The Woolworths Group Ltd (ASX: WOW) share price could be good value at current levels.

That’s the view of the team at Goldman Sachs, which recently reiterated their buy rating and $40.50 price target on the company’s shares and added them to the broker’s coveted conviction buy list.

Why does Goldman think that Woolworths shares are a strong buy?

There are three key reasons that Goldman Sachs is bullish on Woolworths’ shares.

The first is the broker’s belief that Woolworths will deliver strong earnings growth between FY 2022 and FY 2024. This is thanks to the strength of its key Australian supermarkets business. It said:

Superior growth in core business: we forecast CAGR of 6.6% and underlying NPAT of 14.1% over FY22-24e, with key driver being market share gain of AU Foods business at comp sales growth of FY23/24 8.8% and 6.6% respectively driven by effective cost-price pass through and additional mix improvement with relatively stable volume growth. This implies that EBIT margins will be well protected, and we forecast 50bps increase to 5.0% to FY24e.

Another reason for its positive stance is the retail media business. Goldman believes this relatively underappreciated business has a material growth opportunity with strong margins. The broker explained:

Adjacent revenues with higher margins: with a highly loyal consumer base and high frequency contact points, we believe that the retail media business is the next material growth lever for WOW. We have factored in A$1.1B sales, with 30% EBIT margin (unchanged) in 2030 and discounted value of A$4B adds ~6% to WOW’s EV.

Finally, the broker sees value in the Woolworths share price at the current value and feels that a rerating to higher multiples is possible. It said:

Valuation re-rating: since 2018, WOW has traded at an average 1yr fwd P/E of 25.7x, vs COL (Neutral) of 21.6x, with average multiple premium of 4.0x. Currently, WOW is at 24.3x, with multiple premium at 1.8x, its lowest level since 2018, and we believe this is unwarranted as we see WOW to be still the superior operator with faster growth outlook. We expect better comps and margin management to become apparent, and the stock to re-rate.

The post 3 reasons this broker says Woolworths shares are a strong buy appeared first on The Motley Fool Australia.

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More reading

• The Woolworths share price leapt 5% in July, what’s in store now?
• Does rising inflation put the Woolworths share price in the buy zone right now?
• Have Woolworths shares been a market-beating investment over the past 5 years?
• Broker names 2 ASX dividend shares to buy next week
• Own Woolworths shares? Here’s what a top broker is saying about its latest acquisition

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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With interest rates rising rapidly and an economic downturn expected to follow, the retail sector is somewhat on the nose with ASX investors at the moment.

But one analyst reckons he’s found a retailer stock to pick up now that can withstand plummeting consumer confidence.

“Lovisa Holdings Ltd (ASX: LOV)’s a buy for us,” said senior analyst Shaun Weick in a Wilson Asset Management video.

“We think this one’s a diamond in the rough.”

Weick admitted his team is “cautious” on the retailer stocks because of the gloomy economic outlook.

“But we think fast fashion jewellery is largely recession-proof.”

The share price for Lovisa has lost around 11% so far this year. It does pay out a handy dividend yield of 3.1%, according to Google Finance.

Lovisa’s expansion strategy

According to Weick, the company is banking on new store rollouts to fuel future growth. 

“We can see capacity for this business to more than triple its current footprint,” he said.

“They’ve opened up five new markets recently. And if we look at management’s LTIs [long-term incentives], they suggest that there’s significant upside to consensus earnings expectations.”

Lovisa is scheduled to report its preliminary numbers on 24 August.

Other professionals also share Weick’s enthusiasm for the jewellery retailer. Eight out of 10 analysts surveyed on CMC Markets currently rate Lovisa as a strong buy.

And just last week, The Motley Fool reported that Morgans analysts thought Lovisa could end up as “one of the biggest success stories in Australian retail”.

That team thought the dividend could grow immensely in the future from international expansion.

“We do not think there is any lack of opportunity,” a Morgans memo read.

“In the US, for example, Lovisa now has 81 stores, representing 0.25 stores for every million people, compared to Australia with 158 stores, [which is] 6.15 stores for every million people.”

The Motley Fool’s James Mickleboro reported that Morgans has a buy rating and a $21.50 price target.

The Lovisa share price closed Thursday at $17.62.

The post The retailer that’s a ‘recession-proof’ ASX share to buy: analyst appeared first on The Motley Fool Australia.

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More reading

• Experts name 2 ASX growth shares to buy
• Experts say these ASX dividend shares are buys right now
• Experts name 2 ASX growth shares to buy with double-digit upside potential
• Own Lovisa shares? Why this broker believes the retailer could be a ‘global force’
• Here are 3 excellent ASX growth shares for investors to buy in July

Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Lovisa Holdings 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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On Thursday, the S&P/ASX 200 Index (ASX: XJO) gave back its morning gains and ended the day a fraction lower. The benchmark index fell 1 point to 6,974.9 points.

Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:

ASX 200 expected to rise

The Australian share market looks set to end the week on a mildly positive note despite a mixed night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open 10 points or 0.15% higher this morning. In the United States, the Dow Jones fell 0.25%, the S&P 500 edged 0.1% lower, and the Nasdaq pushed 0.4% higher.

Oil prices fall again

Energy producers including Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a tough finish to the week after oil prices tumbled again. According to Bloomberg, the WTI crude oil price is down 2.5% to US$88.42 a barrel and the Brent crude oil price is down 3% to US$93.91 a barrel. Fears of a demand slowdown after a build in U.S. crude and gasoline inventories sent oil prices to multi-month lows.

ResMed results

The ResMed Inc (ASX: RMD) share price will be one to watch on Friday. This morning the medical device company is releasing its fourth quarter and full year results. In respect to its full year result, the market is expecting ResMed to report a profit after tax of US$825.6 million for the 12 months ended 30 June.

Gold price rebounds

The shares of gold miners such as Newcrest Mining Ltd (ASX: NCM) and St Barbara Ltd (ASX: SBM) could have a decent end to the week after the gold price rebounded overnight. According to CNBC, the spot gold price is up 1.9% to US$1,810.5 an ounce. This followed a pullback in the US dollar and rising US-China tensions.

Elders rated as a buy

The Elders Ltd (ASX: ELD) share price could be great value after recent weakness according to Goldman Sachs. This morning the broker reiterated its conviction buy rating and $21.00 price target on the company’s shares. Commenting on the underperformance of its shares, Goldman said: “We believe the market is applying a higher weight to the potential of a cyclical downturn in seasonal conditions over the long term structural growth opportunities still in front of the company.”

The post 5 things to watch on the ASX 200 on Friday appeared first on The Motley Fool Australia.

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More reading

• ‘We are in for the long haul’: Rio Tinto CEO defends future spending in the face of recession fears
• NRW share price leaps 11% on guidance upgrade for FY22
• Which ASX 200 shares will prove to be dividend heavyweights this earnings season?
• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares 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 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 Elders 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 have room for some new portfolio additions this week, then it could be worth considering the two ASX growth shares listed below.

Here’s what you need to know about these buy-rated shares:

Lovisa Holdings Limited (ASX: LOV)

The first ASX growth share to look at is fast-fashion jewellery retailer Lovisa.

Analysts at Morgans have tipped the company as a buy due to its strong long term growth potential. This is being underpinned by its global expansion plans, which will be overseen by its highly experienced CEO, Victor Herrero.

Commenting on its expansion opportunity, the broker said:

Lovisa’s global footprint now spans 22 countries. In our opinion, investors can expect this number to increase steadily while, at the same time, Lovisa builds out its presence in its existing markets. We do not think there is any lack of opportunity. In the US, for example, Lovisa now has 81 stores, representing 0.25 stores for every million people), compared to Australia with 158 stores, 6.15 stores for every million people.

Morgans has an add rating and $21.50 price target on its shares.

Readytech Holdings Ltd (ASX: RDY)

Another ASX growth share to look at this month is Readytech. It owns a portfolio of enterprise software businesses across several market verticals such as higher education and local government.

Goldman Sachs is very positive on the company. This is due to the company operating in market niches that are under-served by both large and small enterprise software competitors. It highlights that this has underpinned high (and growing) levels of recurring revenue and ultra low churn levels. It commented:

RDY serves defensive end markets (e.g. higher education, local government) and has high recurring revenue (>85%) which should protect the company’s earnings profile in an economic downturn. In our view, RDY will continue to grow mid-teens organically while making accretive acquisitions (such as IT Vision), with profitability underpinned by solid software metrics including low churn at ~3% and high LTV/CAC.

Goldman has a buy rating and $4.60 price target.

The post Experts name 2 ASX growth shares to buy appeared first on The Motley Fool Australia.

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More reading

• Experts say these ASX dividend shares are buys right now
• Experts name 2 ASX growth shares to buy with double-digit upside potential
• Experts say these ASX tech shares would be excellent buys
• Analysts name 2 stellar ASX growth shares to buy
• Own Lovisa shares? Why this broker believes the retailer could be a ‘global force’

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 Readytech Holdings Ltd. The Motley Fool Australia has recommended Lovisa Holdings Ltd and Readytech Holdings 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 Rio Tinto Ltd (ASX: RIO) share price has fallen 29% in the past year, but what’s ahead?

Rio shares dropped 1.55% on the market on Thursday, closing at $95.30 a share. For perspective, the BHP Ltd (ASX: BHP) share price also fell 1.14% while Fortescue Metals Group (ASX: FMG) shares closed 2% lower.

So what are the Rio CEO’s thoughts on future spending?

Rio CEO defends spending

Rio Tinto presented half-year results last week, but the company’s CEO Jakob Stausholm shared more insight into the company’s future strategy today.

In a quarter two earnings call, Stausholm was questioned on Rio’s strategy of increasing capital expenditure (capex) in the future.

In response to questions from analysts about the company’s plan to increase capex, he said:

This is actually really fundamental. If we start adjusting our capex programme because we think there’s a recession in the next six months, we’ve lost. We are in for the long haul here.

If you really think about it, the best thing is to invest when you have a recession, because that’s where you can buy services cheap.

Rio reported revenue had fallen 10% to US$29,775 million in its half-year earnings. The mining giant declared a dividend of 276 cents per share.

However, Stausholm touted investing in a recession, highlighting:

We are absolutely convinced that we have the right investment profile going forward.

Obviously, sometimes things becomes a little bit more expensive when you get inflation and we need to manage that very carefully. We fundamentally want to carry out the activities that we have planned to do.

Rio highlighted it is intent on delivering its long-term strategy. In its half-year results, Rio reported its earnings before interest, tax, depreciation and amortisation (EBITDA) slumped 26% to US$15,597 million. Free cash flow also fell 30%.

Share price snapshot

The Rio share price has dived 29% in the past year and nearly 5% year to date.

For perspective, the benchmark S&P/ASX 200 Index (ASX: XJO) has lost nearly 6% in the past year.

Rio has a market capitalisation of more than $35 billion based on the current share price.

The post ‘We are in for the long haul’: Rio Tinto CEO defends future spending in the face of recession fears appeared first on The Motley Fool Australia.

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More reading

• NRW share price leaps 11% on guidance upgrade for FY22
• Which ASX 200 shares will prove to be dividend heavyweights this earnings season?
• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• First mover: CBA share price rises amid interest rate changes

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 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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There are a lot of dividend shares for investors to choose from on the ASX 200 index. Two that have recently been rated as buys are listed below.

Here’s why analysts rate them highly right now:

Harvey Norman Holdings Limited (ASX: HVN)

Harvey Norman could be an ASX 200 dividend share to buy according to analysts at Goldman Sachs.

They like the retail giant due to its strong market position and favourable customer demographics. In respect to the latter, the broke notes that Harvey Norman “has a greater preference within the boomer generation and a higher exposure to regional Australia.” Goldman expects this to protect the company from online disruption.

Goldman currently has a buy rating and $4.50 price target on the retail giant’s shares.

As for dividends, the broker is forecasting fully franked dividends of 45.9 cents per share in FY 2022 and 36.3 cents per share in FY 2023. Based on the current Harvey Norman share price of $4.21, this will mean yields of 10.9% and 8.6%, respectively.

Wesfarmers Ltd (ASX: WES)

Another ASX 200 dividend share that could be in the buy zone is Wesfarmers. It is the conglomerate behind a range of businesses including Bunnings, Catch, Covalent Lithium, Kmart, Officeworks, and Priceline.

Analysts at Morgans are very positive on Wesfarmers and believe it has “one of the highest quality retail portfolios in Australia” with “a highly regarded management team” leading the business.

Morgans has an add rating and $58.40 price target on its shares.

As for dividends, the broker is forecasting fully franked dividends per share of $1.65 in FY 2022 and $1.81 in FY 2023. Based on the current Wesfarmers share price of $47.00, this will mean yields of 3.5% and 3.85%, respectively.

The post 2 ASX 200 dividend shares analysts rate as buys appeared first on The Motley Fool Australia.

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More reading

• What’s impacting the Wesfarmers share price on Thursday?
• Why is the Wesfarmers share price beating the ASX 200 today?
• Morgans name 3 of the best ASX shares to buy in August
• ‘Recession-like levels’: Why ASX retail shares could still be in for a bumpy ride
• From Cotton On to Catch: Wesfarmers’ plans to put its acquisition back on track

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 Harvey Norman Holdings Ltd. The Motley Fool Australia has positions in and has recommended Harvey Norman Holdings Ltd. 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 Lake Resources N.L. (ASX: LKE) share price went down a slippery slope in early July and then was catapulted to post a 3% gain for the month. 

However, the ASX lithium share, Lake Resources, and its share price underperformed the S&P/ASX 200 Index (ASX: XJO), which lifted 5.73% last month.

What made the Lake Resources share price flounder and spurt in July?

The Lake Resources share price started the month at 78.5 cents and closed at 81 cents on 29 July. In between, a scathing report by short-seller J Capital pushed down the Lake Resources shares as low as 60.5 cents each on 14 July. 

J Capital peppered the company with some major allegations. These included a claim that its Kachi Project would not reach production in 2024 as planned. It also alleged the processes used at the site would cause environmental damage. 

The latter allegation is particularly damaging given Lake Resource’s brand is centred on supplying lithium in a responsibly-sourced and environmentally friendly manner. 

Such concerns resulted in the Lake Resources share price dropping to as low as 61 cents in July. 

Lake Resources share price rebounds on management response

The market’s embrace of optimism for Lake Resources shares returned upon management’s response to J Capital’s allegations on 14 July 2022. 

Concerns were further allayed by positive news contained in the company’s quarterly results for the three months ended 30 June 2022.

Some key highlights included the advancement of its Definitive Feasibility Study, the progress with assembling its demonstration plant in Argentina, and a positive cash balance of $173 million on the balance sheet. 

I believe the recent share price rally is likely linked to the potential for further lithium exploration. In the quarterly results, Lake Resources announced it secured a second drilling rig. This is for its lithium brine projects at Olaroz, Cauchari and Paso in Argentina. 

Further, recent discussions with US-based Ford Motor Company (NYSE: F) and Japan’s Hanwa Co Ltd is fuelling the prospect of significant offtake contracts. 

My take on Lake

Lithium explorers like Lake Resources are experiencing a long industry tailwind because of the structural adoption of electric vehicles (EVs). The lithium explorers that manage to secure the most supply early on will reap the benefits thanks to a first-mover and scale advantage. 

The key advantage for such explorers is ensuring they strike ‘“gold’” – or – lithium – early on. This provides significant commercial contracts with the largest lithium users, being the big EV manufacturers. Once these contracts are locked in, this enables them to consistently reinvest into discovering new lithium sites. 

However, over the long term, more competitors will likely erode the early returns on capital because the number of suppliers could outweigh demand. 

An investor with technical knowledge in this space could reap significant rewards if they can spot whether Lake Resources possesses an emerging first-mover and scale advantage. 

The post Why did the Lake Resources share price lag the ASX 200 in July appeared first on The Motley Fool Australia.

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• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Here are the top 10 ASX 200 shares today
• Why are ASX lithium shares having such a top run on Wednesday?
• Here are the 3 most heavily traded ASX 200 shares on Monday
• Why has the Lake Resources share price rocketed 16% today?

Motley Fool contributor Raymond Jang 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 NRW Holdings Limited (ASX: NRW) share price surged on Thursday after the company released a solid FY22 guidance update. 

The construction and mining contrator’s shares closed at $2.13 apiece, a 10.94% increase on yesterday’s closing price. By comparison, the S&P/ASX 200 Index (ASX: XJO) slipped 0.01% into the red.

Let’s take a closer look at what excited investors today. 

EBITA above guidance

The NRW Holdings share price received a boost after the company confirmed revenue is expected to come in at around $2.4 billion, in line with its previous guidance.

Of that, the company reported an unaudited earnings before interest, tax, and amortisation (EBITA) of $157 million. That’s above its previous guidance range of $150-$155 million.

What’s likely attracted investors today though is the company’s record order book of $5.2 billion.

NRW currently holds $219 million in cash. That covers its total long-term liabilities of $210 million, according to the company’s HY22 results. 

NRW management buoyed by results

Managing director and CEO Jules Pemberton said:

We will obviously provide more detail on the results when we release on the 18th August but clearly the business has performed very well despite the significant headwinds we have had to navigate caused by Covid, labour shortages, inflationary pressures and significant 1 in 100 year weather events.

NRW share price snapshot

Over the last twelve months, the NRW share price has gained 23% and more than 20% year to date.

It’s outperformed the S&P/ASX 200 Index (ASX: XJO) which has fallen by around 7% in the last year.  

NRW has a current market capitalisation of $956 million. 

That puts the company’s price-to-earnings (P/E) ratio at 13 times, which is around its average PE multiple since it was listed on the ASX in 2007. 

My takeaway 

NRW’s business is largely dictated by the performance of the minerals and mining sector. As such, investors ought to be mindful of the unprecedented price levels for commodities over the last six months. This is illustrated below by the Reserve Bank of Australia‘s (RBA) Index of Commodity Prices, released on 2 August. 

In the last few months, commodity price levels have started to taper, resulting in significant share price falls across the mining and minerals sector. Should this continue, this could prove to be a major headwind to the NRW Holdings share price. 

Personally, I find it difficult to time such cyclical businesses so, for me, this stock falls into the too hard basket. 

The post <strong>NRW share price leaps 11% on an upgrade in guidance for FY22</strong> appeared first on The Motley Fool Australia.

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More reading

• Which ASX 200 shares will prove to be dividend heavyweights this earnings season?
• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Why Appen, Centuria Industrial, NRW, and Sayona Mining shares are pushing higher
• First mover: CBA share price rises amid interest rate changes

Motley Fool contributor Raymond Jang 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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Firefinch Ltd (ASX: FFX) shares are not expected to resume trading until a funding proposal is finalised, which the gold miner anticipates will take until the end of the month. So, in short, late August at the earliest.

Firefinch today released a third letter to the ASX responding to its latest query.

Let’s take a look at what’s been happening with this ASX gold mining share.

What’s happening with Firefinch shares?

So, the drama with Firefinch of late all began on 27 June when the company requested a trading halt.

The following day, the miner announced that two recently appointed board members had resigned.

On 29 June, Firefinch asked the ASX to suspend its shares from quotation. The reason the ASX gave was “pending the release of an announcement regarding an update to operational performance and production guidance at the Morila Gold Project”.

The same day, Firefinch announced that “by mutual agreement” the managing director had resigned.

Firefinch said it would pay the outgoing Dr Michael Anderson $450,000 in contractual entitlements. Anderson was with the company for 14 months.

Firefinch appointed Andrew Taplin as acting CEO and Dr Alistair Cowden as executive chair. Taplin was on a salary of $417,006 per annum (including superannuation) plus incentives before taking on the extra role. Now he’s going to get an extra $10,000 per month.

What’s the latest on the Morila Gold Project?

On 4 July, Firefinch released the update on the Morila Gold Project. It revealed that gold production during the June quarter was well down on guidance due to poor equipment availability and delivery delays on additional equipment because of sanctions imposed on Mali restricting the movement of goods.

The production ramp-up is now behind schedule, so Firefinch had to withdraw its calendar year guidance. Plus, the company stated it was facing rising costs for inputs like diesel and explosives.

The company told the ASX it had a plan to deal with this, including a potential capital raising. But it said it needed more time and asked for an extension of its voluntary suspension until the end of July.

The next day, Firefinch announced it had sold a portion of its shares in Leo Lithium Ltd (ASX: LLL). This delivered a cash injection of $12.9 million to improve its working capital position.

On 11 July, Firefinch announced the resignation of Cowden with Brett Fraser as his replacement.

The ASX asks questions as Firefinch shares stay frozen

The ASX has asked Firefinch a bunch of questions. Firefinch issued responses on 12 July and 21 July.

On 26 July, Firefinch asked for another extension to its voluntary suspension. It said its discussions with third parties over funding were “not yet complete”. The miner asked for more time to finalise the proposed funding “which is anticipated to occur by the end of August 2022”.

In a third letter to the ASX released to the market today, Firefinch answered questions about when it took delivery of certain equipment.

It also explained the timing of its realisation that sanctions were having a material impact on production at the Morila Gold Project.

In the meantime…

On Monday, Firefinch released its June quarter cash flow and activities report. This revealed a few new details about progress at Morila.

The company said “mining equipment is now arriving at site which will alleviate operational pressures”. Firefinch also said it had implemented cost-saving measures and “enhanced” financial controls.

The company said it expected to provide an upgrade to the Morila resource and reserve estimate in the September quarter. It said this would “feed into a new mine plan, production and cost outlook and forward capital requirements”.

Firefinch reported that the Mali Government had “granted a three-year extension to the Morila Convention demonstrating its endorsement of the ramp-up and revival of Morila”.

As of 30 June, Firefinch had cash and equivalents of $40.8 million available, including gold in transit.

Firefinch shares snapshot

Firefinch shares have fallen by 64% in the year to date. They were trading for 20 cents apiece when the company asked the ASX for the trading halt.

Firefinch shares hit their 52-week low of 19 cents on 24 June.

The post When will Firefinch shares resume trading? appeared first on The Motley Fool Australia.

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More reading

• What’s happening with Firefinch shares following a $13 million lithium sale?

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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It’s that exciting time of the year again when many ASX-listed companies spill the tea on their latest financial results. Coincidentally, the reporting season aligns with an inundation of dividends from some of the biggest shares in the S&P/ASX 200 Index (ASX: XJO).

Typically, companies will declare the amount they intend to pay as a dividend with the delivery of their results. This is partly due to the reliance dividends have on the company’s results. Whether an ASX share achieves earnings above or below guidance can be the difference between a juicy payout or a paltry one.

As we hurtle toward the busy part of the ASX reporting season, we take a look at the ASX 200 shares that might be considered dividend heavyweights.

What will dividend disciples be dealt?

For investors who are geared more toward income, the weeks to ensue will be a white-knuckled ride. As pointed out in a Livewire article by Alastair Macleod of Wheelhouse Partners, a handful of ASX 200 companies wield a disproportionate portion of the total dividends to be paid over the next month.

It is a pivotal time for investors looking to cash in on dividend payouts. To paint the picture, 113 of the 200 constituents of the benchmark index are slated to go ex-dividend by 30 September. Within this, there are four ASX companies that Macleod highlights as ‘dividend heavyweights’.

Unsurprisingly, commodity giants Rio Tinto Ltd (ASX: RIO) and BHP Group Ltd (ASX: BHP) are on the list. Meanwhile, the other two ASX 200 shares fitting the bill are Commonwealth Bank of Australia (ASX: CBA) and Woodside Energy Group Ltd (ASX: WDS).

However, the first cab off the ranks — Rio Tinto — surprised investors last week. The company slashed its interim dividend by 52%. Although, shareholders will still receive $3.837 per share in dividends on 22 September.

Alas, the remaining ‘dividend heavyweight’ contenders are yet to report. For those interested, here are the reporting dates:

• Commonwealth Bank of Australia — 10 August
• BHP Group — 16 August
• Woodside Energy — 30 August.

How important are these ASX 200 shares?

Macleod provides an insightful chart in his article, which we’ll reference here. As depicted, the four ASX 200 dividend shares listed above are expected to be key to the total payouts.

The chart above reflects consensus estimates among analysts for near-term dividend payouts. Furthermore, we can roughly estimate that nearly 63% of the total 1.83% cash yield projected will be comprised of dividends from Rio, Commonwealth Bank, Woodside, and BHP.

Only time will tell whether these ASX 200 shares can live up to the expectations.

The post Which ASX 200 shares will prove to be dividend heavyweights this earnings season? appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Why Creso Pharma, Endeavour, Orica, and Woodside shares are dropping
• First mover: CBA share price rises amid interest rate changes
• 3 ASX 200 shares smashing new 52-week highs on Thursday

Motley Fool contributor Mitchell Lawler has positions in Commonwealth Bank of Australia. 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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