• 5 things to watch on the ASX 200 on Thursday

    Business woman watching stocks and trends while thinking

    On Wednesday the S&P/ASX 200 Index (ASX: XJO) ran out of steam and dropped into the red. The benchmark index fell 0.3% to 7,565.8 points.

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

    ASX 200 expected to edge lower

    The Australian share market looks set to edge lower on Thursday. According to the latest SPI futures, the ASX 200 is expected to open the day 5 points or 0.1% lower this morning. This follows a poor night on Wall Street, which in late trade sees the Dow Jones down 0.25%, the S&P 500 down 0.85%, and the Nasdaq down a sizeable 2%.

    Oil prices rise again

    Energy shares including Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could have a good day after oil prices pushed higher again overnight. According to Bloomberg, the WTI crude oil price is up 0.95% to US$77.71 a barrel and the Brent crude oil price is up 0.85% to US$80.68 a barrel. This was despite US fuel demand slipping and OPEC lifting its output.

    Tech shares on watch

    Afterpay Ltd (ASX: APT) and TechnologyOne Ltd (ASX: TNE) shares could have another difficult day of trade after US tech shares were sold off again. At the time of writing, the tech-focused Nasdaq index is down 2% in late trade. As the local tech sector tends to follow its lead, this doesn’t bode well for today’s session.

    Gold price edges higher

    Gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a decent day after the gold price edged higher. According to CNBC, the spot gold price is up 0.1% to US$1,816.70 an ounce. Rising Omicron variant cases helped boost its safe-haven appeal with investors.

    Aristocrat acquisition update

    The Aristocrat Leisure Limited (ASX: ALL) share price will be on watch on Thursday following an update on its proposed acquisition of Playtech. The gaming technology company advised that the Playtech shareholder vote on the acquisition has been pushed back from 12 January to 2 February. This is to allow time for rival JKO Play to make a firm competing offer. One positive, though, is that proxy advisers continue to recommend Aristocrat’s offer.

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

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    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

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    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. 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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  • These are the 5 best performing ASX shares of 2021

    A person with a round-mouthed expression clutches a device screen and looks shocked and surprised.

    2021 came with many ups and downs, both on and off the market, but these 5 ASX shares weathered the storm to come out on top.

    We’ve taken a look at the All Ordinaries Index (ASX: XAO) – the index often used to gauge the market’s performance – to find the top performing shares of last year.

    If you held any of these All Ords stocks in 2021, pat yourself on the back. You’ve picked a winner.

    5 best performing ASX All Ords shares of 2021

    Novonix Ltd (ASX: NVX) – gained 659%

    Leading the All Ords is lithium-ion battery giant Novonix.

    The company’s shares finished 2020 trading at $1.21 before surging to close 2021 at a whopping $9.19. That’s a 659% gain in just 12 months.

    The company hit the ground running in January by announcing its PUREGraphite business had received a US$5.6 million grant.

    Its fortunes were also driven by a strategic investment from Phillips 66 (NYSE: PSX) and the purchase of a new battery anode facility.

    Cettire Ltd (ASX: CTT) – gained 657%

    Cettire started 2021 as one of the ASX’s newest faces before surging to close the year 657% higher than it started it. The company’s stock grew from just 47 cents to $3.56 last year.

    Interestingly, Cettire didn’t announce much news over the period. Instead, it continuously beat its forecasted earnings and seemingly positioned itself for more growth in the future.

    Liontown Resources Limited (ASX: LTR) – gained 388%

    December wasn’t a good month for the Liontown share price.

    Fortunately, the company had rallied so much during the first 11 months of 2021, it could absorb the tumble and land well, taking its crown as the third best performing ASX All Ords share of 2021.

    Over the course of 2021, the Liontown share price grew from 34 cents to $1.66.

    The major catalyst for its incredible growth seems to have been its Kathleen Valley lithium project.

    In other big news, Liontown demerged its non-lithium assets into spin out company Minerals 260 Ltd (ASX: MI6) last year.

    AVZ Minerals Ltd (ASX: AVZ) – gained 358%

    Another lithium miner has ended the year as one of the best performing ASX All Ords shares.

    2021 was a brilliant year for the AVZ Minerals share price. It grew from 17 cents to 78 cents over the 12-month period.

    The company is a lithium, tin, and tantalum explorer with operations in the Democratic Republic of Congo.

    It continuously reported positive drill results and updates for its Manono Project over 2021, driving its share price to surge a mammoth 358%.

    Imugene Limited (ASX: IMU) – gained 300%

    The final top performer of the All Ords for 2021 is clinical stage immuno-oncology company Imugene.

    Last year, it continued working on several pipeline products with its HER-Vaxx product approaching the completion of its Phase 2 trial at the end of 2021. The company also licenced its CAR T cell cancer therapy in May.

    Having ended 2020 trading at 10 cents, the Imugene share price close 2021 trading at 40 cents.

    The post These are the 5 best performing ASX shares of 2021 appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Novonix right now?

    Before you consider Novonix, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Novonix wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

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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 Cettire Limited. The Motley Fool Australia has recommended Cettire 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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  • 2 ASX dividend shares tipped as buys this month

    asx dividend shares represented by tree made entirely of money

    With interest rates still at very low levels, it remains a difficult period for income investors. But never fear, the Australian share market is here to save the day with its plethora of dividend shares.

    Two such dividend shares that could help you overcome low interest rates are listed below. Here’s what you need to know about them:

    Healius Ltd (ASX: HLS)

    The first ASX dividend share to look at is Healius. It is a healthcare company with a focus on diagnostic imaging, day hospitals, IVF, and pathology. The latter is the star of the show at the moment thanks to the incredible demand for COVID-19 testing. And with testing volumes likely to remain strong for some time to come, Healius looks well-placed to deliver another impressive result in FY 2022.

    The team at Morgans expects this to be the case and believes it will lead to generous dividend payments. The broker has pencilled in fully franked dividends per share of 23 cents in FY 2022 and 19 cents in FY 2023. Based on the current Healius share price of $5.19, this will mean yields of 4.4% and 3.7%, respectively.

    Morgans has an add rating and $5.79 price target on its 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.

    Thanks to the popularity of these brands, Super Retail has been growing at a solid rate in recent years. And while FY 2022 will be a difficult year due to lockdowns and the cycling of strong growth in FY 2021, the company has still been tipped to reward shareholders with generous dividends.

    One of the brokers tipping this is Citi. It expects 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 $12.55, this will mean yields of 5.3% and 5.1%, respectively.

    Citi also sees meaningful upside for the Super Retail share price. It has a buy rating and $16.00 price target on its shares.

    The post 2 ASX dividend shares tipped as buys this month appeared first on The Motley Fool Australia.

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    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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  • How did the Origin(ASX:ORG) share price perform in 2021?

    a woman holds her finger to the side of her lips in contemplation as she looks upwards to an array of graphic images of light bulbs above her head, one of which is on and glowing.

    The Origin Energy Ltd (ASX: ORG) share price finished 2021 in the green in a major recovery from its lows of 2020.

    Shares in the energy company jumped from $4.76 to $5.24 during the year, up 10%. By comparison, the S&P/ASX 200 Index (ASX: XJO) gained around 13%.

    Let’s take a look at how Origin Energy share price performed during the year.

    Energy in focus

    The Origin share price suffered in the early months of 2021 before staging a major comeback from the beginning of June. This followed energy shares, in general, having a poor year in 2020, with Origin falling nearly 45%.

    Shares in Origin fell more than 14% in the first five months of the year. One major event that spurred the decline was the negative reaction to an update on the company’s earnings guidance in April.

    The Origin share price sunk 13.83% in one week from its close on 15 April to 22 April 2021. Investors began selling off Origin shares after the company revealed the cost for gas supply would increase in both FY 2021 and FY 2022.

    In June, the company’s share price saw a major turnaround, exploding 22.42% from $3.97 at the close of trade on 31 May to $4.86 on 10 June. This was despite no price sensitive news from the company.

    However, Macquarie Group Ltd (ASX: MQG) analysts released a broker note predicting the company’s negative earnings cycle was over. They lifted Origin’s price target to $4.88. In hindsight, the analysts were on the money about the pending recovery.

    Shares in Origin also skyrocketed in late September. Between market close on 20 September and 25 October, the Origin share price charged from $4.30 to $5.38 — a 25% boost.

    Driving the gains were major announcements including Origin executing a $2 billion deal with global energy investor EIG to sell a 10 per cent interest in Australia Pacific LNG.

    Also contributing was positive investor reaction to the company’s annual general meeting, when the company released positive guidance for financial year 2022.

    December continued to provide relief for Origin investors, with the company’s share price soaring more than 9% between market close on 30 November and 31 December.

    During the final month of the year, the company revealed it would be acquiring community energy services business WINconnect. Also in December, the company announced ConocoPhillips had put into effect its pre-emption rights in Origin’s deal to sell its 10% interest in Australia Pacific LNG.

    Origin Energy share price recap

    The Origin share price gained roughly 3 percentage points less than the broader ASX 200 Index in 2021.

    The company has a market capitalisation of nearly $9.6 billion based on its current share price.

    In the past month, the company’s shares have gained nearly 12%, while they are up nearly 5% this week. At market close on Wednesday, shares in the company are swapping hands at $5.44, up 1.49%.

    The post How did the Origin(ASX:ORG) share price perform in 2021? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Origin Energy right now?

    Before you consider Origin Energy , you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Origin Energy wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

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    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 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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  • 3 ASX ETFs for smart investors in 2022

    ETF

    Are you looking to make some additions to your portfolio in January? If exchange traded funds (ETFs) are of interest to you, then you might want to look at the three listed below.

    Here’s what you need to know about them:

    BetaShares Asia Technology Tigers ETF (ASX: ASIA)

    The first ETF for investors to look at is the BetaShares Asia Technology Tigers ETF. It tracks the performance of the largest technology companies in Asia (excluding Japan). Among the ETF’s largest holdings are Alibaba, JD.com, Pinduoduo, Samsung, Taiwan Semiconductor, and Tencent Holdings. On balance, the companies in the fund are some of the fastest growing in the region and revolutionising the lives of billions of people. In light of this, they have been tipped to generate strong returns in the future.

    BetaShares Global Cybersecurity ETF (ASX: HACK)

    A second ETF for investors to look at in 2022 is the BetaShares Global Cybersecurity ETF. This fund provides investors with the opportunity to invest in the growing cybersecurity sector. This means you’ll be buying companies such as Accenture, Cisco, Cloudflare, Fortinet, Okta, Splunk, Zscaler, Crowdstrike. And given the growing threat of cyberattacks globally, these companies look well-placed to benefit from increasing demand for cybersecurity services.

    Vanguard MSCI Index International Shares ETF (ASX: VGS)

    A final ETF for investors 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. This means that investors are able to use this fund to take part in the long term growth potential of international economies. Among the many companies that you’ll be investing in are giants such as Amazon, Apple, Johnson & Johnson, JP Morgan, Nestle, Procter & Gamble, and Visa.

    The post 3 ASX ETFs for smart investors in 2022 appeared first on The Motley Fool Australia.

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    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

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    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 BETA CYBER ETF UNITS and Vanguard MSCI Index International Shares ETF. The Motley Fool Australia owns and has recommended BETA CYBER ETF UNITS. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF and 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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  • Why did Pro Medicus (ASX:PME) and 2 other ASX 200 healthcare shares fall today?

    A male doctor wearing a white doctor's coat shrugs and holds his hands up to indicate the unimpressive CSL share price as a result of OOVID-19

    The Pro Medicus Limited (ASX: PME) share price sunk almost 10% on Wednesday despite no news being released from the company for more than a month.

    At market close, the Pro Medicus share price was down 9.69% to $56.95 apiece.

    It may be part of a wider trend, with the S&P/ASX Health Care Index (SX: XHJ) the second-worst performing sector today behind the IT index.

    Let’s take a look at what’s been going on with the company lately.

    Pro Medicus down to start 2022

    The last time we heard from the medical imaging provider was on 1 December 2021 when it gave notice of one of its directors buying ordinary shares in the company.

    Before that, on 23 November, the company released the results of voting on several resolutions at its AGM.

    Since then, the Pro Medicus share price has dropped by 4.61%.

    The company also saw a small dip in its share price back in early October, despite releasing news of a contract win with prominent US healthcare provider Novant Health.

    Pro Medicus CEO Dr Sam Hupert said the deal was significant for the company, as it was the largest in its history.

    It was also the company’s seventh major contract in North America in less than 18 months.

    Other healthcare shares seeing red today

    However, it was not just Pro Medicus seeing a decline today. Biotech company Imugene Ltd (ASX: IMU) was down 8.24% at market close today, falling from its 8% jump yesterday.

    Yesterday’s surge coincided with news of its B-cell immunotherapy drug, PD1-Vaxx, commencing a trial in the treatment of non-small cell lung cancer (NSCLC).

    CSL Limited (ASX: CSL) was also down 1.82% today, at $290.60 apiece.

    The biotech giant hasn’t released any news so far in 2022, however, new COVID-19 variants and ongoing restrictions may have affected its share price.

    It’s not all doom and gloom though. Both CSL and Imugene made the list of the best performing biotech ASX shares of 2021.

    Pro Medicus share price snapshot

    Despite today’s news, the Pro Medicus share price has risen by more than 67% in the last 12 month period.

    The company has a market capitalisation of around $6 billion and a price-to-earnings (P/E) ratio of 192.

    The post Why did Pro Medicus (ASX:PME) and 2 other ASX 200 healthcare shares fall today? appeared first on The Motley Fool Australia.

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    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

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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. owns and has recommended CSL Ltd. and Pro Medicus Ltd. The Motley Fool Australia owns and has recommended Pro Medicus 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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  • What’s dragging on the Coles (ASX:COL) share price this week?

    a woman ponders products on a supermarket shelf while holding a tin in one hand and holding her chin with the other.

    This week so far has certainly been a wild one for the S&P/ASX 200 Index (ASX: XJO). Yesterday, we saw the ASX kick off the new year in style with a very pleasing 1.8% gain. And while the ASX 200 went backwards slightly today (down 0.32%), it’s still up a healthy 1.4% for the year so far. Unfortunately, we can’t say the same for the Coles Group Ltd (ASX: COL) share price.

    Coles shares have had a rather flat start to the year, despite the positive mood of the overall share market. Since New Year’s Eve, Coles has fallen from $17.87 a share to the $17.71 the grocery giant closed at this afternoon. That’s a drop of around 0.9%. 

    So what’s behind this lacklustre start to 2022?

    Coles share price slumps amid supply delays

    Well, it’s hard to say with certainty. There has been no official ASX news or announcements out of Coles so far this year. Or since before Christmas, for that matter. However, we can guess. Coles wasn’t the only ASX consumer staples stock not feeling the love of the broader market today. Coles’ arch-rival Woolworths Group Ltd (ASX: WOW) also had a clanger, falling a nasty 1.6% to finish the day at $37.86 a share.

    Both Coles and Woolworths’ Wednesday misfortunes could be the result of a press statement that Woolworths put out today. This told the public that the company was “experiencing delays with some stock deliveries to our stores due to the impacts of COVID-19 across the food and grocery supply chain”.

    As a result, the company had this to say:

    As a result [of these delays], our stores may have reduced availability of some products at points throughout the day before they receive their next delivery… we’re doing all we can with our suppliers to restock our shelves as quickly as possible, with a particular focus on fresh food and essentials lines. We expect to see availability improve over the coming weeks…

    While there are more gaps on our shelves than usual, we have enough stock coming through our network for customers to do a family shop.

    This might trigger memories of the infamous ‘hoarding’ that marked the beginning of the COVID-19 pandemic back in 2020 and left supermarkets across the country with bare shelves for weeks. So it’s very possible that these reports have spooked investors today and resulted in the sell-offs we see across both the Woolworths and Coles share prices. I’m sure both investors and shoppers were hoping for a slightly happier New Year. 

    The post What’s dragging on the Coles (ASX:COL) share price this week? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Coles right now?

    Before you consider Coles, you’ll want to hear this.

    Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Coles wasn’t one of them.

    The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

    *Returns as of August 16th 2021

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    Motley Fool contributor Sebastian Bowen 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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  • Here are the top 10 ASX shares today

    top 10 asx shares today

    Today, the S&P/ASX 200 Index (ASX: XJO) retreated from yesterday’s strong gain. At the end of the session, the benchmark index finished 0.32% lower at 7,565.8 points.

    After setting high expectations for 2022 yesterday with a 2% one-day gain, the ASX readjusted to the downside today. The weakness in the index was led by tech and healthcare shares — each sector falling 2.9% and 1.9% respectively. In contrast, further optimism was shone on oil shares today as the price per barrel rallied overnight.

    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, Yancoal Australia Ltd (ASX: YAL) was the biggest gainer today. Shares in the coal producer gained 5.00% despite there being no announcements from the company. Find out more about Yancoal here.

    The next biggest gaining ASX share today was Adbri Ltd (ASX: ABC). The integrated construction materials company moved 4.84% higher with no market announcements being posted. Uncover the latest Adbri details here.

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

    ASX-listed company Share price Price change
    Yancoal Australia Ltd (ASX: YAL) $2.94 5.00%
    Adbri Ltd (ASX: ABC) $3.03 4.84%
    Ebos Group Ltd (ASX: EBO) $40.50 4.44%
    Coronado Global Resouces Inc (ASX: CRN) $1.34 3.88%
    Infratil Ltd (ASX: IFT) $7.89 2.87%
    Mercury NZ Ltd (ASX: MCY) $5.94 2.77%
    Santos Ltd (ASX: STO) $6.78 2.57%
    Brambles Ltd (ASX: BXB) $10.99 2.23%
    Macquarie Group Ltd (ASX: MQG) $215.73 2.08%
    Virgin Money UK PLC (ASX: VUK) $3.49 1.75%
    Data as at 4:00pm AEDT

    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.

    Wondering where you should invest $1,000 right now?

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    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

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    Motley Fool contributor Mitchell Lawler owns Macquarie Group Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended 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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  • Is the BHP (ASX:BHP) share price a buy for the 13% dividend yield?

    A young entrepreneur boy catching money at his desk, indicating growth in the ASX share price or dividends

    Could the BHP Group Ltd (ASX: BHP) share price be a buy for income with the resources giant expected to pay a large yield in FY22?

    The iron ore price may have fallen over the last several months. However, the iron ore price has recovered a bit of that lost ground. Some of BHP’s other commodities are also seeing higher prices, which could help with profit, cashflow and perhaps the dividend.

    How big is the dividend going to be in FY22?

    Every analyst comes up with their own prediction about what the dividend could be in the current financial year.

    On Commsec, the dividend estimate for BHP in FY22 is an annual dividend of $3.86 per share. That translates to a grossed-up dividend yield of 13%.

    The broker Macquarie Group Ltd (ASX: MQG) also has pencilled in a dividend that translates to a grossed-up dividend yield of 13% at the current BHP share price.

    However, there are some analysts that think the dividend won’t be quite as big. For example, Morgans thinks the FY22 dividend yield will be 11.5%, grossed-up.

    At this stage, it seems analysts are expecting that the FY22 dividend will be smaller than the FY21 dividend. However, the above estimates still put the yield at more than 10%.

    Could the BHP share price be an opportunity?

    Macquarie thinks BHP is a buy, with a price target of $52. Morgans thinks BHP shares are a buy with a price target of $45.70.

    Macquarie thinks that BHP shares are valued at under 10x FY22’s estimated earnings.

    Looking at the iron ore price, which was the key profit generating division for BHP in FY21, the iron ore price went up 2.8% yesterday to US$122.90 per tonne. Remember that iron ore prices had fallen below US$90 several weeks ago. It has recovered quite a bit.

    Macquarie notes that Chinese demand for steel seems to be rising whilst the inventory is dropping.

    BHP can’t really control the global prices for each of its commodities, but it is responsible for much production there is.

    In the three months to September 2021, its copper production fell 9% to 376.5kt. Iron ore production dropped 4% year on year to 63.3mt. Metallurgical coal production fell 9% to 8.9mt. Nickel production dropped 20% to 17.8mt.

    A few months ago, BHP also announced that it had approved an investment of US$5.7 billion for the Jansen Stage 1 project in Canada – a potash project. Potash is a greener form of fertiliser that is hoped to help the world decarbonise.

    The post Is the BHP (ASX:BHP) share price a buy for the 13% dividend yield? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in BHP right now?

    Before you consider BHP, you’ll want to hear this.

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    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 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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  • What are some key lessons for ASX share investors at the end of 2021?

    a woman sits in her home with chin resting on her hand and looking at her laptop computer with some reflection with an assortment of books and documents on her table.

    Despite 2021 being another year defined by COVID-19 impacts, ASX share investors managed to come out ahead. During the year, the S&P/ASX 200 Index (ASX: XJO) returned 13% (before dividends) — which is well above the average total return of 9.3% over the past 10 years.

    As we begin to get comfortable with the New Year of 2022, now seems as good of a time as any to reflect on the ASX share market in 2021.

    For many investors, 2021 entailed discovering new lessons and remembering some old ones.

    FOMO can be a dangerous beast

    Early into the year, portions of the ASX share market began displaying signs of classic fear of missing out (FOMO) mentality. For example, buy now, pay later (BNPL) shares gathered an unusual amount of interest in February 2021. This resulted in booming share prices across some of the more speculative companies in the sector, including:

    • Ioupay Ltd (ASX: IOU) gaining 412% in two weeks
    • Fatfish Group Ltd (ASX: FFG) rising 800% in two weeks, and
    • Cirralto Ltd (ASX: CRO) climbing 100% in two weeks

    On reflection, this FOMO approach often didn’t pay off for ASX investors. From February 2021, all three companies fell 40% or more by the end of the year. As Fidelity International investment director, Tom Stevenson puts it:

    FOMO is the enemy of investment success. It sucks people into markets at precisely the wrong time. It is the cause of bubbles and the reason markets overshoot.

    Thinking long term can be a superpower

    What can often set average returns apart from amazing returns is a long-term approach to investing. As the saying goes, “Time in the market beats timing the market”.

    An example of this is the benchmark index itself. An ASX investor buying the index at the beginning of 2020 would have been down 28% after three months. However, if that person took a long-term approach, they would now be up 12.4%.

    In an interview last year with The Motley Fool, Bennelong Funds Management research relationships director Stuart Fechner said:

    You can never tell how long it will take for a market fall to be recovered but we all know it will be. If you can keep your head in such turbulent times there are opportunities to be taken that will provide benefits over time.

    Markets can humble even the greats of investing

    The last lesson from 2021 comes from one of Australia’s most renowned fund managers, Magellan Financial Group‘s (ASX: MFG) Hamish Douglass.

    In a monthly update for December, Douglass addressed the underperformance of Magellan’s funds. The ASX investor admitted he had made a few mistakes during the year which led to the undesirable performance. When referencing this, Douglass said, “Markets can be very humbling…”

    This illustrates the unpredictable nature of investing. Sometimes even some of the most experienced people in the game make mistakes. However, like Douglass, investors can adjust accordingly. If anything, this serves as a reminder that ASX investors can still succeed in the long run, despite some hiccups along the way.

    The post What are some key lessons for ASX share investors at the end of 2021? appeared first on The Motley Fool Australia.

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    Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

    *Returns as of August 16th 2021

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    Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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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