Tag: Motley Fool

No one enjoys seeing the share market crash.

With the exception of those investors who’ve resorted to short selling, most of us stand to see our portfolios shrink when a bear market sinks in its teeth.

With a share market crash and bear market technically defined as a fall of more than 20%, the S&P/ASX 200 Index (ASX: XJO) hasn’t hit that rough patch yet during this year’s market sell-off.

From 13 August’s peak high through to the 20 June trough, ASX 200 shares fell 15.7%.

Since then, the ASX 200 has enjoyed a strong rebound, up 9%, which leaves the benchmark index down 8.1% from last August.

ASX tech shares have fared worse amid fast rising inflation and interest rates. Though they’ve also enjoyed some of the biggest rebounds since the June lows.

From mid-November 2021 through to mid-June the S&P/ASX All Technology Index (ASX: XTX) plunged 45%. Despite the big bounce since then, the All Tech Index remains down 24% since November.

So, as far as tech stock investors are concerned, a share market crash has eventuated.

What goes up when the share market crashes?

The current ructions hitting stocks around the world and raising fears of a share market crash largely stem from unexpectedly fast rising inflation and the resulting interest rate hikes from global central banks.

Rising geopolitical tensions and lingering supply issues from the pandemic haven’t helped either.

So where can ASX investors turn during a share market crash?

First, gold.

The classic safe haven metal has seen its value increase in six of the nine share market crashes between 1976 and 2020, according to GoldSilver.

During the ASX sell-off in 2022, gold hasn’t shot the lights out.

But the yellow metal hasn’t fared too badly. On 1 January an ounce of gold was trading for US$1,829. That same ounce is currently worth US$1,791, down 2%.

The same can’t be said for most ASX gold shares, as witnessed by the 17% year-to-date fall in the S&P/ASX All Ordinaries Gold Index (ASX: XGD).

One way to invest in physical gold via the ASX is through the Betashares Gold Bullion ETF (ASX: QAU).

The currency hedged exchange-traded fund (ETF) aims to track the performance of the price of gold. It employs a currency hedge against movements in the exchange rate between the US and Aussie dollars.

QAU is down 2% in 2022 compared to an 8% loss posted by the ASX 200.

Bonds and inflation protection

Another safe haven asset, if held to maturity, is a government bond.

If a share market crash is being driven by inflationary pressures, then you may want to consider exchange-traded Treasury Indexed Bonds (eTIBs).

What are these?

According to the ASX:

Exchange-traded Treasury Indexed Bonds (eTIBs) offer a convenient and readily accessible way to invest in Treasury Indexed Bonds. Treasury Indexed Bonds are capital-indexed bonds issued by the Australian Government. The capital value of the investment is adjusted by reference to movement in the Consumer Price Index (CPI)…

Treasury Indexed Bonds are not traded on an exchange and are typically traded in large parcels, putting them beyond the reach of many investors. eTIBs have the appeal and convenience of being electronically traded and settled through the Australian Securities Exchange (ASX) in small or large parcels.

In a share market crash, be sure you’re diversified

The ASX 200 has been marching higher over the past few weeks. So perhaps the worst is behind us.

But if we are looking at a share market crash, it pays to have a diversified portfolio.

In inflationary times with interest rates rising fast, look for companies with strong balance sheets, unlikely to be hit with large increases in debt repayments.

Companies with plenty of cash flow that can continue dividend payouts also tend to be less volatile than growth stocks.

These may still well fall during a share market crash. But at least you’ll be getting some regular income during the retrace.

And if you’ve got a long-term investment horizon, history shows that well run companies operating in growing markets tend to reward their shareholders over time. Even if few, or none, are immune to some medium-term downside during a market crash.

So, if you do see the value of some of your cherished stocks take a hit, remember that they’re only paper losses unless you sell them during the retrace.

Finally, in times like these, it’s more important than ever to keep some powder dry.

Aside from having some ready liquidity in case of unforeseen needs, you could scoop up some steals.

As my fellow Fool, Bruce Jackson writes, “If the market does indeed test its June 2022 lows, it gives you an opportunity to snap up some more bargains.”

The post What goes up when the share market crashes? appeared first on The Motley Fool Australia.

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More reading

• 5 proven investment strategies you can use to ride out a recession
• The iron ore price has slumped 10% in 5 days. Here’s how ASX 200 mining shares have responded.
• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Why did the Arafura share price plunge 19% today?

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.

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

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

There’s no way for investors to avoid recessions. Economic cycles are natural, and they can move the market drastically. That doesn’t have to be a bad thing, though! Investors can use a few important strategies to limit losses and maximize long-term gains.

1. Stay invested

This is the most important strategy on the list, by far. It’s also probably the most simple one. The stock market is likely to drop during or immediately following a recession. Our human instinct is to take action to stop the pain. It’s not easy to do, but the best move is generally to fight this instinct.

The worst time to sell a stock is right after it’s dropped. All that does is lock in your losses. The best time to sell has already passed, and chasing that is an irrational fear reaction — it’s already too late. You might prevent further losses, but you could also lock yourself out of the gains from the inevitable market recovery. Some recoveries take years following prolonged, steep crashes. Other ones are immediate, but either way, it’s nearly impossible to know which one you’re dealing with in the moment.

Suppose that nothing has changed about a company’s expected future cash flows or financial health. For long-term investors, that means nothing has changed about the stock’s potential. A drop in price just means that it got even cheaper, and, perhaps, less risky. From a purely rational perspective, a recession is one of the worst times to sell.

Even investors who recognize this logic can still be tempted to time the market. There’s tons of data out there suggesting you probably can’t do that successfully over the long-term. Instead, it’s generally best to trust that the market will turn around as economic conditions inevitably return to growth.

2. Hold dividend stocks

Dividend stocks are great additions to investment portfolios, especially during market downturns. When investors’ risk appetite declines, capital usually flows toward value stocks and other stable businesses. Dividend stocks become more popular when market turmoil is on the horizon. That’s exactly what we saw in early 2022.

Dividend stocks also bring the major benefit of performing during market crashes. Your portfolio might get crushed and lose value on paper, but you can still enjoy cash returns, regardless of share prices. This is really important for retirees relying on investment income. It’s also a great way to calmly stay invested as you wait for the stock market to turn around. You’ll be less tempted to sell if some of your stocks are kicking off cash.

You can’t avoid volatility, but you can definitely manage it. Investors can measure their risk tolerance based on time horizon, financial needs, and personal tastes. If you don’t need to access your stock investments for a long time and you don’t mind short-term losses, then you can invest for aggressive growth. If you’ll need to sell your stocks for cash soon (or if you just can’t handle losses emotionally), then it’s important to balance your allocation in alignment with your risk tolerance. Bonds are a popular asset class for volatility reduction.

Recessions can threaten the profits and financial health of any business, which can cause them to slash dividends. Make sure your dividend investment strategy retains some exposure to defensive stocks, such as healthcare, consumer staples, and utilities. These are considered non-cyclical because their sales tend to remain more stable across economic conditions.

3. Manage volatility

This is an important investment strategy to consider before a recession hits. If you don’t take care of this, it might be too late. Volatility is an inevitable part of stock investing. The market moves in cycles, and crashes tend to coincide with recessions.

If you missed the boat on this step in 2022, make sure you’re prepared in the next market cycle. It will be relevant again in the future.

4. Stay liquid

If we’re truly entering a recession, then it could be wise to keep some “dry powder” on the sideline. You’ll be thankful if you have cash on hand when the market approaches its bottom. Don’t mistake this for a recommendation to sell off your stocks and violate the first section of this list. With the market down 13% year to date, it’s not exactly a good time to sell stocks anyway.

Instead, approach this as a form of volatility management. If you’re overexposed to stocks, then it might be smart to take some gains on stocks that have outperformed recently. That cash can be deployed into better opportunities, such as stocks that have recently become undervalued. Energy stocks could fit this description after their recent inflation-fueled run-up.

5. Buy cheap, promising growth stocks

If you have some cash on hand after the market takes a beating, then it’s time to consider undervalued growth stocks. Growth stocks take a beating during crashes, but they tend to outperform the market during bull periods.

Artificial intelligence, data analytics, cybersecurity, and fintech stocks are way below their 2021 highs. They might have more room to tumble, but the risk-reward balance has flipped. Valuations are much more rational, and these industries are among the most promising for the next few decades.

If you do some homework and have high conviction in a few of these names, it’s a great time to consider adding them to your portfolio for the long term.

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

The post 5 proven investment strategies you can use to ride out a recession appeared first on The Motley Fool Australia.

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More reading

• The iron ore price has slumped 10% in 5 days. Here’s how ASX 200 mining shares have responded.
• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Why did the Arafura share price plunge 19% today?
• 3 ASX 200 shares to buy for a post-COVID resurgence: experts

Ryan Downie 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.

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

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Next week the Telstra Corporation Ltd (ASX: TLS) share price will be in focus.

That’s because on Thursday, the telco giant is due to release its full year results.

What is the market expecting from Telstra’s results?

According to a note out of Goldman Sachs, its analysts are expecting Telstra to deliver full year underlying EBITDA of $7.1 billion.

This is a touch short of the market consensus estimate of $7.2 billion, but in line with Telstra’s guidance range of $7 billion to $7.3 billion.

On an earnings per share basis, the broker has pencilled in earnings of 14.4 cents per share.

Telstra dividend

Goldman is expecting the company to maintain its final dividend at 8 cents per share despite its strong free cash flow generation. This will mean a 16 cents per share fully franked dividend again in FY 2022. Though, it may not be long until dividend increases start to happen according to its analysts.

Goldman commented:

We believe TLS will pay an 8c final dividend despite its strong cash flows, as it remains franking constrained. We also now forecast a 17c/18c dividend in FY23/24E, but consistent with history, we do not expect TLS will provide any forward looking commentary on its dividend at this result. With its legal restructure to be completed by end of Oct-22 (post scheme meeting) we also do not expect any updates on potential InfraCo-Fixed monetisation.

Outlook

The broker is expecting Telstra to provide the market with guidance for FY 2023. Particularly given that it has previously provided an aspirational target of EBITDA of $7.5 billion to $8 billion in FY 2023.

It explained:

We expect all of our coverage will provide forward-looking guidance, noting that TLS previously outlined aspirations for $7.5 to 8.0bn of EBITDA (ex-Digicel) in FY23 – broadly consistent with our revised $7.58bn ex-Digicel.

The post Own Telstra shares? Here’s what to expect from its FY22 results appeared first on The Motley Fool Australia.

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More reading

• Road to retribution: Can the Telstra share price continue its upwards trajectory under a new CEO?
• Expert says Telstra is a blue chip ASX 200 share to buy
• ‘Competition is key’: Why Telstra shares are in the ACCC naughty corner today
• Is the Telstra share price on the way back up?
• Top brokers name 3 ASX shares to buy next week

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 positions in and has recommended Telstra Corporation 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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While inflation has gripped the share markets this year, in the real world the most visible manifestation is when motorists drive into a petrol station.

For the first time, Australians in 2022 have had to get used to paying in the $2s for each litre of fuel they put in their cars.

Australia, along with the US, still has the lowest petrol prices in the developed world. But that is little consolation for a population that was used to paying a lot less only a few months ago.

However, investors of ASX shares can take back some of that cash that they’re handing over to the oil companies.

How? Here’s how one expert explains it:

‘A hedge to petrol pump pain’

Wilson Asset Management analyst Anna Milne recommended investors buy Santos Ltd (ASX: STO).

“If you’re wanting a hedge to petrol pump pain, I would say buy Santos,” she said in a Wilson video.

“It’s a producer, so it benefits from higher oil prices.”

With all the hoopla surrounding BHP Group Ltd (ASX: BHP) offloading its oil assets to Woodside Energy Group Ltd (ASX: WDS), Milne feels like Santos’ stock price has been “left behind”.

“Its current share price implies that oil is trading at $60 a barrel, when reality is it’s north of $100,” she said.

“We think it’s going to be elevated over the medium term. So we like Santos — it’s a buy.”

Many fans, but some dissent

It seems Milne’s peers generally agree.

Currently 15 out of 17 analysts surveyed on CMC Markets rate Santos as a buy. Twelve of those even recommend it as a strong buy.

The Motley Fool reported this week that Morgans is another investment team that favours Santos.

“We expect the resilience of Santos’ growth profile and diversified earnings base see it best placed to outperform against a backdrop of a broader sector recovery,” its research read.

Morgans has a $9.30 price target, which is about a 34% premium from the current level.

However, The Motley Fool’s Tristan Harrison begs to differ.

“Woodside Energy Group Ltd shares seem like a better pick compared to Santos Ltd, in my opinion,” he said earlier this week.

“While dividends aren’t everything, I think the bigger dividend yield from Woodside can help provide stronger returns.”

The post Sick of high petrol prices? Then buy this ASX share: analyst appeared first on The Motley Fool Australia.

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More reading

• Why is the Woodside share price in a slump on Friday?
• 5 things to watch on the ASX 200 on Friday
• Which ASX 200 shares will prove to be dividend heavyweights this earnings season?
• Why Creso Pharma, Endeavour, Orica, and Woodside shares are dropping
• 2 reasons why I’d pick Woodside shares over Santos

Motley Fool contributor Tony Yoo 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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I’m a big fan of buy and hold investing and believe it is the best way for investors to grow their wealth.

To demonstrate how successful it can be, I like to pick out a number of popular ASX shares to see how much a single $20,000 investment 10 years ago would be worth today.

With that in mind, here’s how you would have fared if you had invested in these ASX shares in 2012:

NEXTDC Ltd (ASX: NXT)

If you had bought this data centre operator’s shares 10 years ago, you would have done very well for yourself. Thanks to the structural shift to the cloud and its world class portfolio of data centres across Australia, NextDC has delivered consistently strong revenue and EBITDA growth.

This has led to the company’s shares generating an average total return of 19.94% per annum over the period. This means that if you had invested $20,000 into NextDC’s shares back in 2012, you would have grown your investment to a sizeable $123,000 today.

ResMed Inc. (ASX: RMD)

Another ASX share that has smashed the market over the last decade is sleep treatment focused medical device company ResMed. Like NextDC, it has delivered consistently solid sales and earnings growth over the period. This has been driven by its industry-leading sleep treatment solutions and the growing awareness and prevalence of sleep disorders.

ResMed’s strong operating performance has led to its shares generating a total average return of 26.84% per annum for investors since 2012. This means that anyone lucky enough to have invested $20,000 into the company’s shares 10 years ago, would have seen the value of their investment grow to be worth a massive ~$215,000 today.

The post $20,000 invested in these ASX shares 10 years ago is worth how much now? appeared first on The Motley Fool Australia.

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More reading

• Brokers name 3 ASX shares to buy today
• Worried about how ASX 200 tech shares might perform this earnings season? Here’s what to watch
• Why are ASX 200 tech shares having such a stellar run today?
• Morgans names 3 more of the best ASX shares to buy in August
• Here are 3 stellar ASX growth shares analysts are tipping as buys

Motley Fool contributor James Mickleboro has positions in NEXTDC Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ResMed Inc. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended ResMed. The Motley Fool Australia has positions in and has recommended ResMed Inc. 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 price of iron ore has slumped 10% this week amid ongoing macroeconomic uncertainty.

This includes the contraction in China’s economic activity and widespread fears of a looming recession.

Iron ore is essential to the revenues of the major miners on the S&P/ASX 200 Index (ASX: XJO). As such, changes in its price can lead to considerable swings in those companies’ share prices.

Although correlation is not causation, let’s check how the shares of the ASX iron ore giants have fared over the last five days. 

How have the ASX’s big iron ore players held up this week?

Shares of Rio Tinto Ltd (ASX: RIO) are down 1.22% over the last five trading days. A contraction in Rio’s share price is to be expected as iron ore is the company’s largest business segment, accounting for 80% of its earnings in 2021.

Another factor that may be squeezing Rio shares – and those of other iron ore producers – is the formation of the China Mineral Resources Group.

The entity could attempt to drive down the price of iron ore through the process of collective bulk buying on behalf of domestic companies in China.

BHP Group Ltd (ASX: BHP) also experienced a minor dip with its share price down 0.69% over the last five days. BHP also generates the majority of its revenue from iron ore, but it is considerably more diversified than Rio. This could explain why its contraction is less.

In 2021, 57% of BHP Group’s revenues came from iron ore, while its second-largest operating segment was copper, contributing 25%.

Lastly, Fortescue Metals Group Ltd (ASX: FMG) shares dipped 0.82%. Iron ore is Fortescue’s primary operating segment, contributing $8.39 billion in revenue in 2021. 

The post The iron ore price has slumped 10% in 5 days. Here’s how ASX 200 mining shares have responded. appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Why did the Arafura share price plunge 19% today?
• ‘The world is changing’: CEO reveals what will help drive Rio Tinto shares in 2023 and beyond 
• 3 ASX 200 shares to buy for a post-COVID resurgence: experts

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 Pilbara Minerals Ltd (ASX: PLS) share price had a good end to the week, lifting 3.61% to close on Friday at $2.87%.

This ASX lithium share has seen a lot of volatility in the last few weeks and months.

However, investors in the miner may have a reason to smile after the business provided an optimistic presentation at the Diggers & Dealers Mining Forum.

In the presentation, the company said it had enjoyed an amazing growth journey with more to come.

Highlights recap

A key factor that affects the performance of commodity companies is the price of the resource.

Pilbara Minerals advised that lithium pricing remained “strong”. The ASX lithium share said this placed the business in a “prime position” to capitalise on current market conditions, including selling spodumene concentrate from the Ngungaju Plant.

The company noted that the lithium deficit was expected to grow and, by 2040, might be the equivalent of around 18 Pilgangooras.

Pilbara Minerals is benefiting from the strong pricing, and this is helping build its cash balance. It had a cash balance of $874.2 million on 30 June 2022.

A key part of the company’s strategy is value-added products that can help increase its margin. It is positioned to capture value throughout the entire lithium raw material and chemical supply chain. That includes spodumene, lithium salts and lithium fine chemicals.

Pilbara Minerals share price snapshot

Over the past month, the Pilbara Minerals share price has risen by 32%.

The post Why is the Pilbara Minerals share price having such a strong end to the week? appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Friday
• ASX lithium shares facing ‘insatiable’ demand amid global funding gap
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Why are ASX lithium shares having such a top run on Wednesday?
• Here are the 3 most heavily traded ASX 200 shares on Wednesday

Motley Fool contributor Tristan Harrison 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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It ended up being a very pleasing end to the week for ASX investors this Friday. As of market close, the All Ordinaries Index (ASX: XAO) has closed up a healthy 0.59% at 7,250.3 points. But many ASX tech shares fared even better.

So let’s check out three that had an absolutely cracking end to the trading week on the ASX today.

3 ASX tech shares that had a cracking day on the ASX today

Novonix Ltd (ASX: NVX)

Our first ASX tech share to check out is battery tech company Novonix. Novonix shares had a corker rising a pleasing 13.65% to $3.08 a share over today’s session.

This staggering move was despite a complete absence of any news out of the company, as my Fool colleague Bronwyn covered earlier. This latest move means that the Novnix share price is now up more than 32% over the past month alone.

Saying that, the company remains down a painful 70% or so over 2022 thus far. Its current 52-week high of $12.47 still looks like a long way off too.

Weebit Nano Ltd (ASX: WBT)

Next up is ASX tech share Weebit Nano. Weebit Nano shares enjoyed more than a (apologies) wee bit of a gain today. The semiconductor company rose an impressive 9.06% over today’s session to finish up at $3.01 a share.

There’s been no news out of this company since its investor presentation that was released on Monday. This was initially poorly received. But since Tuesday, Weebit Nano shares have risen by more than 12%, so perhaps investors have changed their minds.

Life360 Inc (ASX: 360)

Finally, we have location-sharing software company Life360. As you might guess, Life360 shares also had a very successful trading day this Friday.

The company ended up closing at $4.96 a share, up a healthy 5.76%. This one is a little more of a mystery. The company hasn’t put out much in the way of news at all in recent weeks. Yet it has risen close to 15% since Wednesday this week.

Perhaps the bullish broker note my Fool colleague James went through late last month could have played a role. Broker Bell Potter rated the company as a “buy”, with a share price target of $7.50. That might have tempted a few buyers this week.

The post These 3 ASX tech shares had a cracking day on the ASX today appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Why is the Novonix share price leaping 12% on Friday?
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today
• Why did the Novonix share price notch up a 24% gain in July?

Motley Fool contributor Sebastian Bowen 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 Life360, Inc. 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 Piedmont Lithium Inc (ASX: PLL) share price has finished the week higher, closing on Friday at 66 cents.

After finding a bottom on 15 July, Piedmont shares have curled upward and are now testing their June FY22 levels again.

Investors have pushed the stock up to this level on no news. As seen below, the S&P/ASX 300 Metals and Mining Index (ASX: XMM) has also ticked up lately, and currently trades 2% higher on the month.

What’s up with the Piedmont share price?

Despite no market-sensitive news recently, Piedmont shares have drifted higher in unison with the metals and mining index, as seen above.

The index, a benchmark for listed metals and mining companies on the ASX, has basically mirrored the Piedmont share price this year to date – or, more likely, the other way around.

As the sector continues strengthening, it stands to reason that Piedmont is attracting buys on the back of this, in the absence of any other data.

Further, whilst numerous commodity baskets enter sell-off mode and trim most of 2022’s gains, lithium remains in its place on the mantlepiece and has clipped a 418% YoY gain.

The impact of lithium’s top-heaviness has seen ASX lithium players catch a bid in the last few weeks, alongside peers in the sector.

As such, the Piedmont Lithium share price boasts a 26% gain over the past month of trade, narrowing its YTD loss to just 10%.

Amid the market turbulence, brokers have been unswayed on their projections on the share as 100% of analysts covering Piedmont rate it a buy or strong buy right now, according to Refinitiv Eikon data.

The consensus price target on the company is a mammoth $101 per share, implying more than $56 per share of upside potential if they are correct.

The post Why is the Piedmont Lithium share price off to such a great start in August? appeared first on The Motley Fool Australia.

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More reading

• Why are ASX lithium shares having such a top run on Wednesday?
• Why is the Piedmont Lithium share price piling on 6% today?
• Why has the Piedmont Lithium share price tumbled 30% in a month?

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

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The S&P/ASX 200 Index (ASX: XJO) finished the week on a high note, lifting alongside materials shares.

The index was 0.58% higher at 7,015.60 points as of Friday’s close. That’s also 1.01% higher than it was at the end of last week.

The S&P/ASX 200 Materials Index (ASX: XMJ) lifted 1.9% today, with lithium and gold stocks coming in as its best performers.

It followed a 1.7% gain recorded by gold futures, which lifted to trade at US$1,806.90 an ounce. Meanwhile, iron ore futures fell 3.5% to US$106.50 a tonne

But it wasn’t all gains across the market. The S&P/ASX 200 Energy Index (ASX: XEJ) plunged 1.4% after oil prices slumped overnight.

Brent crude oil fell 2.7% to US$94.12 a barrel and US Nymex crude slipped 2.3% to US$88.54 a barrel. That marks their lowest prices since Russia invaded Ukraine in February.

The S&P/ASX 200 Information Technology Index (ASX: XIJ) also fell 1.25% as Block Inc (ASX: SQ2)’s quarterly earnings disappointed.

All in all, six of the ASX 200’s 11 sectors closed today’s trade in the green. But which share outperformed all others? Keep reading to find out.

Top 10 ASX 200 shares countdown

Today’s best performing ASX 200 share recorded double the gain of the next best performer. It was none other than the Novonix Ltd (ASX: NVX) share price which surged around 14% to close the week. Find out what’s been going on with the battery technology and materials share here.

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

ASX-listed company	Share price	Price change
Novonix Ltd (ASX: NVX)	$3.08	13.65%
Liontown Resources Limited (ASX: LTR)	$1.505	6.74%
Ramelius Resources Limited (ASX: RMS)	$1.115	6.7%
Silver Lake Resources Limited (ASX: SLR)	$1.54	6.57%
Core Lithium Ltd (ASX: CXO)	$1.285	6.2%
Life360 Inc (ASX: 360)	$4.96	5.76%
Coronado Global Resources Inc (ASX: CRN)	$1.475	5.36%
Pointsbet Holdings Ltd (ASX: PBH)	$3.35	5.35%
Champion Iron Ltd (ASX: CIA)	$4.79	5.27%
Corporate Travel Management Ltd (ASX: CTD)	$20.66	4.87%

Our top 10 ASX 200 shares countdown is a recurring end-of-day summary to ensure you know which companies were making big moves on the day. Check in at Fool.com.au after the market has closed during weekdays 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

• Here are the 3 most heavily traded ASX 200 shares on Friday
• Why Core Lithium, European Lithium, Incannex, and Qantas shares are pushing higher
• Why did the Arafura share price plunge 19% today?
• ASX lithium shares facing ‘insatiable’ demand amid global funding gap
• Why is the Novonix share price leaping 12% on Friday?

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 Block, Inc., Life360, Inc., and Pointsbet Holdings Ltd. The Motley Fool Australia has positions in and has recommended Block, Inc. The Motley Fool Australia has recommended Corporate Travel Management Limited and Pointsbet Holdings Ltd. 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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