These S&P/ASX 200 Index (ASX: XJO) shares offer attractive dividend yields for investors.

Businesses that have a relatively high dividend payout ratios and attractive valuations can have good yields on offer.

There are plenty of ASX 200 shares that pay dividends such as Westpac Banking Corp (ASX: WBC), Rio Tinto Limited (ASX: RIO) and Santos Ltd (ASX: STO).

However, these two income stocks could be particularly interesting for dividend investors:

Premier Investments Limited (ASX: PMV)

Premier Investments is one of the leading ASX 200 shares involved in the retail industry. It has a number of apparel brands within its portfolio such as Just Jeans, Peter Alexander, Jay Jays, Dotti and Portmans. It also owns Smiggle, as well as sizeable investments in Breville Group Ltd (ASX: BRG) and Myer Holdings Ltd (ASX: MYR).

In FY21, Premier Investments’ board declared a final fully franked dividend of $0.46 per share (up 27.8%), taking the full year fully franked dividend to $0.80 per share (up 14.3%).

The trailing full year dividend of $0.80 per share, translates to a grossed-up dividend yield of 4.2%.

The ASX 200 dividend share experienced a large rise in profitability during FY21, which included strong online growth. FY21 retail global sales rose 18.7% to $1.4 billion with Peter Alexander sales rising 34.7% to $388.2 million. Overall online sales jumped 36.4% to $300.7 million. FY21 net profit rose 97.3% to $271.8 million.

Despite widespread lockdowns for many of its stores in the first 17 weeks of FY22, Premier Investments’ sales were only down by 3.5% and had improved nicely from the update given in September 2021 when its FY22 was only a few weeks old.

According to Commsec, the Premier Investments share price is valued at 20x FY22’s estimated earnings with a projected grossed-up dividend yield of 4.7%.

Dicker Data Ltd (ASX: DDR)

Dicker Data claims to be Australia’s leading distributor of IT hardware, software, cloud and internet of things solutions for reseller partners. It helps business clients transition customers through technological change.

The IT business is benefiting in a number of areas, with strong growth since the onset of COVID as more businesses need cloud infrastructure and home office capabilities.

On top of that, the continuing global chip shortage and consequent supply constraints have contributed to an overall improvement in “margin quality”. This is expected to continue for the foreseeable future.

Dicker Data is experiencing strong demand with a backlog of orders to fulfil and as supply improves, it’s expecting to meet this demand in the final quarter of 2021.

The ASX 200 dividend share notes that the role of technology in business success continues to proliferate and the evolving hybrid and modern workforce becomes increasingly dependent on more intelligent, faster and collaborate tech solutions.

Cybersecurity is another area that Dicker Data can generate growing earnings from.

In the company’s latest update for the nine months to September 2021, it reported that total revenue was up 16.1% to $1.72 billion and profit before tax had increased by 26% to $76.6 million.

The last 12 months of dividends amounts to a grossed-up dividend yield of 4%. According to Commsec, the Dicker Data share price is valued at 27x FY23’s estimated earnings.

The post 2 ASX 200 shares that could be top buys for dividends appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Here are the top 10 ASX shares today
• There were the 5 best performing ASX 200 retail shares of 2021
• ASX 200 retail shares slump despite higher-than-expected sales
• ‘Stop viewing cash as a safe investment’: Ray Dalio

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. owns and has recommended Dicker Data Limited. The Motley Fool Australia owns and has recommended Dicker Data Limited. The Motley Fool Australia has recommended Premier Investments 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 Altium Limited (ASX: ALU) share price has fallen by around 11% in the early stages of 2022. But does the decline of the ASX tech share make it an attractive investment opportunity?

Altium is one of the world leaders when it comes to electronic PCB software providers. However, it is offering an increasing number of services these days. For example, Octopart is a leading search engine for electrical parts.

Is the Altium share price an opportunity?

Losing a tenth of its market capitalisation could be a significant decline in investors’ eyes

However, the decline may not be enough for some analysts. A fairly recent rating from Citi is ‘buy’, but the price target is $35.40. That means the broker thinks that Altium shares could decline by another 10% during this year.

The brokers at Macquarie have an even lower price target of $27.10. That implies the Altium share price could fall by more than 30% during the next several months. Analysts suggest that the Altium share price may have run too hard for what the company is expecting for the shorter-term.

How confident is the company right now?

Altium is focusing on a number of areas so that it can deliver on its goal of transforming the electronics industry.

One of the ways that Altium is looking to win over new subscribers and retain current ones is with its cloud platform called Altium 365, a first for the global industry. At the time of the mid-November AGM, Altium 365 had 17,300 active users and 7,300 active accounts.

During the AGM it revealed that 15% of seats are on a cloud subscription, with 40% in transition.

For readers that haven’t heard of Altium 365 before, it aims for be a platform for all software engineering disciplines to collaborate, design and build electronics for manufactured products.

Altium claims to be at the heart of the digital engineering ecosystem as the increasingly dominant provider of electronic design tools. Altium Designer is now the most widespread professional PCB design tool used by 100,000 engineers worldwide.

In FY22, the business is looking to accelerate adoption, scale enterprise sales through strategic partnerships, roll-out its digital sales platform and expand the Octopart total addressable market with its integration into Nexar.

One factor that could be helpful for the Altium share price could be growth of licence compliance in China and, in time, recurring revenue through Altium 365 China.

Finally, it’s launching Altimade and laying the foundation for smart manufacturing with a high profit margin.

The first four months of FY22 were “strong” and it’s on track to achieve its guidance. That guidance is for revenue to grow by between 16% to 20%, an underlying earnings before interest, tax, depreciation and amortisation (EBITDA) margin of between 34% to 36% and annualised recurring revenue (ARR) growth of 23% to 27%.

Long-term expectations

Altium notes that it’s estimated that the number of active internet of things (IoT) devices will pass 25.4 billion in 2030. This could be a good tailwind for Altium.

By 2025, Altium is looking to achieve US$500 million of revenue. The ASX tech share says that delivering value to shareholders is a hallmark of Altium.

Describing its approach to executing on its goals, Altium said:

Altium innovates and disrupts aggressively while consistently delivering a strong financial performance more typical of a blue chip company.

Altium share price valuation

Looking at the estimates for the next couple of years, Citi’s numbers put Altium shares at 82x FY22’s estimated earnings and 68x FY23’s estimated earnings.

The post Down 10% already in 2022. Is the Altium (ASX:ALU) share price now a buy? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• 3 fantastic ASX growth shares rated as buys
• 2 excellent ASX tech shares to buy after the market meltdown
• Why Afterpay, Altium, Aristocrat Leisure, and Pro Medicus shares are sinking
• ASX 200 (ASX:XJO) midday update: Afterpay sinks again, BHP and Rio rise

Motley Fool contributor Tristan Harrison owns Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Altium. The Motley Fool Australia has recommended Macquarie 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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The Wesfarmers Ltd (ASX: WES) share price performed well through 2021.

After ending 2020 trading at $50.40, the company’s share price rose to close 2021 at $59.30.

That means the retail conglomerate gained 17.66% last year, recording a high of $67.20 and a low of $49.01.

For context, the S&P/ASX 200 Index (ASX: XJO) gained 13% last year.

Here’s a run-down of some of the company’s best moments on the ASX in 2021, and some of its worst.

Here’s what moved the Wesfarmers share price in 2021

The Wesfarmers share price started 2021 out on the wrong foot, plummeting 7% in a week after releasing both its results for the first half of financial year 2021 and news of its lithium joint venture.

After the market closed on 7 February, Wesfarmers announced it had committed to funding its joint venture, Covalent Lithium‘s, Kwianna Refinery. It also announced it had finalised the Mt Holland project’s updated definitive feasibility study.

The following morning, it released its half year earnings. The company posted a 16.6% increase in revenue (approximately $17.77 billion), a 23.3% increase to earnings before interest and tax (EBIT) (around $2.13 billion), and a 25.5% jump in net profit after tax (approximately $1.41 billion).

It was a similar story for the company’s full year results, released in August. Wesfarmers was once again up in all major financial metrics – except operating cash flows – and announced a $2.3 capital return to shareholders.

Though, once again, the market responded poorly, bidding the Wesfarmers share price 2.75% lower.

Finally, in mid-2021, Wesfarmers announced its intent to takeover the owner of Priceline, Australian Pharmaceutical Industries Ltd (ASX: API).

Initially, the ASX 200 giant posed an offer of $1.38 per share for the pharmaceutical company. However, API’s board rejected that offer.

It upped its bid to $1.55 in September, and there it stays.

That’s despite both Woolworths Group Ltd (ASX: WOW) and Sigma Healthcare Ltd (ASX: SIG) posting rival bids. Each of the rival bids has since been withdrawn.

Now, the market is awaiting the release of a scheme booklet containing more details of the acquisition.

As of its most recent close, the Wesfarmers share price had slumped to trade at $56.35. That represents a 4.9% fall for 2022 so far.

The post Why did the Wesfarmers (ASX:WES) share price have such a great year in 2021? appeared first on The Motley Fool Australia.

More reading

• There were the 5 best performing ASX 200 retail shares of 2021
• ASX 200 retail shares slump despite higher-than-expected sales
• Following the Wesfarmers (ASX:WES) API takeover? Here are some key dates to watch out for
• ASX 200 (ASX:XJO): Woolworths withdraws API proposal, tech shares rebound
• API (ASX:API) share price crashes 12% after Woolworths withdraws takeover offer

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 owns and has recommended Wesfarmers 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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On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was out of form and tumbled notably lower. The benchmark index fell 0.7% to 7,390.1 points.

Will the market be able to bounce back from this on Wednesday? Here are five things to watch:

ASX 200 expected to rebound

The Australian share market looks set to rebound on Wednesday following a strong night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 53 points or 0.7% higher this morning. In late trade in the United States, the Dow Jones is up 0.3%, the S&P 500 is up 0.6%, and the Nasdaq is trading 1.1% higher.

Inghams shares given buy rating

The Inghams Group Ltd (ASX: ING) share price was sold off on Tuesday after the release of a disappointing trading update. The team at Goldman Sachs appears to see this as a buying opportunity for investors. This morning the broker retained its buy rating but trimmed its price target to $3.90. Goldman said: “We remain Buy-rated on ING as we are attracted to its relatively defensive revenue stream; duoploy industry structure; strong balance sheet and undemanding valuation.”

Oil prices storm higher

Energy producers such as Beach Energy Ltd (ASX: BPT) and Woodside Petroleum Limited (ASX: WPL) could have a good day after oil prices stormed higher. According to Bloomberg, the WTI crude oil price is up 3.5% to US$80.95 a barrel and the Brent crude oil price has risen 3.3% to US$83.55 a barrel. Easing Omicron concerns boosted prices.

Gold price rises

Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) will be on watch after the gold price pushed higher. According to CNBC, the spot gold price is up 1.15% to US$1,819.60 an ounce. Traders were bidding the gold price higher after the US dollar and US Treasury yields softened.

Tech shares on watch

It could be a much-needed good day for tech shares including Afterpay Ltd (ASX: APT) and Altium Limited (ASX: ALU) after US tech stocks rebounded. As the local tech sector tends to follow the Nasdaq index, its gain of 1.1% on Wall Street bodes well for Aussie tech shares on Wednesday.

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

More reading

• 3 fantastic ASX growth shares rated as buys
• Here are the top 10 ASX shares today
• ASX 200 retail shares slump despite higher-than-expected sales
• Why ARB, Inghams, James Hardie, and SDI shares are sinking
• The Afterpay (ASX:APT) share price has plummeted since the Block takeover. How does the deal now stack up for shareholders?

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 Afterpay Limited and Altium. The Motley Fool Australia owns and has recommended Afterpay 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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If you’re a fan of growth shares, then you may want to look closely at the three shares listed below.

Here’s why these could be growth shares to buy:

Altium Limited (ASX: ALU)

Altium is an electronic design software provider behind the Altium 365 and Altium Designer platforms. It also has a number of complementary businesses such as Nexus and Octopart. All in all, these have positioned the company perfectly to profit from the increasing demand for electronic design software due to the rapidly growing Internet of Things (IoT) and AI markets. Jefferies has a buy rating and $48.83 price target on the company’s shares.

Breville Group Ltd (ASX: BRG)

Breville is one of the world’s leading appliance manufacturers. It has been growing at a consistently solid rate for the last decade and looks well-placed to continue this trend in the future. This is thanks to the popularity of its numerous brands (Breville, Kambrook, Sage, etc), its international expansion, acquisitions, favourable consumer trends, and its ongoing investment in R&D. The latter ensure its products are at the forefront of industry innovation. Macquarie is very positive on the company and has an outperform rating and $34.37 price target on its shares.

Domino’s Pizza Enterprises Ltd (ASX: DMP)

Domino’s is one of the world’s largest pizza chain operators with stores across the ANZ, Asia-Pacific, and European regions. At the end of FY 2021, the company had a total of 2,974 stores across its network. While this is undoubtedly a large number, management isn’t planning to stop there. In fact, it is targeting 6,650 stores in existing markets by 2033. It also has the balance sheet capacity to expand into other markets through acquisitions. All in all, this bodes well for its growth over the next decade. Goldman Sachs is a fan of the company. It currently has a buy rating and $147.00 price target on Domino’s shares.

The post 3 fantastic ASX growth shares rated as buys appeared first on The Motley Fool Australia.

More reading

• 3 excellent ASX shares for growth investors in January
• Brokers name 3 ASX shares to buy today
• 2 excellent ASX tech shares to buy after the market meltdown
• 2 quality ASX growth shares tipped as buys
• Why Afterpay, Altium, Aristocrat Leisure, and Pro Medicus shares are sinking

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 Altium. The Motley Fool Australia has recommended Dominos Pizza Enterprises 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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Today, the S&P/ASX 200 Index (ASX: XJO) disappointed investors with another red showing. At the end of the session, the benchmark index was down 0.71% to 7,710.7 points.

Unfortunately, it was another somewhat sombre showing across the Aussie share market today. After the dust settled, only one sector managed to finish in the green. With a few strong performing gold and iron ore miners, the materials sector finished 0.03% higher. Meanwhile, consumer staples ended up being the worst-performing sector.

However, the question is: which shares delivered the biggest returns to investors on the ASX today? Here are the top ten stocks that came through for investors:

Top 10 ASX shares countdown today

Looking at the top 200 listed companies, Alumina Ltd (ASX: AWC) was the biggest gainer today. Shares in the alumina and aluminium mining and refining company added 3.88% despite there being no new announcements. Find out more about Alumina here.

The next biggest gaining ASX share today was Magellan Financial Group Ltd (ASX: MFG). The fund manager enjoyed a 2.72% rise in its share price irrespective of there being no news from the company today. Uncover the latest Magellan Financial Group details here.

Today’s top 10 biggest gains were made in these ASX shares:

ASX-listed company	Share price	Price change
Alumina Ltd (ASX: AWC)	$2.01	3.88%
Magellan Financial Group Ltd (ASX: MFG)	$21.15	2.72%
Evolution Mining Ltd (ASX: EVN)	$3.86	2.66%
Fortescue Metals Group Ltd (ASX: FMG)	$21.12	2.33%
TELIX Pharmaceuticals Ltd (ASX: TLX)	$8.35	2.20%
Zimplats Holdings Ltd (ASX: ZIM)	$24.49	2.08%
Incitec Pivot Ltd (ASX: IPL)	$3.44	2.05%
AGL Energy Ltd (ASX: AGL)	$6.96	2.01%
Virgin Money UK PLC (ASX: VUK)	$3.55	1.82%
Zip Co Ltd (ASX: Z1P)	$3.92	1.79%

Our top 10 ASX shares today countdown is a recurring end-of-day summary to ensure you know which companies were making big moves on the day. Check-in at Fool.com.au after the market has closed during weekdays to see which stocks make the countdown.

The post Here are the top 10 ASX shares today appeared first on The Motley Fool Australia.

More reading

• ASX 200 retail shares slump despite higher-than-expected sales
• Dividend beasts: 5 ASX 200 shares with the highest dividend yield
• ‘Stop viewing cash as a safe investment’: Ray Dalio
• ASX 200 (ASX:XJO) midday update: PolyNovo rockets, Inghams sinks
• 2 high-yielding ASX 200 dividend shares to boost income

Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended ZIPCOLTD FPO. 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 Motley Fool Australia’s chief investment officer (CIO), Scott Phillips recently shared his top five ASX shares for 2022 recently. These potential investment opportunities are different in what they offer, though all of them have made their way onto Phillips’ radar.

In discussion with Gemma Dale of the National Australia Bank Ltd. (ASX: NAB), Phillips provided an overview of each ASX opportunity. This followed an earlier conversation about an ASX share that The Motley Fool’s CIO plans to hold forever.

Let’s take a closer look at each of the potential investments mentioned.

5 ASX shares catching Scott Phillips’ eye in 2022

Adore Beauty Group Ltd (ASX: ABY)

The first ASX share making Phillips’ top five is Adore Beauty — an online retailer of beauty and skincare products. While the company’s share price might be down 19% in the last year, the astute investor explained why the business looks attractive.

Phillips said:

They have done a really fantastic job in providing a great website; a really good community; a really fantastic customer service experience, including the fabled Tim Tam in every order… It’s a company that has been going from strength to strength.

Recently, analysts over at UBS put a price target of $6 on Adore Beauty shares. This would suggest a potential upside of 39.5% from today’s current price.

Kogan.com Ltd (ASX: KGN)

Another beaten-down ASX share found itself among Phillips’ recent pick of the bunch for 2022. The Australian and New Zealand e-commerce competitor has plummeted 58% over a rough 12-month stretch for online retail. Investors have shied away from Kogan since the COVID-19 vaccine’s approval.

Commenting on the potential inside Kogan shares, Scott Phillips noted:

A little bit like Adore, Kogan has been growing top-line sales at 20 to 30 percent per annum for years and years. The challenger for shareholders right now is: even at the current share price, if it can keep growing those sales at even a moderately similar rate for a small to medium amount of time, these shares in my view are cheap.

For reference, Credit Suisse currently holds a ‘buy’ rating on the Kogan share price. Likewise, the broker has a $13.88 price target on this ASX share. At the time of writing, the e-commerce company is going for $8.24 per share.

Betashares Nasdaq 100 ETF (ASX: NDQ)

Switching it up, the Nasdaq 100 exchange-traded fund (ETF) made its way into Phillips’ top five picks. While it may not be an ASX share, per se, it is an investment listed on the ASX nonetheless. Another difference is the fact that this pick provides exposure to companies in the United States — specifically the top 100 in the Nasdaq index.

I think the Nasdaq ETF is a really, really great way to get one-click access to massive numbers of great US businesses with really bright futures. You get all of that diversification benefit for free.

Unlike the first two opportunities, the Nasdaq 100 ETF is positive when looking at its performance over the past year. Investors of this ETF have captured a 24.8% return if they have stuck it out for the last 12 months.

NIB Holdings Limited (ASX: NHF)

Another ASX share in the green on the list is the private health insurer, NIB Holdings. This company has managed to cut through the volatility and give shareholders a solid 20.9% return during the year gone by. Although Phillips admits that NIB operates in a tough industry, he still sees reason to potentially pick up a parcel in this company.

Notably, the chief investment officer highlights that NIB has gradually been chipping away at the market share of its peers.

In addition, the insurer has been acquiring a string of insurance providers that operate in industries that are less regulated. For example, travel insurance and insurance for incoming students for study.

Treasury Wine Estates Ltd (ASX: TWE)

Finally, the last ASX share squeezing its way into the top five picks for 2022 is Treasury Wine Estates. This is a global winemaking and distribution business, boasting renowned labels including Penfolds, Wolf Blass, and 19 Crimes.

Out of all the investment opportunities on this list, Treasury Wines has performed the best in the last year — rising 34% — despite impacts from China tariffs on the Australian winemaker.

In explaining the case for this company, Phillips said:

I think Treasury is doing a really good job of executing on a difficult business in a very clever way. I think the shares are not super-cheap right now. But I think you’re getting a really high-quality business, super recognisable brands, and great brand value in those brands

Lastly, Citi has a price target of $13.80 on Treasury Wine Estates.

The post Here are Scott Phillips’ top 5 ASX shares for 2022. Is it time to buy? appeared first on The Motley Fool Australia.

More reading

• 2 excellent ETFs for ASX investors to buy and hold
• Own NIB (ASX:NHF) shares? Here are the key dates for your investor diary in 2022
• These are the 10 most shorted ASX shares
• 5 things to watch on the ASX 200 on Monday
• What brokers are saying about the Treasury Wine (ASX:TWE) share price

Motley Fool contributor Mitchell Lawler owns shares in Kogan.com ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended BETANASDAQ ETF UNITS and Kogan.com ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Adore Beauty Group Limited. The Motley Fool Australia owns and has recommended BETANASDAQ ETF UNITS and Kogan.com ltd. The Motley Fool Australia has recommended Adore Beauty Group Limited, NIB Holdings Limited, and 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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Investors that are looking to make long term buy and hold investments might want to consider the exchange traded funds (ETFs) listed below.

These two ETFs are among the most popular on the share market and for good reason. Here’s what you need to know about them:

BetaShares NASDAQ 100 ETF (ASX: NDQ)

The first ETF to look at is the BetaShares NASDAQ 100 ETF. It aims to track the performance of the NASDAQ 100 Index before fees and expenses. This index comprises 100 of the largest non-financial companies listed on Wall Street’s NASDAQ stock exchange.

This means that you’ll be buying many of the tech companies that are at the forefront of the new economy. BetaShares highlights that this area of the market is underrepresented on the Australian share market. As a result, it feels the ETF could benefit investors that already have large exposure to banks and mining shares and little exposure to technology.

Among the companies you’ll be buying a slice of are global giants Alphabet (Google), Amazon, Apple, Meta (Facebook), Microsoft, Netflix, Nvidia, and Tesla.

The BetaShares NASDAQ 100 ETF has provided investors with a return of 27.7% over the last five years. This would have turned a $10,000 investment into ~$34,000.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

Another ETF to look at is the Vanguard MSCI Index International Shares ETF. This ETF provides investors with exposure to ~1,500 of the world’s largest listed companies from major developed countries.

Vanguard believes this ETF would be suitable for buy and hold investors that are seeking long-term capital growth, some income, and international diversification. This is because it provides exposure to a broadly diversified range of securities that allow investors to benefit from the global economy’s long term growth.

Among the companies included in the fund are behemoths such as Apple, Johnson & Johnson, JP Morgan, Mastercard, Nestle, Procter & Gamble, and Visa.

The Vanguard MSCI Index International Shares ETF has generated a total return of almost 15.2% per annum over the last five years. This would have turned a $10,000 investment into over $20,000.

The post 2 excellent ETFs for ASX investors to buy and hold appeared first on The Motley Fool Australia.

More reading

• 3 ASX ETFs for smart investors in 2022
• Here’s why 2021 was a stellar year for the Vanguard International Shares ETF (ASX:VGS)
• 2 of the best ETFs for diversification
• 3 high quality ETFs for ASX investors in January
• Are these 2 strong ASX growth 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 BETANASDAQ ETF UNITS and Vanguard MSCI Index International Shares ETF. The Motley Fool Australia owns and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended Vanguard MSCI Index International Shares ETF. 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) had a roaring 2021 – it gained 13% – but many of its retail constituents performed better.

The index doesn’t include many retailers, but some of those that earned their way into its ranks proved that they belong there last year.

Let’s take a look at which retailers were the top performing ASX 200 shares in their class in 2021.

Here are the 5 top performing ASX 200 retail shares of 2021

Premier Investments Limited (ASX: PMV) – gained 28.9%

The Premier Investments share price outperformed all its peers last year, surging from where it ended 2020 – $23.51 – to finish 2021 at $30.32.

Those who frequent shopping centres have likely seen the company’s brands. It owns the likes of Smiggle, Jay Jays, Peter Alexander, and Dotti.

A trading update in January got the stock off to the right start last year and its continued strong performance kept it on track.

Super Retail Group Ltd (ASX: SUL) – gained 18.3%

After closing 2020 at $10.53, the Super Retail share price took off over 2021 to end the year at $12.46 – a gain of 18.32%.

Like Premier Investments, shoppers will probably be familiar with the company’s brands, which include BCF, Rebel, and Supercheap Auto.

The best day of 2021 for the Super Retail share price came on 7 October when it gained 7%, potentially spurred by a broker upgrade.

Wesfarmers Ltd (ASX: WES) – gained 17.6%

ASX 200 giant Wesfarmers has landed on this list, taking out the final medal for retail shares.  

The company’s stock grew from $50.40 at the end of 2020 to finish 2021 at $59.30.

Over 2021, Wesfarmers worked to takeover the owner of Priceline stores, Australian Pharmaceutical Industries Ltd (ASX: API).

The company operates retail stores including Kmart, Officeworks, and Bunnings.

Woolworths Group Ltd (ASX: WOW) – gained 14%

The Woolworths share price also outperformed the market in 2021 – just.

Its stock was swapping hands for $33.30 at the end of 2020. Come the final session of 2021, it closed at $38.01. That represents a 14.1% gain.  

The major news of Woolworths last year was, of course, the demerger of Endeavour Group Ltd (ASX: EDV).

Through the demerger, the company spun out its drinks businesses, including Dan Murphy’s and BWS, into a stand-alone ASX-listed company.

Harvey Norman Holdings Limited (ASX: HVN) – gained 5.3%

Finally, while the Harvey Norman share price didn’t manage to beat the market last year, it did land itself in fifth place on this list.

The stock started the year off well, surging to a multi-year high of $4.93. Then, in February, it hit a 10 year high of $5.68.

Harvey Norman didn’t hold onto those early gains. It ended the year trading at $4.94. Though, that’s still higher than where it finished 2020 – at $4.69.

That’s despite the company’s share price falling all 3 times the company released periodic earnings last year. First in February, again in August, and once more in November.

The post There were the 5 best performing ASX 200 retail shares of 2021 appeared first on The Motley Fool Australia.

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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. owns and has recommended Super Retail Group Limited. The Motley Fool Australia owns and has recommended Harvey Norman Holdings Ltd., Super Retail Group Limited, and Wesfarmers Limited. The Motley Fool Australia has recommended Premier Investments 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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Strong retail sales data released today failed to lift sentiment towards ASX 200 retail shares this afternoon.

Retail trade jumped 7.3% month-on-month to $33.4 billion in November last year, according to the Australian Bureau of Statistics (ABS).

That’s around twice what economists surveyed by Bloomberg were expecting, reported The Australian, and is 5.8% above November 2020.

Big rebound in consumer discretionary spending

The increase marked the largest monthly improvement since May 2020 when retail trade surged 16.6%. That followed a 17.4 per cent plunge in the first round of COVID-19 lockdowns in April that year.

Consumer discretionary goods are leading the rebound in retail sales. Footwear and personal accessory retailing surged 38.2% in November, department stores added 26% and household goods improved 11.6%.

But ASX 200 retail shares aren’t celebrating today. The Premier Investments Limited (ASX: PMV) share price closed down 1.75%, Wesfarmers Ltd (ASX: WES) shares fell 1.35%, and the JB Hi-Fi Limited (ASX: JBH) share price dropped 0.55%.

In fact, the retail sector fell in sympathy with the S&P/ASX 200 Index (ASX: XJO), which ended the day down 0.77%.

Why are ASX 200 retail shares underperforming?

There could be a few reasons for this. The latest ABS figures were promising, but that was two months ago. Markets are forward-looking, so historical data isn’t quite as exciting for ASX investors.

In the meantime, retail sales are facing some headwinds. Findings by the Australian Retailers Association (ARA), released on Monday, show three-quarters of retailers currently have staff in isolation due to COVID-19.

The findings also show that 50 per cent of businesses ranked “staff shortages” as their main challenge. This was followed by “lack of customers” and “supply chain/delivery issues”.

Coles Group Ltd (ASX: COL) last week reported they were suffering supply issues. This was followed by similar claims by Woolworths Group Ltd (ASX: WOW) yesterday.

The New South Wales and Victorian state governments are also starting to reimpose some social restrictions.

There are worries the malaise will last for a while yet, and if there is one thing investors hate, it’s uncertainty.

Confidence takes a blow

Little wonder that consumer confidence has taken a blow. The latest ANZ-Roy Morgan Consumer Confidence index fell 2.4 points to 106.0 during the first week of January. The reading is 2.9 points below January 2021.

The spread of Omicron is cited as the key reason for the decline with 14% of Australians expecting “good times” for the Australian economy over the next 12 months – a drop of 5 percentage points from the previous survey.

In contrast, 24% of Aussies expect “bad times”, which is a 4 percentage point increase over the last survey.

The post ASX 200 retail shares slump despite higher-than-expected sales appeared first on The Motley Fool Australia.

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Motley Fool contributor Brendon Lau has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns and has recommended Wesfarmers Limited. The Motley Fool Australia has recommended Premier Investments 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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