Telstra Corporation Ltd (ASX: TLS) has reacted angrily to a suggestion from the federal government that Optus and TPG Telecom Ltd (ASX: TPG) be set aside spectrum while it misses out.

Spectrum is a range of wireless frequency that can be used for many technologies, including broadcast radio and mobile phone networks. 

Communications minister Paul Fletcher revealed the plan in a letter he wrote to the Australian Competition and Consumer Commission (ACCC) late last year, as first reported by iTnews.

“I believe there are grounds to guarantee 2×5 MHz of spectrum for Optus and TPG Telecom in the 900 MHz band,” the letter reads.

The spectrum in question will be auctioned to allow telecommunications companies to keep 3G mobile services running. Regional and rural areas in Australia rely on this for complete cellular phone coverage.

Fletcher’s proposal did not guarantee any spectrum for Telstra, but did ask for ACCC’s opinion on whether that’s okay.

Telstra responded strongly to the plan, saying it was firmly against any scheme to guarantee spectrum for its competitors.

“This would be an unprecedented and extremely aggressive regulatory intervention, fundamentally distorting the market and utterly inconsistent with the proposition market forces should determine the highest-value use for spectrum,” the company stated in a submission to the ACCC.

TPG and Optus say the plan merely evens the playing field

Understandably, TPG and Optus loved the minister’s plan. They see it as levelling the playing field to counter Telstra’s historical advantage.

Singapore Telecommunications Limited-owned Optus, through its submission, stated the current holdings of low-band spectrum were “not balanced”.

“There is a risk that absent allocation limits, low-band spectrum could be concentrated in the hands of a single player. Such an outcome would not be good for competition or the interests of Australian consumers and businesses.”

TPG has even suggested it should receive the guaranteed spectrum at the “starting price” of the auction.

“Prior to the merger that formed TPG (in May 2020), the distribution of sub-1 GHz spectrum was skewed heavily in favour of Telstra across most of Australia,” the telco stated in its submission.

“The concentration in sub-1 GHz holdings has been a key factor behind Telstra’s enduring dominance of the mobile services market.”

If TPG and Optus are provided a discount to the free-market auction price, Telstra has argued it should also receive a proportional cut to any of its bids.

Telstra shares were down 0.8% at the time of writing on Monday afternoon. TPG had also fallen, by 0.28%.

More reading

• This ASX company’s in a comfy duopoly with NBN
• Broker lists the best ASX stocks to own for an up to 30% gain in 2021
• Think you saw growth in 2020? Just wait for 2021: fundie
• ASX 200 Weekly Wrap: ASX drops despite promises of more US stimulus
• 2 ASX dividend shares with yields over 5% right now

Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra 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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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.

Netflix Inc (NASDAQ: NFLX) lost some valuable content rights on 1 January this year. Fans of The Office can no longer watch the series on the service. They’ll have to subscribe to Comcast Corporation‘s (NASDAQ: CMCSA) Peacock in order to catch Michael Scott’s antics. 

That’s a big loss for Netflix. US subscribers streamed 57.1 billion minutes of the sitcom last year, according to Nielsen. That’s by far the most popular of any show on streaming platforms.

While it’s a big loss for Netflix, it remains to be seen how much of The Office‘s popularity was due to Netflix and how much the series actually drew an audience to the streaming service. Peacock’s hoping it’s the latter, but the rest of Nielsen’s data suggests the show’s recent resurgence has more to do with Netflix’s strength.

What will Netflix subscribers watch?

While The Office was by far the most popular content on any of the streaming services tracked by Nielsen, the list was dominated by Netflix. See the top 10 shows by minutes streamed in the US last year (original series in bold):

Title	Platform	Minutes Streamed (millions)
The Office	Netflix	57,127
Grey’s Anatomy	Netflix	39,405
Criminal Minds	Netflix	35,414
Ozark	Netflix	30,462
NCIS	Netflix	28,134
Schitt’s Creek	Netflix	23,785
Supernatural	Netflix	20,336
Lucifer	Netflix	18,975
Shameless	Netflix	18,218
The Crown	Netflix	16,275

Data source: Nielsen. Chart by author.

Notice a pattern?

Netflix completely dominates streaming time across genres and target audiences. It has also managed to get some of its originals in the top 10 despite having fewer episodes of them than the long-running, licensed series that make up most of the list.

The company is capable of pushing users to whatever content it believes will maximise the efficiency of its content spending in the long run. Remember Tiger King? It has the best billboard in the business – the streaming platform’s home screen. “It turns out the best place to talk to [subscribers] about Netflix is on Netflix,” co-CEO Ted Sarandos said on the company’s second-quarter earnings call in July.

In addition, with so much data on its subscribers’ viewing habits, Netflix will be able to maintain engagement even after losing The Office or any other licensed series. No one piece of content makes Netflix.

Will stronger competition hurt Netflix?

While Netflix could certainly stomach losing its top content in a vacuum, the reality is The Office and other top content are going to its competitors. As mentioned, the most-streamed series of 2020 is now on Peacock. Additionally, Disney (NYSE: DIS) pulled its films from Netflix over the last few years in preparation for Disney+.

Disney is already showing off the strength of its library and its ability to attract subscribers and increase engagement. Disney+ has 87 million global subscribers as of last month.

Shows like The Mandalorian are a big reason why. In fact, The Mandalorian was the most-streamed series in Nielsen’s most recent weekly tabulation, besting The Office. And this was for a week in mid-December, so the series was still on Netflix at the time.

But Disney’s success with original series and films may be more a product of its excellent marketing and messaging around Disney+. Millions of consumers were planning to sign up for Disney+ well before the public knew about Baby Yoda. The ability to get a series like The Mandalorian in front of an audience may have been more instrumental in making it popular than the content itself.

That’s where Comcast may face a challenge. The company said Peacock had already signed up 26 million accounts as of last month. That’s a sizable audience, to be sure. But management remains quiet around how much engagement it’s seeing. Investors should look for an update when Comcast reports its fourth-quarter results later this month.

Where Netflix’s advantage lies is in its ability to spend its content budget more efficiently than competitors thanks to its large subscriber base and bounty of viewer data. Comcast paid $500 million for the streaming rights to The Office. Netflix can likely get the same level of engagement from far less spending because of its home-screen billboard. 

That gives Netflix more flexibility in its content budget and ensures it doesn’t have to overspend, while other streaming media companies spend big in hopes of attracting an audience. Ultimately, that’ll show up in Netflix’s cash flow as it retains and adds subscribers without spending more than it has to on content.

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

More reading

• Netflix earnings: 3 trends to watch
• Why Disney stock gained 22% in December
• 3 mammoth IPOs of 2020
• FAANG stocks make their case to lead the Nasdaq in 2021
• The top streaming stocks to buy in 2021

Adam Levy owns shares of Netflix and Walt Disney. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Netflix and Walt Disney. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Comcast. The Motley Fool Australia has recommended Netflix and Walt Disney. 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The Silex Systems Ltd (ASX: SLX) share price is sliding lower today on news the United States government has approved the restructure of GE-Hitachi Global Laser Enrichment (GLE).

At the time of writing, the nuclear energy technology developer’s shares are down 8.75% to $1.46.

The Silex share price has fallen today, despite the positive announcement. Could the share sell-down be due to investors already factoring in the outcome, which was first revealed on 8 January?

What’s driving the Silex share price today?

In today’s release, Silex advised it has formally received notice from the US Treasury Department Committee on Foreign Investment in the United States (CFIUS) to approve the transaction to restructure GLE.

The notice stated the CFIUS investigation found no national security concerns with the restructure. The latest approval now means that Silex has the go-ahead to proceed with its investment of GLE.

Silex will acquire a 51% stake, with uranium and nuclear fuel supplier Cameco to increase its interest from 24% to 49%.

As the deal draws close to being finalised, Silex, Cameco and GE-Hitachi Nuclear Energy (GEH) will shut down the membership interest purchase agreement (MIPA). Executed in December 2019, the joint agreement originally saw the purchase of GEH’s 76% interest in GLE.

It is expected that the closure of MIPA will be concluded in the next few weeks.

Words from the CEO

Silex CEO and managing director Dr Michael Goldsworthy welcomed the news, saying:

The receipt of approval from CFIUS for the GLE transaction represents a significant milestone for Silex and reflects the dedicated efforts by the Silex team, our colleagues at Cameco and GEH, along with many representatives within the US Government, and we thank everyone for their contribution.

More reading

• Why the Silex (ASX:SLX) share price is soaring 25% today

Motley Fool contributor Aaron Teboneras 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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As every saver (and mortgage holder) would know, interest rates have never been lower. One of the hallmarks of the government’s response to the coronavirus recession last year was unprecedented monetary policy. Interest rates were already at ‘record lows’ before the pandemic. But as the economy ground to a halt last year, the Reserve Bank of Australia (RBA) found new meaning in that phrase. As it stands today, the official cash rate is sitting at just 0.1%, which is, for all intents and purposes, zero.

According to the RBA though, this new meaning for ‘record low’ wasn’t enough. It also implemented, for the first time in Australia’s history, a new quantitative easing (QE) program. This is what some investors call ‘printing money’. QE involves the RBA purchasing government bonds. This is intended to boost liquidity in the financial system as well as to keep real interest rates as low as possible.

A happy side effect is that it helps Australians (investors in particular) ‘feel richer’ by inflating asset prices as a result. Assets like property and yes, the S&P/ASX 200 Index (ASX: XJO) and ASX shares. If we feel richer, we tend to spend more money, which in turn helps economic growth.

Sounds great, right?

Is the RBA’s QE free money?

Well, as we all know, there is no such thing as a free lunch.

According to a report in the Australian Financial Review (AFR) today, the RBA is on the watch for some not-so-positive side effects from its recent monetary action. The report claims that “confidential analysis” by the RBA reveals that the central bank is on “high alert” for a “credit-fuelled asset bubble” caused by ultra-low borrowing costs.

The analysis notes that the RBA’s view is that high unemployment is currently the largest threat to the economy, and that low rates are currently helping prop up savings and demand, as well as depressing the Australian dollar, thus nullifying this threat.

However, the RBA analysis also warns that, “a permanent 1 percentage point cut in the overnight cash rate would increase real house prices 30 per cent after about three years… If the interest rate reduction was temporary, house prices would rise 10 per cent over three years.”

It just so happens that RBA governor Dr Philip Lowe has stated that he “doesn’t expect” interest rates will rise from their current levels for “at least” 3 years.

For the meantime, the report states that:

[The RBA views] high unemployment as the biggest risk to the economy, balance sheets and medium-term financial and macro stability, and lower interest rates can help reduce this risk… Unless there is evidence of a sharp jump in credit growth and risky lending – which it does not presently see – the RBA is relatively comfortable with rising house prices.

At the same time, the bank acknowledged that “some risks may increase due to low interest rates”.

No free lunch indeed!

More reading

• ASX dividends: Are miners the new bank shares?
• ASX 200 down 0.5%: JB Hi-Fi guidance impresses, Super Retail update, Ramsay surges
• Why the Premier Investments (ASX:PMV) share price is under pressure
• Why the QBE (ASX: QBE) share price has tanked 5% today
• Broker lists the best ASX stocks to own for an up to 30% gain in 2021

Motley Fool contributor Sebastian Bowen 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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Weighing up risk and uncertainty is everyday business for share investors.

But is there a difference, and what can you do about each?

Fortunately for The Motley Fool readers, SG Hiscock portfolio manager Hamish Tadgell this week settled this question once and for all.

“Risk is something you can price, based upon assumptions that you make,” he said in this week’s Ask A Fund Manager.

“Uncertainty is events that you can’t really price, because by its nature it’s uncertain and it [just] happens.”

For example, one risk is the chance of international and state borders opening up for travel. Investors considering buying Qantas Airways Limited (ASX: QAN) shares will be pricing this in when they decide how much to pay.

If you think border closures will last a couple of years, you will want a decent discount. While investors who are confident that travel will return to normal this year will be more confident about paying a few cents extra.

Uncertainty refers to unpredictable events that can’t be accurately or practically priced in.

COVID-19 is the prime example. This time last year no one would have known just a few weeks later economies would be shut down and share markets would be in freefall.

Tadgell told The Motley Fool that knowing the difference was critical to how his fund dealt with some crazy times in 2020.

“The question is how you deal with uncertainty – so our plan through COVID has been very much to look to buy strong, quality companies which have corrected, or which we think are looking more attractive,” he said.

“But also look to buy quality, cyclical stocks that are leveraged through a recovery, which we think will benefit. And then thirdly, look to sell out of things that we think are going to struggle to recover, or are going to be impacted from COVID permanently.”

Tadgell cited Aristocrat Leisure Limited (ASX: ALL) and SEEK Limited (ASX: SEK) as 2 stocks his team bought that were in the first category.

Somewhere in between risk and uncertainty

There are shades of grey in between though.

Fintech Tyro Payments Ltd (ASX: TYR)’s troubles this month could be interpreted as either.

The company’s card payment terminals were “bricked” en masse, forcing its small business clients to only accept cash from their customers or defect to a rival provider.

The problem could not be fixed remotely. So Tyro and its terminal supplier have had to physically collect defective devices and return them after repair.

Those who say that was “uncertainty” would argue that no one could have foreseen all those devices to suddenly crash out of action.

Then those who argue it was a manageable “risk”, like short seller Viceroy Research, would say that the event was inevitable because Tyro didn’t have sufficient business continuity processes in place.

Tyro’s shares have been in a trading halt since Viceroy’s report on Friday morning. The fintech’s management are currently busy working out a response — where we’ll find out whether they think it was a risk or uncertainty.

More reading

• Think you saw growth in 2020? Just wait for 2021: fundie
• Why the Tyro (ASX:TYR) share price is on watch today
• ASX 200 ends flat on Friday
• 3 blue chip ASX growth shares to buy
• Why Advance Nanotek, Polynovo, Resolute, & Tyro shares are dropping lower

Tony Yoo owns shares of Qantas Airways Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Tyro Payments. The Motley Fool Australia has recommended SEEK 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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With so many shares to choose from on the ASX, it can be hard to decide which ones to buy.

The good news is that brokers across the country are doing a lot of the hard work for you.

Three top shares that leading brokers have named as buys this week are listed below. Here’s why they are bullish on them:

BHP Group Ltd (ASX: BHP)

According to a note out of Macquarie, its analysts have retained their outperform rating and lifted the price target on this mining giant’s shares to $51.00. The broker made the move after marking to market commodities prices for the December quarter. In addition to this, the broker commented that it expects the copper price bull run to continue. This should be supported by a sky high iron ore price. The BHP share price is trading at $45.26 this afternoon.

Fortescue Metals Group Limited (ASX: FMG)

A note out of Ord Minnett reveals that its analysts have upgraded this iron ore miner’s shares to a buy rating with an improved price target of $29.00. According to the note, the broker has also marked to market its commodity forecasts. Ord Minnett is expecting a bumper result from Fortescue in FY 2021 and is particularly attracted to its strong free cash flow generation. This is expected to lead to generous dividend payments in the near term. The Fortescue share price is fetching $24.82 on Monday.

IDP Education Ltd (ASX: IEL)

Analysts at Morgan Stanley have retained their overweight rating and $24.00 price target on this student placement and language testing company’s shares. According to the note, the broker believes IDP Education is in a strong position for growth once the pandemic passes. This is due to pent up demand and the lessening of competition. In addition, the broker notes that a potential deal between IDP Education and the British Council regarding the distribution of the IELTS could be a big positive. The IDP Education share price is trading at $19.96 today.

More reading

• ASX dividends: Are miners the new bank shares?
• Can iron ore keep pumping the share prices of these ASX miners?
• Wilson Asset Management thinks these 2 ASX shares are a buy
• ASX 200 Weekly Wrap: ASX drops despite promises of more US stimulus
• ASX banks to steal the dividend crown from mining stocks by next year

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Idp Education Pty Ltd. 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 ASX and the S&P/ASX 200 Index (ASX: XJO) have long held a reputation as very income friendly for investors. Whether it’s our unique system of franking, or just a healthy love of a good dividend paycheque, the ASX is well-known for prioritising income over growth.

As an example, an ASX-based index exchange-traded fund (ETF) like the Vanguard Australian Shares Index ETF (ASX: VAS) currently has a trailing dividend yield of 2.75% (plus franking). Compare that to an American-focused ETF like the iShares S&P 500 ETF (ASX: IVV). That only offers a trailing yield of 1.52% on current pricing.

Historically, the largest drivers of the ASX 200’s income prowess have been the ASX banks. Namely the big four in Commonwealth Bank of Australia (ASX: CBA), Westpac Banking Corp (ASX: WBC), Australia and New Zealand Banking Group Ltd (ASX: ANZ) and National Australia Bank Ltd (ASX: NAB). In years gone by, it was not uncommon for those banking shares to consistently offer fully franked dividend yields ranging from 5% to 7%.

A banking dividend drought

But 2020 flipped that paradigm on its head. ASX banks were amongst the hardest hit shares last year, and a large part of that sell-off was likely driven by a sudden and severe drought of banking income. For the first time in decades, Westpac didn’t even pay an interim dividend. ANZ managed to, but it was delayed by several months. The dividends that the banks did manage to pay looked nothing like what investors were used to. Take NAB. In 2018, NAB paid out $1.98 in dividends per share. In 2019, that was down to $1.66. But in 2020, it was a miserly 60 cents per share all up.

On current prices, CBA is offering a trailing yield of just 3.52%, NAB at 2.53%, ANZ 2.47% and Westpac a depressing 1.46%.

Digging for dividends

But while the banks’ star has fallen somewhat, another has been rising over the past year or so. ASX resources shares have emerged as the new divas of the ASX dividend party.

Take BHP Group Ltd (ASX: BHP). The ‘Big Australian’ is up close to 34% since the start of November last year, yet still offers a trailing and fully franked dividend yield of 3.86% today. Rio Tinto Limited (ASX: RIO) is doing one better, offering a fully franked trailing yield of 4.82%. And Fortescue Metals Group Limited (ASX: FMG) is putting up a whopping fully franked 7.06% at the time of writing, despite rising almost 45% since the start of November as well.

So are miners the new banks?

Well, they certainly are right now, if the raw numbers are anything to go by. But the big question about what the future holds remains.

It’s worth noting that things are looking up for the banks as we start 2021. The Australian Prudential Regulation Authority has already removed the shackles on banking sector dividends that it imposed last year. If credit growth resumes in 2021 and beyond, the banks might well get back to paying the dividends of the past before too long. But keep in mind that near-zero interest rates aren’t exactly a turbocharger for banking growth. Only time will tell whether they can pull off a complete redemption.

Turning to resources shares once more, it’s also worth noting that these companies can only fund hefty dividends as long as commodity prices (namely iron ore) stay at the elevated levels we have seen in recent months.

Commodities, especially iron ore, are notoriously cyclical and volatile. And they can drop as fast as they can climb. Yes, iron ore is today fetching a healthy US$170 a tonne (roughly a 9-year high), rising from around US$150 just before Christmas. But it was only back in 2018 that we were seeing prices of just US$62 a tonne.

If we were to see that level again, you can bet that mining dividends would be far lower than what we see today.

Foolish takeaway

Every industry has its time in the sun, and banking and mining are no different. For the dividend investor weighing up banking and mining shares today, perhaps the only right answer is good old diversification.

More reading

• Leading brokers name 3 ASX shares to buy today
• Can iron ore keep pumping the share prices of these ASX miners?
• ASX 200 down 0.5%: JB Hi-Fi guidance impresses, Super Retail update, Ramsay surges
• Why the Premier Investments (ASX:PMV) share price is under pressure
• Why the QBE (ASX: QBE) share price has tanked 5% today

Motley Fool contributor Sebastian Bowen owns shares of National Australia Bank Limited. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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There are some exchange-traded funds (ETFs) that are delivering returns that have been stronger than what the ASX index has been in recent years.

What is an exchange traded fund?

In the above link is a breakdown of an ETF, but in summary it provides investors exposure to a group of assets or businesses through a single investment. ETF providers do the hard work of buying all the different businesses for you.

It provides diversification instantly, whilst also saving a lot on brokerage. This diversification can supposedly lower risks because if there’s a problem with one business (or sector) then the exposure to the other businesses and sectors can mitigate that.

Here are two examples of ETFs that are in the technology space and are growing quickly:

Betashares Nasdaq 100 ETF (ASX: NDQ)

This ETF is about giving exposure to 100 of the biggest businesses that are listed on the NASDAQ.

Most of the biggest US technology businesses are actually listed on the NASDAQ. I’m sure you’re wondering which tech companies it holds in the portfolio. Those positions include: Apple, Microsoft, Amazon, Facebook, Alphabet, Nvidia, PayPal and Intel.

The large American technology companies get a large weighting from this ASX share. The businesses I mentioned above account for just over 50% of the portfolio.

There are also some slightly smaller technology holdings which are helping the returns of the ETF including Adobe, Netflix, Broadcom, Qualcomm, Texas Instruments, Advanced Micro Devices, Applied Materials, Intuit, Intuitive Surgical and MercadoLibre.

There are also some non-tech shares in the ETF as well including PepsiCo, Costco, Starbucks, Monster Beverage and Texas Instruments.

In terms of the annual management fee, it has yearly fee of 0.48%. That’s not as cheap as something like iShares S&P 500 ETF (ASX: IVV), but it’s cheaper than other ETFs like Betashares Asia Technology Tigers ETF (ASX: ASIA).

At 31 December 2020, the net returns of Betashares Nasdaq 100 ETF has been much stronger the ASX. Over the past year the ETF has returned 34.8%, over the past three years it has returned an average of 27.3% per annum, over the past five years it has returned an average of 22% and since inception in May 2015 it has returned an average of 21.4%.

Betashares Global Cybersecurity ETF (ASX: HACK)

This ETF is designed to give exposure to the world’s leading cybersecurity companies in a single ASX trade. BetaShares, the ETF provider, said that cybersecurity is under-represented on the ASX.

BetaShares also said that with cybercrime on the rise, the demand for cybersecurity services is expected to grow strongly for the foreseeable future.

The fund’s portfolio includes global cybersecurity giants, as well as emerging players, from a range of global locations.

There are a total of 40 businesses in the holdings. The top holdings include: Crowdstrike, Zscaler, Cisco Systems, Accenture, Splunk, Fireeye, Proofpoint, Palo Alto Networks, Snailpoint Technologies and F5 Networks.

A vast majority of the holdings in this ETF, almost 90%, are based in the US. Other countries that have a representation of 2% or more include the UK, Israel and Japan.

Betashares Global Cybersecurity ETF isn’t quite as old as the NASDAQ one, so it doesn’t have a 5-year history year yet. Over the past three years it has made an average return per annum of 25.6% and the net return was 36.75% over the last year. Since inception in August 2016, Betashares Global Cybersecurity ETF has made average returns per annum of 21.4%.

More reading

• 3 five-star ASX shares to buy in January
• 2 outstanding ASX ETFs to buy
• 3 quality ETFs for ASX investors to buy today
• 2 quality ETFs to buy for the long term
• Afterpay and Creso Pharma were among the most traded shares on the ASX last week

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of BETA CYBER ETF UNITS and BETANASDAQ ETF UNITS. The Motley Fool Australia owns shares of and has recommended BetaShares Asia Technology Tigers ETF. The Motley Fool Australia has recommended BETANASDAQ ETF UNITS. 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 Nova Minerals Ltd (ASX: NVA) share price is trading 7.5% higher today following the release of a project update and a letter from the CEO.

Today’s latest share price rally means Nova has now returned more than 233% in the last year. This is in contrast to the S&P/ASX 200 Index (ASX: XJO), which has seen a loss of 5.72% over the same period.

What’s pushing the Nova Minerals share price higher?

After temporarily entering a trading halt this morning, Nova Minerals released an update on its Thompson Brothers lithium project located in Manitoba, Canada. This project is owned by Nova’s unlisted subsidiary, Snow Lake Resources.

In the update, Nova outlines its intentions to advance the Thompson Brothers Project. The reasoning behind this decision relates to the recent strength in the lithium market.

Reportedly, Snow Lake Resources is commencing a preliminary economic assessment (PEA), anticipated to be completed over the coming months. Upon completion, a preliminary feasibility study (PFS) will be conducted to form a basis for gaining project development funding.

According to the announcement, upon re-evaluation of data on the Thompson Brothers Project, Snow Lake sees potential in updating the resource numbers. Currently, the resource is estimated to be 6.3 million tonnes at 1.3 lithium oxide, containing 86,940 tonnes of lithium oxide.

Lastly, Nova Minerals noted that Snow Lake has commenced the necessary procedure to list on a New York exchange.

CEO readying for an eventful year ahead

In this morning’s letter, Nova CEO Mr Christopher Gerteisen included a recap of 2020’s highlights, as well as a look at the company’s areas of focus for 2021.

As per the CEO’s letter, 2020 highlights include:

• 3.3 million ounces interim gold resource at Estelle
• Created the premier large scale gold developer
• Strong safety and environmental performance with proactive implementation of COVID-19 “test, trace, isolate” policies
• Phase 1 Leach studies demonstrate exceptional gold leach recoveries averaging 76% at the Korbel deposit
• Continued Exploration Success with priority targets set on the Estelle Gold Property to increase ounces significantly.

After what the company labels a successful year of growth, the focus for 2021 is to continue expansion. Nova remains determined to be the next low-cost gold producer in Alaska. Consequently, the miner plans to build upon the existing Estelle Gold Project and identify new targets.

Mr Gerteisen closed the letter with the following remarks:

This is a transformational time for Nova Minerals with an interest in two company-making assets moving at the same time at different stages in with key minerals in long term bull markets, with the two holding significant near-term upside and further value creation over the long term. I am committed to delivering on our objectives, meeting your expectations, maintaining open communication, and delivering on our value creation strategy.

Based on the current Nova Minerals share price, the company’s market capitalisation now comes in at $287 million.

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

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The ClearVue Technologies Ltd (ASX: CPV) share price is falling today. This comes after the technology company announced changes to its executive team.

At market open, the company’s shares kicked off at 31 cents before plummeting to around 26 cents and stabilising momentarily.

At the time of writing, the ClearVue share is down 14.5% to 26.5 cents.

What happened?

ClearVue advised that its interim CEO Kenan Jagger has handed in his resignation notice.

While Mr Jagger serves out his notice period, he will assist in the transition to incoming new management.

In this morning’s release, the ClearVue board thanked him for his positive contributions over the last 2 years, in which he served as chief commercial officer before taking the helm as interim CEO. Mr Jagger was recognised in his efforts to improve sales, marketing, and investor relations activity.

The company advised it was pursuing a replacement with extensive experience, in order to continue moving the global ClearVue business forward.

In addition, the chase for a European CEO, as well as sales and marketing specialists in the United States is also ongoing. The company is developing its global roll-out strategy, and is searching for a leadership team in its tier 1 territories.

ClearVue stated it will update the market in the coming weeks with the inclusion of a European CEO, and other key management roles.

About the ClearVue share price

Despite today’s decline, the ClearVue share price has performed relatively well over the past 12 months. Up more than 54% in that time, despite the company’s shares witnessing a drop in March due to COVID-19.

Falling to an all-time low of 5 cents, the ClearVue share price settled around the mid-teens before moving on an upwards trajectory.

More reading

• Why the Nova Minerals (ASX:NVA) share price is flying 7% higher today
• Why the Vulcan Energy (ASX:VUL) share price is up 4,000% in 12 months
• Why the Data#3 (ASX:DTL) share price is shooting 9% higher today
• Netflix earnings: 3 trends to watch
• Why is the Northern Minerals (ASX:NTU) share price taking a dive today?

Motley Fool contributor Aaron Teboneras 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.

The post Why the ClearVue (ASX:CPV) share price is plummeting today appeared first on The Motley Fool Australia.

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