiterated its bullish view on the company’s shares.

According to the note, Goldman has retained its buy rating and $25.40 price target on its shares.

Based on the current Goodman share price of $20.55, this implies potential upside of approximately 24% for investors over the next 12 months.

What did the broker say?

Goldman was pleased with Goodman’s performance and believes it is well-placed to deliver further strong growth in FY 2023.

It commented:

GMG continues to demonstrate its strong platform and positioning as evident in today’s result, supported by our expectation of a strong outlook for the Industrial sector more broadly, with a number of favourable fundamentals underpinning future long-term demand for industrial space. We expect solid rental growth as demand for high quality logistics space continues to outpace available supply.

The broker also believes that management’s operating earnings growth guidance of 11% for FY 2023 could prove to be conservative. Particularly given management’s tendency to guide lightly to begin with and upgrade its guidance as the year progresses.

It explained:

Although the macro environment remains challenged, we believe there is upside risk to its conservative guidance as the Group has historically “Guided light”, coming in ahead of initial estimates. Given GMG’s preference to own, develop and manage high-quality industrial assets in key infill markets globally, we believe it is well-positioned to capture market rental growth, which when coupled with elevated investment demand for industrial assets will assist in contributing to AUM growth over time.

Goldman is expecting Goodman to deliver operating earnings per share growth of 16.7% in FY 2023.

All in all, the broker feels this and its positive long term outlook makes the Goodman share price good value at the current level.

The post Goldman Sachs tips huge returns for the Goodman share price 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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It’s not often investors come across an ASX share that the analyst community doesn’t have an opinion on.

So when you find a gem that no one else seems to have noticed, you run with it.

This is the situation Collins Street Asset Management chief investment officer Vasilios Piperoglou finds himself in.

“Astron Pty Ltd (ASX: ATR) is an interesting explorer and hopefully about to be producer,” he told a Reach Markets video.

“It’s interesting in so much as… it is clearly under the radar. Because no broker follows them yet.”

‘Tier-one asset in a tier-one jurisdiction’

Astron is a resources company that seeks to produce zircon and titanium from mineral sands mining activities.

The current focus is the Donald Mineral Sands Project in Victoria, which Piperoglou has high hopes for.

“They have a very large, I believe one of the world’s largest, undeveloped zirconium and rare earth projects.

“It has a potential 50-year mine life. You could argue it’s a tier-one asset in a tier-one jurisdiction.”

He added that Astron has all its approvals in place, except for the final mine site permit, which he expects early in the new year.

The company bought $18 million of water rights for the site a couple of years back, which have since doubled in value, according to Piperoglou.

“It’s ticked all the boxes, and they will be releasing their final DFS [definitive feasibility study] early next year.”

Who knows what it will be worth in the future

Collins Street Asset Management gained exposure to Astron after recently issuing it with convertible notes.

Regardless of this or buying shares directly, Piperoglou reckons investors are in for a good time.

“The brokers have not cottoned onto the company… With these types of companies, it’s very hard to put a valuation.”

But how much upside does the Collins Street team think Astron shares have?

“What do we think Astron is worth on a per-share basis? I actually don’t know,” said Piperoglou.

“We haven’t done a precisely specific NPV [net present value] ourselves. The reason being, we think it’s at multiples to what it currently is.”

The Astron share price has climbed 18.75% so far this year. 

The Hong Kong company is listed as a CHESS depositary interest, which means one ASX stock represents one actual share.

The post ‘Clearly under the radar’: Expert reveals hidden gem ASX share he’s holding appeared first on The Motley Fool Australia.

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

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