The Lottery Corporation Ltd (ASX: TLC) share price isn’t off to a good start since its spin-off, but this might be an opportunity as it’s the newest buy idea from Morgans.

The broker calls Lottery Corporation “one of the highest performing lotteries businesses in the world” when it initiated coverage with an add recommendation.

This didn’t save the Lottery Corporation share price from falling just over 3% to $4.40 during lunchtime trade. The drop takes its loss over the week to 8.5%.

Lottery Corporation share price’s poor start to the ASX

This isn’t an auspicious beginning for the group after it split from Tabcorp Holdings Limited (ASX: TAH).

But there are a lot of things to like about the newly minted shares. Some of the things Morgans likes about Lottery Corporation include long-dated and exclusive licenses to operate lotteries across Australia – apart from WA.

Morgans commented:

Lottery ticket sales are resilient to economic cyclicality, cash flows are steady and predictable, and there is a low ongoing need for capex.

These characteristics mean we expect TLC to be able to deliver a fully franked dividend at a high payout ratio, while still paying down debt steadily.

Desirable defensive qualities

The broker likened the Lottery Corporation share price to that of an infrastructure asset. During these volatile times, defensive cash flows should be highly prized.

Further, there are no major license renewals facing the group until 2028 in Victoria. Its license to sell Keno has an average 29-year expiry.

Another source of strength is the group’s large distribution networks. The lottery tickets are sold by 4,000 retailers as well as online either directly or through Jumbo Interactive Ltd (ASX: JIN).

What is the Lottery Corporation share price worth?

Morgans is tipping robust earnings growth for the Lottery Corporation share price. The broker said:

We forecast TLC to deliver 15% growth in EBITDA to $702m in FY22. With growth expected in both the Lotteries and Keno divisions, we forecast EBITDA to reach $765m in FY25, implying a FY19-25F EBITDA CAGR of 7%.

We model a lesser rate of EBITDA growth (+4%) in FY23 as the number of large jackpots is expected to normalise after an unusually prolific FY22.

The broker’s 12-month price target on the Lottery Corporation share price is $5.40 a share. This implies a 23% upside before the 16 cents a share forecast dividend is paid.

The child looking better than the parent

On the flip side, Morgans is less enamoured by the parent. It thinks the lotteries and Keno businesses were the jewel in the crown of the Tabcorp share price.

Morgans holds a cautious view on the wagering and gaming divisions that remain with Tabcorp. This prompted it to downgrade its recommendation on the Tabcorp share price to hold from add with a target price of $0.95 a share.

The post Down 9% in a week, is the Lottery Corp share price a buy?  appeared first on The Motley Fool Australia.

More reading

• Fund manager names 3 ASX shares with monopoly moats
• What’s dragging on the Tabcorp share price today?
• How do ASX shares typically perform following a demerger?
• Are newly-listed Lottery Corp shares worth buying? ASX brokers weigh in
• Could Tabcorp’s newly demerged Lottery Corporation become a takeover target?

Motley Fool contributor Brendon Lau 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 Jumbo Interactive Limited. The Motley Fool Australia has recommended Jumbo Interactive 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.

What happened

Yesterday, shares of electric car leader Tesla (NASDAQ: TSLA) took a 2.4% tumble as U.S. media obsessed over Elon Musk’s emailed ultimatum: Tesla office workers must cease working from home and report to the office, or else find a new job and “pretend to work somewhere else.”

Today, though, Tesla’s stock took a turn for the better, rising 4.7%, as investors reacted positively to news that the company is delaying delivery of longer-range electric vehicles in the U.S. Why is that?

So what

Reuters is reporting that because of snarls in the automotive parts supply chain, Tesla has been forced to delay deliveries of certain long-range models of its electric vehicles in the U.S. This sounds like bad news for Tesla — not what you’d expect to send the stock shooting up. According to the news agency, new orders of long-range versions of Tesla’s Model Y electric crossover will not arrive before December, and maybe not until March 2023. Orders for long-range Model X electric SUVs, placed today, won’t arrive before February 2023 (and perhaps as late as May).

Only with the Model 3 do things look a bit better. Long-range versions of the Tesla electric sedan, ordered today, will at least arrive before the end of this year — sometime between September and December.  

Now what

What does this mean for Tesla and its investors? I see two possibilities — not mutually exclusive.

First and foremost, delays mean unhappy customers, and customers unhappy with being asked to wait for a new Tesla might decide to buy an electric car from Volkswagen, from General Motors, or from Kia or Hyundai instead. If that’s the case, then this supply-chain problem could cost Tesla revenue and further threaten its goal of delivering 1.5 million EVs this year.

On the plus side, though, consider: In recent years, “long range” has become kind of the default, and the low-price option for most Tesla EVs — while premium-fare models with higher price tags are dubbed “performance” or even “plaid.” In delaying deliveries of “long-range” models, therefore, Tesla seems to be favoring production and sale and delivery of its highest-priced and highest-margin products — a pattern we’ve seen in the past as well at Tesla.      

This means that, even if sales and delivery numbers take a hit, Tesla appears to be doing all it can to preserve its profits until the supply-chain problems work themselves out and it can shift back into volume production mode.

For Tesla investors, I think that’s probably a good thing — and a reason for Tesla stock to go up, not down.

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

The post Why Tesla stock did a U-turn today appeared first on The Motley Fool Australia.

More reading

• The Tesla share price has rallied 18% in less than a fortnight. What’s going on?
• Why Tesla stock is still falling today
• Why the Tesla share price stalled on Tuesday
• If you’d bought $5,000 of Tesla shares 5 years ago, woohoo! Here’s how much you’d have now
• Why Tesla stock keeps going up

Rich Smith 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 Tesla. 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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Not every company inside the S&P/ASX 300 Index (ASX: XKO) has face-melting growth — but maybe they don’t all need it.

On the contrary, many investors are seeking the sanctuary of steady profit machines during these unpredictable times. Fears of a rate hike-induced recession are renewing investors’ prioritisation of predictability and financial stability.

In a recent interview conducted by Livewire, long-time investing experts Josh Clark and Gary Rollo, from QVG Capital and Montgomery Investment Management respectively, showed their enthusiasm for one ASX 300 tech share that fits the bill.

This ASX 300 share strikes the sweet spot

It would be hard to find a tech share in the ASX 300, or at all for that matter, that hasn’t suffered at the hand of weaker markets recently. To highlight this, the S&P/ASX All Technology Index (ASX: XTX) is nearly 32% underwater compared to the start of the year.

Despite this, Clark and Rollo were in agreeance that billing solutions company Hansen Technologies Limited (ASX: HSN) is a buy.

Unlike its potentially more exciting tech peers, Hansen doesn’t boast +30% revenue growth. In the 12 months ending 31 December 2021, the company increased its revenue by 5% to $314.4 million.

Commenting on this fact, Rollo shared his perspective on Hansen, stating:

Look, it’s not a high growth type business, it’s got stable industry fundamentals in the sector that it plays in. It’s basically giving you market-level growth, but in a business model that’s a bit better than the market. You’ve got a founder-led management team where they’ve given some punchy targets for years two, three, four, and five; in terms of what they think they can get to — M&A’s got to be part of that story.

Likewise, Clark also believes the founder-led team is a strong selling point. Most importantly, this includes the founder and CEO Andrew Hansen, who holds a 17.5% stake in the company.

Furthermore, Clark explained this ASX 300 tech share’s enviable track record of value creation, stating:

[T]hey’ve been able to go and purchase businesses with sticky revenues, retain those revenues, but then improve that margin profile of those businesses over time. And that’s where a lot of the values come from.

What has Hansen been up to?

In the past month, Hansen Technologies has secured an extension with an existing customer and signed a new multi-year contract.

The extension involved one of the Nordic region’s largest energy service providers, Gasum. According to the release, the extension will see Gasum use Hansen Trade (an energy trading solution) for more use cases.

Additionally, the ASX 300 tech share landed a multi-year agreement with SwissGrid to deploy Hansen MDM (meter data management).

The post Can slow and steady win the race? Why fundies love this ASX 300 tech share appeared first on The Motley Fool Australia.

More reading

• Analysts name 2 high quality ASX blue chip shares to buy right now
• Brokers name 3 ASX shares to buy today
• Candle in the wind: Why is the Dusk share price down 20% in a month?
• What are brokers forecasting for the Westpac share price in June?
• 2 great ETFs I’d buy in June 2022

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 positions in and has recommended Hansen Technologies. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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If you’re looking for blue chip shares to buy, then you may want to consider the two listed below that brokers are bullish on.

Here’s what you need to know about these blue chips:

Cochlear Limited (ASX: COH)

Cochlear is one of the world’s leading manufacturers and distributors of cochlear implantable devices for the hearing impaired.

It has been growing at a solid rate for decades and looks well-placed to continue this trend long into the future. This is thanks to its strong position in a market with high barriers to entry and the tailwinds from ageing population around the world.

Analysts at Morgans are bullish on this blue chip, particularly given its improving earnings profile post-pandemic.

Morgans commented:

Cochlear maintains a dominant position in the implantable hearing solutions segment. While we continue to believe a full recovery from Covid-based disruptions still has time to play out, improving demand and strong pipeline, coupled with management’s increasing confidence, suggests an improving earnings profile.

The broker currently has an add rating and $244.50 price target on Cochlear’s shares.

TechnologyOne Ltd (ASX: TNE)

TechnologyOne is an enterprise software provider with a focus on the government, financial services, health and community services, education, and utilities and managed services markets.

Like Cochlear, this blue chip has been growing for decades and has now carved out a leadership position in Australia. But management isn’t settling for that and is now aiming to grow its share of the much larger UK market.

The company is also transitioning to be a software-as-a-service (SaaS) provider. This shift has been going very well and is underpinning stellar recurring revenue growth.

Goldman Sachs has been impressed and expects the company’s annual recurring revenue (ARR) growth targets to be achieved. It said:

In our view, TNE is well-placed to meet its A$500mn FY26 ARR target and we are more constructive than consensus and the market (as implied by TNE’s current share price). SaaS flip uplift, elevated inflation (via contractual CPI pass-through) and underlying business growth underpin our A$505mn FY26 ARR estimate, and we think risks are skewed to the upside with our estimates assuming modest organic growth ex-flip (~10%).

Goldman has a buy rating and $13.30 price target on this blue chip’s shares.

The post Analysts name 2 high quality ASX blue chip shares to buy right now appeared first on The Motley Fool Australia.

More reading

• Why the TechnologyOne share price could be a top option for investors in June
• 3 ASX shares to buy in troubled times: expert panel
• 2 top ASX shares that could be excellent buy and hold options
• 2 beaten-up ASX tech shares with major upside: experts
• Leading broker names the best ASX tech share to buy following 2022’s tech meltdown

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 Cochlear Ltd. The Motley Fool Australia has recommended Cochlear Ltd. and TechnologyOne Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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It has been another busy week for Australia’s top brokers. This has led to the release of a large number of broker notes.

Three broker buy ratings that you might want to know more about are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

CSL Limited (ASX: CSL)

According to a note out of Macquarie, its analysts have retained their outperform rating and $327.50 price target on this biotherapeutics giant’s shares. Macquarie notes that traffic volumes have been improving for its US plasma collection network and are now largely in line with pre-COVID levels. Its analysts believe this bodes well for its earnings growth in the coming years, which should also be boosted by the Vifor Pharma acquisition. The CSL share price is trading at $268.55 today.

Pro Medicus Limited (ASX: PME)

A note out of Morgans reveals that its analysts have retained their add rating and $56.20 price target on this health imaging technology company’s shares. This follows the announcement of a new major integrated delivery network (IDN) contract win. Morgans appears confident that this won’t be the last thanks to the shift to cloud-based software from legacy systems. The Pro Medicus share price is fetching $41.45 on Friday.

REA Group Limited (ASX: REA)

Another note out of Morgans reveals that its analysts have retained their add rating but trimmed their price target on this property listings company’s shares to $144.00. This follows the release of an investor day update which outlined REA’s plans to deliver double-digit revenue and earnings growth through the cycle. Morgans was pleased with what it heard and appears supportive of the company’s focus on digitisation throughout the property value chain. The REA share price is trading at $112.53 this afternoon.

The post Brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

More reading

• Why Altium, Fortescue, PeopleIn, and REA shares are storming higher
• 3 ASX 200 shares swimming in billions, besides banks and miners
• Broker tips Pro Medicus share price to shoot 25% higher
• 5 things to watch on the ASX 200 on Friday
• Why Nanosonics, REA, Sayona Mining, and Zip shares are dropping

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 CSL Ltd. and Pro Medicus Ltd. The Motley Fool Australia has positions in and has recommended Pro Medicus Ltd. The Motley Fool Australia has recommended Macquarie Group Limited and REA Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Dusk Group Ltd (ASX: DSK) share price continues its slide below $2 and is currently trading at $1.94, down 0.26% for the day so far.

The Dusk share price has been in the doldrums this year. For a three-month period between February and the end of April, it was rangebound between about $2.45 and $2.80. Then over May, the shares lost 21.96%. Boom, just like that. Like a candle in the wind.

Dusk’s flame-out in 2022

This year has been pretty unexciting in terms of ASX announcements from Dusk.

In February, the company released its FY22 half-year results which showed a 12% decline in sales revenue largely due to lockdowns and mandated store closures on the East Coast.

Lockdowns proved a major problem for Dusk, leading to a collective 5,483 lost trading days in NSW, Victoria, and the ACT.

On a positive note, online sales increased by 2.8% over the prior corresponding period to $7.7 million. This accounted for 9.7% of total sales.

Dusk announced it would pay investors an interim dividend of 10 cents per share fully franked. Based on the share price at the time, it represented an attractive dividend yield of 3.85%.

Then in March, Dusk disappointed investors by terminating its proposed acquisition of Eroma. There was no explanation other than the deal not meeting “certain conditions”.

The $28 million purchase of Australia’s leading supplier of candle making inputs and fragrance oils was announced in December 2021.

These are the only two price-sensitive announcements we have seen from Dusk in 2022 so far.

Dusk share price history

Dusk is a young ASX share. It began trading in November 2020. Its initial public offering (IPO) price was $2 and it closed on day one at $1.69.

Dusk had a quick ascension on the ASX, with a series of positive results pushing the share price to an all-time high of $4.07 in July 2021. It began drifting down in August and the decline has continued in 2022.

Since the beginning of the year, the Dusk share price has lost almost 40% in value.

Last month my Fool colleague Tristan posed the question: Is Dusk now “too cheap to ignore“?

Is Dusk worth buying for the dividends?

Dusk is a very good dividend payer. On 19 April, we reported that Commsec was tipping a grossed-up dividend yield of 10.25% in FY22 and further growth in dividends in FY23 and FY24.

The article said Commsec numbers “suggest the Dusk share price is valued at less than 10x FY22’s estimated earnings”.

The post Candle in the wind: Why is the Dusk share price down 20% in a month? appeared first on The Motley Fool Australia.

More reading

• Are these 2 small ASX shares too cheap to ignore?

Motley Fool contributor Bronwyn Allen has positions in Dusk Group 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 recommended Dusk Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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This year has been rough on the Life360 Inc (ASX: 360) share price but one top broker believes there are better days to come.

At the time of writing, the Life360 share price is $3.37. That’s 4% higher than its previous close but 65% lower than it was at the start of 2022.

For context, the S&P/ASX 200 Index (ASX: XJO) is up 0.6% today. It has slipped nearly 5% this year. Additionally, the S&P/ASX 200 Information Technology Index (ASX: XIJ) has also struggled this year, sliding 32%.

So, what has brokers bullish on the Life360 share price? Let’s take a look.

Why the Life360 share price could rise by 120%

The Life360 share price could have a 122.5% upside, according to Bell Potter.

The broker likes the company’s cash position and future profit prospects, The Motley Fool Australia’s James Mickleboro recently reported.

For those not familiar with the company, it’s the developer of the Life360 app. The app is designed to allow families to track their loved ones to ensure safety.

Life360 isn’t yet turning a profit. However, it did bring in US$52.7 million of revenue in the March quarter. It also boasted US$98.2 million of cash reserves as of the end of the quarter.

On top of that, the app was attracting 38.3 million active users at the end of March. That’s a 36% increase at the same point in 2021.

The company is expecting to break even in the final quarter of next year and be cash flow positive for the whole of 2024.

In the near term, it’s expecting its earnings before interest, tax, depreciation, and amortisation (EBITDA) to come to a loss of US$32 million to US$38 million in 2022.

All that considered, Bell Potter is very hopeful for the future of the stock. It has slapped a $7.50 price target and a buy rating on Life360 shares.

The post Top broker says unloved Life360 share price has 120% upside appeared first on The Motley Fool Australia.

More reading

• 3 excellent ASX growth shares with major upside potential
• ASX 200 midday update: Pilbara Minerals names new CEO, Wesfarmers’ strategy update
• What to do with these 3 pummelled ASX shares: advisor
• ASX 200 midday update: Beach, Santos rise but EML, Zip tumble
• Why BHP, Chalice Mining, IGO, and Life360 shares are storming higher

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 positions in and has recommended Life360, Inc. 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 Westpac Banking Corp (ASX: WBC) share price is on course to end the week with a small gain.

In afternoon trade, the banking giant’s shares are up 0.2% to $23.97.

Can the Westpac share price keep climbing in June?

While it’s impossible to predict what the Westpac share price will do in the immediate term, a number of brokers certainly see potential for it to rise meaningfully from current levels.

One of the most bullish is Citi. Earlier this week, the broker retained its buy rating and $29.00 price target on the bank’s shares.

Based on the current Westpac share price, this implies potential upside of approximately 21% for investors.

According to the note, Citi believes the major banks will see a swing from lending-derived revenue growth to deposit-derived growth as rates rise and credit slows. As a result, its analysts expect the current valuation gap between asset growing and revenue challenged banks will close.

Citi prefers the latter in the current environment, which includes Westpac.

What are other brokers saying?

Elsewhere, analysts at Goldman Sachs currently only have a neutral rating on the company’s shares.

However, with a price target of $27.29, this suggests potential upside of 14% for investors. Not bad for a neutral rating!

Another broker that sees plenty of upside in the Westpac share price is UBS.

In response to the bank’s half-year results last month, its analysts put a buy rating and $27.00 price target on its shares. This suggests potential upside of approximately 13%.

Sitting on the fence

Finally, one broker that isn’t overly positive and is sitting on the fence is Morgans.

It recently went from being arguably the most bullish broker to the most downcast. This saw its analysts downgrade the bank’s shares to a hold rating with a $23.90 price target, which is broadly in line with where the Westpac share price trades now.

However, it is worth noting that the broker’s negative view is on short term issues and it remains positive on the long term. It commented:

We continue to believe that WBC’s stock offers compelling long-term value despite share price strength over the last five months. However, it has been disappointing to see that WBC’s Australian investor home loan book has continued to shrink post FY21 according to APRA statistics.

We believe this contraction is being partially driven by WBC’s business bankers being focused on remediation issues; we had hoped these issues would be resolved by now. We suspect the remediation issues are also hampering WBC’s Australian business loan growth.

The post What are brokers forecasting for the Westpac share price in June? appeared first on The Motley Fool Australia.

More reading

• What’s dragging on ASX 200 bank shares like NAB on Thursday?
• Why did the Westpac share price beat the ASX 200 in May?
• Leading brokers name 3 ASX shares to buy today
• The ANZ share price is ‘trading at its largest discount to its peers in 15 years’: Is this justified?
• Where next for the Westpac share price?

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 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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I think there are a number of investments that now look particularly attractive due to the recent market volatility. I’ve got my eye on some top exchange-traded funds (ETFs).

When the share market drops considerably, it can be difficult to know which shares to choose.

The main benefit of an ETF is that investors can buy a whole group of attractively-priced businesses at the same time. I like diversification, and I also like buying great businesses.

Here are two that I think give investors exposure to a great group of companies.

Betashares Nasdaq 100 ETF (ASX: NDQ)

This ETF aims to track the performance of the 100 largest businesses on the tech-heavy NASDAQ stock exchange in the United States.

The Betashares Nasdaq 100 ETF has many of the world’s biggest tech companies in its portfolio. These include Apple, Microsoft, Amazon.com, Alphabet, Meta Platforms, and Nvidia.

But it’s not just the giants in there. There are plenty of other attractive, quality businesses in the portfolio including Broadcom, Adobe, Costco, Cisco Systems, Advanced Micro Devices, Qualcomm, and Texas Instruments.

One of the main things I like about these holdings is that many of them are the best at what they do in the Western world, or perhaps the whole world. I think this ETF’s holdings are high quality.

The annual management fee seems reasonable to me at 0.48%. While it’s not as cheap as some other ETFs, I think the net returns of the NDQ ETF will be great over the long term because of the strength of the underlying holdings. Plus, it’s a cheaper fee than many active fund managers charge.

Over the five years to April 2022, the average net return of the Betashares Nasdaq 100 ETF was 19.76% per annum. That compares to an average net return per annum of 14.1% from the Vanguard US Total Market Shares Index ETF (ASX: VTS) over the same period. The VTS ETF has an annual fee of 0.03%.

Vanguard aims to keep its fees as low as possible for investors. It isn’t looking to make a profit, unlike BetaShares.

The Betashares Nasdaq 100 ETF share price has fallen by almost 23% in 2022.

Betashares Global Cybersecurity ETF (ASX: HACK)

This is another ETF, but it’s focused on a particular industry. As you may have already guessed, it’s all about the global cybersecurity sector.

The HACK ETF has about 40 positions. While most (87%) of the portfolio is invested in US businesses, the underlying earnings come from across the world.

Sadly, cybercrime continues to rise. Indeed, there are predictions that cybercrime costs could more than triple between 2015 to 2025.

The businesses in this ETF’s portfolio are at the forefront of defending against the bad guys. Some of the biggest names in the portfolio include Crowdstrike, Cisco Systems, Zscaler, VMware, Mandiant, Booz Allen Hamilton, Leidos, Sailpoint Technologies and Akamai Technologies.

I think the HACK ETF has an attractive earnings growth outlook. BetaShares outlines that, according to Statista, the projected size of the global cybersecurity market is expected to rise to US$223.68 billion in 2022 (up approximately 10% from 2021) and then further increase to US$248.26 billion in 2023.

Cybersecurity is also very important for businesses, governments, and organisations – I’d guess it’s the last thing that would be cut from expenditure, so I believe that might make the HACK ETF more defensive than ETFs with cyclical stocks.

The Betashares Global Cybersecurity ETF share price has dropped by almost 17% in 2022. So, I think it looks even more attractive now.

The post 2 great ETFs I’d buy in June 2022 appeared first on The Motley Fool Australia.

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• Why I’d buy these 2 excellent ASX shares exposed to megatrends
• 3 high quality ETFs for ASX investors to buy now
• Here’s why the Betashares Nasdaq 100 ETF (NDQ) is sinking today
• Are these 2 sold-off ASX growth shares now cheap bargains?

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. 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 Adobe Inc., Advanced Micro Devices, Alphabet (A shares), Alphabet (C shares), Amazon, Apple, BETA CYBER ETF UNITS, BETANASDAQ ETF UNITS, Cisco Systems, CrowdStrike Holdings, Inc., Meta Platforms, Inc., Microsoft, Nvidia, and Qualcomm. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended VMware and has recommended the following options: long January 2024 $420 calls on Adobe Inc., long March 2023 $120 calls on Apple, short January 2024 $430 calls on Adobe Inc., and short March 2023 $130 calls on Apple. The Motley Fool Australia has positions in and has recommended BETA CYBER ETF UNITS and BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended Adobe Inc., Alphabet (A shares), Alphabet (C shares), Amazon, Apple, CrowdStrike Holdings, Inc., Meta Platforms, Inc., and Nvidia. 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 Breville Group Ltd (ASX: BRG) share price has been distinctly off the boil for months. It’s drifted down from a 52-week high of $33.61 in August 2021 to a 52-week low of $19.74 last week. Since the start of the year, shares in the global home kitchen appliances giant have lost 36% of their value.

Now, a trio of brokers are tipping the Breville share price to rise by at least 50% over the next year.

Can the Breville share price go to $30-plus in a year?

Morgans has given Breville an add rating with a share price target of $32. UBS agrees that Breville is a buy, but it has a more ambitious price target of $34. Macquarie is the most bullish, tipping the Breville share price to rise to $34.80.

Morgans says favourable industry tailwinds combined with Breville’s ongoing global expansion and heavy investment in research and development position the company for strong ongoing growth.

In a note to clients in May, Morgans said Breville was “positioned to deliver double-digit sales growth consistently over the next few years as it grows its market share, notably in geographies into which it has recently launched”.

Breville recently expanded into Norway, Finland, Denmark, and Sweden. This month, it hopes to start operations in South Korea, and in July it’s targeting Poland.

UBS reckons Breville can deliver ongoing double-digit earnings per share (EPS) growth over the next few years.

Macquarie retains its outperform rating and says Breville shares could go as high as $34.80 by this time next year.

Breville retains FY22 EBIT guidance

Macquarie interpreted a positive update from Italian small-appliance manufacturer De’Longhi SpA (FRA: DLN) in May as indicative of strength in home appliances retailing. This may bode well for Breville’s second-half results in FY22.

Breville gave a presentation at the Macquarie Investor Conference in Sydney on 3 May, where it reconfirmed its FY22 guidance. Breville said it expects earnings before interest and tax (EBIT) “to be consistent with the markets’ consensus forecast of ~$156 million”. The FY21 EBIT was $136.4 million.

What’s next for Breville?

Breville expects to complete its 100% acquisition of the Italian prosumer specialty coffee group LELIT next month. The company announced the $113 million euros purchase in March.

At the time, Breville Group CEO Jim Clayton said:

Both companies have a shared passion for using product innovation to improve our customers’ coffee experience at home, and we look forward to working alongside LELIT and its existing partners to further accelerate its growth and product innovation, while preserving the values that underpin its Italian identity.

The Breville share price slipped into the red early this afternoon and is trading at $20.44, down 0.39% at the time of writing.

The post The Breville share price has at least 50% upside: top brokers appeared first on The Motley Fool Australia.

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

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