Tag: Fool

Life360 Inc (ASX: 360) shares were on form on Tuesday and pushed higher again.

The location technology company’s shares rose almost 2.5% to $15.80.

This means that its shares are now up approximately 110% since the start of the year.

Why did Life360 shares charge higher?

Investors were buying the company’s shares after it announced the achievement of another key milestone.

According to the release, Life360 has reached over 2 million global app paying subscriber circles. Its CEO, Chris Hulls, commented:

Reaching 2 million paying circles is a testament to the value Life360 delivers to families globally. Life360 is woven into the fabric of everyday family lives, simplifying how they communicate, keep connected, and stay safe. Our core subscribers are parents with kids of mobile phone and driving ages, and our platform helps families with everyday coordination and provides them with peace of mind. At the same time, we continue to see growth in circles beyond the traditional family. Achieving new heights with our paid memberships reflects strong global engagement and growth across segments.

Should you invest?

Bell Potter was impressed with the news, noting that it has achieved this milestone well ahead of expectations. The broker commented:

Life360 put out a media release saying it has just reached 2m global paying circles. This was notably ahead of our forecast which was 1.98m at 30 June 2024 and an increase of 86k in 2Q2024. The figure at 31 March 2024 was 1.90m so this indicates the company has already added c.100k this quarter and will exceed the 96k added in 1Q2024. This far exceeds the growth of 73k in 1Q2023 and 62k in 2Q2023 which was admittedly after the material price rises which were put through for iOS users in the US in 4Q2022.

The good news is that Bell Potter believes that Life360 could build on this in the coming quarter. It adds:

We also note that Q1 and Q2 are traditionally not the strongest quarters for paying circle growth and this rather is in Q3 with back-to-school in the US so the current momentum suggests another quarter of around 100k or more in 3Q2024.

In light of the above, the broker has reaffirmed its buy rating and lifted its price target on Life360 shares to $17.75. Based on its current share price, this implies potential upside of 12% for investors over the next 12 months. Bell Potter concludes:

The next potential catalyst for the share price is the release of the Q2/H1 result in early to mid August which we expect to be good and we see some potential of an upgrade to the guidance if not a narrowing of the ranges.

The post Should you buy Life360 shares after its latest stunning milestone? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Buy ’em now! Brokers name 3 ASX All Ords shares to add to your portfolio
• 3 explosive ASX tech stocks to buy and hold forever
• Top ASX AI stocks to buy in June 2024
• Here are the top 10 ASX 200 shares today

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.

I’m a big fan of buy and hold investing and believe it is one of the best ways to grow your wealth.

That’s because the longer you invest, the more time you have to let compounding supercharge your returns.

Compounding is what happens when you earn returns on top of returns. It explains why a 10% annual return will turn $10,000 into $11,000 in one year and into $50,000 in 17 years.

And if you can add more funds as you go, then your returns will go up another level.

For example, a $10,000 investment with $1,000 annual contributions that compounds at 10% per annum will become almost $100,000 after 17 years.

With that in mind, let’s now take a look at two ASX growth shares that could be great buy and hold investment options. Here’s why analysts are bullish on them:

Pro Medicus Limited (ASX: PME)

Goldman Sachs thinks that this health imaging technology company could be a great ASX growth share to buy and hold.

And although its shares have rallied higher and are now approaching its price target, Pro Medicus could still be worth holding tightly to for potentially strong long term gains. Goldman commented:

We see PME’s software Visage 7 as an industry leading solution with two distinct advantages relative to peers — speed and cloud capabilities — that have influenced the choice of PACS vendor. Given this, PME is benefiting from an industry network effect, and we forecast share gains to 13% in FY30E (c.7% today) as more hospitals move to modern systems. PME is expanding into adjacent solutions including AI and Cardiology which could provide significant upside given we believe PME is the incumbent technology leader in radiology, and is well-placed to take share in both markets.

The broker has a buy rating and $136.00 price target on its shares.

NextDC Ltd (ASX: NXT)

Another ASX growth share that could be a great buy and hold option is NextDC. It is one of the Asia-Pacific region’s leading data centre operators.

Morgans is very positive on the company’s outlook and is forecasting strong earnings growth in the coming years thanks to the insatiable demand for data centre capacity. It said:

Structural demand for cloud and colocation remains incredibly strong. NXT’s new S3 and M3 data centres are now open. Consequently, we expect significant new customer wins over the next six-to-twelve months (including CSP options being exercised). Sales should drive the share price higher. NXT looks comfortably on-track to generate over $300m of EBITDA in the next three to five years.

The latter compares to NextDC’s underlying EBITDA guidance of $190 million to $200 million in FY 2024.

Morgans has an add rating and $19.00 price target on its shares.

The post 2 top ASX growth shares to buy today and hold for 10 years appeared first on The Motley Fool Australia.

More reading

• Are ASX REITs a good investment right now?
• 3 reasons to be positive on ASX 200 shares in FY25 (and 3 to be wary)
• 2 outstanding ASX 200 shares to buy and hold for a decade
• Top ASX AI stocks to buy in June 2024
• 3 ASX 200 shares going gangbusters in June

Motley Fool contributor James Mickleboro has positions in Nextdc and Pro Medicus. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group and Pro Medicus. The Motley Fool Australia has recommended Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If you have $500 burning a hole in your pocket, then it could be worth putting it into the share market.

After all, if you were to do this every month, history shows that you could grow your wealth significantly.

For example, based on an expected (but not guaranteed) return of 10% per annum, an investment of $500 a month into ASX shares would become worth $100,000 in 10 years.

And if you were to keep going for a further 10 years, your investment portfolio would grow to $360,000.

Finally, a further decade of investing this way would see you hit the million-dollar mark.

Clearly, even relatively modest investments have the potential to grow into something material thanks to the power of compounding.

With that in mind, let’s now take a look at a few ASX shares that could be good options for that first $500 investment.

Lovisa Holdings Ltd (ASX: LOV)

If you’re making a $500 investment, you ideally want to invest in something that you can buy and hold for the long term. This means you can avoid paying brokerage costs more than you need to, which eat into your returns.

Lovisa arguably ticks all the boxes for a long-term investment. It has a very bright future thanks to its global expansion, which is only really getting started.

It is because of this expansion that Morgans is very bullish on Lovisa and has an add rating and $35.00 price target on its shares. It has previously noted that its plan to “enter mainland China in FY24, [is] paving the way for significant longer-term growth.”

BetaShares NASDAQ 100 ETF (ASX: NDQ)

Another quality option for that $500 investment could be the BetaShares NASDAQ 100 ETF.

This exchange-traded funds (ETF) is home to 100 of the best companies that the world has to offer. This includes the likes of Apple (NASDAQ: AAPL) and Nvidia (NASDAQ: NVDA), as well as a plethora of tech giants and household names.

Given the quality on offer among these names, this ETF looks well-placed to continue delivering strong returns for investors long into the future.

Xero Ltd (ASX: XRO)

Finally, this cloud accounting platform provider could be a great ASX share to buy and hold with a $500 investment.

Especially given its industry-leading position in a market that Goldman Sachs estimates to comprise over 100 million small to medium sized businesses globally. It believes that this gives it a “>NZ$100bn TAM [total addressable market].” This compares to Xero’s current subscriber base of 4.2 million.

Goldman currently has a buy rating and $164.00 price target on its shares.

The post What are the best ASX shares to buy with $500 in 2024? appeared first on The Motley Fool Australia.

More reading

• 3 winning tips both Warren Buffett and Peter Lynch recommend
• 5 top ASX growth shares to buy in June
• 3 explosive ASX tech stocks to buy and hold forever
• Why these strong ASX ETFs could be top long term picks
• Why Xero could be one the best shares to buy in the Asia-Pacific

Motley Fool contributor James Mickleboro has positions in BetaShares Nasdaq 100 ETF, Lovisa, and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Apple, BetaShares Nasdaq 100 ETF, Lovisa, Nvidia, and Xero. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF and Xero. The Motley Fool Australia has recommended Apple, Lovisa, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Fortunately for income investors, the Australian share market is home to a large number of dividend-paying shares.

But which ones could be good options for them right now? Let’s take a look at three options from very different sides of the market that analysts are tipping as buys this month.

Here’s what they are forecasting for these top ASX dividend shares:

BHP Group Ltd (ASX: BHP)

If you are happy to invest in the mining sector, then it could be a good idea to look at mining giant BHP.

That’s because Goldman Sachs thinks the Big Australian will provide investors with a combination of big gains and attractive dividend yields.

The broker currently has a $49.00 price target on the miner’s shares. This compares favourably to the current BHP share price of $42.80.

As for dividends, the broker is forecasting fully franked dividends of US$1.42 (A$2.13) per share in FY 2024 and then US$1.26 (A$1.89) per share in FY 2025. At current levels, this equates to dividend yields of 5% and 4.4%, respectively.

Dexus Convenience Retail REIT (ASX: DXC)

Another ASX dividend share that analysts are positive on is Dexus Convenience Retail REIT.

It is a property company that owns a portfolio of service station and convenience retail assets located across Australia.

The team at Morgans is feeling very positive about the company and has an add rating and $3.23 price target on its shares.

In respect to income, the broker is expecting dividends per share of 21 cents in both FY 2024 and FY 2025. Based on its current Dexus Convenience Retail REIT share price of $2.67, this will mean very large dividend yields of 7.85% in both years.

Transurban Group (ASX: TCL)

A third ASX dividend share that could be a top buy for income investors according to analysts is Transurban.

It is a toll road giant that manages and develops road networks in Australia and North America. In Australia, this includes key roads such as the Cross City Tunnel, the Eastern Distributor, and Westlink M7.

Analysts at Citi are bullish on Transurban and currently have a buy rating and $15.50 price target on its shares.

As for dividends, the broker is forecasting dividends per share of 63.6 cents in FY 2024 and then 65.1 cents in FY 2025. Based on the current Transurban share price of $12.58, this will mean yields of 5% and 5.2%, respectively, for income investors.

The post Buy BHP and these ASX dividend shares appeared first on The Motley Fool Australia.

More reading

• How to invest for retirement in an inflationary environment
• What’s happening with the big 3 ASX 200 iron ore stocks today?
• Should investors be bullish about BHP shares with the FY25 outlook?
• 3 lower-risk ASX shares I think are perfect for beginners
• Are BHP or Wesfarmers shares a better buy?

Citigroup is an advertising partner of The Ascent, a Motley Fool company. 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 Transurban 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.

Leading ASX copper shares have returned some outsized gains over the past year amid a fast-rising copper price.

12 months ago, the red metal was trading for US$8,540 per tonne. Today, that same tonne is worth US$9,665, up 13% at the time of writing.

That’s helped S&P/ASX 200 Index (ASX: XJO) copper share Sandfire Resources Ltd (ASX: SFR) rocket 36% in a year.

Dual-listed, Canadian-based Capstone Copper Corp (ASX: CSC) only began trading on the ASX on 8 April. The Capstone Copper share price soared 25% between the close on 8 April and 20 May, when copper prices were near record highs of US$10,889 per tonne.

Amid the past week’s retrace in copper prices, both Capstone Copper and Sandfire shares have fallen since 20 May, though Capstone shares remain up 3% since 8 April.

In potentially good news for the miners, however, Citi believes the run higher for the red metal is only beginning.

Why Citi is bullish on ASX copper shares

“Citi’s global commodity team continues to highlight copper as their top pick,” Citi analyst Paul McTaggart said last week (quoted by The Australian).

“Against a backdrop of increasing confidence in traditional non-energy transition demand”, the broker lifted its 2025 forecast for the copper price to US$12,000 per tonne. That’s some 24% higher than current levels and could provide some heady tailwinds for ASX copper shares.

Indeed, Citi also upgraded Sandfire Resources to a neutral rating, boosting its share price forecast by 13% to $8.90 a share. That’s more than 5% above yesterday’s closing price.

The broker expects that copper will benefit from looming interest rate cuts from the US Federal Reserve and other leading central banks. And Citi foresees strong demand amid an improving outlook for global economic growth.

And then there’s the ongoing energy transition.

What’s been boosting the copper price?

A large part of the price boost driving ASX copper shares higher is an ongoing demand growth from the world’s energy transition.

You’ll find the highly conductive, non-corrosive metal in abundance in wind turbines, EVs, and all manner of electric wiring.

The rapid advance of artificial intelligence (AI) is also going hand in hand with a sizeable increase in forecast electricity demand. Nations the world over, including Australia, are building new AI-enabled data centres, which require far more juice to run the programs. Not to mention the copper that goes into the facilities themselves.

And all this comes as miners struggle to meet the growing demand.

On the supply side, ASX copper shares have benefited from numerous disruptions at major copper mines across the world in recent months, sending the copper price soaring.

The post Why are these experts so bullish on ASX copper shares? appeared first on The Motley Fool Australia.

More reading

• Buy ’em now! Brokers name 3 ASX All Ords shares to add to your portfolio
• Are these beaten-up ASX shares too cheap to ignore?
• Here are the top 10 ASX 200 shares today
• Will ASX copper shares keep surging from here? (Plus: 2 top picks for exposure)
• 1 Australian mining stock worth a long-term investment

Citigroup is an advertising partner of The Ascent, a Motley Fool company. 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.

On Tuesday, the S&P/ASX 200 Index (ASX: XJO) had a very strong session and raced notably higher. The benchmark index stormed 1% higher to 7,778.1 points.

Will the market be able to build on this on Wednesday? Here are five things to watch:

ASX 200 expected to edge lower

It looks set to be subdued day for the Australian share market on Wednesday despite a reasonably positive session in the United States. According to the latest SPI futures, the ASX 200 is expected to open the day 3 points lower. On Wall Street, the Dow Jones rose 0.15%, the S&P 500 pushed 0.25% higher, and the Nasdaq edged higher.

Oil prices rise

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a good day after oil prices pushed higher again overnight. According to Bloomberg, the WTI crude oil price is up 1.4% to US$81.44 a barrel and the Brent crude oil price is up 1.2% to US$85.28 a barrel. This recent rally has been driven by optimism over summer fuel demand.

Buy Life360 shares

The Life360 Inc (ASX: 360) share price is good value according to analysts at Bell Potter. In response to news that the location technology company has surpassed 2 million paying circles, the broker has reiterated its buy rating and lifted its price target to $17.75. It commented: “Life360 put out a media release saying it has just reached 2m global paying circles. This was notably ahead of our forecast which was 1.98m at 30 June 2024 and an increase of 86k in 2Q2024.”

Gold price rises

ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a good session after the gold price rose overnight. According to CNBC, the spot gold price is up 0.65% to US$2,334.3 an ounce. This follows the release of US economic data which was supportive of US Federal Reserve interest rate cuts.

Beach Energy rated as a buy

Beach Energy shares could also be worth buying according to Bell Potter. This morning, the broker has responded to the energy producer’s strategic review by retaining its buy rating with a trimmed price target of $1.75. It said: “The Strategic Review outcomes are largely as expected; strong on cost out targets and capital discipline. Adjusting for the updated outlook, EPS changes in this report are: FY24 +11%; FY25 -25%; and FY26 -11%.”

The post 5 things to watch on the ASX 200 on Wednesday appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• ASX 200 dips on RBA interest rate decision
• 10 ASX shares that have raised dividends for a decade
• Why Beach Energy, Fortescue, Kina Securities, and Melbana Energy shares are dropping today
• Buy ’em now! Brokers name 3 ASX All Ords shares to add to your portfolio

Motley Fool contributor James Mickleboro has positions in Life360 and Woodside Energy Group. 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.

The Vanguard US Total Market Shares Index ETF (ASX: VTS) is an exchange-traded fund (ETF) that has been growing in popularity on the ASX in recent months. 

That’s understandable, with VTS being a rather unique index fund on the ASX. No other Australian-listed ETF offers comprehensive exposure to the American markets like VTS does. Rather than tracking the more popular S&P 500 Index (SP: .INX) or NASDAQ-100 (NASDAQ: NDX), VTS mirrors the CRSP U.S. Total Market Index.

That means instead of tracking 100 or even 500 individual companies, VTS houses an extraordinary 3,648 underlying stocks at the latest count.

This index fund has had an extraordinary 2024 financial year to date. Vanguard tells us that, as of 30 April, VTS units have returned a massive 24.59% over the preceding 12 months. That includes both capital growth and dividend distributions. What’s more, since 30 April, those units have added another 5% or so as of today’s pricing. So an extraordinary performance from VTS.

Even long-term investors might be surprised by these incredible returns. VTS has historically delivered meaningful gains. As of 30 April, investors have received an average of 14.2% per annum from VTS units over the past five years. That rises to an average of 15.85% per annum over the past ten.

Check that all out for yourself below:

But all of that is in the past now. So what can investors expect from the Vanguard US Total Markets ETF over the coming 12 months of FY2025?

What does FY2025 hold in store for the ASX’s VTS?

Accurately predicting the future for even one stock’s share price for a 12-month period is a near-impossible task. But predicting the fate of the 3,648 companies that will ultimately decide how the VTS ETF fares on the ASX over the coming financial year is a laughably ludicrous endeavour.

Even so, we can still point out a number of factors that VTS investors might want to keep an eye on over the coming 12 months.

You’d think that with over 3,600 individual holdings, the VTS ETF would be a highly diversified fund. You’d be correct, but only to a certain point. Despite this ETF’s bulging portfolio of underlying US shares, it is still highly top-heavy. Of its myriad holdings, the largest ten positions in this fund make up nearly a third of VTS’ weighted portfolio at 29.4%. 

Like most US-based ETFs these days, those largest holdings are none other than the American tech behemoths that we all know and love. Going from largest to sixth-largest, we have Microsoft, Apple, NVIDIA, Alphabet, Amazon and Meta Platforms.

Given these six stocks have such a disproportionate weighting within this index fund, its performance over the coming 2025 financial year will largely be dictated by how these companies themselves fare. It’s no coincidence that all six of these tech giants have had a fantastic FY2024, in addition to the Vanguard US Total Markets ETF.

What will make or break the Vanguard US Total Market Shares Index ETF?

I think the performance of these stocks over the coming 12 months will be determined by their own earnings reports, as well as the actions of the US Federal Reserve. If the Fed cuts interest rates over the next year, as many commentators expect them to, it could turbocharge the entire VTS ETF.

There’s also a major event scheduled for the 2025 financial year that has the potential to dictate what happens with this ETF. That would be the United States’ 2024 Presidential Election, of course. In addition to the Presidential Election, the entire US House of Representatives will also be up for election, as will a third of the US Senate.

The outcome of these elections will probably also have an impact on VTS’ FY2025. Markets seem to like it when a divided government (neither party has a majority in both houses of Congress) is elected. So if neither Joe Biden’s Democrats nor Donald Trump’s Republicans win the Presidency as well as both houses of Congress, I would expect a positive reaction from the markets.

So those are the factors I’d be keeping an eye on over FY2025 if you own ASX units of the VTS ETF. No doubt investors will be hoping for a repeat of FY2024’s performance. But we’ll have to wait and see what happens.

The post Own the Vanguard US Total Market Shares Index ETF (VTS)? Here’s your 12-month ASX outlook appeared first on The Motley Fool Australia.

More reading

• Why the Vanguard US Total Market Shares Index ETF (VTS) is a top long-term buy
• Does the Vanguard US Total Market Shares Index ETF (VTS) pay a decent ASX dividend?
• Why Vanguard US Total Market Shares Index ETF (VTS) is a top buy for retirement
• Own the ASX’s Vanguard US Total Markets ETF (VTS)? Here’s what you’re invested in

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. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Motley Fool contributor Sebastian Bowen has positions in Alphabet, Amazon, Apple, Meta Platforms, and Microsoft. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Apple, Meta Platforms, Microsoft, and Nvidia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has recommended Alphabet, Amazon, Apple, Meta Platforms, Microsoft, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Investing for retirement can be a challenging decision because we don’t know how long we’re going to live or what the economic environment is going to look like.

Inflation is a negative when it comes to ensuring our money can pay for all the goods and services we want. The last few years have seen costs of many items jump, making it harder for retirees to plan for the future.

The investment group IML points out that retirees seem to be left with two choices.

The first is taking greater risks with their investments to improve returns and, hopefully, stay ahead of inflation, but this may increase the possibility of losing money.

Another option is to invest conservatively, earning lower returns, and hope that inflation will come down more quickly, enabling retirees to maintain their quality of life.

But IML believes that there’s a third option – investors in retirement should focus on sustainable passive income rather than returns.

Why sustainable income makes sense

IML suggests a greater focus on passive income reduces the chance that retirees will need to use their investment capital to fund their life expenditures during periods of poor investment performance.

The investment outfit suggested dividends are “inherently less volatile than share prices as dividends are paid based on the underlying profitability of the company, whereas share prices fluctuate depending on the whims of the market.”

Regular income enables investors to receive cash, and they’re less likely to be forced to sell their shares during a bear market, locking in losses and permanently hurting the investment balance of that portfolio. As IML points out, this is called sequencing risk.

In the accumulation phase of our lives, we are usually net buyers during bear markets rather than sellers.

This method could mean people are more likely to enjoy their retirement and be less likely to worry about their finances.

Which ASX shares can provide good dividends?

In the IML Equity Income Fund, which is the fund the investment outfit is referring to with this sustainable income strategy for retirement, these were the biggest ten holdings at 31 May 2024 and their weightings:

National Australia Bank Ltd (ASX: NAB) – 6.4%

Telstra Group Ltd (ASX: TLS) – 5.9%

BHP Group Ltd (ASX: BHP) – 5.7%

CSL Ltd (ASX: CSL) – 4.8%

Aurizon Holdings Ltd (ASX: AZJ) – 4.4%

Brambles Limited (ASX: BXB) – 4.3%

Westpac Banking Corp (ASX: WBC) – 4.3%

Steadfast Group Ltd (ASX: SDF) – 3.7%

Charter Hall Retail REIT (ASX: CQR) – 3.5%

Lottery Corporation Ltd (ASX: TLC) – 2.8%

I’d also throw in a few other ASX shares as ideas that have a long track record of growing their dividends, including Washington H. Soul Pattinson and Co. Ltd (ASX: SOL), Brickworks Limited (ASX: BKW) and Sonic Healthcare Ltd (ASX: SHL).

The post How to invest for retirement in an inflationary environment appeared first on The Motley Fool Australia.

More reading

• Buy these excellent ASX 200 dividend shares for very juicy yields
• Here are the top 10 ASX 200 shares today
• 10 ASX shares that have raised dividends for a decade
• CBA, DroneShield, and these ASX stocks just hit 52-week highs
• What’s happening with the big 3 ASX 200 iron ore stocks today?

Motley Fool contributor Tristan Harrison has positions in Brickworks, Sonic Healthcare, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Brickworks, CSL, Lottery, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Brickworks, Steadfast Group, Telstra Group, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Aurizon, CSL, and Sonic Healthcare. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

When key insiders buy shares of their company, they’re probably confident about its future. Sure, that confidence could be misplaced. However, most investors see insider buying as a positive sign.

But it can be a much different story when key insiders sell shares. In some cases, such moves could hint that they aren’t optimistic about the stock’s future — at least over the near term.

That leads me to Nvidia (NASDAQ: NVDA). The stock has been on a roll, skyrocketing more than seven times over the last three years and soaring more than 160% so far in 2024. However, Insiders are selling their shares of Nvidia. Should you?

Selling away

Since the beginning of May, 10 Form 144 filings have been reported by Nvidia to the U.S. Securities and Exchange Commission (SEC). There are two important things to know about Form 144. First, it’s a notice of the proposed sale of securities. Second, it’s only used when there’s a planned sale of 5,000 or more shares or an aggregate amount of over $50,000.

The most prominent person selling Nvidia stock is the company’s CEO, Jensen Huang. Nvidia notified the SEC that Huang planned to sell 120,000 shares on June 13, 2024. At the market close on that date, this transaction would have been worth around $15.5 million.

Huang wasn’t the only Nvidia executive selling shares. Executive vice president of operations Deborah Shoquist sold 41,140 shares worth more than $45 million on June 3, 2024.

Several members of Nvidia’s board of directors also got in on the action. Dawn Hudson sold a total of 25,000 shares on three separate occasions since May 29, 2024. Board members Tench Coxe, John Dabiri, Michael McCaffery, Brooke Seawell, and Mark Stevens also sold some of their Nvidia shares in recent weeks.

More to the story

These insider sales could be alarming to some investors. To use an old saying: Are the rats fleeing a sinking ship? Nope. There’s more to the story.

The shares Huang sold were part of his executive compensation package. Specifically, they were restricted stock units (RSU) and performance stock units (PSU). Company CEOs frequently sell such shares when they’re allowed to do so.

Importantly, Huang owned nearly 93.5 million shares of Nvidia as of March 25, 2024. That’s almost 3.8% of the company’s outstanding shares. His recent sales were only a drop in the bucket compared to his total holdings. Huang still has plenty of skin in the game.

Most of the other sales (including the ones by Shoquist and several board members) were also of restricted stock units. Investors shouldn’t be too concerned about these transactions.

Should you sell Nvidia stock?

I don’t think the recent insider sales of Nvidia are a reason for outsiders to sell the stock. However, there could be some reasons for you to consider selling.

Nvidia’s jaw-dropping gains might have caused the stock to make up a worrisome percentage of your overall portfolio. Some investors might want to trim their positions as a result.

My colleague Sean Williams predicts that Nvidia stock is poised to plunge by at least 50%. If you agree with his rationale, selling soon makes sense.

However, Nvidia’s underlying business remains strong. The company continues to execute exceptionally well. The demand for its graphics processing units isn’t waning. Those are great reasons to hang on to a stock.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Insiders are selling Nvidia stock. Should you? appeared first on The Motley Fool Australia.

More reading

• Nvidia jumped 27% after its stock split announcement. Can Broadcom beat it?
• 3 reasons to buy Nvidia like there’s no tomorrow (Hint: The stock split Isn’t 1 of them)
• 5 Reasons Nvidia isn’t in an AI-fueled bubble
• 2 reasons to buy Nvidia after the stock split (and 1 reason to sell)
• With nothing in my savings account, I’d use Warren Buffett’s golden rule to build wealth

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Nvidia. Keith Speights has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If you have space in your portfolio for some ASX 200 dividend shares, then it could be worth checking out the three named below.

That’s because analysts think they are in the buy zone right now and could give an income portfolio a nice boost. Here’s what they are expecting from them:

APA Group (ASX: APA)

The first ASX 200 dividend share for investors to look at is APA Group.

It is an energy infrastructure company that has a massive 15,000 kilometres of natural gas pipelines connecting sources of supply and markets across mainland Australia. At the last count, it was operating and maintaining networks connecting 1.4 million Australian homes and businesses to natural gas.

This network has supported growing dividends for almost two decades and the good news is that analysts at Macquarie believe this positive trend will continue.

It is for this reason that the broker has an outperform rating and $9.40 price target on its shares.

Macquarie is forecasting further increases in its dividends 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 $8.41, this equates to 6.7% and 6.8% dividend yields, respectively.

Aurizon Holdings Ltd (ASX: AZJ)

A second ASX 200 dividend share that has been named as a buy and tipped to provide attractive dividend yields is Aurizon. It is Australia’s largest rail freight operator, transporting over 250 million tonnes of Australian commodities each year.

Ord Minnett continues to see plenty of value in its shares today. The broker currently has an accumulate rating and $4.70 price target on them.

As for dividends, the broker is forecasting partially franked dividends of 18.6 cents per share in FY 2024 and then 24.4 cents per share in FY 2025. Based on the latest Aurizon share price of $3.64, this will mean yields of 5.1% and 6.7%, respectively.

Stockland Corporation Ltd (ASX: SGP)

A third ASX 200 dividend share with a juicy yield that could be a buy this month is Stockland.

Stockland is a leading residential developer with a focus on delivering a range of masterplanned communities and medium density housing in growth areas across Australia.

The team at Citi is bullish on the company. It has a buy rating and $5.10 price target on its shares.

In respect to income, Citi is expecting dividends per share of 26.2 cents in FY 2024 and 26.6 cents in FY 2025. Based on the current Stockland share price of $4.41, this will mean yields of 5.9% and 6% yields, respectively.

The post Buy these excellent ASX 200 dividend shares for very juicy yields appeared first on The Motley Fool Australia.

More reading

• 10 ASX shares that have raised dividends for a decade
• Buy these ASX shares for a winning retirement portfolio
• Buy and hold these ASX dividend shares until 2034
• 4 ASX income stocks with big dividend yields to buy now
• 4 top quality ASX dividend shares to buy in June

Citigroup is an advertising partner of The Ascent, a Motley Fool company. 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 Macquarie Group. The Motley Fool Australia has positions in and has recommended Apa Group and Macquarie Group. The Motley Fool Australia has recommended Aurizon. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.