Stock Pick – Page 3066 – Curated Stock Market News

The Fortescue dividend is hitting bank accounts today. Here’s the latest
If you own Fortescue Metals Group Limited (ASX: FMG) shares, you might want to check your bank account today.

The day has come for the ASX 200 iron ore miner to pay out its second-biggest final dividend in the company’s history.

A fully franked dividend of $1.21 per share will be landing in your account if you scooped up Fortescue shares before the ex-dividend date.

At Wednesday’s market close, the mining giant’s shares finished 2.14% lower to $16.46.

Let’s take a look below at the details regarding the Fortescue dividend.

The Fortescue dividend is on its way!

The Fortescue share price has tumbled in recent times following a retreat in iron ore prices.

This also led the company to report mixed numbers across key metrics in its full-year results for 2022.

Revenue fell 22% year-on-year (YoY) to US$17,390 million despite achieving record shipments of 189 million tonnes.

The latter exceeds the top end of the guidance.

On the bottom line, Fortescue booked a net profit after tax (NPAT) of US$6,197 million, which represented a 40% decline.

Subsequently, the board made the decision to reduce its final dividend by 43% when compared to the record $2.11 paid out in H2 FY 2021.

This took the full-year dividend to $2.07 per share, representing a 42% cut on the prior corresponding year.

Based on yesterday’s closing price of $16.46, Fortescue has a trailing dividend yield of 12.58%.

Fortescue share price snapshot

Iron ore prices have suffered setbacks this year due to unfavourable external factors such as China’s property crisis.

This has caused significant headwinds for Fortescue.

The company’s shares are down 14% in 2022 and could go further if iron ore prices continue to fall.

Fortescue is the ASX’s second biggest iron ore producer with a market capitalisation of approximately $50.68 billion.

BHP Group Ltd (ASX: BHP) is in first place and takes the mantle for the most valued ASX company at a whopping $188.57 billion.

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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 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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29 September 2022
Why the Apple share price slumped today
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.

What happened

Shares of Apple (NASDAQ: AAPL) tumbled today after a Bloomberg report said that the company is walking back plans to boost iPhone production.

This news worried Apple shareholders, sending the tech stock down by 1.27% as of market close.

So what

Apple had originally told its suppliers to prepare for increased production as it anticipated higher demand for its latest iPhone 14 models. But some of that demand for Apple’s entry-level iPhone 14 models never materialized, according to sources speaking to Bloomberg.

Now, Apple is expected to cut back on its production by about 6 million phones. That would put the company’s production of its latest models at about 90 million units in the second half of this year, which is about the same number of new iPhones it produced over the same period last year.

The pullback in iPhone production is apparently the result of higher-than-expected demand for the iPhone 14 Pro/Max models and lower-than-expected demand for Apple’s entry-level iPhone 14 models.

Now what

While Apple investors are reacting strongly to this news today, they should also keep in mind that in early August, a separate Bloomberg article said that Apple was asking its suppliers to produce 90 million units of its new models. So while the company was recently anticipating a surge of demand that didn’t happen, it doesn’t change what the company had originally expected a little more than a month ago.

Apple shareholders may be extra cautious about this news as the Federal Reserve continues to hike interest rates at an aggressive pace and investors worry that the Fed’s move could end up tipping the economy into a recession.

But long-term investors should keep in mind that a temporary pullback in iPhone production isn’t a good reason to dump Apple’s stock.

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

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Chris Neiger has positions in Apple. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Apple. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool Australia has recommended Apple. 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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29 September 2022
The Newcrest dividend is being paid today. Here’s the lowdown
The Newcrest Mining Ltd (ASX: NCM) share price is having a rough week — down 4% so far at yesterday’s closing bell.

In fact, Newcrest shares hit a six-year low on Tuesday — that’s painful.

In happier news though, Newcrest shareholders will be receiving their dividends today.

The gold miner is paying 20 US cents per share in its final dividend for FY22. In Aussie currency, it’s going to be just over 29.16 AU cents. The dividend comes with 100% franking, too. Handy.

When share prices fall, dividend yields rise

Here’s some food for thought.

In FY22, Newcrest paid a total of 39.5 cents per share in dividends. With the share price as low as it is today, that automatically ups the Newcrest dividend yield significantly.

Based on yesterday’s closing price of $16.07, the yield is 2.46%. Throw franking credits on top and the grossed-up yield is 3.52%.

Why is the Newcrest share price tanking?

Odd, isn’t it? As my colleague Tristan points out, inflation is high right now and gold is typically considered a reliable store of value in volatile markets.

It sits in that defensive class of ASX shares, and investors generally think of gold as a good inflation hedge.

The problem is, Newcrest is feeling the impacts of inflation itself. Not to mention Australia’s rock bottom unemployment rate, which is translating into difficulty finding skilled staff.

When the company delivered its FY22 results, it stated:

Continued pressure on capital costs is expected due to competition for labour from infrastructure projects together with the acute inflationary pressures experienced globally across a range of input costs such as energy and steel, which has been factored into the FY23 guidance.

Newcrest uses multiple levers to manage operating and capital cost pressures in the current inflationary environment and continues to evaluate cost estimates as it progresses its feasibility studies.

Other gold miners aren’t doing well either, in terms of their share prices, in 2022. Let’s compare.

Newcrest shares are down 34% in the year to date. Fellow ASX gold mining stocks Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) are also down 54% and 24%, respectively.

What do the experts think?

Elio D’Amato from Spotee Connect isn’t impressed with Newcrest’s guidance for FY23. He told The Bull this week that he rates the business a sell.

D’Amato explained:

The US dollar is expected to remain stronger for longer, so the gold bulls may have to wait for eagerly anticipated inflation trades.

Gold production guidance of between 2,100,000 ounces and 2,400,000 ounces in fiscal year 2023 is weaker than we expected. All in sustaining costs of between US$930 an ounce and $US1,070 an ounce is higher than we anticipated. Other stocks appeal more at this time.

The post The Newcrest dividend is being paid today. Here’s the lowdown appeared first on The Motley Fool Australia.

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Motley Fool contributor Bronwyn Allen 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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29 September 2022
Premier Investments share price jumps 7% on record FY22 profits and special dividend
The Premier Investments Limited (ASX: PMV) share price is storming higher on Thursday following the release the retailer’s full year results.

At the time of writing, the retailer’s shares are up 7.5% to $22.25.

Premier Investments share price higher on record profits
- Revenue up 3.9% to $1,497.5 million
- Online sales grew 14.3% to $340.1 million
- Earnings before interest and tax (EBIT) up 2.8% to $969.8 million
- Net profit after tax up 4.9% to $285.2 million
- Fully franked final dividend of 54 cents per share
- Special dividend of 25 cents per share
What happened in FY 2022?

For the 12 months ended 30 July, Premier reported a 5.2% increase in global sales to $1,497.5 million. This was despite the company’s stores being closed for 42,675 trading days during the first half.

Premier’s sales growth was driven partly by strong performances from its key Peter Alexander and Smiggle businesses. Peter Alexander sales were up 11.4% to $428.5 million and Smiggle sales rebounded with a 24.6% increase to $261.2 million.

This was supported by strong online sales growth of 14.3% to $340.1 million. Premier’s online sales are now up fivefold since FY 2017 and represent almost 23% of total sales.

Thanks to EBIT margin expansion of 100 basis points to 22.4%, Premier’s EBIT grew 10.1% to $335 million excluding significant and one-off items. Including these items, EBIT rose 2.8% year over year.

Another positive is that management revealed that it has put its strong earnings to use, clearing its debt and leaving it with a cash balance of $471.3 million.

In light of this strong performance, the Premier Board has elected to pay a fully franked final dividend of 54 cents per share and a fully franked special dividend of 25 cents per share. This took its full year dividend to $1.25 per share, which is up 56.3% year over year.

But the returns won’t stop there. The company has also announced an on-market share buyback of up to $50 million.

Management commentary

Premier’s Chairman, Mr Solomon Lew, said:

Our team has delivered an impressive full year result for our shareholders, especially in the context of significant operational challenges that included Government mandated lockdowns, global supply chain complexities and omicron disruption. Premier Retail EBIT is up 10.1% on the prior year and is more than double pre-pandemic levels. This is testament to the seamless leadership transition to Richard Murray, the unrelenting focus on execution by our management team, and the commitment of our people.

Outlook

As you might have guessed from the Premier Investments share price performance today, the company’s outlook commentary was also very positive.

It advised that FY 2023 has opened strongly with total global sales for the first 7 weeks up 46.7% on the prior corresponding period. They are also up 21.5% on pre-COVID FY 2020 sales.

Management commented:

The strong start to 1H23 and clean inventory position has given the Group confidence that it is well positioned to drive sales through the critical Black Friday, Cyber Monday, Christmas, Boxing Day Sales and ‘Back to School’ trading periods ahead.

The post Premier Investments share price jumps 7% on record FY22 profits and special dividend 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 recommended Premier Investments 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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29 September 2022
Here’s why the Global Lithium share price is rocketing 12% higher
The Global Lithium Resources Ltd (ASX: GL1) share price is flying high on Thursday.

In morning trade, the lithium developer’s shares are up 12% to $2.40.

Why is the Global Lithium share price surging higher?

Investors have been bidding the Global Lithium share price higher today following the release of a promising announcement.

According to the release, the company has signed a memorandum of understanding (MOU) with leading Korean battery manufacturer SK On Co (SKO).

SKO is a supplier of batteries to global automakers, including Ford Motor Company, Hyundai Motor Company and Volkswagen. It had an order backlog of 1,600GWh at the end of 2021.

This MOU will see the two parties explore a range of future business opportunities, including the potential development of downstream integrated battery grade lithium assets for an initial two-year period.

In addition, the MOU will see SKO look at: supporting future Global Lithium capital raisings, potential investments, and offtake opportunities at the Marble Bar Lithium and/or the Manna Lithium projects.

Global Lithium’s managing director, Ron Mitchell, commented:

I am extremely excited that Global Lithium has signed a MOU with Korea’s SK On, a leading manufacturer of lithium-ion batteries for the automotive industry on a global scale. The scope of this partnership has the potential to strengthen and diversify the future of Global Lithium’s projects in Western Australia both in the near term and in the years ahead.

Evaluating downstream processing partnerships is a significant part of GL1’s step-change growth strategy and the company will continue to build on a range of advanced discussions around the globe. “The lithium and EV markets have experienced significant growth over the past two years and this expansion is only set to accelerate as demand for lithium-ion batteries increases. A partnership such as this will help position Global Lithium to be a key supplier of lithium to aid the continued sustainable development of the industry.

The post Here’s why the Global Lithium share price is rocketing 12% higher 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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29 September 2022
AGL share price on watch following major strategic and earnings update
Energy giant AGL Energy Limited (ASX: AGL) will close its Loy Yang A Power Station by the end of FY2035 – up to 10 years earlier than previously announced.

In a statement today, AGL says that it intends to accelerate its transition to an “integrated low carbon energy leader”.

The AGL share price is on heavy watch this morning following the announcement, and pre-market trading activity is already ramping up according to Refinitiv Eikon data.

AGL to exit coal by FY35

After the release of its strategic review, the energy company says that its annual scope 1 and 2 greenhouse emissions are estimated to reduce from 40 million tonnes to “net zero” with the targeted closure.

The company will also gradually decarbonise its asset portfolio by substituting new renewable energy capacity.

It has intentions of supplying its customer demand with “up to 12GW of new generation and firming capacity, requiring a total investment of up to $20 billion, in place before 2036”.

There doesn’t seem to be any expected changes to this year’s forecasted numbers for AGL.

It provided guidance of underlying EBITDA of between $1.25 billion and $1.45 billion, coupled with underlying net profit after tax (NPAT) between $200 million–$320 million.

AGL Chair, Patricia McKenzie, said the decision represents “a new direction for AGL”.

Our decarbonisation and energy investment strategy sets a clear pathway for the company’s future and its leading role in Australia’s energy transition. We have listened to our stakeholders – in particular, our shareholders, as well as government and energy regulatory authorities. Their views were an important consideration as we reviewed the company’s strategic direction after withdrawing the demerger proposal.

Today’s announcement recognises the increasing ESG pressure from investors and consumers that has been affecting our business and we expect to be able access a wider pool of capital and attract new investors, which will ultimately result in a lower cost of capital and a more sustainable business.

AGL also published its inaugural climate transaction action plan along with its strategic review. Shareholders can vote on this at AGL’s annual general meeting held on November 15 2022.

There is also a $700 million non-cash impairment charge that AGL will recognise against the carrying value of the tangible assets at Loy Yang A.

AGL finished with the following:

Overall, AGL believes FY23 earnings will remain resilient amidst the current challenging energy industry and market conditions and is well positioned from FY24 to benefit from sustained higher wholesale electricity pricing as historical hedge positions progressively roll-off.

Investors eagerly await the fallout this morning.

The post AGL share price on watch following major strategic and earnings update appeared first on The Motley Fool Australia.

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Motley Fool contributor Zach Bristow 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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29 September 2022
The Bendigo Bank dividend is being handed out today. Here are the details
The Bendigo and Adelaide Bank Ltd (ASX: BEN) dividend is due to hit bank accounts today.

Bendigo shares have descended nearly 11% since market close on 29 August to $7.91. For perspective, the S&P/ASX 200 Index (ASX: XJO) has slid 7% in the same time frame.

Let’s take a look at the details of the Bendigo Bank dividend.

Bendigo and Adelaide Bank pays out dividend

Bendigo and Adelaide Bank shareholders are set to receive a final dividend of 26.5 cents per share fully franked.

The bank’s total dividend payout for FY22 is 53 cents per share. This is 6% more than the 50 cents per share total dividends paid out in FY21.

In FY20, Bendigo and Adelaide Bank paid a dividend of 35.5 cents per share, 33% less than the total dividends in FY22.

However, in FY19, the bank’s total dividend was 70 cents per share, 32% more than the 2022 financial year.

Bendigo and Adelaide Bank reported a 2.7% lift in underlying profit (pre-credit expenses) to $693.6 million in FY22. Statutory net profit after tax fell 6.9% to $488.1 million.

Commenting on the dividend in the company’s FY22 results in August, CEO and managing director Marine Baker said:

This decision supports our strong capital position and business outlook, while balancing our commitment to supporting shareholders with a fair return.

Bendigo Bank also offered investors a dividend reinvestment plan (DRP) and a bonus share scheme for this dividend. A DRP enables shareholders to reinvest all or part of their cash dividends into new shares in the company. The bank’s bonus scheme allows shareholders to receive bonus shares in place of the cash dividend.

Bendigo Bank share price snapshot

The Bendigo Bank share price has fallen nearly 16% in the past year, while it has descended more than 13% in the year to date.

For perspective, the ASX 200 has shed more than 11% in the past year.

Bendigo Bank has a market capitalisation of nearly $4.5 billion based on the current share price.

The post The Bendigo Bank dividend is being handed out today. Here are the details appeared first on The Motley Fool Australia.

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Motley Fool contributor Monica O’Shea has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Bendigo and Adelaide Bank 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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29 September 2022
Experts name the top ASX dividend shares to buy now
If you’re looking to boost your income portfolio, then you may want to look at the shares listed below.

Here’s why these ASX dividend shares could be worth considering right now:

Baby Bunting Group Ltd (ASX: BBN)

The first ASX dividend share that could be a good option for income investors is leading baby products retailer Baby Bunting.

While the retail sector is facing a number of challenges from the cost of living crisis, it is worth remembering that Baby Bunting is operating in a less discretionary side of the market. This leaves it better positioned than most in the current environment.

Citi remains very positive on Baby Bunting and currently has a buy rating and $5.62 price target on its shares. The broker believes the company is well-placed for growth over the long term thanks to its strong market position and growing addressable market through product range expansions.

As for dividends, Citi is forecasting fully franked dividends per share of 18 cents in FY 2023 and then 21.8 cents in FY 2024. Based on the current Baby Bunting share price of $3.77, this will mean yields of 4.8% and 5.8%, respectively.

QBE Insurance Group Ltd (ASX: QBE)

Another ASX dividend share that could be a good option is insurance giant QBE.

Morgans is very positive on the company. This is due to strong policy rate increases, improving investment yields, and its further cost-out benefits. It expects this to lead to the company’s earnings profile improving strongly in the coming years.

As a result, the broker recently put an add rating and $14.93 price target on its shares.

In respect to dividends, its analysts are expecting a ~42 cents per share dividend in FY 2022 and then a ~77 cents per share dividend in FY 2023. Based on the latest QBE share price of $11.39, this equates to yields of 3.7% and 6.75%, respectively

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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 recommended Baby Bunting. 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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29 September 2022
This high-yielding ASX 300 retail share is turning ex-dividend tomorrow
The Nick Scali Limited (ASX: NCK) share price will be on watch tomorrow as the ASX 300 retail share turns ex-dividend.

As of tomorrow, Nick Scali will be taking away entitlements to its recently-declared fully franked final dividend of 35 cents per share.

So, today will be the final day to secure this dividend, which will be paid on 24 October.

Although investors buying Nick Scali shares tomorrow won’t scoop up the latest dividend, they’ll likely be able to get their hands on shares at a reduced price.

This is because a company’s shares typically drop on the day they turn ex-dividend as the value of the dividend leaves the share price.

After all, these dividends are being paid out of the company’s cash reserves. As this cash balance diminishes, so too does the company’s value.

The extent of the share price fall primarily depends on the size of the dividend. But it also varies according to investor sentiment and how the broader market is moving on that particular day.

Given that Nick Scali’s final dividend equates to a yield of around 3.5%, it’s likely that Nick Scali shares will be in the red tomorrow as they turn ex-dividend.

How did Nick Scali fare in FY22?

The ASX 300 retail share handed in its FY22 results last month, headlined by an 18% jump in revenue which reached $441 million.

While impressive at first glance, this growth was driven by the acquisition of Plush, which was finalised on 1 November 2021.

The addition of Plush boosted Nick Scali’s sales by $88.8 million across the financial year. Excluding this contribution, Nick Scali’s revenue went backwards by 6%.

Needless to say, FY22 was a challenging year for Nick Scali. Around 55% of its store network was closed for three months due to COVID lockdowns. And in the second half, the ASX 300 furniture retailer battled widespread disruption to its supply chain. This was primarily due to lockdowns in China where many of its products are manufactured.

These operational challenges were reflected in Nick Scali’s bottom line, with net profit after tax (NPAT) dropping 11% to $75 million.

However, because of the supply chain issues, some of Nick Scali’s sales have simply been pushed into next year. The retailer ended FY22 with an elevated order bank of $185 million, which is 67% higher compared to the same time last year.

Despite profits falling, Nick Scali raised its annual dividends by 8% to 70 cents. It did so by cranking up its dividend payout ratio from 63% of underlying NPAT in FY21 to 76% in FY22.

Based on current prices, Nick Scali shares are flashing an eye-catching trailing dividend yield of 7.1%. With the benefit of franking credits, this yield dials up to 10.2%.

Nick Scali share price snapshot

The Nick Scali share price has fallen out of favour this year, tumbling 36% to sit at $9.84.

In comparison, the wider S&P/ASX 300 Index (ASX: XKO) has suffered a 15% fall.

Nick Scali currently has a market capitalisation of $795 million. This puts shares on a trailing price-to-earnings (P/E) ratio of roughly ten times.

The post This high-yielding ASX 300 retail share is turning ex-dividend tomorrow appeared first on The Motley Fool Australia.

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Motley Fool contributor Cathryn Goh 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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29 September 2022
Why I believe this ASX 200 share has the makings of a Buffett-style investment
Warren Buffett is one of the world’s best investors, in my opinion. I also think he would be very pleased to own a stake in one of the leading S&P/ASX 200 Index (ASX: XJO) bank shares. The one I’m talking about is National Australia Bank Ltd (ASX: NAB).

Berkshire Hathaway is the investment and operating business that Warren Buffett has led for many decades.

There are a number of public and private businesses in the Berkshire Hathaway portfolio such as Apple and Coca Cola. But there are also a number of financial institutions like Bank of America, Bank of New York Mellon, US Bancorp, and Wells Fargo.

With this large holding of banks, I believe Buffett would be interested in NAB shares for a few different reasons.

Valuation and quality

I think that Buffett will always want to buy businesses when he thinks they’re good value. But, I also think he’d want to choose investments that are quality.

In my opinion, NAB is a high-quality bank. One example can be seen in the profit NAB has achieved this year despite the headwinds of competition.

Certainly, NAB looks like a better value bank to me compared to another bank held in high regard, Commonwealth Bank of Australia (ASX: CBA).

Using profit estimates on CMC Markets, the NAB share price is valued at 12 times FY23’s estimated earnings (based on an earnings per share (EPS) projection of $2.40). That compares to CBA shares being valued at 17 times FY23’s estimated earnings (based on an EPS estimate of $5.56). That’s an important difference, in my view.

Management

CNBC quotes some of the qualities Warren Buffett looks for when it comes to a company’s management. I think it can be applied to NAB shares.

I think you judge management by two yardsticks.

One is how well they run the business, and I think you can learn a lot about that by reading about both what they’ve accomplished and what their competitors have accomplished, and seeing how they have allocated capital over time.

Look at what they have accomplished, considering what the hand was that they were dealt when they took over compared to what is going on in the industry.

You want to figure out…how well that they treat their owners.

Read the proxy statements, see what they think of — see how they treat themselves versus how they treat the shareholders. … The poor managers also turn out to be the ones that really don’t think that much about the shareholders, too. The two often go hand in hand.

Certainly, I think that NAB’s leader Ross McEwan is a very good CEO and managing director for the business. He turned around Royal Bank of Scotland after the GFC. He’s now leading NAB effectively through a recovery.

In the NAB third-quarter update, I believe that McEwan’s comments show he has the bank’s operations and shareholder focus in mind:

We have a clear strategy and executing this with discipline is our key priority. We will continue to focus on getting the basics right, managing our bank safely and improving customer and colleague outcomes to deliver sustainable growth and improved shareholder returns.

NAB share price snapshot

Over the last six months, NAB shares are down around 10%.

The post Why I believe this ASX 200 share has the makings of a Buffett-style investment appeared first on The Motley Fool Australia.

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NYSE:BBank of America is an advertising partner of The Ascent, a Motley Fool company. 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 Apple. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool Australia has recommended Apple. 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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29 September 2022