People enter share investing for a range of reasons. Some investors chase high growth and are willing to accept the risk that comes with that. Others look for steady increases in share prices over time. However, many try to combine incremental share price increases, with reliable income, or dividend payments. This is the path that I prefer to take when I can. I do heavy research to find solid ASX dividend shares that are selling cheaply and offering reliable dividend payments.

If you buy these types of shares at a low price, then your personal dividend yield is higher. For example, Fortescue Metals Group Limited (ASX: FMG) currently pays a trailing 12 month dividend yield of 5.9% based on today’s price of $17.36. However, if you paid, say, $8.68 or half the current price, then your personal dividend yield would be 11.8%. That is an outstanding result in anybody’s book. It is very hard to get 10% reliable returns with mid-level risk.

Reliable ASX dividend shares

One thing I’ve learned throughout my investing journey is that everything carries a level of risk. For example, banks have always been considered reliable dividend shares. However, during the coronavirus pandemic, I learned that the Australian Prudential Regulation Authority (APRA) can tell the banks not to pay a dividend. If a third party can mandate whether my investment pays a dividend or not, that is an additional risk. This had never entered my mind prior to the pandemic.

The reality today is that dividend paying shares are changeable, and require active management. For instance, yesterday Rio Tinto Limited (ASX: RIO) declared the largest dividend payment in its history. This is because China, our largest iron ore customer, is actually a net importer of steel. This means that the millions and millions of tonnes we export to China each year are not enough to meet its needs.

If this changes, then the dividend equation also changes.

Real estate is another sector known to be a strong dividend payer. Nonetheless, this year we saw REITs with a strong exposure to either residential or retail properties suspend dividends due to coronavirus impacts. For example, retail focused REIT, Vicinity Centres (ASX: VCX) suspended its dividend payment on 1 June. Likewise, GPT Group (ASX: GPT) also withdrew guidance on 19 March. 

In contrast, office or commercial focused REITs have not. Centuria Office REIT (ASX: COF), for example, went ex-dividend on 29 June. As with iron ore miners, the clue here is to understand the underlying business. If the market is telling you to change, then you should change.

2 alternative ASX dividend share options

The companies below cover a range of funds that also pay good dividends, are relatively stable, and are presently priced relatively low. 

Infrastructure funds

One of the newer infrastructure funds that interests me is New Energy Solar Ltd (ASX: NEW). This fund acquires, owns and manages large-scale solar generation facilities. It interests me firstly, because it doesn’t build these facilities for somebody else. Therefore, it has more of an annuity, or recurring style revenue stream. All 16 of the company’s solar plants are presently in operation across Australia and the United States. So it is basically an electricity generator with very low operating costs.

Secondly, and most importantly for any share investing, are the economic factors. New Energy is selling at a price to book ratio of 0.68. This means it is selling at approximately 32% lower than its net tangible asset value. At this price, the company has a trailing 12 month dividend yield of 6.8% which I think is very respectable. I believe that, over time, the share price will grow, but it isn’t going to see explosive growth, making this a good entry point. 

Self storage

Abacus Property Group (ASX: ABP) is ostensibly an REIT with 50.6% in office buildings, 34.4% in storage space, 6.8% in small convenience shopping centres, and about 8.2% in non-core assets. However, for me it is the 34.4% storage space I find interesting. Competing for corporate tenants in the office sector requires significant value add. In fact, in order to attract and keep good clients, there is both an initial and an ongoing expense. 

Yet with self storage, this is vastly reduced to low level sustaining costs only, i.e. repairs, security, minor admin and making sure everything works. Abacus has begun to show a growing interest in accumulating storage assets. Recently it increased its holding in rival National Storage REIT (ASX: NSR) to 8.09%. Like New Energy Solar above, this moves more of the company’s revenues into the annuity or recurring business model. 

Importantly, Abacus has a price to book ratio of 0.77 at the time of writing. Like New Energy, one could hypothetically buy the entire company and sell its assets for a profit. Abacus currently has a trailing 12 month dividend yield of 6.95%.

Foolish takeaway

The coronavirus has turned many long-standing investing beliefs on their heads. For example, companies we used to think of as solid ASX dividend shares have found themselves either restricted from paying, or totally unable to pay. The lesson here for me has been that income investors also need to be active investors. Moreover, share investing for income requires a good understanding of the sector dynamics, and making sure that you are buying a company at a good entry price. 

More reading

• Is the Fortescue share price too expensive?
• Why Fortescue and these ASX 200 shares are at record highs
• 2 top ASX shares to buy for reporting season
• ASX 200 rises 0.75%, Fortescue impresses and Macquarie remains robust
• 3 latest ASX 200 stocks to be downgraded by top brokers today

Motley Fool contributor Daryl Mather owns shares of Centuria Office REIT and Fortescue Metals Group Limited. 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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Yesterday morning, Osprey Medical Inc (ASX: OSP) announced a strategic alliance with US giant GE Healthcare. The Osprey share price started trade yesterday strongly in response to the news before retreating to 4.4 cents per share at Thursday’s close. 

What did Osprey announce?

Under the new agreement, GE Healthcare will exclusively distribute Osprey’s products in Europe, Asia, Russia, Turkey, the Middle East, Africa and Central Asia.

The announcement reports that Osprey’s DyeVert contrast minimisation devices will complement GE Healthcare’s X-ray contrast media. Together, the technology will assist doctors in addressing the rising problem of acute kidney injury (AKI) following interventional coronary angiograms in patients with chronic kidney disease.

Osprey’s technology is the only FDA-cleared medical device approved for reducing patient contrast exposure.

The 4-year agreement will see GE Healthcare commercialise Osprey’s DyeVert portfolio. On average, the DyeVert technology reduces the amount of contrast that reaches the kidney by 40%, without reducing the image quality.

A word from management

In regard to the new alliance, Osprey CEO Mike McCormick said:

We are pleased to be partnering with GE Healthcare to be commercialising our products in global markets to address the rising problem of AKI following heart imaging procedures in patients with poor kidney function.

CEO of GE Healthcare’s pharmaceutical diagnostics business Kevin O’Neill stated:

GE Healthcare and Osprey share a similar goal in improving patient outcomes. Both our product portfolios and educational efforts, which are aligned wit cardiology guidelines for AKI minimisation, offer interventional cardiologists the opportunity to safely image patients by reducing the risk of AKI.

Quarterly report highlights

On Tuesday, Osprey released its quarterly cash flow report for the period ending 30 June 2020.

The company reported a successful capital raising of $12.8 million from its entitlement offer and shortfall placement, and an additional $1.9 million from the US Government in the form of a pandemic recovery loan, a COVID-19 relief program for small US-based companies.

Additionally, Osprey reported a 7% fall in unit sales, due to COVID-19’s impact on its worldwide heart procedures. However, as at 30 June, the company still maintained a cash balance of $14 million.

About the Osprey share price

After a strong initial start to the day on Thursday, rising more than 6%, Osprey’s share price retreated.

The stock closed the day flat, trading for 4.4 cents, where it remains at the time of writing. Year-to-date, the Osprey share price is up 46.7%.

More reading

• CLINUVEL share price races higher on Q4 update
• Is the Fortescue share price too expensive?
• Super Retail share price rockets after surprisingly strong FY 2020 performance
• Is this your last chance to buy Altium shares for a good price?
• 3 quality ETFs I’d buy for my portfolio

Motley Fool contributor Bernd Struben 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 CLINUVEL Pharmaceuticals Limited (ASX: CUV) share price is racing higher on Friday after the release of its fourth quarter update.

At the time of writing the pharmaceutical company’s shares are up 4% to $23.26.

How did CLINUVEL perform in the fourth quarter?

During the fourth quarter of FY 2020, CLINUVEL recorded cash receipts of $10.4 million. While this was almost double the cash receipts of $5.37 million it achieved in the prior quarter, this was largely down to seasonal factors.

The company’s SCENESSE product is used to treat erythropoietic protoporphyria (EPP), a disease that causes itching, burning, and scarring of the skin on contact with sunlight. Given that the company has a focus on the Northern Hemisphere market, its sales are strongest during its spring and summer periods.

In comparison to the prior corresponding period, cash receipts actually declined 20% from $13 million.

Management notes that many of the countries in which CLINUVEL operates are still experiencing lockdowns and disruptions to daily life and commercial operations. This led to some clinics either deferring orders or reducing order sizes in the initial months of the COVID infections.

Nevertheless, despite the lower cash receipts, the company generated positive cash flow for the quarter. Net cash flow for the quarter came in at $7.2 million, lifting its cash and equivalents on hand by 7% over the quarter to $66.75 million.

Demand largely unaffected.

CLINUVEL’s Chief Financial Officer, Darren Keamy, revealed that demand remained strong despite the pandemic.

He said: “Against the global economic contraction, CLINUVEL is best positioned to invest in its planned growth and expansion, and patient demand for treatment has been largely unaffected, a testament to the impact of EPP on patients’ lives and their need for ongoing treatment.”

“Looking back, we have had a clear, long-held, view on how to optimise our resources and prepare for adverse economic conditions. By maintaining a strong cash position, we are able to respond to changes quickly and nimbly, limiting the need to return to investors to access capital and allowing us to focus on the long-term growth of the Group,” Mr Keamy said.

More reading

• These are the 10 most shorted shares on the ASX
• These are the 10 most shorted shares on the ASX
• ASX 200 jumps 1.3%: Big four banks drop lower, Afterpay up after U.S. update
• Here are the 10 most shorted shares on the ASX
• These are 10 most shorted shares on the ASX

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 Fortescue Metals Group Limited (ASX: FMG) share price has been a big success story in 2020.

Shares in the Aussie iron ore miner have rocketed 61.2% higher this year. Many would point to a surging iron ore price as the key factor.

However, shares in rival miner BHP Group Ltd (ASX: BHP) have actually fallen this year. So, what’s going on with the Fortescue share price and is it too far gone to buy?

Why Fortescue’s value is surging

The Fortescue share price climbed a further 4.3% higher yesterday and hit a new record high of $17.55 per share.

That came after the Aussie miner beat its upgraded export target and said it can maintain that in the year ahead.

Fortescue shipped 47.3 million tonnes in the last quarter and 178.2 million tonnes for the year. That smashed expectations and saw the miner’s shares soar higher.

After yesterday’s performance, Fortescue is fast becoming one of the hottest ASX shares on the market this year. 

Is the Fortescue share price too expensive?

Despite trading at an all-time high, Fortescue’s price-to-earnings (P/E) ratio is surprisingly low.

The Aussie iron ore miner trades at a 7.8 multiple which is nearly half that of BHP (14.6). Granted, Fortescue is more of a pure-play iron ore miner compared to BHP which has significant other interests like petroleum.

But with strong growth forecasts for the year ahead and high iron ore prices, a P/E of 7.8 seems remarkably cheap.

One factor that does weigh on Fortescue is its iron ore quality. Fortescue sells ore with a lower purity compared to its rivals which means it does fetch a lower price.

However, I still think that it could be a good value buy given what the relative valuation metrics are saying right now.

Given the strong success this year, I think many investors would be hoping for a tasty dividend in the company’s August results.

That would be great news for investors particularly in the current market where ASX dividend shares are hard to find.

What other shares are there to watch in August?

I think all of the top performers in 2020 are worth watching. That means I’d include A2 Milk Company Ltd (ASX: A2M) and Afterpay Ltd (ASX: APT) as ‘must watch’ ASX shares in August.

More reading

• Why Fortescue and these ASX 200 shares are at record highs
• ASX 200 rises 0.75%, Fortescue impresses and Macquarie remains robust
• ASX 200 jumps 0.7%: Fortescue impresses, Macquarie’s tough Q1, big four banks rise
• Why Afterpay, Fortescue, Marley Spoon, & Splitit shares are racing higher
• Fortescue’s share price in focus as it beats guidance on record quarterly shipments

Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of A2 Milk and 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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In morning trade on Friday the Super Retail Group Ltd (ASX: SUL) share price is storming higher. This follows the release of an update on its expectations for FY 2020.

At the time of writing the retailer’s shares are up 12% to $9.07.

How did Super Retail perform in FY 2020?

Super Retail revealed that its sales rebounded strongly during final quarter following the easing of COVID-19 restrictions.

Following a 26.2% decline in monthly like-for-like sales in April, monthly like-for-like sales increased by 26.5% in May. Pleasingly, this positive trading momentum continued in June with an increase in monthly like-for-like sales of 27.7% compared to the prior corresponding period.

As a result, Super Retail recorded like-for-like sales growth of 3.6% and total sales growth of 4.2% in FY 2020. Total revenue is expected to be approximately $2.82 billion.

What were the drivers of its sales growth?

The Supercheap Auto business was the star of the show in FY 2020. It recorded a 6.3% increase in like-for-like sales and a 7.6% jump in total sales.

This was supported by its Rebel business, which delivered like-for-like sales growth of 2.7% and a 3.3% increase in total sales.

Also performing positively was the BCF business. It delivered 3% like-for-like sales growth and a 4% lift in total sales.

Management advised that these businesses benefited from a significant uplift in domestic tourism and travel, personal fitness, and outdoor leisure activities.

However, not all of Super Retail’s businesses performed as positively. The Macpac business was out of form and recorded a 9.1% decline in like-for-like sales and a 5% reduction in total sales.

What about its earnings?

Super Retail expects its pro forma segment earnings before interest, tax, depreciation, and amortisation (EBITDA) to be between $327 million and $328 million in FY 2020. This compares to FY 2019’s segment EBITDA of $315 million.

Whereas pro forma segment earnings before interest and tax (EBIT) is expected to be between $235 million and $236 million. This will be an increase from $228 million in FY 2019.

And on the bottom line, pro forma normalised net profit after tax is expected to be between $153 million and $154 million. This compares to FY 2019’s net profit after tax of $153 million.

Management advised that these pro forma figures exclude one-off pre-tax abnormal items of approximately $54 million. These items include the remediation of team member underpayments, the exit of certain non-core businesses, support office restructure costs, and the accelerated write down of certain assets.

Super Retail Group CEO and Managing Director Anthony Heraghty said: “Given the volatile trading environment, we are very pleased with these results.”

“The Group’s omni-retail channel business strategy has enabled our businesses to adapt quickly to changing consumer behaviour during COVID-19 and delivered a resilient trading performance. We look forward to updating the market with further detail on our 2019/20 financial results at our full year results presentation,” he concluded.

More reading

• Should you buy ASX retail shares in July?
• What the latest economic data could mean for ASX 200 shares
• Is the Super Retail share price cheap today?
• ASX 200 down 0.5%: Sydney Airport and South32 updates, HUB24 delivers record Q4
• Why outperforming ASX retail stocks could be running out of puff

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Super Retail Group 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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Altium Limited (ASX: ALU) is a top ASX tech share.

The Altium share price has edged 3.2% lower this year but remains up 638.4% in the last 5 years.

There’s no doubt the coronavirus pandemic has hurt the company’s valuation. Investors were spooked in March with demand and supply-side concerns.

Altium is set to report its full-year result on Monday 17 August. But does that mean now is your last chance to snap up this top ‘WAAAX’ share for a cheap price?

Why the Altium share price could be good value

I can’t think of an earnings season with as much uncertainty as the one ahead.

Much of the February results are now rendered irrelevant by the pandemic. That means ASX share prices could be more dislocated than ever.

I think the fluctuating AUD–USD exchange rate could also be a factor. Altium has significant US earnings, which means the impact on the August full-year result is worth watching.

Altium’s 14 July trading update gave me some confidence ahead of August. The company achieved a record 17% growth in its subscription base with over 50,000 subscribers. Revenue growth came in at 10% to US$189 million despite the pandemic.

What about the long-term outlook?

The long-term thesis for Altium does remain largely intact, in my view. Altium wants to be a leader and innovator in the printed circuit board (PCB) industry.

I think it has a strong competitive advantage and a high-quality product. The company’s addressable market also remains large and I think if anything design software demand will continue to grow.

Is there any downside?

Unfortunately, yes. If investing in Altium shares was all upside then everyone would be doing it.

I think Altium ticks all the boxes in terms of market position and future potential.

The big downside here is that Altium shares trade at an enormous price-to-earnings (P/E) ratio. As of Thursday’s close, the Altium share price traded at a 59.4 multiple. That means you’re paying a lot today for potential growth in the future.

If Altium continues to kick strategic and financial goals, then that may not be an issue. However, one stumble along the way could result in a big share price drop, like we’ve seen with Nearmap Ltd (ASX: NEA) in recent times.

Foolish takeaway

I do think Altium shares could be headed higher in August. However, I think patience is key for long-term investors and I wouldn’t be rushing to buy just yet.

More reading

• These could be outstanding buy and hold options for ASX investors
• 2 ASX shares to buy and 2 to avoid as deflation bites
• WAAAX or FAANG? Which ASX tech shares to buy in 2020
• 3 of the best ASX tech shares to buy and hold until 2030
• WAAAX shares see mixed recovery from COVID-19

Ken Hall 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 Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Nearmap Ltd. The Motley Fool Australia has recommended Nearmap 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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There are some quality exchange-traded funds (ETFs) that I’d buy for my portfolio.

I think ETFs are a good choice for people who have little interest in researching shares and want diversification.

However, I think ASX ETFs like Vanguard Australian Shares Index ETF (ASX: VAS) are too heavily invested in ASX banks (and miners).

But these quality ETFs are attractive to me:

Vanguard FTSE Asia ex Japan Shares Index ETF (ASX: VAE)

Vanguard is a world-leading provider of low-cost ETFs. Vanguard’s owners are its investors – Vanguard shares the profit by lowering costs as low as possible.

This particular ETF is invested in Asian shares. It’s actually invested in over 1,300 Asian shares. That’s a lot of diversification in from one ETF. But it does offer exposure to big businesses like Alibaba, Tencent, Taiwan Semiconductor Manufacturing, Samsung, AIA, Meituan Dianping, China Construction Bank, Reliance Industries, Ping An Insurance and Hong Kong Exchanges & Clearing.

The management fee is 0.40% per annum, which is pretty cheap as an investor in Asian shares.

The benefit of investing in Asia is that the region is growing much faster economically than other regions. More wealth for citizens should translate into long-term performance of the businesses located there. Particularly ones that provide middle class services like insurance, travel, entertainment and so on. 

However, investors may not want too much of an exposure to this ETF if you’re worried about China-related risks.

Betashares FTSE 100 ETF (ASX: F100)

The UK share market has suffered during COVID-19 just like other share markets around the world. This ETF is invested in the 100 largest businesses on the London Stock Exchange. I think 100 holdings is enough to provide very good diversification

The FTSE is somewhat like the ASX, it even has Rio Tinto among its biggest holdings. I actually like the diversification offered by the FTSE 100 more than the ASX 100. The ASX is too focused on banks and miners in my opinion.

These are some of this ETF’s biggest holdings: Astrazeneca (pharmaceutical), GlaxoSmithKline (pharmaceutical), HSBC (global bank), Diageo (global alcohol company), British American Tobacco, BP (energy), Unilever (global consumer products), Royal Dutch Shell (energy) and Reckitt Benckiser (global consumer products).

So don’t think of this as a UK economy ETF, it is largely international businesses which happen to be listed on the London Stock Exchange.

The UK share market has had a tough few years due to Brexit. But I think it could rebound quite hard after COVID-19 subsides.

One bonus with this ETF is the dividend yield. This year’s dividends will be reduced because of the economic impacts, but in normal years it may pay a pretty good dividend. Even now it offers a dividend yield of around 4.4%.

BetaShares charges 0.45% per annum for this investment option.

Betashares Global Sustainability Leaders ETF (ASX: ETHI)

‘Ethical’ investing could mean different things to different people. Some ethical options just exclude things like weapons manufacturers. Others may exclude gambling. Do oil companies count as unethical?

This ETF invests in businesses which are described as ‘climate leaders’. It excludes the industries I mentioned and more. Also excluded are: uranium and nuclear energy, alcohol, junk food, pornography, a material level of exposure to the destruction of valuable environments, human rights and supply chain concerns and lack of board diversity.

You may think that excluding that many different companies may reduce returns. But it hasn’t. The ETF was launched in January 2017. It has returned an average of 20.7% per annum (after fees) since inception to 30 June 2020. Over the past year it has returned 26.37%. I think that’s great. 

I’m sure you’re interested about what shares make it into this ethical line-up, yet can make such good returns. Its top 10 holdings are: Apple, Mastercard, Visa, Nvidia, Home Depot, Adobe, PayPal, Toyota, Netflix and ASML.

I think that’s a high quality list of names that is pretty diversified. They’re leaders in their respective industries. I believe they could be long-term performers.

Ethical doesn’t have to mean lower returns. Indeed, it seems to have produced strong returns. The ETF owns around 200 businesses, so it also offers very good diversification.

Foolish takeaway

I like all three of these ETFs. For income investors I’d go for the UK ETF and for growth I’d go for the ethical ETF. I think they could be long-term holdings for your portfolio. 

More reading

• How to turn $20,000 into $100,000 with ASX ETF shares
• Is it time to dollar-cost average into ASX shares?
• How to become a millionaire with ASX shares starting with $0
• 5 simple steps to financial independence
• 3 ETFs for simple wealth building

Motley Fool contributor Tristan Harrison 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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Well, August is just around the corner and will mark the 6th month of the coronavirus dominating the news and our lives. The past 6 months have certainly been an interesting time for investing. Since 30 January, the S&P/ASX 200 Index (ASX: XJO) has seen the following values: 7,162 points, 4,546 points and 6,051 points (yesterday’s close). Talk about a rollercoaster.

But, wish as we might, the coronavirus pandemic isn’t going away anytime soon. So how does one invest in this new paradigm? We will have to disregard some old assumptions, to be sure. Amongst many things, the pandemic has certainly yanked some changes forward, such as the transition away from cash. The world just isn’t the same as it was just 6 months ago.

So, with this in mind, here is one ASX share that I think qualifies as a ‘coronavirus share’ — meaning a share that I think is well placed to thrive in this Brave New World.

Enter Nine Entertainment Co Holdings Ltd (ASX: NEC)

Nine is a media conglomerate these days, owning the eponymous Channel Nine network (plus the bevvy of sister channels like 9Go and 9Gem), the 9Now streaming platform as well as the old Fairfax Media newspapers and associated websites (including the Sydney Morning Herald, The Age and the Australian Financial Review), the Macquarie Radio network and the Stan streaming platform.

It also retains a significant portion of online property lister Domain Holdings Australia Ltd (ASX: DHG)’s shares. Now, everyone knows that newspapers aren’t exactly a growth area in today’s modern world. Ditto with traditional live TV channels.

But I think Nine is still poised for growth in a post-COVID world. Lockdowns across the world have famously boosted the prospects of Netflix shares, which are up 46.9% year to date. But Nine’s Stan is a direct rival to Netflix. When Nine last reported its earnings back in February (for the 6 months to 31 December 2019), it told us that it now has more than 1.8 million Stan subscribers. Further, it also told us that around 40% of its earnings are now being sourced from its digital platforms.

Foolish takeaway

Due to this growth, as well as the company’s broad and diversified portfolio of media assets, I think Nine is exceptionally well-placed to thrive in a post-COVID world. As such, it is my top ‘coronavirus’ share going into August. On its current share price of $1.42 per share, I also argue that the Nine share price is looking relatively cheap, still close to 30% off of its pre-COVID highs.

More reading

• 5 things to watch on the ASX 200 on Friday
• Coles and Wesfarmers share prices reach for new highs. Should you invest?
• ASX 200 rises 0.75%, Fortescue impresses and Macquarie remains robust
• 3 underperforming ASX 200 stocks that could beat earnings expectations
• A dirt-cheap ASX dividend share to add to your portfolio today

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Nine Entertainment Co. Holdings 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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