It’s hard to know whether to be an ASX bull or bear in the market right now. The S&P/ASX 200 Index (INDEXASX: XJO) has had a wild start to the year. The benchmark Aussie index hit a new record high in mid-February and things were looking up. The index breached the 7,000 point mark and looked to be heading higher.

Then we saw the coronavirus pandemic change everything. Countries locked their borders and economies went into hibernation. Record government stimulus and a favourable monetary policy were designed to prop up economic growth.

There was the oil price war between Saudi Arabia and Russia which sent ASX energy shares tumbling. We saw an ASX bear market in February as the market was briefly in freefall.

However, ASX 200 shares have been rebounding strongly in April and May. In fact, the S&P/ASX 200 Index is up more than 30% since 23 March.

So, with all that’s going on in the share market, should you be an ASX bull or bear right now?

Should you be an ASX market bull or bear today?

There’s a saying from Jim Cramer that goes, “bulls make money, bears make money, pigs get slaughtered“.

What it really means is that investors who take a strong view on either direction of the market, generally, do well, while indecisive investors lose out. If you’re an ASX bull, you could have netted a tidy return in the current market recovery. Likewise, a bear market investor could have made money in the February and March downturn.

But the “pigs”, being those investors trying to time the market and unsure of their positions, are the ones that lost out. I think the easiest way to avoid that is to remember that you’re investing for the long-term.

Whether a bull or bear market, what happens today or tomorrow won’t affect your portfolio in 30 year’s time. I’m an ASX bull on a long-term timeframe which makes buying ASX shares easier.

In fact, I just view a downturn as a fire sale of my top ASX shares.

More reading

• Top brokers name 3 ASX 200 shares to sell today
• ASX 200 hits 6,000 points: Westpac provide AUSTRAC update, Vocus reaffirms guidance
• Where to invest $2,000 in cheap shares
• Is the CBA share price cheap today?
• Meet the ASX stocks to benefit from the new $688m home stimulus

Motley Fool contributor Ken Hall 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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ASX 200 building and construction shares could receive a boost with the federal government announcing a planned $688 million HomeBuilder stimulus package. The income tested program is expected to last 6 months and aims to support jobs and activity in the construction sector.

Under the program, eligible individuals will receive a $25,000 cash grant to spend on constructing a new home or on renovations to their existing property. The stimulus package comes amid a projected decline in housing construction activity as a result of the coronavirus pandemic.

Here are 2 ASX 200 building shares that could get a boost following the roll out of the HomeBuilder stimulus package.

Brickworks Limited (ASX :BKW)

Brickworks is a leading supplier of bricks, masonry and roof tiles across Australia and North America. The ASX 200 company boasts 26 manufacturing sites and over 40 design centres throughout Australia. It is one of the world’s largest building materials manufacturers and has a highly diverse product portfolio.

Brickworks recently provided a trading update which highlighted the impact of coronavirus on the construction sector. The company reported a 10% decline in sales revenue in Australia for the 4 months to May 2020. In addition, Brickworks reported a 30% decline in sales activity for its US operations during April and May.

Despite this bad news, the Brickworks share price has jumped more than 38% from its lows in April. It could also be poised to surge further following execution of the government’s stimulus package. 

CSR Limited (ASX: CSR)

CSR offers a wide range of products used in the later stages of home construction and renovation. The company produces notable brands such as Gyprock plasterboard, PGH bricks, Hebel concrete blocks and Bradford insulation.

CSR released its annual report in mid-May for its financial year ending 31 March. The ASX 200 company reported a 6% fall in building products revenue for the year. It also reported a 3% decline in revenue from building products for the first 6 weeks of its 2021 financial year compared to the prior corresponding period.

Furthermore, CSR scrapped its final dividend in response to the coronavirus crisis in order to conserve capital. Due to the uncertain and tough economic conditions, CSR has not provided profit forecasts for the current financial year. Notwithstanding the uncertainty, the CSR share price has rebounded more than 57% from its March low.

Are these ASX 200 building shares in the buy zone?

In my opinion, ASX 200 building and construction share prices could experience a short-term boost. However, I feel the long-term outlook remains extremely uncertain. Due to the nature of contract life cycles in the sector, impacts of coronavirus could still be felt in 6 to 12 months’ time. In addition, with the Australian economy facing a recession, it’s unknown how long the government’s cash grant will be able to help support the building and construction industry.

More reading

• Have $10,000? This is where I’d invest it into ASX shares
• Meet the ASX stocks to benefit from the new $688m home stimulus
• 3 Warren Buffett ASX dividend shares you can buy right now
• Where should you invest $1,000 in ASX shares?
• This embattled ASX 200 company could be the next M&A target

Motley Fool contributor Nikhil Gangaram has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Brickworks. 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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Due to the favourable tailwinds that it is experiencing, I believe the healthcare sector is a great place to invest with a long term view.

But with so many options for investors to choose from, which ones should you be buying?

Below are three ASX healthcare shares I think could provide stellar returns for investors over the long term:

Avita Medical Ltd (ASX: AVH)

The first healthcare share to look at is Avita Medical. It is a global regenerative medicine company which I think has a lot of potential. It is best known for its Recell system, which is a spray-on skin treatment used for burns victims. Demand for its offering has been growing very strongly over the last couple of years. This led to the company recently revealing an 84% increase in revenue for the 9 months ending 31 March 2020. While the company has a huge market opportunity already, it is seeking to extend Recell’s use to treat vitiligo. Combined, the company has a significant runway for growth over the next decade.

Pro Medicus Limited (ASX: PME)

Another ASX healthcare share to consider buying is Pro Medicus. It provides a full range of radiology IT software and services to hospitals, imaging centres, and healthcare groups. The key product in its portfolio is the increasingly popular Visage 7 Enterprise Imaging Platform. This platform delivers fast, multi-dimensional images streamed via an intelligent thin-client viewer. Demand for Visage 7 has been growing strongly in recent years and continues to this day. In fact, on Monday Pro Medicus announced a major new contract with one of the highest rated hospitals in the United States. I believe this is a testament to the quality of its offering. It also revealed that it has a number of other sales opportunities in its pipeline that it is working on.

Ramsay Health Care Limited (ASX: RHC)

A final healthcare share to look at is Ramsay Health Care. It is a global private hospital operator with 480 facilities across 11 countries. The next 12 months are not going to be easy for Ramsay due to both the pandemic and overall tough trading conditions in the private hospital space. However, I believe these headwinds will ease over the medium term and Ramsay’s growth will accelerate. Especially given how well-placed the company is to capture the expected increase in demand for healthcare services due to ageing populations.

More reading

• Why Austal, Evolution, Newcrest, & Pro Medicus are tumbling lower
• 2 cheap ASX 200 shares to buy right now
• Why Evolution, Iress, Pro Medicus, & Vicinity shares are dropping lower
• ASX 200 up 0.6%: NAB charges higher, ACCC investigates Qantas acquisition
• Why this exciting ASX 200 tech share is pushing higher on Monday

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 and recommends Pro Medicus Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Avita Medical Limited. The Motley Fool Australia has recommended Avita Medical Limited, Pro Medicus Ltd., and Ramsay Health Care 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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On Wednesday I looked at three ASX shares that brokers have given buy ratings to this week.

Unfortunately, not all shares are in favour with them right now. Three ASX 200 shares that have just been given sell ratings by brokers are listed below.

Here’s why these brokers are bearish on them:

Australia and New Zealand Banking GrpLtd (ASX: ANZ)

According to a note out of the Macquarie equities desk, its analysts have retained their underperform rating and $18.50 price target on this banking giant’s shares. Although the broker believes ANZ’s divestment of its New Zealand-based UDC Finance business was a positive, it isn’t enough for a change of rating. It continues with its bearish view of the bank and retains its underperform rating. The ANZ share price is trading at $19.10 this afternoon.

Cochlear Limited (ASX: COH)

Analysts at UBS have retained their sell rating but lifted the price target on this hearing solutions company’s shares to $160.50. According to the note, the broker has revised its earnings estimates higher to reflect its belief that Cochlear unit sales will recover a touch quicker than expected. Nevertheless, with its shares trading well ahead of its price target, the broker is holding firm with its sell rating for the time being. Cochlear’s shares are changing hands for $197.89 on Thursday.

Nufarm Limited (ASX: NUF)

Another note out of Macquarie reveals that its analysts have downgraded this agricultural chemical company’s shares to an underperform rating and cut the price target on them to $4.85. The broker was left underwhelmed by Nufarm’s recent trading update and has concerns over its prospects in the fourth quarter. Given the importance of this quarter to its overall result, this could mean a disappointing full year result in September. The Nufarm share price has fallen heavily today and is now trading at $4.79.

More reading

• Should you be an ASX bull or bear right now?
• ASX 200 hits 6,000 points: Westpac provide AUSTRAC update, Vocus reaffirms guidance
• Why Austal, Ecofibre, Northern Star, & Nufarm are dropping lower
• Where to invest $2,000 in cheap shares
• Is the CBA share price cheap 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 Cochlear Ltd. The Motley Fool Australia has recommended Cochlear Ltd. 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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At lunch on Thursday the S&P/ASX 200 Index (ASX: XJO) is on course to record another strong gain. The benchmark index is currently up 1% to 6,000.9 points.

Here’s what has been happening:

ASX 200 hits 6,000 points.

The ASX 200 index has shaken off the recession news and stormed higher again on Thursday. So much so, the index has broken through the symbolic 6,000 points mark. This is the first time the ASX 200 has traded above this level in almost three months. The big four banks have played a key role in driving it through this level today. All four are trading higher at lunch.

Westpac AUSTRAC update.

The Westpac Banking Corp (ASX: WBC) share price is pushing higher today despite the release of an update on its Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) compliance issues. Australia’s oldest bank has been investigating its compliance issues and believes three primary factors led to the breaches. These include some areas of AML/CTF risk not being sufficiently understood within the bank.

Vocus reaffirms guidance.

The Vocus Group Ltd (ASX: VOC) share price is charging higher today after the release of a positive announcement. The specialist fibre and network solutions provider revealed that it has refinanced its debt and remains on course to achieve its guidance for FY 2020. Vocus expects its earnings before interest, tax, depreciation, and amortisation (EBITDA) to be in the range of $359 million to $369 million. This compares to the EBITDA of $360.1 million it posted in FY 2019. The core Vocus network services business is expected to deliver EBITDA growth of 10% this year.

Best and worst ASX 200 performers.

The best performer on the ASX 200 on Thursday has been the Unibail-Rodamco-Westfield (ASX: URW) share price with a 15% gain. Investors may believe the shopping centre operator’s shares have bottomed now. The worst performer has been the Nufarm Limited (ASX: NUF) share price with a decline of almost 11%. This morning analysts at Macquarie downgraded its shares to an underperform rating with a $4.85 price target.

More reading

• Should you be an ASX bull or bear right now?
• Top brokers name 3 ASX 200 shares to sell today
• Why Corporate Travel Management, SKYCITY, Vocus, & Westpac are pushing higher
• Why Austal, Ecofibre, Northern Star, & Nufarm are dropping lower
• Where to invest $2,000 in cheap shares

Motley Fool contributor James Mickleboro 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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The Buru Energy Limited (ASX: BRU) share price is charging higher today after the small-cap ASX energy share provided an operations update. At the time of writing, Buru shares have rallied 15% to 11.5 cents per share, taking the company’s current market capitalisation to around $50 million.

Buru Energy is an oil and gas exploration and production company. It is focused on exploring and developing the petroleum resources of the Canning Basin in the Kimberley region of Western Australia. With this, the company holds interests in a portfolio of exploration permits covering around 5.5 million gross acres in the Canning Basin. It also has a 50% operating interest in the currently producing Ungani Oilfield.

What did Buru Energy announce?

This morning, Buru provided an operations update regarding Ungani oil sales and production. Notably, the company revealed it has been buoyed by the improving crude market, with increases in the Brent oil price during May resulting in additional revenue from the May lifting of around US$200,000.

The company also announced that the next lifting of Ungani crude from Wyndham Port, which is expected to be in mid-July, has been sold on a spot basis.

The Ungani joint venture plans to continue to sell crude on a spot basis while it reviews the potential for entering into another longer-term offtake agreement.

The received price of the July lifting will be based on the average dated Brent oil price for the month of July, less an agreed discount to reflect an increase in marine transport charges to a refinery in Asia.

Meanwhile, Ungani field production is currently 1,250 barrels of oil per day and a series of well optimisation activities have been planned.

Buru also noted that its current farm-out process is progressing well. Various parties have accessed the virtual data room and with COVID-19 restrictions easing, locally-based interested parties are now able to physically attend Buru’s office to access the geophysical database.

Commenting on today’s update, executive chair Eric Streitberg said:

“We are very pleased and relieved to see the firming oil price that gives us a healthier return from our oil sales. Although we are facing higher shipping charges and tightening refinery terms, there is still a good market for our particular high quality crude from Ungani.

Our strong cash position and our high quality exploration portfolio puts us in a good position to weather the current storms and it has also been very pleasing to see the share price improving. Although like many other companies our share price is still near historic lows, it is at least now reflecting a value greater than our cash position.”

More reading

• Should you be an ASX bull or bear right now?
• Will the HomeBuilder stimulus boost ASX 200 building shares?
• These ASX healthcare shares could be long term market beaters
• Top brokers name 3 ASX 200 shares to sell today
• ASX 200 hits 6,000 points: Westpac provide AUSTRAC update, Vocus reaffirms guidance

Motley Fool contributor Cathryn Goh 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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Finding shares with a dividend yield over 10% requires looking in a few odd places and sometimes making a few sacrifices. Income investing requires a bit more initial capital and a bit more time.

The practice of dividend harvesting is still popular; where you buy high-yielding shares prior to the ex-dividend date and then sell them off again shortly afterwards. However, I personally have found that to be fraught with risks. 

 The truly great income investing opportunities were around 23 March when the market bottomed out. But there are still very good investments available if you look for them.

High-confidence dividend yield, short duration

Orora Ltd (ASX: ORA) goes ex-dividend on 19 June. At Wednesday’s closing price it would produce a special dividend payout of 13.6%. Moreover, the company also received a windfall from the sale of one of its businesses. This means it is going to distribute an additional payment to shareholders. At yesterday’s closing price this means a total payment of 18.1% to be paid on 29 June. 

Orora has consistently grown its dividend by about 13.8% over the past 6 years. While this is a special dividend, the company’s current low share price increases the yield of future payments. The Orora share price is down by 12.9% YTD.

Out-of-favour shares

Yancoal Australia Ltd (ASX: YAL) is one of those shares that some people may well refuse to own. Despite this, it is a very well run company and has positioned itself for further production growth. It currently trades at a very low price-to-earnings ratio of 3.95. Its present twelve-month trailing dividend is 14.68%. Which is an almighty yield from a company worth $2.8 billion.

The company has only been paying dividends for the past 2 years. However, its policy statement reads “…Yancoal will target a dividend payout of (A) 50% of net profit after tax (pre-Abnormal Items); or (B) 50% of the free cash flow (pre-Abnormal Items), whichever is higher.”

Foolish takeaway

Presuming you split $5,000 evenly between these two options, and that the Yancoal dividend remained the same or higher, the return would be at least $818 (16.4%) a year from now. 

More reading

• 3 cheap ASX manufacturing shares for the supply chain boom
• Top ASX Stock Picks for June 2020
• Buy this ASX 200 share now for an 18% dividend yield in a month
• Has China banned Australian coal?
• Top ASX Dividend Stock Picks for May 2020

Motley Fool contributor Daryl Mather 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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