If you have $2,000 to invest, I think it’s well worth looking at ASX growth shares.

Growth shares may not suit a retiree that relies on their ASX share portfolio to produce dividend income. But for a younger investor with a long time horizon ahead, I think having at least some growth shares in your portfolio is a great idea.

That’s because these are the kinds of shares that can offer real outperformance potential by virtue of their nature. So with this in mind, here are 2 ASX growth shares you can consider for a $2,000 investment today.

1) Xero Limited (ASX: XRO)

Xero is a cloud-based, software-as-a-service (SaaS) company. It provides its accounting software on a subscription basis, which has proven highly lucrative for the company. Over the past 5 years, Xero shares have rocketed from around $14 a share to more than $90 today.

This massive appreciation has been driven by both Xero’s rapid customer acquisition and the stickiness of its product. Put simply, lots of customers are trying out Xero’s products and most of them keep paying. Back in May, the company told us that subscription growth had come in at 26% for the 12 months to 31 March 2020. That helped push revenues up by 30%.

Of course, it’s hard to judge what the effects of the coronavirus pandemic will be for Xero. But government subsidies and support programs for individuals and businesses all need to be tracked and reported. As such, I think we won’t see any huge hits to Xero’s long-term viability. Considering all of this, I think Xero is a great ASX growth share to put $2,000 towards today.

2) Afterpay Ltd (ASX: APT)

By now, Afterpay should be a growth share every ASX investor is familiar with. Never far from the headlines it seems, Afterpay has had a year of share price insanity, for want of a better word. How else would you describe a company that, in the space of 6 months, goes from $30 a share to $40, down to $8, back up to $40 and then to $76? It’s probably a good time to warn you that this share can be volatile.

Even so, I’m pretty bullish on this company’s long-term future. It has pioneered a truly innovative product in buy now, pay later (BNPL). Not only that, but it has also managed to fight off a bevvy of potential competitors like Zip Co Ltd (ASX: Z1P) and Splitit Ltd (ASX: SPT) and kept it’s first-mover’s advantage.

It has also conquered the seemingly-impossible feat of cracking both the United States and the United Kingdom markets. Afterpay’s share price might look expensive right now, but I think this company’s potential growth runway can easily justify this. As such, I think Afterpay is another prime candidate in ASX growth shares for a $2,000 investment today.

More reading

• Flight Centre and Zip Co were among the most traded shares on the ASX last week
• Why I would buy and hold Afterpay and Xero shares
• ASX stock of the day: Moneyme share price surges 36% as lender enters buy now, pay later space
• Why Afterpay, Challenger, IVE Group, & Mesoblast shares are dropping lower
• 3 tips for beginners investing in ASX shares

Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Xero and ZIPCOLTD FPO. The Motley Fool Australia owns shares of AFTERPAY T FPO. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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One of the biggest investing success stories over the last few months has been the unlikely rise of iron ore. After dropping off somewhat during March and April, the iron ore price has been on a tear since – seemingly defying gravity and reaching new highs every few weeks. Just this week alone, iron ore has careened past US$115 a tonne to around US$117 at the time of writing.

As you might expect, this has been great news for the companies that dig up iron ore from the ground and sell it.

The ASX’s biggest miner BHP Group Ltd (ASX: BHP) is up almost 60% since 16 March. Rio Tinto Limited (ASX: RIO) hasn’t disappointed with a 33% rise over the same period. And Fortescue Metals Group Limited (ASX: FMG) has exploded to new all-time highs after rising more than 90% – undoubtedly making its founder (and significant shareholder) Andrew Forrest a very happy man.

So what’s next for iron ore miners?

Well, one brokering firm remains very bullish on iron’s future prospects. That broker is the US-based JPMorgan.

According to reporting in the Australian Financial Review (AFR), JPMorgan believes the major iron ore miners are still offering compelling returns for shareholders, even at the current pricing. This stems from the firm increasing its iron ore pricing forecasts for 2021 and 2022 by 19% and 10% respectively. It builds this thesis on the assumption that Brazilian mining giant Vale won’t be able to increase its iron ore production above the current level of 1 million tonnes per day over the next 12 months.

Vale was forced to shut its production facilities in the face of the coronavirus crises in Brazil and has only reopened production recently.

The AFR quotes JPMorgan analyst Lyndon Fagan, who stated:

“The Vale recovery was previously seen as a catalyst to see iron ore prices trade lower. However, with the production now back in the market, and iron ore continuing to rally, we struggle to see what releases the pricing tension. We are now starting to think prices could remain well above cost curve support levels until Simandou [a new mine in Guinea] comes to market, which could be five to seven years away.”

In the meantime, JPMorgan is tipping BHP and Rio as the best bets for iron ore right now, saying these two companies haven’t realised their upside the way Fortescue has:

“At current trading levels we see compelling valuation support, 5 to 6 per cent dividend yield, and material consensus EPS upgrades to come through”

JPMorgan has a $43 price target for BHP and a $120 target for Rio. It remains neutral on Fortescue with an $18.60 target.

More reading

• Has the ASX 200 finally taken off?
• ASX iron ore miners jump on broker upgrades
• Are ASX lithium shares the next big thing?
• 3 tips for beginners investing in ASX shares
• BHP and 2 more ASX dividend shares for beginners

Motley Fool contributor Sebastian Bowen owns shares of JPMorgan Chase. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Coles Group Ltd (ASX: COL) share price has hit a new record high today. The company’s shares started off the trading day at $18.85, just below the previous record high of $18.99. But the Coles share price shot the lights in the few hours after open and stormed past $19 to print a new record high of $19.16 just after midday. Since then, it seems to have cooled off somewhat and was going for $18.97 at the market’s close.

It’s been a topsy-turvy year for the ASX’s second-largest grocer. Between 1 January and 14 May, the Coles share price was essentially flat, despite the broader S&P/ASX 200 Index (ASX: XJO) going on a wild ride in the meantime, which included a ~35% plunge. But since 22 May, the Coles share price really took off, rising more than 26% as of today’s pricing.

It seems like an eternity ago that Coles was spun-off from its old parent company Wesfarmers Ltd (ASX: WES) for $12.49 back in November 2018. Given that any Wesfarmers shareholder who kept their issued Coles shares is now up around 52% in 18 months, it has to go down as one of the most successful spin-offs in recent times. Also, consider that Wesfarmers shares are up almost 50% on their own accord over the same period as well.

Why is the Coles share price hitting the roof?

There has been no major news out of the grocery giant this week, so we can probably put today’s new record high down to some good old-fashioned earnings expectations fever. Coles is due to report its full-year results on 18 August (next Tuesday). It will no doubt be reporting something of a mixed bag. It’s likely (in my opinion) that sales will still be up as a result of the coronavirus pandemic, not to mention the second lockdown that is unfortunately afflicting Victoria right now.

On the other hand, it’s also likely that the company will be carrying some extra costs associated with the pandemic, such as cleaning expenses, increased staff sick leave and in-store protective measures like cashier barriers.

Clearly, investors are betting that the former will outweigh the latter next week if today’s Coles share price is anything to go by.

Should you buy today?

Looking at the Coels share price right now, I don’t see much I like. I think the shares are fairly valued at best, if not a little expensive. With a price-to-earnings (P/E) ratio of 21.34 and a trailing dividend yield of 2.21%, I don’t see much upside from either a growth or income perspective.

Saying that, I recognise that the relative safety of Coles’ dividend is still attractive in a year that has been defined by dividend cuts. So if you want to add or top up your Coles shares within a diversified dividend portfolio, go for it.

More reading

• The latest ASX stocks leading brokers are urging you to buy today
• ASX 200 rises 0.5%, Mesoblast plunges
• ASX dividend investors! Ignore shares in consumer staples at your peril
• 2 ASX dividend shares for income investors to buy right now
• Here’s why the OZ Minerals share price rocketed 24% in July

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of COLESGROUP DEF SET and Wesfarmers Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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If you’re aiming to diversify your portfolio and optimism your future returns, then I think exchange traded funds could be worth considering.

Three exchange traded funds that I believe have the potential to provide strong returns for investors over the next decade are listed below. Here’s why I like them:

BetaShares NASDAQ 100 ETF (ASX: NDQ)

If you were to buy just one exchange traded fund, I would recommend you pick the BetaShares NASDAQ 100 ETF. This is because this fund gives investors access to the 100 shares that are trading on the famous NASDAQ 100 index. These include many of the biggest and brightest companies in the world such as Amazon, Apple, Facebook, Microsoft, Netflix, and Google parent, Alphabet. It is also worth noting that the fund has no exposure to the financial sector, which could make it ideal for investors that are invested heavily in the big four banks.

VanEck Vectors Australian Banks ETF (ASX: MVB)

But if you don’t have any exposure to the big four banks, and want some, then you might want to consider the VanEck Vectors Australian Banks ETF. I think this exchange traded fund is great for investors that want exposure to the sector but aren’t sure which of the banks to buy. This is because this fund gives investors access to all of the big four, the regional banks, and investment bank Macquarie Group Ltd (ASX: MQG) through a single investment.

VanEck Vectors China New Economy ETF (ASX: CNEW)

A final exchange traded fund to consider buying is the VanEck Vectors China New Economy ETF. This fund gives investors access to a portfolio of companies in China which have outstanding growth prospects. The companies are in sectors which are making up “the New Economy.”  This includes the technology, health care, consumer staples, and consumer discretionary sectors. The VanEck Vectors China New Economy ETF is invested in 120 companies, which it believes represent growth at a reasonable price.  

More reading

• Here’s why the OZ Minerals share price rocketed 24% in July
• ASX 200 Weekly Wrap: Surging commodity prices snap ASX 200’s losing streak
• 3 quality ASX shares for a beginner’s share portfolio
• With global share markets soaring, here’s why it’s still a good time to buy ASX shares
• The latest ASX stocks to be hit by broker downgrades today

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 BETANASDAQ ETF UNITS. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited. The Motley Fool Australia has recommended BETANASDAQ ETF UNITS. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Metalstech Ltd (ASX: MTC) share price rose 9.52% to 23 cents today after the company released a presentation to be given at the NWR Virtual Small Caps Conference.

What was in the presentation

The company outlined that its gold resources are over 1 million ounces with 76% measured and indicated. Metalstech identified that, when comparing its market capitalisation to resource ounces, its resources were valued at $24 per ounce.

Metalstech’s Sturec mine was highlighted with the company advising 1.5 million ounces of gold and 6.7 million ounces of silver had been historically produced there. 

In 2012, the Joint Ore Reserves Committee found that the Sturec gold mine had a resource of 21.2 million tonnes at 1.50 grams per tonne of gold and 11.6 grams per tonne of silver. Metalstech also stated that there was significant resource expansion potential.

The company is currently drilling at its Sturec site with assay results expected intermittently over the next three months.

About the Metalstech share price

Metalstech is a resources exploration development company with projects in Slovakia and Canada. Currently, the company is focused on its Sturec gold resource in Slovakia. Metaltech is listed on the ASX and the Paris Stock Exchange.

In the quarter to 30 June 2020, Metalstech used $495,000 of cash for operating activities. It had $1,017,000 cash at 30 June, up from $587,000 at the end of the previous quarter.

The company outlined its 2021 mineral resource estimate for Sturec in its June 2020 quarterly report which matched the estimates from today’s presentation. However, it also included an estimated 388,000 tonnes at 3.45 grams per tonne gold and 21.6 grams per tonne silver.

In a recent drilling update, Metalstech announced that it had identified a very prospective zone of intense quartz stockwork from 182.5 metres to 185.4 metres.

The Metalstech share price is up more than 1800% since its 52 week low of 1.2 cents, it has returned 475% since the beginning of the year. The Metalstech share price is up 1050% since this time last year.

More reading

• Why the Metalstech share price is up 10% today

Motley Fool contributor Chris Chitty has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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It’s been a tough year for ASX dividend investors so far in 2020. Former income heavyweights like Transurban Group (ASX: TCL) and National Australia Bank Ltd (ASX: NAB) have substantially slashed their payouts.

Other popular dividend shares like Westpac Banking Corp (ASX: WBC), Scentre Group (ASX: SCG) and Australia and New Zealand Banking GrpLtd (ASX: ANZ) have ‘deferred’ or cancelled their dividends entirely.

The coronavirus crisis has affected most sectors of the economy. This, in turn, has led to a wide range of dividend shares unable to provide income for their shareholders in 2020.

But one of the consequences of the pandemic for this writer has been a newfound appreciation of the consumer staples sector. So much so that I think it is a grave mistake for any ASX dividend investor not to have significant exposure to it going forward.

What are consumer staples shares?

Consumer staples describe the range of products that are ‘staples’ of modern living. In other words, the kinds of goods and services we simply can’t live without. Food and drinks are the first things that come to mind. But consumer staples also include household essentials like dishwashing liquid, toothpaste, razors, laundry detergent and toilet paper (you can probably gather where I’m going with this).

I think we can all agree that one of the most striking and confronting moments of the coronavirus pandemic was seeing the bare supermarket shelves of our local supermarkets. Seeing the value that all Australians were placing on owning enough consumer staples products highlights their importance in our lives. As Joni Mitchell once sang, “Don’t it always seem to go, you don’t know what you’ve got ’til it’s gone”. I reckon we all felt that way when seeing those bare shelves.

Casting aside the unsavoury social aspects of panic buying, I think the pandemic has proved that dividend investors should ignore consumer staples shares for their income portfolios at their peril.

Choosing dividend shares in a post-COVID world

So it’s one thing saying ‘we should invest in the necessities of life’ and another thing finding good companies with which to do so. You can always start with the giants of the Australian grocery scene, Woolworths Group Ltd (ASX: WOW) and Coles Group Ltd (ASX: COL). With trailing dividend yields of 2.57% and 2.2% respectively, these companies are nothing to write home about on current pricing. But a 2.2% yield is a lot better than what Westpac is offering right now.

You could also consider Metcash Limited (ASX: MTS) – the owner of the IGA chain of ‘independent grocers’. Metcash may not be as dominant as Coles or Woolies. But it does offer a higher trailing dividend yield of 4.24% in compensation.

Another option to consider is the iShares Global Consumer Staples ETF (ASX: IXI). This exchange-traded fund (EFT) holds a basket of consumer staples shares from around the world. Its holdings include Procter & Gamble (owner of the Gillette and Oral-B brands), Nestle, Coca-Cola, PepsiCo, Colgate-Palmolive and Walmart.

Foolish takeaway

Consumer staples companies may not offer the best dividend yields on the market. But in this uncertain world, I think any dividend investor out there ignores these ‘essential’ companies at their own detriment. As such, I think all dividend investors should consider their own allocation to consumer staples shares today.

More reading

• Why Afterpay, Challenger, IVE Group, & Mesoblast shares are dropping lower
• Why the Wesfarmers share price is too expensive
• Investing 101: Humility > Arrogance
• Why Adairs, Coles, Kogan, & Tyro shares are storming higher
• These were last week’s best performing ASX shares

Motley Fool contributor Sebastian Bowen owns shares of National Australia Bank Limited and PepsiCo. The Motley Fool Australia owns shares of COLESGROUP DEF SET, iShares Global Consumer Staples ETF, Transurban Group, and Woolworths Limited. The Motley Fool Australia has recommended Scentre Group. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Are you an investor that wants safe income? I think there are some ASX dividend shares that can provide reliable income.

Nothing in the share market is guaranteed – it’s not like a term deposit. Share prices can be very volatile. The share market is made up of different buyers and sellers every day. It’s not surprising that share prices move around so much.

Dividend income from ASX shares is a bit different. The boards of companies have a lot of control over what dividend they declare each year. Dividends are much more likely to follow the longer-term direction of the business’ profit.

With that in mind, here are three ASX shares that could offer safe income:

Share 1: APA Group (ASX: APA)

APA is an infrastructure giant which owns a large amount of gas pipelines around Australia. It supplies around half of the country’s natural gas. APA also owns, or has stakes in, a number of energy generation or energy storage assets.

Gas demand has held up well for APA during this difficult period. Resilient demand has meant robust for APA’s cashflow. The business funds its distribution from the annual cashflow, so it was able to pay the expected FY20 annual distribution of 50 cents per unit.

At the current APA share price, that distribution amounts to a yield of 4.35%. I think that APA is a reliable ASX share for dividend income because it already has a solid track record. It has increased its distribution every year for the past decade and a half. It can keep growing as the annual cashflow keeps growing with more projects or investments coming online.

Share 2: Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

I think that Soul Patts is the gold standard for reliable dividend income.

The ASX share has grown its dividend every year since 2000. It has also paid a dividend every year since it listed in 1903. The dividend has kept coming through wars and recessions.

Soul Patts is an investment house with a diversified portfolio of assets like TPG Telecom Ltd (ASX: TPG), Brickworks Limited (ASX: BKW) and Clover Corporation Limited (ASX: CLV). It also operates unlisted businesses like swimming schools, resources and agriculture.

Each year the company receives investment income from its assets, Soul Patts pays its expenses from this income and then pays out the dividend with a substantial portion of the rest. In FY19 it retained around 20% of the net regular operating cashflow, allowing it to re-invest that money into other opportunities.

Soul Patts’ dividend can keep growing from this re-investing as well as growth from its existing holdings.

At the current Soul Patts share price it offers a grossed-up dividend yield of 4.2%.

Share 3: Rural Funds Group (ASX: RFF)

There are few ASX shares with the income potential of Rural Funds in my opinion. I think it offers a good combination of a solid starting yield as well as ongoing growth.

At the current Rural Funds share price it has a FY21 distribution yield of 5.3%. The farmland real estate investment trust (REIT) is aiming for distribution growth of 4% per annum.

REITs are known for having good yields, and Rural Funds has a smart investment strategy. It owns farms with long-term income growth potential such as cattle and almonds.

Its contracted rental income grows by either a fixed 2.5% increase per annum or it’s linked to CPI inflation, plus market reviews.

The REIT also is growing its rental income by investing in productivity improvements at farms. At the moment it’s focusing on investing at its cattle farms.

Foolish takeaway

Each of these ASX shares have grown their dividends to shareholders for multiple years in a row. I think that record could continue in FY21 and perhaps for the rest of the decade. Soul Patts is my favourite ASX share idea for reliable dividend income because it’s diversified and it can shift its portfolio over time.

More reading

• 3 quality ASX shares to buy in August
• Beat low interest rates with these ASX dividend shares
• Got $3,000 to invest? Try these 2 dirt-cheap ASX shares
• Cash rate on hold until after 2022? Buy these ASX dividend shares
• 2 ASX shares I plan to hold until I’m 100

Tristan Harrison owns shares of RURALFUNDS STAPLED and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Clover Limited. The Motley Fool Australia owns shares of and has recommended Brickworks, RURALFUNDS STAPLED, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of APA Group. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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If you’re looking to add some dividend shares to your portfolio in August, then the two listed below could be great options.

I believe both are well-placed to continue growing their dividends over the coming years despite the tough economic environment. Here’s why I think they are among the best on offer right now:

BWP Trust (ASX: BWP)

The first ASX dividend share to consider buying is BWP. It is a real estate investment trust that invests in and manages commercial assets. These assets tend to be large format retail properties, which are predominantly leased to home improvement giant, Bunnings Warehouse. At the end of FY 2020, its weighted average lease expiry (WALE) stood at 4 years, with 98% of its portfolio leased.

And while this isn’t the longest WALE you’ll find on the ASX, I don’t see Bunnings moving to other properties in a hurry. Especially given how Bunnings is owned by Wesfarmers Ltd (ASX: WES), which also owns ~23.6% of BWP. All in all, I believe BWP is well-placed to grow its income and distribution at a modest and predictable rate over the next decade. Based on this and the current BWP share price, I estimate that it offers a forward 4.6% yield.

Dicker Data Ltd (ASX: DDR)

Another ASX dividend share to consider buying in August is Dicker Data. It is a wholesale distributor of computer hardware and software which has grown its earnings and dividends at a consistently solid rate for many years.

The good news is that this positive trend is continuing in 2020 despite the pandemic. Dicker Data recently released a first half update which revealed very strong profit growth. As a result, management advised that it plans to lift its full year dividend by 31% to 35.5 cents per share. This represents a very attractive 4.7% fully franked dividend yield.

More reading

• Why the Wesfarmers share price is too expensive
• Why I would buy Goodman Group and these blue chip ASX shares
• Are ASX retail shares buys right now?
• Kogan share price in spotlight after it releases new profit update
• ASX 200 Weekly Wrap: Surging commodity prices snap ASX 200’s losing streak

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Dicker Data Limited. The Motley Fool Australia owns shares of Wesfarmers Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Domino’s Pizza Enterprises Ltd (ASX: DMP) share price has been an exceptionally strong performer in 2020.

The pizza chain operator’s shares have ignored the market volatility and zoomed an incredible 42% higher since the start of the year.

This means the Domino’s share price is trading within touching distance of its record high ahead of its full year results for FY 2020 on 19 August.

What is Domino’s expected to deliver in FY 2020?

Ahead of its results release, I thought I would take a look to see what the market expects Domino’s to deliver along with its pizzas in FY 2020.

According to a note out of Goldman Sachs, its analysts have increased their estimates to reflect stronger than expected updates from a number of its global peers.

Goldman Sachs is forecasting same store sales (SSS) growth of 4.5% for FY 2020, leading to total sales of $1,969.3 million. This comprises total ANZ sales of $717.4 million, Europe sales of $618.3 million, and Japan sales of $633.6 million.

It then expects this to lead to earnings before interest, tax, depreciation, and amortisation (EBITDA) of $310.8 million. This will be a 10.1% increase on the prior corresponding period.

And on the bottom line, Goldman has forecast net profit after tax of $152.4 million, which will be a 7.9% increase on the prior corresponding period. This is a touch short of the consensus estimate of $155.1 million.

The broker also expects Domino’s to grow its final dividend. It has forecast a 9.8% increase to 58 cents per share, with 75% franking.

How will its segments perform?

Goldman Sachs expects its ANZ segment to deliver 3% SSS growth in FY 2020, leading to EBITDA of $136 million. It estimates that there will be 832 stores in the ANZ market at the end of the period.

Even stronger growth is expected in Europe, with the broker forecasting SSS growth of 4.5%. It expects its 1,160 stores in the region to contribute $91.2 million in EBITDA. And in Japan, it has forecast a 7% increase in SSS, resulting in EBITDA of $96.4 million for the year.

Finally, corporate costs are expected to be $13 million for the year.

Should you invest?

I think Domino’s shares are arguably fully valued now. However, I still believe they could be a great option for investors that are looking for long term options. This is due to its bold store expansion and SSS targets over the coming years. Though, given how close its results release is, it might be prudent to wait until after that before investing.

More reading

• Will the Domino’s share price continue to surge in August?
• Why I would buy NEXTDC and these stellar ASX growth shares
• Why the Domino’s share price has my attention
• Top brokers name 3 ASX shares to sell today
• a2 Milk and 1 other quality ASX 200 share to buy and hold beyond 2026

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Domino’s Pizza Enterprises Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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