• The Sydney Airport (ASX:SYD) share price has gained 37% in the last 6 months

    A girl runs along with her kite flying high in the sky.

    The Sydney Airport Holdings Pty Ltd (ASX: SYD) share price has been flying these last 6 months.

    Shares in Australia’s largest airport are currently trading for $7.91. Over the last 6 months, Sydney Airport shares have outpaced the S&P/ASX 200 Index (ASX: XJO) 37% to 12%. This is despite the challenges the company has faced due to the COVID-19 pandemic.

    Let’s see what’s been happening the last 6 months.

    Sydney Airport shares are in the sky

    The story that had the biggest impact on the Sydney Airport share price is undoubtedly the $23 billion takeover bid the company received in July.

    On the day of the announcement, Sydney Airport shares rocketed 37% to $7.78 each. Since then, shares have gone even higher – reaching a new 52-week high of $8.04 at one point. The company’s board ultimately rejected the bid, claiming it “undervalued” the company and was “opportunistic”.

    The consortium took a second bite of the cherry about 3 weeks ago, but this bid too was dismissed.

    Another possible reason for the rising Sydney Airport share price may be increasing optimism among investors about ASX travel shares. Australia’s rapidly progressing vaccine rollout is pushing the nation closer to reopening its international borders and ending domestic travel restrictions. This is supposed to happen when 80% of the eligible population has received both doses of an approved coronavirus vaccine. The most recent figures suggest we should hit this number by the end of the year.

    You can see this surging optimism in other popular ASX travel shares – at least over the last 5 days. While the ASX 200 has fallen 0.06% in this time. The Qantas Airways Limited (ASX: QAN) share price is up 6.89%, while the Flight Centre Travel Group Ltd (ASX: FLT) is 12.6% higher in this time.

    Sydney Airport share price snapshot

    Over the last 12 months, the Sydney Airport share price has risen an even more impressive 41.76%. Year to date, shares in the airport have appreciated 23.4%. Sydney Airport Holdings has a market capitalisation of $21.3 billion.

    The post The Sydney Airport (ASX:SYD) share price has gained 37% in the last 6 months appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Sydney Airport right now?

    Before you consider Sydney Airport, 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 Sydney Airport 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 Marc Sidarous 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 Flight Centre Travel 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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  • AGL (ASX:AGL) share price falls amid fresh climate credentials pressure

    woman holds sign saying 'we need change' at climate change protest

    The AGL Energy Limited (ASX: AGL) share price is slipping this morning following reports it’s facing increased pressure to set better climate targets.

    An upcoming shareholder resolution has reportedly received support from a proxy advisor. The advisor is apparently urging AGL shareholders to vote in favour of a motion demanding AGL implement climate targets for the short, medium, and long term prior to its planned demerger.

    Right now, the AGL share price is $6.26, 1.26% lower than its previous close.

    Let’s take a closer look at the rumoured shareholder resolution.

    AGL under increasing climate pressure

    The AGL share price is falling as a push for the company to improve its climate-related disclosures reportedly gains traction.

    The resolution was brought about by the Australasia Centre for Corporate Responsibility (ACCR) last month.

    It could see shareholders pressuring the company to disclose emissions reduction targets. It also asks AGL to detail how its proposed demerged companies’ capital expenditure will align with said targets. Finally, the ACCR is calling for AGL to answer how the companies’ remuneration policies will incentivise progress towards the targets.

    According to reporting by The Australian, proxy advisor Institutional Shareholder Services (ISS) has told its investors it’s supporting the resolution. Further, it has supposedly recommended its shareholders vote in favour of the ACCR’s push.

    It reportedly stated the resolution would help inform shareholders about AGL’s demerger ahead of a shareholders’ vote on the split. The publication quoted the advisor as saying:

    [A]dditional disclosure is needed regarding the expected assumptions on future power prices and maintenance and fuel cost and demand for fossil fuel power generation.

    AGL recently announced shareholders will have the chance to have their voice heard on the climate reporting of both AGL Australia and Accel Energy at their first respective annual general meetings. The AGL share price gained 0.7% on the back of the news.

    Additionally, an AGL spokesperson stated AGL plans to set separate climate commitments for Accel Energy and AGL Australia. They said:

    (Climate commitments will enable) each business to focus on their respective strategic opportunities and challenges presented by the accelerating energy transition.

    However, ISS’s reportedly urging investors to push the company to provide clear climate goals sooner. It said doing so will help them understand AGL’s climate risks ahead of the major shakeup.  

    AGL share price snapshot

    The AGL share price has fallen 47% in 2021. It is also currently 58% lower than it was this time last year.

    The post AGL (ASX:AGL) share price falls amid fresh climate credentials pressure appeared first on The Motley Fool Australia.

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

    Before you consider AGL 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 AGL 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.

    *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. 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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  • How to invest in Microsoft for less than the cost of “NBA 2K22”

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

    2 friends playing a video game

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

    In the past few years, investing in the stock market has become easier and cheaper due to the rise of online brokerages like Robinhood Markets and commission-free investing, as many brokerages have eliminated the fees that were charged for making trades.

    It’s also become more accessible to a broader range of investors through the introduction of fractional shares investing. This concept, which some brokerages call “stock slices” or “stocks by the slice,” allows people to buy fractions of a share as opposed to the whole stock. This enables investors with limited funds to invest in some of the most popular stocks on the market, like Microsoft (NASDAQ: MSFT), even if they are offered at prices that some would normally consider to be out of reach.

    NBA 2K22 or Microsoft?

    As measured by valuation, Microsoft is the third-largest company in the world with a market cap of over $1.8 trillion. Its stock currently trades at $301 per share, meaning it costs that much to buy just one share of the technology giant. The stock price was up about 35% year-to-date through Sept. 1, and over the last three years it has almost tripled in value. In September 2018, you could have bought shares of Microsoft for about $108 per share.

    Microsoft, of course, owns the video gaming brand Xbox. Next week, Xbox comes out with the latest edition of one of its more enduring and popular games, NBA 2K, which simulates the NBA professional basketball league. On Sept. 10, Xbox will release NBA 2K22, an eagerly anticipated simulation of the upcoming NBA season. The game will be sold at GameStop and other retailers for $59.99, with a special 75th anniversary of the NBA edition going for $99.99.

    Millions of fans of the NBA 2K series will plunk down either $60 or $100 on Sept. 10 to play the latest edition of this game, which includes updates of all the current players, including rookies, and their teams. Those more interested in the game maker than the game might instead invest that money in Microsoft. Here’s how.

    A slice of Microsoft, for a fraction of the cost

    Fractional shares, or stock slices depending on which brokerage you use, let you invest basically any dollar amount you want, regardless of the share price. So, if Microsoft is trading at $301 per share, that may be too expensive for some investors to buy a few shares, particularly those starting out. Just three shares of Microsoft at that price will cost over $900.

    But for the cost of NBA 2K22, or the special edition, you could invest in Microsoft by buying fractional shares. This is also known as dollar-based investing, meaning you invest any dollar amount you want, and it buys whatever fraction of the share that represents. So a $60 investment in Microsoft through this method would buy you roughly 20% of one share of Microsoft. The beauty of it is, your returns match the returns for the entire share — so if Microsoft’s stock price goes up 35% this year, your fractional share appreciates at the same rate.

    You could use that $60 to buy a few shares of a much lower-priced stock, but you may be taking more of a chance on a stock that’s less established and not a market leader and one of the most successful companies in history, like Microsoft. Consider its consistency — over the last 10 years, Microsoft has averaged a nearly 28% increase in annual earnings.

    So, before you put down that $60 for the latest edition of NBA 2K, consider putting that money into fractional shares of Microsoft. Plus, if you wait a few months, the price of NBA 2K22 will drop or you can buy it used for less — making this investment alternative a bigger potential win-win. 

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

    The post How to invest in Microsoft for less than the cost of “NBA 2K22” appeared first on The Motley Fool Australia.

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

    Before you consider Microsoft, 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 Microsoft 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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    Dave Kovaleski has no position in any of the stocks mentioned. Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Microsoft. 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.

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

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  • The Woodside Petroleum share price is up just 2.5% in a year. Here’s why

    energy asx share price flat represented by worker in hi vis gear shrugging

    It’s been a difficult past twelve months for the Woodside Petroleum Limited (ASX: WPL) share price. Shares in the Aussie energy giant have edged just 2.5% higher in that time while the S&P/ASX 200 Index (ASX: XJO) has gained 25.3%.

    So, what’s driving the oil and gas producer’s valuations right now?

    Why the Woodside Petroleum share price is up just 2.5% in the past year

    Global crude oil prices have bounced around ever since the COVID-19 pandemic kicked off in early 2020. However, both Brent and WTI Crude prices have been broadly trending higher in the last 12 months.

    That hasn’t been reflected in the Woodside Petroleum share price recently. Shares in the oil and gas giant hit a 52-week high of $27.60 per share on 20 January 2021.

    Unfortunately for shareholders, things have been largely downhill since then. The ASX energy share has fallen 29.4% lower in the intervening months to $19.48 per share at the time of writing.

    To be clear, Woodside still boasts a $19 billion market capitalisation and is Australia’s largest independent oil and gas producer.

    It’s set to become even larger amid a merger with BHP Group Ltd (ASX: BHP)’s petroleum division. The proposed all-stock merger will see Woodside own 52% of the merged entity as part of a push to create a global top 10 independent energy company.

    The Woodside Petroleum share price has been sliding lower since merger talks surfaced in mid-August. Investors appear sceptical of the transaction’s value as it aims to deliver a portfolio of long-life LNG assets and a high margin oil portfolio.

    That valuation slump has occurred despite Woodside generating US$311 million in FY21 free cash flow and a $317 million net profit after tax.

    Foolish takeaway

    The Woodside Petroleum share price is one to watch in the months ahead. Shares in the Aussie energy share have been up and down this year and the BHP merger only adds more intrigue to one of Australia’s largest listed companies.

    The post The Woodside Petroleum share price is up just 2.5% in a year. Here’s why appeared first on The Motley Fool Australia.

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

    Before you consider Woodside, 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 Woodside 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 Ken Hall 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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  • How is the ANZ (ASX:ANZ) share price performing against its sector in 2021?

    A little brother and big brother stare back at each other, both have their arms crossed.

    The Australia and New Zealand Banking Group Ltd (ASX: ANZ) share price surged to a multi-year high last month. The potential permanent reopening of Australia’s economy following the accelerated vaccination program has led to positive investor sentiment.

    Similarly, shares in the other big banks, Commonwealth Bank of Australia (ASX: CBA)National Australia Bank Ltd. (ASX: NAB), and Westpac Banking Corp (ASX: WBC), have also advanced.

    ANZ shares are up 23% in 2021. In comparison, CBA shares are hovering around 24% higher, with NAB and Westpac up 26% and 34%, respectively.

    When measured against the S&P/ASX 200 Index (ASX: XJO), the index has risen about 14% over the same period.

    What’s driving ANZ shares forward?

    There are a couple of reasons why the ANZ share price has moved forward in recent times.

    First and foremost, the bank released its third-quarter business update to the market on 18 August.

    ANZ highlighted its CET1 ratio came in at 12.2%, a slight reduction from the 12.4% recorded in the previous period. In addition, the $1.5 billion buyback, which commenced on 4 August, is expected to reduce its CET1 ratio by 35 basis points.

    The company also revealed a total provision release of $32 million for the quarter. This comprises an individual provision charge of $21 million and a collective provision release of $53 million.

    The provision balance stood at $4.25 billion, with a collective provision coverage ratio of 1.24%.

    In terms of the COVID-19 impact, ANZ noted that it has handed out roughly 1,300 customer loan deferrals during the current lockdown. This reflects about $600 million in value or 0.2% on its total home loan portfolio.

    The other possible catalyst for the ANZ share price rise is, as mentioned above, Australia’s speedy vaccination program. The federal government has acknowledged that once vaccination targets of 70% are met, relaxed restrictions will follow. This will see businesses get back to work and restart Australia’s economy. In turn, people will be able to service their loans, and the default rates will drop.

    A number of brokers weighed in on the company’s share price last month with similar price points.

    Analysts at Goldman Sachs raised their outlook on ANZ shares by 0.8% to $30.74. However, JPMorgan recently cut its price target by 4.9% to $29.10 with a “neutral rating”.

    ANZ share price snapshot

    It’s been a blissful 12 months for ANZ shareholders, with the share price posting a multi-year high of $29.64 on 13 August.

    When looking at a longer time frame, the company’s share price is up around 85% since March 2020.

    ANZ commands a market capitalisation of roughly $79.9 billion, making it the sixth-largest company on the ASX.

    The post How is the ANZ (ASX:ANZ) share price performing against its sector in 2021? appeared first on The Motley Fool Australia.

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

    Before you consider ANZ, 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 ANZ 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 Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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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  • Woolworths (ASX:WOW) share price on watch after its big green promise

    Woolworths share price sustainable bonds Young farm workers chatting in large green field

    Environmentally conscious investors can rejoice as the market passes judgement on the Woolworths Group Ltd (ASX: WOW) share price after it announced plans to issue sustainable bonds.

    Our largest supermarket chain is looking to raise €500 million ($798 million) through a bond issue that’s linked to emission targets, reported the Australian Financial Review.

    There’s no better place to sell these bonds than in Europe – a region miles ahead when it comes to global warming issues.

    Woolworth share price looking for sustainability

    This is the first time that Woolworths is issuing sustainable bonds. While it sold $400 million in green bonds two years ago, the two are structured differently.

    The green bonds were to fund green projects. On the other hand, the sustainable bonds will reward Woolworths for hitting pre-set emission targets with cheap debt, while punishing it with penalty payments if it doesn’t.

    The capital from the sustainable bonds is to help fund recent acquisitions. Woolworths bought majority stakes in data analytics firm Quantium and PFD Food Services, reported the AFR.

    Cutting emissions is good for the Woolworths share price

    There are two scopes to the target (areas where the reduction in carbon emissions will come from). The first is from Woolworth’s own business. The second is from its supply chain.

    Installing solar panels on their buildings and sourcing green energy is one way for the company to reduce its scope one emissions. Installing more energy efficient lights and equipment at its stores is another.

    Meanwhile, ensuring that distribution centres and suppliers have energy saving initiatives will help Woolworths meet its goal.

    Emission targets to trigger Woolies rewards

    The target is to cut emissions by 63% compared to its 2015 levels by 2030. This should please most ESG conscious investors as this is modelled to meet the Paris Agreement. The agreement is to limit global warming to well below 2 degrees Celsius (preferably to 1.5 degrees Celsius).

    The Woolworth share price closed at $40.54 on Tuesday and is up 28% over the past year.

    Foolish takeaway

    While this is the first time that Woolworths is using such a bond, other companies on the S&P/ASX 200 Index (Index:^AXJO) have issued similar bonds. These include engineering group Worley Ltd (ASX: WOR) and retail conglomerate Wesfarmers Ltd (ASX: WES).

    Sensible Aussies will want to see more ASX 200 shares use this funding mechanism too. While many Australian companies have set ambitious targets, some experts warn that these companies won’t be able to meet the targets.

    It’s no point making grand statements about reducing emissions unless there’s better accountability. Sustainable bonds are one way for investors to dangle a carrot while holding a stick.

    What would also be great if management and board bonuses are also tied to emission goals – not just profit targets.

    The post Woolworths (ASX:WOW) share price on watch after its big green promise appeared first on The Motley Fool Australia.

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

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    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 Brendon Lau owns shares of WorleyParsons Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of 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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  • Why Tesla stock stomped on the gas on Tuesday

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

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

    What happened

    Shares of Tesla (NASDAQ: TSLA) had roared ahead by 3.3% at 10:30 a.m. EDT on Tuesday, and there might be three reasons this is happening.

    So what

    Let’s address the first two reasons: On Friday, before the holiday weekend, ARK Invest founder Cathie Wood reportedly told investors that because Tesla’s share of the electric car market “has actually gone up fairly dramatically around the world,” she now believes that the stock could be worth $3,000 a share by 2025 instead of the $755 or so that it costs today.  

    Then, CEO Elon Musk apparently told his employees in an email that he agrees with Wood and that the company could be selling between 5 million and 10 million vehicles a year by 2025 if Tesla “execute[s] really well.”  

    Now what

    Diligent Tesla-watcher Electrek was the news outlet that got hold of Musk’s email to his employees, and reported the CEO’s comments. And this brings us to the third reason Tesla stock could be going up today.  

    This morning, Electrek reported that a new version of Tesla’s Full Self-Driving (FSD) autonomous car software, version FSD Beta 9, is “being passed around” among participants in Tesla’s early access program.

    That doesn’t mean that the new version is ready for deployment, or even that it will be released by the end of September, as Musk has promised. But it does mean that Tesla is getting the software ready for release, and that some folks at least are already able to use it.

    Combined with the optimistic sales projections, that seems to be enough to get Tesla investors excited today.

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

    The post Why Tesla stock stomped on the gas on Tuesday appeared first on The Motley Fool Australia.

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

    Before you consider Tesla, 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 Tesla 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

    More reading

    Rich Smith has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Tesla. 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.

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

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  • Here’s why the SDI (ASX:SDI) share price is up almost 40% this year

    A young woman smiling and looking happy, indicating a positive share price movement on the ASX market

    Shares in dental materials company SDI Limited (ASX: SDI) have been among the standout performers on the ASX so far in 2021. The SDI share price has climbed almost 40% year to date according to Google Finance, to $1.07 at yesterday’s close.

    The impressive gains are on the back of a huge jump in net profit this financial year. This is a sign that many jurisdictions in which the company operates are beginning to rebound from COVID-19.

    Company background

    SDI (which stands for Southern Dental Industries) develops specialist products for the dental industry. This includes teeth whitening equipment, adhesives and cements, and composite materials used for fillings, tooth repair and restoration.

    SDI was founded in Victoria back in 1972, and the company still manufactures its products there. However, it has now grown into a company with a global reach, selling its products in over 100 countries. It also now has international offices and warehouses located in the United States, Germany and Brazil.

    Recent financials

    SDI released its FY21 financial results to the market on 20 August. SDI reported sales of $81.6 million in FY21, a year-on-year jump of more than 21%. Earnings before interest, tax, depreciation and amortisation expenses (EBITDA) jumped almost 72%. While net profit after tax (NPAT) rocketed 111% higher (to $8.9 million).

    Most of the sales growth came from overseas markets. North American sales were up almost 40% and European sales up a little over 35% (in Australian dollar terms). By comparison, Australian sales (including direct exports) only increased 4.1% year on year. This shows how the relative easing of pandemic restrictions has affected sales across the different regions.

    SDI CEO Samantha Cheetham commented on the result:

    Throughout this year, the restrictions in many markets began to be eased and we saw a gradual opening up of dental practices. The initial pent-up demand we have spoken about was evident and, as we ended the financial year with many regions operating closer to normal, we have seen steady increases with new products releases key to our momentum as we exited the financial year.

    The company also ended the financial year with a relatively healthy balance sheet. It reported net cash of $10.6 million and no debt.

    Recent moves in the SDI share price

    The SDI share price really started to gather some steam at the beginning of May, after the company released a trading update for FY21. The company said that it was seeing a return to more normal conditions in many of its overseas markets and estimated that after-tax profit would be in the range of $7.5 million to $8.5 million.

    There was a further big jump in the share price at the beginning of August. Perhaps some analysts began to suspect SDI might exceed its own earnings estimates, particularly as the US and the UK markets continued to open up. Since the beginning of August, the SDI share price has risen almost 20%.

    It is worth noting that SDI only has a market capitalisation of a touch over $125 million, which makes it a very risky investment. However, SDI is at least posting a profit – something which big-name market darlings like Afterpay Ltd (ASX: APT) have yet to do.

    The post Here’s why the SDI (ASX:SDI) share price is up almost 40% this year appeared first on The Motley Fool Australia.

    Should you invest $1,000 in SDI Limited right now?

    Before you consider SDI Limited, 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 SDI Limited 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 Rhys Brock owns shares of AFTERPAY T FPO. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended AFTERPAY T FPO. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO. The Motley Fool Australia has recommended SDI 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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  • Why the NAB (ASX:NAB) share price has beaten the ASX200 in the last 3 months

    family putting coins into piggy bank

    The National Australia Bank Ltd (ASX: NAB) share price has been on fire recently.

    In the past 3 months, shares in the banking giant have surged more than 7%.

    By comparison, the broader S&P/ASX 200 Index (ASX: XJO) has only managed to scrape 3.8% higher during the same period.  

    So, what’s been fuelling the NAB share price?

    Here’s why the NAB share price is flying

    There have been several catalysts that have helped propel shares in NAB higher over the past 3 months.

    Last month, NAB released a third-quarter update highlighting its unaudited statutory net profit of $1.65 billion.

    In addition, the bank revealed unaudited cash earnings of $1.70 billion, which were broadly in line with results from the first half of FY21.

    NAB also made headlines last month after announcing its intention to acquire Citigroup Inc’s (NYSE: C) Australian consumer business. 

    The bank intends to acquire the business for the price of its net assets plus a premium of $250 million.

    Shares in NAB also received a boost in late July, after the bank announced a share buy-back program.

    The banking giant advised that it would buy back up to $2.5 billion of its ordinary shares on-market.

    NAB’s management highlighted that the share buy-back is the most appropriate way to return funds to shareholders.  

    Snapshot of the NAB share price

    In addition to a stellar past 3 months, the NAB share price has also had an outstanding year thus far.

    Shares in the banking giant have surged more than 26% since the start of 2021 and are currently nudging 52-week highs.

    Additing to its slew of positive news, NAB has also been on the receiving end of favourable broker coverage.

    Most recently, leading broker Goldman Sachs labelled the banking giant as a top option for income investors.

    Analysts from the broker cited improved trading conditions, cost management initiatives and Citi acquisitions.

    As a result, the broker imitated a buy rating and issued a $30.62 share price target on the bank’s shares.

    Shares in NAB closed yesterday’s trading session at $28.67.

    The post Why the NAB (ASX:NAB) share price has beaten the ASX200 in the last 3 months appeared first on The Motley Fool Australia.

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

    Before you consider NAB, 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 NAB 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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    Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Nikhil Gangaram 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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  • 2 buy-rated ASX dividend shares with attractive yields

    asx dividend shares represented by tree made entirely of money

    As was expected, on Tuesday the Reserve Bank of Australia kept the cash rate on hold at the record low of 0.1%. Unfortunately, this is expected to remain the case until at least the end of next year.

    In light of this, dividend shares look set to remain one of the best ways to earn a passive income for the foreseeable future.

    But which dividend shares could be top options today? Here are two to look at:

    Coles Group Ltd (ASX: COL)

    The first ASX dividend share to look at is this supermarket giant. It could be worth considering due to its strong market position, focus on automation, and cost reduction plans. Analysts at Morgans are fans of the company. They currently have an add rating and $19.80 price target on its shares.

    The broker is also forecasting dividends of 61 cents per share in FY 2022 and then 62 cents per share in FY 2023. Based on the current Coles share price of $17.70, this represents yields of 3.4% and 3.5%, respectively, over the next two years.

    Transurban Group (ASX: TCL)

    Another ASX dividend share to look at is Transurban. It is a toll road operator with a portfolio of important roads throughout Australia and North America. While traffic volumes have been impacted by the pandemic and recent lockdowns, they are expected to rebound once trading conditions return to normal.

    For this reason, the team at Ord Minnett believes it is worth sticking with the company. Its analysts currently have a buy rating and $15.50 price target on its shares. The broker is also forecasting dividends of 36.5 cents per share in FY 2022 and then 48.4 cents per share in FY 2023. Based on the current Transurban share price of $14.33, this will mean yields of 2.5% and 3.4%, respectively.

    The post 2 buy-rated ASX dividend shares with attractive yields appeared first on The Motley Fool Australia.

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

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    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

    More reading

    Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of 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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