If you have room to add a few ASX shares to your portfolio in March, then you may want to check out the ones listed below.

These ASX shares are currently rated as buys by the team at Bell Potter and have been named as top picks for 2022. They are as follows:

A2 Milk Company Ltd (ASX: A2M)

Bell Potter is one of a very small number of brokers that remain bullish on this struggling infant formula company. This is due largely to its belief that A2 Milk’s earnings will rebound strongly once trading conditions normalise. The broker has a buy rating and $7.70 price target on its shares.

It commented: “We see the scope for EPS to double by FY26e, if A2M can execute on the China offline expansion strategy, while recovering 50% of the lost sales (from FY20-21) in English label IMF. The catalyst to regaining lost English label sales is likely to be boarder reopening and the return of international students. Exiting the loss making US assets or navigating a turnaround at the MVM asset would likely accelerate this turnaround. We do not see the current share price as reflecting this potential.”

TechnologyOne Ltd (ASX: TNE)

Another ASX share that the broker rates highly is TechnologyOne. Its analysts currently have a buy rating and $15.00 price target on the enterprise software company. Bell Potter likes TechnologyOne due to its shift to a SaaS-focused business, which it expects to underpin greater recurring revenues and stronger margins.

The broker explained: “The key competitive advantage of the company is it has developed a fully integrated SaaS solution of its software and is now switching customers to this solution. The migration is now >50% complete and Technology One is starting to reap the benefits of greater recurring revenue and a higher margin. This combination will in our view drive double digit earnings growth for years to come and, as the migration of customers approaches 100%, we expect the multiple to re-rate to that of a pure SaaS company.”

The post Why this top broker rates these ASX shares as buys in March appeared first on The Motley Fool Australia.

More reading

• What’s next for the A2 Milk (ASX:A2M) share price?
• Why the A2 Milk (ASX:A2M) share price can climb 40%: broker
• Top brokers name 3 ASX shares to buy next week
• Leading brokers name 3 ASX shares to sell today
• ‘The sleeper has awakened’: Top broker gives its verdict on the A2 Milk (ASX:A2M) share price

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

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As you might have seen here earlier this week, the team at Bell Potter believe the Commonwealth Bank of Australia (ASX: CBA) share price is in the buy zone.

Its analysts currently have a buy rating and $108.00 price target on the banking giant’s shares.

This implies potential upside of 14% for investors over the next 12 months.

How does Bell Potter value the CBA share price?

On this occasion, let’s dig a little deeper and see why Bell Potter thinks the CBA share price is worth $108.00.

According to the note, the broker’s price target is based on a composite valuation of discounted cash flow, dividend yield, return on equity (ROE), and sum-of-the-parts (SOTP) weighted equally.

In respect to its SOTP valuation, the broker values the banks segments as follows:

• Retail Banking at 18x FY23 earnings = $83.45bn or $48.90 per share
• B&PB / IB&M at 18.5x FY23 earnings = $79.24bn or $46.44 per share
• New Zealand at 17.5x FY23 earnings = $25.02bn or $14.66 per share
• Total SOTP = $187.7bn or $110.00 per share

On a discounted cash flow basis, the broker values CBA at $87.17 per share.

Whereas on a sustainable dividend yield basis it values the bank at $108.53 per share and on a ROE basis it values the company at $114.27 per share.

As mentioned above, Bell Potter weights each of these valuation methods equally. This means it divides each of them by four and then adds them together. This results in $27.50, $21.79, $27.13, and then $28.57 per share, which comes to $104.99 per share.

But there’s one final thing we need to add in before the valuation is complete. That is the bank’s surplus capital, which at the time of the note was estimated to be $5,534 million or $3.24 per share.

If we add this on and round up, this brings CBA’s valuation to $108.24 per share. And given how this is meaningfully higher than the current CBA share price of $94.70, Bell Potter understandably believes this justifies its buy rating.

The post Here’s how this top broker values the CBA (ASX:CBA) share price appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• CBA (ASX:CBA) doubles down on ‘core business’ with $1.8 billion sale
• Which ASX 200 shares have delivered the biggest dividend payout increases this earnings season?
• Top broker says CBA (ASX:CBA) is ‘on its way back’
• Analysts name 2 ASX dividend giants to buy

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.

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Brokers have identified some leading ASX share opportunities to buy in March 2022.

There has been plenty of volatility in recent weeks as investors react to the Russian invasion of Ukraine as well as concerns that fast inflation could spark rapid interest rate increases.

If multiple brokers all rate a business as a buy then it could indicate to investors that there is an opportunity to buy. Of course, it’s possible that all of those analysts are wrong at the same time as well.

With that in mind, these two ASX shares are rated as a buy:

Wagners Holding Company Ltd (ASX: WGN)

Over the last 10 months, the Wagners share price has fallen more than 40%. But brokers now think that it is an opportunity. It’s rated as a buy by at least three brokers including Credit Suisse.

The broker’s price target is $1.90. That’s almost 40% higher than where it is today.

If you haven’t heard of Wagners before, it’s a major producer of construction materials and services for Australian and international markets.

The recent FY22 half-year result saw revenue rise by approximately 10%, thanks to growth from cement, concrete, steel and composite fibre technologies (CFT).

Operating earnings before interest and tax (EBIT) increased from $11.6 million to $12.6 million. The company continues to experience costs as it seeks to expand in the USA. Concrete margins are also seeing pressure, leading to a “disappointing” contribution from fixed concrete plans.

In the second half of FY22, it plans to start manufacturing CFT at its Texas facility and begin manufacturing ‘earth friendly concrete’ in outer London, which is currently under construction.

Credit Suisse thinks that the second half could see stronger performance. It’s keeping an eye on the margins though.

BWX Limited (ASX: BWX)

BWX is a natural beauty business with plenty of brands including Sukin and Go-To Skincare. The ASX share also owns e-commerce platforms like Nourished Life and Flora & Fauna.

The BWX share price has fallen 45% since the start of the year.

Brokers see this sell-off as a buying opportunity, with at least three buy ratings. UBS has a buy rating on the business with a price target of $5.50. That implies a possible upside of more than 130% over the next 12 months. It was trading close to that level at the end of June 2021.

The broker noted that both revenue and spending were lower than expected in the first half of FY22, leading to the business generating a bit more profit than expected. But the lower-than-expected sales were a disappointment, with like for like growth of 5%.

BWX said that its underlying earnings before interest, tax, depreciation and amortisation (EBITDA) rose 26.2% to $14.3 million and underlying net profit after tax (NPAT) grew by 22.1% to $4.7 million. But it made a statutory net loss of $2.3 million with a $3.5 million expense related to the cost of an equity-linked strategic partnership with Chemist Warehouse. There were also $3 million of one-off acquisition costs.

The ASX share said that it’s expecting “strong” underlying revenue and EBITDA growth in the second half of FY22. Sales momentum seen in the FY22 second quarter is continuing into the third quarter.

UBS thinks it’s trading at 13x FY23’s estimated earnings.

The post Brokers rate these 2 top ASX shares as buys in March 2022 appeared first on The Motley Fool Australia.

More reading

• Why Blackmores, BWX, Kogan, and Magellan shares are dropping
• BWX (ASX:BWX) share price plunges 26% after posting after-tax loss in 1H FY22
• 2 ASX shares this expert rates as a buy
• 2 ASX shares that this top fund manager rates as a buy

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 no position in any of the stocks mentioned. The Motley Fool Australia has recommended BWX Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Bitcoin (CRYPTO: BTC) price has rebounded strongly over the past seven days.

As of last night, the world’s biggest token by market cap was up more than 17% for the week. Bitcoin is currently trading at US$44,411, according to data from CoinMarketCap.

And Nigel Green, CEO of global independent financial advisory deVere Group, sees significantly more gains for the Bitcoin price in March.

Why the Bitcoin price could top US$50,000 this month

Green notes that the Bitcoin price “surged by more than US$6,000” in Monday’s strong rally.

That’s the token’s biggest daily gain in 12 months.

And further surges may be ahead.

“As it currently stands, I can see no reason why this price momentum should falter. I think we can expect to see Bitcoin hit $50,000 by the end of this month,” he says.

Green points to rising geopolitical tensions as one of the main drivers behind the Bitcoin price rise:

The Ukraine-Russia situation has caused significant financial upheaval and individuals, businesses and indeed government agencies – not just in the region but globally – are looking for alternatives to traditional systems.

As banks close, ATMs run out of money, threats of personal savings being taken to pay for war, and the major international payments system SWIFT is weaponised, amongst other factors, the case for a viable, decentralised, borderless, tamper-proof, unconfiscatable monetary system has been laid bare.

As this trend unfolds longer-term, Green says this could jeopardise the US dollar’s global reserve status. Which in turn could offer fresh tailwinds for the Bitcoin price.

“Savvy investors know this and will be further increasing their exposure to cryptocurrencies before prices rise further,” he says.

What else is supporting further crypto price gains?

Atop the Russian invasion of Ukraine, Green says that increased institutional adoption of cryptos will help to send the Bitcoin price higher:

The appeal of global, digital currencies in our increasingly tech-driven world is, of course, not going unnoticed by institutional investors who include credit unions, banks, large funds such as a mutual or hedge fund, venture capital funds, insurance companies, and pension funds. In fact, some reports say that institutions – who bring with them enormous capital, expertise and reputational influence – are now the dominant traders of cryptocurrencies.

Green explains the result when more institutional investors buy into cryptos. “Credibility increases, trading volumes go up and volatility goes down – this is all good news for everyday investors.”

Noting that with the Bitcoin price rise, the token is now the 14th most valuable currency in the world. Green adds, “I expect it to jump further still up the rankings in coming months.”

The post Why the Bitcoin price should surge to US$50,000 in March: expert appeared first on The Motley Fool Australia.

More reading

• Considering adding crypto to your super? Read this
• More valuable than the rouble: How the Ukraine crisis is now boosting the Bitcoin price
• Is Bitcoin or gold a better buy for these uncertain times?
• How might the Ukraine crisis impact the Ethereum price?
• Why these 2 cryptos are booming in 2022 as the Bitcoin price wallows

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Bitcoin. The Motley Fool Australia owns and has recommended Bitcoin. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Are you looking for dividend shares to buy? If you are, then you might want to look at the shares listed below.

Here’s why these ASX dividend shares could be worth considering right now:

Accent Group Ltd (ASX: AX1)

The Accent share price has come under significant pressure this year and dropped to a new 52-week low on Wednesday. Investors have been selling down this dividend share after COVID headwinds weighed heavily on its performance of its Glue, HYPEDC, Pivot, Platypus, Sneaker Lab, and Stylerunner stores during the first half of FY 2022.

While this is disappointing and will inevitably lead to lower earnings and dividends this year from the footwear retailer, analysts expect a swift rebound in FY 2023. This could make the recent share price weakness a buying opportunity for patient investors.

For example, Bell Potter has pencilled in a fully franked dividend of 6 cents per share in FY 2022 and then 11 cents per share in FY 2023. Based on the current Accent share price of $1.85, this will mean yields of 3.2% and 5.9%, respectively.

Bell Potter has a buy rating and $2.75 price target on its shares.

Westpac Banking Corp (ASX: WBC)

Another ASX dividend share to consider is banking giant, Westpac. The shares of Australia’s oldest bank have also come under pressure in recent months, which leaves them trading far closer to their 52-week lows than their 52-week highs.

This share price weakness has been driven by concerns over the bank’s margin outlook and doubts over its cutting plans. However, Morgans believes these concerns are unwarranted and that Westpac can overcome its margin issues and deliver on its cost cutting aspirations. In light of this, it believes its shares have been oversold and are great value now.

It also expects generous dividend yields in the near term. The broker has pencilled in fully franked dividends per share of $1.19 in FY 2022 and then $1.60 in FY 2023. Based on the current Westpac share price of $22.58, this will mean yields of 5.3% and 7.1%, respectively.

Morgans has an add rating and $29.50 price target on the bank’s shares.

The post 2 cheap ASX dividend shares analysts rate as buys appeared first on The Motley Fool Australia.

More reading

• Why did the Westpac (ASX:WBC) share price smash the other banks in February?
• What’s keeping this top broker neutral on Westpac (ASX:WBC) shares?
• Analysts name 2 top ASX dividend shares to buy
• Analysts name 3 ASX 200 shares with potential upside of 20%+
• Own Westpac (ASX:WBC) shares? Here’s the latest on the bank’s cost-cutting crusade

Motley Fool contributor James Mickleboro owns 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 Accent Group and Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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On Wednesday, the S&P/ASX 200 Index (ASX: XJO) had a decent day and pushed higher. The benchmark index rose 0.3% to 7,116.7 points.

Will the market be able to build on this on Thursday? Here are five things to watch:

ASX 200 to open higher

The Australian share market looks set to rise again on Thursday. According to the latest SPI futures, the ASX 200 is expected to open the day 56 points or 0.8% higher this morning. In late trade on Wall Street, the Dow Jones is up 1.9%, the S&P 500 is up 1.9%, and the Nasdaq has risen 1.55%.

Coles and Woolworths go ex-dividend

Coles Group Ltd (ASX: COL) and Woolworths Group Ltd (ASX: WOW) shares are likely to trade lower today when they go ex-dividend for their latest interim dividends. Coles will then be paying its fully franked 33 cents per share dividend on 31 March, whereas Woolworths will be paying its fully franked 39 cents per share dividend on 13 April.

Oil prices continue to shoot higher

It could be another good day for energy shares including Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) after oil prices charged higher. According to Bloomberg, the WTI crude oil price is up 6.8% to US$110.46 a barrel and the Brent crude oil price is up 7.1% to US$112.39 a barrel. Oil hit its highest level since 2011 after OPEC decided to hold its output steady despite the Russia-Ukraine war.

GrainCorp shares rated as a sell

The GrainCorp Ltd (ASX: GNC) share price is overvalued according to the team at Bell Potter. This morning the broker reiterated its sell rating and $6.70 price target on the grain exporter’s shares. It explained: “Ultimately, the tailwinds that the market is currently capitalising for GNC will dissipate, at which point management will face the daunting prospect of cycling record volumes and trading margins in FY23-24e. We do not see this view reflected in the current GNC share price.”

Gold price falls

It could be a difficult day for gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) after the gold price dropped. According to CNBC, the spot gold price is down 0.9% to US$1,926.3 an ounce. The precious metal came under pressure after bond yields and stock rebounded.

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

More reading

• The price of oil is soaring to new highs and these ASX oil shares are cashing in
• Black gold! 3 ASX energy shares pumping new 52-week highs today
• These 3 ASX 200 shares are topping the volume charts on Wednesday
• Woodside (ASX:WPL) shares are up 6% today. Here’s the lowdown
• Will Mike Cannon-Brookes bring an extra $1 billion to the table in his AGL takeover bid?

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 owns 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 Bruce Jackson.

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If you’re a fan of small cap ASX shares, then you may want to add the two shares listed below to your watch list.

Here’s what you need to know about these growing small cap ASX shares:

Nitro Software Ltd (ASX: NTO)

The first small cap to watch is Nitro Software. It is a document productivity software company that is aiming to drive digital transformation in organisations around the world.

Nitro is doing this with its Nitro Productivity Suite. This suite provides businesses of all sizes with integrated PDF productivity and electronic signature tools through a horizontal, software-as-a-service, and desktop-based software solution.

Management is very positive on the future, particularly after a recent acquisition strengthened its offering.

It said: “Nitro believes the expanded product suite delivered by the Connective acquisition will drive substantial opportunities in the fast-growing US$17 billion global SaaS eSign market as organisations around the world increasingly demand high-trust and highly secure eSign and workflow solutions.”

In response to its recent full year results, the team at Bell Potter put a buy rating and $2.75 price target on the company’s shares.

PlaySide Studios Limited (ASX: PLY)

Another small cap to watch is PlaySide Studios. It is one of the largest independent video game developers in Australia.

At present, the company’s portfolio comprises 50+ titles that are delivered across four platforms. These are mobile, virtual reality, augmented reality, and PC. Among these titles are games developed in collaboration with studios such as Disney and Pixar.

PlaySide has also recently announced promising deals with a number of parties. This includes games publishing giants 2K Games and Activision Blizzard, as well as gaming influencer company One True King. These deals look set to support the company’s growth in a market estimated to be worth US$159 billion per annum at present.

Canaccord Genuity currently has a buy rating and $1.30 price target on its shares.

The post 2 small cap ASX shares that are highly rated by brokers appeared first on The Motley Fool Australia.

More reading

• Playside (ASX:PLY) share price launches 6% on surging half-year revenue
• Nitro (ASX:NTO) share price sinks 14% despite record result
• 2 small cap ASX shares getting analysts excited
• 3 buy-rated ASX tech shares with at least 60% upside potential
• 2 exciting ASX growth shares analysts are tipping for big things

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

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Wednesday was a big day for oil prices, and ASX oil shares made the most of it.

The S&P/ASX 200 Energy Index (ASX: XEJ) led the market today, gaining a whopping 4.88%, with oil producers making up the sector’s leaders.

For context, the S&P/ASX 200 Index (ASX: XJO) closed 0.28% higher while the All Ordinaries Index (ASX: XAO) also ended the day with a 0.28% gain.

Let’s take a closer look at what boosted oil prices on Wednesday.

What drove oil prices, and ASX oil shares, higher today?

The price of oil soared to seven year highs on Wednesday – trading well over US$100 per barrel.

The rapid increase came after the International Energy Agency announced it will release 60 million barrels of oil from emergency reserves to calm supply concerns following Russia’s invasion of Ukraine.

However, the size of the release – less than a single day’s worth of global consumption – seems to have fuelled fears of a shortfall.

The Brent crude oil futures rose 5.8% to a high of US$111.09 per barrel on Wednesday, according to data from CNBC.

Meanwhile, West Texas Intermediate futures rose to US$109.30 per barrel at its intraday high – representing a 5.6% increase.

ASX oil giants Santos Ltd (ASX: STO), Woodside Petroleum Limited (ASX: WPL), and Beach Energy Ltd (ASX: BPT) all saw their share prices take off, along with the commodity’s value.

Santos was the ASX 200 Energy Index’s best performer on Wednesday. Its share price gained 6.2% to close at $7.71.

Meanwhile, the share prices of Woodside and Beach Energy gained 6.14% and 4.22% respectively.

Woodside was among several energy stocks to hit a new 52-week high on Wednesday.

Broker predicts a bright future for these energy producers

Likely also boosting shares in Santos and Woodside was a note out of Credit Suisse.

The broker believes the conflict in Ukraine – and the resulting decision among international energy giants to pull out of projects in Russia – could spell great news for the companies.

Credit Suisse analyst Saul Kavonic was quoted by The Australian as saying:

 [The conflict] could present material upside to LNG supply/demand fundamentals benefiting Woodside and Santos, both in terms of pricing, asset selldowns and appetite to develop new growth projects.

With only Qatari and the US presenting material supply growth options on the table near-term, we expect more capacity may need to be incentivised elsewhere.

More marginal LNG projects may even return again, such as Browse, Sunrise, and the Darwin LNG expansion.

The post The price of oil is soaring to new highs and these ASX oil shares are cashing in appeared first on The Motley Fool Australia.

More reading

• Black gold! 3 ASX energy shares pumping new 52-week highs today
• These 3 ASX 200 shares are topping the volume charts on Wednesday
• Here’s why the Beach Energy (ASX:BPT) share price is climbing today
• Woodside (ASX:WPL) shares are up 6% today. Here’s the lowdown
• ASX 200 (ASX:XJO) midday update: Rio Tinto, South32 storm higher, PointsBet sinks

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

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Here’s the understatement of the last couple of years: There’s just a little bit going on right now.

Ukraine.

COVID.

Floods.

They are, of course, more important as human issues than financial ones.

Each brings suffering in its own way, and the investment implications do – and should – come second.

But, as I’ve said before (and will say again), I’m a financial advisor working for an investment advice business, so that’s where I’ll focus most of my comments.

Still, it’s important to recognise that the real issues aren’t financial – and we hope for a good result in each case.

Financially speaking, though, in each case there’s no shortage of ‘new news’ with each passing day (or sometimes hour).

It’s hard to keep up with.

As soon as you’ve digested the last piece of news, and started to think about the implications, another one takes its place.

Again, those new pieces of news are important. They are real and they are impactful for the people involved.

They are also potentially impactful, economically and financially.

Potentially.

In the short term.

Medium term at best, is my guess.

That may not be the case if you’re a Russian oligarch, of course. Or a Lismore cafe owner.

The latter group have my sympathy. The former, not so much.

But for the rest of us?

Those of us who have a diversified portfolio of ASX and US-listed companies?

Over the long term?

I’m going to stick my neck out here.

I don’t know how long COVID hangs around. I don’t know how long the Russian invasion of Ukraine takes to play out. And I don’t know what Mother Nature has in store for Brisbane or the Northern Rivers region of New South Wales.

But I’m going to suggest that a year from now, none of those issues is weighing heavily on share prices.

Those odds get even longer if we look out 2, 3 or 5 years.

Now, think about the things that have occupied your mind recently, when thinking about your investments.

Are you waiting for COVID to finally go away?

Are you just going to ‘wait and see’ over Ukraine?

Have the floods, as awful as they are, distracted you from your long term investing focus?

Here’s what I tweeted this morning:

—–

The more nervous the market gets, the more it overweights the short term and underweights the long term.

That, right there, is the opportunity for the patient, stoic, long term investor.

—–

We’ve seen just that over the past few weeks on the US and Australian share markets.

Overactive, overstimulated and overtrading.

Traders trying to second guess what the rest of the market might do next.

And that’s despite next-to-no actual operational or financial impact for the vast, vast majority of the companies listed on our stock markets.

Remember, too: when the market falls by 2% it’s wiping one-fiftieth off the value of all listed companies.

And, if you believe (you should) that share prices are the sum total of all future cash flows of those companies, from here to eternity… well, shaving one-fiftieth of that number away because of an issue half a world away just seems silly, doesn’t it?

I got quite a few replies to that tweet.

One asked whether I was saying we were at the bottom.

My reply was simple:

—–

No-one knows.

And probably useless to try.

The question I ask myself: “Will these shares be worth materially more in 5 and 10 years?”

If yes, I buy.

The short-term volatility is just a distraction.

—–

There’ll be more news.

More crises.

More reason to dither.

More justification to ‘wait and see’.

And, if history is any guide, the money will be made while all of that happens.

Which means we have a choice.

Me?

I’m buying.

I reckon that’s the right approach for almost everyone else, too.

Fool on!

The post What investors do while traders are distracted appeared first on The Motley Fool Australia.

More reading

• This ASX mining share rocketed 21% today. Here’s why
• ‘Hope for the best and plan for the worst’: BHP boss
• Own Endeavour (ASX:EDV) shares? Here’s how the company is responding to the Ukraine crisis
• Analysts name 2 excellent ASX tech shares to buy
• Black gold! 3 ASX energy shares pumping new 52-week highs today

Motley Fool contributor Scott Phillips 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.

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The S&P/ASX 200 Energy Index (ASX: XEJ) was the best performing sector on the ASX today, closing the day 4.89% higher. The S&P/ASX 200 Materials Index (ASX: XMJ) came in second, gaining 2.81%.

The price movements come as global commodity prices climb amid conflict between Russia, Ukraine and the rest of the world.

Against that backdrop, an Aussie cobalt developer has received government support for its project in New South Wales.

At market close, the Cobalt Blue Holdings Ltd (ASX: COB) share price was up 20.65% to 55.5 cents. In comparison, the broader ASX All Ordinaries Index (ASX: XAO) was up 0.21%.

So, what’s going on with this ASX mining share?

Renewable energy project receives Government support

Cobalt Blue’s Broken Hill Cobalt Project (BHCP) was awarded “Major Project Status” by the Australian government today — a move that will support the development of the project over three years.

The project aims to produce “high quality, battery ready cobalt sulphate” for renewable energy solutions.

The company says the project has the potential to be “one of the largest cobalt producers in the world” and has the attention of “more than 30 of the world’s largest battery manufacturers”.

Cobalt Blue said the government grant gives “formal recognition of the national economic implications of the BHCP through its contribution to growth, productivity, government revenue, industry and regional development”.

Further, the company said the project was “the only large scale, ex African, Greenfield primary cobalt project globally”.

Critical minerals projects such as BHCP are integral components of The Australian Critical Minerals Strategy and Australia’s Long Term Emissions Plan as well as aligning with national security and interests to bolster geopolitical stability and building sovereign capability in the sector.

Project to position Australia as ‘number 2 cobalt producer’

Commenting on the development, Cobalt Blue CEO Joe Kaderavek said:

Granting Major Project Status to the Broken Hill Cobalt Project will greatly assist COB to raise development capital by recognising the strategic importance given to this Project by The Australian Government.

This milestone is particularly important for overseas partners and well timed in our development journey.

COB can now boast both Made in Australia and Backed by Australia.

Cobalt Blue share price snapshot

Over the last 12 months, this ASX mining share has increased 37% in value.

It’s also risen more than 12% this year to date.

The company has a current market capitalisation of around $170 million.

The post This ASX mining share rocketed 21% today. Here’s why appeared first on The Motley Fool Australia.

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Motley Fool contributor Alice de Bruin 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.

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