Stock Pick – Page 723 – Curated Stock Market News

Buy this undervalued ASX 200 stock ahead of its demerger
Buying ASX 200 stocks when they are undervalued is a great way to generate big returns.

However, knowing whether something is cheap or simply a value trap can be difficult.

The good news is that analysts at Bell Potter have been doing the hard work for you and believe that big returns could be on the cards for buyers of undervalued Premier Investments Limited (ASX: PMV) shares.

What is the broker saying about this ASX 200 stock?

Bell Potter is feeling very positive about the retail giant’s proposed demerger of its Peter Alexander and Smiggle brands and its potential merger with Myer Holdings Ltd (ASX: MYR). In respect to the latter, it commented:

Premier Investments (PMV) recently announced the proposal received from Myer Holdings (MYR) to divest PMV’s non-core Apparel Brands (AB) to MYR via an all-script sale. We consider few scenarios on how the move could provide revenue/margin/cost savings outcomes for the combined group if the potential merger between Myer and AB succeeds. We see various opportunities for revenue/earnings incrementality up to $3/share within our current PMV valuation.

While MYR shareholders could benefit from an EPS accretion, we see upside to PMV shareholders given the ~64% post-merger ownership in MYR’s upsized earnings base from a previous 31%. While the higher earnings base yielding higher operating margins (BPe ~9% vs MYR’s current 6%) warrants a re-rate, this could see unlocking of significant value in post-merger MYR shares that PMV shareholders will own via the distribution of shares from PMV.

The broker has also spoken positively about the ASX 200 stock’s proposed demerger of the Peter Alexander and Smiggle brands and feels it makes its shares undervalued on current multiples. It adds:

We view PMV’s P/E multiple of ~15x (FY25e, BPe) as attractive, considering the value that we see emerging from the potential demerger of PMV’s two key brands, Smiggle and Peter Alexander which are global roll-out worthy somewhat similar to some of the dominant players such as LOV and LULU, highly profitable in comparison to the peer group (EBIT margins wise). With the Smiggle spin-off due in Jan-25, we await updates on the leadership transition. PMV remains a key preference for us within the Consumer Discretionary sector.

Big returns

Bell Potter has a buy rating and $35.00 price target on the ASX 200 stock. Based on its current share price of $29.83, this implies potential upside of 17% for investors over the next 12 months.

In addition, the broker is forecasting 4%+ dividend yields each year through to at least FY 2026. This boosts the total potential return to approximately 21%.

The post Buy this undervalued ASX 200 stock ahead of its demerger appeared first on The Motley Fool Australia.

Should you invest $1,000 in Myer Holdings Limited right now?

Before you buy Myer Holdings Limited shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Myer Holdings Limited wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See The 5 Stocks
*Returns as of 24 June 2024

More reading
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Premier Investments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 July 2024
3 strong ASX dividend stocks for income investors to buy
Do you have space for some more ASX dividend stocks in your income portfolio? Â If you do, then it could be worth looking at the three names in this article.

That’s because analysts think they are in the buy zone and could provide investors with attractive dividend yields. Â Here’s what they are forecasting from them:

IPH Ltd (ASX: IPH)

IPH could be a great ASX dividend stock to buy this month. It is an intellectual property solutions company with operations across the world.

Goldman Sachs is a fan of the company. This is partly due to its belief that IPH is “well-placed to deliver consistent and defensive earnings with modest overall organic growth.” This is exactly what you want from a dividend stock.

Goldman is forecasting fully franked dividends per share of 34 cents in FY 2024 and then 37 cents in FY 2025. Based on the current IPH share price of $6.25, this represents yields of 5.4% and 5.9%, respectively.

Goldman has a buy rating and $8.70 price target on IPH’s shares.

QBE Insurance Group LtdÂ (ASX: QBE)

Analysts at Goldman Sachs are also feeling positive about this insurance giant and think it could be an ASX dividend stock for income investors to buy.

It likes the company because it “has the strongest exposure to the commercial rate cycle” and that its “North America [business is] on a pathway to improved profitability.”

Goldman expects this to underpin dividends per share of 60 US cents (89.5 Australian cents) in FY 2024 and 63 US cents (93.9 Australian cents) in FY 2025. Based on the current QBE share price of $16.82, this equates to dividend yields of 5.3% and 5.6%, respectively.

Goldman has a buy rating and $20.60 price target on its shares.

SRG Global Ltd (ASX: SRG)

Finally, analysts at Bell Potter rate SRG Global as an ASX dividend stock to buy right now. It is a diversified industrial services group that provides multidisciplinary construction, maintenance, production drilling and geotechnical services.

It highlights that the company’s “short-to-medium term outlook is reinforced by Government-stimulated construction activity.”

Bell Potter is forecasting SRG Global to pay shareholders fully franked dividends of 4.7 cents in FY 2024 and then 6.7 cents in FY 2025. Based on its current share price of 87 cents, this will mean dividend yields of 5.4% and 7.7%, respectively.

The broker has a buy rating and $1.30 price target on its shares.

The post 3 strong ASX dividend stocks for income investors to buy appeared first on The Motley Fool Australia.

Should you invest $1,000 in Iph right now?

Before you buy Iph shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Iph wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See The 5 Stocks
*Returns as of 24 June 2024

More reading
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has recommended IPH and Srg Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 July 2024
Why the Liontown share price could jump 25%+
The Liontown Resources Ltd (ASX: LTR) share price has been having a tough time over the last 12 months.

So much so, the lithium developer’s shares were the worst performers on the ASX 200 index.

During the period, the company’s shares lost a whopping 68% of their value. This means that if you had invested $10,000 into Liontown at the start of the financial year, you would have ended up with just $3,200.

Has this created a buying opportunity for investors? Let’s take a look at what analysts at Goldman Sachs are saying about the company.

Liontown share price could jump 25%+

Analysts at Goldman Sachs have been looking at the company following its recent funding update.

And while the broker is not willing to put a buy rating on its shares right now, it does see a lot of value in the Liontown share price at current levels.

The note reveals that Goldman has reaffirmed its neutral rating with a trimmed price target of $1.15 (from $1.35). Based on its current share price of 91 cents, this implies potential upside of 26% over the next 12 months.

Goldman believes funding risks are now out of the way and cost and ramp up risks are priced in. It said:

Though perceived funding risks are largely alleviated, and cost/ramp up risks appear increasingly priced in, we rate LTR a Neutral on valuation, where LTR is trading at a discount to our revised NAV at ~0.85x, and an implied LT spodumene price of ~US$1,070/t (in line with peers at ~0.85x & ~US$1,080/t), though with significant potential valuation uplift from de-risking/valuation roll-forward.

Speaking of costs, the broker went into further detail about its operating costs, which are expected to be updated in the near future. It adds:

While the ramp up of the underground (UG) mine (first ore late CY24) and associated costs remain a key perceived risk for the stock (from our investor discussions), we see this risk as more modest and increasingly priced in on the current mine development/extraction plan. While LTR has not given updated cost estimates (noting processing is set to start in July and optimisation studies are ongoing; last update Oct-23), we update our estimate of underground mining/unit costs based on our bottom-up quarterly analysis of listed Australian gold assets, where we find escalation of underground mining costs has begun to ease, on average, with underground unit costs showing signs of broadly flat to only modest increases since LTR’s last cost update.

All in all, things could be looking up for Liontown and its share price. Though, investors may want to keep their powder dry until the company updates its costs and ramps up production successfully.

The post Why the Liontown share price could jump 25%+ appeared first on The Motley Fool Australia.

Should you invest $1,000 in Liontown Resources right now?

Before you buy Liontown Resources shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Liontown Resources wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See The 5 Stocks
*Returns as of 24 June 2024

More reading
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 July 2024
I tried Guy Fieri and Gordon Ramsay’s quick burger recipes, and the best one was easier to make
I made Guy Fieri and Gordon Ramsay's 10-minute burgers to see who had the best recipe.

Anneta Konstantinides/Business Insider/Ethan Miller/Getty Images for Caesars Entertainment/Amy Sussman/Getty Images
- I made both Gordon Ramsay's and Guy Fieri's 10-minute burger recipes.
- Fieri's is simpler than Ramsay's recipe, which features way more ingredients and steps.
- I loved both burgers, but Fieri's burger took the top spot in my celebrity-chef showdown.
Guy Fieri and Gordon Ramsay both have 10-minute burger recipes, so I decided it was time for a little showdown in honor of the holiday weekend.

I discovered Ramsay's bacon cheeseburger recipe in his cookbook "Ramsay in 10," which includes 100 recipes that only take 10 minutes. And it was Fieri himself who gave me his burger recipe when I asked for his top burger tips.

"This may be a more complicated answer than you bargained for, because it's not just about a burger recipe," Fieri told me. "It's about the execution of the whole deal. You can get down with whatever toppings you want, but the basics have to be covered."

I whipped up both Ramsay and Fieri's recipes at home to decide who truly had the best — and quickest — burger. Here's how it all went down.
Fieri's burger is all about the classic ingredients.

Fieri's burger includes brioche buns, pickles, and American cheese.

Anneta Konstantinides/Business Insider

To make Fieri's perfect burger at home, you'll need:

Ground beef (Fieri recommends 80% lean, 20% fat)

American cheese slices

Brioche buns

Lettuce

Tomato

Onion

Pickles
And there's very little prep.

First I cut my tomatoes and onion.

Anneta Konstantinides/Business Insider

All you have to do is get the veggies ready. Fieri told me it's important to shred the lettuce, slice your tomato, and "cut those white onions so thin that they only have one side."

Per Fieri's recommendation, I also buttered the buns and popped them into the oven so they could get nice and toasty.

Then I made my patties.

I seasoned my patties with salt and pepper.

Anneta Konstantinides/Business Insider

I seasoned my ground beef with salt and pepper, then shaped it into balls.

Once my patties were ready, I threw one on the griddle and smashed it with a spatula.

Fieri recommends smashing the patties to half an inch thick.

Anneta Konstantinides/Business Insider

Fieri said it was essential that I cook my burgers "on the hottest griddle or cast iron pan you can get."

"You smash it down hard, we're talking a half-inch thick," he added.

The Mayor of Flavortown also told me it was important to let my patty crisp up to "get all that delicious caramelization going." I waited until the sides of my patty got crunchy before I flipped it over.

After flipping my patty, I added the cheese.

Fieri told me American cheese melts really well on patties.

Anneta Konstantinides/Business Insider

Fieri loves using American cheese slices on burgers because "they melt really well," he told me.

Then it was time for Fieri's special cheese-melting trick.

I used a pie tin to help melt the cheese without overcooking my burger.

Anneta Konstantinides/Business Insider

First, I sprayed some water around my burger. Then, per Fieri's instructions, I had to place "some sort of dome or metal bowl" over my patty.

"That steam will melt your cheese before you overcook your burger," he told me.

I didn't have a metal bowl on hand, so I used an old Marie Callender's pie tin I found in my parents' kitchen.

My cheese looked perfect.

The cheese melted perfectly.

Anneta Konstantinides/Business Insider

Less than 10 minutes had gone by and it was already time to build my burger.

Constructing my burger was super easy.

I placed my patty in the bottom bun, then added all the veggies.

Anneta Konstantinides/Business Insider

I placed my patty on the bottom bun, then added the tomato, onion slices, and pickles. I placed the shredded lettuce on the top bun and voilà — I was done!

Fieri's burger tasted just as good as it looked.

I couldn't believe how juicy Fieri's burger tasted.

Anneta Konstantinides/Business Insider

What impressed me most about Fieri's burger was how juicy it tasted, even without a single condiment. The patty — which was perfectly cooked — truly stood on its own. It had just the right amount of crispiness and was packed with flavor.

The brioche bun added a nice hint of sweetness to the overall taste, and the beautifully-melted cheese tasted almost buttery. The burger was pure perfection.

Read my full review of Guy Fieri's perfect burger here.
Ramsay's burger has quite a few more ingredients than Fieri's.

Ramsay's burger includes bacon, cheddar cheese, and red chili.

Anneta Konstantinides/Business Insider

To make Ramsay's cheeseburgers at home, you'll need:

Ground beef

Brioche buns

Bacon

Cheddar cheese

Egg yolks

Frozen red chili

Tomato

Onion

Little Gem lettuce

Mayonnaise

Sriracha
First I prepped my burgers.

I added two egg yolks to my patty, plus the chili.

Anneta Konstantinides/Business Insider

I added 16 ounces of ground beef into a bowl — enough to make four burgers — along with two egg yolks. I then sprinkled salt and freshly ground black pepper on top, along with one grated frozen chili.

I used my hands to mix everything together and made four patties that were each around 1-inch thick.

"Remember that the thicker you make the patties, the longer they will take to cook," Ramsay writes in his book. "So if you want these on the table in under 10, press your burgers until they are a little thinner for a quicker cooking time."

I drizzled some vegetable oil on my griddle and threw my patties on top.

I cooked my patties with the bacon and onion slices.

Anneta Konstantinides/Business Insider

I let my patties cook for four minutes over medium-high heat, seasoning them with some more salt and pepper.

Then I added my bacon and onion slices, increased the heat to high, and let everything cook together.

As my burgers cooked, I prepped Ramsay's special sauce.

I quickly whipped up Ramsay's sriracha mayonnaise sauce.

Anneta Konstantinides/Business Insider

I mixed four tablespoons of mayonnaise with two teaspoons of sriracha in a small bowl, along with some salt and pepper.

I also toasted my buns and prepped my veggies.

Prepping my veggies was also simple.

Anneta Konstantinides/Business Insider

I sliced one tomato and washed some Gem Lettuce leaves for the bottom of my burgers. I also toasted my buns in the oven for about two minutes.

Then I flipped the burgers, bacon, and onions.

I let my bacon, onion, and patties cook for another five minutes.

Anneta Konstantinides/Business Insider

I let them cook for another five minutes. Since my bacon and onion slices were ready before my burgers, I took them off the griddle and placed them on a plate lined with a paper towel.

It was time to add the cheese — and Ramsay uses the same trick as Fieri.

Ramsay uses the same trick as Fieri to melt the cheese.

Anneta Konstantinides/Business Insider

Ramsay also recommends covering the patties with something to help the cheese melt. But, unlike the Mayor of Flavortown, he doesn't spray the burger with water first.

Instead, Ramsay's recipe instructed me to first add some butter to the griddle and place the cheese slices on top of my burgers. Then he recommends covering the patties with a lid or upturned saucepan. I used a metal bowl, which perfectly covered two of my patties.

The cheese looked absolutely beautiful.

The cheese once again came out perfect.

Anneta Konstantinides/Business Insider

This is such an easy trick, and clearly worked really well for both Fieri and Ramsay's burgers. I now consider it an essential part of making a great cheeseburger at home.

Once my patties were ready, I built my burgers.

First I added the veggies before placing my burger on the bun, along with the bacon.

Anneta Konstantinides/Business Insider

First I spread some of Ramsay's sriracha mayonnaise on my bottom buns. Then I added the Gem Lettuce, tomato, and onion slices, plus my cheeseburger and bacon.

After I threw a few more onion slices on top and spread more sauce on my top buns, my burger was ready to go.

Ramsay's burger looked straight out of a restaurant.

Ramsay's burger looked super impressive.

Anneta Konstantinides/Business Insider

There's no denying how impressive this burger looks, and it tasted great, too. The patty was plump and juicy, and I loved the kick of heat from the sriracha mayonnaise and grated chili.

The bacon and onion also gave some nice crunch and savoriness, while the tomato and lettuce added a dose of freshness.

Read my full review of Gordon Ramsay's perfect burger here.

Both Fieri and Ramsay have fantastic burgers, but it's the Mayor of Flavortown who takes my top spot.

Me with Guy Fieri's burger.

Anneta Konstantinides/Business Insider

Fieri pulls off his incredible flavor with far less work and prep than Ramsay's recipe. While you've got to keep track of quite a few different steps to make Ramsay's burger happen in 10 minutes, Fieri's recipe is far simpler — and still delivers fantastic results.

Plus, I couldn't believe Fieri's burger tasted so good without any sauce or condiments. I've found his burger to outshine those I've had from places like Five Guys, and it's comparable to the gourmet burgers I've tried all over New York — for a fraction of the cost.

But at the end of the day, you really can't go wrong with Ramsay or Fieri. Either way, you're going to have one very delicious burger.
Read the original article on Business Insider
4 July 2024
3 tips for making the perfect burger at home, according to the top butcher expert in America
Butcher expert Pat LaFrieda told Business Insider how to make the perfect burger at home.

Ion Tavitian/500px/Getty Images
- Butcher expert Pat LaFrieda told Business Insider how to make the perfect burger at home.
- LaFrieda never adds lettuce to his burger, and he loves using halved grape tomatoes for flavor.
- He prefers brioche buns and only adds a small dollop of mayonnaise for the sauce.
Pat LaFrieda is behind some of the most famous burgers in the world. But when he's whipping up burgers at home, he likes to keep things simple.

Business Insider sat down with LaFrieda to talk about everything from how to buy the best meat to why he only uses American cheese on burgers. And the butcher expert was happy to share his top tips for making the perfect burger.

Pat LaFrieda always makes his burgers medium rare

The perfect burger requires getting both the meat and temperature right. LaFrieda told BI you should always ask for domestic product, and he recommends buying grass-fed, grain-finished meat.

"There's nothing better," LaFrieda said. "It's a lot sweeter, and now it looks like it winds up to be better for the environment than just corn."

LaFrieda also believes six to eight ounces is the perfect size for a homemade burger.

"Personally, I like a six-ounce burger if I'm cooking at home — especially on the grill — because I know I'll finish it, and maybe even have half of another," he said. "It's thick enough where I can still cook it the way I like it, which is medium rare."

LaFrieda told BI he always makes his burger medium rare.

Pat LaFrieda

LaFrieda keeps his toppings and sauce simple — and he always skips the lettuce

LaFrieda usually pairs his meat with just a small dollop of mayonnaise and some halved grape tomatoes.

"There's nothing worse than a big tomato that's almost like a watermelon and has no flavor in it," he said. "Whereas tiny grape tomatoes, all you do is cut them in half, and that's where you get bursts of flavor."

LaFrieda said he prefers to have a Caesar salad on the side instead of adding lettuce to his burger, and he usually skips onions because they can "overpower the flavor" and "linger around well after."

And when it comes to the buns, LaFrieda always loves brioche

LaFrieda said the bun is often overlooked, but it's crucial to a perfect burger.

"It's the first thing you're touching, it's the first thing you're tasting," he continued. "It can't overpower the burger, it can't be too bready."

Brioche buns are LaFrieda's favorite, and he recommends slightly warming them to "bring magic to a burger."

He's also a fan of King's Hawaiian buns, which he said are great when "you want something a little bit different."

LaFrieda doesn't have any special tricks or tips to make the perfect burger, but he says that's the whole point.

"It sounds simple, and it is simple, but it's overlooked," he added. "Really, that's the best burger you can get right there."

Read the original article on Business Insider
4 July 2024
Two luxury rivals are joining forces — and Amazon is getting in on the action
Saks Fifth Avenue is purchasing Neiman Marcus in a mega luxury fashion merger.

John Greim/Getty Images
- Saks Fifth Avenue is purchasing Neiman Marcus for $2.65 billion amid luxury retail challenges.
- Amazon and Salesforce are taking minority stakes in Saks Global, the new company.
- The news shows how hard it is for department stores today — particularly compared to luxury giants.
In a deal that shows just how hard things are getting in the luxury retail space, Saks Fifth Avenue's parent is purchasing rival department store company Neiman Marcus for $2.65 billion, The Wall Street Journal reported.

Amazon — which has long tried to boost its luxury offerings as part of its "everything store" concept — and Salesforce are getting in on it, too, with both taking minority stakes in the new company, Saks Global. The pair will provide technology and logistics support to the latest luxury giant, the Journal said.

As e-commerce and the power of luxury conglomerates like LVMH and Kering have grown, department stores are facing diminishing returns. In 2020, Lord & Taylor filed for bankruptcy. Macy's announced in February that it would be closing 150 stores over the next three years.

In a way, the old palaces of retail are becoming places to browse, perhaps, but not purchase.

Take somebody looking to buy a new luxury bag. They may visit Bergdorf Goodman, a Neiman Marcus-owned store in New York, to try on a few for size before setting their sights on the Loewe Flamenco bag, an it bag from an it brand.

Rather than shell out $2,600 on the spot, they may go home and give it a think — and a Google. Maybe there's a discount code available on e-commerce retailer like Net-a-Porter or Moda Operandi, known for their sales. If not, rather than schlep back to the department store, why not go straight to the source, the Loewe boutique? Like many LVMH brands, Loewe's stores have gotten upgrades in recent years and will surely roll out the royal treatment to those willing to drop a couple of grand. (And you get some nice branded packaging for any unboxing TikToks you want to do, of course.)

The above situation is playing out more and more often, making the consolidation and synergies that a Saks-Neimans merger, which has been in talks for months, all the more appealing. It also makes the new company's leader — Marc Metrick, who runs Saks' e-commerce business — a natural choice.

But it is worth noting that, even together, the brand is a fraction of the size of other luxury powerhouses. The Journal estimated the combined business would have about $10 million in retail sales — just over 10% of the $94 billion LVMH brought in last year.

It may be those conglomerates, which own top brands like Louis Vuitton and Dior (LVMH) and Gucci and Saint Laurent (Kering), that the new Saks is trying most fervently to fend off, especially since many have their own stores or e-commerce operations.

Combined, Saks and Neimans will have more negotiating power with designers, forcing them to loosen their tight control on retail channels, and be able to cut certain logistics costs. The new company can use those savings to boost marketing or the in-store experience to rival those of branded boutiques.

They've got something else in the back pocket of their designer jeans. No matter how mighty Bernard Arnault's LVMH is, there will always be people who do want to browse that curated selection of handbags or outfits — and at least a few of those people will splurge on the spot.

Read the original article on Business Insider
4 July 2024
Australian dividend machines: 3 ASX shares that generate reliable passive income
The Australian share market is a great place to generate passive income.

However, if you want a reliable source of income, you will need to choose your ASX shares carefully.

After all, failure to do so could mean you end up with far less income one year than you were relying on.

With that in mind, let’s take a look at three ASX shares that could be worth considering as part of a balanced income portfolio. They are as follows:

APA Group (ASX: APA)

The first ASX share to look at for passive income is APA Group. It is an energy infrastructure business that owns, manages, and operates a diverse portfolio of gas, electricity, solar and wind assets.

These assets generate a reliable and growing source of income for the company each year. So much so, it is on course to increase its dividend for 20 years in a row.

Analysts at Macquarie believe the company will achieve this. The broker is forecasting APA Group to increase its dividend to 56 cents per share in FY 2024 and then 57.5 cents per share in FY 2025. Based on the current APA Group share price of $7.90, this equates to 7.1% and 7.3% dividend yields, respectively.

Macquarie has an outperform rating and $9.40 price target on the company’s shares.

Coles Group Ltd (ASX: COL)

Another ASX share that could offer a reliable source of passive income is supermarket giant Coles.

Given the company’s strong pricing power, defensive earnings, market leadership position, and favourable dividend policy, it appears well-positioned to continue paying attractive dividends long into the future.

Morgans thinks this will be the case. Its analysts are forecasting Coles to pay fully franked dividends of 66 cents per share in FY 2024 and 69 cents per share in FY 2025. Based on the current Coles share price of $17.03, this implies yields of approximately 3.9% and 4.1%, respectively.

Morgans has an add rating and $18.95 price target on its shares.

Suncorp Group LtdÂ (ASX: SUN)

Finally, Suncorp could be another good option for passive income. It is the insurance company behind brands including AAMI, Apia, Bingle, GIO, Shannons, and Vero, as well as the eponymous Suncorp brand.

Goldman Sachs is positive on the company. It believes some attractive dividend yields are coming for buyers at current levels.

The broker is forecasting fully franked dividends per share of 78 cents in FY 2024 and then 83 cents in FY 2025. Based on the current Suncorp share price of $16.68, this will mean dividend yieldsÂ of 4.7% and 5%, respectively.

Goldman Sachs has a buy rating and $17.54 price target on its shares.

The post Australian dividend machines: 3 ASX shares that generate reliable passive income appeared first on The Motley Fool Australia.

Should you invest $1,000 in Apa Group right now?

Before you buy Apa Group shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Apa Group wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See The 5 Stocks
*Returns as of 24 June 2024

More reading
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group and Macquarie Group. The Motley Fool Australia has positions in and has recommended Apa Group, Coles Group, and Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 July 2024
A 10% dividend yield! Is this ASX All Ords stock a brilliant bargain?
You won’t find many All Ordinaries Index (ASX: XAO) companies with a 10% dividend yield and a fast-rising share price, which is why I think this ASX All Ords stock is a brilliant bargain.

The company in question is ASX coal stock Yancoal Australia Ltd (ASX: YAL).

And for passive income investors who don’t object to funding Aussie coal miners, this is one to run your slide rules over.

A juicy dividend yield AND tremendous share price growth

When you’re on the hunt for passive income stocks with an exceptionally high dividend yield, you’ll often run into stocks that have seen their share prices collapse in recent months. That will drive up the trailing yield, but it can also indicate that future dividends are set to take a dive as well.

Occasionally, you’ll also uncover stocks that have been on a tear and still offer a market-beating dividend yield.

As for Yancoal, the ASX All Ords coal stock has rocketed 52% over the past 12 months. In fact, yesterday, shares closed at a new all-time high of $7.17.

And as for that dividend yield, Yancoal paid a fully franked interim dividend of 37 cents a share on 20 September. Passive income investors will have received the final dividend of 32.5 cents a share on 30 April.

That equates to a full-year payout of 69.5 cents a share.

At yesterday’s closing price, this sees Yancoal shares trading on a fully franked trailing dividend yield of 9.69%.

What’s been going right for Yancoal shares?

The Yancoal share price and dividend yield have remained resilient despite coal prices tumbling from their record highs in 2022. However, the thermal coal price has found support over the past 12 months, broadly trading in the mid-US$130 (AU$195) a tonne range.

At its March quarter report, Yancoal reported receiving an average realised price of AU$180 a tonne. That’s almost double the $89 to $97 a tonne in cash operating cost the miner is targeting in 2024.

On the production side, the ASX All Ords coal stock is forecasting full-year production in the range of 35 million to 39 million tonnes.

After paying shareholders the $429 million in final dividends, Yancoal still held a very impressive $1.2 billion in cash.

I believe these strong metrics, along with strong ongoing global coal demand, should see this passive income star continue to offer a market-beating dividend yield in the year ahead.

The post A 10% dividend yield! Is this ASX All Ords stock a brilliant bargain? appeared first on The Motley Fool Australia.

Should you invest $1,000 in Yancoal Australia Ltd right now?

Before you buy Yancoal Australia Ltd shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Yancoal Australia Ltd wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See The 5 Stocks
*Returns as of 24 June 2024

More reading
Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 July 2024
Is this the best dividend share in the ASX 200?
Many investors have steered clear of discretionary retail shares this year, sending the Super Retail Group Ltd (ASX: SUL) share price down 14% since January. In contrast, the S&P/ASX 200 Index (ASX: XJO) has lifted 1.5% year-to-date.

After the recent decline in its share price, S&P Capital IQ currently values Super Retail Group shares at 13x FY25 earnings estimates.

Historically, Super Retail Group shares have traded at both single-digit and higher multiples, including during the COVID-19 crisis. The current price-to-earnings (P/E) ratio is around the mid-point of its trading range of 8x to 18x.

At the current share price, Super Retail offers a fully-franked dividend yield of 5.6%. While this yield may not be the highest on the ASX, investors should consider the company’s earnings resilience and dividend outlook.

Given these factors, is Super Retail Group the optimal ASX dividend share to consider for investment today?

Resilient earnings

Super Retail Group operates a diverse portfolio of retail brands — including Supercheap Auto, Rebel, BCF, and Macpac — across Australia and New Zealand.

Despite challenges in the retail sector, Super Retail Group has demonstrated robust earnings resilience.

The company reported mixed sales growth in its second-half trading update, with Supercheap Auto sales increasing 1% and BCF sales falling 5%.

In the longer term, its earnings per share (EPS) have increased from 41 cents in FY15 to $1.15 in the last 12 months to December 2023.

While its earnings inevitably swing through ups and downs of economic cycles, the company shows a relatively stable trend compared to other ASX consumer discretionary shares. For example, its EPS fell from 70 cents in FY19 to 55 cents in FY20 during the COVID-19 crisis before recovering to 1.32 in FY21.

The company’s ability to maintain stable earnings amidst fluctuating consumer sentiment and economic conditions highlights its effective management of costs and strategic positioning in essential retail segments.

This resilience underscores Super Retail Group’s capability to navigate market uncertainties and sustain shareholder value over the long term.

What about Super Retail’s dividend history?

Super Retail Group’s commitment to paying consistent and fully-franked dividends, even in tough economic conditions, demonstrates its dedication to shareholder value.

The company has a strong track record of consistently paying dividends to its shareholders. Over the years, its dividend per share (DPS) has increased from 40 cents in FY15 to 76 cents in the last 12 months ending December 2023.

The company maintains generous dividend payout ratios of between 50% to 90%. Even during challenging times, such as the COVID-19 pandemic in FY21, Super Retail Group paid out 51% of its earnings as dividends.

Additionally, the company has always provided 100% franking credits on its dividend payments, enhancing the returns for its shareholders.

Foolish takeaway

Despite some concerns over economic uncertainty and consumer spending, I believe Super Retail Group remains one of the top choices among ASX dividend shares today.

The post Is this the best dividend share in the ASX 200? appeared first on The Motley Fool Australia.

Should you invest $1,000 in Super Retail Group Limited right now?

Before you buy Super Retail Group Limited shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Super Retail Group Limited wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See The 5 Stocks
*Returns as of 24 June 2024

More reading
Motley Fool contributor Kate Lee has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Super Retail Group. The Motley Fool Australia has positions in and has recommended Super Retail Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 July 2024
Replacing Biden with anyone but Harris would be a real headache for Democrats
Patrick Semansky/AP Photo; BI
- President Joe Biden vowed again on Wednesday that he is not dropping out of the race.
- If he does, Vice President Kamala Harris would start out as his best-positioned replacement.
- Harris has both practical and political benefits in her favor.
Democrats would have a practical and political nightmare on their hands if President Joe Biden drops out and they decide to push Vice President Kamala Harris to the sidelines instead of the top of the ticket.

On Wednesday, Biden and Harris jointly proclaimed to campaign aides that they would press on in the face of growing criticism following Biden's disastrous debate, according to the Associated Press.

"I am running. I am the leader of the Democratic Party. No one is pushing me out," he said, according to the AP.

No one, least of all Biden's running mate, can be seen publicly pressuring Biden to give up now.

Harris gets the money — probably.

In the event that Biden does call it quits, the focus will quickly turn to Harris. She is by far the best-positioned of Biden's potential successors to take over. Most importantly, according to campaign finance experts, she would have the easiest path to accessing the Biden campaign's $240 million war chest.

While nobody is quite sure what would happen to the millions should Biden step aside, Harris would probably control the cash — but only if she became the nominee.

"If Harris succeeded Biden as the presidential nominee, she would maintain access to all the funds in the campaign committee and could use them to advance her presidential candidacy," Saurav Ghosh, the director for federal campaign finance reform at the Campaign Legal Center, told Business Insider in an email.

That's because she shares a campaign committee with Biden, Ghosh said. Given her initial involvement with the Biden money — and the presence of her name on FEC filings related to his candidacy — she is likely the only one who could use the money without much issue.

Yet the same rules wouldn't apply if Harris remained the vice presidential candidate or dropped off the ticket altogether.

According to Ghosh, federal contribution limits stipulate that candidate-to-candidate transfers don't exceed $2,000 per election. While the Biden camp could convert the money into a political action committee if someone else was the nominee, there's a catch — PACs can only donate a maximum of $3,300 per election to a different candidate.

"So in either case, there's no legal way for Biden to transfer to a new candidate the $90 million dollars that his campaign currently has on hand," Ghosh told Business Insider.

In a massive return-to-sender effort, the Biden campaign could also refund donations and donors could redirect their money toward the new candidate, campaign finance experts told NBC. Or, in yet another version of the future, the Biden campaign could transfer the funds to the national party.

All things considered, Harris soaring to the top of the ticket if Biden steps aside seems like the simplest solution with regards to the cold hard cash.

But money, of course, is not the only question — though many heads are turning in Harris' direction, longstanding questions about her viability as a candidate remain.

Harris has major support among the Democratic Party's core.

Pushing Harris aside could risk a firestorm. The vice president has repeatedly declared that she's standing behind Biden, but already, influential voices in the party are lining up behind her. Rep. James Clyburn of South Carolina, whose backing helped Biden win the state's 2020 primary, has said he would want Harris if Biden drops out.

"We should do everything we can to bolster her, whether it's in second place or the top of the ticket," Clyburn said on MSNBC on Tuesday.

In Washington, where the optics are never far out of sight, it would be impossible to ignore passing over the first female vice president for a man, or the first Black vice president for a white candidate.

Black voters remain the core of the modern Democratic Party. No single group is a monolith, but none of the major Biden challengers come close to Harris' support in the Black community. According to a recent Economist-YouGov poll, 66% of Black voters view Harris favorably. In comparison, only 47% of Black voters view California Gov. Gavin Newsom favorably; slightly fewer view Michigan Gov. Gretchen Whitmer in the same light.

The same survey found that voters still don't know enough about Whitmer to have an opinion about her, underlining another potential headache. Harris is one of the most-known politicians in the country. Any potential replacement will likely need to introduce themselves to the American people and on the national stage.

This doesn't mean Harris has every advantage. Her notoriety comes with the White House's baggage. Republicans would likely tag her with the same attacks on the economy and immigration that they've used against Biden. Unlike a potential replacement outside the beltway, Harris would struggle to show any major daylight with the president.

Already, Republicans are preparing for a potential Harris bid should she get the nomination and, with it, the campaign money. On Wednesday, the Republican National Committee released a digital ad calling her the "enabler in chief" and blaming her for chaos at the border.

Against ominous music, the ad asks, "Is this who we want to be president?" It seems the Democratic Party, and its donors, have to answer that question, too.

Read the original article on Business Insider
4 July 2024