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The Zip Co Ltd (ASX: Z1P) share price hit a fresh multi-year low of 79 cents yesterday.

The buy now, pay later (BNPL) company’s shares continue to be volatile, with investors probably questioning where the bottom is.

Unfortunately, not even legendary investor Warren Buffett can accurately predict where falling shares will stop.

Over the past month alone, the Zip share price has hit seven multi-year lows.

At Thursday’s market close, Zip shares finished at 80 cents, down 4.79%.

What’s dragging Zip shares down?

Investors have continued to sell off Zip shares due to negative sentiment across the financial industry.

The word “recession” has been a major talking point for economists in recent times following debates on whether or not one is around the corner. This is being driven by high inflation, a tightening monetary policy, and concerns about a global economic slowdown.

The S&P/ASX 200 Financials (ASX: XFJ) sector ended yesterday in the red, down 1.21% to 6,545 points. When looking at the past month, the index is down 2.4%.

Consumer confidence is being weighed down as the United States experiences the biggest rise in consumer prices in 40 years.

Australian consumer prices have surged at the fastest annual pace in 20 years.

The Reserve Bank of Australia updated its statistics to show inflation climbed by 5.1% in the March quarter.

Key contributors included record fuel prices, and the rising costs of construction due to high demand but low supply of building materials and labour.

However, in an effort to slow down the rising price of goods, the RBA has intervened.

Last month, Australia’s central bank decided to lift its official cash rate to 0.35%, the first rise since 2010.

In essence, this means that consumers are less likely to spend money on discretionary items when interest rates are picking up and increasing the cost of their debt.

We will have to wait until next Tuesday to see if the RBA will again increase interest rates.

Zip share price summary

It has been a whirlwind 18 months for Zip investors.

The company’s shares rocketed to an all-time high of $14.53 in February 2021 but have plummeted ever since.

In the past 12 months, the Zip share price has fallen by almost 90%. This means it would need to increase nine-fold to break even.

Based on today’s price, Zip presides a market capitalisation of approximately $574 million.

The post The carnage continues: Why the Zip share price has hit 7 multi-year lows in a month appeared first on The Motley Fool Australia.

More reading

• Why Nanosonics, REA, Sayona Mining, and Zip shares are dropping
• Why is the Zip share price sinking yet again on Thursday?
• Is this a ‘fundamental flaw’ with ASX BNPL shares like Zip
• Why Allkem, Origin, PointsBet, and Zip shares are sinking today
• Why Bubs, PolyNovo, Suncorp, and Zip shares are dropping

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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After a turbulent few months, there are plenty of ASX shares out there going for far cheaper now than when the year started.

But which ones have the best chance for future returns, as opposed to the stocks that are now value traps?

Morgans analyst Andrew Tang had a couple of examples in his monthly Best Ideas memo:

Demand that’s ‘resilient to economic cycles’

Gambling games provider Aristocrat Leisure Limited (ASX: ALL) is a recent addition to the Morgans Best Ideas list.

The company has enjoyed revenue growth of 17% per annum over the past five years, stated the Morgans memo. In the 2021 financial year, 80% of that revenue was recurring.

Rising interest rates and a slowdown in consumer spending will not worry it, according to Tang.

“Demand for its gaming machines and digital games is resilient to economic cycles,” he said.

“We expect Aristocrat to continue to take market share in all its product segments.”

The Aristocrat share price has plunged more than 25% year-to-date.

“The recent underperformance of the shares may have been a function of concern about Aristocrat’s exposure to Ukraine, although it has recently stated that 75% of its staff there have relocated to safer locations and there is no material impact on earnings.”

For Tang, the weakness in stock price merely presents an attractive buying opportunity.

“Aristocrat’s one-year forward P/E [price-to-earnings ratio] has derated to less than 20x from a high of 30x last September.”

He also loves the $3.3 billion of capital it has to fuel future growth.

“It has a stated ambition to build a meaningful presence in the rapidly growing online real money gaming segment, which we believe may be achieved both through organic investment and inorganic acquisitions.”

Plenty of Australians looking for better day jobs

Among the online classifieds players, Tang favours Seek Limited (ASX: SEK) as the best buy this month.

“We continue to see Seek as the one with the most relative upside, a view that’s based on the sustained listings growth we’ve seen over the period.”

Seek shares have dropped more than 29.3% so far this year, presenting a far cheaper entry point now.

According to Tang, the tailwinds that have seen job advertisements grow 35% and earnings before interest, tax, depreciation, and amortisation (EBITDA) head 16% north still remain.

“Subdued migration, candidate scarcity and the drive for greater employee flexibility,” he said.

“With businesses looking to grow headcount in the coming months and job mobility at historically high levels according to the RBA, we see these favourable operating conditions driving increased reliance on Seek’s products.”

The post Buy these 2 ASX shares going for a 25% discount: Morgans appeared first on The Motley Fool Australia.

More reading

• Experts pick 2 ASX shares to buy that move wealth around
• Analysts name 3 ASX 200 shares that could generate strong returns
• Analysts name 2 ASX growth shares to buy with major upside potential
• Looking to secure the Aristocrat biggest-ever dividend? Here’s what you need to do
• 3 ‘disruptive’ ASX companies Aussies now can’t live without

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 recommended SEEK 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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One ASX shares expert has warned investors that there is a golden opportunity now to buy a stock that’ll cash in from rising interest rates.

The Reserve Bank of Australia elevated the cash rate by 25 basis points last month, to take it to 0.35%.

More hikes are expected to come, to suppress inflation.

According to the ASX, on 1 June the local market had a 75% expectation that the RBA will push its rate up to 0.75% at its next board meeting on Tuesday.

In the longer term, experts are forecasting the rate may hit 2% by the end of this year, or 3% by the end of 2023.

Why Computershare loves higher interest rates

So considering all this, it’s critical now to buy ASX shares that will tolerate interest rate rises.

A stock that multiple experts have named as one that will not just put up with, but thrive with, higher rates is Computershare Limited (ASX: CPU).

The idea is that the share registry business holds a significant amount of funds in the form of dividends and distributions that are yet to be paid out to shareholders.

Computershare earns interest on that capital, which goes straight to the bottom line.

“At the 1H22 results release, the company disclosed that a 100 basis points increase in interest rates on the exposed average balances as at 31 December 2021 would generate an annualised EPS [earnings per share] increase of 26 US cents per share,” Fairmont Equities managing director Michael Gable said on his blog.

“This is significant given that EPS guidance for FY22 is for 57 US cents per share.”

This margin income will more than compensate for the inflation in wage expenses for Computershare, he added.

“We do not expect that the potential for higher-than-expected inflation presents a risk for either FY22 guidance or FY23 earnings, especially given the strengthening outlook for margin income.”

Why now is the time to buy Computershare shares

So that’s all well and good, but it’s not a massive secret that Computershare is about to enjoy increased earnings from higher rates.

That’s why the stock price has risen a stunning 46% over the past 12 months, during a time when most ASX shares outside mining and financials have suffered.

But Gable is convinced now is a nice dip to buy Computershare.

“The recent pullback from the April high has been fairly orderly and the share price is back at support,” he said.

“As long as the broader market can hold up here, we would view current levels as a buying opportunity.”

Indeed, the Computershare share price has cooled down 10.5% since 19 April.

Despite the spectacular rise in valuation over the past year, Gable believes there is still plenty of demand from investors looking for increasingly rare returns.

“We expect the shares to eventually be supported by Investors seeking such an exposure as a portfolio hedge… [and] the potential for higher-than-expected margin income to offset cost pressures,” he said.

“[There’s] potential for M&A/capital returns as a result of a lower forward gearing profile.”

The post Big chance to buy ASX share that benefits from rising interest rates: expert appeared first on The Motley Fool Australia.

More reading

• 2 ASX shares (not banks!) to boom from rising interest rates: experts
• These 2 ASX tech shares have escaped obliteration so far this year
• Macquarie picks ASX 200 shares to buy in this volatile environment
• Here’s why ASX 200 tech shares are having such a disastrous run on Friday

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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Looking for dividend shares to buy in June? Then have a look at the two listed below that have been given buy ratings and tipped to pay big dividends.

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

Australia and New Zealand Banking Group (ASX: ANZ)

The first ASX 200 dividend share to look at is banking giant, ANZ.

It could be a dividend share to buy given the positive outlook for interest rates in Australia and its solid performance so far in FY 2022. The latter saw ANZ recently reveal its half-year cash earnings from continuing operations of $3,113 million. This was a 4% increase over the prior corresponding period.

The team at Citi was pleased with its results and is expecting this positive earnings growth to continue in the coming years. As a result, it has put a buy rating and $30.75 price target on the bank’s shares.

As for dividends, the broker is forecasting fully franked dividends per share of 147 cents in FY 2022 and then 170 cents in FY 2023. Based on the current ANZ share price of $24.97, this implies yields of 5.9% and 6.8%, respectively.

South32 Ltd (ASX: S32)

Another high yielding ASX 200 dividend share to look at is mining giant, South32.

Thanks to its diverse mining operations and exposure to in demand green metals, South32 has been tipped to generate bumper free cash flows in the coming years.

It is for this reason that the team at Morgans currently has an add rating on South32’s shares with a $6.10 price target.

Morgans also expects the company’s bumper free cash flow to underpin very big dividends in the coming years. It has pencilled in fully franked dividends per share of ~26 cents in FY 2022 and ~35 cents in FY 2023. Based on the current South32 share price of $4.98, this will mean yields of 5.2% and 7%, respectively.

The post Experts name 200 ASX dividend shares to buy with big fully franked yields appeared first on The Motley Fool Australia.

More reading

• What’s dragging on ASX 200 bank shares like NAB on Thursday?
• May wasn’t kind to the ANZ share price. Here’s what happened
• UBS warns of more downgrades for ASX 200 shares… but not all
• How might ‘green premiums’ impact the value of ASX mining shares?
• Why is the South32 share price falling 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.

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On Thursday, the S&P/ASX 200 Index (ASX: XJO) was out of form and tumbled notably lower. The benchmark index dropped 0.8% to 7,175.9 points.

Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:

ASX 200 expected to jump

The Australian share market looks set to end the week on a positive following a strong night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 80 points or 1.1% higher this morning. In the US, the Dow Jones was up 1.3%, the S&P 500 rose 1.8%, and the Nasdaq stormed 2.7% higher.

Wesfarmers remains a sell

The Wesfarmers Ltd (ASX: WES) share price is overvalued according to analysts at Goldman Sachs. In response to the company’s strategy update, the broker has retained its sell rating with a $40.00 price target. It said: “At its current trading FY23 P/E of 23.1 and GSe FY22-24e EPS CAGR of 2.6%, we see better value elsewhere, reiterate Sell.”

Oil prices push higher

Energy producers including Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a solid finish to the week after oil prices pushed higher. According to Bloomberg, the WTI crude oil price is up 2.1% to US$117.67 a barrel and the Brent crude oil price is up 1.75% to US$118.36 a barrel. This was despite OPEC increasing its production faster than expected.

Pro Medicus rated as a buy

The Pro Medicus Limited (ASX: PME) share price could be good value according to analysts at Bell Potter. This morning the broker retained its buy rating and $55.00 price target on the health imaging technology company. Following another contract win, the broker believes Pro Medicus’ Visage product could be “the emerging standard for the viewing of radiology images in the US.”

Gold price climbs

Gold miners Newcrest Mining Ltd (ASX: NCM) and St Barbara Ltd (ASX: SBM) could have a decent finish to the week after the gold price stormed higher overnight. According to CNBC, the spot gold price is up 1.4% to US$1,874.9 an ounce. The gold price rose following weakness in the US dollar.

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

More reading

• 3 ASX energy shares rocking new 52-week highs on Thursday
• Why Bubs, IGO, Strike Energy, and Woodside shares are pushing higher
• Here’s why JPMorgan is bullish on the Newcrest share price
• Why is the ‘new’ Woodside share price leaping 6% today?
• ASX 200 midday update: Pilbara Minerals names new CEO, Wesfarmers’ strategy update

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 Pro Medicus Ltd. The Motley Fool Australia has positions in and has recommended Pro Medicus Ltd. and Wesfarmers 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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If you’re a growth investor with room for some new portfolio additions, then it could be worth considering the three ASX growth shares listed below.

Here’s what you need to know about these buy-rated ASX shares:

Domino’s Pizza Enterprises Ltd (ASX: DMP)

The first ASX growth share to look at is this pizza chain operator, Domino’s. With its shares down 44% since the start the year, now could be an opportune time to invest. Particularly given its positive long term growth outlook, which is being underpinned by its plan to more than double its network by FY 2033. Morgans is very positive on Domino’s and believes “there is meaningful upside to the current share price over the next 12 months.”

Morgans has an add rating and $100.00 price target on its shares.

Life360 Inc (ASX: 360)

Another ASX growth share to look at is Life360. This growing technology company is responsible for the Life360 mobile app, which is a market leading app for families. It recently released its first quarter results and revealed a 36% increase in its global monthly active users to 38.3 million. This helped underpin a 73% increase in annualised monthly revenue to US$166.1 million. And while Life360 still isn’t profitable, which is weighing on its shares in the current environment, it has a hefty cash balance and plans to be cash flow positive in 2023.

Bell Potter is positive on the company and believes it has ample cash to fund it through to cash flow breakeven. The broker has a buy rating and $7.50 price target on its shares.

Lovisa Holdings Limited (ASX: LOV)

A final ASX growth share that is rated highly is Lovisa. It is a fast-fashion jewellery retailer which, like Domino’s, has set itself big expansion goals. And with an experienced management team behind it, Lovisa appears well-placed for strong growth over the next decade.

Morgans is also very positive on Lovisa and has an add rating and $24.00 price target on its shares. Its analysts are bullish on the company’s global expansion plans and believe “LOV may just prove to be one of the biggest success stories in Australian retail.”

The post 3 excellent ASX growth shares with major upside potential appeared first on The Motley Fool Australia.

More reading

• I’d invest $5,000 into these excellent ASX shares for the long term
• ASX 200 midday update: Pilbara Minerals names new CEO, Wesfarmers’ strategy update
• Top broker says beaten-up Domino’s share price has 46% upside
• What to do with these 3 pummelled ASX shares: advisor
• Best ASX shares to buy in June 2022

Motley Fool contributor James Mickleboro has positions in Life360, Inc. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Life360, Inc. The Motley Fool Australia has recommended Dominos Pizza Enterprises Limited and Lovisa 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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The Tesla Inc (NASDAQ: TSLA) share price has had a stellar run in the past couple of weeks.

Tesla shares have soared 18% from $628.16 at the market close on 24 May to the current price of $740.37.

Let’s take a look at what’s happening.

Strong interest from retail investors

Tesla shares have been surging amid strong interest from retail investors, the Australian Financial Review (AFR) reports.

Tesla is a world-leading electric vehicle (EV) maker based in Austin, Texas and is led by CEO Elon Musk.

Vanda Research analyst Fabian Birli says there has been a “clear uptake in retail sentiment” since the start of the month.

Birli said:

In May, we’ve seen the strongest monthly buying of Tesla shares by retail investors since August 2020, when the company announced its first stock split.

A boost in production could be impacting the Tesla share price. In late May, Tesla revealed it will restart production at its Shanghai gigafactory. Tesla is looking to get production capacity back to 2,600 EVs per day.

Further, American investor Cathie Wood bought 42,000 shares of Tesla in late May, as my Foolish colleague in the US reported.

In news today, Musk has demanded staff return to work in the office or depart Tesla, Bloomberg reports. Musk informed workers they must spend at least 40 hours at the office each week. This must be at the main Tesla office, not a remote branch office.

Musk said:

If you don’t show up, we will assume you have resigned. The more senior you are, the more visible must be your presence.

On 14 April, Musk launched a plan to take over Twitter. The Twitter board of directors accepted a buyout offer of US$44 billion on 25 April, although it is still pending regulatory and shareholder approval.

Tesla share price snapshot

The Tesla share price has soared 22% in the past 12 months but has fallen 38% year to date.

For comparison, the NASDAQ 100 Index has shed 9.4% in a year, and lost 24% year to date.

Tesla has a market capitalisation of about $767 billion based on the current share price.

The post The Tesla share price has rallied 18% in less than a fortnight. What’s going on? appeared first on The Motley Fool Australia.

More reading

• Why Tesla stock is still falling today
• Why the Tesla share price stalled on Tuesday
• If you’d bought $5,000 of Tesla shares 5 years ago, woohoo! Here’s how much you’d have now
• Why Tesla stock keeps going up
• Why Tesla stock raced higher today

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Tesla. 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 volatility in ASX lithium shares continued for a second day following their big plunge on Wednesday.

The Pilbara Minerals Ltd (ASX: PLS) share price and Allkem Ltd (ASX: AKE) share price flip flopped between gains and losses as other brokers weighed in on the sector.

Yesterday’s huge sell-off was triggered by Goldman Sachs, which warned that the lithium boom was over.

Less panic in ASX lithium share prices

But comments from other brokers may have helped temper the panic. Credit Suisse is not exactly a lithium bull as it changed its mind about the lithium market being in deficit over the coming years.

It now sees a more balanced lithium market in 2023 and 2024 with the chance of surplus supply from 2025.

That’s not normally good news, but it sounds bullish after Goldman’s prediction that lithium prices will crash to US$16,372 a tonne in 2023. The lithium spot price is currently standing at around US$50,000 a tonne.

When a downgrade feels like an upgrade

In contrast, Credit Suisse downgraded its 2023 spot lithium carbonate forecasts by “only” 12%. This is mainly due to a faster than expected supply response due to high commodity prices and slowing demand.

This sombre outlook prompted Credit Suisse to encourage investors to take profit on the Pilbara Minerals and Allkem share prices. In fact, the broker downgraded both shares to “neutral”.

Are the Allkem share price and Pilbara Minerals share price cheap?

The silver lining is that the brokers’ lowered price targets on both ASX lithium shares are higher than where they are currently. The 12-month price target on Pilbara Minerals is $3 a share and Allkem is $14.70 a share.

But the broker admits it could be too conservative on its lithium outlook if electric vehicle (EV) sales were to be stronger than anticipated. Credit Suisse said:

A 10% higher EV penetration would see 30-60kt supply deficits remain in 2023-24, sustaining price strength longer than our base case (implying global EV penetration of 26% vs base case 24% in 2025).

We revise up long term prices to account for cost inflation in our LT incentive price models.

EV sales boom not over

Coincidentally, Macquarie noted that sales of light EVs were up 65% year-on-year from January to April 2022. In contrast, traditional light combustion engine vehicles fell 11% during the period.

Macquarie commented:

There are growing signs of a major correction in prices for lithium, nickel and cobalt after the boom of the past year, reflecting mainly China slowdown.

For cobalt and lithium, this could be temporary once China bounces back while nickel prices could continue to fall due to rising Indonesian supply.

Further support for ASX lithium share prices

Meanwhile, some believe that Argentine customs’ decision to set a reference price for lithium exports also contributed to yesterday’s dramatic falls. But Citigroup doesn’t believe this is much of a threat.

The reference price of US$53,000 at tonne4 for lithium carbonate does not set a floor or a ceiling price for the commodity. It’s used only in instances where there is a large variance in contract pricing for exports.

While Citi is also expecting prices to ease in the coming years, its analysts are not painting as grim a picture as Goldman.

Citi is forecasting the lithium price to average around US$35,000 a tonne through to 2025. The broker added:

We remain positive on the lithium sector given this is still an extremely high price relative to miners production costs, especially compared to other markets, and historical prices.

The post Aside from Goldman Sachs, what are other brokers saying about ASX lithium shares? appeared first on The Motley Fool Australia.

More reading

• What’s dragging on ASX 200 bank shares like NAB on Thursday?
• Which ASX lithium shares are rebounding on Thursday, and which are not?
• ASX 200 midday update: Pilbara Minerals names new CEO, Wesfarmers’ strategy update
• Is the Allkem share price selloff a buying opportunity?
• Is this the real reason ASX lithium shares cratered on Wednesday?

Motley Fool contributor Brendon Lau has positions in Allkem Limited and Macquarie Group 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 Macquarie Group 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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There were a few leading S&P/ASX 300 Index (ASX: XKO) shares that hit 52-week lows today.

That means they reached the lowest price they have traded at over the past 12 months.

There has been a lot of market volatility over the past few months. Many ASX tech shares have sunk in 2022. But non-tech shares have also taken a hit as investors weigh up the impacts of inflation and interest rate hikes.

Here are three that hit 52-week lows today.

ARB Corporation Limited (ASX: ARB)

ARB claims to be Australia’s largest manufacturer and distributor of 4×4 accessories.

The ARB share price fell by more than 3.3% today. It hit a low of $30.14 before recovering to finish the session at $30.61.

Since the beginning of the year, the ARB share price has fallen by about 44%.

However, the company said last month that it maintains a positive outlook for a few different reasons.

Firstly, its customer order book remains consistently high, it has increased inventory levels to buffer against extended lead times, and the impact of new models (including the Toyota LandCruiser Series and the new Ford Ranger) are yet to flow through. It also has emerging partnerships with major customers and “exciting” new products in development.

The board and management are focused on mitigating key challenges for the business relating to the supply chain, costs, and labour.

However, the company believes that ARB is well-positioned to achieve long-term success with “strong” brands around the world.

Brickworks Limited (ASX: BKW)

Brickworks is one of the leading building products businesses in Australia.

It is the biggest brickmaker in Australia, with brands like Austral Bricks, Bowral Bricks and Nubrik. In roofing, it operates the Bristle Roofing business. Other businesses it is involved with include Southern Cross Cement, GB Masonry, UrbanStone, and Capital Battens.

While some of its earnings are generated by selling building products in Australia, it also has a brickmaking division in the US, an investments segment, and an industrial property segment.

Brickworks is expecting to report property development profits within the property trust in the coming reporting periods as it completes construction of some large warehouses for Coles Group Ltd (ASX: COL), Woolworths Group Ltd (ASX: WOW), and other businesses looking for large logistics properties.

The Brickworks share price fell by 2.12% today to close at $19.87. It’s now down almost 20% in 2022. It hit a 52-week low of $19.68 today.

Adairs Ltd (ASX: ADH)

Adairs is an expanding ASX 300 company that sells furniture and homewares.

Adairs is just one of the brands that the company operates. The business also owns Mocka, and Focus on Furniture.

The business saw disruption from store closures in the first half of FY22. Over the longer term, Adairs is looking to grow its store floor area, increase the number of Focus on Furniture stores, grow online sales, and increase its membership base.

The Adairs share price lost 2.69% today to finish the session at $2.17. That means it has now fallen by more than 46% in 2022.

The post 3 high-quality ASX 300 shares trading at 52-week lows today appeared first on The Motley Fool Australia.

More reading

• I’d buy these two ASX dividend shares in June 2022
• VAS is a unique ETF on the ASX. Here’s why
• 3 key reasons why I think the Adairs share price is a buy
• 3 ASX shares I’m telling my clients to buy: advisor
• Could now be a great time to start investing in ASX shares?

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 positions in and has recommended ADAIRS FPO and Brickworks. The Motley Fool Australia has positions in and has recommended ADAIRS FPO, Brickworks, and COLESGROUP DEF SET. The Motley Fool Australia has recommended ARB 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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The Woolworths Group Ltd (ASX: WOW) share price was one of its sector’s worst performers on Thursday. That’s despite no word having been released by the company.

As of Thursday’s close, the Woolworths share price is $34.63, 1.54% lower than its previous close.

For context, the S&P/ASX 200 Index (ASX: XJO) also struggled today, sliding 0.80%.

So, what’s likely weighing on the supermarket giant’s stock today? Let’s take a look.

What’s dragging on the Woolworths share price?

Woolworths’ stock was in the red today, as were many of its S&P/ASX 200 Consumer Staples Index (ASX: XSJ) peers.

The sector slumped 1.09% lower on Thursday, handing back much of its gains for the week so far.

Sadly for Woolies investors, the supermarket operator was the sector’s third worst performer on Thursday.

Though, it outperformed the share prices of Blackmores Limited (ASX: BKL) and United Malt Group Ltd (ASX: UMG). They fell 3.76% and 2.63% respectively today.

The drop came after the Woolworths share price hit its lowest point since early March – $30.09 – last week. At today’s intraday low – $34.35 – it was back within 1% of the three-month low.

That’s despite no news having been released by the company since it proposed to acquire 80% of online marketplace operator MyDeal.com.au Ltd (ASX: MYD).

Interestingly, the supermarket giant’s major competitor Coles Group Ltd (ASX: COL) was among the consumer staples sector’s top performers on Thursday. It slumped just 0.45%.

Unfortunately the Woolworths share price hasn’t been performing any better over the longer term. It’s been underperforming the broader market for most of this year.

It’s currently 9% lower than it was at the start of 2022. Meanwhile, the ASX 200 has slipped 4%.

The stock has also tumbled 7% over the last 12 months compared to the index’s around 0.6% dip.

The post Why did the Woolworths share price underperform on Thursday? appeared first on The Motley Fool Australia.

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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 COLESGROUP DEF SET. The Motley Fool Australia has recommended Blackmores 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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