Shares in Bank of Queensland Limited (ASX: BOQ) are inching higher on Tuesday and are currently trading 0.6% in the green at $8.38, taking their gains over the past fortnight close to 11%.

ASX financials are strengthening in March and are now well ahead of most sectors this year to date. The S&P/ASX 200 Financials Index (ASX: XFJ), which is up 1.1% today, has spiked more than 2% in the past month and is up 3% since January.

It is one of the only sectors to remain in the green across all major time frames, well ahead of the benchmark S&P/ASX 200 Index (ASX: XJO)’s return.

BOQ shares are front-running the financials index and are now trading 4% in the green this year to date, after bouncing from a low of $7.69 on 9 March.

What’s happening with BOQ?

Other than a buoyant financials sector, there’s been nothing remarkable out of BOQ’s camp that relates to movements in its share price.

Both the bank and the broad sector are now in a vertical uptrend that’s backed by a strong macro-economic narrative where interest rates look set to rise in the foreseeable future.

JP Morgan remains bullish on BOQ and says the market might be under-appreciating its growth potential seeing its current valuation.

It mentioned that momentum is building due to improvements in its digital strategy. As a result “BOQ believes the premium it will need to pay in the future will be lower than what it has paid in the past,” – a clear tailwind to margins, analysts said.

Luckily for the bank, it remains JP Morgan’s preferred regional bank on grounds of valuation and the wind up from its digital transformation strategy.

Analysts at Morgans are also bullish on the stock’s “exceptional value” that might be worth considering, it said in a recent note.

The broker rates BOQ as a buy and values the company at $11 per share, around 31% upside potential at the time of writing.

In a recent analysis, it appeared the sentiment was bullish, seeing as 73% of analysts covering the bank have it as buy right now on a consensus price target of $9.90.

Nevertheless, BOQ is trailing a number of the banking majors in 2022 but is starting to close the gap.

BOQ share price snapshot

The BOQ share price is around 1% in the red over these past 12 months and is now trading back in the green this year to date.

Things have levelled off recently, however, as shares are now down over the past month.

The post The Bank of Queensland (ASX:BOQ) share price has rallied 11% in 2 weeks appeared first on The Motley Fool Australia.

More reading

• Brokers: Buy these 2 underrated ASX dividend shares
• Are Bank of Queensland (ASX:BOQ) shares cheap right now? Read what analysts say
• 2 dividend shares analysts rate as buys with big yields and even bigger upside
• Top brokers name 3 ASX shares to buy today
• Bargain buy? Broker tips Bank of Queensland (ASX:BOQ) share price to rise 37%

Motley Fool contributor Zach Bristow 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 Bruce Jackson.

from The Motley Fool Australia https://ift.tt/WV2j9gl

The S&P/ASX 200 Index (ASX: XJO) is on track to record a strong gain thanks largely to the resources sector. In afternoon trade, the benchmark index is up 1.25% to 7,369.6 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are tumbling lower:

A2 Milk Company Ltd (ASX: A2M)

The A2 Milk share price is down 1.5% to $5.36. This appears to have been driven by news that smaller rival Bubs Australia Ltd (ASX: BUB) is launching an A2 protein based infant formula product, Bubs Supreme. The release notes that the Bubs Supreme formula range will be competing head to head with A2 Milk in 500 Coles Group Ltd (ASX: COL) supermarkets from May.

Atlas Arteria Group (ASX: ALX)

The Atlas Arteria share price is down over 5% to $6.60. The majority of this decline is attributable to the toll road operator’s shares trading ex-dividend for its 20.5 cents per share final dividend this morning. Eligible shareholders can look forward to receiving this dividend at the end of the month on 31 March.

Block Inc (ASX: SQ2)

The Block share price is down 5% to $174.81. This follows a similarly sharp decline by its NYSE listed shares during overnight trade on Wall Street. The majority of US tech shares came under pressure last night after the US Federal Reserve’s Chair, Jerome Powell, said that inflation is too high and steps will be taken to control it. This could see rates rise in more aggressive 50-basis point instalments.

Boral Limited (ASX: BLD)

The Boral share price is down 2.5% to $3.37. Investors have been selling this building products company’s shares after it warned that heavy rain and rising fuel prices would impact its profits by ~$23 million. Boral expects underlying earnings before interest and tax (EBIT) from continuing operations (excluding Property) in FY 2022 to be between $145 million and $155 million.

The post Why A2 Milk, Atlas Arteria, Block, and Boral shares are tumbling today appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: BHP and New Hope storm higher, Boral slumps
• Boral (ASX:BLD) share price hits 52-week low following guidance update
• Why is the A2 Milk (ASX:A2M) share price falling today?
• 5 things to watch on the ASX 200 on Tuesday
• Why Block, Core Lithium, Liontown, and Qube shares are rising

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Block, Inc. The Motley Fool Australia owns and has recommended Block, Inc. The Motley Fool Australia has recommended A2 Milk and BUBS AUST FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/lrRUf8H

The Seek Limited (ASX: SEK) share price has edged higher since announcing its FY22 half year results in mid-February.

The job listings giant delivered a robust earnings growth along with a bumper dividend which pleased investors.

At the time of writing, Seek shares are trading at $30.76, down 0.10%.

It’s worth noting that following the company’s financial scorecard, Seek shares are up more than 10%.

How did Seek perform in H1 FY22?

In the half year report for the 2022 financial year, Seek reported a strong performance across key metrics.

In summary, revenue increased by 59% to $517.2 million driven by record ad volumes in Australia and New Zealand. The company also benefited from unique hirers, on average, which surged by 30% over the previous corresponding period.

Net profit after tax (NPAT) on total operations soared by 32% from $66.8 million to 88.1 million.

At the end of the period, the company finished with total debt facilities of $1.75 billion and $569 million of cash and undrawn facilities.

The Board declared a fully franked interim dividend of 23 cents per share. The prior dividend was 20 cents per share which was in May 2021 – a one-off dividend following receipt of Zhaopin transaction funds.

Management noted that the latest dividend equates to a payout ratio of 75% of cash NPAT less capital expenditure. This is in line with Seek’s capital management framework.

When can Seek shareholders expect payment?

Seek will pay the interim dividend to eligible shareholders approximately 2 weeks away on 7 April.

To be eligible for the latest dividend, you’ll need to own Seek shares before the ex-dividend date on 23 March. This means if you want to secure the dividend, you will need to purchase Seek shares no later than today.

In case you are wondering, the company is not offering a dividend reinvestment plan (DRP) to shareholders.

The post Hoping to bag the Seek (ASX:SEK) dividend? Here’s what you need to know appeared first on The Motley Fool Australia.

More reading

• This quality ASX 200 share is trading on its ‘cheapest multiple for the past 5 years’
• 3 ASX shares going for way cheaper than they’re worth: Wilsons
• Top brokers name 3 ASX shares to buy next week
• We stopped buying tech, but just picked up these 2 ASX shares: expert
• 5 ASX shares trading ex-dividend next week

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 SEEK Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/0yaAEGH

As many investors would be aware, the ASX is a share market that is well-known for its dividend income potential. Most, if not almost all, of the top shares on the ASX boards pay out generous dividend payments every 6 months fairly consistently. Between BHP Group Ltd (ASX: BHP), the big four banks, and companies like Telstra Corporation Ltd (ASX: TLS) and Woolworths Group Ltd (ASX: WOW), there is no shortage of dividend payers at the top end of the ASX. And that’s good news for exchange-traded funds (ETFs) like the Vanguard Australian Shares Index ETF (ASX: VAS).    

VAS is the most popular ETF on the ASX, and by quite a mile too. It’s also the only ETF that tracks the S&P/ASX 300 Index (ASX: XKO), which follows the largest 300 companies on the ASX. It does so by using a weighting determined by market capitalisation, meaning the largest companies (such as those listed above) on the share market have the most presence in the ETF. 

VASt dividends from the Vanguard Australian Shares ETF

So if an investor wanted a single share offering broad exposure to ASX shares, but also healthy dividend income, is VAS a good choice?

Well, let’s check out what kind of dividend distributions this Vanguard fund offers today.

So as an ETF, VAS is structured as a trust. That means that it has to pass on any dividends it receives over a year to its investors via distributions. In VAS’s case, the WETF pays out these dividend distributions quarterly.

Its last four distributions (covering 2021) were as follows:

• 69.65 cents per unit for the quarter ending 31 December
• 140.73 cents per unit for the September quarter
• 55.64 cents per unit for the June quarter
• 77 cents per unit for the March quarter

That’s a total of $3.43 per unit for VAS last year. Today, VAS units are going for $95.46 each. That gives this ETF a trailing yield of 3.59% at this pricing. Now many of the dividend shares on the ASX 300 Index only pay partially or unfranked dividends, so in turn, VAS’s dividend distributions typically only come partially franked as well. But even so, that is the kind of yield that is currently on the table from the Vanguard Australian Shares Index ETF. 

The post What kind of dividends does the Vanguard Australian Shares ETF (ASX:VAS) pay? appeared first on The Motley Fool Australia.

More reading

• VAS is the ASX’s most popular ETF. But where are the tech shares?
• Warning: Only 4 ASX shares just added to ASX 300 are profitable
• Diversification? Why VAS is really a bet on banks and miners

Motley Fool contributor Sebastian Bowen owns Telstra Corporation 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 owns and has recommended Telstra Corporation Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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

The Fortescue Metals Group Limited (ASX: FMG) share price is underperforming the BHP Group Ltd (ASX: BHP) share price. Why is this happening?

At the time of writing, the Fortescue share price is up 1.7%. But, the BHP share price has stormed higher and is up by around 4.7%.

Both of these businesses are huge iron ore miners. Only the ASX mining share Rio Tinto Limited (ASX: RIO) and the Brazilian company Vale are in the same league.

Iron ore price decline

Fortescue and BHP are not exactly the same businesses with the same exposure to iron ore, so investors sometimes treat the Fortescue share price and the BHP share price differently day to day.

Fortescue’s operations are almost entirely based on iron ore at the moment, with a growing green energy and green industry division called Fortescue Future Industries (FFI).

BHP’s iron ore division makes up the dominant portion of its annual profit, but it also has other commodities that help earnings including petroleum (for now), copper, and nickel.

According to CommSec, the iron ore futures price fell by US$1.12, or 0.7%, to US$150.23 a tonne yesterday. CommSec said iron ore fell due to “China’s battle to contain rising COVID-19 infections disrupted transportation in the country’s important steel-making hub of Tangshan”. China is the major buyer of Australian iron ore.

What next for the Fortescue share price?

One of the most recent broker ratings on Fortescue comes from Citi. The broker rates Fortescue as a sell, with a price target of just $16. That implies a decline of around 15% over the next 12 months.

The reason for the bearish price target is that the iron ore price is expected to fall to US$80 per tonne over the next couple of years.

The post Why is the Fortescue (ASX:FMG) share price underperforming BHP today? appeared first on The Motley Fool Australia.

More reading

• Why Beach, BHP, New Hope, and ResApp shares are charging higher
• The BHP share price is up 5% today. What’s going on?
• ASX 200 (ASX:XJO) midday update: BHP and New Hope storm higher, Boral slumps
• How close is Fortescue (ASX:FMG) Future Industries to making green hydrogen?
• Why has the BHP share price dropped 7% in 2 weeks?

Motley Fool contributor Tristan Harrison owns Fortescue Metals 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 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 Bruce Jackson.

from The Motley Fool Australia https://ift.tt/80OnHKq

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on track to record a strong gain. At the time of writing, the benchmark index is up 1.3% to 7,373.9 points.

Four ASX shares that are climbing more than most today are listed below. Here’s why they are charging higher:

Beach Energy Ltd (ASX: BPT)

The Beach share price is up 3.5% to $1.63. Investors have been buying this energy producer’s shares following a strong rise in oil prices. Concerns that the EU may ban Russian oil led to oil prices jumping 7% overnight. The good news for Beach and other energy shares is that prices have continued to climb during Asian trade.

BHP Group Ltd (ASX: BHP)

The BHP share price is up 4.5% to $48.62. Investors have been buying the Big Australian’s shares following a solid night of trade for a number of commodities. It isn’t just BHP that is climbing today. The S&P/ASX 200 Resources index is up a solid 3.4% at the time of writing.

New Hope Corporation Limited (ASX: NHC)

The New Hope share price has stormed 6% higher to $3.11. The catalyst for this was the release of the coal miner’s half year results this morning. Thanks largely to sky high coal prices, New Hope delivered a 153% increase in revenue to $1,025 million and a 582% jump in underlying EBITDA to $554.4 million. This allowed the New Hope board to increase its fully franked interim dividend by 325% to 17 cents per share and declare a fully franked 13 cents per share special dividend.

ResApp Health Ltd (ASX: RAP)

The ResApp share price has rocketed 43% to 8.9 cents. This follows the release of positive results from its cough audio-based COVID-19 screening test. The digital health company advised that its test, which operates through a regular smartphone, correctly detected the virus in 92% of infected participants.

The post Why Beach, BHP, New Hope, and ResApp shares are charging higher appeared first on The Motley Fool Australia.

More reading

• Why is the Fortescue (ASX:FMG) share price underperforming BHP today?
• The BHP share price is up 5% today. What’s going on?
• ASX 200 (ASX:XJO) midday update: BHP and New Hope storm higher, Boral slumps
• Here’s why the ResApp (ASX:RAP) share price is skyrocketing 60% today
• New Hope (ASX:NHC) share price up 10% amid huge first half profits and special dividend

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 Bruce Jackson.

from The Motley Fool Australia https://ift.tt/0MS3FmT

An ASX healthcare share is racing into the green today following an update from the US Food and Drug Administration (FDA). The Noxopharm Ltd (ASX: NOX) share price has rocketed 17.19% today and is currently at 38 cents.

In earlier trade, the Noxopharm shares exploded 21% to 40 cents.

Let’s take a look at what the company announced.

Orphan drug designation

The Noxopharm share price is soaring after the biotechnology company received Orphan Drug Designation (ODD) by the FDA for Veyonda.

Veyonda is the company’s lead oncology drug candidate for the treatment of soft tissue sarcoma, an aggressive cancer.

The granting of ODD provides Noxopharm with seven years of market exclusivity for the drug and a waiver of new drug application fees. In 2021, the cost for a new drug application was about $2.9 million.

The FDA will also assist with regulatory guidance during the drug development process. Noxopharm said out of 360 ODD’s approved last year, only four went to Australian companies.

Noxopharm is currently conducting a CEP-2 trial using Veyonda in the treatment of patients with soft tissue sarcoma in the United States.

Commenting on the news fuelling the Noxopharm share price today, CEO Dr Gisela Mautner said:

It is pleasing that the Noxopharm application for Orphan Drug Designation was approved so quickly.

The 7-year period of market exclusivity is commercially extremely valuable, as it means that the FDA will not approve a subsequent drug for the same use within this timeframe.

With the FDA orphan drug designation now secured for Veyonda, the Noxopharm team is excited to move our preclinical assets along the drug development process, while continuing to deliver on our clinical program plan.

Thirty patients are being enrolled in the clinical trials to investigate the use of the drug. The City of Hope Cancer Center in Los Angeles has started treatment already.

Noxopharm share price snapshot

The Noxopharm share price has dropped 43% in the last year, while it has fallen 4% year to date. For perspective, the S&P/ASX 200 Index (ASX: XJO) has returned more than 9% over the past year.

In the past month, this ASX healthcare share has dropped 1.3% although it has climbed by almost 9% over the past week.

The company has a market capitalisation of about $108 million.

The post This ASX healthcare share is surging 17% on a new FDA ruling appeared first on The Motley Fool Australia.

More reading

• 1 investing strategy to grow your money like magic
• 3 ASX 200 shares smashing multi-year highs on Tuesday
• Ramsay (ASX:RHC) share price pushes higher on US$1.35bn proposal for Asian JV
• This quality ASX 200 share is trading on its ‘cheapest multiple for the past 5 years’
• The BHP share price is up 5% today. What’s going on?

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 Bruce Jackson.

from The Motley Fool Australia https://ift.tt/r298s07

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.

There are dozens of investing strategies you can dive into as an individual investor. You can invest in growth stocks or dividend stocks or index funds. You can diversify with cryptocurrencies. You might use options or a real estate mortgage to add leverage.

But there’s one overall investing strategy that works extremely well for individual investors: taking a long-term view. Making an investment decision through the lens of what it will look like 5, 10, or 20 years out leads to fantastic results for most investors. Here are the advantages of thinking long term.

You get time to be right

Trying to predict where a stock price will be a year from now is really difficult. There may be dozens of professional Wall Street analysts following any individual company and providing their predictions about where the stock price will be a year from now. Two highly intelligent professionals can have drastically different answers for where they think the stock price will be in a year, and they’re often both wrong.

A stock price is frequently influenced by factors beyond the control of management, and it may not reflect the operations of the company. If a global pandemic breaks out, for example, the entire stock market may decline.

Over the long run, however, winners start to emerge. A good company’s stock will outperform its peers. Investing in these companies will pay off, but it could take a while.

Historically, the U.S. stock market has delivered very strong returns, but it’s had spells of much lower than expected returns too. In fact, you could’ve done better investing in alternative assets like money market accounts or bonds during some stretches in the market. The longer you stay invested, though, the more likely U.S. stocks are to outperform other asset classes.

See the following table for the rolling-period returns of the S&P 500 (adjusted for inflation) and how it compares to the returns of bonds.

Metric	5 Years	10 Years	20 Years
Lowest CAGR	(13.2%)	(5.9%)	(0.2%)
Highest CAGR	33.4%	20.0%	13.6%
Average CAGR	7.2%	6.9%	6.6%
% of periods outperforming bonds	72.5%	85.6%	98.1%

Data source: Robert Shiller. CAGR = compound annual growth rate.

The longer you stay invested, the more likely you are to generate a positive real return and outperform bonds. A long-term horizon gives you more time to be right, even if you’re wrong in the short run.

Take bigger bets

Using a long-term investing strategy also allows you to take bigger bets on companies sharing your long-term vision. A company may invest heavily in research and development and scaling its business, and it might burn cash for many years before its efforts pay off with meaningful earnings.

Amazon (NASDAQ: AMZN) is a prime example (pun intended) of a company that makes long-term bets that negatively affect its operating income in the short term. But the bets it’s made have paid off extremely well, cementing its dominant position in online retail by littering the country with fulfilment centers while building a market-leading cloud computing platform and the third-largest digital advertising business in the U.S. These bets required significant investments with extended time horizons — it’s only in the past few years that Amazon has generated meaningful operating profits.

If you’re confident in management’s ability to take big bets and cut losses when they fail — as with the Fire Phone — you can easily withstand the short-term ups and downs of growth stocks with great long-term potential.

Lower your tax burden

Maintaining a long-term outlook also allows you to keep your tax burden low. If and when you need to sell a stock — because it no longer fits your thesis, you need to rebalance, or to liquidate holdings — you’ll likely be able to take long-term capital gains. Long-term capital gains receive a favorable tax rate, usually 15% for most people, versus short-term gains, which are taxed at your marginal income tax rate.

Not only that, but you’ll also be able to plan your taxes more effectively. You may take capital gains at the most opportune time, filling up the 0% tax bracket. You may be able to harvest capital losses and offset your gains. There are lots of tax strategies you can take advantage of when you maintain a long-term outlook.

Keeping your tax burden low ensures you keep more of your capital invested, instead of cutting a big check to the IRS every year. The more capital you can keep invested, the bigger your portfolio will grow over time, because not only are you saving money on taxes every year, that money compounds along with your other investments.

If you maintain a long-term outlook, you’ll have more patience for investments that you believe will eventually outperform. Ultimately, that’s the best path to grow your money like magic.

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

The post 1 investing strategy to grow your money like magic appeared first on The Motley Fool Australia.

More reading

• Why Amazon stock was outperforming the market today
• 5 of the fastest-growing stocks on the planet
• 2 Buffett stocks to buy for the long haul
• Amazon’s putting a bigger focus on grocery this year
• Should you buy Amazon stock now or wait until after the stock split?

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Adam Levy owns Amazon. The Motley Fool owns and recommends Amazon. The Motley Fool has a disclosure policy.

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

from The Motley Fool Australia https://ift.tt/uy6TPDr

The S&P/ASX 200 Index (ASX: XJO) is enjoying a strong run today, up 1.18% at lunchtime.

And as the benchmark climbs, these 3 ASX 200 shares are breaking into new multi-year and even all-time highs.

We’ll kick off with a company that’s now trading for more than ever before since listing on the ASX way back in May 1994.

ASX 200 share hits all-time highs

The Computershare Ltd (ASX: CPU) share price is up 4.9% today, currently trading for $23.93 per share, a record high.

The financial services company operates the largest share registry business in the world.

And with today’s gains factored in, shares are now up 17.9% in 2022, and up 60.8% over the past 12 months.

One of the tailwinds helping the ASX 200 share recently is the outlook for rising interest rates, which will increase its margins.

At the current share price, Computershare has a market cap of $13.8 billion. The company pays a 2.1% dividend yield, 40% franked.

Also smashing multi-year highs…

The next of our ASX 200 shares breaking multi-year highs is explosives and agricultural chemicals company Incitec Pivot Ltd (ASX: IPL).

The Incitec share price is up 2.4% to $3.86 per share, its highest level since November 2018.

Incitec looks to have been benefiting from higher fertiliser prices as well as a strategic acquisition earlier this year in French-based explosives manufacturer Explinvest.

At the current share price, the company has a market cap of $7.5 billion. The company pays a trailing dividend yield of 2.5%, 14% franked.

ASX 200 share hits 12-year highs

The third of today’s ASX 200 shares leaping into multi-year highs is Sims Ltd (ASX: SGM).

The Sims share price is up 1.8% today to $2.13 cents per share. You have to go back all the way to December 2010 to find Sims trading at a higher level.

Sims, the world’s largest listed metal and electronics recycler, looks to be benefiting from increasing scrap metal prices amid soaring commodity prices across the globe.

Investors also rewarded the company after its very strong first half-year financial results.

Among the highlights, the ASX 200 share reported a 73.9% year-on-year increase in sales revenue, which reached $4.27 billion for the half.

At the current share price Sims has a market cap of $4.2 billion. The company pays a trailing dividend yield of 3.5%, 44% franked.

The post 3 ASX 200 shares smashing multi-year highs on Tuesday appeared first on The Motley Fool Australia.

More reading

• 2 compelling blue chip ASX shares to buy: top fund manager
• Here are the 3 most heavily traded ASX 200 shares this Tuesday
• These 3 ASX 200 shares are topping the volume charts on Monday
• These were the best performing ASX 200 shares last week
• These 3 ASX 200 shares are topping the volume charts on Thursday

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 Bruce Jackson.

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

The Ramsay Health Care Limited (ASX: RHC) share price is pushing higher on Tuesday.

In afternoon trade, the private hospital operator’s shares are up 2% to $64.60.

Despite this gain, the Ramsay share price is still down 10% since the start of the year.

Why is the Ramsay share price pushing higher?

Investors have bidding the Ramsay share price higher today after the healthcare giant responded to media speculation relating to its Asian operations.

According to the release, Ramsay and Sime Darby Holdings have received a confidential, conditional, non-binding, indicative proposal from IHH Healthcare Berhad to acquire 100% of their 50:50 joint venture in Asia, Ramsay Sime Darby Health Care Sdn.

The release notes that under the indicative proposal, the conditional indicative enterprise value for Ramsay Sime Darby is MYR5,670 million (or US$1.35 billion) on a cash free, debt free basis.

Though, the indicative proposal remains subject to conditions including the completion of satisfactory due diligence and the negotiation and finalisation of a sale and purchase agreement.

What now?

Ramsay and its joint venture partner appear to have seen value in the offer from IHH Healthcare Berhad.

The release reveals that after reviewing the proposal, both Ramsay and Sime Darby Holdings have agreed to a period of exclusivity for four weeks when due diligence commences to allow IHH Healthcare Berhad to conduct due diligence and negotiate a sale and purchase agreement.

Though, management warns that discussions between Ramsay, Sime Darby Holdings and IHH Healthcare Berhad are preliminary and no agreement has been reached in relation to the indicative proposal. As such, there is no guarantee that an agreement will be reached in respect of the proposal or that a transaction will eventuate.

The post Ramsay (ASX:RHC) share price pushes higher on US$1.35bn proposal for Asian JV appeared first on The Motley Fool Australia.

More reading

• Top brokers name 3 ASX shares to buy next week
• 4 ASX healthcare shares at 52-week lows
• Brokers name 3 ASX shares to buy today
• Ramsay (ASX:RHC) share price gains as earnings ‘severely impacted’ by COVID

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

from The Motley Fool Australia https://ift.tt/8v9WZh1