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The outlook for Qantas Airways Limited (ASX: QAN) shares seems to have improved, with investors driving the airline’s share price 9% higher over the past month.

Today, the Qantas share price has climbed 3.13% to $5.60 amid strengthening conditions in the travel industry and a winding back of global pandemic restrictions, sources say.

Qantas better positioned to fly high once again

In recent months, there’s been a slew of macro catalysts weighing on global airline stocks, not least the extension of global pandemic restrictions. More recently, oil shocks have been a headwind.

However, airline stocks, including the Qantas share price, have rallied as oil prices begin to level off and global travel pathways remove COVID-19 mandates.

“Asian airline stocks follow their overseas peers higher after oil prices fell and most major US carriers dropped their mask requirements for domestic and some international flights,” Bloomberg reported today.

Not only that, but Qantas’ financial health appears to have improved as well, according to the credit rating agency Moody’s.

The agency recently affirmed Qantas’ long-term credit ratings and changed its outlook to ‘stable’ from ‘negative’ after two years, in a vote of confidence for the airline.

“Qantas is well-positioned to restore its credit profile over the next 12 to 18 months…The stable outlook reflects the rating agency’s expectation that Qantas’ leverage will revert to and be maintained within the range set for its rating,” Moody’s commented.

The significant reduction in leverage will arise as “domestic capacity increases” during 2023 to more than 100% of its pre-pandemic levels, Moody’s said.

Qantas share price snapshot

Qantas shares have soared since mid-April, when a loosening of pandemic restrictions specifically relating to travel began to make its way around the globe.

As such, shares are up 10% in the past week, and four-week trading volume has crept up to more than 6.3 million shares on average.

In the last 12 months, the Qantas share price has gained almost 12%.

The post Qantas share price climbs 3% as international travel garners speed appeared first on The Motley Fool Australia.

More reading

• Why are ASX 200 travel shares taking off on Wednesday?
• Qantas share price slides following Easter travel woes
• Here are the 5 best performing ASX travel shares of 2022 so far
• These were the best performing ASX 200 shares last week
• ASX 200 travel shares had a super day. What’s happening?

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 Bruce Jackson.

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At lunch on Thursday, the S&P/ASX 200 Index (ASX: XJO) is on course to extend its winning streak. The benchmark index is currently up 0.2% to 7,582.1 points.

Here’s what is happening on the ASX 200 today:

BHP third quarter update disappoints

The BHP Group Ltd (ASX: BHP) share price is trading lower following the release of the mining giant’s third quarter update. That update revealed that COVID-19 related disruptions have been weighing on its operations. And while the Big Australian has reaffirmed most of its production and unit cost guidance for FY 2022, it was forced to make some downgrades.

Zip Q3 update

The Zip Co Ltd (ASX: ZIP) share price is edging higher today following the release of the buy now pay later provider’s third quarter update. Zip’s update was a bit of a mixed bag. Although it delivered solid top line growth, this was still a touch slower than the market expected. Furthermore, while Zip reported an improvement in its cash margin, it also revealed the worsening of credit losses.

Megaport share price crashes

The Megaport Ltd (ASX: MP1) share price is crashing today after the network as a service provider’s third quarter update disappointed the market. Megaport reported only modest third quarter on quarter revenue growth of 5% to $27.9 million. This appears to have left the company with an uphill struggle to achieve the market’s full year expectations.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Thursday has been the Challenger Ltd (ASX: CGF) share price with an 8%. This follows the release of the annuities company’s third quarter update. Going the other way, the Megaport share price is the worst performer with a disappointing 17% decline.

The post ASX 200 midday update: BHP, Megaport, and Zip release Q3 updates appeared first on The Motley Fool Australia.

More reading

• ‘Exciting opportunity’: Why the Challenger share price just leapt 8%
• Here’s why the Megaport share price is tumbling 18% today
• What is the Betashares Geared Australian Equity Fund and is it worth buying?
• BHP share price on watch following Q3 update
• 5 things to watch on the ASX 200 on Thursday

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. owns and has recommended MEGAPORT FPO and ZIPCOLTD FPO. The Motley Fool Australia has recommended Challenger Limited and MEGAPORT FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Australian Foundation Investment Co. Ltd (ASX: AFI) share price, or AFIC for short, has kicked off this Thursday’s trading session with a loss thus far. AFIC shares are currently down by 0.12% at the time of writing at $8.31 a share. That stands in contrast to the S&P/ASX 200 Index (ASX: XJO), which has recorded a modest gain of 0.2% so far today. 

But as a Listed Investment Company (LIC), AFIC’s share price is only one of the metrics new and existing investors have to weigh up. That’s because a LIC is one of the few ASX investment options that can transparently trade at a different price than what the shares are actually worth. A LIC is essentially a company that only invests in other companies. Thus, like many ASX investors, AFIC has a portfolio of shares of its own. This portfolio is managed by the company for the benefit of all shareholders.

Conveniently, AFIC tells us what the value of its share portfolio is every month, down to the cents. That means ASX investors can easily work out how much AFIC shares are really worth. And this metric is often quite different to its actual share price. Thus, if AFIC shares are being priced above what its portfolio is worth, we can say that AFIC is trading at a premium. The opposite is true if the portfolio is being undervalued by the market, and AFIC shares are trading at a discount.

Are AFIC shares at a discount right now?

So what’s going on right now with AFIC’s valuation? Are the shares trading at a premium or a discount to what they are really worth on paper?

Earlier this month, AFIC released its updated net tangible asset (NTA) backing as of 31 March. This is essentially how valuable the company’s underlying share portfolio is on a per share basis. AFIC told us that, as of 31 March, its share portfolio was worth a value of $7.43 per share. That was up substantially from the $7.04 per share that the company recorded on 28 February.

It is also, however, substantially below AFIC’s current share price of $8.28. That means that AFIC shares are decisively trading at a premium to their underlying NTA value right now. Specifically, that premium is worth around 11.84%. So no discount today.

In fact, the last time AFIC shares were trading below their NTA value was back in 2019. So it’s been a while since investors could buy AFIC shares for a discount to their NTA.

At the current AFIC share price, this ASX LIC has a market capitalisation of $10.23 billion, with a dividend yield of 2.9%.

The post Do AFIC shares trade at a discount right now? appeared first on The Motley Fool Australia.

More reading

• How is AFIC different from an ASX 200 ETF?
• Why has the AFIC share price leapt 5% in 4 weeks?
• If you’d bought $10,000 of AFIC (ASX:AFI) shares 10 years ago, here’s how much you’d have now
• Which ASX 200 shares is AFIC (ASX:AFI) betting on to make money?

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 Bruce Jackson.

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ASX mining share OzAurum Resources Ltd (ASX: OZM) is shooting the lights out today, rocketing 135% and currently trading at 24 cents. In earlier trade, the shares surged 145% to 24.5 cents. By comparison, the S&P/ASX 200 Index (ASX: XJO) is up 0.17% at the time of writing.

Let’s take a look at what’s driving today’s share price movement for OzAurum Resources.

Gold discovery

OzAurum advised the market it has made a gold discovery at the Mulgabbie North Project near Kalgoorlie in Western Australia.

Reverse circulation drilling intersected a “significant wide zone” of gold mineralisation within the Demag Zone.

At drill hole MNORC 177, 1.31 grams per tonne (g/t) of gold was intersected over 56 metres. This included 18m at 2.07 g/t.

Commenting on the results, CEO and managing director Andrew Pumphrey said:

The new virgin gold discovery at the Mulgabbie North Demag Zone has intersected significant gold mineralisation in a number of RC drill holes.

These excellent results further validates the potential of the Mulgabbie North Gold Project to be a significant gold discovery situated right alongside the Northern Star Carosue Dam Mil.

Other highlights included:

• 26m at 1.79 g/t of gold from 136m at drill hole MNORC 176
• 28m at 1.79 g/t of gold from 72m at MNORC 174
• 11m at 1.9 g/t of gold from 49m at MNORC 180
• 11m at 1.13 g/t of gold from 103m at MNORC 178.

OzAurum is planning follow-up drilling and testing at the site.

Share price snapshot

The OzAurum Resources share price has rocketed 30% in the past 12 months and is up 80% this year to date. In contrast, the ASX 200 has returned about 8% in the past year.

This ASX mining share has a market capitalisation of about $12 million.

The post This ASX mining share just rocketed 135% on a major gold discovery appeared first on The Motley Fool Australia.

More reading

• Who will have the final say on whether Ramsay Health Care leaves the ASX?
• How the federal election will impact ASX shares: top economist
• Why investors are selling Tesla stock ahead of today’s earnings
• CSL share price lifts amid US$4b debt raise
• Are Origin Energy shares really trading on a 3% dividend yield?

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 Bruce Jackson.

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Excitement has returned to the Ramsay Health Care Limited (ASX: RHC) share price amid a $20 billion takeover bid.

The news hitting the headlines yesterday was met with eagerness as investors snapped up shares in the healthcare giant. In turn, the $88 per share offer made by the KKR consortium reignited the Ramsay fuse — converting the share price from a dormant slow mover into a flaring firecracker.

As the two conduct their due diligence, a major Ramsay shareholder is said to have already thrown their support behind the deal. However, with ASX-listed Ramsay Health Care shares having been out of the limelight for a while, onlookers might be wondering: who are the major shareholders in Ramsay Health Care?

Let’s take a look.

Standing in the way of a $20 billion payday

There are plenty of hurdles to be cleared before the indicative proposal reaches Ramsay shareholders. Currently, the process is still in the first innings, with satisfactory due diligence yet to be finalised.

However, assuming the scheme arrangement ticks all the other boxes, including approval by the Foreign Investment Review Board, then shareholders of Ramsay Health Care will have the final say. So, what does the share registry look like?

The five largest shareholders in ASX-listed Ramsay Health Care hold roughly 30.5% of the total equity in the company. It stands to reason that these shareholders will play an important role in approving the bid.

Notably, the largest shareholder is Paul Ramsay Holdings Pty Ltd, with an 18.88% shareholding. The holding company contains the late founder’s shares. These shares, valued at more than $3 billion, are held as a bequest to the Paul Ramsay Foundation.

The other four largest shareholders are as follows:

• BlackRock Inc – 5.05%
• The Vanguard Group Inc – 3.73%
• Michael Siddle – 1.71%
• Norges Bank Investment Management – 1.15%

How many retail investors hold Ramsay Health Care on the ASX?

While it appears that the power of the decision lies in the hands of a few large investment banks and a foundation, there are still plenty of retail investors on board as well.

At the time of writing, the general public constituted 61.5% of ownership in Ramsay Health Care. That means as a cohort, retail investors will hold more say in the final decision than the top five largest shareholders.

As an ASX-listed investment, Ramsay Health Care shares have returned 24.5% over the past five years. This is beefed up from 12.6% thanks to the contribution made by dividends.

The post Who will have the final say on whether Ramsay Health Care leaves the ASX? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX shares today
• This struggling ASX BNPL share is delisting. What does this mean?
• Why Alliance Aviation, Life360, Ramsay Health Care, and Whitehaven Coal are racing higher
• ASX 200 midday update: Ramsay rockets and Rio Tinto disappoints
• Ramsay Health Care share price rockets 28% higher on takeover bid

Motley Fool contributor Mitchell Lawler 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 Ramsay Health Care Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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With the federal election finally called for Saturday May 21, what does this mean for investing in ASX shares?

AMP Ltd (ASX: AMP) chief economist Shane Oliver analysed what patterns have been seen in the past, and what investors can expect this time.

Consumer and market sentiment around elections

There is a perception that elections cause the economy to slow down as consumers put away their wallets in the face of political uncertainty.

But this stereotype isn’t entirely backed up by hard data.

“There is no clear evidence that election uncertainty [affects] economic growth in election years,” Oliver wrote on the AMP blog.

“In fact, since 1980 economic growth through election years averaged 3.5%, which is greater than average growth of 3% over the whole period.”

But as for ASX shares, Oliver said there is some evidence that the political variability causes them to drift sideways for a while.

And there is certainly no pattern of stocks going in a particular direction after a change of government, regardless of which party wins.

“Based on history it’s not obvious that a victory by any one party is best for shares in the immediate aftermath,” said Oliver.

“Shares rose sharply after the 1983 Labor victory but fell sharply after their 2007 win, with global developments playing a role in both. After the 1996 and 2013 Coalition victories shares were flat to down.”

ASX shares do not perform better because of the choice of party

There is a stereotype that the Coalition is more “business friendly” and would therefore be better for ASX share prices.

And Oliver concedes, since World War II, ASX shares have returned 13% per annum under Coalition governments and 10% under Labor.

But context shows international events had more to do with that than the ruling party.

“It may be argued that the Labor governments led by Whitlam in the 1970s and Rudd and Gillard had the misfortune of severe global bear markets,” Oliver said.

“And the economic rationalist and reformist Hawke/Keating government defied conventional perceptions that conservative governments are better for shares. Over the Hawke/Keating period from 1983 to 1996 Australian shares returned 17.2% pa.”

Not much economic difference this election

Oliver reckons that the 2022 campaign, especially, shows very little difference between the economic policies of the major parties.

Labor was burned from its 2019 experience when a distinctive stance from the Coalition cost it a win.

“In the 2019 election, the ALP offered a radically different policy agenda focussed on a significant increase in the size of government (particularly via more spending on health and education) financed by a significant increase in taxation,” said Oliver.

“Following its defeat at that election, with the tax agenda taking much of the blame, the ALP has adopted a less left leaning agenda going into this election.”

Of course, the irony is that the COVID-19 pandemic then brought on a massive government under the Coalition anyway, with all the financial support handed out.

All this means that a change of government to Labor will not have any impact on where ASX shares would have headed anyway.

“Like the Coalition, the ALP is largely seeking to repair the budget through economic growth rather than austerity and its priority areas of energy, skills, the digital economy, childcare & manufacturing have a significant overlap with the Coalition,” said Oliver.

“So, while there may be a little more nervousness in investment markets about Labor, it’s hard to see a big impact on markets if there is a change in government.”

One huge risk

So it seems the stock market’s fate is not dependent on which party wins the May election.

But Oliver notes that there is one result that could trigger even more uncertainty on top of an already volatile investment environment.

“The main risk for investment markets may come if neither the Coalition or Labor win enough seats to govern, forcing a reliance on minor parties or independents,” he said.

“[This] could force a new government down a less business friendly path — such as the Greens demanding an ALP led minority government implement their proposed super profits taxes – although the Senate may act as a brake on this.”

The post How the federal election will impact ASX shares: top economist appeared first on The Motley Fool Australia.

More reading

• ASX 200 midday update: AMP asset sale talks, Syrah rockets
• AMP share price on watch amid Collimate Capital sale talks with Dexus and ‘multiple’ parties
• 3 ASX mining shares that rocketed 20% or more today
• Why did the Appen share price rise by a strong 5% today?
• 3 ASX All Ordinaries shares scaling new multi-year peaks today

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 Bruce Jackson.

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Shares in Challenger Ltd (ASX: CGF) are charging north today and are now trading 8.2% higher at $7.39 apiece.

The Challenger share price is on the move after the financial services company released its quarterly results for the third quarter of FY22.

Challenger grows sales by 10%, confirms guidance

Key takeouts from Challenger’s quarter include:

• Life sales of $2.7 billion, up 10% for the quarter
• Life book growth of $500 million, or 2.8%, for the quarter
• Funds under management (FUM) at $100 billion, down 3% for the quarter excluding the derecognition of Whitehelm Capital following its sale
• Group assets under management (AUM) of $106 billion
• Normalised net profit before tax expected to be towards the upper end of $430 million to $480 million FY22 guidance range

What else happened this quarter for Challenger?

Challenger said that Total Life net flows were $491 million for the quarter. This included annuity net inflows of $286 million and inflows of $205 million to its Other Life segment.

Further, sales to institutional clients grew by 10% to $2.1 billion during the period. Growth was underscored by “strong Challenger Index Plus sales of $1.1 billion (up 30%) and institutional term annuity sales of $1.0 billion”.

Excluding its sale of Whitehelm Capital, FUM reduced by 3% for the quarter, and included “negative investment market movements of $1.9 billion and net outflows of $1.7 billion,” Challenger says.

The group also left the quarter well capitalised with 1.65 times the minimum amount of ‘prescribed’ capital set by the Australian Prudential Regulation Authority (APRA).

Management commentary

Speaking on the announcement fuelling the Challenger share price today, managing director and chief executive officer Nick Hamilton said:

Challenger is a unique business with an exciting opportunity to meet the needs of more customers. This quarter, our business continued to perform well, highlighting the benefits of our diversification strategy.

The Life business maintained its impressive performance, with book growth of 2.8% for the quarter. Sales growth exceeded 10% across both institutional and retail, reinforcing the success of our strategy to extend our customer reach and broaden our distribution channels.

Product innovation remains a key priority and our market-linked annuity reflects our commitment to meeting the needs of more customers. The market-linked annuity has now been added to approved product lists of key financial advice businesses and initial feedback and engagement from financial advisers has been positive.

What’s next for Challenger?

Challenger reiterated its FY22 normalised net profit after tax (NPAT) guidance. It now expects NPAT to fall at the upper end of the $430 million to $480 million guidance range.

“Challenger remains on track to achieve full-year profit guidance and now expects to be towards
the upper end of the range,” Hamilton added.

“As we look to the future, we are well placed to continue our growth trajectory, meet the needs of
more customers, and deliver on our purpose to provide financial security for a better retirement.”

Challenger share price snapshot

In the last 12 months, the Challenger share price has climbed 31%. It is also up 12% this year to date, and 5% over the past month.

The post ‘Exciting opportunity’: Why the Challenger share price just leapt 8% appeared first on The Motley Fool Australia.

More reading

• How the federal election will impact ASX shares: top economist
• Why investors are selling Tesla stock ahead of today’s earnings
• CSL share price lifts amid US$4b debt raise
• Are Origin Energy shares really trading on a 3% dividend yield?
• Here are the best ASX renewables shares of the year so far

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 recommended Challenger Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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

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

What happened

While Tesla (NASDAQ: TSLA) CEO Elon Musk has been making headlines for other reasons in recent days, the focus for investors turns back to his electric car company this afternoon. Tesla is set to report first-quarter earnings after the bell today, and investors seem pessimistic about what they’ll hear. Shares of the electric vehicle (EV) leader were trading down 4.2% as of 2:23 p.m. ET today. 

So what 

There have certainly been some positive highlights for the company so far this year. But Tesla investors seem to be concerned about what the impacts to production will be from COVID-19-related lockdowns in Shanghai. Tesla opened the Shanghai plant — its second production facility — in 2018, and it has been a large contributor to the company’s explosive growth. 

Now what

The Shanghai plant has been supplying the large market in China as well as its European customers. The suspension of production there won’t have nearly as much impact on the first quarter as it will on second-quarter production, since it only began near the end of the first quarter on March 28. But investors are likely thinking guidance for second quarter will be hit, and that might be what is concerning them ahead of the report. 

Tesla is expected to report a huge increase in earnings compared to the year-ago period, but the $2.2 billion in expected first-quarter profit would be slightly lower than the record $2.3 billion reported in the fourth quarter of 2021.

Tesla also has been battling increases in raw material costs. It raised prices on the vehicles produced in the Shanghai plant during the first quarter. Investors will want to hear more about how inflation may be impacting profit margins, and will be focused on what the overall impacts will be from the Shanghai plant production delays. Leading up to the report, investors seem to be expecting the worst. 

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

The post Why investors are selling Tesla stock ahead of today’s earnings appeared first on The Motley Fool Australia.

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• Can the Tesla share price really quadruple from here?
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• Shopify, Alphabet, Amazon, and Tesla stocks are splitting — which ones are the best buys?

Howard Smith has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns 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 Bruce Jackson. 

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

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The CSL Limited (ASX: CSL) share price is edging higher in early trading after the ASX healthcare share revealed details of its debt funding for its acquisition of Vifor Pharma Ltd.

At the time of writing, CSL shares are swapping hands for $265.66 apiece, a gain of 0.44%.

The biotechnology giant intends to use the cash proceeds from the offering to partially finance the proposed acquisition of Vifor, which the company announced in December 2021. Some of the money will also be used for general corporate purposes.

What did CSL announce?

The CSL share price is gaining after the company revealed it has priced US$4 billion of bonds in the US market. The notes were issued by CSL Finance and are guaranteed by the parent company.

There were six different tranches of notes:

• US$500 million of 5-year notes with an interest rate of 3.85%
• US$500 million of 7-year notes with an interest rate of 4.05%
• US$1 billion of 10-year notes with an interest rate of 4.25%
• US$500 million of 20-year notes with an interest rate of 4.625%
• US$1 billion of 30-year notes with an interest rate of 4.75%
• US$500 million of 40-year notes with an interest rate of 4.95%

Management commentary

CSL chief financial officer Joy Linton said:

We are pleased with the outcome of the bond issue from both a demand and pricing perspective. It also provides depth and flexibility for our long-term capital management program.

The strong support shown by investors towards our inaugural US dollar bond issue reflects positively on our track record of disciplined financial management, as well as confidence in our strategy to invest in our leading therapeutic capabilities and generate sustainable growth.

Vifor acquisition

CSL said the regulatory process for the Vifor Pharma acquisition is on track to be completed by June 2022.

The company has also completed a A$6.3 billion institutional placement to fund the deal.

CSL describes Vifor Pharma as a global specialty pharmaceutical company with leadership in renal disease and iron deficiency.

CSL also said it would enhance CSL’s patient focus and ability to protect the health of those facing a range of rare and serious medical conditions. It also expands CSL’s presence in the rapidly growing nephrology market.

In terms of the financial side, CSL said it would add to revenue and cash flow. It was expecting to be able to achieve US$75 million of pre-tax cost synergies over three years after the deal is completed.

Management expects the deal to add to underlying net profit after tax (NPAT) in the low-to-mid-teens in the first full year of CSL ownership, including the cost synergies. This could be helpful for the CSL share price.

One of the latest ratings comes from Citi. It rates CSL as a buy with a price target of $335. That implies a potential upside of around 26%.

The post CSL share price lifts amid US$4b debt raise appeared first on The Motley Fool Australia.

More reading

• Why has the CSL share price struggled in the past month?
• Should ASX investors buy the dip in the CSL share price?
• 2 blue chip ASX 200 shares analysts rate as buys this month
• Top brokers name 3 ASX shares to buy today
• ASX 200 healthcare shares were chronically ill last quarter. Take a look

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. owns 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 Bruce Jackson.

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Origin Energy Ltd (ASX: ORG) is one of the more notable dividend shares in the S&P/ASX 200 Index (ASX: XJO).

Origin has been handing its investors payouts since it was listed on the ASX following its demerger from Boral Limited (ASX: BLD) in 2000.

But what kind of dividend yield is the share boasting right now?

The Origin Energy share price is in the green today. It’s currently up 2.1%, trading at $6.82.

For context, the ASX 200 is also up on Thursday. It has gained 0.25% at the time of writing.

What is Origin Energy’s current dividend yield?

Have you owned Origin Energy shares for the last year? You’ve likely received 20 cents of dividends in that time.

The energy producer and retailer handed out a 7.5 cent final dividend for the financial year 2021 and a 12.5 cent interim dividend in March.

The former represented a free cash flow payout of 31% – just within the company’s target payout range of 30% to 50%. The latter, however, represented a free cash payout of 66%.

Both dividends were unfranked. Origin Energy hasn’t paid a franked dividend since early 2020.

No doubt, all eyes will be on the company’s next dividend when it drops its earnings for financial year 2022 on 18 August.

So, what is Origin Energy’s current dividend yield?

Based on its previous closing price of $6.68, the company has a 12-month trailing dividend yield of 2.99%.

That’s a relatively healthy dividend yield by many accounts. Though, it doesn’t compare to some of the company’s ASX 200 peers. As The Motley Fool Australia’s Sebastian Bowen reports, numerous ASX 200 shares were trading with dividend yields of more than 9% last month. But they were all ASX miners and financials.

Origin Energy share price snapshot

The Origin Energy share price has been on a roll in 2022 so far.

Right now, it’s 27% higher than it was at the start of the year. It has also gained 68% since this time last year.

The post Are Origin Energy shares really trading on a 3% dividend yield? appeared first on The Motley Fool Australia.

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• Why is the Origin Energy share price having such a dire day?
• The Origin share price is now overvalued, consensus says yes. What do you think?
• High voltage! Origin (ASX:ORG) share price up 3% to new 52-week high
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• The Origin (ASX:ORG) share price has surged 15% since the start of March. Could this be why?

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

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