The jury’s still out on the outlook for the big four ASX banks, but there’s one alternative ASX share that might be looking too cheap to ignore, according to a leading broker.

The bank share in question is the Judo Capital Holdings Ltd (ASX: JDO) share price. It jumped 2.3% to $1.33 in morning trade after Citigroup reiterated its buy call ahead of Judo’s results.

This could explain why the alternative bank share is outperforming the big boys at the time of writing.

The ASX bank share that got the chop

The National Australia Bank Ltd (ASX: NAB) and Commonwealth Bank of Australia (ASX: CBA) shares are relatively flat. The Australia and New Zealand Banking Group Ltd (ASX: ANZ) and Westpac Banking Corp (ASX: WBC) shares have dipped into the red.

But the outperformance of the Judo share price may not be that surprising. The shares have tumbled over 40% the past year, which is worse than its larger counterparts.

Citigroup reckons the underperformance is unjustified and it said:

At time of listing in October 2021, we expect few would have foreseen an acceleration in business credit growth from ~5% to ~13%; nor would many have forecast a cash rate of 1.85% at the time of result.

Despite the dramatic shift in the macro, we expect JDO to deliver on financial expectations set at the time of IPO.

What to expect in Judo’s full year results

The broker is forecasting cash earnings of around $8 million. It also noted that data from the Australian Prudential Regulation Authority (APRA) shows Judo may have hit its goal of building a $6 billion loan book as of 30 June 2022.

But results are backward looking. What will be key is management’s outlook during these volatile times.

Some of the things Citi is paying close attention to is Judo’s forward-looking statements on SME credit. Investors also will be keen to hear about Judo’s ability to fund growth and protect its net interest margin (NIM). This is an issue for all ASX bank shares because of rising interest rates and bond yields.

The higher rates and predictions of a slowing economy will also make credit quality another sensitive area. Loan defaults could rise materially if conditions worsen.

What is the Judo share price worth?

Citigroup added:

With little earnings currently, the long-term premise for JDO is its ability to reach medium term targets at scale.

After a solid 12 months of executing on plan, JDO management will need to articulate how it can maintain its medium term aspirations in a deteriorating macro environment.

But delivering to expectations may be all that’s needed for the Judo share price to rebound. After all, there is arguably little good news in its shares at current levels – not when it’s trading on around 1 times book value.

Citi’s 12-month price target on the Judo share price is $1.90. This implies a 40% plus upside for the alternative ASX bank share. Judo will hand in its FY22 earnings report card on 25 August.

The post Is this ASX bank share a better buy than the big four banks? appeared first on The Motley Fool Australia.

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Motley Fool contributor Brendon Lau has positions in Australia & New Zealand Banking Group Limited, Commonwealth Bank of Australia, National Australia Bank Limited, and Westpac Banking Corporation. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Judo Capital Holdings Limited. The Motley Fool Australia has recommended Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Carsales.com Ltd (ASX: CAR) share price is surging on Monday following the release of the company’s financial year 2022 earnings.

Right now, it’s trading at $22.66, representing a 4.67% gain.

That’s slightly lower than its opening price of $22.75 which marks a 5% gain on its previous close. Meanwhile, its intraday high of $23.01 represents a seven-month high for the ASX stock.

Carsales share price takes off on full-year earnings

The Carsales share price is surging alongside its full-year revenue, profit, and dividend, as The Motley Fool Australia reported this morning.

The automotive classifieds company posted $509 million of revenue and $161 million of after-tax profit. It also upped its fully franked final dividend to 24.5 cents a share.

It also described a bright future, expecting to deliver “very strong growth” in financial year 2023.

That looks to be driven higher by strong trading conditions, its media and investment segments, and its new 100% stake in Trader Interactive.

Carsales CEO Cameron McIntyre said:

We continue to see robust levels of demand in all our key markets, reflecting the strength of our market position and the resilience of marketplace businesses through economic cycles.

This gives us confidence we can continue to deliver great results for our shareholders in financial year 2023.

How are brokers responding?

Not everyone appears thrilled with the company’s full-year results.

RBC’s Wei-Weng Chen noted the company’s dividend missed estimate and its capital expenditure was above its normal range, while UBS’s Tom Beadle said its guidance was “vague”, The Australian reports.

The company expects its expenditure to normalise this financial year amid strong trading conditions.

Meanwhile, the publication reported that the results didn’t surprise Macquarie’s Darren Leung, but its guidance was more positive than the broker predicted.

Finally, JP Morgan’s Don Carducci reportedly commented on an apparent upside on the financial year 2023 consensus.

Today’s gain sees the Carsales share price 9% lower than at the start of the year. In comparison, the S&P/ASX 200 Index (ASX: XJO) has fallen 7% year to date.

The post Carsales share price launches 5% as profit lifts to $161m appeared first on The Motley Fool Australia.

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JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. 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 recommended Macquarie Group Limited and carsales.com 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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

The stock market has been rebounding in recent weeks, with the S&P 500 up more than 11% over the past month.

While there are countless factors affecting stock market performance, at least part of the reason for this surge could be the positive inflation report from the Bureau of Labor Statistics. According to the report, inflation slowed in July, giving some investors hope that it’s reached its peak.

But whether this bear market is truly over is unclear right now. So is it really safe to invest? Or should you hold off? Here’s what you need to know.

When is the best time to invest in the stock market?

The positive trajectory of the market over the last few weeks has been promising, but there are no guarantees that it will continue. The stock market can be unpredictable, and even the experts can’t predict exactly how it will perform.

The good news, though, is that there isn’t necessarily a bad time to invest. While it may be tempting to only invest when the market is thriving, that can be expensive because you’re only buying when stock prices are at their highest. By investing during downturns, too, you can snag quality stocks at a discount.

This strategy is known as dollar-cost averaging, and it involves investing consistently throughout the year no matter what the market is doing.

Sometimes, you’ll end up buying when prices are at their peaks. Other times, you’ll be investing when the market is at rock bottom. Over time, though, those highs and lows should average out. Not only does this take the guesswork out of when to invest, but it’s also cheaper than only investing when prices are high.

Is it safe to invest right now?

Because there’s not necessarily a wrong time to invest, now could be the perfect opportunity to buy stocks. The market has not made a full rebound just yet, so many stocks are still priced at a discount.

The most important thing to keep in mind is that investing is a long-term strategy. If the market falls again, your portfolio could lose value — and that’s OK. Short-term ups and downs are normal, and over time, the market has historically seen positive average returns.

It can be challenging to avoid getting caught up in the market’s daily fluctuations, but a long-term outlook can make this volatility easier to stomach. For example, while the S&P 500 is currently down around 10% since the beginning of the year, it’s up more than 200% over the past 10 years.

By staying focused on the long run, these small daily movements won’t matter as much. Even if the market falls again, it will rebound eventually.

Keeping your money safe

One of the most effective ways to keep your portfolio safe during periods of economic uncertainty is to choose the right investments.

Even shaky stocks can sometimes thrive when the market is surging and the economy is strong, but only the strongest companies will survive downturns. The businesses with the healthiest underlying fundamentals are the most likely to pull through tough times, and the more of these stocks you have in your portfolio, the better.

Again, nobody knows for certain how the market will perform in the coming weeks or months. But when you have a portfolio full of healthy stocks, it’s far more likely your investments will bounce back from whatever may happen.

It’s not easy to invest when the market is turbulent, but it’s also not as risky as it might seem. By choosing the right stocks and holding them for the long term, you can rest easier knowing your money is as protected as possible.

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

The post Just how safe is the stock market right now? appeared first on The Motley Fool Australia.

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Motley Fool contributor Katie Brockman 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.

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

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The Bailador Technology Investments Ltd (ASX: BTI) share price is leaping higher today.

Bailador Technology shares closed on Friday trading for $1.50 and are currently trading for $1.57, up 4.7%.

This comes after the company, a specialist investor in the information technology and media sectors, released its results for the financial year ending 30 June (FY22).

Bailador Technology share price lifts on…

• Net profit after tax (NPAT) increased 23% from FY21 to $34.0 million
• Pre-tax net tangible asset (NTA) of $1.86 per share, up 22% year on year
• Declared a fully-franked dividend of 7.4 cents per share
• $144 million cash balance as at 30 June

What else happened during the year?

The company credits its 22% boost in NTA per share during the year to a number of positive cash realisations.

These included $118 million for the full cash realisation of Instaclustr. That represented 14.2 times costs and an 80% internal rate of return (IRR). Bailador Technology also had a full cash realisation of $20 million for Standard Media Index (SMI), representing 2.7 times cost and a 15% IRR, along with a partial cash realisation of SiteMinder for $15 million, representing 24.8 times cost and a 40% IRR.

The specialist investment company’s dividend reinvestment plan (DRP), established in February 2020, is active with a 2.5% discount. Investors looking to receive that dividend need to own shares before Thursday 1 September, when the stock goes ex-dividend.

What did management say?

Commenting on the financial year gone by, Bailador Technology managing partner David Kirk said:

We are delighted to present such a strong result to shareholders in a challenging year for information technology stocks. Our focus on realising investments in the buoyant market earlier in the year and waiting for more attractive valuations to make new investments has us very well positioned.

What’s next?

Ending FY22 with $144 million in cash, Bailador Technology recently invested $5 million in InstantScripts, its first investment of the FY23, with additional new and follow-on investments “likely” over the course of the year.

“There remain a significant number of very high-quality expansion stage technology companies in Australia,” Bailador managing partner Paul Wilson said.

“Capital market movements don’t change that. The difference is that there is currently less capital chasing those companies, and valuations are more reasonable,” Wilson said. “This environment gives us the opportunity to get access to those quality companies at reasonable valuations, and we are well positioned to do so.”

Bailador Technology share price snapshot

Over the past 12 months the Bailador Technology share price is up 15%. That handily beats the full-year loss of 7% posted by the All Ordinaries Index (ASX: XAO).

The post Bailador Technology share price leaps 5% as FY22 profits soar appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben 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 Bailador Technology Investments Limited. The Motley Fool Australia has recommended Bailador Technology Investments Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The S&P/ASX 200 Materials Index (ASX: XMJ) is lifting 1.65% today, but three ASX mining shares are outperforming the index.

The Belararox Ltd (ASX: BRX), Aurelia Metals Ltd (ASX: AMI) and Sarytogan Graphite Ltd (ASX: SGA) are all rising today.

Let’s take a look at what these explorers reported today.

Aurelia Metals

The Aurelia share price is surging 19% today. Aurelia reported it has intersected the highest grades to date at the company’s Federation project in NSW. One standout result was 20m at 26.8% lead and zinc, 12.5 g/t gold and 0.8% copper at drill hole FDD184W5. Commenting on the results, CEO and managing director Dan Clifford said:

The Federation drilling has been nothing short of exceptional from the discovery hole to the final hole of the current surface drilling program.

Belararox

Belararox shares are lifting 6% today. The company announced drilling intersected “massive sulphide mineralisation” at Native Bee in Lachlan Fold Belt, NSW. New intersections NBRC001 and NBRC002 contain more zinc, copper, lead, silver and gold mineralisation than forecast in historic resource modelling. Managing director Arvind Misra said: “Initial floatation concentrates increase confidence in successful commercial recovery of zinc, copper, lead and silver”.

Sarytogan Graphite

Sarytogan shares are rising 20% today. This ASX mining share reported results from its first round of drilling at the Sarytogan Graphite Deposit. This is located in Central Kazakstan. Drilling intercepted with thick high-grade graphite at seven drill holes. Next, the company will continue to drill, undertake metallurgical test work and update the mineral resource. Commenting on the results, managing director Sean Gregory said:

Sarytogan is thrilled with this first round of drilling results that have exceeded expectations with broad intercepts of high-grade mineralisation in the Central Graphite Zone.

The post 3 ASX mining shares soaring between 6% and 20% on new finds appeared first on The Motley Fool Australia.

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• Bailador Technology share price leaps 5% as FY22 profits soar
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Motley Fool contributor Monica O’Shea has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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 Kogan.com Ltd (ASX: KGN) share price is down more than 1% as the ASX retail share goes to court about one of its main warehouse logistics partners.

As an e-commerce ASX share, warehouses are an important area of Kogan’s business.

According to The Australian, Kogan is going after its warehousing and logistics partner eStore after it “allegedly failed to provide the services it was contracted to in late 2020”.

What didn’t Kogan’s logistics partner do?

Kogan has gone to the Victorian Supreme Court, saying that eStore did not “indicate to Kogan that there was any material risk that for the six-month period commencing November 2020 it would not be able to accommodate the number of pallets required by the online retailer”.

How much is this supposed to have cost Kogan? Quite a bit, according to the reporting by The Australian.

Kogan has said that it suffered from $2.1 million of extra charges and it was also not able to sell products during the peak period. The alleged amount of loss sales was $5.8 million, at a gross profit margin of 30%.

One of the main reasons for Kogan’s displeasure was that the ASX retail share was led to believe that eStore could scale up how much stock it could deal with “at short notice.”

The Australian reported on some of the contents of the filing:

Kogan could proceed on the basis that its requirements had been reviewed and eStore was working on a solution to meet them…(it) did not need to divert stock to other warehouses to accommodate its storage needs and…eStore would notify Kogan if there was going to be an issue with eStore meeting Kogan’s storage requirements of 30,000 actual pallet locations.

eStore then reportedly told Kogan in November 2020 that it was over its allocated space and that the Paramount centre was full. Kogan alleged that eStore stopped accepting consumer loads at all of its warehouses in Melbourne, not just Paramount.

Kogan then had to redirect the stock elsewhere. The Kogan share price has dropped around 80% since the start of November 2020.

What’s the stock situation now?

Kogan doesn’t give investors a detailed breakdown of its logistics operations.

However, it did say in a recent business update for FY22 that total inventories had dropped to $161.1 million at the end of the financial year. That figure breaks down into $139.2 million in warehouses and $21.9 million in transit. The company noted this reflected a “significant unwinding” of inventories from $227.9 million at the end of FY21.

Commenting on the current economic environment, founder and CEO Ruslan Kogan said:

Times are changing. In uncertain times, people don’t want to alter their lifestyle but they are happy to shift the way they shop. We know that in an environment where great value becomes even more important, Kogan.com services an important need.

We are making the business leaner to enable us to pass on cost efficiencies to customers in the form of lower prices. A leaner company means we discontinue parts of the business that are not delivering value to customers or shareholders, and also gives us the flexibility to respond to significant ongoing changes in the macro environment.

Kogan share price snapshot

Over the last month, Kogan shares have jumped 54%.

The post Kogan share price drops amid warehousing legal battle appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Kogan.com ltd. The Motley Fool Australia has positions in and has recommended Kogan.com 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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Is Novonix Ltd (ASX: NVX) considered an ASX lithium share?

ASX lithium stocks have been hogging the limelight in recent weeks. Thanks to massive (and mostly unexplained) jumps in valuation in recent weeks, ASX lithium stocks like Core Lithium Ltd (ASX: CXO) and Liontown Resources Limited (ASX: LTR) are certainly in the spotlight this week. But can we count Novonix among them?

Novonix has been attracting plenty of attention of its own. The company has gained an eye-popping 54% over the past month alone, rising from $2.02 a share to the $3.11 it is commanding today.

Last month, we heard from Novonix when the company dropped its quarterly report for the three months ending 30 June 2022.

As my Fool colleague covered at the time, this saw the company report an operating cash flow loss of $7.9 million for those three months, and $9.2 million outflow from investing activities.

The company ended the quarter with $207 million in cash in the bank. However, receipts increased 25% over the quarter compared to the prior corresponding quarter.

But can we call Novonix an ASX lithium share?

Well, to put things straight, unlike Core Lithium or Liontown, Novonix is not a lithium miner or producer. It does produce graphite. But not lithium. But the company does work extensively with the future-facing metal. So we can argue that Novonix is really a battery technology company.

Yes it does work with lithium. One of Novonix’s operations involves using “an environmentally-friendly process to produce graphite anode material for lithium-ion batteries in the United States”.

Novonix also works to develop methods of analysing lithium-ion batteries. The company offers ultra-high precision coulometry (UHPC) cycling and cycling tests. These help with “characterization, development, and demonstration of lithium-ion-battery components”.

In this way, Novonix is arguably a lithium company. But it is perhaps more accurately described as a battery technology company. Unlike lithium stocks like Core Lithium or Liontown, Novonix, for example, wouldn’t benefit from high lithium prices in the same way these producers would.

So Novonix is arguably caught in the grey zone of lithium stocks. It’s certainly has involvement in lithium. But it is not a producer or a pure play lithium share like Core Lithium or Liontown.

At the current Novonix share price, this ASX battery tech company has a market capitalisation of $1.51 billion.

The post Is Novonix considered an ASX lithium share? appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen 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 GPT Group (ASX: GPT) share price is making a commendable move upwards today following the release of its interim results for 2022.

At the time of writing, shares in the diversified property group are 5.7% in the green. As a result, the group’s share price is swapping hands at $4.545 apiece. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is 0.48% into positive territory on Monday.

GPT share price jumps on mixed numbers

• Funds from operations (FFO) improved 8% to $326.5 million compared to the prior corresponding period
• Net tangible assets (NTA) per security up 2.8% to $6.26
• Net profit after tax (NPAT) down 30% to $529.7 million
• Interim distribution down 4.5% to 12.7 cents per share
• Portfolio occupancy finished at 97.5%
• Available cash of $1,124 million at the end of the half

What else happened in the half?

Pleasingly for GPT shareholders, the six-month period involved another round of portfolio revaluation increases. In total, the group saw its assets increase in value by $219.5 million, taking the total valuation to $16.4 billion as at 30 June 2022.

GPT’s logistics portfolio was the greatest contributor to a heightened valuation during the half. Specifically, this segment increased 2.6% to $115.4 million as a result of leasing outcomes and higher rents. This segment’s solid performance might explain the positive GPT share price movement today.

Comparatively, the group’s office and retail portfolios experienced a $6.8 million (0.1%) and a $97.3 million (1.8%) increase respectively.

While GPT managed to achieve a 99.3% occupancy across its retail portfolio, the office market continues to struggle. For example, at 30 June the group recorded an occupancy rate of 92% across its portfolio. With more available leasing inventory, the office market was said to remain competitive.

What did management say?

Commenting on the result, GPT Group CEO Bob Johnston said:

The Group delivered a solid result in the half, despite the ongoing impacts of the global COVID-19 pandemic and the uncertain economic environment driven by high inflation and rising interest rates. All three business segments reported increased Funds From Operations on the prior corresponding period.

Further adding,

Ongoing structural tailwinds in the logistics sector saw continued momentum in tenant demand, driving vacancy rates lower and resulting in strong market rental growth. Our Logistics portfolio maintained high occupancy and we continue to make good progress with the build-out of our development pipeline and our partnership with QuadReal.

What’s next?

Looking to the future, management addressed the elephant in the room for the group’s FY22 guidance, interest rates.

The group highlighted the increased cost of debt and potential softening in valuation increases. Additionally, management stated it expects moderation in retail sales growth coinciding with higher rates in response to inflation.

Despite this, GPT Group is anticipating 32.4 cents per security in FFO for the full year.

GPT Group share price snapshot

The backdrop of a booming property market has failed to provide much assistance to the GPT Group share price so far in 2022. While the benchmark index is in the red by 7%, GPT shares are down by roughly 16.5%.

Based on the current valuation, the property group has a dividend yield of 5.4%.

The post GPT share price lifts despite 30% profit plunge appeared first on The Motley Fool Australia.

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More reading

• Stock market sell-off: How I’m continuing to make passive income
• Here’s why the Core Lithium share price is soaring 10% on Monday
• Paradigm Biopharmaceuticals share price freefalls 27% following $66m cap raise
• Westpac share price slips following release of Q3 update
• Nearmap share price jumps 30% on takeover news

Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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 article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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

I have been entrusted with my family’s finances. It is not a task that I take lightly since a mistake on my part could leave us in the street. OK, that’s hyperbole, but it is the weight that I feel, and bear markets don’t make the weight any lighter. However, I have a playbook that I’ve lived by for years, and market sell-offs are actually a great time for me to keep building my passive income stream. Here’s how I make downturns work for me.

One of the suggestions you’ll find in Benjamin Graham’s iconic book The Intelligent Investor is to focus on companies with long histories of success. A quick way to find such companies is to look at names with long histories of annual dividend increases. Dividend Achievers (10+ years of dividend increases), Dividend Aristocrats (25+ years), and Dividend Kings (50+ years) are all great starting points. From there, you need to dig in a bit to find companies that are well run with modest leverage. Once you have a diversified list of names you like, don’t do anything. Just wait.

Safety first

I take my job as ensuring that my family has the financial wherewithal to handle financial adversity in relative stride. To that end, I have a laddered Certificate of Deposit (CD) portfolio with roughly six months’ worth of living expenses in it. One of the six CDs I own matures every two months and automatically rolls over if I don’t stop that process from happening. Essentially, I’ve always got access to some cash if I really need it, which makes buying stocks less stressful. The key is that this vital safety net is on auto-pilot. I thought about it once, setting it up, and now I never have to think about it again. I just know it’s there. 

“Keep it simple” is a vital mantra for me because I’m just not capable of juggling too many things at one time. I share this because this same logic is important for my investment approach, as well.

Focus on success

The market goes up and, as we’ve seen in 2022, down. Wait for the stocks you like to come to you. I don’t have a set buy point, but I generally only make an addition when the dividend yield of a company I like is trading at the high end of its historical yield range. It suggests that the price is at least cheap relative to historical norms. 

During the COVID-19 pandemic bear market, I bought real estate investment trust (REIT) Federal Realty (NYSE: FRT), which has an over 50-year-long streak of annual dividend hikes under its belt (it’s the longest streak in the REIT space). This REIT owns a small retail portfolio that focuses on wealthy regions with sizable populations. Development and redevelopment are key company skills. Retail was deeply out of favor during the pandemic, but this company has proven many times over that it can handle adversity and keep rewarding dividend investors like me.

During this year’s downturn, meanwhile, I added Texas Instruments (NASDAQ: TXN) and Medtronic (NYSE: MDT). Both are higher-dividend growth names with long histories of annual dividend hikes that had unique issues, but it took a bear to push them down to attractive levels finally. That said, investments pop up all the time, so I also added Kellogg (NYSE: K) in between those two bear markets when investors were downbeat on the iconic food stock because of company-specific problems, including a fire at a production facility and a strike. Kellogg’s dividend hasn’t increased annually but has trended regularly higher over time. Notably, Kellogg is actually up 15% or so this year as its production problems have abated.

Mindless adherence to a plan

Here’s the next big step: I set all of those new purchases to dividend reinvest, just like virtually all of my stock holdings (and, basically, like my CD safety net). It’s the ultimate keep-it-simple move for me. Based on my approach, I know I own companies that place returning value to shareholders high on the priority list. I’ve selected the dividend names I think are long-term winners, so I know I have great companies in my diversified portfolio. And I’ve set them on autopilot, leaving me to watch the quarterly dividend checks transform into additional shares of great companies. 

During bear markets, I actually find it comforting to see that I’m adding even more to a list of stocks that I own. Remember, however, that these are dividend stocks, so every share I add actually increases the passive income I generate. It’s a slow process, but my dividend income has headed steadily higher for years without me having to do much of anything. Simple is good; autopilot is even better. When I retire, I plan to start collecting those dividend checks to supplement my Social Security payments.

Slow and steady

I’d be lying if I said I didn’t pay close attention to my portfolio. I constantly monitor the news on my 20 or so stocks and listen to most of the earnings conference calls. If something fundamental changes, I’ll rethink my commitment to a stock. But what I don’t do is fret constantly about the price of my holdings going up and down in the always volatile stock market. I’ve basically worked that out of my process by focusing on dividends, dividend yield, dividend reinvestment, and my steadily growing stream of passive income. In my investing world, stock market sell-offs are just another opportunity to invest and reinvest in great dividend stocks.

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

The post Stock market sell-off: How I’m continuing to make passive income appeared first on The Motley Fool Australia.

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More reading

• Here’s why the Core Lithium share price is soaring 10% on Monday
• Paradigm Biopharmaceuticals share price freefalls 27% following $66m cap raise
• Westpac share price slips following release of Q3 update
• Nearmap share price jumps 30% on takeover news
• Beach Energy share price tumbles 9% as production slides

Reuben Gregg Brewer has positions in Federal Realty Investment Trust, Kellogg, Medtronic, and Texas Instruments. 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.

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

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The Core Lithium Ltd (ASX: CXO) share price is taking off on Monday after the lithium developer released an update on exploration activities.

The update outlines two grants, notable lithium results, and an update on gold exploration.

Right now, Core Lithium shares are trading for $1.615 apiece, 9.86% higher than their previous closing price.

Let’s take a closer look at today’s news from the S&P/ASX 200 Index (ASX: XJO) lithium favourite.

Core Lithium share price surges on exploration update

The Core Lithium share price is surging higher on the back of an update on activities at the company’s Finniss Lithium Project and Anningie-Barrow Creek Project.

Finniss Lithium Project strikes gold

A more than 40,000 metre reverse circulation (RC) drill program has kicked off at the Finniss Project. It’s following up on prospects with excellent prior exploration results.

Drilling is also underway at the project’s BP33 resource, focusing on exploring the depth and strike extensions of the main pegmatite intrusions.

On top of that, the company has been exploring gold mineralisation at the project. Drilling has targeted five of 40 identified anomalies, finding gold at shallow depths.

The company said its explorations so far suggest gold at Finniss is comparable with that seen at Pine Creek Orogen, a gold district with reserves in excess of 18 million ounces.

Good news regarding the ABC Project

Core Lithium also reported findings at the Anningie-Barrow Creek (ABC) Project – described as a “lookalike to the company’s high-grade discoveries at the Finniss Lithium Project”.

Though, unlike the Finniss Project, spodumene at the ABC Project occurs at surface level.

The company has assayed 13 rock samples from the project’s Bismark Prospect, with six returning greater than 1% lithium oxide and a maximum of 4.78% lithium oxide.

Successful grant applications

Finally, it has successfully applied for two separate co-funding grants from the Northern Territory Geophysics and Drilling Collaborations program.

A $100,000 grant will go towards an ambient noise tomography survey at the Shoobridge Lithium Project.

Another $100,000 grant has been offered for a single deep diamond drill hole targeting the down plunge extension to the Sandras Lithium Deposit’s mineral resource.

Core Lithium share price snapshot

Today’s gain sees the Core Lithium share price nearing its all-time high of $1.68, reached in April.

The stock is currently trading 150% higher than it was at the start of the year and 366% higher than it was this time last year.

The post Here’s why the Core Lithium share price is soaring 10% on Monday 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
• New records and looming deficits. Why ASX lithium stocks are in the spotlight
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Why is the Core Lithium share price rocketing 5% today?
• Why is the Lake Resources share price up so much more than other ASX lithium shares 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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