Tag: Motley Fool

The Australia and New Zealand Banking Group Ltd (ASX: ANZ) share price remains out of action.

The banking giant’s shares are currently in a trading halt until Thursday while it undertakes a $3.5 billion capital raising.

These funds will be used to acquire the banking operations of Suncorp Group Ltd (ASX: SUN) for $4.9 billion.

What are analysts saying about ANZ’s Suncorp Bank acquisition?

This morning the team at Goldman Sachs gave their verdict on the Suncorp Bank acquisition.

According to the release, the broker sees both positives and negatives from the acquisition.

The positives are the expectation that the deal will be earnings per share accretive post synergies and boost to its domestic retail/commercial banking. Goldman said:

Strategically, the proposed acquisition somewhat improves ANZ’s relative lack of scale in domestic retail/commercial banking. Based on APRA’s monthly ADI statistics, ANZ’s market share should increase c.2% in home lending and c.3% in retail deposits.

Whereas the negatives are the elevated operational risks associated with the delivery of the aforementioned synergies and competition concerns. Goldman explained:

We see operational risk as elevated, given i) management’s expected A$260 mn of pre-tax synergies largely rely on getting SUN’s 1.2 mn customers on to its still yet to be completed ANZ Plus platform, and ii) potential competition concerns.

This synergy assumption looks high versus previous in-market financial transactions, which tend to see 25-30% of the target’s cost base as synergies.

Is the ANZ share price good value?

The note reveals that Goldman Sachs has held firm with its neutral rating.

However, even after trimming its price target by 8% to $27.44, this still implies potential upside of 27% for investors over the next 12 months. That’s not bad for a neutral rating!

In addition, it is worth noting that Goldman hasn’t incorporated the Suncorp Bank acquisition into its estimates. This will happen once the deal completes and could give its valuation a boost when it does.

The post Top broker gives its verdict on ANZ’s Suncorp Bank acquisition appeared first on The Motley Fool Australia.

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More reading

• What might ANZ’s Suncorp deal mean for competition among ASX 200 banks?
• ‘CBA and Westpac are too big’: One fund manager’s take on the future of ASX 200 bank shares
• Should owners of CBA shares be worried about ANZ’s mega deal?
• 5 things to watch on the ASX 200 on Tuesday
• ‘Not bricks and mortar’: The real value in ANZ acquiring Suncorp’s banking operations

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

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Are you wanting to make some new additions to your portfolio? If exchange traded funds (ETFs) are of interest to you, then you may want to look at the three listed below.

Here’s what you need to know about them:

BetaShares Crypto Innovators ETF (ASX: CRYP)

The first ETF to look at is the BetaShares Crypto Innovators ETF. As you might expect, this ETF has been hammered this year amid the collapse in the crypto market. But if you’re a crypto-believer and feel that this is just a small blip then this ETF could be worth considering. It provides investors with exposure to crypto miners, neobanks, trading platforms, and mining equipment providers.

Among its holdings you’ll find Coinbase, Silvergate, and Riot Blockchain. These companies look well-placed for growth over the next decade if the crypto industry proves not to be a fad.

BetaShares Global Banks ETF (ASX: BNKS)

Another ETF for investors to look at is BetaShares Global Banks ETF. As its name implies, this ETF gives investors exposure to many of the world’s largest banks. And as it excludes Australian banks, it could be a good option if you’ve already got reasonable exposure to them in your portfolio.

Among the banks included in the fund are Bank of America, Barclays, Citigroup, HSBC, JPMorgan and Wells Fargo.

BetaShares Global Energy Companies ETF (ASX: FUEL)

A final ETF for ASX investors look at is the BetaShares Global Energy Companies ETF. This ETF provides investors with exposure to many of the world’s largest energy companies. This could make it a top option for investors that are wanting to gain exposure to sky high oil prices.

Among the 50+ shares included in the fund are energy giants such as BP, Chevron, ExxonMobil, and Royal Dutch Shell. These all appear well placed to deliver bumper profits and dividends in the near term thanks to favourable oil prices.

The post 3 highly rated ETFs for ASX investors to buy now appeared first on The Motley Fool Australia.

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More reading

• Here are the best-performing ASX ETFs of FY 2022
• Here are 3 fantastic ETFs for ASX investors to buy now
• 3 quality ETFs for ASX investors to buy next week
• 3 highly rated ETFs for ASX investors to buy now

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 BetaShares Global Banks ETF – Currency Hedged, BetaShares Global Energy Companies ETF – Currency Hedged, and Betashares Crypto Innovators ETF. 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 is struggling today. At the time of writing, the lithium share is 2.46% lower at $2.38 apiece.

After a rocky period to finish FY22, Pilbara has started the new financial year well on the chart. It is up 4% in July, having bounced from six-month lows on 23 June.

In broader market moves, the S&P/ASX 300 Metals and Mining index (ASX: XMM) is also down 0.52% on Tuesday.

What’s in store for the Pilbara Minerals share price?

Last week, Pilbara announced a drop in lithium prices via its battery materials exchange (BMX) auction process. This is the first dip since the BMX began.

The price nudged down 2.5% month on month to approximately US$6,841 per dmt [dry metric tonne] on 5.5% lithia. This was for a 5,000 dmt cargo of lithium for delivery in August.

Still, just a month earlier, the company advised it had accepted a record pre-auction offer of US$7,017 per dmt on the same specifications.

Still, brokers are bullish on the Pilbara share price. According to a note from Macquarie, its analysts rate Pilbara a buy on a $4.20 per share valuation.

Curiously, despite the lower BMX auction price, Macquarie was still impressed by the prices Pilbara has received – higher than the broker’s estimates.

Pilbara is also rated a buy from around 86% of brokers covering the share, with the remainder suggesting to hold, according to Refinitiv Eikon data.

From this list, the consensus price target is $3.13 per share. That’s roughly 28% return potential from the current market price.

Pilbara share price snapshot

In the last 12 months, the Pilbara share price has recorded a 58% gain but has lost 26% year to date.

The company has a current market capitalisation of just over $7 billion.

The post Up 9% in FY23, what’s next for the Pilbara Minerals share price? appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Tuesday
• Brokers name 3 ASX shares to buy today
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Why Data#3, Netwealth, New Hope, and Pilbara Minerals shares are pushing higher
• The best and worst ASX All Ords mining shares of FY22

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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A planned merger between Australia and New Zealand Banking Group Ltd (ASX: ANZ) and Suncorp Group Ltd (ASX: SUN)’s Suncorp Bank will undoubtably bring about a major shift among ASX 200 bank shares.

If successful, the $4.9 billion takeover proposal will see one of Queensland’s regional lenders incorporated into the ‘big four’ bank. Commentators believe that would put focus on a potential merger between the state’s remaining regional majors, reports the Australian Financial Review.

Looking beyond potential roll-on mergers, the takeover also represents a test for the Australian Competition and Consumer Commission (ACCC). It will also shrink the already tiny playing field in which ASX 200 banks operate.

Let’s take a look at what ANZ’s proposed merger with Suncorp Bank could mean for other ASX 200 bank shares.

Are more ASX 200 bank mergers on the cards?

ASX 200 banking giant ANZ proposed to snap up Suncorp’s banking business for $4.9 billion on Monday in a move that could leave the Queensland-based financial services company an insurance pure play.

And that could start the ball rolling for some big changes on the ASX 200. According to the AFR, it has the potential to turn attention to a merger between Bank of Queensland Ltd (ASX: BOQ) and Bendigo and Adelaide Bank Ltd (ASX: BEN). The pair are valued at around $4.6 billion and $5.5 billion respectively.

The deal could also put such smaller ASX 200 bank shares further on the back foot. It would, of course, see a member of the ‘big four’ carving out a larger slice of the market. That could concern the ACCC and its recently appointed chair Gina Cass-Gottlieb.

Though, it’s worth mentioning that ANZ is by far the smallest member of the quartet. It boasts a market capitalisation of around $60 billion, $100 billion less than that of the largest ‘big four’ bank.

Additionally, ANZ held just 14% of the Australian mortgage market in 2021, while Suncorp Bank had a hold of around 2%, according to research by Statista.

Even combined, their market position would be dwarfed by that of Commonwealth Bank of Australia (ASX: CBA) (26%) and Westpac Banking Corp (ASX: WBC) (22%).

Suncorp Bank’s potential shift from Suncorp’s Brisbane office to ANZ’s Melbourne headquarters has also raised eyebrows.

The CEO of Queensland lender Heritage Bank Peter Lock told the AFR the merger would further remove banks from lenders outside of Sydney and Melbourne, thereby potentially disadvantaging customers.

The post What might ANZ’s Suncorp deal mean for competition among ASX 200 banks? appeared first on The Motley Fool Australia.

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More reading

• ‘CBA and Westpac are too big’: One fund manager’s take on the future of ASX 200 bank shares
• Should owners of CBA shares be worried about ANZ’s mega deal?
• Why Allegiance Coal, Hub24, Suncorp, and WiseTech shares are dropping
• 5 things to watch on the ASX 200 on Tuesday
• ‘Not bricks and mortar’: The real value in ANZ acquiring Suncorp’s banking operations

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 positions in and has recommended Bendigo and Adelaide Bank Limited. The Motley Fool Australia has recommended 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 Westpac Banking Corp (ASX: WBC) dividend is one of the most popular options for income investors on the Australian share market.

Over the years, Australia’s oldest bank has shared a large portion of its profits with shareholders.

The good news is that this trend is expected to continue in the future according to a number of analysts.

What are analysts saying about the Westpac dividend?

While opinion is divided on the exact value of the Westpac dividend in the coming years, one thing that analysts agree on is that the yield on offer with its shares will be generous.

One of the more cautious brokers is Macquarie, which has a neutral rating and $22.00 price target on its shares.

Its analysts are forecasting fully franked dividends per share of $1.22 in FY 2022, $1.23 in FY 2023, and $1.25 in FY 2024. Based on the current Westpac share price of $20.20, this will mean yields of 6%, 6.1%, and 6.2%, respectively.

What else?

The team at Goldman Sachs, which also has a neutral rating but lofty $27.29 price target, expect even bigger dividends for Westpac.

The broker has pencilled in fully franked dividends per share of $1.24 in FY 2022, $1.29 in FY 2023, and $1.46 in FY 2024. This implies yields of 6.1%, 6.4%, and 7.2%, respectively.

Finally, over at Citi, its analysts are bullish on Australia’s oldest bank and expect the Westpac dividend to be much larger than the others in the coming years.

Citi is forecasting fully franked dividend of $1.23 in FY 2022, $1.53 in FY 2023, and then $1.85 in FY 2024. If these forecasts are accurate, it will mean very generous yields of 6.1%, 7.6%, and 9.15%, respectively.

In addition, its analysts have a buy rating and $29.00 price target on the company’s shares. This suggests material upside potential over the next 12 months.

The post This is what analysts are forecasting for the Westpac dividend through to FY24 appeared first on The Motley Fool Australia.

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More reading

• ‘CBA and Westpac are too big’: One fund manager’s take on the future of ASX 200 bank shares
• How to beat the market with ‘boring’ ASX shares: fundie
• Own Westpac shares? The plan for a $1 billion division sale
• Top ASX dividend shares to buy in July 2022
• Setting the pace: Why ASX 200 bank shares are feeling the pinch on Friday

Motley Fool contributor James Mickleboro has positions in Westpac Banking Corporation. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended 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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With the blockbuster news out this week regarding Australia and New Zealand Banking Group Ltd (ASX: ANZ), the future of the ASX banking sector — and bank shares — is certainly in the spotlight. ANZ announced on Monday that it would be buying the banking arm of Suncorp Group Ltd (ASX: SUN) for a sum of $4.9 billion.

It will be one of the largest banking tie-ups on the ASX for decades. Certainly since the old St George Bank was swallowed up by Westpac Banking Corp (ASX: WBC) back in 2008.

So what does this mean for the future of the ASX banking sector? Could even more mergers be on the table for some of the other ASX bank shares?

Could AMP be the next big four bank takeover target?

Well, an arguable candidate for a takeover might be AMP Ltd (ASX: AMP). AMP has leaned back into focusing on its banking division after years of corporate trouble. The AMP share price has fallen more than 80% over the past five years. Not to mention this once-venerable ASX institution now has a market capitalisation of just over $3 billion. As such, AMP could certainly be in the sights of one of the ASX’s larger banks.

The question of whether AMP might be next off the rank after Suncorp was raised at the recent ‘Allan Gray Live: What does the future hold for AMP?’ webinar, hosted by ASX fund manager Allan Gray.

Expert: CBA, Westpac too big to buy AMP

Here’s some of what Allan Gray portfolio managing director and chief investment officer Simon Mawhinney had to say when asked if he thought AMP was an ASX big four takeover target:

I would say there’s less chance of it [AMP] being taken over by a big four bank than perhaps it merging with a non big four regional bank. If I think about it, I think CBA and Westpac are too big. And so the ACCC would likely have some concerns; maybe even APRA if its mandate is to be concerned about things like that.

Clearly, ANZ has now shot its bullets and it’s got some stuff to work on, and so its focus is elsewhere. NAB has recently bought Citi’s… one of Citi’s books — and so I think that they’re pretty much spoken for.

Sure, there is some scope to merge with another bank. It might happen. I hope that if someone came to AMP and said, ‘Here’s 1.3 times NTA for AMP Bank, do you want it or not?’ I hope they would take it because we would be delighted with that outcome.

So according to Mawhinney, there is far more of a chance that AMP might join forces with a bank like Bendigo and Adelaide Bank Ltd (ASX: BEN) than with the likes of Commonwealth Bank of Australia (ASX: CBA), Westpac, or National Australia Bank Ltd (ASX: NAB).

It’s an interesting take on the future of the ASX 200’s banking sector. For now, we can only wait and see what actually happens.

The post ‘CBA and Westpac are too big’: One fund manager’s take on the future of ASX 200 bank shares appeared first on The Motley Fool Australia.

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More reading

• This is what analysts are forecasting for the Westpac dividend through to FY24
• Here are the 3 most heavily traded ASX 200 shares on Tuesday
• Here’s a look at what might happen to Woolworths shares in FY2023
• Should owners of CBA shares be worried about ANZ’s mega deal?
• Why Allegiance Coal, Hub24, Suncorp, and WiseTech shares are dropping

Motley Fool contributor Sebastian Bowen has positions in National Australia Bank 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 recommended 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 S&P/ASX 200 Index (ASX: XJO) has dipped as we head towards the end of this Tuesday’s trading session. After some initial bouncing around this morning, the ASX 200 has now decisively fallen by 0.62% and is now sitting at around 6,645 points. 

But rather than trying to figure all of that out, let’s instead take a look at the shares that are currently at the top of the ASX 200’s trading volume charts, according to investing.com.

The 3 most traded ASX 200 shares by volume this Tuesday

South32 Ltd (ASX: S32)

ASX 200 diversified mining company South32 is our first share to check out today. So far this Tuesday, a hefty 12.31 million South32 shares have been bought and sold.

We haven’t had any news or announcements out of the company today, so we can probably blame South32’s volatile share price movements themselves for this volume. As it currently goes, South32 is down a painful 1.58% at $3.425 after initially rising to $3.56 a share this morning.

Pilbara Minerals Ltd (ASX: PLS)

Pilbara Minerals is next up this Tuesday. So far today, a sizeable 14.46 million of this ASX 200 lithium producer’s shares have traded owners. Again, we seem to have a very similar situation to South32 happening with this company. Pilbara initially rose this morning to $2.50 a share but is now down by 2.87% at $2.37 a share.

Lake Resources N.L. (ASX: LKE)

Our third and final share today is another ASX 200 lithium stock in Lake Resources. A whopping 28.85 million Lake shares have now changed hands as it currently stands. We don’t have to look too far for this one.

Lake Resources shares have rocketed today. The company is presently up by an eye-popping 11.52% at 69.7 cents a share. As my Fool colleague Zach covered earlier, this rise comes despite no news out of Lake Resources today whatsoever.

The post Here are the 3 most heavily traded ASX 200 shares on Tuesday appeared first on The Motley Fool Australia.

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More reading

• Here’s a look at what might happen to Woolworths shares in FY2023
• Why is the Lake Resources share price rallying 11%?
• Why is the Santos share price on such a tear today?
• ASX 200 midday update: BHP’s Q4 update, JB Hi-Fi delivers record result
• Brokers: Buy these 2 leading ASX 200 shares 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 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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All Ordinaries Index (ASX: XAO) shares, as a whole, are struggling today.

At the time of writing the 500 ASX shares that make up the All Ordinaries are down a combined 0.5%, with many sliding following the release of the RBA’s Monetary Policy meeting minutes earlier today.

But some companies are bucking that trend, with these three ASX All Ordinaries shares charging higher.

3 ASX All Ordinaries shares leaping higher today

First up we have Strandline Resources Ltd (ASX: STA).

The ASX resource explorer is primarily focused on mineral sands, with projects in Australia and Tanzania. There’s no fresh news out from the company, but that’s not stopping investors from bidding up the price.

Strandline closed yesterday trading at 32 cents per share and is currently trading for 35 cents per share, up 9.5%. At the current price that gives Strandline Resources a market cap of $428 million.

Our second ASX All Ordinaries share galloping higher today on no new price-sensitive news is Qualitas Limited (ASX: QAL), a recent newcomer to the ASX, listing on 16 December 2021.

Shares in the alternative real estate investment manager closed at $1.62 yesterday and are currently trading for $1.78, up 9.9%. That boosts the company’s market cap to $523 million.

Also charging higher…

Also charging higher is clinical-stage biotechnology company Mesoblast Ltd (ASX: MSB).

The ASX All Ordinaries share was up 14% in early morning trade, but has given some of that back. At the time of writing, shares are trading for 93 cents, up 8.2%, giving the company a market cap of $596 million.

Unlike the other two big gainers, Mesoblast did release fresh news this morning, citing clinical progress with its rexlemestrocel-L product candidate.

As my Fool colleague, James Mickleboro reported:

Rexlemestrocel-L delivered an improvement in left ventricular ejection fraction (LVEF) at 12 months after a single intervention in the 565-patient randomised controlled trial in New York Heart Association (NYHA) class II/III chronic heart failure (CHF) with reduced ejection fraction (HFrEF).

The post 3 ASX All Ordinaries shares leaping 10% or more today appeared first on The Motley Fool Australia.

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More reading

• Why JB Hi-Fi, Mesoblast, Pendal, and Woodside shares are pushing higher
• Why is the Mesoblast share price jumping 14%?
• How did ASX biotech shares perform in FY22?
• These are the 10 most shorted ASX shares
• Why Austal, Mesoblast, Regis Resources, and Zip shares are charging higher

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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The Woolworths Group Ltd (ASX: WOW) share price was a standout performer on the S&P/ASX 200 Index (ASX: XJO) last financial year. Over FY2022, Woolworths shares recorded a loss of 0.6%, closing out the financial year at $35.60 a share.

A loss of 0.6% might not look like a winning proposition for many investors. But considering the broader ASX 200 fell by a far nastier 10.19% between 1 July 2021 and 30 June 2022, it was considerably better to own Woolies shares than the index.

Further, Woolworths shares paid out a total of 94 cents per share in fully franked dividends. That’s enough to pull the company into positive return territory for FY2022.

But now FY2022 is well behind us and we’ve already embarked on the 2023 financial year, what might the next 12 months or so hold in store for the Woolworths share price?

Is it buy or sell for the Woolworths share price in FY2023?

Well, one broker is extremely bullish on Woolies shares going forward, even after the positive year the company enjoyed over FY2022.

As my Fool colleague James covered last week, ASX broker Goldman Sachs is currently rating Woolworths shares as a “buy”. It also has a 12-month share price target of $41.70 on the supermarket operator’s shares.

If that came to pass, it would represent a potential upside of just over 12.8% from the $36.96 share price the company is commanding today (at the time of writing).

So why is Goldman so optimistic on Woolworths shares over this current financial year? The broker is estimating that Woolies will be able to continue to grow both revenues and earnings going forward. Here’s some of what it had to say on its projections:

We are encouraged by the resilience and superior operations of WOW and reiterate our unchanged FY22-24e Sales and EPS CAGR of 6.9% and 14.9% respectively. We expect this to be driven by high price growth, well protected GPM and slight EBIT margin expansion as COVID costs roll-off and cost efficiencies continue.

So a very positive outlook on Woolworths share price from Goldman Sachs. Only time will tell if this outlook proves to be accurate though. Even so, it’s no doubt music to Woolworths shareholders’ ears today.

At the current Woolworths share price, this ASX 200 blue chip share has a market capitalisation of $44.87 billion, with a fully franked dividend yield of 2.54%.

The post Here’s a look at what might happen to Woolworths shares in FY2023 appeared first on The Motley Fool Australia.

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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 Goldman Sachs. 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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Shares in Eagers Automotive Ltd (ASX: APE) are edging higher on Tuesday following another top-up by a board member.

At the time of writing, the automotive retailer’s shares are fetching at $11.76, up 0.68%.

In comparison, the S&P/ASX 200 Index (ASX: XJO) is heading south by 0.65% to 6,643 points following losses on Wall Street overnight.

Let’s take a look at the details surrounding the latest insider buying action.

Eagers Automotive’ Politis continues to buy up

According to the Australian Financial Review, non-executive director Nick Politis has made a series of on-market purchases in Eagers Automotive.

This comes as the company received approval to take over the rich lister’s privately-owned dealerships in the Australian Capital Territory. The agreed acquisition price was $193 million which is relatively modest given Politis’ estimated weath is $2.02 billion.

In the past month, Politis has picked up 50,000 Eagers Automotive shares between $10.733 and most recently $11.336 apiece.

This puts him as the largest shareholder of the company, with a total holding of roughly 70.26 million shares.

To put that into perspective, that equates to around a 27.3% holding in Eagers Automotive.

Since mid-June and the timely buy from Politis, the automotive retailer’s shares have rebounded strongly by 33%.

The company has hundreds of dealerships across Australia and New Zealand, selling a number of popular vehicle brands.

Acquiring the dealerships in the ACT will generate $450 million in sales per year for the business. These include four Toyota dealerships as well as Lexus of Canberra, Subaru Canberra, Volvo Car Canberra, and Phillip Mitsubishi.

Eagers Automotive share price snapshot

Despite today’s gain, the Eagers Automotive share price has fallen around 22% in the past 12 months.

Year to date, the company’s shares are down 12%.

Based on today’s price, Eagers Automotive commands a market capitalisation of approximately $3 billion.

The post Guess which ASX 200 share this billionaire has been topping up on appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX shares today
• Eagers Automotive share price lifts on ‘improved outlook’
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• ASX 200 midday update: Zip scraps Sezzle merger, Lake Resources’ short seller attack
• Here are the top 10 ASX shares today

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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