I believe that investing in (ASX) shares is one of the best ways to improve our finances and grow wealth over time. Starting from scratch may be a daunting prospect for a beginner investor, but I believe there are some names that could be good picks for the long term.

Shares have the ability to produce attractive compounding returns. In other words, growth on growth over multiple years. Of course, there’s always the chance that in any given year there could be a market slump. The current volatility we’re seeing is an example of that. The COVID-19 crash was another example of a market decline, but that also demonstrated how markets have typically recovered over time.

I view market declines as opportunities to buy businesses and assets at cheaper prices. When I go to the supermarket, I’d prefer the products priced at a discount rather than being fully priced. For me, it’s a similar thing to investing. I’d rather invest heavily when share prices are down.

In my opinion, the current market decline means it could be a good time to invest if I had to start a portfolio from scratch. With that in mind, if I were given $20,000 to invest in ASX shares, this is how I’d do it:

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

I would invest $4,000 into Soul Pattinson. For me, this investment house business can be an ultra-long-term investment (it’s already over a century old). It has a diverse portfolio across a range of industries like telecommunications, resources, property, building products, agriculture, and so on.

I’d make it my biggest allocation because I think it can provide stability, long-term growth and growing dividends.

Wesfarmers Ltd (ASX: WES)

Next, I would put $3,000 towards Wesfarmers shares. Wesfarmers is another conglomerate, but it has a more focused portfolio. Hardware business Bunnings is the key division, which makes big profit for Wesfarmers, but the ASX share also owns other quality businesses in retail (Kmart, Officeworks, and more), healthcare (Priceline), energy and fertilisers (WesCEF), and so on. I like that it can, and does, buy and sell businesses to improve its portfolio.

Airtasker Ltd (ASX: ART)

I’d want to put $2,500 into Airtasker shares. I believe that the local services marketplace business has a very promising future. It’s generating growth and making rapid gains in the large markets of the UK and US.

It’s one of my preferred ASX growth shares and I think it’s doing the right things to succeed in the long term. Nothing is guaranteed, but I think it could be a much bigger and more profitable business in a decade from now if it keeps growing its revenue at a double-digit rate.

VanEck Morningstar Wide Moat ETF (ASX: MOAT)

I think that the MOAT ETF is one of the best exchange-traded funds (ETFs) on the ASX. I’d put $3,500 into this choice.

It’s an actively managed portfolio focused on US businesses that have strong competitive advantages which are expected to endure for many years to come. Businesses are only added to the portfolio if they are viewed as good value. The ETF has performed well, with the MOAT ETF unit price almost doubling over five years. I also like the geographic diversification the ETF would add for Aussies as well.

Pilbara Minerals Ltd (ASX: PLS)

Pilbara Minerals is an ASX lithium mining share I’d put $2,000 towards.

While it’s not as cheap as it was in June 2022, I’m bullish about the long-term of Pilbara Minerals. Not only is it benefiting from very high lithium prices – which could stay relatively high as electric vehicle and battery demand grows – but it’s also working on being involved with more of the lithium value chain. I think this is very promising for the future profitability of the business.

Temple & Webster Group Ltd (ASX: TPW)

The Temple & Webster share price has dropped around 50% in 2022. I’d want to put $1,500 towards it because I like how the business is investing in various ways to give great customer service, including its virtual reality and augmented reality technology. The online model can come with better profit margins and more rapid scaling than a brick-and-mortar business could achieve.

After its fall this year, I think it’s an opportunity. I like its expansion into other areas like home improvement. Scale should also help profit margins in the future. Year over year, it’s growing quickly.

Betashares Climate Change Innovation ETF (ASX: ERTH)

This ETF is about investing in a portfolio of global businesses that are aiming to help the world decarbonise or become greener and sustainable in some form.

I’d want to put $1,500 into this one because I believe the growing desire of societies to reach net zero in the coming decades will translate into growing revenue and earnings for the businesses making that greener future happen.

Bailador Technology Investments Ltd (ASX: BTI)

This is an investment company that purely invests in small (but rapidly growing) technology businesses. I’d want to invest $2,000 into this one.

It’s looking for private tech businesses that have plenty of growth potential, international revenue, and have good unit economics. The Bailador investment team has been effective at finding those opportunities. I’m backing them to continue to find good opportunities, while the introduction of a regular dividend is also attractive to me.

The post How I’d invest $20,000 in ASX shares today if I had to start from scratch appeared first on The Motley Fool Australia.

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More reading

• These were the best performers on the ASX 200 in August
• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• Why is the Wesfarmers share price sliding lower on Wednesday?
• Could the Pilbara Minerals share price really offer more than 50% upside in FY23?
• 5 things to watch on the ASX 200 on Wednesday

Motley Fool contributor Tristan Harrison has positions in Bailador Technology Investments Limited and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Bailador Technology Investments Limited, Temple & Webster Group Ltd, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Airtasker Limited. The Motley Fool Australia has positions in and has recommended Washington H. Soul Pattinson and Company Limited and Wesfarmers Limited. The Motley Fool Australia has recommended Bailador Technology Investments Limited, Temple & Webster Group Ltd, 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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The Lake Resources NL (ASX: LKE) share price took off last month.

After closing the final session of July at 81 cents, stock in the S&P/ASX 200 Index (ASX: XJO) lithium favourite ended yesterday’s trade at $1.17. That marks a 44.4% improvement.

For context, the index lifted 0.6% over the month of August.

Interestingly, the stock’s surge came despite the company’s silence. The last time the market heard price-sensitive news from the company was in late July.

So, what’s been driving the Lake Resources share price lately? Let’s take a look.

What went right for the Lake Resources share price?

To really delve into what went right for Lake Resources stock last month, one must look to the company’s recent struggles. Notably, a short attack launched against the company in July.

A report issued by short-seller J Capital claimed the company’s flagship Kachi Project wouldn’t reach production by 2024 as planned. It also alleged direct lithium extraction technology intended to be used at the project won’t work the way the company claims it will.

Lake Resources disputed the allegations. It said the short seller was, incredibly, critiquing the wrong technology.

But its clap back didn’t stop its short position rocketing to a high of 10.8% early last month. That’s since dipped slightly, falling to 10% as of the most recent data available.

Looking even further back, the stock plummeted 49% in June amid a broader lithium sell-off.

Thus, despite its recent gains, the Lake Resources share price is still 24% lower than it was at the end of May and just 7% higher than where it started 2022.

Comparatively, its fellow ASX 200 lithium shares, Core Lithium Ltd (ASX: COR) and Pilbara Minerals Ltd (ASX: PLS) have respectively gained 122% and 4% year to date.

It’s also worth pointing out there was major news from many of Lake Resources’ ASX 200 peers last month.

Core Lithium dropped news of lithium and gold findings and Pilbara Minerals posted its maiden profit. Meanwhile, Allkem Ltd (ASX: AKE) dropped record full-year results and Sayona Mining Ltd (ASX: SYA) released good news about its North American Lithium operation’s anticipated production.

All these updates may have helped boost sentiment for the Lake Resources share price.

The post Why did the Lake Resources share price rocket 40% in August? appeared first on The Motley Fool Australia.

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More reading

• These were the best performers on the ASX 200 in August
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today
• Could this give some ASX lithium shares the edge?
• Why did the Lake Resources share price plunge 10% today?

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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 Webjet Limited (ASX: WEB) share price was a strong performer on Wednesday.

The online travel agent’s shares rose a sizeable 8% to $5.52.

Investors were bidding Webjet’s shares higher after responding positively to the release of the company’s trading update.

Where next for the Webjet share price?

The good news is that Goldman Sachs believes the Webjet share price can keep ascending from here.

According to a note out of the investment bank from this morning, the broker has retained its buy rating with a slightly trimmed price target of $6.80.

Based on the latest Webjet share price, this implies potential upside of 23% for investors over the next 12 months.

And with Goldman expecting dividend payments to return in FY 2023 with a modest 6 cents per share dividend, the total potential return stretches to over 24% including it.

What did the broker say?

Goldman notes that Webjet’s trading update revealed a strong recovery in the Bedbanks business and impressive cash flow forecasts.

And while it notes that a slower than expected recovery in international travel is holding back its OTA business, it has seen enough to remain bullish. Particularly given the aforementioned free cash flow generation, which it believes supports potential M&A activities and a final dividend payment in FY 2023. The broker concluded:

Overall, we view travel recovery as trending in the right direction, albeit with hiccups in the trend and we believe WEB remains well positioned to capitalise on the recovery through their online OTA offer and more importantly the strengthening position in the Bedbanks market. We expect the group to resume dividend payment from final dividend in FY23. Our revised 12m Target Price of A$6.80 offers a total potential return of 24.3% and we maintain our Buy rating on WEB.

The post Broker tips 23% upside for Webjet share price and the return of dividends appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Thursday
• 3 ASX All Ords shares that leapt over 10% today
• Here are the top 10 ASX 200 shares today
• Why Deep Yellow, Nitro, Tyro, and Webjet shares are storming higher
• Why is the Qantas share price beating the ASX 200 on Wednesday?

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 Webjet 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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Investors are always told to hold for the long run, but sometimes even many years of patience doesn’t pay off.

Some businesses are just duds. Or management and staff might be working very hard but for some reason market sentiment is against the stock.

After keeping a close eye on reporting season, Morgans analyst Andrew Tang reckons he’s found a couple of long-term losers that are rejuvenated and ready to take off.

That will come as relief for long-time shareholders, or present a ripe buying opportunity for new investors:

Huzzah, this company is finally profitable!

It has been an arduous march for Helloworld Travel Ltd (ASX: HLO) shares.

Even the most patient of shareholders must have gone well grey by now, with the travel agency stock losing 56% over the past 5 years.

Ouch.

But Tang feels like that’s all about to change.

“Helloworld’s FY22 result beat expectations with the group returning to modest (EBITDA) profitability in the fourth quarter,” he said in a Morgans’ Best Calls To Action memo.

“Cashflow and the balance sheet were also stronger than expected.”

There was something of a catalyst earlier this year when Helloworld sold off its corporate travel division to Corporate Travel Management Ltd (ASX: CTD) in a $175 million deal.

Tang believes this has now made Helloworld shares an absolute bargain.

“Backing out its investment in the corporate travel division from its enterprise value, Helloworld is materially undervalued, trading on a recovery year EV/EBITDA multiple of only 2.9 times.”

Management is so optimistic about the future that despite the years of capital loss, a dividend was paid out this time round.

“In a sign of confidence, Helloworld has rewarded shareholders with a 10 cents per share final dividend,” said Tang.

“It also provided FY23 guidance which was well above consensus.”

‘Improving operating leverage’ makes for a great 2023

Another atrocious long-term performer is payments terminal provider Tyro Payments Ltd (ASX: TYR).

Growth share fans ploughed into the stock when it listed on the ASX in December 2019 after an initial public offer price of $2.75.

The fintech stock rode as high as $4.38 during those early months, but has disappointed in the three years since.

In fact, currently Tyro shares are down almost 74% from those post-float highs.

Tang noted that in its latest results Tyro’s net profit was below consensus, but earnings and financial year 2023 guidance landed above expectations.

“Our key result takeaway was the market had been waiting for TYR to give evidence of improving operating leverage, with FY23 EBITDA guidance of $23 million to $29 million (FY21 $10.5 million) particularly meeting that criteria.”

The Morgans team therefore has lifted its earnings forecast for the company by more than 10%, and rates Tyro as a buy.

The post 2 heart-breaking ASX shares finally turning it around: Morgans appeared first on The Motley Fool Australia.

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More reading

• 3 ASX All Ords shares that leapt over 10% today
• Why did the Tyro share price surge 12% today?
• Why Deep Yellow, Nitro, Tyro, and Webjet shares are storming higher
• 3 ASX All Ords shares lifting on full-year results
• Why A2 Milk, Lovisa, McMillan Shakespeare, and Tyro are storming higher

Motley Fool contributor Tony Yoo has positions in Corporate Travel Management Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Helloworld Limited and Tyro Payments. The Motley Fool Australia has positions in and has recommended Helloworld Limited. The Motley Fool Australia has recommended Corporate Travel Management Limited and Tyro Payments. 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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Despite some tough days at the end of the month, the S&P/ASX 200 Index (ASX: XJO) managed to record a small gain in August. The benchmark index climbed 0.6% to end the month at 6,986.8 points.

Unfortunately, not all shares climbed with the market. Here’s why these were the worst performers on the ASX 200 in August:

City Chic Collective Ltd (ASX: CCX)

The City Chic share price was the worst performer on the ASX 200 in August with a 29.5% decline. Investors were selling this plus sized fashion retailer’s shares following the release of a disappointing full year result. City Chic revealed a 39% increase in revenue to $369.2 million and a modest increase in net profit after tax to $22.3 million. However, overshadowing this was the almost tripling of its inventory position and its negative cash flow.

St Barbara Ltd (ASX: SBM)

The St Barbara share price was out of form and dropped 20.7% during the month. Investors were selling St Barbara and other gold miners last month after the gold price tumbled on the belief that rates will continue to rise and reduce the appeal of the non-yielding asset. For the same reason, the Ramelius Resources Limited (ASX: RMS) share price also tumbled materially last month. Its shares ended the month 18.2% lower than where they started it.

TPG Telecom Ltd (ASX: TPG)

The TPG share price wasn’t far behind with a decline of 16%. Investors were selling this telco giant’s shares following the release of its half year results. TPG reported an adjusted net profit after tax of $331 million, which was up 3.8% over the prior corresponding period. However, according to a note out of Goldman Sachs, TPG’s profits missed by 15%. It also highlighted “disappointing opex and Mobile ARPU growth.”

Credit Corp Group Limited (ASX: CCP)

The Credit Corp share price also dropped 16% in August. This followed the release of the debt collector’s full year results. While Credit Corp achieved its guidance for FY 2022, it was its outlook for FY 2023 that disappointed. For example, Morgans was expecting FY 2023 net profit guidance of $94 million to $104 million. However, management is targeting $90 million to $97 million. In addition, later on in the month the company announced customer remediation plans after charging people interest that it shouldn’t have done.

The post These were the worst performers on the ASX 200 in August appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• St Barbara share price slides on 70% profit slash
• ASX dividend windfall continues but it’s not just Woodside and ASX 200 energy stocks splashing the big cash
• Ramelius share price slips following 90% profit plunge
• ASX 200 reporting season weekly wrap: Top risers and fallers

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 TPG Telecom 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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Woodside Energy Group Ltd (ASX: WDS) got investors excited this week when it reported a 400% profit surge in its FY22 half-year earnings and tripled its interim dividend for shareholders.

Woodside said the half-year profit surge reflects “strong operational performance, higher realised prices and contribution from the BHPP assets”.

The assets it’s referring to there are those within the petroleum business of BHP Group Ltd (ASX: BHP).

Woodside completed its merger with BHP Petroleum International Pty Ltd (BHPP) on 1 June. Therefore, there was only a single month of production from those BHP assets included in the half-year result.

But what a contribution.

How significant are the BHP assets to Woodside?

The single month of production from the BHPP assets equated to 9.7 million barrels of oil equivalent (boe) for Woodside, according to its half-year report.

This ended up being 17% of Woodside’s total production for the six months to 30 June. In just one month, those BHP assets delivered almost a fifth of Woodside’s total half-year production.

Woodside reported total production of 54.9 million boe — up 19% on the prior corresponding period.

It also reported that realised prices for its oil and gas more than doubled to $96.4 per boe across its expanded portfolio of assets.

So, not only is Woodside producing more — with the help of those BHP assets — it’s also selling its product for more than double the price.

What will Woodside’s production look like for the next half of FY22, when it gets the benefit of six months of production out of those BHP assets?

What did the Woodside CEO say about the BHP assets?

Woodside Energy CEO Meg O’Neill said:

Our first results since the completion of the merger with BHP’s petroleum business highlight the increased financial and operational strength delivered by our larger, geographically diverse portfolio of high-quality operating assets.

Production for the half year was 19% higher at 54.9 million barrels of oil equivalent, benefiting from the contribution in the month of June of the former BHP assets and improved reliability at our LNG facilities.

BHP merger provides $400 million in synergies

In its report, Woodside said:

Woodside has delivered synergies of approximately $100 million of the $400+ million per year synergies target, with more than $300 million of further opportunities for synergies identified.

Following completion of the merger with BHP’s petroleum business … Woodside’s Reserves as at 1 June 2022 increased to 2,339.6 MMboe Proved (1P) Reserves and 3,786.4 MMboe Proved plus Probable (2P) Reserves, with an increase in the Best Estimate (2C) Contingent Resources to 8,682.4 MMboe.

How the Woodside share price responded

The Woodside share price moved up 1.93% on Tuesday — the day Woodside released its half-year report. Not only that, the shares hit a two-year high price of $36.68 in intraday trading.

Yesterday, Woodside shares pulled back by 4.52% to close at $34.25. Potentially, this could have been a result of investors selling the stock to take their capital gains and run.

Woodside has a 30-day average trading volume of 5.36 million shares. On Tuesday, 6.4 million shares were traded. Yesterday, 12.7 million shares swapped hands.

The interim dividend is the largest Woodside has paid since 2014. However, the Woodside share price has only gained 20% in value over the past five years.

The post Do Woodside shares still have more upside to come from the company’s BHP purchase? appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Thursday
• How does the Rio Tinto dividend stack up against what BHP is offering?
• Why DGL, PointsBet, Tabcorp, and Woodside shares are dropping today
• Why is the Woodside share price tumbling 4% on Wednesday?
• What’s going wrong for ASX 200 iron ore shares on Wednesday?

Motley Fool contributor Bronwyn Allen has positions in BHP Billiton Limited and Woodside Petroleum Ltd. 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 S&P/ASX 200 Index (ASX: XJO) managed to carve out a small gain in August despite the market volatility. The benchmark index rose 0.6% to end the period at 6,986.8 points.

Four ASX shares that smashed the market last month are listed below. Here’s why they were the best performers on the ASX 200 in August:

Lake Resources N.L. (ASX: LKE)

The Lake Resources share price was the best performer on the ASX 200 last month with a whopping 41% gain. The heavily shorted lithium share was given a major boost after analysts at Macquarie raised their lithium forecasts materially on the belief that supply will remain very tight for the foreseeable future. For the same reason, fellow lithium miners Pilbara Minerals Ltd (ASX: PLS) and Liontown Resources Limited (ASX: LTR) both rose approximately 32% in August.

OZ Minerals Limited (ASX: OZL)

The OZ Minerals share price was on fire and stormed 36% higher last month. Investors were scrambling to buy this copper producer’s shares after it received and rejected a takeover approach from BHP Group Ltd (ASX: BHP). The company’s board believed the $25.00 per share offer significantly undervalued OZ Minerals and was not in the best interests of shareholders.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price was a strong performer with a 25.6% gain in August. Rising coal prices and a massive FY 2022 profit helped drive this miner’s shares higher last month. In respect to the latter, for the 12 months ended 30 June, Whitehaven Coal reported 216% increase in revenue to $4.9 billion and a record net profit after tax of $1.95 million. This allowed the company to pay a fully franked final dividend of 40 cents per share, which took its full year dividend to 48 cents per share.

A2 Milk Company Ltd (ASX: A2M)

The A2 Milk share price wasn’t far behind with a gain of 22.2% last month. Investors were buying this infant formula company’s shares following the release of a surprisingly strong full year result late in the month. As well as delivering revenue and earnings ahead of expectations, the company’s guidance also surprised to the upside. Another positive was that A2 Milk announced a NZ$150 million share buyback.

The post These were the best performers on the ASX 200 in August 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 Wednesday
• Looking to get your hands on the monster Whitehaven dividend? Read this
• Could the Pilbara Minerals share price really offer more than 50% upside in FY23?
• Broker says A2 Milk share price can keep rising

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 A2 Milk. 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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ASX reporting season saw a whole host of S&P/ASX 200 Index (ASX: XJO) shares declare lucrative dividends.

Before these dividends can be paid, companies must first determine which investors are eligible for the dividend payment.

To do so, they set a cut-off date, otherwise known as the ex-dividend date. Investors looking to secure a dividend must own shares in the company before the associated ex-dividend date.

Here are five ASX 200 shares going ex-dividend tomorrow, in order of market capitalisation from largest to smallest.

This means that today is the final day to lock in the latest dividends from these ASX 200 shares.

Coles Group Ltd (ASX: COL)

Today will be the last day Coles shares will be trading with a final FY22 dividend of 30 cents, fully franked.

Investors who own Coles shares by the time the market closes today should see this payment come through on 28 September. Alternatively, a dividend reinvestment plan (DRP) is also available.

Across the full year, the ASX 200 supermarket giant declared total FY22 dividends of 63 cents, up 3% from the prior year.

This puts Coles shares on a trailing dividend yield of 3.6%. Throwing in franking credits, this yield bumps up to 5.1%.

Ampol Ltd (ASX: ALD)

ASX 200 fuel company Ampol will be trading tomorrow without an interim dividend of $1.20, fully franked.

Like Coles, the payment date has been pencilled in for 28 September.

For the first half of FY22, Ampol reported a 114% uplift in statutory net profit after tax (NPAT) as its refiner margins went gangbusters.

This helped the company to hike up its interim dividend by 130% compared to the 52-cent interim dividend declared last year. In fact, this latest FY22 interim dividend alone is bigger than Ampol’s total dividends across FY21.

On the back of this monster interim dividend, Ampol shares are currently trading on a trailing 12-month dividend yield of 4.7%. This grosses up to 6.7% including franking credits.

Eagers Automotive Ltd (ASX: APE)

Eagers Automotive shares will be on watch tomorrow as the ASX 200 automotive retail group turns ex-dividend.

Despite first-half profit taking a backwards step, the company lifted its ordinary interim dividend by 10% to 22 cents, fully franked. This dividend will be paid on 23 September.

Eagers Automotive shares are currently flashing a trailing 12-month dividend yield of 4.8%, or 6.9% grossed up.

Lifestyle Communities Limited (ASX: LIC)

Lifestyle Communities is another ASX 200 share turning ex-dividend tomorrow.

That means that today will be the last day to bag the company’s FY22 final dividend of 6 cents, fully franked. The payment date has been marked down for 6 October.

Across the financial year, Lifestyle Communities declared total FY22 dividends of 10.5 cents, fully franked. 

This was up 31% on the prior year and puts shares on a trailing dividend yield of 0.6%. With the benefit of franking credits, this yield ticks up to 0.9%.

Kelsian Group Ltd (ASX: KLS)

Last but not least, shares in Kelsian, formerly known as Sealink Travel, will also be trading ex-dividend tomorrow.

The company recently declared a fully franked final dividend of 9.5 cents, up 6% over the prior year. This payment should appear in shareholders’ accounts on 5 October.

With this final dividend, Kelsian’s total FY22 dividend payouts edged higher by 3% to 16.5 cents. 

As a result, Kelsian shares are printing a trailing dividend yield of 3.0%. Including franking credits, this yield cranks up to 4.3%.

The post Here are 5 ASX 200 shares going ex-dividend tomorrow appeared first on The Motley Fool Australia.

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• 2 ASX 200 dividend shares to buy now according to analysts
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• Brokers name 3 ASX shares to buy today
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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 positions in and has recommended COLESGROUP DEF SET. 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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Former prime minister Scott Morrison loved to talk about the “quiet Australians”.

That was his nickname for those ordinary citizens who saw themselves working hard in their daily lives without complaint or fuss.

Similar to this, there are some ASX shares that quietly deliver value back to investors without much fanfare.

In the wash-up after reporting season, Morgans analyst Andrew Tang picked out two such performers that investors may not have heard of but definitely need to consider:

Solid growth to continue for healthcare provider

Shares for healthcare facilities operator Healius Ltd (ASX: HLS) have dropped more than 31% so far this year.

But it has rewarded long-term investors with a 76% gain since the March 2020 COVID-19 market crash or an 18.9% boost from the pre-pandemic price.

Plus Healius is currently paying out a handy 4.7% dividend yield.

Tang said in a Morgans Best Call To Action memo that the financial year 2022 results met expectations with “double-digit revenue growth and ongoing cost outs driving leverage and robust cash flow”. 

“Not surprising, COVID testing underpinned the result, while imaging and day hospitals went backwards on COVID-impacted elective surgery restrictions, lockdowns and increased costs.”

Specific numerical forecasts are difficult due to the continuing uncertainty with the coronavirus. But qualitatively, Healius ticks all the boxes for Morgans to rate it as a buy.

“We believe well managed costs, ongoing efficiencies and growth initiatives, and strong balance sheet, not to mention some continued level of COVID testing and an eventual rebound in demand from the backlog in diagnosis and surgery, lays the groundwork for solid growth.”

Quiet achiever with quiet results

Generation Development Group Ltd (ASX: GDG), formerly Austock, is a name you hardly hear of these days.

The investment bond product provider has indeed been a quiet Australian, returning more than 54.4% for its shareholders through all the global chaos over the past five years.

True to character, Tang reckons Generation Development didn’t put out “any obvious surprises” in its financial report, which is great news for investors.

“In our view, this was a pretty clean result, and it represented a relatively solid performance overall,” said Tang.

“Management also noted FY23 has seen a good start to the year for investment bond sales, albeit outlook commentary was pretty broad as per usual.”

The Morgans team lifted Generation Development’s earnings forecasts by 10% to 15% due to growth in the investment bond and Lonsec businesses.

“We continue to believe GDG is well positioned to execute a compound earnings growth story over time.”

The post 2 quietly achieving ASX shares to pounce on right now: Morgans appeared first on The Motley Fool Australia.

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

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This week, we bid farewell to winter… and another tumultuous ASX earnings season. So now, looking ahead to the brighter days of spring, hopefully the stock market can also deliver some healthy new growth.

Armed with a barrow full of info on which listed companies have been flourishing and floundering, we asked our Foolish contributors to let us know which ASX shares they reckon are worth planting some cash in right now.

Here’s what the team came up with:

8 best ASX shares for September 2022 (smallest to largest)

• DroneShield Ltd (ASX: DRO), $88.67 million
• Airtasker Ltd (ASX: ART), $184.92 million
• Alcidion Group Ltd (ASX: ALC), $196.55 million
• Lovisa Holdings Ltd (ASX: LOV), $2.31 billion
• Core Lithium Ltd (ASX: CXO), $2.39 billion
• Lynas Rare Earths Ltd (ASX: LYC), $7.78 billion
• South32 Ltd (ASX: S32), $19.21 billion
• CSL Limited (ASX: CSL), $141.57 billion 

(Market capitalisations as of 31 August 2022)

Why our Foolish writers love these ASX shares

DroneShield Ltd

What it does: DroneShield specialises in designing and developing products to detect and disable threats from unmanned drones.

By Aaron Teboneras: The DroneShield share price sank by more than 19% on Wednesday, and I believe the stock is now trading at a bargain.

The substantial fall came on the heels of DroneShield’s half-year results, which were released after market close on Tuesday. In its release, the company advised it had achieved revenue of $3.6 million, down 6% on the prior period ($3.9 million was delivered in the second half of 2021).

However, taking a closer look at some other key metrics, the company recorded cash receipts of $5.2 million in the first half of 2022. This represents a growth of 21% when compared to the $4.3 million recognised in the second half of 2021.

DroneShield said the difference between the revenue and cash receipts received in H1 2022 related to payments received in advance.

The counter-drone market is growing rapidly with a forecast total addressable market of around $5.9 billion by 2026.

In its 2022 second-quarter update, DroneShield also noted the highly favourable macro environment arising from the Russian war in Ukraine, with both sides demonstrating extensive use of small drones.

With this in mind, defence budgets globally, including that of the Australian Government, have been rapidly increasing.

Motley Fool contributor Aaron Teboneras owns shares in DroneShield Ltd.

Airtasker Ltd

What it does: Airtasker operates an online local services platform that helps people who want a task completed connect with those who want to do the work. Furniture assembly, removalist services, website design, handyman services and photography are just some examples of the categories on offer.

By Tristan Harrison: I’m looking for compelling ASX growth shares that are attractively valued.

The Airtasker share price has dropped by around 50% in 2022, but the company is generating solid double-digit growth. In FY22, its gross marketplace volume rose 23.8% to $189.6 million, while revenue increased 18.4% to $31.5 million.

Airtasker also reported that, excluding research and development (R&D) costs, it made positive earnings before interest, tax, depreciation and amortisation (EBITDA) of $1.3 million at the ‘Australian marketplace and head office operations’ EBITDA level.

I’m also excited by the company’s international potential. In the United States, in the FY22 fourth quarter, the number of posted tasks grew 49% quarter-on-quarter.

Motley Fool contributor Tristan Harrison does not own shares in Airtasker Ltd.

Alcidion Group Ltd

What it does: Alcidion provides software solutions to the healthcare industry to improve patient outcomes. The company’s flagship product is known as Miya Precision, which incorporates everything from bed management to patient monitoring.

By Mitchell Lawler: Alcidion released its full-year FY22 report earlier this week, showing a continuation of the company’s tremendous growth momentum.

For the 12 months, the software provider achieved record revenue of $34.4 million, an increase of 33% from the year prior. Notably, the time frame included one entire half’s worth of contribution from Alcidion’s Silverlink acquisition.

Ultimately, the two most promising indicators for me from the recent results are the company’s lessening dependence on revenue from Australia and New Zealand, reducing geographic risk, and the further improvement in recurring revenue composition, which reached around 68%.

The current valuation could be attractive if management continues to deliver on geographic and client expansion at this pace.

Motley Fool contributor Mitchell Lawler does not own shares in Alcidion Group Ltd.

Lovisa Holdings Ltd

What it does: Jewellery and accessories retailer Lovisa is a staple in many shopping centres around Australia and the world. In addition to its extensive network of brick-and-mortar stores, Lovisa operates a successful e-commerce business.

By Brooke Cooper: Last financial year was a ripper for Lovisa. Its revenue surged 59%, it posted a $59.9 million profit and entered four new markets. It also more than doubled its final dividend to 37 cents per share.

And it’s not expected to slow down soon. Morgans analyst Andrew Tang dubbed the company’s earnings a “goldmine”, saying:

“What was even more remarkable than the result itself was the phenomenal scale of [Lovisa’s] ambition.

“The momentum of growth is expected to increase in FY23, and the addition of further new markets … appears more than likely. In our opinion, it won’t stop there.”

Motley Fool contributor Brooke Cooper does not own shares in Lovisa Holdings Ltd.

Core Lithium Ltd

What it does: Core Lithium is a resource explorer with a key focus on lithium. Its Finniss Lithium Project, located just south of Darwin Port in the Northern Territory, is under development.

By Bernd Struben: Core Lithium has been a stellar performer over almost any longer-term time frame you choose. Shares reached an all-time high of $1.62 on 15 August. At the time of publication, Core Lithium shares are up by around 122% in 2022 and 288% over 12 months. But I don’t think the ship’s sailed on the good times just yet.

In July, Core Lithium reported that its Finniss construction was progressing on track to export the first lithium by the end of 2022. This comes in an environment where lithium demand and prices are soaring amid the global shift to EVs and battery grid storage.

UBS recently upgraded its lithium price forecasts by 37%. UBS expects global demand for the critical battery metal to rocket 700% by 2030.

Motley Fool contributor Bernd Struben does not own shares in Core Lithium Ltd.

Lynas Rare Earths Ltd

What it does: Lynas has expertise in integrating rare earths metals from mine to metal. It has a portfolio of assets concentrated in the exploration and production of rare earths.

By Zach Bristow: China currently supplies around 80% of the world’s rare earths. But recently, growing geopolitical tensions have highlighted the world’s need to diversify its supply chain. According to its website, Lynas “holds a unique position as the only significant producer of scale of separated rare earths outside of China”.

It also has a considerable first-mover advantage over its ASX competitors. I believe this places the company in a prime position to capitalise on industry tailwinds that could see demand for Australian rare earths soar in the coming few years. This optimism was echoed in research from Jevons Global in a recent note. 

Lynas shares are also rated as a buy by four out of seven brokers, with a consensus price target of $9.89 per share, according to Refinitiv Eikon data. At the time of writing, Lynas trades on a 14.4x trailing price-to-earnings (P/E) ratio and presents with a 3.5% free cash flow yield and 6.7% earnings yield. 

The Lynas share price closed Wednesday’s session around 3% higher at $8.88.

Motley Fool contributor Zach Bristow does not own shares in Lynas Rare Earths Ltd.

South32 Ltd

What it does: South32 is a diversified mining company with extensive global operations in base metals such as lead, aluminium, copper, zinc, and nickel.

By Sebastian Bowen: ASX 200 mining company South32 could well be worth a look this September, even though the company has already had quite a stellar run in 2022 thus far. South32’s earnings last month contained a bumper 362% increase in annual dividends to 22.7 US cents per share. That’s in addition to the special dividends worth another 3 US cents.

But ASX broker Morgans reckons the shares could climb to $5.50 over the next 12 months, which would give investors around 30% upside from today’s price of $4.15. The broker also expects the company to deliver even higher dividends for FY23. As such, I believe South32 shares are well worth considering as we enter spring.

Motley Fool contributor Sebastian Bowen does not own shares in South32 Ltd.

CSL Limited

What it does: CSL is a global biotechnology company that develops and delivers innovative therapies and vaccines that save lives, protect public health, and help people with life-threatening medical conditions to live full lives.

By James Mickleboro: I think CSL shares could be a quality option for investors in September.

The last couple of years have been tough for the company due to COVID-19 impacting plasma collections. Since plasma is a key ingredient in CSL’s therapies, the lack of supply meant the company was paying over the odds to donors, putting pressure on margins.

The good news is that plasma collections are now at pre-COVID levels. And with its new collection technology expected to result in greater yields, CSL’s margins look likely to start improving again in the near term.

Combined with strong demand for its immunoglobulins, the acquisition of Vifor Pharma, and new product launches on the horizon, I believe the future looks very bright for the company.

The CSL share price closed Wednesday at $293.54, down by around 5% over the past year.

Motley Fool contributor James Mickleboro does not own shares in CSL Limited.

The post Top ASX shares to buy in September 2022 appeared first on The Motley Fool Australia.

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More reading

• Droneshield share price plunges 19% on revenue slump
• Top brokers name 3 ASX shares to buy today
• Here’s why analysts have slapped buy ratings on these ASX shares
• Could this new piece of legislation be a boost for ASX lithium shares?
• Here are the 3 most heavily traded ASX 200 shares on Tuesday

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alcidion Group Ltd, CSL Ltd., and DroneShield Ltd. The Motley Fool Australia has recommended Alcidion Group Ltd, DroneShield Ltd, and 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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