Tag: Fool

Everyone wants a comfortable retirement — one in which you can relax with family and friends, enjoy time for hobbies and travel, and allow the money you’ve worked so hard for to keep working for you.

But sadly, this aspirational lifestyle doesn’t just magically materialise when you hit retirement age. It needs to be planned and nurtured throughout your working life.

One way to help secure your financial freedom and enable you to retire sooner is by investing in ASX shares. By creating a diverse portfolio of quality Australian companies, you can start building a passive income stream and allow the magic of compounding to boost your wealth over time.

On that note, we asked our Foolish writers which ASX shares they would recommend buying in June and holding through to retirement.

Here is what they came up with:

6 best ASX shares for your retirement fund right now (smallest to largest)

• Betashares Global Cybersecurity ETF (ASX: HACK), $889.88 million
• Lifestyle Communities Ltd (ASX: LIC) $1.51 billion
• Brickworks Limited (ASX: BKW), $4.08 billion
• iShares S&P 500 ETF (ASX: IVV), $7.88 billion
• Washington H Soul Pattinson & Company Ltd (ASX: SOL), $11.55 billion
• Macquarie Group Ltd (ASX: MQG), $75.16 billion

(Market capitalisations as of market close 7 June 2024).

Why our Foolish writers say these ASX stocks are great long-term buys

Betashares Global Cybersecurity ETF

What it does: HACK is an exchange-traded fund (ETF) that currently holds 30 leading global companies focused on cybersecurity. At the time of writing, the ETF’s top four holdings are Broadcom, Cisco Systems, Crowdstrike, and Palo Alto Networks.

By Bernd Struben: When it comes to ASX shares to buy and hold for retirement, I like the instant diversity that comes with buying the HACK ETF. Furthermore, management periodically amends the ETF’s holdings and specific weightings.

With an eye on the long term, the demand for the services provided by the companies HACK holds in safeguarding personal, business and government data from malicious players is only likely to increase. Last week’s data breach announced by Ticketek was just the latest reminder of the ongoing cyber threats.

I also think many of these companies are likely to benefit from the rapid advancement in artificial intelligence (AI), which in turn should boost the returns HACK shareholders will receive.

As for those returns, as at 30 April, the HACK ETF had returned 38.6% over 12 months. The five-year returns average 15.2% annually. Management fees run at 0.67% a year.

Motley Fool contributor Bernd Struben does not own units of the Betashares Global Cybersecurity ETF.

Lifestyle Communities Ltd

What it does: Lifestyle Communities develops, owns and manages affordable, independent-living, residential land-lease communities. At present, it has 32 residential land-lease communities under contract, in planning, in development, or under management.

By James Mickleboro: I think Lifestyle Communities could be a great buy-and-hold option for a retirement portfolio this month. Particularly after a sell-off in April means that its shares are down by almost a third year to date.

This sell-off has been driven by short-term headwinds, which are weighing on its performance. However, nothing has changed with respect to its long-term outlook. Goldman Sachs highlights that this remains very positive thanks to “structural growth in demand for land lease as the sector increases its penetration among retirees.”

In addition, the broker notes that “industry build rates [are] below demand from an ageing population.” It feels this bodes well for Lifestyle Communities and expects settlements “to increase considerably into FY25/26E, driving earnings growth and unlocking cash flow.”

Goldman Sachs currently has a buy rating and an $18.45 price target on Lifestyle Communities shares.

Motley Fool contributor James Mickleboro does not own shares of Lifestyle Communities Ltd.

Brickworks Limited

What it does: Brickworks is a leading manufacturer of building products, including bricks, pavers, and masonry blocks, in Australia and North America. The company is also engaged in property and investment activities.

By Kate Lee: As of December 2023, Brickworks had shareholders’ equity of $3.5 billion. Compared to its current market capitalisation of just over $4 billion, this translates to a price-to-book (P/B) ratio of 1.15 times. This is at the low end of its historical trading range of 1x to 1.6x over the last 10 years.  

While Brickworks is a well-established building materials manufacturer, this business segment represents just about $608 million, or 17% of its shareholders’ equity. The remainder is primarily composed of two parts: investments in listed shares, most notably in Washington H Soul Pattinson & Company Ltd (ASX: SOL), valued at approximately $3 billion, and its property development ventures in collaboration with Goodman Group (ASX: GMG).

I think these property ventures offer significant growth potential. As I recently covered, Brickworks holds prime industrial land holdings in strategic locations such as Western Sydney. Demand for industrial properties — think those logistics centres for retailers, usually located near metropolitan cities — has been soaring globally as consumer demand for online shopping continues to increase.

The ongoing strength of rental prices, increases in land values due to limited supply, and continued land development are likely to support Brickworks’ property valuation, in my view.

In addition, Brickworks is known for its consistent dividend payments, which are attractive to income-focused investors. It offers a fully-franked dividend yield of 2.47% at Friday’s closing share price of $26.72.

I think now is a perfect opportunity to buy this great dividend payer and enjoy the dividend growth in the years to come until your retirement.    

Motley Fool contributor Kate Lee owns shares of Brickworks Limited. 

iShares S&P 500 ETF

What it does: The iShares S&P 500 is an exchange-traded fund (ETF) that tracks the most popular index in the world — the S&P 500 Index (SP: .INX). This index represents the largest 500 companies listed on the US markets. 

By Sebastian Bowen: When thinking about investments one can simply buy today and conceivably hold for decades without much thought, this index fund comes to mind. Endorsed by the legendary Warren Buffett himself, an S&P 500 index fund offers the best of American capitalism. 

For one, it holds 500 of the largest companies in America, and the world for that matter, offering instant industrial, geographical, and economic diversification. 

But the US markets arguably also house the highest calibre businesses on the planet. Apple, Netflix, Alphabet, PayPal, American Express, Coca-Cola, Amazon, McDonald’s… all of these top-tier companies can be found as an investment within the iShares S&P 500 ETF. 

I think the United States will be the backbone of the global economy for decades to come and continue to house the highest-quality businesses in the world to boot. For these reasons, I would happily add this index fund to any retirement portfolio today. 

Motley Fool contributor Sebastian Bowen owns shares of Apple, Netflix, Alphabet, PayPal, American Express, Coca-Cola, Amazon, and McDonald’s.

Washington H Soul Pattinson & Company Ltd

What it does: Soul Patts is an investment business that has been listed on the ASX since 1903. It started as a pharmacy chain and now has a diversified portfolio of assets. Chair Robert Millner is the fourth-generation leader from the same family to chair the company. 

By Tristan Harrison: I believe an effective ASX share for retirement is one that can provide stability, long-term growth and solid dividends.

Soul Patts has created a portfolio of defensive investments that generate resilient cash flow. Some of its biggest allocations are in the sectors of resources, telecommunications, property, agriculture, financial services, electrification, bonds/credit, and swimming schools.

The ongoing growth of its existing assets, plus occasional new investments, is helping Soul Patts increase its own cash flow. This growing cash flow is funding a growing river of dividends from the business. Pleasingly for people in retirement, this ASX share has grown its dividend every single year since 2000, though future increases are not guaranteed.

The company has paid a dividend every year since it was listed in 1903. That means it has delivered passive income through two world wars, two global pandemics, economic crashes (including the GFC and the Great Depression), various prime ministers, and so on.

With a grossed-up dividend yield of around 4%, I think Soul Patts is a solid choice for income and potential capital growth over time. 

Motley Fool contributor Tristan Harrison owns shares of Washington H Soul Pattinson & Company Ltd. 

Macquarie Group Ltd

What it does: Macquarie is a diversified banking giant that differentiates itself through a suite of non-banking services, including investment, asset management, commodities, and infrastructure. I believe Macquarie’s point of difference offers it a competitive advantage that will compound over time.

By Zach Bristow: Rising market tensions, the inflation/rates axis, and a new commodities supercycle have set the new investment landscape. In my opinion, Macquarie is well-positioned to be a long-term beneficiary of these macroeconomic crosscurrents.

Firstly, as mentioned, Macquarie’s offering is differentiated from other Aussie banks, given its exposure to capital markets, infrastructure, and commodities trading. This broad exposure to critical industries gives the bank more recession-proof earnings.

We saw this in FY 2022/23 when many banks were operating tight net interest margins (NIMs), and Macquarie threw off $13.50 in earnings per share (EPS) on dividends of $7.50 apiece. I believe a strong competitive advantage like this is a necessity to comfortably hold an investment into retirement. 

Secondly, while Macquarie’s operating profits were down this year – due to an exceptionally strong 2023 – the bank’s 13% return on equity (ROE) in H2 FY 2024 surpassed the industry’s five-year average of 11%. This fuelled dividends of $6.40 per share for the full year. 

At the current price-to-earnings (P/E) ratio of 21 times, this dividend offers the investor a 3% trailing yield on a 4% earnings yield, comparable to most high-interest vehicles â€“ but also with the prospects of substantial long-term capital gains.

In my opinion, the price/value equation is skewed in our favour when thinking about holding Macquarie shares into retirement.

Motley Fool contributor Zach Bristow does not own shares of Macquarie Group Ltd.

The post Top ASX shares to buy in June and hold for retirement appeared first on The Motley Fool Australia.

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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. American Express is an advertising partner of The Ascent, a Motley Fool company. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Apple, BetaShares Global Cybersecurity ETF, Brickworks, Cisco Systems, CrowdStrike, Goldman Sachs Group, Goodman Group, Macquarie Group, Netflix, Palo Alto Networks, PayPal, Washington H. Soul Pattinson and Company Limited, and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Broadcom and has recommended the following options: short June 2024 $67.50 calls on PayPal. The Motley Fool Australia has positions in and has recommended BetaShares Global Cybersecurity ETF, Brickworks, Macquarie Group, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Alphabet, Amazon, Apple, CrowdStrike, Goodman Group, Netflix, PayPal, and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Three S&P/ASX 200 Index (ASX: XJO) shares set the market ablaze on Friday, each hitting 52-week highs to close out the session.

Technology One Ltd (ASX: TNE), Insurance Australia Group Ltd (ASX: IAG), and QBE Insurance Group Ltd (ASX: QBE) are all showing impressive gains this year.

Let’s explore what’s driving the remarkable performances of these ASX 200 shares and what top brokers are saying about their prospects.

Technology One Ltd (ASX: TNE)

Technology One shares surged to a new 52-week high of $18.37 today before retreating slightly to close at $18.23. This reflects an 18.6% increase this year to date.

Bell Potter is particularly bullish on Technology One. According to my colleague James, the broker attributes its success to consistent profit before tax (PBT) growth over the past four years.

Bell Potter believes the ASX 200 shares’ PBT growth justifies a re-rating to a higher price-to-earnings (P/E) multiple. It has set a price target of $20.25, calling for 11.6% upside from the current share price. This doesn’t include the current 1% trailing dividend yield, totalling nearly 13% potential return.

Goldman Sachs echoes this sentiment. It recently noted the company’s strong, visible earnings profile and attractive valuation.

TNE’s earnings profile is strong, visible and achievable given the [annual recurring revenue] growth outlook, with Goldman Sachs estimates +17% FY23-26E PBT [compounding annual growth rate] even assuming ARR below management.

The broker rates Technology One a buy with a $18.85 per share price target. After this week’s price acton, it is almost there.

Insurance Australia Group Ltd (ASX: IAG)

Insurance Australia Group reached a 52-week high today, climbing to $6.59 per share — a 16% increase in 2024.

My colleague Bronwyn says Citi analyst Nigel Pittaway prefers IAG over Suncorp, citing IAG’s cost-cutting opportunities and better market value.

Despite this, Goldman Sachs holds a neutral rating on the ASX 200 share. It acknowledges several positives, including a strong rate cycle in Australia and earnings growth in its Insurance business.

Goldman analysts point out IAG’s capital flexibility and potential benefits from a decrease in interest rates.

It also says IAG could grow operating earnings, lowering “its expense ratio from largely rate-driven top-line growth”.

Although Goldman’s 12-month price target is $6.30, Citi is more optimistic. It projects a $6.75 price target, suggesting a 7% upside.

QBE Insurance Group Ltd (ASX: QBE)

Shares of ASX 200 insurance giant QBE Insurance hit a 52-week high at $18.67 today, marking a 26% increase year-to-date.

Morgans is constructive on QBE, citing strong interest rate increases in its insurance book as a tailwind. It expects dividends per share of 99 cents in FY 2024 and 108 cents in FY 2025 my colleague Jame reports.

The broker has an add rating with a $20.00 price target on QBE.

Goldman Sachs also rates QBE as a buy, noting the ASX 200 share has the “strongest exposure to the commercial rate cycle”.

Following the insurer’s first quarter results, Goldman analysts increased their forward earnings projections and raised their price target by around 10 cents to $20.90 per share.

If it does hit this mark, it would represent another 52-week high for the company.

The post 3 ASX 200 shares going gangbusters on Friday appeared first on The Motley Fool Australia.

More reading

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• Brokers name 5 fantastic ASX growth shares to buy in June

Motley Fool contributor Zach Bristow 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 Technology One. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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• Goldman Sachs names 2 ASX 200 shares to buy now

Motley Fool contributor Sebastian Bowen has positions in Newmont. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Domino’s Pizza Enterprises, Idp Education, and Pro Medicus. The Motley Fool Australia has recommended Car Group, Domino’s Pizza Enterprises, and Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Full disclosure… I am not a member of The Motley Fool’s investment team, nor would I consider myself an expert in finance. I am a forty-plus woman who is also a wife, mother, a full-time Fool and an investor. My first share purchase was many years ago when I took the advice of someone I’d just met at a barbeque – it was going to be a sure thing. It wasn’t.

Just over 11 years ago I started working for The Motley Fool. I now lead The Motley Fool’s product team here in Australia. In what feels like another life I used to work as an accountant and taught secondary students Business and Economics – over the years I have seen things change in the world of investing.

But one thing that hasn’t changed (enough in my opinion), though, is the number of women investors. Don’t get me wrong, there are women out there investing (and doing quite well for themselves) or who are wanting to invest, but the male voice is dominant in this area. This was highlighted in a conversation I had at a recent member event when I was talking to a guest who pointed out that it would be great to hear a “female” voice and more recently when Scott wrote “Where are the women investors” (hence the title of my article!).

And that’s the reason why I came out from “behind the wall” today (and believe me when I say, this is really out of my comfort zone but hopefully there’s a lesson in that alone!).

So while all the data shows that there is a lack of women investors  – amateur and professional – when compared to our male counterparts, the question is why?

Because what we don’t read very often is that multiple studies have found that women outperform men when investing as we take on less risk, we don’t tend to invest in fads and our temperament sees us better able to handle volatility.

Women talk. But are we talking about the right things? Growing up in the 80s (I’m showing my age) my family didn’t talk about finance, budgets or mortgages – I wish we had.

So, it’s up to us. You, actually.

Now think about what’s stopping you?

Is it that you don’t know “how” or “where” to start?

Is it that you think you don’t have enough funds to put away? What if I told you with a little bit of a mind shift you would be surprised with how you can make it work… for you?

Does it seem overwhelming and you don’t feel you have the knowledge?

No, this isn’t a sales pitch. I’m not going to ask for anything. I want more women to be investors (actually, I really want everyone to!). And, if you’re a woman reading this, I do want to help you take the first – or next – step in your investing journey.

I know when I first started with The Fool my investing knowledge was limited – and I had studied finance! But in the years since, I have read more, listened (even more) and I have been patient.

Now, let’s be honest. I’m not expecting we are going to solve the mystery of investing by writing one small piece… just like I wouldn’t be able to complete a marathon after going for my first 5 kilometre run… but both can start by taking some small steps and building onto them.

It just starts with making a plan and setting your own goal.

For me, that’s two words: financial freedom.

You will often hear us talk about financial freedom, but what is it? I think this is a really personal question and will differ depending on who you ask. For me, it all comes down to my family and the opportunities I hope to provide them. For you, it might be an early retirement, being able to buy the designer handbag (Scott and I will agree to disagree on this), or to travel the world. We are all different, with different goals. But take a moment and think… What’s your goal and how can you get there?

You might not know that answer… and what you think it is today, may change tomorrow (mine likely will!). I’ll return regularly in this space (it’s a nice little surprise for Scott!) but in the meantime if you have thoughts or questions, please drop us a line at info@fool.com.au.

Fool on!

The post The answer to ‘Where are the women investors?’ appeared first on The Motley Fool Australia.

More reading

• Why this jumbo ASX gold stock is targeting a copper pipeline
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Motley Fool contributor Erin Bouwmeester 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.

ASX investors buy gold stocks for many reasons. Perhaps it might be the leveraged exposure to the price of gold that gold miners can provide. It could be a desire to hedge against inflation, deflation or economic or geopolitical uncertainty. It might even be to invest in what many people perceive to be a ‘real’ currency.

But most ASX gold stock investors probably don’t buy a gold miner for its copper pipeline. Yet that’s exactly what one of the ASX’s largest gold miners is reportedly investing in today.

Newmont Corporation (ASX: NEM) is one of the newest gold miners on the Australian share market. It only officially joined the ASX boards in October last year as a result of the US-based Newmont acquiring what was Australia’s largest gold miner at the time – Newcrest Mining – in full.

As part of this takeover deal, Newcrest shares left the ASX, with Australian investors receiving ASX-listed Newmont stock in their place.

At the time, the deal was one that Newcrest investors found too compelling to turn down. After all, Newmont is one of the largest gold miners in the world. And the addition of Newcrest’s portfolio to Newmont’s already impressive stable of long-life gold mines would enhance this reputation even further.

But according to fresh reporting, Newmont is focusing just as much on the red metal as the yellow one going forward.

ASX gold stock CEO sees a red future

Newmont CEO Tom Palmer spoke to the Melbourne Mining Club this week, as reported by The Sydney Morning Herald (SMH). In this interview, Plamer stated that Newmont’s future project pipeline “is all copper”.

Newmont is reportedly considering a joint venture with industrial metals giant BHP Group Ltd (ASX: BHP) in order to tap into BHP’s “significant copper reserves” in the wake of the latter’s failed bid for diversified British miner Anglo American plc (LSE: AAL)

Palmer described the global demand for copper as “tectonic”, opening up opportunities across the mining sector:

The world is going to continue to see the demand for copper drive opportunities where you can buy or where you can build… Whether that’s BHP or other mining companies, that is an important part of how we look at developing that project pipeline.

Newmont currently produces around 150,000 tonnes of copper annually, but Palmer is hoping to expand this production base by focusing on Newmont’s opportunities in Canada and Papua New Guinea.

The ASX gold stock has even indicated it could use proceeds from selling some of its lower-grade projects, such as Western Australia’s Telfer mine, to help expand its copper operations.

Gold is a rather unusual commodity, with the vast majority of produced metal going into jewellery and bullion. Only a small fraction of the world’s annual gold production ends up in industrial applications. In contrast, copper is a foundational metal in the global economy.

The rise in future-facing technologies like electric vehicles and renewable energy has seen many experts forecast a massive supply crunch for the red metal in coming years.

Clearly, Newmont is paying attention. Let’s see what happens with this massive gold (and copper) miner going forward.

The post Why this jumbo ASX gold stock is targeting a copper pipeline appeared first on The Motley Fool Australia.

More reading

• Guess what new trend is taking off amid the soaring gold price
• 5 things to watch on the ASX 200 on Thursday
• Here’s why the Newmont share price is making big ASX news today
• 5 things to watch on the ASX 200 on Monday
• Newmont shares are about to trade ex-dividend. Time to buy?

Motley Fool contributor Sebastian Bowen has positions in Newmont. 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.

It has been another busy week for many of Australia’s top brokers. This has led to the release of a number of broker notes.

Three broker buy ratings that you might want to know more about are summarised below. Here’s why brokers think these ASX shares are in the buy zone right now:

ARB Corporation Ltd (ASX: ARB)

According to a note out of Ord Minnett, its analysts have retained their buy rating and $44.00 price target on this 4×4 accessories company’s shares. The broker has been looking at industry data and was pleased with what it saw. It highlights that new vehicle sales remain strong, particularly in the SUV and 4WD categories. This bodes well for ARB and could be supportive of solid sales growth. In addition, the company’s expansion at home and overseas is another positive that is supportive of the broker’s buy thesis. The ARB share price is trading at $38.34 on Friday afternoon.

IDP Education Ltd (ASX: IEL)

A note out of Goldman Sachs reveals that its analysts have retained their buy rating on this language testing and student placement company’s shares with a reduced price target of $21.75. This follows the release of a market update which revealed that it is being negatively impacted by a more restrictive policy environment in its key destination countries. While Goldman acknowledges that the trading update was soft, it believes it should help investors better frame the earnings base for FY 2025. So, with Goldman expecting IDP Education’s earnings to rebound in FY 2026, it feels now is a good time to snap up its shares while they are down in the dumps. The IDP Education share price is fetching $15.18 today.

Treasury Wine Estates Ltd (ASX: TWE)

Another note out of Goldman Sachs reveals that its analysts have reiterated their buy rating on this wine giant’s shares with an improved price target of $13.40. This follows the release of an update on its North American strategy and the reaffirming of its guidance for FY 2024. Goldman was pleased with both and has boosted its earnings estimates to reflect this. The broker also highlights that Treasury Wine’s shares look attractively priced given the positive delivery of its strategy reset, as well as its double-digit earnings per share growth. It is now eagerly anticipating the company’s China focused business update later this month. The Treasury Wine share price is trading at $12.04 this afternoon.

The post Brokers name 3 ASX shares to buy now appeared first on The Motley Fool Australia.

More reading

• Why IDP Education, Novonix, PYC, and Regis Resources share are racing higher
• Goldman Sachs names 2 ASX 200 shares to buy now
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• 3 ASX 300 shares just rerated by leading brokers
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Motley Fool contributor James Mickleboro has positions in Treasury Wine Estates. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ARB Corporation, Goldman Sachs Group, and Idp Education. The Motley Fool Australia has recommended ARB Corporation and Treasury Wine Estates. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Three S&P/ASX 200 Index (ASX: XJO) stocks are doing more than their fair share to get the benchmark index off to a strong start in June.

After gaining a somewhat tepid 0.5% in May, the ASX 200 is up 1.9% so far in June.

A trend we hope to see continue!

With under three hours left before the closing bell sounds the end of trading for the first week of the new month, here are the three ASX 200 stocks leading the charge higher.

Three soaring ASX 200 stocks

First up we have Graincorp Ltd (ASX: GNC).

Shares in the agribusiness and processing company closed out May trading for $8.32. At the time of writing, shares are swapping hands for $9.32 apiece, up 12.0% in June.

That sees the Graincorp share price up more than 29% so far in 2024. The ASX 200 stock also trades on a fully franked dividend yield of 3.0%.

As for what helped lift the share price this week, Graincorp shares look to have caught some tailwinds from a better-than-expected crop forecast.

As Motley Fool analyst James Mickleboro wrote earlier in the week:

Bell Potter’s analysts note that the ABARE June east coast crop forecast has surprised to the upside. This implies another strong cropping outcome for Graincorp in FY 2025, with the initial June forecast implying the fifth largest crop on record.

Amid Graincorp’s strong run this year, Bell Potter increased its price target to $9.90 a share, implying a potential upside of more than 6% from current levels.

Which brings us to the second ASX 200 stock leading the gainers board in June, Healius Ltd (ASX: HLS), Australia’s second-largest pathology provider.

The Healius share price closed out May at $1.27. At the time of writing, shares are changing hands for $1.38 apiece, up 8.7% in June. Despite that big weekly gain, shares remain down more than 16% in 2024.

Investor interest may have been stirred by the company’s announcement on 30 May that it had entered into a long-term agreement with Australia’s largest Phase 1 clinical research business, Nucleus Network, as its preferred safety pathology provider.

Under the agreement, Healius Pathology will provide safety laboratory testing services for Nucleus Network’s Australian clinical trial sites in Brisbane, Melbourne and Geelong.

Rounding off the list of ASX 200 stocks leading the charge higher in June is The Star Entertainment Group Ltd (ASX: SGR).

Shares in the casino operator closed out May trading for 45 cents apiece. At the time of writing, shares are trading for 49 cents, up 8.9% in June.

That leaves the Star Entertainment share price down just under 7% in 2024.

With no fresh news out from the company, investors may have been doing some bargain hunting after the ASX 200 stock tanked 16.7% in the last two weeks of May.

That big drop came after Star addressed media rumours to confirm it had not received a proposal directly from Hard Rock Hotels and Casinos.

The post 3 ASX 200 stocks leading the charge higher in June appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Why Generation Development, Graincorp, Seek, and Treasury Wine shares are storming higher
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today
• These are the 10 most shorted ASX shares

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.

The S&P/ASX 200 Index (ASX: XJO) is on course to end the week on a positive note. In afternoon trade, the benchmark index is up 0.4% to 7,853.5 points.

Four ASX shares that are rising more than most today are listed below. Here’s why they are climbing:

IDP Education Ltd (ASX: IEL)

The IDP Education share price is up 4.5% to $15.16. Bargain hunters have been buying the language testing and student placement company’s shares after they were sold off again this week following a poor update. Analysts at Goldman Sachs think investors should be snapping them up while they are down. This morning, the broker reiterated its buy rating with a trimmed price target of $21.75. This implies potential upside of over 40% for investors from current levels.

Novonix Ltd (ASX: NVX)

The Novonix share price is up almost 8% to 69.5 cents. This morning, this battery materials company returned from a trading halt after denying that it is planning to launch a capital raising in the near future. Management stated that its capital position is strong and one is not required. It said: “NOVONIX Limited refers to the article published in the Australian Financial Review speculating that NOVONIX will undertake a capital raising. NOVONIX wishes to advise that it has considered its position and is not undertaking an equity capital raising at this time and that its capital position remains strong.”

PYC Therapeutics Ltd (ASX: PYC)

The PYC Therapeutics share price is up 10% to 11 cents. Investors have been buying the clinical-stage biotechnology company’s shares after an update on its drug discovery program, which is directed towards a severe neurodevelopmental disorder known as Phelan McDermid Syndrome (PMS). It notes that PMS is caused by a loss of one functional copy of the SHANK3 gene, resulting in insufficient SHANK3 protein expression in brain cells known as neurons. This morning, PYC revealed that it has been able to restore the missing SHANK3 protein. The company will now progress towards initiating the studies required to enter human trials. This is anticipated to commence in 2025.

Regis Resources Ltd (ASX: RRL)

The Regis Resources share price is up 3.5% to $1.92. Investors have been buying Regis Resources and other ASX gold shares today after the precious metal charged to a two-week high overnight on rate cut hopes. This has led to the S&P/ASX All Ordinaries Gold index outperforming on Friday afternoon with a 1.7% gain.

The post Why IDP Education, Novonix, PYC, and Regis Resources share are racing higher appeared first on The Motley Fool Australia.

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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 Idp Education. 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.

Fortescue Metals Group Ltd (ASX: FMG) shares are trading 1.5% higher today at $24.43 apiece.

The gain comes today despite allegations of intellectual property theft involving its green iron technology. The ASX miner has accused two former executives of misusing confidential information to benefit a rival company, Element Zero.

Investors aren’t deterred by the news by lunchtime Friday. Let’s take a closer look.

Why are Fortescue shares in focus?

Fortescue claims a former chief scientist and senior executive took proprietary information when they left the company in late 2021.

According to reporting from The Australian, the mining giant executed secret raids on the homes and offices of these individuals under court-approved search orders.

Fortescue alleges the former executives used this information to start Element Zero, a competitor in green iron technology. This was an “industrial pilot plant for an electrochemical reduction process”, according to Federal Court Judge John Logan.

These actions represented an “industrial-scale misuse” of its intellectual property, particularly concerning its electrochemical reduction process for carbon-free iron, according to reporting in the Sydney Morning Herald.

Element Zero’s response

Element Zero has denied the allegations, calling them “spurious” and “entirely without merit”. The company plans to apply to set aside the original search orders.

“As Element Zero will demonstrate, its green metals technology was developed independently of and is very different from anything that Fortescue is doing or has done in this space”, the company responded in SMH.

The company continues to advance its technology and plans to build a $3.2 billion green iron ore processing plant in the Pilbara.

Justice Logan noted no final determinations. As to what this means for Fortescue shares long term, only time will tell.

Fortescue’s strategic moves

Despite the legal battle, Fortescue is pushing forward with its green initiatives. In May, the company started its first negotiations to supply 100 million tonnes of green iron to China from its assets in the Pilbara.

This follows a $50 million investment in a pilot plant that, according to The Australian, would produce 1,500 tonnes of green iron annually by 2025.

“Dr Forrest has spruiked his ambitious goal of producing 200 million tonnes a year of carbon-free iron ore for export to the company’s customers”, the reporting said.

Fortescue shares summary

Fortescue shares have had a difficult time in 2024, trading more than 16% in the red since January. However, they have held onto a 21% gain over the 12 months. At the time of writing, they trade on a price-to-earnings (P/E) ratio of 8.6.

The post Fortescue shares rally amid claims of green tech theft appeared first on The Motley Fool Australia.

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Motley Fool contributor Zach Bristow 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.

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to end the week with another gain. At the time of writing, the benchmark index is up 0.3% to 7,847.2 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are falling:

Beach Energy Ltd (ASX: BPT)

The Beach Energy share price is down almost 2% to $1.60. This appears to have been driven by the release of a bearish broker note this morning out of Citi. According to the note, the broker has downgraded the energy producer’s shares to a neutral rating (from buy) and cut its price target to $1.60 (from $1.70). Citi appears a touch nervous ahead of the announcement of the company’s strategic review later this month.

Life360 Inc (ASX: 360)

The Life360 share price is down almost 6% to $13.85. This follows the completion of its Nasdaq IPO and its debut on Wall Street overnight. The location technology company’s shares had a lukewarm debut and finished the session flat. And then in after hours trade its NASDAQ listed shares dropped 1.3% to $26.65. Investors may have been hoping for an explosive start to life on Wall Street and have been left underwhelmed by day one. Management stated that it views the listing and “increased exposure to U.S. investors as a natural next-step in its growth.”

Viva Leisure Ltd (ASX: VVA)

The Viva Leisure share price is down 2% to $1.53. This morning, this health club owner announced the successful completion of its fully underwritten institutional placement. Viva Leisure raised $16 million at a 7.1% discount of $1.45 per new share. Management advised that the placement had strong demand, reflecting support from both existing and new investors. Proceeds will be used to finance the strategic acquisitions of eight health club locations in Western Australia, reimbursement of recent capital expenditure, rebranding, working capital, offer costs, and other strategic initiatives.

Wildcat Resources Ltd (ASX: WC8)

The Wildcat Resources share price is up 5% to 35.5 cents. This is despite there being no news out of the lithium explorer today. However, it is worth noting that a number of ASX lithium stocks are in the red today. For example, lithium giant Pilbara Minerals Ltd (ASX: PLS) is down 1.5% this afternoon. The market appears to believe that lithium prices are not going to be going meaningfully higher any time soon due to a surplus.

The post Why Beach Energy, Life360, Viva Leisure, and Wildcat shares are dropping today appeared first on The Motley Fool Australia.

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Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor James Mickleboro has positions in Life360. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Life360. 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.