Stock Pick – Page 6597 – Curated Stock Market News

TechnipFMC plc (FTI): Hedge Funds De-risking

In this article we will check out the progression of hedge fund sentiment towards TechnipFMC plc (NYSE:FTI) and determine whether it is a good investment right now. We at Insider Monkey like to examine what billionaires and hedge funds think of a company before spending days of research on it. Given their 2 and 20 […]

from Yahoo Finance https://ift.tt/3cDOPGF

7 June 2020
Oil Advances Above $43 After OPEC+ Extends Production Cuts

(Bloomberg) — Oil advanced above $43 a barrel in London after OPEC and its allies agreed to extend historic output curbs by an extra month, promising stricter compliance to ensure members don’t pump more than they pledged.Brent futures added 2.4% after posting a sixth weekly increase on Friday, the longest run of gains since May 2018. The extension is a victory for Saudi Arabia and Russia, which were deadlocked in a brutal price war just two months ago. The de-facto leaders of OPEC+ showed their commitment to shore up oil markets globally over the weekend, and even cajoled Iraq, Nigeria and other laggards to fulfill their promises to reduce production.Following the extension, Saudi Arabia made some of the biggest increases to the price of its crude in at least two decades. The steepest will hit July exports to Asia, while overall, the gains erased almost all of the discounts the kingdom made during its brief price war with Russia.Oil has doubled since April as OPEC+ cuts trimmed a global glut and demand staged a rebound after the easing of restrictions in some countries, particularly China. Still, a sustained recovery may be hampered by deteriorating relations between Washington and Beijing, a second wave of infections, or returning U.S. shale supply following a gain in crude prices.See also: Largest Libyan Oil Field Resumes Output Amid Push for Cease-FireOPEC+ agreed to cut output by 9.6 million barrels a day in July, 100,000 barrels a day less than this month as Mexico will end its supply constraints. Any member that doesn’t implement 100% of its curbs in May and June will make extra reductions from July to September to compensate.“The only potential Achilles heel, in what seemingly is an expected extension of current deep cuts through July, is the caveat of sub-compliant members requirement to compensate for lack of compliance,” Bjornar Tonhaugen, head of oil markets at Rystad Energy, said in a note. “Countries such as Iraq and Nigeria will struggle, we believe, to compensate fully, which puts increased pressure on the coherence of the alliance.”The oil market “is still in a fragile state and needs support,” Russia’s Energy Minister Alexander Novak said in opening remarks at the virtual meeting on Saturday. The cartel will meet again in the second half of June for another review of the oil market.Saudi Arabia’s decision to boost its official selling prices for July also comes as China’s demand is rising. The month-on-month increase for its flagship Arab Light crude to Asia, which accounts for more than half of Saudi oil sales, is the largest in at least 20 years.Meanwhile, offshore drillers idled about a third of oil production in the U.S. Gulf of Mexico, amounting to about 636,000 barrels of daily output, due to Tropical Storm Cristobal, according to the Bureau of Safety and Environmental Enforcement.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

from Yahoo Finance https://ift.tt/30pFvn4

7 June 2020
A Million-Mile Battery From China Could Power Your Electric Car

(Bloomberg) — The Chinese behemoth that makes electric-car batteries for Tesla Inc. and Volkswagen AG developed a power pack that lasts more than a million miles — an industry landmark and a potential boon for automakers trying to sway drivers to their EV models.Contemporary Amperex Technology Co. Ltd. is ready to produce a battery that lasts 16 years and 2 million kilometers (1.24 million miles), Chairman Zeng Yuqun said in an interview at company headquarters in Ningde, southeastern China. Warranties on batteries currently used in electric cars cover about 150,000 miles or eight years, according to BloombergNEF.Extending that lifespan is viewed as a key advance because the pack could be reused in a second vehicle. That would lower the expense of owning an electric vehicle, a positive for an industry that’s seeking to recover sales momentum lost to the coronavirus outbreak and the slumping oil prices that made gas guzzlers more competitive.“If someone places an order, we are ready to produce,” said Zeng, 52, without disclosing if contracts for the long-distance product have been signed. It would cost about 10% more than the batteries now inside EVs, said Zeng, whose company is the world’s largest maker of the batteries.Concerns about batteries losing strength and having to be replaced after a few years is one factor holding back consumer adoption of EVs. Tesla last year flagged it expected to bring into production a battery capable of a million miles of operation, and General Motors Co. last month said it is nearing the milestone. That distance is equivalent to circling the planet 50 times.Anticipating a rapid return to growth for the EV industry, CATL is plowing research-and-development dollars into advances in battery technology. While the coronavirus outbreak will drag down sales throughout this year, EV demand will pick up in early 2021, said Zeng, who founded CATL a decade ago.Car buyers holding back during the pandemic is creating pent-up demand that will be unleashed starting next year, led by premium models, he said. CATL’s customers include BMW AG and Toyota Motor Corp.Zeng’s comments strengthen views that electric vehicles are set to weather the economic slowdown caused by the outbreak better than gas guzzlers. Battery-powered cars will swell to 8.1% of all sales next year in China, which accounts for the largest share of global EV sales, and to 5% in Europe, BNEF predicts.“The pandemic may have a lasting effect throughout 2020, but won’t be a major factor next year,” Zeng said. “We have great confidence for the long run.”CATL struck a two-year contract in February to supply batteries to Tesla, a major boon for the Chinese company as the U.S. electric-car leader has thus far mainly worked with Japan’s Panasonic Corp. and South Korea’s LG Chem Ltd. The deal followed months of negotiations, with Tesla Chief Executive Officer Elon Musk traveling to Shanghai to meet with Zeng.The CATL batteries are set to go into Model 3 sedans produced at Tesla’s massive new factory near Shanghai, which started deliveries around the beginning of this year. Batteries are the costliest part of an EV, meaning suppliers of those components have a chance to reap a lion’s share of the industry’s profits.Zeng said he often shares insights with Musk, with the two exchanging text messages about developments in technology and business. CATL is strengthening its relationship with Tesla, with matters such as cobalt-free batteries on their agenda, Zeng said.“We’re getting along well and he’s a fun guy,” Zeng said of Musk. “He’s talking about cost all day long, and I’m making sure we have the solutions.”Zeng said Musk also requested his help in obtaining ventilators for coronavirus patients. The U.S. billionaire delivered more than 1,000 of the breathing machines from China to officials in Los Angeles in March.Shares of CATL have advanced about six-fold in Shenzhen since its initial public offering in 2018, giving the company a market value of about $47 billion. Tesla, by far the most valuable EV maker, has a market capitalization of about $160 billion.A “trigger point” for electric cars will occur once they overtake gasoline-powered vehicles around 2030-2035, Zeng said. That view is more ambitious than that of researchers such as BNEF, which expects the shift to take place a few years later.CATL, which is adding a production facility in Germany, is set to make more than 70% of batteries required by BMW, an early customer, Zeng said. CATL also works with Volkswagen’s Audi unit and is cooperating with Porsche, he said.Zeng didn’t rule out building a plant in the U.S., though he said the company has no specific plans for now.“Our team has made achievements in competing with our global rivals in overseas markets,” Zeng said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

from Yahoo Finance https://ift.tt/30kfju3

7 June 2020
Could these ASX shares be the future dividend stars that make you rich?
It may seem counterintuitive, but if you’re looking for the best dividend shares to own, it doesn’t necessarily mean you should be buying the ones with the most attractive yields.

I think the best example of this is biotherapeutics company CSL Limited (ASX: CSL).

Very few people think about dividends when they think of CSL. I feel this is completely understandable, given that its shares only offer a trailing 1% dividend yield.

However, anyone that invested in the CSL IPO will not agree with this view. I suspect they will be counting down the days to the next dividend payment from the healthcare giant.

As I mentioned here recently, if you were lucky enough to buy CSL’s shares at its IPO, you could’ve picked them up for a stock-split-adjusted price of $0.76 per share.

Let’s say you bought $20,000 worth of its shares at that point. You would have ended up with approximately 26,316 shares.

We’re not going to focus on what they would be worth today (a lot!), instead we’re going to focus on the dividends these shares would have received this year.

Over the last 12 months, CSL has paid its shareholders two dividends. A final dividend in October 2019 of $1.455 per share and an interim dividend in April of $1.471 per share. Combined, that’s a total of $2.926 per share.

This means that those 26,316 shares you received from a $20,000 investment at its IPO, generated $77,000 of dividends over the last 12 months. That’s almost four times the original investment!

I feel this demonstrates why companies with strong growth potential can become dividend stars even if they only offer small yields.

Which shares could be future dividend stars?

I think three growth shares that could become future dividend stars are fintech company Bravura Solutions Ltd (ASX: BVS), lottery ticket seller Jumbo Interactive Ltd (ASX: JIN), and ecommerce company Kogan.com Ltd (ASX: KGN).

At present Bravura’s shares offer a 2% yield, Jumbo offers a 3.1% yield, and Kogan offers a 1.4% yield.

I believe all three are well-positioned for long term growth thanks to favourable tailwinds, strong businesses, and massive market opportunities. This could make it worth buying them today for the dividends of tomorrow.

And don’t miss out on the highly recommended dividend share below which continues to grow strongly…

NEW: Expert names top dividend stock for 2020 (free report)

When our resident dividend expert Edward Vesely has a stock tip, it can pay to listen. After all, he’s the investing genius that runs Motley Fool Dividend Investor, the newsletter service that has picked huge winners like Dicker Data (+92%), SDI Limited (+53%) and National Storage (+35%).*

Edward has just named what he believes is the number one ASX dividend stock to buy for 2020.

This fully franked “under the radar” company is currently trading more than 24% below its all-time high and paying a 6.7% grossed-up dividend.

The name of this dividend dynamo and the full investment case is revealed in this brand new free report.

But you will have to hurry — history has shown it can pay dividends to get in early to some of Edward’s stock picks, and this dividend stock is already on the move.

See the top dividend stock for 2020

More reading
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 Bravura Solutions Ltd and CSL Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Jumbo Interactive Limited. The Motley Fool Australia owns shares of and has recommended Jumbo Interactive Limited and Kogan.com ltd. The Motley Fool Australia has recommended Bravura Solutions 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.

The post Could these ASX shares be the future dividend stars that make you rich? appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/3dD2sXT
7 June 2020
Why I think the Vicinity Centre share price could be a great buy on Tuesday
Across the past week, Vicinity Centres (ASX: VCX) shares are up by 14.5%. Vicinity is also easily the most traded large-cap share this week on the entire ASX. Last Monday, the real estate investment trust (REIT) announced its intention to carry out an immediate share placement worth $1.2 billion to take pressure off its balance sheet. Eligible investors were able to participate at an 8.1% discount to the last close price of $1.61 on 29 May 2020.

It also plans an additional security placement for $200 million. Last Tuesday it followed this with an announcement that it would cancel its distribution payment for the 6 months to June 30 this year.

The balance sheet

The capital raising has had a large impact on the REIT’s balance sheet. Namely, it reduced the company’s gearing from 34.9% down to 26.6%. Net tangible assets per security (NTA) have reduced to $2.23 from $2.40 pre-placement. Lastly, the REIT is now sitting with cash and unused debt facilities valued at $2.6 billion.

This has clearly impressed investors who have piled into the share. It has also had an impact on several other REIT’s and real estate companies.

“Stay at home” orders and some forced closures have had a unique impact on Vicinity Centres. However, the company has announced that foot traffic is now 74% of the prior year, from a low of 50% in April 2020. Approximately 80% of stores across the portfolio are now trading, from a low of 42% in April 2020.

While revenue is down for this period as the REIT moves to help its retailers, it is taking a raft of cost control measures.

Most large-cap REIT’s on the ASX enjoyed share price gains during the week. At the time of writing this includes Mirvac Group (ASX: MGR), Scentre Group (ASX: SCG), Stockland Corporation Ltd (ASX: SGP) and GPT Group (ASX: GPT).

The case for Vicinity Centres

As is clear above, this REIT is very tightly managed and a good custodian of investors assets. It is currently selling at a price-to-earnings ratio of 5.62. This is lower than many of its large-cap real estate stablemates.

At the current price, it has a twelve-month trailing average distribution yield of 9.23%. This is higher than its sector large-cap contemporaries. While it has cancelled the current distribution it has a prior record of paying a stable distribution every year.

Over the medium term, I believe Vicinity Centres is the best value opportunity among all of the large-cap REIT’s and real estate developers.

However, one of the dirt cheap stocks in the report below might the one that you decide to buy today.

NEW! 5 Cheap Stocks With Massive Upside Potential

Our experts at The Motley Fool have just released a FREE report detailing 5 shares you can buy now to take advantage of the much cheaper share prices on offer.

One is a diversified conglomerate trading over 30% off it’s all-time high, all while offering a fully franked dividend yield of over 3%…

Another is a former stock market darling that is one of Australia’s most popular and iconic businesses. Trading at a significant discount to its 52-week high, not only does this stock offer massive upside potential, but it also trades on an attractive fully franked dividend yield of almost 4%.

Plus, this free report highlights 3 more cheap bets that could position you to profit in 2020 and beyond.

Simply click here to scoop up your FREE copy and discover the names of all 5 cheap shares.

But you will have to hurry because the cheap share prices on offer today might not last for long.

YES! SEND ME THE FREE REPORT!

As of 2/6/2020

More reading
Motley Fool contributor Daryl Mather has no position in any of the stocks mentioned. 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.

The post Why I think the Vicinity Centre share price could be a great buy on Tuesday appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/3h2yoqP
7 June 2020
Stock market news live updates: Stock futures open higher, extending rally

An unexpectedly strong May jobs report fueled a stock rally that briefly sent the Nasdaq Composite above its February 19 record high during Friday’s session.

from Yahoo Finance https://ift.tt/3h3ifRY

7 June 2020
Hedge Funds Cashing Out Of Canadian Natural Resources Limited (CNQ)

In this article you are going to find out whether hedge funds think Canadian Natural Resources Limited (NYSE:CNQ) is a good investment right now. We like to check what the smart money thinks first before doing extensive research on a given stock. Although there have been several high profile failed hedge fund picks, the consensus […]

from Yahoo Finance https://ift.tt/3dFEfjO

7 June 2020
10 ASX 200 shares that are fit for the Queen
The Australian share market is closed today for the Queen’s birthday. In the spirit of this holiday, I thought I would look for 10 ASX 200 shares that I think are fit for a queen.

The 10 shares I have chosen are listed below. Here’s why I think they should be in Buckingham Palace’s portfolio:

a2 Milk Company Ltd (ASX: A2M)

The first ASX 200 share to consider buying is a2 Milk Company. It is a New Zealand-based infant formula and fresh milk company with a focus on A2-only products. This point of difference has gone down well with consumers. This is particularly the case in China where it sales continue to grow rapidly.

Afterpay Ltd (ASX: APT)

Another option to consider is Afterpay. I think this payments company could be a fantastic long term investment due to the way it is revolutionising the payments industry. It still has a significant runway for growth in the United States and opportunities to expand into mainland Europe and Asia.

Altium Limited (ASX: ALU)

Altium is an award-winning printed circuit board (PCB) design software provider. I think it is a standout buy due to its leading position in a market exposed to the Internet of Things boom. I expect the proliferation of electronic devices to lead to increasing demand for its software over the next decade.

Appen Ltd (ASX: APX)

Appen is another exciting ASX 200 share with enormous promise. Its million-plus team of crowd sourced experts prepare the data that goes into the artificial intelligence and machine learning models of some of the biggest tech companies in the world. Given how these markets are expected to grow materially in the future, Appen looks well-placed to profit.

Cochlear Limited (ASX: COH)

I think Cochlear would be another great option. It is one of the world’s leading hearing solutions companies and has a long track record of delivering earnings growth. I believe this trend will continue for a long time to come thanks to the ageing populations tailwind.

CSL Limited (ASX: CSL)

Another ASX 200 share which I would buy is CSL. I think the biotherapeutics company’s shares can continue to be market beaters over the next decade. This is due to the increasing demand for its immunoglobulins, its world class plasma collection network, growing demand for influenza vaccines, and its burgeoning research and development pipeline.

IDP Education Ltd (ASX: IEL)

I think it would be worth considering IDP Education. It is a provider of international student placement services and English language testing services. I’ve been very impressed at the way the company has been performing over the last few years and expect more of the same over the next decade.

Nanosonics Ltd (ASX: NAN)

Another ASX 200 share to consider buying is Nanosonics. I’m a big fan of the infection control specialist due to its very positive long term outlook. Its trophon EPR disinfection system for ultrasound probes has a massive market opportunity and could alone support solid earnings growth over the next decade. But the upcoming launch of new products make the investment proposition even more attractive.

REA Group Limited (ASX: REA)

REA Group is a digital advertising company that operates Australia’s leading property websites. It also operates real estate websites in Europe, Asia, and the United States. While trading conditions are tough now, I expect these headwinds to ease once the pandemic passes. And when they do, I believe its earnings growth will accelerate once again.

SEEK Limited (ASX: SEK)

A final ASX 200 share to consider buying is SEEK. I’m very positive on its long term outlook due to the strength of its core ANZ business and the growth potential of its international operations. This is particularly the case with its China business. I believe it has the potential to underpin strong earnings growth over the next decade.

And here are more top shares to consider. All five recommendations look like future market beaters…

NEW! 5 Cheap Stocks With Massive Upside Potential

Our experts at The Motley Fool have just released a FREE report detailing 5 shares you can buy now to take advantage of the much cheaper share prices on offer.

One is a diversified conglomerate trading over 30% off it’s all-time high, all while offering a fully franked dividend yield of over 3%…

Another is a former stock market darling that is one of Australia’s most popular and iconic businesses. Trading at a significant discount to its 52-week high, not only does this stock offer massive upside potential, but it also trades on an attractive fully franked dividend yield of almost 4%.

Plus, this free report highlights 3 more cheap bets that could position you to profit in 2020 and beyond.

Simply click here to scoop up your FREE copy and discover the names of all 5 cheap shares.

But you will have to hurry because the cheap share prices on offer today might not last for long.

YES! SEND ME THE FREE REPORT!

As of 2/6/2020

More reading
James Mickleboro owns shares of SEEK Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Altium, Cochlear Ltd., CSL Ltd., Idp Education Pty Ltd, and Nanosonics Limited. The Motley Fool Australia owns shares of A2 Milk, AFTERPAY T FPO, and Appen Ltd. The Motley Fool Australia has recommended Cochlear Ltd., Nanosonics Limited, REA Group Limited, and SEEK 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.

The post 10 ASX 200 shares that are fit for the Queen appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/377gHlm
7 June 2020
Is the Macquarie share price the best ASX bank to buy?
The Macquarie Group Ltd (ASX: MQG) share price has been hit hard by the coronavirus concerns in 2020.

Macquarie shares slumped 52.41% lower between 21 February and 23 March as the S&P/ASX 200 Index (ASX: XJO) slumped into a bear market.

Investors were clearly worried about the pandemic’s impact on the Aussie banks.

We saw many banks report billion-dollar impairments while an oil price war also weighed on valuations.

But the Macquarie share price has been on a solid run and edged 0.42% higher in Friday’s trade. That means the ASX bank share climbed 7.30% higher in the last week.

So, with all the volatility, is Macquarie the best bank share to buy today?

Why the Macquarie share price could be a bargain

I like to look at the relative value of Macquarie versus its other major bank peers.

The National Australia Bank Ltd (ASX: NAB) share price is down 20.91% in 2020. Similarly, Westpac Banking Corp (ASX: WBC) shares have fallen 22.45% lower this year.

In contrast, the Macquarie share price is down 14.40%. That says to me that investors are somewhat more bullish on Macquarie versus the other ASX banks.

That could be for good reason, too. Macquarie isn’t so much a retail bank as it is a business and investment bank.

That means Macquarie generates significant earnings from investments like infrastructure and its corporate banking compared to home loans for the other ASX banks.

No one knows if that will be a good or bad thing in 2020. However, I think diversified and strategic investments could translate to some big wins for Macquarie.

The Macquarie share price closed at $118.00 per share on Friday. That means a price to earnings (P/E) ratio of 13.86 right now.

That makes it about on par with Westpac (14.11) and cheaper than NAB (17.48) right now.

Foolish takeaway

There’s no such thing as a sure thing in ASX bank shares right now. However, the Macquarie share price could be a cheap relative buy if it outperforms its major bank peers in 2020.

For more variety outside of the banks, check out this top ASX dividend share today!

NEW: Expert names top dividend stock for 2020 (free report)

When our resident dividend expert Edward Vesely has a stock tip, it can pay to listen. After all, he’s the investing genius that runs Motley Fool Dividend Investor, the newsletter service that has picked huge winners like Dicker Data (+92%), SDI Limited (+53%) and National Storage (+35%).*

Edward has just named what he believes is the number one ASX dividend stock to buy for 2020.

This fully franked “under the radar” company is currently trading more than 24% below its all-time high and paying a 6.7% grossed-up dividend.

The name of this dividend dynamo and the full investment case is revealed in this brand new free report.

But you will have to hurry — history has shown it can pay dividends to get in early to some of Edward’s stock picks, and this dividend stock is already on the move.

See the top dividend stock for 2020

More reading
Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Macquarie 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.

The post Is the Macquarie share price the best ASX bank to buy? appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2AJHN63
7 June 2020
AFL-CIO’s Trumka Says the Enemy Is a Broken Justice System

Jun.05 — AFL-CIO President Richard Trumka discusses the George Floyd protests, police unions and unemployment. He speaks with Bloomberg’s David Westin on “Bloomberg: Balance of Power.”

from Yahoo Finance https://ift.tt/2YeIlcd

7 June 2020