Tag: Motley Fool

The Webjet Limited (ASX: WEB) share price looks set to take off in 2022 and beyond, in my opinion.

Why? Webjet is one of the biggest ASX travel shares on the ASX, with a market capitalisation of $2 billion, according to the ASX.

Over the last month, Webjet shares have fallen by around 10%. However, after the recent turbulence, I believe that Webjet could go higher from here.

The last two and a half years have been tough for the business, with the company suffering from COVID-19 impacts.

But, with COVID lockdowns fading into history for much of the world, I think the Webjet share price now looks like an opportunity.

Optimism about Webjet

The simple reason why I believe the ASX travel share could be a good shout is due to expectations of growing earnings.

For example, in FY24, numbers on financial service company CMC Markets suggest that the Webjet could generate 30.5 cents of earnings per share (EPS). That would mean the current Webjet share price is valued at 18x FY24’s estimated earnings.

I think Webjet’s earnings can rise because of the return of demand for travel and increasing efficiencies.

Indeed, we heard in mid-May 2022 about the Webjet FY22 result and current conditions.

The ASX travel share said that WebBeds returned to profitability in the FY22 second half, driven by North American and European markets.

The Webjet online travel agency (OTA) business was profitable in FY22, despite border closures and the impact of the COVID-19 variant, Omicron.

Webjet itself said that there were “significant growth opportunities” with all of its businesses as global travel markets reopen.

What about WebBeds?

A key part of my optimism for the business and the Webjet share price is the fact that WebBeds is on track to be 20% more cost-efficient than pre-COVID booking volumes, despite global wage pressures.

It has a significant program underway, with seven automation processes deployed in areas like mapping, cancellations and confirmations. It’s improving conversions and delivering cost savings by automating labour-intensive processes.

Webjet is working on its enterprise resource planning (ERP) unification program, with the first stage going live in the second half of FY22. Efficiencies in core payables and receivable functions are “starting to come through” as volumes increase.

WebBeds is expecting the earnings before interest, tax, depreciation and amortisation (EBITDA) margin to be 62.5% when back at scale.

Outlook looks positive

Webjet said in May that there were “strong signs of demand” with its daily customer search activity. It’s also seeing “demonstrable indicators of confidence” in the recovery from supply partners as they invest in capacity for the future.

For example, ASX airline shares Qantas Airways Limited (ASX: QAN) and Regional Express Holdings Ltd (ASX: REX) have placed orders for more aircraft.

Webjet said that the WebBeds total transaction volume (TTV) for May 2022 was tracking above pre-pandemic levels, with 14 of the top 25 markets now trading at or above pre-pandemic booking volumes.

It has also seen “strong booking momentum” for the Webjet OTA business as international tourism recommences. Total bookings for May were tracking at 80% of pre-pandemic levels. It said that it continues to build its market share, extending its lead as the number one online travel agent in Australia and New Zealand.

With this positive outlook, I think there’s plenty to like about the future for the Webjet share price.

The post Here’s why I think the Webjet share price could fly higher in 2022 appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Here are the top 10 ASX shares today
• These are the 10 most shorted ASX shares
• 2 ASX travel shares buy-rated by experts that could take off
• Why is the Webjet share price tailgating the ASX 200 today?
• Analysts name 2 top ASX 200 shares to buy today

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

from The Motley Fool Australia https://ift.tt/lKCP40b

The Flight Centre Travel Group Ltd (ASX: FLT) share price struggled last month despite the company’s silence.

After finishing May at $20.50, Flight Centre shares were swapping hands for just $17.36 at the final close of June. That represents a 15.32% tumble.

For context, the S&P/ASX 200 Index (ASX: XJO) fell around 9% over the course of June.

So, what’s been weighing on the travel giant’s stock lately? Let’s take a look.

Flight Centre share price falls 15% in June

The Flight Centre share price underperformed last month. Though, it wasn’t alone in its suffering.

It was joined in the red by fellow ASX travel shares Qantas Airways Limited (ASX: QAN) and Webjet Limited (ASX: WEB). They fell around 19% and 11% respectively last month.

And while there wasn’t any price-sensitive news from Flight Centre in that time, it did make a number of headlines.

First, the company announced it would invest between $30 million and $35 million in staff retention.

It will do so by offering around 10,000 staff members additional share rights, as long as they stay with the company through the COVID-19 recovery phase. Eligible staff members will be offered a one-time grant of share rights valued at $3,750.

Additionally, ASX-listed airline Regional Express Holdings Ltd (ASX: REX) announced it had partnered with Flight Centre last week. The deal will see Rex become Flight Centre’s “partner of choice” over the next 10 years.

Of course, it’s worth looking at the broader travel industry to garner insights into the Flight Centre share price’s performance.

National Australia Bank Ltd (ASX: NAB) recently found Australians spent more on international flights in May 2022 than in May 2019.

Similar findings were released by Tourism Research Australia. It noted Australians took fewer trips in March 2022 than in the same month of 2019, but spent more to do so.

However, with the rising cost of living and household cash flows tipped to ebb, Australians’ spending on holidays could soon backtrack.

And finally, Flight Centre remains the most shorted share on the ASX. As of 27 June, 16% of the company’s shares were in the hands of short-sellers.

The post Why did the Flight Centre share price tumble 15% in June? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• What is holding back the Flight Centre share price today?
• Flight Centre share price struggles amid dwindling household cashflows forecast
• Here are the top 10 ASX shares today
• These are the 10 most shorted ASX shares
• These 2 ASX travel shares are tying the knot for the next 10 years

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 recommended Flight Centre Travel Group Limited and Webjet Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/n7LNuyx

ASX 200 healthcare shares were defensive in June but finished the month down overall.

The benchmark S&P/ASX 200 Health Care Index (ASX: XHJ) was volatile, slipping 3% in June. Nevertheless, there were some names worth mentioning. Let’s take a look.

CSL Limited (ASX: CSL)

Shares in biotech giant CSL finished June down but managed to bounce from a low of $255 on 17 June to finish at $269 apiece.

It was a quiet month for CSL, however, the company’s large market cap and defensible industry arguably helped it through the month relatively unscathed.

The $129 billion company by market cap is also tipped to soar past $300 per share by those at Cameron Harrison.

Analysts at the firm note that CSL is positioned to benefit from tailwinds in its plasma collection and influenza vaccine businesses.

CSL shares are down 4.5% over the last 12 months.

Immutep Ltd (ASX: IMM)

Another ASX 200 share to mention is Immutep. Its shares were extremely volatile last month, trading as low as 14 cents and as high as 24 cents.

Despite continued updates regarding its lead drug candidate, etfi, investors appear to have overlooked the share in favour of more systematic risks plaguing the markets.

Immutep has several trials that are investigating etfi’s efficacy in a number of applications. Etfi has been recognised at the recent American Society of Clinical Oncology (ASCO) 2022 Special Edition.

Immutep shares are down 51% into this year to date.

Incannex Healthcare Ltd (ASX: IHL)

Another share that struggled last month was Incannex Healthcare. Again investors were mute to updates on the company’s drug studies in June.

For instance, on 2 June, it announced positive results from a phase 2 clinical trial investigating the effect of one of its drug candidates, IHL-42X.

It was being tested for treatment of obstructive sleep apnoea.

After a minor jump, the Incannex share price cratered in the days afterwards. It hasn’t stopped trading down and investors are unloading their positions at pace.

Incannex now trades 65% down this year to date and 16% in the past 12 months.

The post Here’s how ASX 200 healthcare shares performed in June appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 5 worst ASX All Ordinaries shares in June
• Why a CSL share price above $300 is on the cards: expert
• ASX 200 healthcare shares provided some pain relief today. Here’s why
• What’s the outlook for the CSL share price in July?
• Own Immutep shares? Here are 3 takeaways from the company’s investor update

Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL Ltd. 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.

from The Motley Fool Australia https://ift.tt/LoQKv94

If you’re looking for ASX dividend shares to buy next week, then the two listed below could be worth considering.

Here’s what you need to know about these dividend shares:

Coles Group Ltd (ASX: COL)

The first ASX dividend share for income investors to consider buying next week is Coles. It is of course one of Australia’s big two supermarket operators along with Woolworths Group Ltd (ASX: WOW).

Coles could be a good option for investors in the current environment. This is due to its defensive qualities and positive exposure to inflation. Particularly given how during the third quarter there were “no observable signs of trading down or lower volumes in response to higher food inflation,” according to analysts at Citi.

In light of this, its analysts have put a buy rating and $19.30 price target on the company’s shares.

As for dividends, Citi is expecting fully franked dividends of 63 cents per share in FY 2022 and 72 cents per share in FY 2023. Based on the latest Coles share price of $17.84, this will mean yields of 3.5% and 4%, respectively.

Wesfarmers Ltd (ASX: WES)

Another ASX dividend share to consider is Coles’ former parent, Wesfarmers. It may have divested Coles but it held onto some other high quality brands such as Kmart, Officeworks, and Bunnings.

The team at Morgans is very positive on the company even as cost of living pressures increase. It highlights that “management was confident in WES’s ability to navigate through a more cautious consumer environment.” Morgans also believes that “Kmart can benefit as customers focus on value.”

As a result, the broker has put an add rating and $58.40 price target on the company’s shares.

In respect to dividends, Morgans is forecasting fully franked dividends per share of $1.65 in FY 2022 and $1.81 in FY 2023. Based on the current Wesfarmers share price of $42.15, this will mean yields of 3.9% and 4.3%, respectively.

The post Experts name 2 ASX dividend shares to buy next week appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Broker names 3 of the best ASX shares to buy in July
• How does the Woolworths dividend compare to Wesfarmers over the last 5 years?
• Why I think the current Wesfarmers share price is a steal
• 4 ASX dividend shares to buy that aren’t banks or miners: expert
• ASX 200 retail shares in the doldrums today despite improving sales data

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 COLESGROUP DEF SET and Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/P5nGUdR

The Liontown Resources Limited (ASX: LTR) share price was out of form last month despite some big news.

The lithium developer’s shares sank 25% to end the month at $1.06.

Will things be better for the Liontown share price in July?

One leading broker appears optimistic that July could be a better month for the Liontown share price.

According to a note out of Bell Potter, its analysts have named the lithium share as one of its top picks of FY 2023.

The broker currently has a speculative buy rating and $3.06 price target on the company’s shares. This implies potential upside of 200% for investors over the next 12 months if everything goes to plan.

This works out to be an average return of 9.5% per month when compounded. So the Liontown share price will need to get a wriggle on after its poor start to the month (5% decline on Friday).

What did the broker say?

Bell Potter highlights that rising rates have been weighing on battery materials stocks. However, it believes investors should look beyond this and focus on the positive outlook for the sector due to supply constraints and strong demand.

The broker explained:

The prospect of tightening monetary policy and recession across major global economies has weighed heavily on battery minerals exposed equities, despite decarbonisation being a prevailing theme over the medium to long term.

We think the global auto manufacturing sector is likely to continue its re-tooling to supply EVs, supported by corporate targets and government policy, leading to sustained strong battery mineral demand. But the battery minerals’ supply side’s response faces significant hurdles with respect to permitting, project development and ramp-up. On this basis, we remain positive on the sector.

In light of this, it sees Liontown’s shares as a great option for investors looking for exposure to the sector.

The post Will the Liontown share price bounce back in July? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Top broker names 3 of the best ASX 200 shares to buy in FY23
• Why have ASX lithium shares had such a lousy month in June?
• Top broker says the Liontown share price can rise 150%
• 5 things to watch on the ASX 200 on Thursday
• Here are the top 10 ASX shares today

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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.

from The Motley Fool Australia https://ift.tt/SteAgxa

Another painful month has come to pass for crypto asset investors.

The same could be said for more traditional investments during June. For instance, the S&P/ASX 200 Index (ASX: XJO) parted ways with roughly 600 points to finish the month 8.5% lower.

However, such a loss would almost look positive to those investing in crypto after such a challenging month.

Here’s a closer look at the explosive month (and not in a good way) for crypto prices in June.

What went down?

If I were to take the above heading literally, I could almost say, “nearly everything”. There’s no skirting around the truth here, June was yet another steep leg down for the digital asset market.

It is no overstatement to say that 99% of the top 100 crypto assets by market cap — excluding stablecoins — finished in the red by the end of the month.

The important question to ask is: why? What exactly is nudging so many investors to part ways with their investment and apply more selling pressure?

In all likelihood, the biggest contributor to sustained selling pressure in June was the lingering effects of inflation. In the United States, the consumer price index increased by 8.6% year on year in May, above expectations and the highest on record since 1981.

As Tom Dunleavy of Messari.io states:

It’s hard to worry about putting money into the markets when you are concerned with putting food on the table or paying your mortgage.

Rising prices for goods and services, paired with the anticipation of rising interest rates, have only tempered enthusiasm for crypto during June.

In turn, crypto prices fell off a cliff in June as investors continued to go more risk-off under the current macroeconomic conditions. Specifically, falls across some of the biggest digital assets include:

• Bitcoin (CRYPTO: BTC) down 38%
• Ethereum (CRYPTO: ETH) down 45%
• Cardano (CRYPTO: ADA) down 25%
• Solana (CRYPTO: SOL) down 27%

Who is buying crypto at these prices?

The reality is, for every seller there is a buyer. So, while there are plenty of people unloading their positions, there’s an equal number of people on the opposite end of the transaction.

Possibly one of the most notable buyers, and self-proclaimed Bitcoin maximalists, is MicroStrategy CEO Michael Saylor. The famed original crypto-asset supporter took to Twitter on 29 June to let the public know MicroStrategy had purchased another 480 bitcoins for approximately US$10 million. This took the company’s Bitcoin holdings to 129,699 bitcoins.

MicroStrategy has purchased an additional 480 bitcoins for ~$10.0 million at an average price of ~$20,817 per #bitcoin. As of 6/28/22 @MicroStrategy holds ~129,699 bitcoins acquired for ~$3.98 billion at an average price of ~$30,664 per bitcoin. $MSTRhttps://t.co/leQYTXn817

— Michael Saylor (@saylor) June 29, 2022

https://platform.twitter.com/widgets.js

The overall crypto market cap now resides at US$868.8 billion. This marks an unceremonious tumble below the trillion banner. Although, as my colleague Bernd recently covered, some experts — including eToro’s Simon Peters — consider the pullback to be within historic ranges.

The post How did the price of crypto assets perform in June? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Here’s what will impact the Bitcoin price in July: expert
• Ethereum price falls after hackers begin laundering $100 million bridge exploit
• What did the SEC just say about Bitcoin?
• How crypto miners are squeezing the Bitcoin price
• What one tech guru thinks of the current crypto market

Motley Fool contributor Mitchell Lawler has positions in Bitcoin and Ethereum. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Bitcoin, Ethereum, and Solana. The Motley Fool Australia has positions in and has recommended Bitcoin, Ethereum, and Solana. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/9KXk3YS

The S&P/ASX 200 Index (ASX: XJO) bounced back for most of Friday before plunging into the red, weighed down by energy shares. The index was 0.43% lower at 6,539.90 points as of the final close of the week.   

The S&P/ASX 200 Energy Index (ASX: XEJ) fell more than 3.3% today, weighed down by oil prices.

Global oil prices fell between 1.2% and 3.7% on Thursday as the OPEC+ confirmed it would increase output in August as much as previously announced amid supply concerns. The fall saw oil prices recording their first monthly decline in 2022.

ASX 200 materials shares also underperformed on the back of lower base metal prices, after the price of copper recorded its worst quarter since 2011.

But it wasn’t all dire today. Real estate and industrials bolstered the market, with the sectors each gaining more than 1%.

All in all, eight of the ASX 200’s 11 sectors ended Friday’s session in the green.

But which ASX share bested the rest to take out the crown of today’s top performer? Read on to find out.

Top 10 ASX shares countdown today

The best performing share of the 200 largest ASX shares by market capitalisation on Friday might surprise market watchers.

It was none other than Air New Zealand Limited (ASX: AIZ). The airline has taken off nearly 7% on Friday to trade at 53.5 cents. Find out what Air New Zealand has been up to, here.

Its performance was shadowed by that of Latitude Group Holdings Ltd (ASX: LFS). Learn more about Latitude here.

Today’s top 10 biggest gains were made by these ASX shares:

ASX-listed company	Share price	Price change
Air New Zealand Limited (ASX :AIZ)	$0.54	6.93%
Latitude Group Holdings Ltd (ASX: LFS)	$1.25	5.04%
Netwealth Group Ltd (ASX: NWL)	$12.71	4.52%
QUBE Holdings Ltd (ASX: QUB)	$2.84	4.03%
IDP Education Ltd (ASX: IEL)	$24.76	3.95%
Brambles Limited (ASX: BXB)	$11.10	3.64%
Virgin Money Uk Plc (ASX: VUK)	$2.29	3.62%
Dicker Data Ltd (ASX: DDR)	$11.43	3.53%
Mirvac Group (ASX: MGR)	$2.04	3.29%
APA Group (ASX: APA)	$11.62	3.11%

Data as at 3:59pm AEST

Our top 10 ASX shares today 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 shares today appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Here are the 3 most heavily traded ASX 200 shares on Friday
• Brambles share price rises amid $1 billion investment decision
• Embattled ASX 200 retail shares primed for a comeback: experts
• Why is the Northern Star share price more green than gold on Friday?
• ASX 200 midday update: Regis Resources jumps, BHP and Rio Tinto drop

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 Dicker Data Limited, Idp Education Pty Ltd, and Netwealth. The Motley Fool Australia has positions in and has recommended APA Group, Dicker Data Limited, and Netwealth. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/EyC8Bmf

The S&P/ASX All Ordinaries Index (ASX: XAO) slipped 9.6% over the month of June.

Negative sentiment about the economic outlook was a key factor weighing down the index.

Here are the five worst-performing ASX shares of the month, according to Capital IQ figures.

• BWX Ltd (ASX: BWX) down 51.5%
• MoneyMe Ltd (ASX: MME) down 51.3%
• Sezzle Inc (ASX: SZL) down 50%
• Incannex Healthcare Ltd (ASX: IHL) down 47.5%
• Humm Group Ltd (ASX: HUM) down 47.4%

What worried ASX investors in June?

People are starting to notice an increase in the prices of groceries and other day-to-day essentials, particularly electricity, that they simply can’t avoid.

Inflation is no longer something people read or hear about in the news, it’s actually in their face and affecting their weekly budgets.

On top of that, home loan interest bills have increased by 0.75% after the Reserve Bank of Australia increased the official cash rate by 0.25% in May and 0.5% in June.

On a $1 million home loan, that’s an extra $7,500 in interest payments per year or $625 per month.

So, investors are likely worried about how the companies they are invested in might be affected by these things. Some might also be wondering if they want to have their spare cash invested at the moment.

Why these ASX shares tanked

These ASX shares had a rockier month than most.

The companies released the following news to the ASX in June:

• BWX Limited announced a capital raising at a significant share price discount
• MoneyMe shares drifted downwards all month despite the company releasing no price-sensitive news except a media response denying it had tested a capital raising proposal with investors. But its share price skyrocketed today on news about its funding platform
• Sezzle did not release any price-sensitive news in June, however, its share price likely fell due to concerns about increasing inflation and competition and the threat of more regulation in the buy now, pay later (BNPL) space
• Incannex announced positive results in its phase 2 sleep apnoea trial in early June but the share price trundled lower for the rest of the month
• Humm shares fell due to the agreed termination of the company’s $250 million BNPL deal with Latitude and the resignation of the majority of the board.

The post 5 worst ASX All Ordinaries shares in June appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 5 best ASX All Ordinaries shares in June
• These 3 ASX All Ords shares are delivering double-digit gains on Friday
• What’s propelling the MoneyMe share price 28% higher today?
• June was a terrible month for ASX BNPL shares. Here’s why
• Why BWX, Sayona Mining, Tyro, and Woodside shares are sinking

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

from The Motley Fool Australia https://ift.tt/AO2oufQ

June proved to be a tough month for the Newcrest Mining Ltd (ASX: NCM) share price.

The gold miner’s shares began the month at $25.04 but by the close of trade on June 30 they had tumbled to $20.89, a fall of 16.6%.

In comparison, shares in fellow miner Northern Star Resources Ltd (ASX: NST) declined almost 24% over the same period, while the broader S&P/ASX 200 Resources (ASX: XJR) sector fell by around 11%.

The start of July hasn’t brought a change in fortunes for the Newcrest share price either — it closed 2.97% lower on Friday at $20.27.

What happened to Newcrest last month?

The continued fall in the price of gold in June led investors to sell off the Newcrest share price.

During times of uncertainty and volatility, gold is traditionally seen as a safe-haven asset for investors. However, with major central banks increasing interest rates due to rampant inflation, investors are shifting their assets into better risk/reward classes.

Subsequently, the spot price of gold has been on a downward path to trade slightly above the psychological US$1,800 barrier.

This is in stark contrast to when an ounce of gold was fetching as high as US$2,070 on 8 March.

Furthermore, the latest consumer confidence report and GDP readings out of the United States this week didn’t help matters.

The consumer confidence index hit a 16-month low while the United States economy contracted by 1.6% for the first quarter.

It appears investor risk appetite for gold has receded over the past week which has piled on selling pressure.

Investors will have to wait until next Tuesday to see if the Reserve Bank of Australia lifts the official cash rate again.

Newcrest share price summary

Over the last 12 months, the Newcrest share price has lost 20% after encountering challenging macroenvironmental factors.

Looking at the year to date, the miner’s shares are down 16%.

Based on today’s price, Newcrest commands a market capitalisation of approximately $19.19 billion.

The post Why did the Newcrest share price sink 17% last month? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 5 things to watch on the ASX 200 on Friday
• Why Evolution, Newcrest, OZ Minerals, and Zip shares are dropping today
• The Newcrest share price is 23% below pre-pandemic levels, what gives?
• 5 things to watch on the ASX 200 on Monday
• Why are ASX 200 mining shares having such a dire week?

Motley Fool contributor Aaron Teboneras has positions in Northern Star Resources 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.

from The Motley Fool Australia https://ift.tt/L5RlGdP

The Paladin Energy Ltd (ASX: PDN) share price had a rough time in June. Investors punished the share and sent it tumbling 25% lower across the month.

This continued a longer-term downtrend that shares had been stuck in for the last 3 months.

Alas, Paladin has fumbled from a high of 96.5 cents on 14 April to now trade at 57 cents at the time of writing.

What’s up with the Paladin share price?

Uranium shares got a quick jolt of lightning last month as the Biden administration advocated suspending imports of the nuclear metal from Russia.

This, combined with soaring energy prices in Australia, had some market pundits betting that Australia would turn to alternative sources.

As TMF reported last month, “the collapse of gas retailers and the U-turning of customers by some electricity retailers were the indicators of a failing energy market.”

Not only that, surging prices of natural gas and oil reopened the debate about nuclear energy in Australia.

The speculation was short-lived however as the government established clarity on Australia’s current energy supply.

Investors were quick to sell off their positions in Paladin as a result.

Consequently, the Paladin share price was sent packing and caught sellers on 8 June to drive prices to a 6-month low of 53.5 cents on 23 June.

Paladin and the price of Uranium since March are plotted on the chart below.

In the last 12 months, the Paladin Energy share price has held onto a 15% gain, despite booking a 35% loss this year to date.

The post Why the Paladin share price fell 25% in June appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Here are the top 10 ASX shares today
• 3 ASX All Ordinaries shares going great guns on Tuesday
• ASX 200 midday update: BHP and Rio Tinto rebound, Westpac rated as a buy
• Why did the Paladin Energy share price tumble 13% on Monday?
• Here are the 3 most traded ASX 200 shares on Wednesday

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.

from The Motley Fool Australia https://ift.tt/tnY8uFP