Are you searching for dividend shares to buy for your portfolio? If you are, then you may want to check out the two listed below.

Here’s why these ASX dividend shares are rated as buys by experts:

Dexus Industria REIT (ASX: DXI)

The first ASX dividend share that could be in the buy zone is industrial and office property company Dexus Industria.

Analysts at Morgans are very positive on Dexus Industria. This is due to the company’s attractive yield and medium term growth opportunities. The latter are being supported by its burgeoning development pipeline.

Morgans has an add rating and $3.65 price target on the company’s shares.

As for dividends, the broker is forecasting dividends per share of 17.3 cents in FY 2022 and 17.6 cents in FY 2023. Based on the current Dexus Industria share price of $2.76, this will mean yields of 6.3% and 6.4%, respectively.

Harvey Norman Holdings Limited (ASX: HVN)

Another ASX dividend share that has been rated as a buy is retail giant Harvey Norman.

Analysts at Goldman Sachs are very positive on the retailer despite the tough operating environment and the rising threat of online competition.

In respect to the latter, the broker highlights that Harvey Norman “has a greater preference within the boomer generation and a higher exposure to regional Australia.” It believes this protects the company from online disruption.

Goldman Sachs has a buy rating and $5.80 price target on its shares.

In respect to dividends, the broker is forecasting fully franked dividends of 43.3 cents per share in FY 2022 and 39.6 cents per share in FY 2023. Based on the current Harvey Norman share price of $3.71, this will mean yields of over 10% for both years.

The post 2 quality ASX dividend shares with 6%+ yields experts rate as buys appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why are these ASX 200 retail shares lagging the market today?
• Why BHP, Block, Harvey Norman, and PointsBet shares are sinking
• 2 high yield ASX dividend shares to buy according to analysts
• Belt tightening? 5 ASX 200 consumer shares slipping to new 52-week lows today
• ASX retail shares tumble following RBA rate rise

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

from The Motley Fool Australia https://ift.tt/QXBYRsd

We already know this year’s modus operandi for the market seems to be to punish certain ASX shares regardless of business performance.

With so many macroeconomic headwinds, investors are irrationally fleeing some companies just because of their style or sector.

Glenmore Asset Management saw some of its ASX shares hammered in May for this exact reason.

“With interest rates globally continuing to rise from very low levels, we continue to see valuations of a wide range of stocks compress, in particular growth stocks,” said portfolio manager Robert Gregory in a memo to clients.

But when the stock price starts diverging from business performance, the gap has to eventually close back sooner or later.

With this in mind, Gregory named two fallen stocks that are not widely discussed, but he’s securely keeping locked away in his portfolio:

‘Demand for new vehicles continues to exceed supply’

Car dealership network Eagers Automotive Ltd (ASX: APE) saw its share price fall 18.5% last month.

Gregory admitted the company put out a May update that forecast a pre-tax profit for the June half would be 12% to 15% below the prior comparable period.

But the trading conditions remain positive, he noted.

“Eagers said demand for new vehicles continues to exceed supply, with the new car order book having increased by more than 25% since 31 December 2021,” said Gregory.

“New car margins remain elevated, and assuming supply constraints can improve somewhat over the next 6 months, APE should be able to deliver [a] full year 2022 NPAT of ~$300m, which we would view as a strong result in a challenging environment.”

Many other fund managers agree with Gregory.

According to CMC Markets, eight out of 14 analysts rate Eagers shares as a strong buy, while three of the remaining six recommend it as a moderate buy.

The Eagers stock price has lost more than a third of its value since the start of the year, but it does pay out a 6.8% dividend yield.

Has this stock fallen so much that it can double from here?

Investment houses on the ASX have all suffered from painful drops in their valuation in 2022.

Pinnacle Investment Management Group Ltd (ASX: PNI) is no exception, losing a whopping 58% off its share price year-to-date.

In May alone it lost 13.2%.

According to Gregory, early in the month Pinnacle disclosed at an investment conference that funds under management (FUM) for the March quarter was down 2.4% from the December quarter.

But he remains optimistic as there is still net money coming in.

“Net inflows were $1.3 billion in the March 2022 quarter, which was a solid effort in volatile equity markets,” said Gregory.

“The update was broadly in line with our expectations, with the main driver of the stock price fall in our view being the declines in equity markets and general sell-off in growth stocks.”

The Motley Fool reported this month that UBS also thinks Pinnacle is undervalued.

Its analysts have slapped a share price target of $12.65, which is almost double the current level.

“The broker thinks that despite the challenges facing the investment industry, the business looks attractive over the long term,” reported The Motley Fool’s Tristan Harrison.

“The ASX [company] is looking to add new asset classes and investment strategies to its portfolio, diversifying sources of revenue and helping further growth.”

Pinnacle shares give out a handy dividend yield of 5.1%.

The post 2 cheap ASX 200 shares to buy that no one talks about: Glenmore appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• What Adore Beauty, Bubs, Eagers Automotive, and Renascor shares are storming higher
• ASX 200 midday update: BHP’s NSW coal update, Link takeover on the rocks
• This ASX 200 share is jumping 11% thanks to a $250m share buyback plan
• Belt tightening? 5 ASX 200 consumer shares slipping to new 52-week lows today
• Are these 2 compelling ASX shares buys in June 2022?

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 positions in and has recommended PINNACLE FPO. The Motley Fool Australia has positions in and has recommended PINNACLE FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/lO8A1ze

The Vulcan Energy Resources Ltd (ASX: VUL) share price will be one to watch this morning.

This follows the release of a positive announcement out of the lithium developer.

Why is the Vulcan share price on watch?

The Vulcan share price could be given a boost this morning from news that the company has received an equity investment from a major automaker.

According to the release, Stellantis is investing A$76 million into Vulcan at $6.622 per share. This is a 32% premium to its last close price and will make the automaker the company’s second largest shareholder.

Stellantis is the name behind car brands including Chrysler, Citroën, Fiat, Maserati, and Peugeot.

Vulcan believes that this is the first time a top tier automaker has made an upstream investment in a listed lithium company.

The two parties have also extended their binding lithium hydroxide offtake agreement by five years to 2035.

What will the funds be used for?

The release reveals that the proceeds from this investment will go towards Vulcan’s planned production expansion drilling in its Upper Rhine Valley Brine Field (URVBF).

Vulcan is already producing geothermal energy from the URVBF and plans to produce lithium hydroxide with zero fossil fuels and net zero carbon footprint as part of the Zero Carbon Lithium Project.

Vulcan’s Managing Director, Dr Francis Wedin, was very pleased with the news. He commented:

Stellantis’ significant investment in Vulcan and the Zero Carbon Lithium Project represents a strong statement by one of the world’s largest automakers regarding sustainable and strategic sourcing of battery materials.

We are fully aligned with Stellantis’ decarbonisation and electrification goals, which represent some of the most ambitious in the industry. It is encouraging to see a leading automaker investing in local, decarbonised lithium production for electric vehicles. As our largest offtaker, we look forward to deepening our relationship with Stellantis as a substantial shareholder in Vulcan and our Zero Carbon Lithium business.

The post Vulcan share price on watch amid landmark $76 million automaker investment appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Vulcan Energy share price tumbles despite positive lithium project update
• Here’s why the Vulcan Energy share price is sinking 12% today?
• Which ASX lithium shares are producing and which are not?
• Why is the Vulcan Energy share price tumbling 6% today?
• 3 ASX mining shares billionaire John Hancock is buying for rising inflation and the energy transition

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

from The Motley Fool Australia https://ift.tt/vnPXERG

Westpac Banking Corp (ASX: WBC) shareholders will become a little richer today as the company pays out its latest dividend.

The banking giant is rewarding eligible investors with a fully franked interim dividend of 61 cents per share.

At Thursday’s market close, the Westpac share price ended 0.46% higher at $19.62.

This came off the back of a positive day across the S&P/ASX 200 Index (ASX: XJO) which finished up 0.31%.

Below we take a look at the details surrounding the company’s interim dividend.

Westpac distributes its H1 FY22 dividend

Westpac delivered a subdued performance across its key metrics for the first half of the 2022 financial year.

In summary, revenue fell 8% to $10,230 million over the prior corresponding period. This was driven by challenging trading conditions across the company’s consumer and business segments.

And despite operating costs falling by 10% to $5,373 million, Westpac reported a 12% decrease in cash earnings to $3,095 million.

Nonetheless, the board opted to ramp up its interim dividend by 5.2% over the prior comparable period (H1 FY21).

This is in line with the capital management framework, which has a targeted dividend payout ratio of between 60% and 75%.

Based on the current share price, Westpac has a healthy dividend yield of 6.14% – the second largest among the big four banks behind Australia and New Zealand Banking Group Ltd (ASX: ANZ) at 6.56%.

Westpac share price snapshot

A disappointing past few weeks on the ASX has led the Westpac share price to tumble almost 20% in June.

This has dragged the bank’s shares to a loss of 8% this year to date. They are also down 24% over the past 12 months.

It’s worth noting that Westpac shares hit a 52-week low of $18.80 last Friday before rebounding in the days following.

Westpac has a price-to-earnings (P/E) ratio of 14.37 and a market capitalisation of roughly $68.38 billion.

The post Here are the details about the Westpac dividend being paid today appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 5 things to watch on the ASX 200 on Friday
• Should you ‘buy the dip’ in ASX 200 bank shares?
• What’s the outlook for ASX 200 bank dividends?
• What’s going on with the Westpac share price this week?
• Worried about a US recession? Here’s what the ASX 200 banks are forecasting

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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.

from The Motley Fool Australia https://ift.tt/zH3VCWJ

Ask A Fund Manager

The Motley Fool chats with the best in the industry so that you can get an insight into how the professionals think. In this edition, U Ethical chief investment officer Jon Fernie reveals the one stock he reckons is reliable through economic turbulence.

The ASX share for a comfortable night’s sleep

The Motley Fool: If the market closed tomorrow for four years, which stock would you want to hold?

Jon Fernie: It’s probably a little bit conservative. We’ve gone for Coles Group Ltd (ASX: COL). 

We expect that the Australian supermarkets are pretty well-placed in the current inflationary environment, so they are going to be impacted to an extent by rising costs. 

But they’re also able to pass on the higher food inflation to consumers. And I think again, if we have a weaker economic environment, that the company’s got a resilient earnings base. They’re continuing to invest in their logistics and distribution efficiency. 

From a valuation perspective, [Coles] looks more attractive than their closest peer Woolworths Group Ltd (ASX: WOW).

MF: Yes, I was just going to ask why you’d prefer Coles over Woolworths, but it sounds like it’s a matter of it being cheaper.

JF: Yeah, basically. We think that it’s more attractively priced than Woolworths. I think Woolworths, again, is probably pretty well-placed in terms of the outlook and the resilient earnings and to deal with the higher inflation. But we think Coles is just more attractively priced.

I think you can probably sleep really well at night with a stock like Coles.

MF: Yeah, and the supermarket sector in Australia is almost a duopoly, isn’t it?

JF: Yeah, it is. They’ve got a very strong market position and I think that makes it challenging for competitors because they’ve got this advantage in terms of scale where they can invest in improving their logistics and distribution and offer more competitive prices. So it’s a real advantage.

MF: And no need to apologise for being too conservative. I think that’s what people are seeking these days, compared to a year ago when we last spoke.

The post The ASX share I hold to ‘sleep really well at night’: fund manager appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Here are 2 ASX 200 dividend shares to buy according to analysts
• Which ASX 200 shares could benefit from falling consumer confidence?
• Has 2022 proven Woolworths is a defensive ASX share?
• How to start investing in stocks: This ASX 200 share is where I’d begin
• Analysts name 2 ASX dividend shares with attractive yields to buy next week

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 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.

from The Motley Fool Australia https://ift.tt/qZF5fjz

Amid all the volatility in the share market, I think ASX dividend shares are looking even more attractive.

Issues such as high inflation and rising interest rates are hurting share prices and other assets.

While it’s a tricky situation for some companies and investors, I think these lower prices make some of my preferred income ideas seem even more compelling because it’s boosting the potential dividend yields on offer.

Dividends are not guaranteed returns, but I think the below two ideas can reward investors’ patience with the delivery of solid cash payments.

Brickworks Limited (ASX: BKW)

Brickworks is one of my favourite ASX dividend shares because of the company’s impressive dividend record.

Its normal dividend has been maintained or increased every year since 1976. That means it has been 46 years since the normal dividend last decreased. In the FY22 half-year result, the company grew its interim dividend by 5% to 22 cents per share.

One of the main contributors to Brickworks’ growing dividend is its large holding of Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) shares. The investment conglomerate owns a diversified portfolio containing a number of different ASX shares, including TPG Telecom Ltd (ASX: TPG), New Hope Corporation Limited (ASX: NHC), Brickworks itself, Pengana Capital Group Ltd (ASX: PCG), and Tuas Ltd (ASX: TUA). Soul Pattinson also has private business investments.

Soul Pattinson has grown its dividend every year since 2000 for shareholders like Brickworks.

The other key area of the ASX dividend share that I like is its 50% share of an industrial property trust in partnership with Goodman Group (ASX: GMG).

This property trust is building large industrial buildings, such as warehouses, on excess land that Brickworks no longer needs. Not only is Brickworks benefiting from the completion (and valuation uplift) of these warehouses, but it’s also benefiting from growing rental income as well.

There is enough land for a building pipeline for several years in the trust.

Brickworks currently has a trailing grossed-up dividend yield of 4.9%.

Centuria Industrial REIT (ASX: CIP)

This real estate investment trust (REIT) is another business with a connection to industrial property. It describes itself as the largest pure-play industrial REIT on the ASX. It looks to provide investors with income and an opportunity for capital growth.

Properties in the portfolio are located in urban, land-constrained markets with access to densely populated catchments. It’s positioning the portfolio towards “capturing rising tenant demand while benefiting from rental growth in highly sought industrial markets”.

The ASX dividend share has also said it’s benefiting from the increasing trend of onshoring and reshoring supply chains to ensure business continuity, combined with the continued adoption of e-commerce.

It has provided guidance of funds from operations (FFO) of at least 18.2 cents per unit – that’s essentially the rental profit – and distribution guidance of 17.3 cents per unit. That means it’s valued at 16 times its estimated rental profit with an FY22 distribution yield of 5.8%.

The post Building up income: 2 ASX dividend shares I believe are a buy appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why ASX-listed property shares could be on the chopping block
• Analysts name 2 top ASX 200 dividend shares to buy now
• Is it time to go bargain hunting for ASX shares?
• What is the current dividend yield on Brickworks shares?
• Experts name 2 ASX dividend shares for income investors to buy now

Motley Fool contributor Tristan Harrison has positions in Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. 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.

from The Motley Fool Australia https://ift.tt/PxiqU7R

On Thursday, the S&P/ASX 200 Index (ASX: XJO) was back on form and pushed higher. The benchmark index rose 0.3% to 6,528.4 points.

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

ASX 200 expected to edge lower

The Australian share market looks set to open the day in the red.  According to the latest SPI futures, the ASX 200 is expected to open 10 points or 0.15% lower this morning. Though, it is worth noting that futures contracts may not yet have captured a late rally in the US, which saw the Dow Jones rise 0.65%, the S&P 500 climb 0.95%, and the Nasdaq jump 1.6%.

Oil prices fall

Energy producers including Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WPL) could have a poor finish to the week after oil prices dropped. According to Bloomberg, the WTI crude oil price is down 1.85% to US$104.22 a barrel and the Brent crude oil price is down 1.6% to US$109.93 a barrel. Fears that rising interest rates could hurt demand are being blamed for these declines.

TPG rated neutral

The TPG Telecom Ltd (ASX: TPG) share price could be close to being fully valued according to analysts at Goldman Sachs. In response to the telco’s investor day, the broker has retained its neutral rating with a $6.20 price target. Goldman notes that there is a “significant mobile opportunity in a rational market [but] higher interest drives EPS downgrades.”

Gold price drops

Gold miners Newcrest Mining Ltd (ASX: NCM) and St Barbara Ltd (ASX: SBM) could have a tough finish to the week after the gold price dropped overnight. According to CNBC, the spot gold price is down 0.6% to US$1,826.4 an ounce. Comments out of the US Fed relating to taming inflation weighed on the safe haven asset.

Westpac dividend being paid

Today is payday for Westpac Banking Corp (ASX: WBC) shareholders. This morning Australia’s oldest bank will be rewarding its shareholders with a fully franked 61 cents per share interim dividend. This is the equivalent of a 3% yield at current prices.

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

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• ‘Just didn’t cut it’: Look out Telstra, a new high-speed start-up is coming for you!
• What’s going on with the Beach Energy share price on Thursday?
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Here’s why this ASX 200 gold share is tumbling 15% to a 7-year low
• Can Macquarie shares deliver an attractive dividend yield AND 30% upside in 2022?

Motley Fool contributor James Mickleboro has positions in Westpac Banking Corporation. 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 and Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/arpyADi

Are you looking for some dividend options for your portfolio? If you are, take a look at the two ASX 200 dividend shares listed below.

Here’s why they have been tipped to as buys by experts:

Coles Group Ltd (ASX: COL)

The first ASX 200 dividend share for investors to consider is this supermarket giant.

Thanks to its defensive qualities and strong market position (800+ supermarkets, 900+ liquor retail stores, and 700+ Coles express stores), it has been tipped to continue growing its sales, profits, and dividends in the coming years. This will be supported by the construction of its smart distribution centres, which are aiming to make its operations more efficient and cut costs.

Citi is bullish on Coles and has a buy rating and $19.30 price target on its shares.

In respect to dividends, Citi is forecasting fully franked dividends per share of 63 cents in FY 2022 and 72 cents in FY 2023. Based on the current Coles share price of $17.62, this will mean yields of 3.6% and 4.1%, respectively.

South32 Ltd (ASX: S32)

Another ASX 200 dividend share that could be in the buy zone is mining giant South32.

Thanks to strong demand for commodities such as aluminium and other green metals, South32 has been tipped to generate strong free cash flow and pay big dividends in the coming years.

Goldman Sachs is particularly bullish. It expects South32 to pay fully franked dividends per share of 26.7 US cents in FY 2022 and 51.6 US cents in FY 2023. Based on the current South32 share price of $4.05 and the latest exchange rates, this will mean very attractive yields of ~9% and ~17%.

Goldman has a conviction buy rating and $5.90 price target on the miner’s shares.

The post Here are 2 ASX 200 dividend shares to buy according to analysts appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Which ASX 200 shares could benefit from falling consumer confidence?
• Down 40% Tuesday, up 21% today, what’s going on with this ASX coal share?
• How big will the South32 dividend be in 2023?
• How to start investing in stocks: This ASX 200 share is where I’d begin
• Here are 2 ASX dividend shares experts say are 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 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.

from The Motley Fool Australia https://ift.tt/G9JzvMd

If your portfolio is lacking mining exposure and you want to change that, then the two ASX 200 mining shares listed below could be worthy candidates.

Here’s why these mining shares are rated highly by analysts:

Allkem Ltd (ASX: AKE)

The first ASX 200 mining share to look at is Allkem. It is a top five global lithium miner with a collection of world class operations including Olaroz, Mt Cattlin, and the Sal de Vida brine project.

Unlike the many explorers and developers on the Australian share market, Allkem has been producing lithium for some time. For example, during the fourth quarter it expects to ship 3,500 tonnes of lithium carbonate and 38,000 dry metric tonnes of spodumene at over US$40,000 per tonne and US$5,000 per tonne, respectively.

Morgans is bullish on Allkem. This is due to the broker’s positive outlook on lithium prices and Allkem’s bold production growth plans.

We maintain our ADD rating given the strong growth outlook for the company. AKE’s diverse products and geographical mix adds opportunities to capture value as the market evolves. There is further potential upside that are not in our numbers such as Olaroz stage 3 and/or another lithium hydroxide plant. Should the lithium market continue to remain strong AKE still has a large amount of untapped growth potential.

The broker currently has an add rating and $16.38 price target on its shares.

Iluka Resources Limited (ASX: ILU)

Another ASX 200 mining share that could be in the buy zone is Iluka. It is a mineral sands and rare earths producer with a number of operations across South Australia, Western Australia, and Sierra Leone.

Analysts at Goldman Sachs are very positive on the company. This is due to its attractive valuation, the favourable outlook for mineral sands, and its exposure to rare earths.

Goldman commented:

We are Buy rated on mineral sands/rare earth producer ILU (on CL) on attractive valuation and compelling Zircon and TiO2 price upside and Rare Earth growth potential.

We think ILU is undervalued (on c. 6x EBITDA NTM) vs. key rare earth (c. 15x) and mineral sands/pigment (c. 6x) industry peers. Positive on project pipeline and forecast >40% production growth in mineral sands volumes, c.18ktpa of Rare Earths, and a >50% increase in EBITDA over the next 5 yrs to 2026 The Zircon and TiO2 feedstock markets entered a 3-yr supply side driven deficit in 2021, and we see ongoing upside risk to prices in 2022

The broker currently has a conviction buy rating and $13.80 price target on Iluka’s shares.

The post Here’s why analysts rate these ASX 200 mining shares as buys appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Could ASX lithium shares be set for a boost?
• Iluka share price lifts off on rare earths refinery progress
• Why has the Allkem share price tumbled 30% from its May all-time high?
• Leading brokers name 3 ASX shares to buy today
• Top broker names 4 ASX lithium stocks to buy now

Motley Fool contributor James Mickleboro has positions in Allkem Limited. 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.

from The Motley Fool Australia https://ift.tt/EqFPW3c

The Bitcoin (CRYPTO: BTC) price is up 2% since this time yesterday. At the time of writing, the world’s top crypto is trading for US$20,554 (AU$29,792).

In a sign the token continues to struggle, the Bitcoin price hit lows of US$19,848 over the past 24 hours. That again put it within a whisker of dropping below what many analysts believe is a key support level of US$19,500.

Bitcoin remains down about 70% from its 10 November all-time high and down 57% so far in 2022.

What’s pressuring crypto prices?

It’s not just the Bitcoin price that’s taking a beating this year.

Almost every top crypto has been sold off heavily with some, like the TerraUSD stablecoin, collapsing completely. This has seen the total global crypto market cap fall from approximately US$3 trillion in November last year to some US$1 trillion today.

The biggest factor pressuring cryptos has been hot-running inflation and the accompanying interest rate hikes needed to cool fast-rising prices down.

While tightening by the RBA and other global central banks all contribute to the impact, it’s the US Federal Reserve that’s most closely watched.

Recent outsized interest rate hikes by the US Fed have contributed to a 30% year-to-date decline in the tech-heavy NASDAQ.

The Bitcoin price moved in line with other risk assets this year, and could come under more pressure.

Fed chairman Jerome Powell said he “anticipates that ongoing rate increases will be appropriate”.

Powell added, “Inflation has obviously surprised to the upside over the past year, and further surprises could be in store.”

Is the Bitcoin price at a bottom?

Having lost more than two-thirds of its value since November, is the Bitcoin price at a bottom?

According to Mark Newton, head of technical strategy at Fundstrat Global Advisors, the answer is yes and no. Newton said (courtesy of Bloomberg):

Bitcoin has made a bottom but probably not the bottom. Upside targets should materialise near US$23,300 with a max near US$24,800 before prices pull back to likely challenge lows into the final week of June.

Analysts at Informa Global Markets say crypto investors will need to wait out the US Fed’s aggressive tightening policy before we see the Bitcoin price reach a bottom.

“Macroeconomic conditions need to improve and the Fed’s aggressive approach to monetary policy has to subside before crypto markets see a bottom,” they said.

The post The Bitcoin price is struggling. When will cryptos see a bottom? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why Bitcoin, Ethereum, and Dogecoin are down today
• The ATO is collecting crypto taxes. Here are 5 handy expert tips come tax time
• These 3 cryptos are feeling the Elon Musk effect today
• What to expect from the Bitcoin price following last week’s thrashing
• Is Solana the next Bitcoin?

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 Bitcoin. The Motley Fool Australia has positions in and has recommended Bitcoin. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/kMy7SDX