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The National Australia Bank Ltd (ASX: NAB) share price outperformed the S&P/ASX 200 Index (ASX: XJO) in March.

In fact, NAB shares almost doubled the return of the ASX 200.

The NAB share price climbed by almost 12% in March, ending the month at $32.35. That compares favourably to the return of the ASX 200, which rose by just over 6%.

A lot has happened over the past month. Most of the global headlines have been dominated by the Russian invasion of Ukraine.

War can unsettle markets. But there has also been speculation about what will happen with interest rates to combat widespread inflation.

What happened in March?

There was only one market-sensitive piece of news from NAB during the period.

Towards the end of March, the big four ASX bank announced it had completed its $2.5 billion on-market share buyback and announced a further on-market buyback of up to $2.5 billion. The NAB share price edged slightly higher by the close of trade on the day of the announcement.

NAB said it had bought back almost 87 million ordinary shares. The additional buyback would bring the total potential combined size of the share buyback to $5 billion.

The further buyback will allow NAB to continue managing its common equity tier 1 (CET1) capital ratio towards its target range of 10.75% to 11.25% over time.

NAB noted that it continues to “operate well above” APRA’s unquestionably strong benchmark of 10.5%, under current APRA capital standards. It had a reported CET1 capital ratio of 12.4% as at 31 December 2021.

The further buyback is expected to reduce the bank’s CET1 capital ratio by approximately 58 basis points. Its pro forma CET1 capital ratio as at 31 December 2021, reflecting that further buyback and other adjustments, is 11.3%.

Subject to market conditions, NAB expects to commence the further buyback after the release of its FY22 half-year result announcement on 5 May.

When the additional buyback was announced, NAB CEO Ross McEwan said:

Our capital management strategy reflects the importance of maintaining a strong balance sheet through the cycle while allowing us to continue to support growth and deliver improved shareholder returns.

The further $2.5 billion on-market buyback announced today supports our ambition to reduce the share count and increase sustainable ROE (return on equity) benefits for our shareholders.

What do brokers make of the NAB share price?

One of the latest brokers to give an opinion on the bank is Morgan Stanley, which is “equal weight” on NAB, with a price target of $31.50.

The broker is expecting the Reserve Bank of Australia (RBA) to increase interest rates, which will help NAB. However, some negatives may offset the benefit, such as more expensive funding and strong competition in the lending space. Morgan Stanley likes NAB compared to some other banks in the sector.

On Morgan Stanley’s numbers, the NAB share price is valued at 17x FY22’s estimated earnings with a projected grossed-up dividend yield of 6.2%.

The post The NAB share price almost doubled the ASX 200’s return in March appeared first on The Motley Fool Australia.

More reading

• This ASX blue-chip share has notched up 9 52-week highs this month
• How did ASX 200 bank shares perform today?
• What’s the outlook for the NAB (ASX:NAB) share price in April?
• Worried about how the federal budget might impact your ASX shares? Here’s what Goldman says
• Why has the NAB share price surged 10% in the past month?

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

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It certainly was a great month for the S&P/ASX 200 Index (ASX: XJO) in March. During the period, the benchmark index rose an impressive 6.4% to end it at 7,499.6 points.

While a good number of shares pushed higher with the market, some climbed more than most. Here’s why these were the best performers on the ASX 200 last month:

Uniti Group Ltd (ASX: UWL)

The Uniti share price was the best performer on the ASX 200 in March with a 43.3% gain. Investors were fighting to get hold of this telco’s shares amid speculation that it was in takeover talks. Uniti eventually confirmed this speculation, revealing that Morrison & Co. had tabled a non-binding $4.50 cash per share offer to acquire the company. However, following a higher bid from Macquarie Group Ltd (ASX: MQG), Morrison later bumped its offer by 11% to $5.00 per share.

AVZ Minerals Ltd (ASX: AVZ)

The AVZ Minerals share price wasn’t too far behind with a gain of 35%. Last month this lithium developer’s shares were added to the ASX 200 index at the quarterly rebalance. In addition, positive sentiment in the lithium industry and recent developments at its Manono Lithium and Tin Project in the Democratic Republic of the Congo may have supported its shares. The latter includes the company committing to invest $25 million to advance the drilling program at the project.

EML Payments Ltd (ASX: EML)

The EML share price was on form and charged 27% higher over the period. A rebound in the tech sector and its expansion into a new market may have been the drivers of this gain. In respect to the latter, the payments company announced that it has entered the Employee Benefits Market (EBM) in Europe through a multi-year agreement with Up Spain. The EBM is worth over A$88 billion globally.

Computershare Limited (ASX: CPU)

The Computershare share price was a strong performer and rose 17.7% during the month. This was despite there being no news out of the stock transfer company. Though, with the outlook for interest rate increases becoming even more positive, investors may be expecting this to be a big boost to Computershare’s income. In addition, a note out of UBS last month saw the broker retain its buy rating and increase its price target to $27.00.

The post These were the best performing ASX 200 shares in March appeared first on The Motley Fool Australia.

More reading

• These were the worst performing ASX 200 shares in March
• Top ASX shares to buy in April 2022
• 5 things to watch on the ASX 200 on Friday
• The US is backing Aussie critical minerals projects, and these ASX mining shares could be set to reap the rewards
• The ASX 200 just had its longest winning streak since 2017. What’s doing?

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 EML Payments. The Motley Fool Australia owns and has recommended EML Payments. The Motley Fool Australia has recommended Uniti Group 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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Despite achieving mediocre gains in 2022, the CSR Ltd (ASX: CSR) share price has rocketed higher over the long term.

Below, we take a look and see how much an investor would have made if they had invested $10,000 in CSR shares 10 years ago.

How much would your initial investment be worth now?

Let’s say you spent $10,000 on CSR shares 10 years ago on this day. You would have bought them for $1.755 each. The purchase would have given you 5,698 shares without topping up along the way.

Looking at yesterday’s closing price, the CSR share price finished at $6.15. This means those 5,698 shares would be worth a staggering $35,042.70.

In percentage terms, the initial investment implies a return of about 250% or an average return of 13.36% per year.

On the other hand, if you had invested the same amount in the S&P/ASX 200 Index (ASX: XJO), this would have given you $17,322.89. Going back to percentages, this equates to a gain of roughly 73% or a yearly average of 5.63% across a 10-year period.

And the dividends?

Over the course of the last decade, CSR has made a total of 19 bi-annual dividend payments to shareholders.

Adding those 19 dividends payments gives us an amount of $2.086 per share. Calculating the number of shares owned against the total dividend payment gives us a figure of $11,886.02.

When putting both the initial investment gains and dividend distribution, an investor would have roughly $46,928.73.

As you can see, investing in CSR would have almost tripled what you would have gotten from investing in the ASX 200.

CSR share price summary

Glancing at the shorter term, the CSR share price has nudged up almost 5% in value in 2022.

However, when looking at this time last year, its shares have edged 6% higher.

CSR has a price-to-earnings (P/E) ratio of 20.43 and commands a market capitalisation of roughly $2.98 billion.

The post Guess what $10,000 worth of CSR (ASX:CSR) shares bought a decade ago looks like today appeared first on The Motley Fool Australia.

More reading

• Could the CSR (ASX:CSR) share price be set for a boost?
• The CSR (ASX:CSR) share price has a dividend yield of 7%. Does this make it a buy?
• We see potential: Top broker sees more upside in (ASX:CSR) shares

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 Bruce Jackson.

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The S&P/ASX 200 Index (ASX: XJO) was well and truly on form in March. The benchmark index stormed 6.4% higher over the month to end at 7,499.6 points.

Unfortunately, not all shares were able to follow the market’s lead. Here’s why these were the worst performers on the ASX 200 last month:

Nickel Mines Ltd (ASX: NIC)

The Nickel Mines share price was the worst performer on the ASX 200 last month with a 21.2% decline. Investors were selling this nickel miner’s shares amid concerns over its ties with stainless steel giant Tsingshan. During the month, Tsingshan was caught up in a huge nickel short squeeze, which reportedly could have led to billions in losses. As Tsingshan is the company’s largest shareholder and one of its biggest customers, there were fears that this could lead to share sales or sales contract terminations.

Westgold Resources Ltd (ASX: WGX)

The Westgold share price wasn’t far behind with a 17.4% decline last month. This was driven largely by the gold miner’s $100 million institutional placement. Westgold raised the funds at a 13.9% discount of $2.44 per new share. These funds will be used to accelerate the company’s Murchison and Bryah growth strategy. This strategy is focused on establishing a systematic pathway towards a +400,000 ounce per annum gold production rate from FY 2024.

Zip Co Ltd (ASX: Z1P)

The Zip share price was out of form again in March and dropped 13.4%. Ongoing bearish investor sentiment in the buy now pay later industry continues to weigh on the company’s shares. Among the most bearish is the team at UBS, which downgraded Zip’s shares to a sell rating and cut the price target on them by 80% to just $1.00 at the start of the month. Not even heavy insider buying was enough to take the Zip share price higher in March.

Fisher & Paykel Healthcare Corp Ltd (ASX: FPH)

The Fisher & Paykel Healthcare share price was a poor performer and tumbled 12.8% last month. This was driven by the release of a trading update out of the medical device company. Fisher & Paykel Healthcare advised that easing COVID tailwinds mean that it expects FY 2022 operating revenue in the range of NZ$1.675 billion to NZ$1.70 billion. This represents a 13.7% to 15% year on year decline from NZ$1.97 billion in FY 2021. It also warned that higher freight costs would impact margins.

The post These were the worst performing ASX 200 shares in March appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• The US is backing Aussie critical minerals projects, and these ASX mining shares could be set to reap the rewards
• The ASX 200 just had its longest winning streak since 2017. What’s doing?
• Here are the 3 most heavily traded ASX 200 shares this Thursday
• The Zip share purchase plan closes tomorrow. Here’s what you need to know

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 ZIPCOLTD FPO. 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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Looking for investment ideas for April? Listed below are two high quality options to consider right now.

Here’s what you need to know about these ASX 200 shares:

ResMed Inc. (ASX: RMD)

The first ASX 200 share that could be in the buy zone in April is ResMed. It is a sleep treatment-focused medical device company with a portfolio of industry-leading products supporting sufferers of afflictions including sleep apnoea and chronic obstructive pulmonary disease.

ResMed also has a growing software business that looks well-placed to benefit from the shift to home healthcare.

The company has a long runway for growth. This is due to its significant market opportunity, with an estimated ~1 billion people suffering from sleep apnoea worldwide.

Morgans is a fan of ResMed. It recently retained its add rating and put a price target of $40.80 on its shares. The broker believes ResMed is well-placed as it “builds a unique, patient-centric, connected-care digital platform that addresses the main pinch points across the healthcare value chain.”

TechnologyOne Ltd (ASX: TNE)

Another ASX 200 share to look at in April is TechnologyOne. It is Australia’s largest enterprise software company, providing a global software as a service (SaaS) ERP solution that transforms business and makes life simple for its customers.

At the last count, there were well over 1,000+ leading corporations, government agencies, local councils and universities being powered by its software.

TechnologyOne’s ongoing shift to a SaaS focused business has driven strong recurring revenue growth in recent years. Pleasingly, this is expected to continue in the coming years with management confident it will hit annual recurring revenue (ARR) of over $500 million by FY 2026. This is almost double its current base ARR of $257.5 million.

It commented: “Our SaaS business continues to grow quickly. The quality of this revenue stream is exceptionally high, given its recurring contractual nature, combined with our very low churn rate of ~1%. […] With our fast-growing SaaS business and the announcement of the end of our On-Premise business, we are on track to hit our target of $500m+ ARR by FY26.”

Bell Potter is a fan and has a buy rating and $14.00 price target on its shares.

The post 2 highly rated ASX 200 shares analysts are tipping as buys right now appeared first on The Motley Fool Australia.

More reading

• Analysts name 3 ASX 200 shares that could generate strong returns
• 3 ASX shares primed to bounce back: expert
• Growth will be back! Expert picks 7 ASX shares to buy now
• The next ASX share ready to join the 20-bagger club: expert
• Broker tips TechnologyOne (ASX:TNE) share price to rise 26% amid SaaS growth

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 recommended REA Group 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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As always, to herald the arrival of a new month, we asked our Foolish contributors (who are feeling especially ‘capital-F’ Foolish today!) to compile a list of some of the ASX shares experts are saying to buy in April. Here is what the team came up with.

Tristan Harrison: Xero Limited (ASX: XRO)

The Xero share price has fallen by almost 30% since the start of 2022, but the business continues to grow.

In its FY22 half-year result, Xero revealed that its total number of subscribers rose by 23% to 3 million, while annualised monthly recurring revenue (AMRR) jumped 29% to $1.13 billion. Profitability continues to climb as well – the gross profit margin rose 1.4 percentage points to 87.1%.

Xero’s goal is to become the world’s most insightful and trusted small business platform to make life better for people in small businesses, as well as their advisors and communities worldwide. It’s investing heavily to “drive long-term shareholder value.”

Motley Fool contributor Tristan Harrison does not own shares of Xero Limited.

Bernd Struben: DroneShield Ltd (ASX: DRO)

Droneshield offers products to detect and defeat drones on and off the battlefield.

With global drone production forecast to keep growing rapidly, the total addressable market for counter-drone technology is estimated to hit $5.9 billion by 2026. Analysts predict the market for drone defence technology will see annualised growth of more than 20% in that time.

There was much to like in Droneshield’s full-year financial results for 2021. Among the highlights, revenue increased 91% year on year to $10.6 million. And repeat customer cash receipts leapt 350% from 2020 to reach $9.9 million.

Droneshield is a smaller company with a market capitalisation of around $80 million. Shares in the company were trading at 20 cents apiece at yesterday’s close.

Motley Fool contributor Bernd Struben does not own shares of Droneshield Ltd.

Brooke Cooper: Adairs Ltd (ASX: ADH)

Adairs is a staple store in many Australian shopping centres and is loved by its customers.

The company’s loyalty program holds 950,000 members. Additionally, Adairs’ sales remained relatively strong during the last half, considering it lost a significant number of store trading days during the period.

Unfortunately, the Adairs share price has tumbled by around 25% in 2022, but it could be one to look out for in the future. Broker Morgans is tipping 15% upside for Adairs shares this year, as well as a 9% dividend yield. The Adairs share price closed at $3.02 on Thursday.

Motley Fool contributor Brooke Cooper does not own shares of Adairs Ltd.

Sebastian Bowen: BetaShares Nasdaq 100 ETF (ASX: NDQ)

This exchange-traded fund (ETF) from BetaShares tracks the NASDAQ-100 Index (NASDAQ: NDX). The NASDAQ-100 houses most of the US tech giants on the American markets. You’ll find everything from Netflix and Tesla to Apple and Paypal in this fund.

But US tech shares like these have had a rough time of it lately on the NASDAQ. As it currently stands, NDQ units are still down more than 11% from their all-time high, which was reached in November last year.

This could arguably present one with an attractive opportunity to get exposure to some of the world’s leading tech companies at a discounted price. The BetaShares Nasdaq 100 ETF also has a trailing distribution yield of 3.8% at the time of writing.

Motley Fool contributor Sebastian Bowen does not own shares of the BetaShares Nasdaq 100 ETF, but does own shares of Apple and Tesla.

Zach Bristow: Macquarie Group Ltd (ASX: MQG)

Macquarie has set the pace among ASX financials this past month and now trades around 13% higher over that period. At Thursday’s close, the Macquarie share price was trading at $203.27, having leapt around $28 from its March 2022 low point.

Macquarie has exposure across banking, infrastructure and commodity markets — segments that have spearheaded investor returns in 2022 so far. The investment bank recently noted it has rebalanced its portfolio “as if it’s a commodity boom”, sizing up positions in ASX miners, whilst trimming holdings in leisure and healthcare.

Macquarie is also forecast to pay a $6.30 per share dividend, according to consensus figures from Bloomberg data.

Motley fool contributor Zach Bristow does not own shares of Macquarie Group Ltd.

Brendon Lau: Northern Star Resources Ltd (ASX: NST)

The gold price has been under some pressure as Russia and Ukraine try to negotiate a ceasefire. While the short-term movement in the gold price will be influenced by geopolitical risks, Macquarie believes that the nominal yield curve’s inversion, and still deeply negative level of real interest rates, remain supportive of the safe-haven commodity.

One of the broker’s top picks among ASX gold shares is Northern Star. Macquarie has an ‘outperform’ rating and $14 share price target on Northern Star. At Thursday’s close, Northern Star shares were trading at $10.74.

Motley fool contributor Brendon Lau does not own shares of Northern Star Resources Ltd.

Mitchell Lawler: Sonic Healthcare Limited (ASX: SHL)

The COVID-19 PCR testing tailwind might be losing its former strength, but that hasn’t stopped some analysts from remaining bullish on one of the world’s leading medical diagnostic companies, Sonic Healthcare.

Despite recently achieving record revenue and profits, announcing an on-market share buyback program of up to $500 million, and acquiring one of the largest nationwide pathology practices in the United States (ProPath), shares in Sonic Healthcare are down by around 24% since the beginning of the year.

For Credit Suisse, the discount appears to offer an attractive share price compared to its own upgraded price target of $40.00. Sonic shares closed Thursday’s session at $35.48.

Motley Fool contributor Mitchell Lawler owns shares in Sonic Healthcare Limited.

Aaron Teboneras: Nearmap Ltd (ASX: NEA)

Nearmap shares have surged by around 27% over the past month. This came on the back of a positive update by the aerial imagery specialist on 29 March.

Management highlighted that Nearmap has achieved group annual contract value (ACV) of $150 million for the first time ever. Furthermore, the company signed its largest-ever government annual contract in North America.

In the same update, Nearmap also reaffirmed that group ACV is expected to be at the upper end of the $150 million to $160 million guidance range in FY22. This represents a potential increase of between 17% and 25% compared with the prior year (FY21: $128.2 million).

The Nearmap share price closed Thursday’s session 2.3% lower at $1.485.

Motley Fool contributor Aaron Teboneras owns shares of Neapmap Ltd.

James Mickleboro: Lifestyle Communities Limited (ASX: LIC)

Lifestyle Communities builds, owns, and operates land-lease communities that provide affordable housing options to Australians aged over 50.

The company notes that the land-lease model allows working, semi-retired, and retired people to downsize their family home to free up equity in retirement whilst enjoying resort-style living. This style of living is becoming increasingly popular, arguably putting Lifestyle Communities in a strong position to profit.

Goldman Sachs is very positive on the company’s outlook and believes “the market is not capturing the long-term opportunity for this business to continue to grow its long-term annuity-style earnings with limited incremental capital.”

The broker has a conviction buy rating and $24.50 price target on the company’s shares. The Lifestyle Communities share price has dropped 18% in 2022 and closed Thursday at $17.04.

Motley Fool contributor James Mickleboro does not own shares of Lifestyle Communities Limited.

The post Top ASX shares to buy in April 2022 appeared first on The Motley Fool Australia.

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• ASX 200 (ASX:XJO) midday update: Tabcorp demerger update, BHP higher, Block tumbles
• 2 ASX dividend shares expected to have BIG yields in 2022
• 2 ‘very interesting’ ASX shares to buy now as ASX 200 roars back

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended ADAIRS FPO, Apple, BETANASDAQ ETF UNITS, DroneShield Ltd, Nearmap Ltd., Netflix, PayPal Holdings, Tesla, and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool Australia owns and has recommended ADAIRS FPO, BETANASDAQ ETF UNITS, Nearmap Ltd., and Xero. The Motley Fool Australia has recommended Apple, DroneShield Ltd, Macquarie Group Limited, Netflix, PayPal Holdings, and Sonic Healthcare 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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Are you looking for dividend shares to buy? If you are, then you might want to look at the shares listed below.

Here’s why these ASX dividend shares could be worth considering in April:

Accent Group Ltd (ASX: AX1)

The first ASX dividend shares to look at is Accent. It is a footwear focused retailer that owns a growing collection of store brands. These include HYPEDC, Pivot, Platypus, Sneaker Lab, and Stylerunner.

Accent’s shares have lost almost a third of their value this year due to tough trading conditions caused by COVID lockdowns. While this is disappointing, the team at UBS appear to see it as a buying opportunity.

The broker currently has a buy rating and $2.50 price target on the retailer’s shares. And while it expects a lower than normal dividend this year due to softer earnings, it is expecting a big rebound next year.

UBS has forecast a fully franked dividend of 7 cents per share in FY 2022 and then 13 cents per share in FY 2023. Based on the current Accent share price of $1.70, this will mean yields of 4.1% and 7.7%, respectively.

Elders Ltd (ASX: ELD)

Another ASX dividend share for investors to look at is agribusiness company, Elders.

It provides rural and regional customers with a range of services. These include livestock, real estate, feed and processing, wool agency services, financial planning, and grain marketing services.

Thanks to the success of Elders’ transformation plan and acquisitions, it has been a very strong performer over the last couple of years. Pleasingly, Goldman Sachs expects this positive form to continue.

It highlights the rationalisation of the rural services industry, margin expansion through backward integration, and the benefits of its large scale systems modernisation project as key drivers of growth in the coming years.

In light of this, the broker has a conviction buy rating and $17.65 price target on its shares.

As for dividends, the broker is forecasting fully franked dividends of 45 cents per share in FY 2022 and 47 cents per share in FY 2023. Based on the current Elders share price of $13.29, this will mean yields of 3.4% and 3.5%, respectively.

The post 2 fully franked ASX dividend shares experts rate as buys appeared first on The Motley Fool Australia.

More reading

• Analysts name 2 ASX dividend shares to buy with +4% yields
• 7 small-cap ASX shares that have been oversold: Wilsons
• Leading brokers name 3 ASX shares to sell today
• Broker names 2 quality ASX dividend shares to buy
• These were the best performing ASX 200 share last week

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Accent Group and Elders 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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Recently it has been a horrifying time to be a Magellan Financial Group Ltd (ASX: MFG) shareholder.

The share price has plummeted more than 70% since last July and has lost 25.5% just this year.

It was once a market darling but now seems like a basket case.

For Switzer Report co-founder Paul Rickard, the calamitous fall in Magellan shares can only be blamed on one thing.

“Fundamentally, it’s a story about performance,” he told Switzer TV Investing.

“A number of Magellan’s investors have realised that it’s underperforming its key index. It has been doing so for some time.”

Rickard said this is what happens to ASX shares that represent investment businesses.

“The money moves out [of the funds] and that creates its own problems, but of course, it means future earnings are going to be lower.”

Magellan has also faced some well-publicised management issues, primarily concerned with the stepping down of its celebrity co-founder Hamish Douglass.

So with the share price at such a heavy discount, is it time to consider buying Magellan shares again?

Has it hit the bottom yet?

Magellan shares look ‘super cheap’

Magellan shares closed Thursday at $15.94, which is actually 8.8% up from a week ago.

The target price from the analyst community is still below the current stock price, according to Rickard.

“Analysts have a consensus of $13.50,” he said.

“They’re worried you’re going to see a lot more funds outflow or funds under management moving out of the company — and that’s going to affect future earnings.”

Rickard admitted that the current stock price is looking very tempting.

“In a value sense, Magellan is looking super cheap. It’s trading on a price-earnings multiple of about 6.6 times this year’s earnings,” he said.

“Even allowing for a big fall in earnings next year because people have seen the funds flow out, it’s still only about just under 10 times.”

Don’t catch a falling knife

Rickard agrees with the analyst community that perhaps Magellan shares haven’t quite finished their descent yet.

“There’s no argument Magellan is a value stock, but I still think there’s maybe more bad news to come,” he said.

“Until you see the investment performance back on track, I think it’s a watch-and-wait stock.”

There is absolutely no rush in chasing a stock that’s had a shocker for a prolonged period.

“We always warn people about catching the falling knife,” he said.

“Sometimes these things keep falling.”

The post Is it finally time to buy Magellan (ASX:MFG) shares? appeared first on The Motley Fool Australia.

More reading

• Magellan (ASX:MFG) share price dips despite free gift bonanza
• Magellan (ASX:MFG) share price up another 7% to 1-month high
• ASX 200 (ASX:XJO) midday update: Telstra CEO steps down, Fortescue confirms E.ON deal
• Why did the Magellan (ASX:MFG) share price soar 7% on Tuesday?
• These were the worst performing ASX 200 shares last week

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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On Thursday, the S&P/ASX 200 Index (ASX: XJO) ran out of steam and ended its winning run with a small decline. The benchmark index fell 0.2% to 7,499.6 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 fall

The Australian share market looks set to end the week on a subdued note following a poor night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 15 points or 0.2% lower this morning. In late trade in the US, the Dow Jones is down 0.7%, the S&P 500 trading is down 0.65%, and the Nasdaq is down 0.6%.

Oil prices tumble

Energy producers including Beach Energy Ltd (ASX: BPT) and Woodside Petroleum Limited (ASX: WPL) could have a tough finish to the week after oil prices tumbled. According to Bloomberg, the WTI crude oil price is down 6.5% to US$100.84 a barrel and the Brent crude oil price is down 5.4% to US$107.29 a barrel. This follows news that US President, Joe Biden, will release 1 million barrels per day of oil from strategic petroleum reserves to support supply and combat sky high prices.

Tabcorp given buy rating

The Tabcorp Holdings Limited (ASX: TAH) share price could be in the buy zone according to analysts at Goldman Sachs. In response to the gambling company’s demerger update, the broker has put a buy rating and $6.20 price target on its shares. It said: “We continue to see this [demerger] as a key catalyst in unlocking significant shareholder value.”

Gold price rises

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 edged higher. According to CNBC, the spot gold price is up 0.4% to US$1,947 an ounce. This was driven by weaker treasury yields and puts the precious metal on course to record its best quarter in almost two years.

Dividends being paid

It is another big day of dividend payments on Friday with a number of ASX 200 shares rewarding their shareholders today. Among the companies paying dividends are banking and insurance company Suncorp Group Ltd (ASX: SUN), telco giant Telstra Corporation Ltd (ASX: TLS), and wine company Treasury Wine Estates Ltd (ASX: TWE).

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

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• Why BHP, Core Lithium, Tabcorp, and Talga shares are racing higher

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 owns and has recommended Telstra Corporation Limited. The Motley Fool Australia has recommended Treasury Wine Estates 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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The small end of the Australian share market is home to a number of companies with the potential to grow materially in the future.

Three that investors might want to get better acquainted with are listed below. Here’s why they are rated highly:

Bigtincan Holdings Ltd (ASX: BTH)

The first small cap ASX share to look at is this leading provider of enterprise mobility software to businesses globally. Bigtincan’s software provides businesses with new and more effective ways for their teams to perform at higher levels and deliver better results. This is because, as the company notes, its platform empowers sales and service representatives to maximise their use of sales collateral to engage with customers and prospects more effectively.

Morgan Stanley is bullish on Bigtincan. It has an overweight rating and $2.10 price target on its shares.

Symbio Holdings Ltd (ASX: SYM)

Another small cap to watch is Symbio. It specialises in the Voice over Internet Protocol (VoIP) technology which is used to support services like teleconferencing, online business meetings, and digital data transfers. Symbio appears well-placed for growth over the long term thanks to increasing demand for VoIP technology, its expansion into Asia, and its strong balance sheet. The latter gives management opportunities to look at boosting its growth with acquisitions.

Ord Minnett currently has a buy rating and $7.15 price target on Symbio’s shares.

Whispir Ltd (ASX: WSP)

A final small cap ASX share to watch is Whispir. It provides a leading software-as-a-service (SaaS) communications workflow platform that automates interactions between organisations and people. Whispir has been growing at a solid rate in recent years and management appears confident this will continue. This is due to the global mega trend of digital transformation which is providing strong tailwinds. Another positive is the low levels of churn the company is reporting (under 2%), which demonstrates the stickiness of its platform.

Ord Minnett is also a fan of Whispir. It has a buy rating and $2.85 price target on its shares.

The post 3 exciting small cap ASX shares for your watchlist appeared first on The Motley Fool Australia.

More reading

• 2 exciting small cap ASX shares for your watchlist
• 3 small cap ASX shares tipped for big things by analysts
• Down 35% in a month, why Motley Fool analyst Benny Ou says this ASX tech share is now a bargain buy

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 BIGTINCAN FPO, Symbio Holdings Limited, and Whispir Ltd. The Motley Fool Australia owns and has recommended BIGTINCAN FPO and Symbio Holdings Limited. The Motley Fool Australia has recommended Whispir Ltd. 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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