The Bendigo and Adelaide Bank Ltd (ASX: BEN) share price has been rising recently. It closed 1.18% higher on Friday at $10.30 and is now up around 10% in the past month. But could the regional bank be an opportunity for investors?

It has been an interesting last couple of months for the banking sector. Interest rates have shot higher in Australia, while one big four ASX bank share announced it wanted to buy another regional bank.

The Reserve Bank of Australia (RBA) has been increasing interest rates to try to control inflation, while Australia and New Zealand Banking Group Ltd (ASX: ANZ) has launched a $4.9 billion bid to buy the banking division of Suncorp Group Ltd (ASX: SUN).

Bendigo Bank is an interesting consideration with all of this excitement going on. Let’s look at how brokers rate the regional bank.

Expert views on the Bendigo Bank share price

One of the latest views on the ASX bank share comes from Credit Suisse. It rates it as ‘outperform’ with a price target of $11.10, implying high-single-digit potential for the share price.

The broker thinks banks like Bendigo can benefit from higher interest rates, leading to stronger net interest margins (NIMs). However, it could also be negative in terms of increasing bad and doubtful debts.

However, others are less optimistic. Morgan Stanley is ‘equal-weight’ on the regional bank, though it has increased its profit expectations for FY23 because of higher margins. But, FY24 could be impacted by the higher arrears as well as slower growth of its loan book.

The broker Macquarie has a ‘neutral’ rating on the business, with a price target of $10. While profitability is expected to be helped in the short term, the medium term is less optimistic.

Bendigo Bank is due to release its FY22 earnings on 15 August.

Dividend expectations

One of the main reasons that investors may be interested in ASX bank shares and the Bendigo Bank share price is the potential dividend income.

On CMC Markets, the estimate for the potential FY23 Bendigo Bank grossed-up dividend yield is 7.8%.

Morgan Stanley’s estimate for the FY23 grossed-up dividend yield is 7.7%. The Macquarie estimate for FY23 is 7.9%.

My view

Bendigo Bank isn’t typically going to be the type of business that delivers rapid compound growth, so the its important to choose the right time. Considering the Bendigo Bank share price has risen by almost 20% since mid-June, I don’t think it’s at a cheap price.

If it went back to around $9 (or below), then that could be an opportunistic time to jump on Bendigo Bank, though I’m looking at different areas of the ASX share market for opportunities.

The post Is the Bendigo Bank share price a buy ahead of next month’s earnings? appeared first on The Motley Fool Australia.

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• What might ANZ’s Suncorp deal mean for competition among ASX 200 banks?
• What’s the outlook in FY23 for ASX 200 bank shares?
• Here are the 5 best ASX 200 bank shares of FY22
• ASX 200 midday update: Chalice Mining jumps, Zip sinks on bearish broker note
• Bendigo Bank shares rise after going long on leverage with ANZ lending acquisition

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Bendigo and Adelaide Bank Limited. The Motley Fool Australia has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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With a new month upon us, what better time to look at your portfolio and see if there’s room for a new addition of two.

If you’re a fan of exchange traded funds (ETFs), then listed below are three that could be worth getting better acquainted with. Here’s what you need to know about them:

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The BetaShares Asia Technology Tigers ETF could be a top option for investors that are bullish on the long term outlook of the Asian economy. That’s because this ETF provides investors with easy access to a number of the most promising tech shares in the region. This means you’ll be owning a slice of ecommerce giants Alibaba, Meituan Dianping, and Pinduoduo, as well as search engine company Baidu and WeChat owner Tencent.

BetaShares NASDAQ 100 ETF (ASX: NDQ)

The BetaShares NASDAQ 100 ETF could be another ETF for investors to consider in August. This very popular ETF gives investors exposure to the 100 largest non-financial shares on the famous NASDAQ index. These are many of the largest companies in the world and household names such as Amazon, Alphabet, Apple, Facebook, Microsoft, Netflix, Nvidia, and Tesla. And despite a recent rebound, the ETF is still down 22% this year. This could make it an opportune time to invest with a long term and patient view.

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

Finally, the VanEck Vectors Morningstar Wide Moat ETF could be another ETF to consider in August. This ETF gives investors access to a diversified portfolio of fairly valued companies with sustainable competitive advantages. At present, there are a total of approximately 50 US based stocks held by the fund. These include the likes of Amazon, Warren Buffett’s Berkshire Hathaway, Boeing, Disney, Kellogg Co, Microsoft, and Salesforce.

The post 3 ETFs for smart ASX investors in August appeared first on The Motley Fool Australia.

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• Here are 2 ASX ETFs I would buy for 2022 and beyond
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has positions in and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF and VanEck Vectors Morningstar Wide Moat ETF. 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 is unfortunate that man-made climate change is starting to cause visible havoc around the world.

Experts have warned that extreme events like the bushfires in the summer of 2020 and the severe flooding this year will become more frequent, devastating people and animals alike.

This does mean, though, that someone has to do the rebuilding afterwards.

That’s why Wilson Asset Management senior equity analyst Sam Koch feels like Johns Lyng Group Ltd (ASX: JLG) is undervalued at the moment.

“We believe the combination of Johns Lyng Group’s defensive qualities and superior growth outlook supports a valuation higher than the market,” he said in a memo to clients.

“The resiliency of Johns Lyng Group’s earnings growth is an attractive quality for shareholders in the current volatile macro-economic environment.”

The share price has returned close to 510% over the past five years, but has dipped 14.3% in 2022.

Business not impacted by economic conditions

Johns Lyng provides construction services for the insurance industry. When a claim is made, the company is sent in to evaluate and repair damaged buildings.

According to Koch, this is an activity that hums along independent of any slowdowns in the wider economy.

“Johns Lyng Group’s Australian business provides building insurance and restoration services that are not influenced by the vagaries of the business cycle, whose growth is driven by relationships and service standards,” he said.

“A series of unfortunate natural disasters have recently bolstered activity within the sector which, in our view, Johns Lyng Group is well placed to support.”

The business has recently entered the strata management industry, which provides a new channel for cross-selling its building services.

Massive addressable market across the Pacific Ocean

However, Koch reckons the US market is where Johns Lyng’s “largest medium-term opportunity” lies.

“Following the acquisition of Reconstruction Experts in December 2021, which is a diversified building services provider operating in four states with over four times the population of Australia, Johns Lyng Group now has a platform to roll out its unique model,” he said.

“Whilst the opportunity in the US is significant, early results will be key to assess whether the model is replicable and scalable across the country.”

Wilson holds Johns Lyng shares in two of its funds — WAM Capital Limited (ASX: WAM) and WAM Research Limited (ASX: WAX).

Those funds are not the only fans of Johns Lyng shares. Eight out of nine analysts surveyed on CMC Markets currently recommend the stock as a strong buy.

According to Koch, the business model helps incentivise all the staff to move in one direction.

“Its unique partnership model with owner-operators drives a strong culture of alignment and excellence, which has been a significant contributor to its overall success.”

The post ‘Superior growth outlook’: ASX share raking it in from climate change appeared first on The Motley Fool Australia.

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Motley Fool contributor Tony Yoo has positions in Johns Lyng Group Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Johns Lyng Group Limited. The Motley Fool Australia has recommended Johns Lyng 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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A new month is just about here so what better time to look at your portfolio and make some new additions.

But which shares should you buy? Listed below are two ASX 200 shares that the team at Bell Potter believe are buys. Here’s what it is saying:

Costa Group Holdings Ltd (ASX: CGC)

This horticulture company could be an ASX 200 share to buy in August. Costa operates ~7,300 hectares of farming assets across five key categories and three regional hubs.

Bell Potter believes that it is well-placed for growth and sees it as a great inflation hedge. It commented:

CGC has deployed ~$540m of capital since CY19 through the acquisition of citrus properties, development of berry acreage in Morocco and China and investment in mushroom and tomato capacity. A return on this investment is expected to be the main driver of earnings through to CY23e. In addition we are seeing favourable YTD pricing trends across the majority of CGC’s product portfolio which provides insulation against inflationary cost pressures.

Bell Potter has a buy rating and $3.75 price target on the company’s shares. This compares favourably to the current Costa share price of $2.57.

TechnologyOne Ltd (ASX: TNE)

Another ASX 200 share that could be in the buy zone is TechnologyOne. Bell Potter likes the enterprise software provider due to its shift to a software as a service (SaaS) business model. Its analysts expect this to underpin stronger margins and equally strong earnings growth.

The broker explained:

The migration [to a fully integrated SaaS solution] is now around three quarters complete and Technology One is starting to reap the benefits of greater recurring revenue and a higher margin. This combination will in our view drive double digit earnings growth for years to come and, as the migration of customers approaches 100%, we expect the multiple to rerate to that of a pure SaaS company.

Bell Potter has a buy rating and $12.50 price target on the company’s shares. This compares to the latest TechnologyOne share price of $11.72.

The post Broker names 2 ASX 200 shares to buy in August appeared first on The Motley Fool Australia.

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• Analysts name 2 ASX growth shares to buy in August
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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 COSTA GRP FPO and 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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If you’re a fan of Warren Buffet’s style of buy and hold investing, then you may want to look at the three ASX shares listed below.

These are shares that the team at Bell Potter believe are “champion stocks” and excellent buy and hold options for investors. Here’s what the broker is saying about them:

Goodman Group (ASX: GMG)

The first ASX share that could be a top buy and hold option is integrated industrial property company Goodman. Bell Potter believes Goodman is well-placed for long term growth thanks to its world class portfolio and the increasing demand for industrial property.

The broker commented:

One of the world’s largest integrated industrial property groups with operations centred around development, management and ownership throughout Australia, New Zealand, Asia, Europe, United Kingdom, North America, and Brazil. The long term outlook for industrial and logistics properties is favourable given the continuing growth in ecommerce (or on-line retail sales) and the growing middle class in developing countries.

Sonic Healthcare Limited (ASX: SHL)

Another ASX share that the broker expects to be a long term market beater is Sonic Healthcare. Its analysts rate the pathology provider highly due to their belief that it is well-placed for growth thanks to increasing demand for pathology services and its international expansion opportunities.

Bell Potter explained:

The world’s third largest pathology provider with significant operations in the USA, United Kingdom, Germany, Switzerland, Belgium, Australia and New Zealand. Against the backdrop of continuing growth in the demand for pathology services over the longer term, the group has further international expansion opportunities in both existing and new geographical markets.

Transurban Group (ASX: TCL)

A final ASX share that Bell Potter expects to be a long term market beater is toll road giant Transurban. Bell Potter is bullish due to the company’s strong portfolio and huge development opportunities. The latter is expected to support its growth in the coming decades.

The broker said:

Australia’s largest builder, owner and operator of urban toll road networks. The group also has toll road assets in North America. The group’s current pipeline of growth projects is $3.9 billion (TCL’s share of total project cost) and further huge development opportunities are expected over the next few decades supported by population and economic growth.

The post Broker names 3 ASX 200 shares to buy and hold appeared first on The Motley Fool Australia.

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• Here are the top 10 ASX 200 shares today
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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 Sonic Healthcare 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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First Sentier’s Tim Canham reckons the commodities boom ain’t over yet.

He’s particularly bullish on ASX gold share Genesis Minerals Ltd (ASX: GMD) and mineral sands miner Iluka Resources Limited (ASX: ILU).

Canham is a senior portfolio manager within First Sentier’s emerging companies team.

In an interview with the Australian Financial Review (AFR), Canham revealed they have just bought a gold share.

Why buy Genesis Minerals?

Canham said:

Even though it’s not a sector in favour, we have a new position in a gold stock, Genesis Minerals. Former management team of Saracen Minerals, which merged with Northern Star.

The company recently conducted a $100 million capital raising. Genesis also announced a merger with troubled Dacian Gold. This gives the emerging company access to a relatively new processing facility in the region at below replacement value.

This merger and potential further transactions at a time when labour and capital cost pressure are intense, puts the company in an enviable position at a low point in the gold cycle.

The Genesis Minerals share price closed Friday’s session at $1.39, up 4.92%. The gold share is up 94% over the past 12 months but down 18% in the year to date.

Why buy a gold share when commodity prices are falling?

This might come as a surprise given commodity prices have been falling for a few months now. The price of gold has fallen from a recent high of around US$2,052 t.oz in March to US$1,760 t.oz today.

Canham says the environment for gold shares “is very tough given the increasing cost environment in terms of labour, fuel and other processing inputs”.

He adds:

An Achilles heel of the sector is that it has no pricing power, despite the relative cushion of a weaker Australian dollar. But I always like to own some gold, as when it’s in favour, the stocks can really do well. Usually, when you least expect it, you are thankful you own some.

What’s the outlook for commodities?

Canham is “quite bullish” on commodities:

When we look across a number of commodities like natural gas, oil, copper, zircon, and nickel – there has been very little supply response in any those key ingredients for global growth. The current high operating and capital costs make supply growth even more unlikely.

When I attempt to marry this up against these wonderful, smooth, upward-sloping demand charts of electric vehicle production, renewable energy and grid build-out, I do scratch my head. It makes me quite bullish in the medium term on the commodity complex.

Why buy Iluka Resources?

When asked to name an undervalued ASX share that he is most bullish on, Canham nominates Iluka Resources.

Yes, there are headwinds from global recession fears and Chinese housing issues, but the fundamental lack of supply in mineral sands products is very real.

Generally for me to get bullish about a commodity there must be a supply angle (i.e., a lack of it).

We think its rare earth refinery investment in WA is also misunderstood by the market and undervalued. As a manufacturing destination, WA looks attractive with some of the lowest gas prices in the world.

The Iluka Resources share price closed Friday’s session at $9.58, down 0.1%. Iluka shares are down around 4% over the past 12 months and 8% in the year to date.

The post The All Ordinaries gold share ‘in an enviable position’: fundie appeared first on The Motley Fool Australia.

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• ‘Misunderstood by the market’: Why this fundie says this ASX 200 mining share is undervalued right now
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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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“If you’re going through hell, keep going.”

The above quote is often attributed to Winston Churchill. It sounds like something he might have said, although there is no evidence to suggest that it was, in fact, his.

As per Quote Investigator, it’s possible that it was adopted from a different source, such as “Christian Science Sentinel”, a religious journal, in 1943. There, the story went that a man was asked how he was, to which he replied: “I’m going through hell!”. His friend responded:

“Well, keep going. That is no place to stop!”

No place, indeed.

It’s been a rough ride, Fools. These past few months have tested the resolve of even the most experienced investors, and have no doubt seen many give in to the market’s pessimism.

But to do so now would, I believe, be consequential. 

The market is driven not by perfect information, but instead by incomplete information compounded by investor psychology. When panic sets in, people rush for the exits and leave behind those who are more focused on the underlying businesses and long-term wealth creation.

Bear markets, which can feel like hell for investors, are temporary. And while it mightn’t feel like it at the time, this is where the foundations are set for the next bull cycle. 

Companies like JB Hi-Fi Limited (ASX: JBH), an Australian discretionary retailer recently reported a record sales result. Meanwhile, many companies in the United States that have recently reported their second-quarter earnings results – Netflix (NASDAQ: NFLX) among them – have also surprised to the upside.

Investors who sell out now, or merely remain on the sidelines, might avoid any further pain, should the market fall further. But many will also miss out on the gains which I expect will come to those who remain patient.

I’m not trying to call the bottom of the market. I don’t know when that will be, nor if it has already been. But I will echo the words that Winston Churchill may or may not have said:

“If you’re going through hell, keep going.”

The post ‘If you’re going through hell, keep going’ appeared first on The Motley Fool Australia.

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• Here are 3 stellar ASX growth shares analysts are tipping as buys
• Is the Pilbara Minerals value-add lithium strategy worth its salt?
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• Is it safer to pull your money out of the stock market or keep investing for now?

Motley Fool contributor Ryan Newman 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 Netflix. The Motley Fool Australia has recommended Netflix. 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 a fan of growth shares, then you might want to look closely at the three shares listed below.

Here’s why these could be growth shares to buy:

Breville Group Ltd (ASX: BRG)

The first ASX growth share to look at is leading appliance manufacturer Breville. Thanks to acquisitions and its ongoing investment in product development, the company’s portfolio has been resonating well with consumers for many years. Together with its international expansion, this has underpinned solid sales and earnings growth over the last decade. Pleasingly, the team at Morgans expect this positive trend to continue. They are forecasting double-digit sales growth over the next few years.

Morgans currently has an add rating and $25.00 price target on its shares.

Megaport Ltd (ASX: MP1)

Another ASX growth share that could be a buy is Megaport. It is a leading cloud connectivity and networking solutions provider with operations across a large number of data centres globally. Goldman Sachs is tipping Megaport to grow rapidly in the coming years thanks to its first mover advantage in an industry benefiting from the long-term structural tailwinds of public cloud adoption (and multi-cloud usage) and the transition towards Networking as a Service (NaaS). The broker estimates that these tailwinds currently provide it with a $129 billion per annum opportunity across its current geographies.

Goldman has a buy rating and $9.60 price target on its shares. Elsewhere, it is worth highlighting that UBS has a buy rating and significantly higher price target of $17.60.

ResMed Inc. (ASX: RMD)

A final growth share to look at is ResMed. It is a sleep treatment focused medical device company which has been tipped to continue its strong growth long into the future. This is expected to be underpinned by ResMed’s world class products, significant and growing market opportunity, and its increasingly important digital platform. The latter has seen ResMed develop a patient-centric, connected-care digital platform which the team at Morgans notes is addressing the main pinch points across the healthcare value chain.

Morgans is very positive on the company’s future and has an add rating and $37.95 price target on its shares.

The post Here are 3 stellar ASX growth shares analysts are tipping as buys appeared first on The Motley Fool Australia.

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• These were the best performing ASX 200 shares in July
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended MEGAPORT FPO and 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 MEGAPORT FPO. 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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Pilbara Minerals Ltd (ASX: PLS) outlined its strategy to profit from the entire lithium supply chain in an on-site presentation at its 100%-owned Pilgangoora Project in Western Australia on Friday.

In its presentation, Pilbara Minerals said it was “positioning to capture value throughout the entire lithium raw material and chemical supply chain”.

The company has a strategic plan to become a “fully integrated battery grade lithium hydroxide producer”.

Tesla Inc (NASDAQ: TSLA) CEO and electric vehicles pioneer Elon Musk recently described lithium processing as “a licence to print money” with “software margins”.

At market close, the Pilbara Minerals share price finished up 1.47% to $2.77 today.

What’s the plan?

Pilbara Minerals told investors today that it saw three components to the lithium supply chain.

The upstream component refers to the spodumene concentrate Pilbara already extracts from the ground. The current process is “carbon intensive”, with only 5% to 6% lithium oxide in the raw course material dug out of the dirt. More than 90% of the export mass shipped to customers contains aluminosilicates.

The proposed midstream component would reduce the carbon intensity and completely remove the aluminosilicates. The refining process would create lithium salts with 35%-plus lithium oxide. The aluminosilicates would remain on-site at the mine.

The proposed downstream component involves further refining to create lithium fine chemicals.

Developments send share price higher

Investors appear to be excited about Pilbara Minerals plans for expansion along the full lithium supply chain.

In the June quarter, Pilbara signed a binding memorandum of understanding with Australian technology company Calix Ltd (ASX: CXL) for a joint venture relating to the midstream process.

The JV involves the development of a demonstration plant and potential future commercialisation of Calix refining technology at Pilgangoora.

The Federal Government awarded a $20 million Modern Manufacturing Initiative Grant to help fund the project. Investors gave the Pilbara Minerals share price a 5% boost on the day of the announcement.

Pilbara Minerals is working on the downstream component through a joint venture with South Korean company POSCO.

In the June quarter, detailed engineering, procurement, site preparation and road works began on constructing a 43,000tpa LHM primary lithium hydroxide chemical processing facility in Gwangyang.

Investors reacted positively to the JV announcement on 26 October 2021. They sent Pilbara Minerals shares 8% northwards on the day.

In addition, the Pilbara Minerals share price surged 6% yesterday. This was on the back of a 50% boost to production, as outlined in the company’s June quarterly activities report.

Pilbara Minerals share price snapshot

Pilbara Minerals is a leading ASX lithium share whose share price has exploded 736% over two years.

Its Pilgangoora operation is the world’s largest independent hard-rock lithium mine. Two processing plants on-site — Pilgan and Ngungaju — produce spodumene and tantalite concentrate.

The post Is the Pilbara Minerals value-add lithium strategy worth its salt? appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Friday
• Pilbara Minerals share price lifts amid 50% quarterly production boost
• Here are the 3 most traded ASX 200 shares on Thursday
• Broker gives its verdict on the Pilbara Minerals share price
• Here are the 3 most heavily traded ASX 200 shares on Tuesday

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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If you’re wanting to boost your income with some dividend shares, then you might want to consider the two listed below that have been named as buys by Goldman Sachs.

Here’s what you need to know about these dividend shares:

Elders Ltd (ASX: ELD)

The first ASX dividend share that Goldman Sachs is bullish on is Elders. It is an agribusiness company that provides a range of services to rural and regional customers across the Australia/New Zealand region.

After going through a difficult period, Elders has bounced back strongly and delivered solid earnings growth in the last couple of years. This has continue in FY 2022, with the company reporting an 80% increase in first-half EBIT to $132.8 million.

In response to this, Goldman Sachs put a buy rating and $21.00 price target on its shares. It also likes Elders due to its “strong track record; good industry structure; potential for positive earnings surprise; and an attractive valuation.”

As for dividends, Goldman is forecasting dividends per share of 50 cents in FY 2022 and 53 cents in FY 2023. Based on the current Elders share price of $11.28, this implies attractive yields of 4.4% and 4.7%, respectively.

Woolworths Group Ltd (ASX: WOW)

Another ASX dividend share that Goldman rates highly is Woolworths. It is of course the retail giant behind the eponymous supermarket chain. In addition, it owns Big W, Countdown, and the Everyday Rewards loyalty program.

Combined, the broker believes that Woolworths is well-placed for solid sales and profit growth through to FY 2024. It recently commented:

We forecast [a sales] 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.

In respect to dividends, Goldman Sachs is forecasting fully franked dividends per share of 96 cents in FY 2022 and $1.18 in FY 2023. Based on the current Woolworths share price of $37.52, this will mean yields of 2.6% and 3.2%, respectively.

Goldman has a buy rating and $40.50 price target on its shares.

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

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More reading

• These were the worst performing ASX 200 shares in July
• Own Woolworths shares? Here’s what a top broker is saying about its latest acquisition
• Why the Woolworths share price will be on watch today
• Top brokers name 3 ASX shares to buy next week
• Analysts rate these ASX 200 blue chip shares 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 no position in any of the stocks mentioned. 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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