Tag: Motley Fool

Investors eyeing off the Australian Foundation Investment Company Ltd (ASX: AFI), or AFIC for short, this September, might have some questions about what exactly they might be investing in.

AFIC is a listed investment company (LIC). This means that it doesn’t really function like a normal ASX company that one might expect to find on the share market. Instead of selling goods or services, AFIC invests its capital on behalf of its shareholders, similarly to a managed fund.

AFIC is arguably ASX royalty. The company first opened its doors way back in 1928 and has been investing on behalf of its shareholders ever since.

But with the rise of the index exchange-traded fund (ETF), many investors might be wondering what an investment in AFIC represents. Well, let’s dig in.

So unlike an ETF, AFIC doesn’t have to blindly mirror an index. Instead, it has its own investment team that picks, chooses and actively manages a portfolio of shares. Fortunately, the compnay publishes a list of the largest shares in its portfolio every month. So let’s take a look at AFIC’s latest data.

So as of 31 August, AFIC’s top ten holdings were as follows:

1. Commonwealth Bank of Australia (ASX: CBA)
2. CSL Limited (ASX: CSL)
3. BHP Group Ltd (ASX: BHP)
4. Transurban Group (ASX: TCL)
5. Macquarie Group Ltd (ASX: MQG)
6. Wesfarmers Ltd (ASX: WES)
7. National Australia Bank Ltd (ASX: NAB)
8. Westpac Banking Corp (ASX: WBC)
9. Woolworths Group Ltd (ASX: WOW)
10. Mainfreight Limited (NZE: MFT)

So many familiar names there (apart from Mainfreight, a New Zealand company). But what stands out is the subtle but important differences to the S&P/ASX 200 Index (ASX: XJO).

For example, an ASX 200 ETF would not have Transurban, Woolworths or (obviously) Mainfreight in its top ten holdings. An index fund would also have BHP in the top position, not CBA. Additionally, NAB and Westpac would occupy the fourth and fifth spots, not AFIC’s seventh and eighth.

Last year, we also learnt that AFIC has initiated a small portfolio of international shares. We don’t know too many details about this, except that it makes up approximately 1.1% of AFIC’s overall portfolio (according to the FY22 annual report). But again, those would be assets not found on the ASX.

So that’s what you’re getting in a nutshell with an investment in AFIC. This LIC has managed to outperform the S&P/ASX 200 Accumulation Index over the past ten years. On AFIC’s data, it has delivered an average of 11.9% per annum, versus the benchmark’s 10.3% per annum.

The post Looking to buy AFIC shares in September? Here’s what you’d be investing in appeared first on The Motley Fool Australia.

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More reading

• How do Argo shares measure up to other LICs like AFIC?
• Are AFIC shares outperforming the ASX 200 this year?
• How has the AFIC ASX share portfolio changed over FY22?

Motley Fool contributor Sebastian Bowen has positions in CSL Ltd. and National Australia Bank Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL Ltd. The Motley Fool Australia has positions in and has recommended Wesfarmers Limited. The Motley Fool Australia has recommended Macquarie Group Limited and Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Incannex Healthcare Ltd (ASX: IHL) share price has had a tough 2022, losing 50% of its value year to date.

That’s far lower than the S&P/ASX 200 Health Care Index (ASX: XHJ), which is down 5.24% for the same period.

However, Incannex is not alone among ASX cannabis shares. Emyria Ltd (ASX: EMD) has shed 42% while Cronos Australia Ltd (ASX: CAU) is down a painful 215% so far this year.

Let’s make sense of what may have impacted Incannex’s performance lately

What’s going on with Incannex Healthcare?

The company is now included in the S&P/ASX 300 Index (ASX: XKO) as part of S&P Global’s quarterly rebalancing that took place at the beginning of the month.

In August, Incannex also completed its acquisition of APRIx Pharmaceuticals for US$93.3 million after the companies reached an agreement in March this year.

When the deal went through, Incannex claimed it now held “the world’s largest portfolio of patented medicinal cannabinoid drug formulations and psychedelic treatment protocols”.

Earlier in August, Incannex released an investor presentation giving an overview of its operations and other aspects of the business.

At that time, it noted it had an estimated $290 billion total addressable market for its lead drug candidates and another $2 billion per year in potential revenue from psychedelic treatment therapies.

And finally, the company posted its results for FY22, noting that its net loss from ordinary activities increased 31% to $14.9 million from the prior reporting period while also recording no revenues.

Icannex share price snapshot

The Icannex share price finished 6.78% higher today at 31.5 cents, a long way from its 52-week closing high of 73 cents in early March.

The company’s current market capitalisation is around $479 million.

The post Have Incannex Healthcare shares been a good investment in 2022? appeared first on The Motley Fool Australia.

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More reading

• Bell Potter slaps buy rating on this profitable, dividend-paying ASX cannabis share
• Guess which company just became the first ASX cannabis share to pay a dividend
• Can ASX cannabis shares ever fully recover?

Motley Fool contributor Matthew Farley 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.

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The Magellan Financial Group Ltd (ASX: MFG) share price has been dropping recently. It’s down 12% in the last month.

Sadly for shareholders, this means it has given up most of the gains the company made since mid-July.

But, could this decline mean that Magellan shares are an opportunity? Is another rebound on the cards?

Magellan share price falls after FY22 result

Investors may have been buying shares of the fund manager leading up to the release of the 2022 financial year report. But, it has largely been negative since then.

There weren’t many positives in the result.

Adjusted net profit after tax (NPAT) fell 3% to $399.7 million, while profit before tax and performance fees of the funds management business fell 11% to $470.6 million.

While average funds under management (FUM) dropped 9% to $94.3 billion, the FY22 FUM finished at $61.3 billion.

As the company pointed out, the funds management business made a profit before tax and performance fees of $29.5 million in the first half and $177.1 million in the second half, a drop of 40% half over half.

The fund manager warned that material outflows of FUM meaningfully impacted profitability in the second half “and will affect FY23”.

Any positives?

While the Magellan Global Fund (ASX: MGF) showed underperformance of its global benchmark of 5.6% per annum over the three years to 30 June 2022, the Airlie Australian Share Fund generated outperformance of the S&P/ASX 200 Accumulation Index (ASX: XJOA) of an average of 4.7% per annum over the three years to June 2022.

The Australian investment performance and FUM is going well. In the August FUM update, the Australian shares FUM increased over the month from $8.3 billion to $8.4 billion. That came as total FUM dropped from $60.2 billion to $57.6 billion at 31 August 2022. August saw net outflows of $1.3 billion.

Another positive is that Magellan’s share buyback is improving the situation for existing shareholders. The company is buying back up to 10 million shares. At 30 June 2022, it had bought back 626,960 shares at an average price of $12.43. That’s slightly lower than where it is today.

Is the Magellan share price a buy?

I’m not sure that it is. The fund manager has taken a large hit of confidence and I think it’s unlikely that FUM will come flooding back even if Magellan starts achieving a bit of fund outperformance, though that is an important step to regain some momentum.

Active fund managers are facing a lot of competition from cheaper exchange-traded fund (ETF) investment products. Magellan itself has launched cheaper ETFs. The trend could mean that Magellan’s margin drifts lower in the coming years.

CMC Markets puts the current Magellan share price at 11x FY23’s estimated earnings. If Magellan can stop the monthly outflows of over $1 billion, then that could be a boost for Magellan shares. But, I wouldn’t want to buy shares right now. As a ‘value play‘ I’d want to see the forward price-to-earnings (p/e) ratio under 10 before thinking about it.

I’m not sure if the fund manager will be able to generate the same sort of returns as it did for investors in the 2010s.

The post The Magellan share price has fallen over 10% in a month: Is it time to buy the dip? appeared first on The Motley Fool Australia.

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More reading

• Steady compounders: 3 ASX 200 shares that have delivered over a decade
• Why Breville, Incitec Pivot, Magellan, and Super Retail shares are dropping
• Magellan share price nosedives as FUM plunges $1.3 billion
• Own Magellan shares? Here’s some news on your dividends
• Why Adairs, Adbri, Magellan, and Reliance Worldwide shares are sinking

Motley Fool contributor Tristan Harrison has positions in Magellan Global Fund. 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.

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The S&P/ASX 200 Index (ASX: XJO) spent a fourth consecutive day in the green on Tuesday. The index closed 0.65% higher at 7,009.70 points.

The S&P/ASX 200 Real Estate Index (ASX: XRE) led the way today, lifting 1.6%.

Also outperforming were the S&P/ASX 200 Utilities Index (ASX: XUJ) and the S&P/ASX 200 Energy Index (ASX: XEJ), each rising 1%.

On the other end of the market was the S&P/ASX 200 Health Care Index (ASX: XHJ). It tumbled 0.75% amid seemingly dire news of Ramsay Health Care Limited (ASX: RHC)’s takeover talks.

Meanwhile, the S&P/ASX 200 Information Technology Index (ASX: XIJ) fell 0.3%. It was weighed down by the Link Administration Holdings Ltd (ASX: LNK) share price, which tumbled 20% on more disappointing takeover-related news.

All in all, nine of the index’s 11 sectors closed in the green today. But which share outperformed all others? Keep reading to find out.

Top 10 ASX 200 shares countdown

The Chalice Mining Ltd (ASX: CHN) share price was the iconic index’s biggest gainer on Tuesday, lifting around 10%.

That’s despite no news having been released by the mineral explorer. Find out what the company’s been up to lately here.

Today’s biggest gains were made by these ASX shares:

ASX-listed company	Share price	Price change
Chalice Mining Ltd (ASX: CHN)	$4.59	9.81%
Novonix Ltd (ASX: NVX)	$2.43	7.52%
Brainchip Holdings Ltd (ASX: BRN)	$1.005	5.79%
Hub24 Ltd (ASX: HUB)	$23.80	5.73%
Clinuvel Pharmaceuticals Limited (ASX: CUV)	$23.14	4.8%
Core Lithium Ltd (ASX: CXO)	$1.665	4.72%
City Chic Collective Ltd (ASX: CCX)	$1.805	4.64%
Home Consortium Ltd (ASX: HMC)	$5.01	4.59%
Star Entertainment Group Ltd (ASX: SGR)	$2.78	4.51%
Zip Co Ltd (ASX: ZIP)	$0.935	4.47%

Our top 10 ASX 200 shares countdown is a recurring end-of-day summary to let you know which companies were making big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

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

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More reading

• Why did the Core Lithium share price leap another 6% on Tuesday?
• Why is the Novonix share price soaring 7% on Tuesday?
• Why Grange, Link, Ramsay, and Whitehaven Coal shares are dropping
• Here are the 3 most heavily traded ASX 200 shares on Tuesday
• Star Entertainment share price jumps despite ‘shocking’ report

Motley Fool contributor Brooke Cooper 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 Ltd, Link Administration Holdings Ltd, and ZIPCOLTD FPO. The Motley Fool Australia has positions in and has recommended Hub24 Ltd. The Motley Fool Australia has recommended Ramsay Health Care Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The Core Lithium Ltd (ASX: CXO) share price has been on the rise again today.

Core Lithium shares rose 4.72% on Tuesday to close trade at $1.66. However, earlier in the day, the Core Lithium share price jumped 6.1%. For perspective, the S&P/ASX 200 Materials Index (ASX: XMJ) finished 0.5% higher today.

Let’s take a look at why the Core Lithium share price could be rising.

Lithium price outlook strong

Core Lithium shares are lifting amid more positive sentiment for lithium prices in 2022.

Bell Potter analysts have increased their lithium price forecasts up to 2024, although the broker expects prices to peak this year.

Analysts are predicting a spodumene concentrate price per tonne of US$5,353 in 2022. In 2023, Bell Potter predicts the price will be US$4,735, before dropping to US$1,775 in 2024.

Core Lithium is exploring lithium at the Finniss Lithium project near the Darwin Port in the Northern Territory. The company is targeting spodumene production from this project by the end of 2022.

Commenting on the lithium outlook, Bell Potter said:

Our outlook for Australian supply compiles recent company announcements. In the current inflationary and logistically constrained economic environment, we see this collective outlook as aspirational. Over the next five years, growth in Australian supply will at best meet only one third of total growth in lithium demand.

New supply will also come from new and expanding brine projects. However, prolonged ramp-up, technical challenges and sovereign risks are likely to constrain these riskier developments

Core Lithium is not the only ASX lithium explorer to rise today. The Allkem Ltd (ASX: AKE) share price finished 2.96% higher today, while Pilbara Minerals Ltd (ASX: PLS) climbed 3.72%. Meanwhile, the Lake Resources NL (ASX: LKE) share price rose 0.79%.

Core Lithium share price snapshot

The Core Lithium share price has exploded 376% in the past year, while it has soared 182% year to date.

In the past month alone, Core Lithium shares have climbed more than 13%.

For perspective, the S&P/ASX 200 Materials Index (ASX: XMJ) has climbed 0.84% in the past year.

The post Why did the Core Lithium share price leap another 6% on Tuesday? appeared first on The Motley Fool Australia.

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More reading

• Why Allkem, MA Financial, Neuren, and Vulcan Energy shares are pushing higher
• Here are the 3 most heavily traded ASX 200 shares on Tuesday
• Are Yamaha and Toyota about to upend the ASX lithium share party?
• Broker tips 100% upside for Lake Resources share price
• Runaway train? Pilbara Minerals share price leaps to yet another all-time high

Motley Fool contributor Monica O’Shea 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.

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With a current $4.74 billion in funds under management, the Vanguard MSCI International Shares Index ETF (ASX: VGS) is one of the more popular exchange-traded funds (ETFs) on the ASX.

In fact, it is the second-most popular ETF covering non-ASX shares on the markets right now. However, this ETF from the reputable Vanguard Group, might not be all that investors might think.

This ETF’s name – the Vanguard MSCI International Shares Index ETF – implies that this is a broad-based and highly diversified fund covering many different shares from multiple markets around the world.

And indeed it is so. Vanguard tells us that this ETF currently has almost 1,500 underlying holdings. These are sources from more than 20 different advanced economies from around the globe. They include Canada, Japan, the United Kingdom, France, Switzerland, Germany, Hong Kong, Israel, Singapore and Norway.

Broad and diversified right? Well, yes. And no.

Is the Vanguard International Shares ETF just a bet on Uncle Sam?

See, the Vanguard International Shares ETF mirrors an index compiled using weighted market capitalisation, just like almost every index fund out there.

This method gives the largest companies by market cap the largest positions in the ETF’s underlying portfolio, and the smallest ones the smallest positions.

In the Vanguard International Shares ETF’s case, this methodology has resulted in a fairly top-heavy portfolio. To illustrate, let’s look at the ETF’s top ten positions. Yes. the fund has almost 1,500 individual shares in its portfolio. However, its top ten shares comprise a whopping 19.7% of the portfolio’s weighting.

That means that almost $1 in every five invested in this ETF is going to just ten companies. Out of nearly 1,500. These include names like Apple Inc (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Tesla Inc (NASDAQ: TSLA) and Exxon Mobil Corporation (NYSE: XOM).

What’s more, is that all ten of these top companies in the ETF are US companies. In fact, a whopping 71% of the Vanguard International Shares ETF’s portfolio by weighting is concentrated in US markets. That leaves just 29% of the ETF’s portfolio in markets outside the US.

So perhaps not quite as broad and diversified as one might initially think.

There’s nothing inherently wrong with this approach of course. This Vanguard ETF still faithfully follows the index it is designed to track. But if an investor was expecting an ETF that spreads its investments across a more equalised range of markets, companies and countries, they might want to look elsewhere. This is a very US-heavy ETF at the end of the day.

The post Here’s why the Vanguard International Shares ETF isn’t what it seems appeared first on The Motley Fool Australia.

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More reading

• With most investors thinking the next big move in the stock market is down, Warren Buffett says times like these are your friend
• What are the main holdings in the Vanguard MSCI Index International Shares ETF (VGS)?
• 3 fantastic ETFs for ASX investors to buy in September
• Could these ASX ETFs soon play a bigger role in Aussie super funds?
• 2 of the best ETFs for ASX investors to buy in September

Motley Fool contributor Sebastian Bowen has positions in Apple, Microsoft, and Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Apple, Microsoft, Tesla, and Vanguard MSCI Index International Shares ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool Australia has recommended Apple and Vanguard MSCI Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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The National Australia Bank Ltd (ASX: NAB) share price closed higher on Tuesday.

This comes after the bank’s venture business appeared to be going in for a second round of providing capital to payments technology provider DataMesh.

At market close, the banking giant’s shares finished the session up 0.97% to $30.28 each. Meantime, the S&P/ASX 200 Index (ASX: XJO) also gained 0.65% on the day.

NAB back for seconds?

The NAB share price enjoyed a day in the green following a recent report by the Australian Financial Review.

According to the publication, DataMesh is seeking to raise $15 million from NAB as part of its $115 million pre-money valuation.

The term ‘pre-money valuation’ refers to the value of a company before it goes public or receives other investments. This can be external funding or financing from venture capitalists, private equity investors, or corporate investors.

DataMesh touts itself as a ground-breaking technology company that helps merchants deliver a seamless in-store and online experience. It provides low-cost and flexible payment terminal solutions integrated with leading point-of-sale systems.

Last year, DataMesh secured $12 million in a pre-Series A funding round which included NAB Ventures as a small investor.

This time around, it is expected that NAB will write another cheque to DataMesh.

The remaining amount will likely be covered by other strategic investors with fintech experience.

NAB share price summary

Despite backtracking 1.4% in the past month, the NAB share price has risen by 5.24% in 2022 so far.

The bank’s shares reached a 52-week high of $33.75 on 21 April, before investors took profit off the table.

It’s worth noting that even at today’s prices, the company’s shares are trading above pre-COVID-19 levels.

NAB commands a market capitalisation of approximately $96 billion, making it the fourth largest company on the ASX.

The post Why is NAB investing in this Aussie payments start-up? appeared first on The Motley Fool Australia.

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More reading

• Billions in liabilities could be set to hit CBA and other ASX banks: expert
• Are NAB shares a better ASX 200 bank to buy than CBA right now?
• Why is the NAB share price diving more than the other big 4 ASX banks today?
• Why rising rates are a ‘sugar hit’ for ASX 200 bank shares: Macquarie
• NAB shares offer 15% upside and growing dividends: broker

Motley Fool contributor Aaron Teboneras 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.

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The Novonix Ltd (ASX: NVX) share price is soaring today to become one of the top performers on the ASX.

At the time of writing, the battery technology company’s shares are up 7.08% to $2.42.

In contrast, the S&P/ASX All Ordinaries Index (ASX: XAO) is 0.57% as the rally continues following upbeat investor sentiment.

What’s powering Novonix shares ahead?

Despite the company not releasing any announcements since its full-year results, the Novonix share price is surging today.

This comes as a number of lithium and battery tech shares are rising following recent broker upgrades.

The share price of lithium producer Pilbara Minerals Ltd (ASX: PLS) rocketed to an all-time high of $4.79 earlier in the day.

Similarly, the Allkem Ltd (ASX: AKE) share price also roared into uncharted territory.

As reported by my Fool colleague James, both Macquarie and Bell Potter believe lithium prices still have further to run.

This is due to the pent-up demand for electric vehicles and the widening supply gap in the market at the moment.

A report by the IEA anticipates that demand will grow by more than 40 times over the next two decades. Furthermore, graphite, cobalt and nickel are expected to follow, with demand accelerating to about 20-25 times.

Nonetheless, the global need for lithium is pushing ASX-listed materials shares to record levels.

The S&P/ASX 200 Materials (ASX: XMJ) sector is up 6% in the past week and could go higher given the positive outlook on the lithium industry.

Novonix share price snapshot

In the early part of 2022, the Novonix share price became the new ‘it’ child after rising almost 1,000% over the previous year.

However, the shares gradually tumbled throughout 2022 until hitting a year-to-date low of $1.94 in July.

While there’s been a slight recovery over the last few months, the company’s shares are down 73% for the year.

Novonix commands a market capitalisation of around $1.1 billion.

The post Why is the Novonix share price soaring 7% on Tuesday? appeared first on The Motley Fool Australia.

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More reading

• Who owns shares in ASX tech company Novonix right now?
• Here are the top 10 ASX 200 shares today
• Why is the Novonix share price soaring 11% today?
• Why is the Novonix share price smashing the ASX 200 on Wednesday?
• Slide continues: Novonix share price dumps 14% in 2 days

Motley Fool contributor Aaron Teboneras has positions in Pilbara Minerals Limited. 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.

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Junior gold miner Greatland Gold plc (LON: GGP) has received a funding boost to the tune of up to $120 million from Fortescue Metals Group Limited (ASX: FMG) boss Andrew ‘Twiggy’ Forrest’s private company.

As a result, Twiggy’s Wyloo Metals will be the London-listed miner’s largest shareholder ahead of its planned ASX float.

Let’s take a closer look at the company and its connection with the S&P/ASX 200 Index (ASX: XJO) giant.

Fortescue boss backs ASX hopeful

Twiggy has invested up to $120 million into Greatland ahead of its planned Australian listing.

That could see the Fortescue boss walk away with a 14.6% stake in the soon-to-be ASX-listed junior miner.

The Aussie billionaire’s Wyloo has snapped up around 430 million shares at 8.2 pence (14 cents) apiece, totalling $60 million.

It will also receive warrants to subscribe to approximately 352 million shares at an exercise price of 10 pence (around 17 cents) apiece. If exercised in full, that will provide another $60 million.

And it looks like Australian retail investors won’t have to wait long to get in on the action. Greatland Gold recently flagged its intent to float on the ASX within the coming 12 months.

The company has also received commitments for a $220 million debt syndicate with three leading banks, including Australia and New Zealand Banking Group Ltd (ASX: ANZ).

The cash is earmarked to help fund the junior miner’s 30% stake in the Havieron copper-gold development project and its exploration in Western Australia’s Paterson region. It will see it fully funded through to production and free cash flow.

Commenting on the investment, Wyloo CEO Luca Giacovazzi said:

Havieron is a tier one deposit that continues to grow in scale and quality … The Paterson range is emerging as Western Australia’s next prolific mining province, and Greatland has an expansive tenement package.

We are excited to be a part of the development of what we expect will be a low cost, modern mining operation with very high environmental and social standards.

Additionally, two notable Fortescue names have been appointed to the ASX hopeful’s board.

Fortescue’s deputy chair Mark Barnaba will step up as its chair next year. Meanwhile, former CEO Elizabeth Gaines will take up the role of deputy chair.

The post Fortescue’s Twiggy piles $120m into junior miner slated for ASX listing appeared first on The Motley Fool Australia.

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More reading

• 3 ASX 200 mining shares going great guns on Monday
• Here’s how long I plan to hold my Fortescue shares
• 5 things to watch on the ASX 200 on Monday
• Why did ASX 200 iron ore shares have such a strong end to the week?
• Here are the top 10 ASX 200 shares today

Motley Fool contributor Brooke Cooper 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.

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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record another solid gain. At the time of writing, the benchmark index is up 0.65% to 7,009.6 points.

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

Grange Resources Limited (ASX: GRR)

The Grange Resources share price is down 7.5% to 78.7 cents. Part of this decline has been driven by the iron ore pellet company’s shares trading ex-dividend this morning for its latest dividend. Eligible shareholders will receive Grange Resources’ 2 cents per share fully franked dividend at the end of the month on 30 September.

Link Administration Holdings Ltd (ASX: LNK)

The Link share price has crashed 20% to $3.57. Investors have been selling this administration services company’s shares amid doubts over its takeover. This follows news out of the UK which threatens to scupper the transaction. To gain its approval for the deal, the UK Financial Conduct Authority is asking Dye & Durham to put down A$519 million towards redress payments relating to the now-collapsed Woodford Equity Income Fund.

Ramsay Health Care Limited (ASX: RHC)

The Ramsay share price is down 10% to $62.98. This follows news that a consortium led by KKR has refused to increase its $88 per share offer after Ramsay rejected it. The private hospital operator described the offer as “meaningfully inferior.” However, it has left the door open for KKR to post an improved bid. Though, investors don’t appear confident that one is coming.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price is down 2.5% to $8.39. This appears to have been driven by news out of Europe. According to Reuters, energy companies in the EU, such as coal miners, could be required to make a solidarity contribution to help offset the effects of the continent’s ongoing energy crisis.

The post Why Grange, Link, Ramsay, and Whitehaven Coal shares are dropping appeared first on The Motley Fool Australia.

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More reading

• Why is the Whitehaven share price lagging behind the ASX 200 on Tuesday?
• Ramsay share price tumbles 11% as suitor refuses to improve takeover offer
• Why is the Link share price crashing 20%?
• Why is the Grange Resources share price falling in a hole on Tuesday?
• No deal? Here’s why the Ramsay share price is on ice

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 Link Administration Holdings Ltd. The Motley Fool Australia has recommended Ramsay Health Care Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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