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Looking for promising ASX growth shares to add to your portfolio? The Australian share market is a great place to begin. As a reminder, a growth stock is a company that is expected to grow revenues and profits faster than the overall market.

Investors often pay high prices for these companies, but all that glitters is not always gold. While the allure of “growth at all costs” is appealing, one has to look for high-quality businesses in the space.

Here are two top ASX growth contenders that I think could offer significant upside potential.

Flight Centre Travel Group Ltd (ASX: FLT)

The first ASX growth share on the radar today is the Australian-based travel group Flight Centre. Trading at $18.85 per share at the market close on Friday, the stock is down more than 11% this month.

Flight Centre, one of the largest travel groups globally, has a footprint in leisure and corporate travel across the Asia-Pacific region, the Americas, Europe, the Middle East, and Africa. This huge wingspan (pardon the pun), in my opinion, places the company well amid the travel sector’s ongoing recovery after COVID-19 smashed the sector in 2020 and 2021.

The team at Morgans gave Flight Centre a buy rating in a recent note. The broker said the company had the “greatest risk-reward profile” of travel stocks it covered, adding that it was particularly attractive because the business targeted a 2% net profit margin in FY 2025.

Morgans also noted that Flight Centre’s risk lay in executing its changing business model. But, the company was “well placed over coming years” to capitalise on trends in travel recovery.

The broker rated the ASX growth share as an add with a $27.27 price target. This represents a 44% upside potential.

NextDC Ltd (ASX: NXT)

NextDC has been a stellar performer in the ASX growth space, with its shares rising from $8.15 in October 2022 to $17.79 at Friday’s close.

It provides colocation services through its Tier III and Tier IV data centres. These are located in Australia and the APAC region.

The company looks to benefit significantly from the surge in demand for cloud computing and artificial intelligence (AI). As noted recently, AI global revenues are expected to grow at a compound annual growth rate (CAGR) of 72%, according to UBS.

Morgan Stanley rates NextDC a buy with a $20 valuation, whereas fellow broker Morgans values it at $19 per share. This implies a potential gain of 13.5% at the time of publication.

Should you consider these ASX growth shares?

Although past performance is never a guarantee of future results, I think Flight Centre and NextDC represent two interesting opportunities in the ASX growth space.

Both names have strong analyst backing. Flight Centre’s strategic transformation and recovery in travel demand, combined with NextDC’s leadership in data centre services, could be underlying themes that rally both shares.

The post Growth spurt: 2 ASX growth shares set to skyrocket appeared first on The Motley Fool Australia.

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• 3 ASX growth stocks I’d buy with $5,000
• 1 ASX growth stock that turned $10,000 into $21,000 in less than 2 years
• Holidays on hold: How will this affect ASX travel shares?
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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 recommended Flight Centre Travel Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Australian shares have proven to be helpful wealth-builders over the long term. The ASX share market has returned an average return per annum of approximately 10% over the ultra-long term. That level of return can help secure anyone’s future – it doubles someone’s money in around eight years.

I believe there are certain ASX stocks that can deliver returns even stronger than 10% per year following recent sell-offs.

Owning businesses with both capital growth and dividend potential is compelling. The passive income rewards shareholders for holding shares during their ownership. Hence, I think the current valuations make the below Australian shares very appealing.

Accent Group Ltd (ASX: AX1)

Accent is an ASX retail share that distributes several global shoe brands in Australia, including Hoka, Kappa, Vans, Skechers, Henleys, Merrell, Dr Martens, and Ugg. The company also has its own brands, including The Athlete’s Foot, Stylerunner, Platypus, Nude Lucy, and Glue Store.

The chart below shows that the Accent share price has dropped around 30% from April 2023.

I think this is the right time to buy while investors are worried about factors like inflation, interest rates and retail spending. I view retail as a cyclical sector, so it’s good to pounce when conditions appear weak in the short term.

Accent continues to expand its store network, which I believe will enable its earnings to bounce higher in a couple of years once households are able and willing to spend more on retail. A recovery could take two years (or more) because interest rates may take a while to be cut. Having a larger store network could mean more sales and greater scale benefits.

According to the 2026 financial year forecast on Commsec, the Accent share price is valued at just 11x FY26’s estimated earnings with a possible grossed-up dividend yield of almost 11%.

Universal Store Holdings Ltd (ASX: UNI)

This Australian share owns a number of premium youth fashion brands including Universal Store, THRILLS, Worship and Perfect Stranger.

It’s another ASX retail share where the valuation has declined. The Universal Store share price is more than 40% lower than it was in November 2021, as we can see on the chart below.

There are three reasons why I think it’s a buy.

First, its store count continues to grow, giving the company additional scale. In the first half of FY24, it added another six stores to its network, bringing the total network to 100 in Australia.

Second, it is rolling out Perfect Stranger as a standalone retail format. This brand is growing quickly, and HY24 Perfect Stranger sales increased by 59.7% to $6.6 million.

Third, the dividend is appealing. It has grown its dividend each year since 2021 and is projected to pay a grossed-up dividend yield of just under 10% in FY26, according to Commsec. It’s valued at around 10x FY26’s estimated earnings.

Johns Lyng Group Ltd (ASX: JLG)

This Australian share specialises in repairing and restoring buildings and contents after damage from events like storms, flooding, fire and so on. The company has a segment that provides catastrophe response services.

This is another stock where the valuation looks much more appealing after a decline. Since February 2024, the Johns Lyng share price has fallen more than 20%, as shown on the chart below.

The company’s core division continues to grow steadily in Australia and the US. In the HY24 result, the company reported its insurance building and restoration services (IB & RS) revenue increased 13.7% to $426.1 million, and the IB & RS ‘business as usual’ (BaU) earnings before interest, tax, depreciation and amortisation (EBITDA) increased 28.1% to $55 million. I like seeing profit rise faster than revenue.

Compounding earnings at a double-digit pace could see Johns Lyng make significantly more profit in three to five years.

I’m also bullish about the business because it’s growing into adjacent areas that offer defensive earnings. For example, it’s acquiring strata management businesses, which could also unlock synergies with the core business.

According to Commsec, the Johns Lyng share price is valued at around 22x FY26’s estimated earnings.

The post 3 Australian shares to help secure your future appeared first on The Motley Fool Australia.

More reading

• Here’s how I’d target a $2,000 second income by investing $35 a week
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• This ASX dividend share is predicted to pay a 9% dividend yield in 2026!
• Analysts say these small cap ASX shares can deliver big returns
• These ASX 300 shares could rise 35% to 65%

Motley Fool contributor Tristan Harrison has positions in Accent Group and Johns Lyng Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Johns Lyng Group. The Motley Fool Australia has recommended Accent Group and Johns Lyng Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The month of June can be a great time to cast a critical eye over your ASX share portfolio and give it a bit of a shakeup if needed. The end of the financial year is almost upon us, which means the tax implications of shares bought and sold throughout the year will soon be realised.

For those wishing to offset any capital gains made during FY24 by selling off some stock losers, now would be the time to start making these decisions.

Furthermore, with the new financial year not far off, right now can be the perfect opportunity to revisit your investment goals, and sanity-check whether your ASX shares are measuring up.

If you’re looking to bring in some new heavy hitters to your portfolio before FY24 draws to a close, you’ve come to the right place. Because we asked our Foolish writers which ASX shares they think look the most opportune in June!

Here is what they told us:

5 best ASX shares for June 2024 (smallest to largest)

• Objective Corporation Ltd (ASX: OCL), $1.18 billion
• Corporate Travel Management Ltd (ASX: CTD), $1.95 billion
• Webjet Ltd (ASX: WEB), $3.43 billion
• Qantas Airways Limited (ASX: QAN), $10.02 billion
• Vanguard Australian Shares Index ETF (ASX: VAS), $14.81 billion

(Market capitalisations as of market close 31 May 2024).

Why our Foolish writers love these ASX stocks

Objective Corporation Ltd

What it does: If you work in the public sector, there’s a good chance your computer cursor has clicked through one of Objective’s software solutions before. Led by founder and CEO Tony Walls, the company offers software spanning content solutions, planning and building, and regulatory solutions.

By Mitchell Lawler: I’ve been keeping tabs on Objective Corp for a while now. The long-serving software provider made it into my top 10 ASX shares to buy last year. However, I was a little apprehensive about its $14 price tag back then. 

Since then, shares in Objective Corp have slipped 6.6% while net profit after tax (NPAT) has increased 23.8%. As a result, the company’s earnings multiple has compressed from 58 times to 44 – almost a 25% discount. 

Even though a 44.77 times price-to-earnings (P/E) ratio may not seem cheap, I believe it’s enticing enough to take an initial position in what could be a longstanding compounder. 

Walls appears firmly committed, holding roughly 66% of the company’s shares and not having sold a single one in more than 20 years. 

Motley Fool contributor Mitchell Lawler does not own shares of Objective Corporation Ltd.

Corporate Travel Management Ltd

What it does: Corporate Travel Management provides travel services to business clients, helping them manage expenses and optimise staff travel. It has a presence in Australia, New Zealand, North America, Asia, and Europe.

By Tristan Harrison: I recently invested in this S&P/ASX 200 Index (ASX: XJO) stock, and it’s my pick this month due to its planned growth over the next five years.

Corporate Travel is a global leader in the travel industry and expects to continue growing market share over the coming years. In its FY24 half-year result, the company said it aimed to win new clients and bring in an additional $1 billion of new total transaction value (TTV) each year. Its target by FY29 is to attract $1.6 billion of new client work per year.

The ASX 200 stock aims to grow revenue by at least 10% per annum over the next five years, largely thanks to the new client wins. On the expense side, “key projects” are expected to deliver cost savings, so it’s targeting cost growth of just 5% per annum.

With revenue expected to increase faster than costs, the company is predicting earnings before interest, tax, depreciation and amortisation (EBITDA) to climb at a compound annual growth rate (CAGR) of 15% over the next five years. This, in my opinion, indicates exciting potential.

Corporate Travel is also actively pursuing acquisitions, recently noting that some of its competitors are “highly leveraged with debt” hungover from battling to survive the Covid years. Any deals should “add further growth, shareholder value and economies of scale” and will be in addition to the existing five-year growth plan.

Motley Fool contributor Tristan Harrison owns shares of Corporate Travel Management Ltd.

Webjet Ltd

What it does: Webjet’s business-to-consumer (B2C) business provides travel bookings to locations across the world via its online travel agent, OTA. The company’s business-to-business (B2B) operation, WebBeds, acts as an intermediary between hotels and retail travel service providers.

By Bernd Struben: The Webjet share price has surged 34.40% over the past six months. Yet shares are still trading 18% below the pre-Covid levels of January 2020.

Judging by the company’s full-year results for the 12 months to 31 March this year, I believe those pre-pandemic prices could be matched, or even exceeded, in the months ahead. And that could also usher in the return of the Webjet dividend, which has been suspended since early 2020.

Highlights of Webjet’s latest results included a 29% year-on-year increase in revenue to $472 million. And underlying net profit after tax (NPAT) surged 83% to $128 million.

The company is also considering a demerger and separately listing its two travel divisions, WebBeds and Webjet B2C. The board noted the potential of “significant value enhancement” through a separation of its two leading business brands.

As for the balance sheet, Webjet had $630 million in cash as at 31 March.

Motley Fool contributor Bernd Struben does not own shares of Webjet Ltd.

Qantas Airways Limited

What it does: Qantas is Australia’s flag carrier airline and the company behind two complementary airline brands — Qantas and Jetstar. It also operates the Qantas Freight business and the lucrative Qantas Frequent Flyer program.

By James Mickleboro: I think Qantas shares could be a great option for investors in June. This is because I believe the airline operator’s shares are still severely undervalued at current levels despite a recent rebound. The Qantas share price was trading at $6.15 at the close on Friday.

For example, Qantas’ current market capitalisation is still slightly below pre-COVID levels. Yet the company is forecast to deliver earnings that are 50% higher than what it achieved prior to the pandemic. And this isn’t expected to be a one-off. Goldman Sachs believes Qantas’ earnings are structurally stronger now, thanks to its cost reduction program.

But the good news doesn’t stop there. The broker believes the Qantas dividend will return at long last in FY 2025. Goldman is forecasting a 30 cents per share dividend, which equates to a 5% yield.

The broker currently has a buy rating and $8.05 price target on Qantas shares.

Motley Fool contributor James Mickleboro does not own shares of Qantas Airways Limited.

Vanguard Australian Shares Index ETF

What it does: The Vanguard Australian Shares ETF is an exchange-traded fund (ETF) that has the distinction of also being the most popular index fund on the ASX. It offers exposure to the largest 300 ASX shares on our stock market, weighted by market capitalisation. 

By Sebastian Bowen: May saw the ASX plagued by volatility and uncertainty, resulting in a bumpy ride for investors. With geopolitical concerns, economic turmoil in the form of higher inflation, and the possibility of more interest rate hikes set to continue in June, I think this index fund is a sensible choice right now.

VAS is the kind of investment that I like to opt for when it’s difficult to find an ASX share at the right price. It has always historically offered a modest but consistent return, as well as decent dividend income (and franking credit) potential. While we should never bank on past returns, I have great confidence that an investment in this ETF today won’t be regretted down the road.

Considering the diversification built into VAS units as well (thanks to its 300 underlying holdings), this is the investment I’m most likely to top up on this month.

Motley Fool contributor Sebastian Bowen owns units of the Vanguard Australian Shares Index ETF.

The post Top ASX shares to buy in June 2024 appeared first on The Motley Fool Australia.

More reading

• Brokers name 3 ASX shares to buy now
• Qantas shares maintain altitude amid ‘historic’ $5 billion deal
• Wilsons gives its verdict on Webjet and these popular ASX 200 stocks
• Buying ASX shares, rentvesting and co-ownership: How young Australians are achieving home ownership
• Here are the top 10 ASX 200 shares today

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Corporate Travel Management, Goldman Sachs Group, and Objective. The Motley Fool Australia has positions in and has recommended Corporate Travel Management. The Motley Fool Australia has recommended Objective. 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) had a relatively decent time in May. During the month, the benchmark index rose by 0.5% to end the period at 7,701.7 points.

While that was positive, a number of ASX 200 shares smashed the market with significantly stronger returns.

Here are the best performing ASX 200 shares in May:

Telix Pharmaceuticals Ltd (ASX: TLX)

The Telix Pharmaceuticals share price was the best performer on the ASX 200 in May with a gain of 20.6%. The majority of this came on the final day of the month after investors responded very positively to a trial update. The radiopharmaceuticals company released additional positive data from the ProstACT SELECT trial of TLX591. It is a lutetium-labelled rADC therapy for the treatment of adult patients with PSMA-positive metastatic castrate-resistant prostate cancer. Telix’s chief medical officer, Dr David N. Cade, commented that: “TLX591 is a radio-ADC with significant potential advantages compared to small molecule radiopharmaceuticals in treating prostate cancer.”

PEXA Group Ltd (ASX: PXA)

The PEXA share price wasn’t too far behind with a gain of 19.3% in May. This was driven by the property settlements technology company announcing that it is progressing a strategic partnership with UK banking giant NatWest. This partnership will see the UK lender utilise PEXA’s world-leading digital property exchange technology to deliver 48-hour remortgage transactions to its customers. In addition, the bank will extend its use of the PEXA platform to speed up the handling of sale and purchase transactions.

Alumina Ltd (ASX: AWC)

The Alumina share price was on form last month and charged 16.6% higher. This gain relates to the company’s proposed takeover by Alcoa Corp (NYSE: AA). As the aluminium giant is aiming to acquire Alumina in an all-scrip deal, the value of the offer rises and falls with the Alcoa share price. So, with Alcoa’s shares rising strongly in May, the implied value of the offer increased with it. Alumina shareholders stand to receive 0.02854 Alcoa shares if the deal completes. This represents an offer of US$1.27 (A$1.91) per share at present.

Pinnacle Investment Management Group Ltd (ASX: PNI)

The Pinnacle Investment Management share price had a strong month and rose 16.3%. This was despite there being no major news out of the investment management company in May. Though, it is worth noting that the company was the subject of a couple of bullish broker notes during the month. For example, Ord Minnett put a buy rating and $16.00 price target on its shares and Macquarie put an outperform rating and $14.52 price target on its shares. This compares favourably to its current share price $13.18.

The post These were the best performing ASX 200 shares in May 2024 appeared first on The Motley Fool Australia.

More reading

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• Why AVITA Medical, Catapult, Meridian Energy, and Telix shares are storming higher today
• Why is the Telix Pharmaceuticals share price soaring 11% today?
• If you were born in the 1970s or later, your superannuation is delivering the best returns
• 5 things to watch on the ASX 200 on Friday

Motley Fool contributor James Mickleboro has positions in Telix Pharmaceuticals. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended PEXA Group, Pinnacle Investment Management Group, and Telix Pharmaceuticals. The Motley Fool Australia has positions in and has recommended Pinnacle Investment Management Group. The Motley Fool Australia has recommended Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Fortescue Ltd (ASX: FMG) shares were under pressure this week.

So much so, the iron ore giant’s shares lost over 7% of their value across the five days.

This compares to a 0.9% decline by the ASX 200 index over the same period.

Is this a buying opportunity for Fortescue shares?

According to a recent note out of Bell Potter, its analysts think investors should be keeping their powder dry and waiting for a better entry point.

The broker has put a sell rating and $20.63 price target on the miner’s shares. This implies potential downside of approximately 16.5% for investors over the next 12 months.

And while Bell Potter is expecting a decent dividend yield in the region of 7% for investors between now and this time next year, this only limits the potential downside to around 10%.

The note reveals that Bell Potter was unimpressed with the company’s performance during the last quarter. It highlights that Fortescue recorded its “biggest miss” in a decade, which means that a stunning final quarter will be required to turn things around. It said:

While we had been expecting a seasonally soft quarter exacerbated by the derailment, this result was below our expectations and was in fact the biggest quarterly production miss (11% below guidance midpoint) in over a decade (42 quarters). FMG needs to ship 54.2Mt (+25% qoq) in order to meet the 192Mt low end of FY24 production guidance. This would also be a quarterly record, 10% above the previous best of 49.45Mt. This is not to say it can’t be done: in the month of March, FMG achieved record shipments of 18.7Mt (~56Mt quarterly run-rate). Still, the March quarter production result was the biggest miss in 10 years and FMG now requires its biggest beat in 10 years. Inherently, we see the production risk skewed to the downside and forecast ore shipments of 189Mt for FY24.

In light of the above and due to concerns over subdued steel demand, the broker feels that Fortescue shares are overvalued now. It concludes:

Our NPVbased valuation is lowered 6% to $20.63/sh. We continue to see low growth in global steel demand and downside risks dominating the iron ore price outlook. In addition to this we now see the risk of a production guidance miss as being further elevated after the March 2024 quarter result. Dividend yield as a price support remains a factor, but this will fall away with a lower iron ore price. We retain our Sell recommendation.

The post Buy, hold, or sell: What is Bell Potter saying about Fortescue shares? appeared first on The Motley Fool Australia.

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• Why Core Lithium, Fortescue, Peter Warren, and Talga shares are falling today
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• How much could $10,000 invested in Fortescue shares be worth next year?
• 3 top ASX 300 dividend shares to buy now for $3,000 a month in passive income

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 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 was another good day for Hub24 Ltd (ASX: HUB) shareholders on Friday.

That’s because the ASX 200 stock climbed to a record high of $43.08 during the session.

When the financial technology company’s shares hit that level, it meant they were up almost 20% this year.

But things are even better if you step back a little further. On a 12-month basis this ASX 200 stock is up over 70% and on a five-year basis it is now up over 200%.

In respect to the latter, a $10,000 investment back in 2019 would now be worth approximately $30,000.

What is this ASX 200 stock?

HUB24 is a financial technology company behind the HUB24 platform, HUBconnect, the Xplore Wealth platform, Class, and myprosperity.

Its key HUB24 platform offers advisers and their clients a comprehensive range of investment options. This includes market-leading managed portfolio solutions, and enhanced transaction and reporting functionality.

Management notes that as one of the fastest growing platforms in the market, the HUB24 platform is recognised for providing choice and innovative product solutions that create value for advisers and their clients.

Its HUBconnect offering focuses on leveraging data and technology to provide solutions to common challenges for stockbrokers, licensees and advisers. It also enables the delivery of professional advice to more Australians.

Class, which was acquired in 2022, is a cloud-based wealth accounting software company and has been recognised as one of Australia’s most innovative technology companies. It delivers SMSF administration, trust accounting, portfolio management, legal documentation and corporate compliance solutions to financial professionals across Australia.

Finally, Myprosperity is a leading provider of client portals for accountants and financial advisers. It enables streamlined service delivery, increased productivity and enhanced customer experience for finance professionals and their clients.

Across these businesses, HUB24 has $79.7 billion in Platform funds under administration (FUA) and total FUA of $100 billion.

Can HUB24 shares keep rising?

Unfortunately for shareholders, the broker community appears to believe that this ASX 200 stock could be close to peaking for the time being.

For example, a note out of Citi from earlier this month revealed that it has a buy rating and $42.80 price target. This is in line with where its shares currently trade.

Elsewhere, Macquarie and Ord Minnett currently have overweight and buy ratings on its shares with price targets of $44.00. This offers modest upside of approximately 3% from where its shares closed on Friday.

The post Guess which ASX 200 stock just hit a record high? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today

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 Hub24. The Motley Fool Australia has recommended Hub24. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Lovisa Holdings Ltd (ASX: LOV) share price has surged an impressive 66% over the past 12 months, touching a new record high of $34.04 in mid-afternoon trading today.

Shares in the ASX retail stock began to climb in November last year after hitting a 52-week closing low of $17.22 on October 30.

They tracked sideways from January and then broke above the $30 barrier in late February, reaching a prior all-time closing high of $33.22 on 11 April. After peaking at today’s all-time record high, the Lovisa share price has retreated slightly to close at $33.91 on Friday.

So, what has driven this remarkable performance, and should you consider adding Lovisa shares to your portfolio?

Why has the Lovisa share price surged 66% in a year?

Lovisa Holdings is a fashion jewellery retailer with a multinational presence in Australia and more than 20 other countries. Founded in 2010, the company now boasts around 860 locations owned by itself and through franchisees.

The company is well-known for its affordable jewellery ranges while still emphasising quality and style.

Lovisa’s share price has substantially increased over the last year for two reasons: strong growth in its store network and e-commerce platforms and positive analyst sentiment.

Bell Potter – which has maintained a buy rating on Lovisa shares and upgraded its price target to $36 apiece – said the company’s store network was expanding faster in new markets than previously anticipated.

It analysed data from various global markets and projected that Lovisa could grow its store network by 10% annually between FY 2024 and FY 2034.

Additionally, Lovisa has been building momentum on its e-commerce platforms in Australia and the United States compared to its peers. If the company hits these growth numbers, it could contribute to increased earnings and, potentially, market valuation.

Recent financial performance

Lovisa reported its H1 FY 2024 financial results in February. The company grew revenues 18% year over year, leading to an 18.9% increase in gross profit. The gross profit margin also rose by 40 basis points to 80.7%.

Comparable store sales for the same period increased by 0.3% year over year, while total sales rose by 19.6% compared to the previous year.

What’s next for the Lovisa share price?

With the Lovisa share price hitting new highs and strong growth prospects ahead, investors are watching closely as the company continues to execute its expansion plans and e-commerce strategy.

Lovisa CEO Victor Herrero said in the H1 FY 2024 results that the company was looking to “move forward with growth in both existing and new markets”.

To that point, it had already opened nine new stores in H2 FY 2024, bringing the total network to 860 sites.

Bell Potter’s positive outlook underscores confidence in Lovisa’s ability to continue growing revenues for the coming decade.

Foolish takeaway

Lovisa shares have surged 66% over the past year, reaching a new 52-week high, driven by robust financial performance and positive analyst sentiment.

For investors seeking growth opportunities in the retail sector, Lovisa could be an appealing investment case, given its strong financial performance and expansion plans.

However, as with any investment decision, it’s important to conduct thorough research and consider your own financial goals.

The post Up 66% in a year, the Lovisa share price just hit an all-time high appeared first on The Motley Fool Australia.

More reading

• Brokers name 5 fantastic ASX growth shares to buy in June
• 3 high-quality ASX shares tipped to generate strong returns
• These 2 ASX shares could win big time in the long term
• 5 stellar ASX growth shares to buy for strong returns
• How ASX growth shares can become top dividend stocks

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

Looking for two high-yielding ASX shares to bag their market-beating dividends?

Below, we look at two top passive income stocks that have delivered smashing yields over the year gone by and that I believe will continue to do so for years to come.

Both high-yield ASX shares also pay fully franked dividends. While franking credits aren’t a deal breaker for me, I do lean towards companies that provide them with the potential tax benefits they offer.

Now before moving on, do note that the yields we’re discussing are trailing yields. I believe both these companies will remain reliable, strong dividend payers over the coming years. However, future yields will vary depending on a range of company specific and macroeconomic factors.

With that said…

Two high-yielding ASX shares for passive income

The first high yield ASX share I’d buy now for dividends is Yancoal Australia Ltd (ASX: YAL).

There’s a lot to like about this All Ordinaries Index (ASX: XAO) coal stock.

On the passive income front, Yancoal has paid out 69.5 cents a share in fully franked dividends over the past 12 months.

At the current Yancoal share price of $6.45, this ASX share trades on a fully franked trailing yield of 10.8%.

The Yancoal share price has also been a stellar performer over this time, up 42% in 12 months.

The ASX coal stock has proven resilient as coal prices tumbled from record highs. For FY 2023, Yancoal reported $7.8 billion in revenue and $1.8 billion in after-tax profit.

And you couldn’t ask for a stronger balance sheet. As of 31 December, the miner held $1.4 billion of cash, a figure that has only increased since then.

Which brings us to our second high-yield ASX share, Woodside Energy Group Ltd (ASX: WDS)

Unlike Yancoal, shares in the S&P/ASX 200 Index (ASX: XJO) oil and gas stock are down 20% over the last 12 months.

But with the company’s three top growth projects on track and largely on budget, I think that retrace offers a potential bargain buying opportunity.

Indeed, with commission activities currently in progress, Woodside’s Sangomar project in Senegal is expected to produce its first oil inside the next few months.

As for that passive income, this high-yield ASX share paid an interim dividend of $1.243 per share on 28 September and a final dividend of 91.7 cents per share on 4 April.

That works out to a full-year dividend payout of $2.16 per share, fully franked.

At the current Woodside share price of $27.30, this ASX share trades on a fully franked trailing yield of 7.9%.

The post 2 high-yield ASX shares I’d buy now for dividends appeared first on The Motley Fool Australia.

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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.

Three leading S&P/ASX 300 Index (ASX: XKO) stocks hit the skids this week.

With a bit more than two hours of trading left in the week, the ASX 300 is down 0.8% since last Friday’s closing bell, despite today’s 0.6% intraday gain.

A number of companies underperformed the index of top 300 stocks over the week. However, these three big name ASX 300 shares have earned top spots on the weekly laggard board.

Namely mining giant Fortescue Ltd (ASX: FMG), BNPL stock Zip Co Ltd (ASX: ZIP), and biotech company Mesoblast Ltd (ASX: MSB).

Interestingly, none of the three companies released any price-sensitive information over the week.

Here’s what we do know.

ASX 300 stocks with a week to forget

The Fortescue share price closed last Friday at $26.77. At the time of writing, shares are swapping hands for $24.48, down 8.5%.

The Fortescue share price remains up 27% since this time last year. But the ASX 300 stock is now well into the red for 2024.

This week’s selling pressure looks to have been driven by some gloomy forecasts for China’s steel demand.

Despite increased stimulus measures from China’s government, many analysts believe the nation’s sluggish property sector will continue to struggle, impacting iron ore demand.

Iron ore slipped 2.6% overnight to trade for US$115.85 a tonne.

Commenting on the outlook for iron ore demand earlier this week, ANZ Group Holdings Ltd (ASX: ANZ) noted (courtesy of The Australian Financial Review), “The iron ore market remains unconvinced the recent property support measures in China will be successful in boosting demand.”

ANZ added:

Futures declined for a second day, alongside a sell-off in shares of Chinese property developers. Stockpiles at Chinese ports remain elevated without any signs of a notable drawdown. Steel mills are also still making losses, with margins under pressure amid weak steel prices.

Mesoblast shares also took a tumble this week.

The ASX 300 stock closed last Friday trading for $1.18 a share. In late afternoon trade today, shares are trading for $1.07 apiece, down 9.3%.

There’s no clear reason for this sell-off, other than the mammoth gains posted by the biotech company since it reported on promising communications with the US Food and Drug Administration (FDA) back on 26 March.

At market close last Friday, the Mesoblast share price had rocketed 251.5% since the release of that announcement.

So this week’s sell-down, which still sees the stock up 224.2% since 26 March, is likely nothing more than some profit-taking.

Which brings us to the third falling ASX 300 stock, Zip.

Zip shares closed last Friday trading for $1.21. At the time of writing, shares are changing hands for $1.13 apiece, down 6.4%.

With the Zip share price still up an eye-watering 176.1% over the past six months, I reckon there’s also been a little profit-taking going on here.

The ASX 300 stock could also be catching additional headwinds from the stronger-than-expected inflation figures reported by the Australian Bureau of Statistics (ABS) on Wednesday.

As we’re seeing in the United States, inflation down under is proving to be more resilient than expected. That means investors are bracing for higher rates for longer and potentially even another rate hike.

And BNPL companies like Zip have proven to be very sensitive to higher interest rates.

The post Why these 3 top ASX 300 stocks dragged the benchmark lower this week appeared first on The Motley Fool Australia.

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• Are Fortescue shares a dividend trap?

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 positions in and has recommended Zip Co. 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.

If you want to add some tech sector exposure to your portfolio, then it could be worth check out the three ASX tech shares listed below.

Here’s why these shares have been named as buys:

Life360 Inc (ASX: 360)

The first ASX tech share to look at is location technology company Life360.

It is the company behind the eponymous Life360 app, which is used by millions of families worldwide. And when I say millions, I mean it. The company recently released an update which revealed that its global monthly active users (MAU) increased by 4.9 million during the first quarter to 66.4 million.

This growth impressed analysts at Bell Potter. In response, the broker retained its buy rating with a boosted price target of $17.75.

Tyro Payments Ltd (ASX: TYR)

Another ASX tech share that for investors to look at is Tyro Payments.

This growing payments provider has around 70,000 merchants on its network, making it Australia’s fifth largest merchant acquiring bank by number of terminals in the market. This means Tyro is behind only the big four banks.

Morgans is a fan of the company and highlights its “significant discount to valuation.” It believes this is unwarranted given its belief that “FY24 will show significantly improved business momentum, importantly driven by a much greater focus on lifting overall profitability.”

The broker currently has an add rating and $1.47 price target on its shares.

WiseTech Global Ltd (ASX: WTC)

A third and final ASX tech share that could be a buy for investors right now is WiseTech Global.

It is the logistics solutions company behind the industry leading CargoWise One platform. This platform allows users to execute complex logistics transactions and manage freight operations from a single, easy to use system.

Over the last few years, CargoWise One has become incredibly important to the global logistics industry. So much so, there are more than 17,000 logistics organisations use the company’s software solutions. This includes all of the top 25 global freight forwarders and 45 of the top 50 global third-party logistics providers.

Analysts at UBS are feeling bullish about the company’s outlook. Particularly after a recent investment expanded its addressable market. The broker believes this leaves the company well placed to deliver growth notably ahead of consensus estimates in the coming years.

In light of this, earlier this month, UBS put a buy rating and $112.00 price target on WiseTech Global’s shares.

The post 3 excellent ASX tech shares to buy to supercharge your investment portfolio appeared first on The Motley Fool Australia.

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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, Tyro Payments, and WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool Australia has recommended Tyro Payments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.