Stock Pick – Page 7118 – Curated Stock Market News

Want high-paying dividends? Try Wesfarmers shares and these 2 other ASX options
Are you looking for an extra income stream? I believe that investing in ASX shares paying high dividends is an excellent strategy for achieving this. My top 3 picks right now are BHP Group Ltd (ASX: BHP), Telstra Corporation Ltd (ASX: TLS) and Wesfarmers Ltd (ASX: WES) shares.

All 3 of these ASX 200 shares pay strong dividends and are fully franked. This can further boost your income as you get a 30% tax rebate.

Wesfarmers shares

Wesfarmers is a highly diversified business. I believe this is the group’s core strength.

It has operations across a broad spectrum of the Australian economy. This provides it with a buffer to any industry-specific challenges that may come its way.

Wesfarmers has operations in general retail segments including merchandise and office supplies. It also has a number of industrial divisions with operations in energy and fertilisers, and industrial and safety products.

It continues to evolve its online offering, which has seen strong demand during the coronavirus pandemic. This includes its online-only channel via Catch and its Target and Kmart online offerings.

The Wesfarmers share price is sitting at $41.72 and offers a very nice forward fully franked dividend yield of around 3.6%.

BHP shares

BHP has diversified operations across a range of divisions. These include iron ore, as well as copper and aluminium.

The mining giant is definitely my pick of the resource companies listed on the ASX right now.

In its April quarterly activities report, it noted that it continues to expect to generate strong cash flows. This is despite the continued challenges it faces in light of the coronavirus pandemic.

Also, with signs of global markets improving, this could see its business pick up further in the second half of the year.

Based on current earnings with a share price of $36.34, BHP offers a very attractive forward fully franked dividend yield of around 5.2%.

Telstra shares

In a recent market update, Australia’s largest telecommunications provider revealed that it is on track to achieve most of its T22 strategy goals.

This includes a goal to reduce its underlying fixed costs by as much as $2.5 billion annually by the end of FY 2022. The telco giant is evolving into a leaner, more efficient telco provider.

Telstra has also witnessed strong demand for its services throughout the pandemic so far. This has helped to boost its recent performance.

I believe that Telstra remains well placed for long-term growth over the next five to 10 years.

Growth over the next few years will be partly driven by its market-leading position in the rollout of 5G services.

In addition, Telstra provides investors with a forward fully franked dividend yield of around 3.1% with a current share price of $3.23.

For additional dividend options to add to your portfolio, have a read of the below report.

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.

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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

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Motley Fool contributor Phil Harpur owns shares of Telstra Limited. The Motley Fool Australia owns shares of and has recommended Telstra 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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6 June 2020
How to build a $20,000 passive income with ASX shares
The current economic environment has got many people thinking about passive income and ASX shares.

The sum of $20,000 creates a baseline level of income that can help to pay the bills and basic living expenses for many individuals.

Of course, that doesn’t mean you can’t continue to work. But the potential to add $20,000 without lifting a finger is enticing to most savvy investors.

So, how can you build a strong passive income stream with ASX shares in 2020?

Save as much as you can

This is a critical step in the process. There’s no magic cure here that will build your wealth overnight.

Trimming down expenses where possible is a great first step. That means creating a budget and looking at cutting down on discretionary spending.

All of this extra income can go towards investing in ASX shares. Whether it’s an extra $500, $5,000 or $50,000 per year, strong savings habits are crucial to developing a passive income.

Invest in ASX shares for a passive income

Once you’ve got strong personal finance habits in place, it’s time to start investing.

There are many ASX shares like Fortescue Metals Group Limited (ASX: FMG) with strong dividend yields.

Of course, dividend yields can be misleading but are the best income indicator we have right now.

At the time of writing, Fortescue shares are yielding 6.88% while Harvey Norman Holdings Ltd (ASX: HVN) shares are yielding 9.18%.

If you can consistently save $10,000 per year and invest in a diversified ASX share portfolio, you can quickly generate a $20,000 passive income stream.

If we assume a 7% average dividend yield, we would need to build a $285,714 portfolio for a $20,000 per year passive income.

Let’s say we save $10,000 per year and invest it in ASX shares. If we receive a 7% yield and reinvest it into these shares, we could generate a $21,588 passive income in just 17 years.

Foolish takeaway

It’s easy to think that creating a passive income from ASX shares is all too hard.

However, while the above calculation is a simplified example, it does demonstrate that discipline and a strong dividend portfolio can help you build your long-term wealth.

For more ASX shares to achieve your retirement goals, check out these top picks today!

5 “Bounce Back” Stocks To Tame The Bear Market (FREE REPORT)

Master investor Scott Phillips has sifted through the wreckage and identified the 5 stocks he thinks could bounce back the hardest once the coronavirus is contained.

Given how far some of them have fallen, the upside potential could be enormous.

The report is called 5 Stocks For Building Wealth after 50, and you can grab a copy for FREE for a limited time only.

But you will have to hurry — history has shown the market could bounce significantly higher before the virus is contained, meaning the cheap prices on offer today might not last for long.

See the 5 stocks

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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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6 June 2020
There’s No Reason to Have FOMO About Royal Caribbean

Royal Caribbean (NYSE:RCL) is having itself a month. RCL stock is up over 40% since the beginning of May on what can only be described as discount shopping at the clearance rack. Right now, it seems that investors keep buying the stock as if they're afraid of missing out on the next leg up.Source: Laszlo Halasi / Shutterstock.com The problem with that thinking is that Royal Caribbean had already nearly doubled from where it had fallen in March. And at around $40 per share, RCL stock felt a little ahead of itself. So, with a stock price nearing $60 per share, it seems like a classic case of investors who have a fear of missing out (FOMO). Royal Caribbean Is Not to BlameLike all cruise lines, Royal Caribbean saw its stock price plummet in March as the Covid-19 pandemic forced a complete suspension of operations. The cruise line industry is no stranger to overcoming situations regarding shipborne illnesses. But the nature of the novel coronavirus and its potential to be transmitted asymptomatically is a particular problem for an industry that relies on having a captive audience for days or even weeks.InvestorPlace – Stock Market News, Stock Advice & Trading TipsThen you throw in the possibility of being quarantined on a cruise ship (those cabins aren't that big) and you can understand why many cruise line passengers may be taking a wait-and-see approach. * 7 Hotel Stocks to Buy Before Vacationing Restarts In early May, I questioned if the stock was priced too high at $41 per share. Since then, the company reported its first-quarter earnings. And it announced that it would not start sailing again until August 1, 2020. That's a month longer than previously planned.The company also said that forward bookings for the remainder of 2020 were "meaningfully lower" on a year-over-year basis. The Future Revenue Picture Is Still Not ClearLast year, Royal Caribbean brought in about $10.6 billion in revenue. On the conference call to discuss first quarter earnings in May, Jason Liberty, RCL's CFO announced that the company had cut back on capacity by 25%.Liberty also stated that Royal Caribbean, like every other cruise line, was offering its guests who had their cruises suspended the option to receive a 125% future cruise certificate (FCC) in lieu of a cash refund. However, as of the earnings call, approximately half (45%) of guests had asked for a refund.On the face of it, retaining approximately half of potential revenue would seem like "less bad" news. But here's something else to remember about the future cruise certificates. In a blog post from the company, Royal Caribbean stated "the deadline to request to change a future cruise credit to a refund deadline is December 31, 2020."It makes sense that many customers will want to take a wait-and-see attitude. If cruise lines begin to sail without incident, they can book a trip. If they don't, they can get their cash refund.The company did say about 20% of the guests who have an FCC have already rebooked future cruises. But here's the rest of that story. On the same conference call, Chairman and CEO Richard Fain spoke about Royal Caribbean's Cruise with Confidence program that allows guests to cancel a booking up to 48 hours before the cruise is set to sail.All of this put together makes a tricky revenue picture even more complex. RCL stock seems priced for the company to realize all available revenue. And that seems unlikely. You Can Wait on RCL StockCovid-19 and the novel coronavirus that causes it will continue to infect cruise lines for quite some time. Fain confidently told investors that he was confident the cruise industry would bounce back similar to what occurred after 9/11.I do believe that people will continue to cruise. As treatments, and possibly a vaccine, become available, the number of passengers should increase. But right now, RCL stock has a price-earnings ratio of over 60 at a time when the cruise line is burning through between $250 million to $275 million per month.My InvestorPlace colleague Todd Shriber has a different opinion. Shriber suggests that you can't wait for the right time to buy cruise line stocks because the market will already have beaten you to it. He also says RCL's forward bookings are within historical ranges.I understand his point, but I don't agree with it. There are times when things can be simple. RCL stock is needlessly expensive at the current price. I want to see revenue before I'm going to overpay for a cruise line stock.Chris Markoch is a freelance financial copywriter who has been covering the market for over five years. He has been writing for InvestorPlace since 2019. As of this writing, Chris Markoch did not hold a position in any of the aforementioned securities. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * Top Stock Picker Reveals His Next 1,000% Winner * The 1 Stock All Retirees Must Own * Look What America's Richest Family Is Investing in Now The post Thereas No Reason to Have FOMO About Royal Caribbean appeared first on InvestorPlace.

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6 June 2020
General Electric is Losing Credibility Amid Multiple Crises

Almost every company could use some positive developments following the novel coronavirus. Arguably, General Electric (NYSE:GE) needs it the most. Even before the pandemic, the once-mighty industrial giant needed everything to go smoothly to lend credibility to its low-probability recovery initiative. But like with the pandemic, everything that could go wrong, did go wrong for GE stock.Source: Sergey Kohl / Shutterstock.com As the health crisis spread, General Electric saw much of its market value evaporate over a matter of days. In that, it was much like so many other publicly traded companies. But the extra cruelty for investors who were still holding the shares, GE stock couldn't even get a proper dead cat bounce. While it briefly managed to get itself out of the hole from its March lows, shares again suffered pressure. Last month, they hit a low that was more shocking than what transpired in March.However, the market gods appeared to show some mercy. Recently, Boeing (NYSE:BA) saw its equity value rise dramatically as the beleaguered company was able to keep two of its 737 Max jetliner customers on the books. SMBC Aviation Capital and AerCap (NYSE:AER), both aircraft leasing firms, decided to defer delivery of their Max orders.InvestorPlace – Stock Market News, Stock Advice & Trading TipsTrue, a deferral isn't the best outcome. But when you have a sea of cancellations to contend with, deferrals keep the business running. And this has very encouraging implications for GE stock. As you know, General Electric makes the LEAP engine that underlines the Max.So, is this an opportunity to jump back into the GE recovery story? I'm afraid not. We have to remember that General Electric was already hurting from the Max fatalities that grounded the otherwise popular jet. Now, we have a pandemic that almost ensures a drawn-out recovery process. Passenger Volume is a Serious Threat to GE StockIf that doesn't give you pause about General Electric stock, consider that one of the reasons traders gambled on it last year was the anticipation that the Max would fly again soon. Sure, passengers were worried, but they typically tend to forget about travel-related disasters, perhaps because they are such low-probability events. * 7 Hotel Stocks to Buy Before Vacationing Restarts Unfortunately, that's not the case with the coronavirus. Although you're very unlikely to contract Covid-19 on any given day, situational probabilities increase depending on your circumstances. For instance, if you're in a flying tube where social distancing is all but impossible — even with unoccupied middle seats — the risk of infection is presumably far greater than quarantining at home.Needless to say, without air travel demand, GE stock is stuck in a battle of inevitability. Currently, airliners see little reason to purchase new aircraft with passenger volumes at ridiculously low levels. Yes, we've seen photos of packed airplanes. However, this stems from air carriers cutting redundant routes to avoid racking up unnecessary costs.Interestingly, it's the same recovery narrative — that demand will eventually return soon — that has driven not only GE stock but also direct players like United Airlines (NASDAQ:UAL) and Delta Air Lines (NYSE:DAL). But does the data support such optimism?I'm skeptical. On May 31, the Transportation Security Administration screened just under 353,000 passengers. This is a huge lift from the lows of April, when the TSA on some days screened fewer than 100,000 flyers. However, this recent figure only represents less than 14% of travel demand from the year-ago period. Click to EnlargeSource: Chart by Josh Enomoto Moreover, travel demand has overall been moving very slowly. In the first half of April, the daily number of passengers screened was only 4.4% of the year-ago level. This metric improved to 7.6% in the first half of May, and to 11.5% in the second half of May.Still, these are terrible figures. Simply put, the airliner industry as it stands cannot survive on a fraction of the demand typically carried. Worse yet, we just don't know when demand will truly normalize, placing GE stock in limbo. Social Unrest is Another Shocking HeadacheAs if that wasn't bad enough, just when most states — including the powerhouses like California and New York — were on the cusp of reopening vast portions of their economies, a wave of protests swept the nation.Granted, the calls for social equality and justice are incredibly compelling and relevant during this fractured time. Further, these protests will probably continue for longer than many might imagine. Truly, they reflect not only racial struggles, but class struggles as well. Keep in mind that millions of Americans are still unemployed.But for GE stock, this is again another example of unwanted developments. First, these protests — some of which have turned shockingly violent — dissuade air travel. Again, without this demand, the need for airplane engines diminishes.Second, I can't help but notice that social distancing and protesting don't go hand-in-hand. Therefore, I think it's only fair to assume that coronavirus cases will accelerate. Worryingly, new daily cases in the U.S. stubbornly remain at the 20,000 level. I'm sure the protests aren't helping matters.So, if we do have second wave of the coronavirus, the travel industry will surely succumb to revamped fears. And that might be it for GE stock. While I'm sympathetic to the company's recovery efforts, there are too many variables at work here.A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * Top Stock Picker Reveals His Next 1,000% Winner * The 1 Stock All Retirees Must Own * Look What America's Richest Family Is Investing in Now The post General Electric is Losing Credibility Amid Multiple Crises appeared first on InvestorPlace.

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6 June 2020
3 of the best ETFs to give ASX investors international exposure
If you’re looking to add some international diversity to your portfolio, then using exchange traded funds (ETFs) is a quick way to do this.

But which ETFs should you buy? There certainly is a lot of choice when it comes to ETFs. To narrow things down, I’ve picked out three that I think would be great additions to most portfolios.

Here’s why I think they are worth considering:

BetaShares NASDAQ 100 ETF (ASX: NDQ)

This first option to consider buying is the BetaShares NASDAQ 100 ETF. This ETF is an easy way for investors to gain exposure to the famous NASDAQ 100 index. This index is filled to the brim with household names from a wide range of industries. These include the likes of Amazon, Costco, Facebook, Starbucks, and video conferencing company, Zoom. I believe the majority of the companies on the index have very bright outlooks. As such, I wouldn’t be surprised to see the Nasdaq 100 continue to outperform the ASX 200 over the next decade.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

Another option that gives investors exposure to international shares is the Vanguard MSCI Index International Shares ETF. In fact, this ETF gives investors to some of the biggest companies in the world. The fund is invested in a total of 1,579 listed companies across major developed countries. Its holdings include the likes of Apple, Nestle, Proctor & Gamble, and Google parent, Alphabet

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

A final option for investors to consider buying is the Vanguard FTSE Asia ex Japan Shares Index ETF. It give investors exposure to some of the biggest and best companies in the Asia market (excluding Japan). In total the ETF is invested in over 1,250 shares across the continent. These include the likes of Tencent, Alibaba, and Samsung. Given how quickly the Asian economy is expected to grow in the future, I believe these companies are well-positioned for growth. This could lead to the ETF outperforming the ASX 200 in the future.

NEW. The Motley Fool AU Releases Five Cheap and Good Stocks to Buy for 2020 and beyond!

Our experts here at The Motley Fool Australia have just released a fantastic report, detailing 5 dirt cheap shares that you can buy in 2020.

One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…

Another is a diversified conglomerate trading over 40% off its high, all while offering a fully franked dividend yield over 3%…

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended Vanguard MSCI Index International Shares ETF. 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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6 June 2020
Why cheap dividend shares could help you retire early in this market rally
Dividend shares could become increasingly popular among income-seeking investors in coming years. Low-interest rates may see shares offer the most attractive return profile among mainstream income-producing assets.

Therefore, buying a selection of cheap shares now which offer dividends could be a sound move. Although the recent market crash may or may not be over yet, the prospect of a long-term market rally may mean that shares offer strong capital returns in the coming years, helping you to retire early.

Low-interest rates

The uncertain outlook for the world economy could mean interest rates experience a prolonged period at low levels. This may help to support the economy while it faces an unprecedented crisis. But it also leaves income-seeking investors with a lack of choice in generating a return from their capital.

For example, mainstream income-producing assets such as cash and bonds may become relatively unpopular. They may fail to offer an inflation-beating return over the next few years. This could increase the demand for dividends with many companies now presenting relatively high yields following the market crash.

Certainly, there is scope for dividends to be cut across many sectors where sales and profitability are under pressure. But a number of companies and industries have reported solid financial performances of late. As such, their shares may experience increasing demand from investors. This is especially true if they are able to increase dividends at an above-inflation pace.

This could lead to a rise in share price to complement attractive income returns over the long run. It could also boost your portfolio returns.

Share market recovery

The share market’s long-term prospects appear to be relatively bright despite a sustained recovery seeming unlikely at the present time. This is due to the potential risk of a second coronavirus wave later in the year and geopolitical challenges concerning the US and China.

However, share market recoveries seemed unlikely during the previous crisis. And while they can sometimes take years to materialise, long-term investors building a retirement nest egg are likely to have sufficient time to benefit from them. As such, equities appear to offer the most obvious means of generating an attractive total return over the long run.

Increasing popularity of dividend shares

Dividend shares could be relatively popular during a market recovery. This is not only for their income prospects but because a growing dividend suggests financial strength and confidence among a company’s management regarding growth potential. Investors may view a company with the financial strength to maintain its growing dividend in a more positive light, relative to its peers.

This may increase demand for its shares and lead to a higher share price, which boosts your chances of retiring early.

For specific shares to build wealth in the years ahead, take a look at this report below.

NEW. The Motley Fool AU Releases Five Cheap and Good Stocks to Buy for 2020 and beyond!

Our experts here at The Motley Fool Australia have just released a fantastic report, detailing 5 dirt cheap shares that you can buy in 2020.

One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…

Another is a diversified conglomerate trading over 40% off its high, all while offering a fully franked dividend yield over 3%…

Plus 3 more cheap bets that could position you to profit over the next 12 months!

See for yourself now. Simply click here or the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.

CLICK HERE FOR YOUR FREE REPORT!

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Motley Fool contributor Peter Stephens 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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6 June 2020
Millennials and Boomers may be looking to de-risk their retirement portfolios

Corey Walther, Allianz Life Financial Services President, joins The Final Round to share how you can de-risk your retirement portfolio and how different generations are responding to COVID-19 inspired volatility.

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6 June 2020
Can you get rich by investing $5,000 a year into ASX shares?
How much do you think you would have now if you had invested $5,000 into the share market each year since 1990?

That’s a total of $150,000 invested over a 30-year period. Maybe it would be worth $250,000 now? Or perhaps even half a million?

Well, you might be surprised to learn that if you earned the market return of 9.5% per annum, you would have generated even more wealth. Today, these investments would be worth approximately $825,000.

I believe this demonstrates how rewarding it can be to invest consistently over a long period.

With that in mind, I have picked out three top ASX shares which I believe would be great options for your first $5,000 investment:

Bubs Australia Ltd (ASX: BUB)

I think Bubs could be a good option for a $5,000 investment. It is an infant formula and baby food company which has been growing at a rapid rate. This has been driven by its expanding distribution footprint in Australia and increasing demand in the Asia market. The good news is that its distribution footprint has just expanded further and demand in China is accelerating. I believe this bodes well for its future earnings growth.

Freedom Foods Group Ltd (ASX: FNP)

Another ASX share to consider investing $5,000 into is Freedom Foods. It is a diversified food company with a focus on healthy eating. Its shares have fallen heavily this year after the pandemic hit a number of its sales channels hard. I believe these headwinds are only temporary and investors ought to take advantage of its share price weakness to buy shares. Especially given its very positive long term earnings growth outlook thanks to increasing demand for UHT dairy products, plant beverages, and cereals and snacks.

ResMed Inc. (ASX: RMD)

A final option for a $5,000 investment is ResMed. I believe the medical device company can continue growing its earnings at a solid rate for some time to come. This is thanks to its exposure to a sleep treatment market growing quickly due to the proliferation of sleep apnoea. I think ResMed will be one of the biggest winners in the market because of its high quality masks and software solutions.

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

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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%.

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As of 2/6/2020

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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 BUBS AUST FPO. The Motley Fool Australia has recommended BUBS AUST FPO, Freedom Foods Group Limited, and ResMed Inc. 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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6 June 2020
Where I’d invest $2,500 in ASX shares today
It’s hard to know where to invest in ASX shares right now. The S&P/ASX 200 Index (ASX: XJO) has roared back to life after the bear market slump in February and March.

There’s so much uncertainty around the economy with monetary and fiscal policy fighting against the impending Aussie recession.

With all that’s going on, here’s where I’d be looking to invest $2,500 right now.

How to invest $2,500 in ASX shares today

I’m a big believer of the old mantra, ‘time in the market beats timing the market’. Essentially this means that you shouldn’t overthink the current market if you’re investing for the long-term.

The ASX 200 has historically trended upwards which is good news for buy and hold investors.

I think buying high-quality ASX shares is the key to long-term wealth.

This means I’m looking at some of the good value, blue chip shares today. For instance, the BHP Group Ltd (ASX: BHP) share price is one I’ve got my eye on.

BHP shares have fallen lower in 2020 but could be due for a rebound. Strong commodity prices may persist for the rest of 2020 and beyond if we see a global infrastructure boom.

That’s good news for the ASX mining share and its earnings. But it’s not just the mining sector that could be set to gain this year.

It’s hard to ignore the healthcare sector amid the coronavirus pandemic. Healthcare companies generally have non-cyclical earnings and some defensive exposure is often a good thing.

This means I’d be looking at an ASX healthcare share like CSL Limited (ASX: CSL).

CSL shares have slumped below the $300 per share mark in recent weeks. This could present a buying opportunity if you’re bullish on the Aussie biotech’s long-term success.

I think CSL has a strong research and development pipeline as well as a competitive advantage in both its influenza vaccinations and blood plasma segments.

This could mean the ASX healthcare share is due for a rebound back towards the $300 mark and beyond in 2020.

For more shares primed for long-term growth, check out these cheap ASX shares 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

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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 CSL Ltd. 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.

The post Where I’d invest $2,500 in ASX shares today appeared first on Motley Fool Australia.

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6 June 2020
Top brokers name 3 ASX 200 shares to sell next week
Once again, a large number of broker notes hit the wires last week. Some of these notes were positive and some were bearish.

Three sell ratings that caught my eye are summarised below. Here’s why top brokers think investors ought to sell these shares next week:

ASX Ltd (ASX: ASX)

According to a note out of Goldman Sachs, its analysts have retained their sell rating and $64.08 price target on this stock exchange operator’s shares. The broker continues to believe that ASX Ltd’s shares are overvalued at the current level following the release of its May update last week. Especially after futures volumes were down sharply for a second month in a row. The ASX Ltd share price ended the week at $87.03.

Magellan Financial Group Ltd (ASX: MFG)

A note out of Morgan Stanley reveals that its analysts have retained their underweight rating and $40.00 price target on this fund manager’s shares. This follows the release of Magellan’s May update which revealed sizeable institutional fund outflows. In light of this outflow, it has concerns over the premium its shares trade at and fears that they could de-rate if funds inflows slow. The Magellan share price last traded at $58.00.

Nufarm Limited (ASX: NUF)

Analysts at Morgans have downgraded this agricultural chemicals company’s shares to a reduce rating with an improved price target of $4.76. According to the note, the broker has concerns over the impact the pandemic is having on its fourth quarter performance. It notes that this has created a lot of near term uncertainty for its earnings. And while it believes its balance sheet is robust, it isn’t enough to prevent a downgrade to a reduce rating. Nufarm shares were changing hands for $4.93 at the end of last week.

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As of 2/6/2020

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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.

The post Top brokers name 3 ASX 200 shares to sell next week appeared first on Motley Fool Australia.

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6 June 2020