If you’re looking for some new options for your portfolio, then you may want to look at the shares listed below which Morgans rates highly.

Here’s why it has the equivalent of buy ratings on these ASX 200 shares:

Treasury Wine Estates Ltd (ASX: TWE)

The last two years have been difficult for this wine giant due to COVID-19 and China shutting out its premium Australian wines. The good news is that Morgans believes that the company’s outlook is improving greatly and its shares are trading at an attractive level.

Morgans commented: “TWE has the China reallocation risk and it will take 2-3 years to recover these earnings in new markets. However once it comps China earnings, we expect TWE to deliver strong earnings growth from the 2H22 onwards. Organic growth will be supplemented by M&A. On this front, we view TWE’s recent acquisition of Napa Valley luxury wine business, Frank Family Vineyards (FFV) as strategically important. This high margin business should see TWE achieve its US margin target two years earlier than planned. We see recent share price weakness as a great buying opportunity in this high quality company. The stock is currently trading at a material discount to its long term PE range.”

The broker currently has an add rating and $14.06 price target on the company’s shares. This compares to the latest Treasury Wine share price of $12.08.

Woodside Petroleum Limited (ASX: WPL)

If you’re interested in gaining exposure to the energy sector, then Morgans thinks Woodside could be a quality option. This is due largely to its transformative merger with the petroleum assets of BHP Group Ltd (ASX: BHP).

Morgans explained: “We believe WPL has benefited from being in the right place, at the right time. With: 1) BHP/WPL having an existing relationship, 2) BHP eager to boost its ESG profile, and 3) WPL being a quality operator (safe hands which is important for BHP). From an economic standpoint we think WPL is clearly getting the better of the deal, with synergies not baked into deal metrics and BHP willing to accept a discount. The deal is transformative, lifting WPL into being a top 10 global E&P with +2 billion barrels of 2P reserves, with EBITDA of US$4.7bnpa and growth options.”

The broker currently has an add rating and $29.95 price target on its shares. This compares to the current Woodside share price of $22.03.

The post Morgans names 2 ASX 200 shares to buy appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Woodside (ASX:WPL) share price dips as company eyes east coast market
• How did the Treasury Wine (ASX:TWE) share price perform in November?
• 5 things to watch on the ASX 200 on Thursday
• Woodside (ASX:WPL) share price rises on $5 billion new energy plan

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 Treasury Wine Estates 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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Crypto investors have been on another wild ride this week.

After hitting all time highs in November, both Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) have tumbled.

In the past 7 days, Bitcoin, the world’s biggest crypto by market cap, has lost 14% (as at Friday afternoon). Ether, the number 2 crypto, is down a less painful 8% over the full week.

There are numerous forces impacting the price of these leading tokens and other altcoins.

Longer-term, Josh Gilbert, analyst at multi-asset investment platform eToro told The Motley Fool, the metaverse will be a big one amongst those.

What is the metaverse and how does it impact crypto?

The metaverse, in a nutshell, refers to nascent online 3-D virtual environments.

“The noise around the metaverse was accelerated by Facebook changing its name to Meta, but this has since helped to grow the interest around the metaverse,” Gilbert said.

As for the metaverse’s impact on cryptos, and vice versa, Gilbert told us:

Cryptoassets are an integral part of how virtual reality and the metaverse will be constructed. Users will be able to buy, sell and trade virtual assets using cryptoassets through the metaverse. We are already seeing high profile sales of virtual assets through MANA, which is the cryptocurrency of Decentraland.

Which may have you asking, outside of spiritual energy, what exactly is mana?

Gilbert explains:

The MANA coin is used to purchase digital real estate within the Decentraland platform, known as LAND. LAND is essentially a non-fungible digital asset maintained in an Ethereum smart contract. MANA can also be traded with other users for goods and services hosted within the platform.

If you develop your land well enough, companies may even advertise on it. And if your land becomes popular with digital foot traffic, it can even become the ‘virtual version’ of a New York Times Square.

Who wouldn’t want to own land in Times Square? Even virtually.

But can’t the metaverse exist without crypto?

“There is, of course, the potential for a metaverse without crypto,” Gilbert said. “We already have virtual reality games without cryptoassets. But for the full experience, including buying and selling digital assets, then a digital asset such as crypto will be required.”

Why is blockchain a fundamental part of the metaverse?

“Everything on Decentraland is backed by the Ethereum blockchain,” Gilbert told us. “Without blockchain and, therefore crypto, the metaverse doesn’t exist how we imagine.”

Gilbert continued:

So far, blockchains such as Ethereum have proven to be unhackable. This is critical if users are expected to immerse themselves in a wholly digital world, and for the metaverse to reach mainstream adoption. On top of this, we will also need to see instant transactions with the ability to translate 24/7. This is something crypto and the blockchain can offer.

Decentraland itself is a virtual reality blockchain platform that aims to enable users to purchase, build and monetise virtual reality applications, to incentivise a global network of users to develop and operate a shared virtual world.

So, can investors in Bitcoin, MANA or any of the range of altcoins expect a big lift from the rise of the metaverse?

“We have already begun to adopt crypto payments globally, with names such as Visa and Mastercard allowing merchants to accept crypto payments,” Gilbert said.

He added:

Rather than the metaverse reflecting the future of crypto, the metaverse needs crypto to deliver on what we are being told the metaverse will be. So, it’s more the metaverse relying on crypto rather than the other way around. Crypto has a vital role to play in any metaverse.

I feel that this helps provide more use cases for crypto, as critics often argue about what is the ‘real world’ case for some cryptoassets. Here we see just how easily they can enter huge markets, like multi-billion-dollar industries such as music, sports and art, to name a few.

How has the MANA crypto been performing?

Many readers won’t be familiar with MANA. But crypto investors who bought the token a year ago are sitting on gains of some 3,000%.

“2022 will act as a sounding board for further growth with metaverse cryptoassets and of course, the metaverse,” Gilbert told us. “But it will likely be a few more years until we really see the full potential of the metaverse.”

The post Here’s what crypto investors need to know about the metaverse appeared first on The Motley Fool Australia.

More reading

• Bitcoin (CRYPTO:BTC) sinks again. Who’s going to catch that falling knife?
• Is the RBA about to join the digital currency revolution?
• Why the Bitcoin price declined over the last 24 hours
• Why Ethereum, Dogecoin, and Polkadot are heading lower today
• Survey reveals surprising crypto swing as Aussie housing bubble fears grow

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Bitcoin and Ethereum. 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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There are some ASX dividend shares that leading brokers think are buys.

These companies are ones that brokers are expecting to pay a large dividend yield over the next financial year and look like they are good value.

An ASX dividend share isn’t necessarily worth owning because it pays a dividend, or even a big yield.

Brokers believe there is plenty of share price potential for these two ASX dividend shares which are also expected to pay large income yields:

New Hope Corporation Limited (ASX: NHC)

New Hope is one of the largest coal miners in Australia. It also has other operations relating to exploration, port operation, oil and agriculture.

It’s currently rated as a buy by at least four brokers, including Credit Suisse, which has a price target of $2.70 on the business.

The latest quarter of earnings and its balance sheet gave the broker food for thought about the business.

The three months to October 2021 showed a 3.1% drop of total coal sold whilst total saleable coal production experienced a 17.4% drop. The New Acland site continues to transition into care and maintenance. The final coal sales are expected in November and December.

However, the ASX dividend share noted that thermal coal prices continue to be high and demand remains strong. This helped the business achieve underlying earnings before interest, tax, depreciation and amortisation (EBITDA) for the quarter of A$242.5 million.

The debt facility that was reported at 31 July 2021 of A$310 million has been fully paid from operational cash flows.

Credit Suisse has estimated that New Hope is going to pay a grossed-up dividend yield of 21.9% in FY22 and 16.4% in FY23.

Pendal Group Ltd (ASX: PDL)

Pendal is a global investment management business which offers a range of different investment strategies.

It’s currently rated as a buy by at least five brokers, including Morgan Stanley which has a price target on the business of $8.80.

The broker was pleased to see the progress of the ESG and impact investing and believes that this earnings avenue is underappreciated by the market.

Its assets in sustainable and impact strategies grew by 68% to $5.2 billion over FY21. Pendal says that this area presents a significant global opportunity for the ASX dividend share. There is a funding gap to meet the UN sustainable development goals, with there also being growing demand for ESG product offerings.

The Regnan Global Equity Impact Solutions strategy was delivered to clients in all regions, attracting flows of around $400 million in its first year. The Regnan Water and Waste Fund was launched in September 2021.

Overall, underlying earnings per share (EPS) increased by 17% to 48.2 cents, whilst total dividends per share went up 11% to 41 cents per share. That means the trailing grossed-up dividend yield is 10.2%.

Based on the estimate from Morgan Stanley, Pendal is expected to pay a grossed-up dividend yield of 11.6% in FY22.

The post 2 ASX dividend shares rated as strong buys appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Here’s why the New Hope (ASX:NHC) share price is sinking today
• 2 ASX shares rated as strong buys by analysts
• ASX 200 coal shares unfazed by Johnson’s ‘death knell’ amid record prices
• Here’s why ASX 200 coal shares are in the spotlight today

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 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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Fortescue Metals Group Limited (ASX: FMG) Future Industries, the green division of the resources giant, has signed a green hydrogen deal in Indonesia.

Fortescue Future Industries (FFI) is a key enabler of Fortescue’s decarbonisation strategy. It also has a strategy to become a leader in the renewable energy and green products industry, with a vision of making green hydrogen the most globally traded seaborne commodity in the world.

Fortescue Future Industries signs Indonesian deal

FFI and the North Kalimantan Provincial Government of the Republic of Indonesia have signed a ‘co-operation agreement’ to explore and study the potential for renewable energy and green hydrogen projects.

This follows on from a memorandum of understanding signed five months ago.

Fortescue Future Industries is proposing to produce green hydrogen and green ammonia in North Kalimantan for domestic use and export markets. These will be powered by renewable energy which will be built in the North Kalimantan Province in Indonesia.

Not only does FFI plan for the projects to provide significant economic benefits to the region, but it will also have the “highest standards of social and environmental sustainability.” It will aim to use local labour expertise and use local goods and services.

What facilities does FFI want to build?

The idea is that Fortescue Future Industries could potentially build an industrial processing facility that is able to produce a minimum of 600,000 tonnes of green hydrogen per annum.

This project is still needs to go through further studies as well as be approved by Fortescue board.

The green industrial business noted that its operations are in-line with the vision and mission of President Joko Widodo and Governor Zainal in providing jobs for local people and generating opportunities for local businesses.

FFI also said that it supports the President’s measures in opening pathways for green investment and initiatives to decarbonise Indonesia’s economy through green hydrogen fuel which is produced with zero emissions.

FFI CEO commentary

The boss of Fortescue Future Industries, Julie Shuttleworth, said:

FFI is supportive of Indonesia’s efforts to decarbonise its economy. We look forward to working together with the Provincial Government and local communities to help place North Kalimantan at the forefront of developing renewable resources that will power green hydrogen and green ammonia production.

We are proud that our Cooperation Agreement places human rights, environment and then economics, in that order, in every discussion we have with every government in the world – including Indonesia.

New CEO

Fortescue announced this week that after a 10-year process of investigating various solutions to global warming, it is officially transitioning into a vertically integrated green energy and resources group.

As part of the announcement, it was announced that Fortescue CEO Elizabeth Gaines was transitioning to a new role as Fortescue’s global green hydrogen brand ambassador as well as remaining as a non-executive director of Fortescue.

The company is now looking for a CEO and other leaders with “exceptional skills and global experience across heavy industry, manufacturing and renewable energy.”

The post Fortescue (ASX:FMG) Future Industries signs Indonesian hydrogen deal appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: Fortescue CEO steps down, Westpac buyback update
• Fortescue (ASX:FMG) share price falls following surprise CEO exit
• Why did the AGL share price outperform the ASX 200 today?
• Fortescue (ASX:FMG) share price rises amid green train progress
• Here’s why the Fortescue (ASX:FMG) share price is having a green day

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.

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The S&P/ASX 200 Index (ASX: XJO) returned to form last week after Omicron concerns eased. The benchmark index charged 1.5% higher to end the period at 7,353.5 points.

While a good number of shares rose with the market, some climbed more than most. Here’s why these were the best performing ASX 200 shares last week:

Metcash Limited (ASX: MTS)

The Metcash share price was the best performer on the ASX 200 last week with a gain of 13.9%. Investors were buying this wholesale distributor’s shares following the release of a strong half year result. For the six months ended 31 October, Metcash reported a 1.3% increase in revenue to $7.2 billion and underlying profit after tax growth of 13.1% to $146.6 million. Another positive was that Metcash revealed strong sales growth across its businesses so far in the second half.

Mesoblast limited (ASX: MSB)

The Mesoblast share price wasn’t far behind with a gain of 12.5% last week. This appears to have been driven by an update on its DREAM-HF Phase 3 trial of Rexlemestrocel-L in patients with chronic heart failure and low ejection fraction (HFrEF). According to the release, the trial found the greatest benefit from Rexlemestrocel-L is in HFrEF patients with diabetes, ischemia, or both.

St Barbara Ltd (ASX: SBM)

The St Barbara share price was a strong performer and charged 9.8% higher over the five days. Investors were buying gold miners last week after the price of the precious metal rebounded. This led to the S&P/ASX All Ords Gold index rising an impressive 3.4% over the period. For the same reason, the Gold Road Resources Ltd (ASX: GOR) share price rose 9.7% last week.

PointsBet Holdings Ltd (ASX: PBH)

The PointsBet share price was on form and stormed 9.4% higher last week. This gain appears to have been driven by a rebound in the tech sector and particularly in the US gambling industry. For example, the Draftkings share price was up 11% on the Nasdaq from Friday’s close through to Thursday’s close.

The post These were the best performing ASX 200 shares last week appeared first on The Motley Fool Australia.

More reading

• These were the worst performing ASX 200 shares last week
• Here are the top 10 ASX shares today
• These 3 ASX 200 shares are topping the volume charts on Friday
• ASX 200 (ASX:XJO) midday update: Fortescue CEO steps down, Westpac buyback update
• 2 highly rated ASX 200 shares 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. owns and has recommended Pointsbet Holdings Ltd. The Motley Fool Australia has recommended Pointsbet Holdings Ltd. 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 building an income portfolio, then you might want to look at the ASX shares listed below.

Both ASX dividend shares have big yields and have been named as buys by analysts. Here’s what you need to know about them:

BHP Group Ltd (ASX: BHP)

The first ASX dividend share to consider buying is this mining giant. BHP has a collection of world class operations across a number of geographies and commodities. Pleasingly, while iron ore prices have fallen heavily from recent highs, other commodities have been picking up the slack.

As a result, BHP has been tipped to generate significant free cash flow again in FY 2022. And thanks to the strength of its balance sheet, this is expected to lead to generous dividend payments in the near future.

The team at Morgans, for example, is forecasting fully franked dividends of $3.40 per share in FY 2022 and $2.44 per share in FY 2023. Based on the current BHP share price of $39.96, this will mean yields of 8.5% and 6.1%, respectively.

Morgans has an add rating and $45.70 price target on the company’s shares.

Super Retail Group Ltd (ASX: SUL)

Another ASX dividend share that could be in the buy zone is Super Retail.

It is the retail conglomerate behind the BCF, Macpac, Rebel, and Super Cheap Auto brands. These popular brands have been generating strong sales growth over the last few years and appear well-placed to continue this trend over the 2020s.

This is thanks to their strong market positions, expansion opportunities, and track record of same store sales growth.

The team at Citi is positive on Super Retail. The broker currently has a buy rating and $16.00 price target on the company’s shares.

As for dividends, Citi is forecasting fully franked dividends per share of 67 cents in FY 2022 and then 64.5 cents in FY 2023. Based on the current Super Retail share price of $12.59, this will mean yields of 5.3% and 5.1%, respectively.

The post Analysts say these high yield ASX dividend shares are buys appeared first on The Motley Fool Australia.

More reading

• Evergrande officially defaults, downgraded by Fitch. What next?
• BHP (ASX:BHP) share price in focus amid unification proposal
• Here’s why ASX 200 mining shares are flying higher
• Morgans names 2 high yield ASX dividend shares to buy now
• RBA maintains interest rate but removes 2024 reference. What could this mean for ASX shares?

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 Super Retail Group Limited. The Motley Fool Australia owns and has recommended Super Retail Group 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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It was a great five days for the S&P/ASX 200 Index (ASX: XJO) last week. Despite a subdued finish, the benchmark index rose 1.5% over the period to end it at 7,353.5 points.

Unfortunately, not all shares were able to climb with the market. Here’s why these were the worst performing ASX 200 shares last week:

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price was the worst performer on the ASX 200 last week with a 10% decline. Investors were selling this struggling fund manager’s shares after it announced the surprise exit of its Chief Executive Officer, Dr Brett Cairns. Magellan provided very little detail around the exit, other than saying that Dr Cairns is leaving for personal reasons. This sparked speculation of a boardroom fallout, which was refuted by Magellan’s Chairman. The fund has promoted its Chief Financial Officer, Ms Kirsten Morton, to the top job on an interim basis.

Virgin Money UK (ASX: VUK)

The Virgin Money share price was some way behind as the next worst performer with a 4% decline. This was despite there being no news out of the UK-based bank. However, Virgin Money UK’s shares have come under pressure since the release of its full year update last month. That update revealed that the bank will incur 275 million pounds in restructuring costs over the next three years. This was approximately double what the market was expecting.

Nickel Mines Ltd (ASX: NIC)

The Nickel Mines share price was out of form and dropped 3.6% over the five days. This could have been driven by weakness in nickel prices caused by new supply coming onto the market. In addition, profit taking may have weighed on the company’s shares following some strong recent gains. For example, the Nickel Mines share price is still up 31% since this time last month despite last week’s decline.

Collins Foods Ltd (ASX: CKF)

The Collins Foods share price was a poor performer and lost 3.3% of its value last week. This may have been caused by profit taking. A week earlier the quick service restaurant operator’s shares were among the best performers after investors responded positively to its half year results. Collins Foods reported a 9.5% increase in revenue to a record of $534.2 million and a 31.6% jump in underlying net profit after tax to $28.9 million.

The post These were the worst performing ASX 200 shares last week appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX shares today
• These 3 ASX 200 shares are topping the volume charts on Friday
• ASX 200 (ASX:XJO) midday update: Fortescue CEO steps down, Westpac buyback update
• What I’d do with these ASX dogs of 2021: expert
• 2 highly rated ASX 200 shares to buy

Motley Fool contributor James Mickleboro owns Collins Foods 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 Collins Foods 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 long-running saga that is the Afterpay Ltd (ASX: APT) and Square Inc (NYSE: SQ) merger has been one of the defining stories of the ASX boards in 2021.

By now, most ASX investors would be familiar with the neck-cracking rise of the Afterpay share price over the past few years. This is a company that went from rather obscure growth share to a top ASX 20 holding in record time, after all.

But August saw Afterpay receive its complete takeover offer from the US payments giant Square, and really get ASX investors’ attention. If the deal does go ahead, it would be one of the largest corporate takeovers in ASX history. It will also likely see Square shares list on the ASX through a CHESS depositary interest (CDI). That will make it one of the ASX’s largest companies, at least on paper.

The offer is an all-scrip one, meaning Afterpay investors will receive Square stock in exchange for their Afterpay shares. The ratio is 0.375 Square shares for every Afterpay share held.

As my Fool colleague James discussed yesterday, this has actually meant that the deal looks a lot less sweet for Afterpay shareholders today than when it was first announced. That’s because Square has seen its own shares fall by more than 30% since early August.

When will Afterpay shareholders vote on the Square takeover?

So earlier this month, we covered the extraordinary general meeting (EGM) that Afterpay was going to hold on 6 December to allow shareholders a final vote on the proposed merger. But this date was subsequently pushed back. The EGM will now be held on Tuesday 14 December at 9am AEDT. So if you’re a shareholder, that’s when you will be able to vote on the future of the company.

In its notice from 7 December, Afterpay confirmed that if the vote is in the affirmative, it will allow the company to proceed with the merger. This, Afterpay anticipates, will “become effective” before the end of 2021. The merger will still need approval from the Bank of Spain, so management stated that it was still expecting everything to only be completely finalised by the end of March, 2022.

The Afterpay share price closed at $95.89 on Friday, down a nasty 4.37%.

The post Afterpay (ASX:APT) shareholders will vote on the Square takeover next week. Here’s what you need to know appeared first on The Motley Fool Australia.

More reading

• Why Afterpay, AVZ, Irongate, and Santos shares are dropping
• The Afterpay-Square takeover deal is worth $9bn less now
• Could this ASX share really be the next Afterpay (ASX:APT)?
• ASX 200 (ASX:XJO) midday update: Fortescue CEO steps down, Westpac buyback update
• More pain for ASX buy now, pay later shares in 2022: expert

Motley Fool contributor Sebastian Bowen owns Square. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended AFTERPAY T FPO and Square. The Motley Fool Australia owns and has recommended AFTERPAY T FPO. 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 have room for some new portfolio additions, then it could be worth considering the three ASX growth shares listed below.

Here’s what you need to know about these buy-rated shares:

Allkem Limited (ASX: AKE)

If you don’t mind investing in the resources sector, then a growth share to consider is Allkem. It is a top five global lithium mining company, formerly known as Orocobre, with a collection of high-quality assets. These include Olaroz, Mt Cattlin, and the Sal de Vida brine project. Allkem has been and looks set to continue benefiting greatly from the sky high lithium prices being underpinned by the clean energy transition and the rapid adoption of electric vehicles. This bodes well for its growth in the coming years. Macquarie is bullish and has an outperform rating and $12.00 price target on its shares.

Lovisa Holdings Limited (ASX: LOV)

Another ASX growth share to look at is Lovisa. It is a fast-fashion jewellery retailer with a growing store network. Lovisa recently appointed a new CEO, Victor Herrero. He was previously the Head of Asia Pacific and Managing Director Greater China for Inditex (Zara, Pull & Bear and Massimo Dutti). This went down well with the team at Macquarie, which notes that China (as well as India) will be a key focus for Lovisa. In fact, it sees scope for the company to open as many as 1,400 stores in these markets alone. Macquarie has an outperform rating and $25.00 price target on its shares.

ResMed Inc. (ASX: RMD)

A final growth share to consider is ResMed. It is a medical device company with a focus on the sleep treatment market. ResMed has been tipped to continue growing strongly over the long term thanks to its industry-leading products and massive market opportunity. It also looks set to benefit greatly in FY 2022 from a significant product recall from a key rival. Credit Suisse is a fan of ResMed and has an outperform rating and $43.00 price target on the company’s shares.

The post Analysts think growth investors should buy these ASX shares right now appeared first on The Motley Fool Australia.

More reading

• Brokers name 3 ASX shares to buy today
• Why is the Allkem (ASX:AKE) share price in the spotlight this week?
• 3 strong blue chip ASX 200 shares to buy
• Leading brokers name 3 ASX shares to buy today
• Orocobre (ASX:ORE) share price pushes higher amid ASX 100 inclusion

Motley Fool contributor James Mickleboro owns Allkem Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Lovisa Holdings Ltd and ResMed Inc. 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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Shares in conglomerate Washington H Soul Pattinson & Co Ltd (ASX: SOL) spent a day in the red on Friday, closing 1.79% lower at $31.85.

The downtrodden Soul Pattinson share price performance came as investors digested the takeouts from its annual general meeting (AGM) today. Here are the investment highlights.

What did Soul Pattinson announce?

In today’s presentation, Soul Pattinson noted several key investment achievements in the past year including the merger with Milton, which chair Robert Millner said “brought together two of Australia’s great investment companies”.

The company advised that the merger provided many synergies given its “highly strategic” nature. These included portfolio diversification and additional liquidity for future investments, and higher cash generation from increased portfolio dividends.

As a result of the merger, the strategic portfolio is now less than 45% of its total portfolio, whereas the pre-tax value of the portfolio (per share) increased by 17.3% over the year to 30 November 2021.

Millner told the AGM that Soul Pattinson also increased its dividend payment this year to 62 cents per share, making it now “the only company in the top 500 listed companies in Australia to have increased its dividend every year for over 20 years”.

“We are extremely proud of the fact that the company has never missed paying a dividend since listing in 1903,” he said.

The company also has an ungeared net working capital position of $78 million as of 31 July 2021, and it raised $225 million in convertible bonds maturing in 2026. These notes will pay an annual coupon of 0.625% which are favourable terms for the company.

Finally, the company’s portfolio has a net asset value (pre-tax) of $9.25 billion as of 30 November. As such, NAV per share is up 17% for the last 12 months, per the release.

Moving forward, the company says it is focused on “key thematics” such as health and ageing, energy transition, agriculture, financial services and education.

Soul Pattinson share price summary

It’s been a difficult year for the Soul Pattinson share price, which gained just over 5% in the past 12 months, and is up 5% since 1 January.

In comparison, the S&P/ASX 200 index (ASX: XJO) has returned around 10% in the past year.

The post Soul Pattinson (ASX:SOL) share price dips as investors digest AGM appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Here are the top 10 ASX shares today
• 2 ASX dividend shares that could provide rock-solid income
• Is Soul Patts (ASX:SOL) the best ASX dividend share?
• Why is the Soul Pattinson (ASX:SOL) share price sliding lower today?

The author has no positions 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 Washington H. Soul Pattinson and Company 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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