Tag: Motley Fool

At the start of each week, I like to look at ASIC’s short position report to find out which shares are being targeted by short sellers.

This is because I believe it is well worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, here are the 10 most shorted shares on the ASX this week according to ASIC:

• Pilbara Minerals Ltd (ASX: PLS) remains the most shorted ASX share despite its short interest easing a touch to 20.5%. Short sellers have been targeting the lithium miner due to weak battery materials prices.
• Syrah Resources Ltd (ASX: SYR) has short interest of 17%, which is up week on week again. Concerns over weak graphite prices is weighing on its shares.
• Core Lithium Ltd (ASX: CXO) has short interest of 12.9%, which is up slightly week on week. This lithium miner recently announced plans to suspend production to conserve cash.
• Sayona Mining Ltd (ASX: SYA) has 11.5% of its shares held short, which is up week on week again. This lithium miner’s latest update revealed that its costs were significantly higher than the price it was receiving for its product.
• IDP Education Ltd (ASX: IEL) has 10.4% of its shares held short, which is up week on week. Short sellers have been targeting this language testing and student placement company’s shares following student visa changes and the loss of its monopoly in Canada.
• Genesis Minerals Ltd (ASX: GMD) has seen its short interest rise to 9.1%. This may be due to integration risks from recent acquisitions.
• Deep Yellow Limited (ASX: DYL) has seen its short interest rise to 8.9%. Short sellers will have been disappointed to see the company’s shares rocket 25% last week amid concerns over uranium shortages.
• Weebit Nano Ltd (ASX: WBT) has short interest of 8.6%, which is up week on week again. Last week, this semiconductor company reported quarterly revenue of less than $0.5 million. It has a market capitalisation of almost $700 million.
• Flight Centre Travel Group Ltd (ASX: FLT) has 8.4% of its shares held short, which is flat week on week. Short sellers seem to believe the market’s growth and revenue margin assumptions are too ambitious.
• Chalice Mining Ltd (ASX: CHN) has short interest of 7.2%, which is up week on week. Short sellers continue to target this mineral exploration company’s shares even after they have crashed 85% over the last 12 months.

The post These are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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More reading

• If you’d invested $20,000 in Pilbara Minerals shares in 2020, this is how much you’d have today
• These ASX 200 shares could rise 30% to 50%
• Top brokers name 3 ASX shares to buy next week
• 5 ASX mining shares with projects being spruiked by the Australian Federal Government
• Why AGL, Arcadium Lithium, Chalice Mining, and Nickel Industries shares are falling

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 Idp Education. The Motley Fool Australia has recommended Flight Centre Travel Group and Idp Education. 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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ASX shares could get a nice boost this week as the Reserve Bank of Australia board meets on Tuesday.

The big question is whether inflation has calmed sufficiently that interest rates no longer have to be moved up.

Have Australian consumers and businesses copped enough pain after 13 rate hikes over the past two years?

According to a survey conducted by comparison site Finder, all 27 economic experts are tipping the central bank will keep on hold.

REA Group Ltd (ASX: REA) economic research director Cameron Kusher said there “seems to be no hard evidence to point to that suggests the RBA will lift rates”.

“Inflation has come in well below the RBAs forecast, retail sales have slowed and the unemployment rate has lifted and job creation has stalled.”

A pause in rates could raise consumer and business confidence, which in turn could be bullish for stock markets.

When are interest rate cuts coming?

The next question for investors and consumers alike is whether interest rates will actually come down soon.

On this, the experts are more divided.

Ten of the 27 economists believe the first cut will come in the second half of this year, while another 10 are tipping it won’t arrive until next year or beyond.

Two of them even think the RBA hasn’t even finished raising its cash rate.

There are two stumbling blocks for rate relief: the federal government’s adjustments to the stage 3 tax cuts, and still-persistent inflation.

Corinna Economic Advisory economist Saul Eslake believes the RBA will not be cutting rates at all this year.

“The tax cuts due on 1 July are equivalent in terms of their impact on household cash flows to two 25 basis point rate cuts, albeit that their distributional impact is very different.”

University of Sydney associate professor Mark Melatos also warns against expectations that mortgage repayments would come down anytime soon.

“Inflation remains above the RBA’s target band, despite moderating in recent months. 

“As long as low unemployment — effectively full employment — persists, the cash rate is unlikely to be reduced and further increases remain a possibility.”

Bendigo and Adelaide Bank Ltd (ASX: BEN) chief economist David Robertson is slightly more optimistic.

“The next move will most likely be a cut around year end,” he said.

“Earlier cuts are possible if services inflation improves, but that will take time.”

The post ASX shares could rocket on Tuesday. Here’s why appeared first on The Motley Fool Australia.

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More reading

• These are the 10 most shorted ASX shares
• Buy ANZ and this ASX dividend share
• 5 things to watch on the ASX 200 on Monday
• ‘Attractive’: 2 ASX 200 shares to buy right now from the boom sector for 2024
• 3 things ASX investors should watch this 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 positions in and has recommended REA Group. The Motley Fool Australia has positions in and has recommended Bendigo And Adelaide Bank. The Motley Fool Australia has recommended REA Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Are you wanting to boost your income portfolio with some new additions? If you are, then it could be worth looking at the two ASX dividend shares listed below that have been named as buys.

Here’s what analysts are saying about these shares:

ANZ Group Holdings Ltd (ASX: ANZ)

The first ASX dividend share for investors to look at buying is banking giant ANZ.

That’s the view of analysts at Goldman Sachs, which believe ANZ shares would be a top option right now thanks to the strength and improving profitability of its key institutional business.

Goldman expects this to support the payment of fully franked dividends per share of $1.62 in both FY 2024 and FY 2025. Based on the current ANZ share price of $27.26, this will mean dividend yields of 5.9%.

The broker currently has a buy rating and $27.85 price target on its shares.

Deterra Royalties Ltd (ASX: DRR)

Over at Morgan Stanley, its analysts believes that Deterra Royalties could be an ASX dividend share to buy right now.

Deterra Royalties operates a mining royalty business across a range of commodities, but with a primary focus on bulks, base metals, and battery metals. This includes the world class Mining Area C iron ore operation, which is co-owned with mining behemoth BHP Group Ltd (ASX: BHP).

Morgan Stanley is expecting some big dividend yields from Deterra Royalties shares in the near term. It is forecasting fully franked dividends of 40.3 cents per share in FY 2024 and then 30.1 cents per share in FY 2025. Based on the current Deterra Royalties share price of $5.41, this will mean yields of 7.5% and 5.5%, respectively.

The broker currently has an overweight rating and $5.65 price target on the company’s shares.

The post Buy ANZ and this ASX dividend share appeared first on The Motley Fool Australia.

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More reading

• 3 ASX blue-chip stocks I think every Aussie should own
• If I invest $10,000 in ANZ shares how much passive income will I receive
• Top ASX dividend shares to buy in February 2024
• Why these 3 ASX 200 shares leapt into the Motley Fool’s headlines this week
• 3 popular investing myths BUSTED

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 Goldman Sachs Group. 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 Friday, the S&P/ASX 200 Index (ASX: XJO) ended the week with a stunning gain. The benchmark index rose 1.5% to 7,699.4 points.

Will the market be able to build on this on Monday? Here are five things to watch:

ASX 200 expected to fall

A tough session is expected for the Australian share market on Monday despite a strong finish on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 54 points or 0.7% lower this morning. On Friday on Wall Street, the Dow Jones was up 0.35%, the S&P 500 rose 1.1%, and the Nasdaq jumped 1.75%.

Oil prices drop

It could be a poor start to the week for ASX 200 energy shares including Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) after oil prices dropped on Friday night. According to Bloomberg, the WTI crude oil price was down 2.1% to US$72.28 a barrel and the Brent crude oil price was down 1.75% to US$77.33 a barrel. Strong U.S. jobs data reduced the odds of imminent interest rate cuts, which traders think could dampen crude oil demand.

Lynas linked with mega merger

Lynas Rare Earths Ltd (ASX: LYC) shares will be on watch today amid news that the rare earths producer has been in merger talks with New York listed Mp Materials Corp (NYSE: MP). According to the AFR, the two largest rare earths producers outside China have been talking but are not currently. Though, Lynas reportedly said that it is not ruling out a deal in the future.

Gold price falls

It is looking like it could be a poor start to the week for ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) after the gold price fell on Friday. According to CNBC, the spot gold price was down 0.8% to US$2,053.7 an ounce. The gold price dropped after the US dollar and bond yields rose following strong US jobs data.

Metcash capital raising

Metcash Limited (ASX: MTS) is widely expected to announce a capital raising this morning to fund the acquisition of Superior Food Group. According to the AFR, the wholesaler is looking to raise $300 million. Sources says that Metcash will be paying in the range of $390 million and $412 million for the food services distribution business.

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

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More reading

• ‘Attractive’: 2 ASX 200 shares to buy right now from the boom sector for 2024
• Top ASX dividend shares to buy in February 2024
• Here’s how the ASX 200 market sectors stacked up this week
• Why these 3 ASX 200 shares leapt into the Motley Fool’s headlines this week
• Fewer ASX IPOs in 2023, but here’s how they’ve performed

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended MP Materials. The Motley Fool Australia has recommended Metcash. 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 critical action to take if you want your S&P/ASX 200 Index (ASX: XJO) shares to perform better than the market is to invest in stocks that others are ignoring.

After all, if you are only going for investments that everyone else is into, you can’t expect to receive results different from the average.

Shaw and Partners portfolio manager James Gerrish recently told his Market Matters newsletter that consumer staples is the big play for his team in 2024.

“The Australian consumer staples sector has struggled over recent years, but as Market Matters looks to position portfolios more defensively, it’s been on our radar of late,” he said.

“People have to eat.”

This might be considered a contrarian view, as many experts are forecasting a reduction in interest rates. That would boost public confidence and spending, which would conventionally be considered a boon for the consumer discretionary sector.

But Gerrish likes staples for similar reasons.

“With interest rates set to fall through 2024/5, inflation under control and supply chain issues in the rearview mirror, the outlook has improved for the sector. 

“The peak cost of living has passed, with spending growth on the horizon, helped by solid immigration, with supermarkets  likely to be a key beneficiary.”

Helpfully, he also picked out two ASX 200 stocks from the industry that are ripe for buying now:

‘An opportunity’ imminent?

On Thursday, groceries distributor Metcash Limited (ASX: MTS) confirmed it is in discussions to acquire the Superior Food Group business from private equity owner Quadrant.

Metcash shares were immediately placed in a trading halt.

Gerrish reckons there could be a major buying opportunity opening up if the $500 million transaction goes ahead.

“Speculation has been around the funding of the purchase, with many expecting a capital raise should the deal progress,” he said.

“At this stage, Metcash has several alternatives from a funding perspective, but if they do undergo a discounted equity raise as part of a wider funding package, it could provide an opportunity in the stock.”

Gerrish’s team is “long and bullish” on the owner of the IGA supermarket brand.

These ASX 200 shares are looking cheap

Woolworths Group Ltd (ASX: WOW) shares have gone largely sideways over the past three years.

With cost-of-living pressures bearing down on many Australian households, politically the company and its rival Coles Group Ltd (ASX: COL) are in strife.

“The ACCC is investigating ‘price gouging’, which will inconvenience Woolworths.”

The Woolies stock price has also dipped this year because of a $1.7 billion write-down of its New Zealand supermarket business. 

Gerrish’s team reckons this trough makes the stock “even more attractive”.

“When we saw the banks endure a Royal Commission, it ultimately delivered an excellent buying opportunity.

“If Metcash raises capital, it may create some sentiment selling across the sector.”

His analysts like Woolworths as a buy below $36.

It closed Friday at $36.44.

The post ‘Attractive’: 2 ASX 200 shares to buy right now from the boom sector for 2024 appeared first on The Motley Fool Australia.

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More reading

• Top brokers name 3 ASX shares to buy next week
• Top ASX dividend shares to buy in February 2024
• Guess which ASX 200 stock is halted on $500m acquisition talks
• Top brokers name 3 ASX shares to buy today
• How big could the 12-month return be on Woolworths shares?

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 positions in and has recommended Coles Group. The Motley Fool Australia has recommended Metcash. 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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Can you believe it’s February already? 2024 feels like it only just started.

This week will be huge for the direction of ASX shares and financial markets. Here are the biggest events to keep an eye on, according to eToro market analyst Josh Gilbert:

1. Australian reporting season

Reporting season in the United States — or ‘earnings season’, as the Yanks call it — is already well under way, but this week sees many big Australian names reveal their latest numbers.

“​​Australia’s reporting season will step up a notch with big names such as AGL Energy Limited (ASX: AGL), Mirvac Group (ASX: MGR) and Transurban Group (ASX: TCL) all releasing half-year results,” said Gilbert.

“Earnings growth for the S&P/ASX 200 Index (ASX: XJO) looks to be modest at around 3.4% for the first half of the financial year, and expectations will be high with the market sitting at record levels.”

He added that the market would be focused on “margins and cost control”.

“Given China’s economy is still not playing ball, miners will be in focus throughout the reporting season, especially with lithium prices continuing to free fall and the materials sector’s strong end to the year.”

The real estate sector was the best performer on the ASX in the final quarter of 2023.

“With [potential] rate cuts driving these stocks high, expectations will be high, and investors won’t want to be disappointed.”

2. Interest rate decision

The Reserve Bank board is back in action Tuesday after its January break.

According to Gilbert, the market has fully priced in a “no change” in interest rates this month, courtesy of plunging retail sales and favourable unemployment and Q4 inflation data.

“It’s all but guaranteed now that, barring a massive unforeseen economic event, the RBA is done with their hiking cycle. 

“The possibility of cuts is still months away, but recent data now points towards the potential of seeing three cuts in 2024, up from the two anticipated at the start of the year and the first cut very much on the table in June.”

Rather than the rate decision itself, the bigger interest is what RBA governor Michele Bullock has to say at the new post-board meeting press conference.

Even though the central bank will want to stamp out inflation, which is still too high, the recent economic data could make it hard for her to choose her words.

“It may be difficult for Governor Bullock to sway away from sounding dovish. 

“All of this is good news for the local market, with just one losing day in the last ten taking the ASX 200 to record highs.”

3. China inflation

The world’s second largest economy and Australia’s biggest trading partner continues to struggle with deflation.

“China’s CPI fell 0.5% in November – the sharpest decline in two years – and while Thursday’s CPI results aren’t likely to be as dramatic, markets are expecting the trend to continue falling for a fourth straight month with a 0.3% decline anticipated.”

The real estate sector, which had been for so long the engine of China’s economic rise, is in serious trouble with giant company Evergrande ordered into liquidation last week.

“More governmental reform seems all but guaranteed now, but sluggish movement here, as well as a delay in scheduling the third promised economic plenum, means investors don’t have much to look forward to yet.”

China’s woes have an adverse impact on ASX shares.

“The nation’s post-pandemic recovery has been anything but effective, with growth slowing and its ripple effect will likely continue to harm Australia’s export industries.”

The post 3 things ASX investors should watch this week appeared first on The Motley Fool Australia.

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More reading

• If you’d invested $20,000 in Pilbara Minerals shares in 2020, this is how much you’d have today
• 3 ASX blue-chip stocks I think every Aussie should own
• Own CBA shares? Here’s what to expect from its half year results
• Goldman Sachs says Telstra and these 6 ASX shares are buys
• 4 quality ASX ETFs to buy in February

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 positions in and has recommended Transurban Group. 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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Regular readers know that ASX lithium shares have been an absolute bin fire the past 12 months.

Western consumers discouraged by rising interest rates and a Chinese economy already in strife have combined to dampen demand, so the price for the commodity has nosedived.

Just 14 months ago, the lithium carbonate price was touching the 600,000CNY per tonne mark. 

Now it can’t even make six figures.

But for those who are doubting the ability for the battery material to make a roaring comeback in the future, you just need to take a look at recent history.

Because lithium, like most other minerals, can make unsuspecting investors look silly with a furious turnaround in the supply and demand equation.

$20,000 into $470,000? Yes, please

Let’s take a look at lithium miner Pilbara Minerals Ltd (ASX: PLS) as an example.

Just under four years ago, in March 2020, Pilbara Minerals shares were going for 15 cents each.

Sure, COVID-19 had just struck the world and no one knew whether we’d be stuck at home for years.

But the rise of electric cars was already well under way, so it is not inconceivable that you could have put $20,000 towards buying Pilbara shares.

Such foresight would have paid off handsomely.

Pilbara Minerals shares closed Wednesday at $3.55, which means that $20,000 has now turned into an incredible $473,333.

What Pilbara Minerals shares teach us

There are two morals from this story.

First is that resource prices can turn around extremely quickly. A stock that seems hopelessly down and out can rocket in just a few weeks, and vice versa.

Second is that your portfolio need not be packed with winners for you to enjoy positive returns overall.

In fact, it is unrealistic to expect you will have a 100% success rate, or even 70%.

For most investors, a handful of multi-baggers will carry the load for the rest of the portfolio.

Good luck out there.

The post If you’d invested $20,000 in Pilbara Minerals shares in 2020, this is how much you’d have today appeared first on The Motley Fool Australia.

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More reading

• These ASX 200 shares could rise 30% to 50%
• Top brokers name 3 ASX shares to buy next week
• BHP stock and more: 3 ASX commodity titans to watch in 2024
• Where will the bottom be for the scorched lithium price?
• Uh oh! Does this spell more bad news for ASX 200 lithium shares?

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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As we head into the second month of 2024, now could be a good time to look at adding some top ASX blue-chip stocks to your investment portfolio.

These companies have generally been around for many years, providing investors with a lengthy track record to review. They also tend to offer relatively stable long-term growth, compared to their small-cap peers.

And, thanks in part to their weighty market caps, ASX blue-chip stocks are often able to secure cheaper financing than lesser-known companies.

With that said, here are three ASX blue-chip stocks I think every Aussie investor should own.

ASX blue-chip bank stock

First up we have S&P/ASX 200 Index (ASX: XJO) bank stock Commonwealth Bank of Australia (ASX: CBA).

With a market cap of $191 billion, CBA is Australia’s largest bank and the second-biggest company listed on the ASX. CBA offers a range of integrated financial services, which is the kind of diversity I like to see with an ASX blue-chip stock.

The bank has been taking steps to retain its dominance in the lucrative Aussie mortgage markets. And it is well-placed to weather any financial shocks or economic slowdown, with a common equity tier 1 (CET1) ratio of 11.8%.

CBA shares are up 4% over the past 12 months and have really lifted off since November. The bank stock is up 18% since the closing bell on 31 October.

The ASX blue-chip stock also paid $4.50 in fully franked dividends over the last 12 months. At the current share price, that sees CBA trading at a trailing yield of 3.9%.

Which brings us to…

The biggest stock on the ASX

ASX 200 iron ore giant BHP Group Ltd (ASX: BHP) is the biggest company listed on the ASX. The ASX blue-chip stock has high-quality mining assets in Australia, North America, and South America.

Atop that geographic diversity, BHP’s revenue, while weighted towards iron ore, also comes from copper, coal, nickel, and uranium, among others.

BHP’s profits, share price growth, and the dividends it pays out are hinged on the price of the elements it digs from the ground. So you should expect a bit more volatility from this stock.

But longer term, global demand for its products should remain strong and is almost certain to grow. And the ASX blue-chip stock is well-positioned to continue delivering its supplies at the lower end of the cost curve.

Over the past 12 months, the BHP share price is down 3%. Shares are up 9% since 23 October.

BHP shares trade on a 5.5% fully franked dividend yield.

Rounding out the list of three ASX blue-chip stocks I think every Aussie investor should own is…

ASX blue-chip healthcare stock

CSL Ltd (ASX: CSL) counts among the world’s top biotechnology companies. Its segments include CSL Behring, CSL Vifor, and its Seqirus businesses.

The ASX blue-chip stock is the world’s biggest in the $38 billion plasma protein therapies industry and the second biggest in the $7 billion flu vaccines industry.

CSL is the third largest company listed on the ASX with some strong growth prospects ahead. In fact, management is forecasting annual double-digit earnings growth. They cite “significant unmet need” for the company’s products among growing global markets.

I also like that the ASX 200 biotech stock invests around 10% of its sales revenue into research and development. That includes exploring the growing powers of generative AI to enhance its global operations.

The CSL share price is down 1% over the past 12 months, having taken a big hit in June when sharper-than-expected foreign currency headwinds saw the company reduce its profit forecast.

The ASX blue-chip stock has enjoyed a strong rebound in recent months, however, with shares up 30% since 30 October.

CSL trades on a partly franked dividend yield of 1.2%

The post 3 ASX blue-chip stocks I think every Aussie should own appeared first on The Motley Fool Australia.

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More reading

• Own CBA shares? Here’s what to expect from its half year results
• Top ASX dividend shares to buy in February 2024
• Why these 3 ASX 200 shares leapt into the Motley Fool’s headlines this week
• Brokers name 3 ASX shares to buy now
• 5 things to watch on the ASX 200 on Friday

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL. The Motley Fool Australia has recommended CSL. 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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Goldman Sachs has been busy running the rule over the ANZ telecoms, media, and technology (TMT) space and has picked out a number of ASX shares it rates as buys.

Let’s now take a look at the shares that the broker is tipping as buys this month.

Which ASX shares are buys?

Goldman thinks that the following ASX shares are buys in the TMT space:

• Elasticity connectivity and network services interconnection provider Megaport Ltd (ASX: MP1)
• Media giant News Corp (ASX: NWS)
• Data centre operator Nextdc Ltd (ASX: NXT)
• Media company Nine Entertainment Co Holdings Ltd (ASX: NEC)
• Property listings company REA Group Ltd (ASX: REA)
• Telco giant Telstra Group Ltd (ASX: TLS)
• Cloud accounting platform provider Xero Ltd (ASX: XRO)

The broker commented:

Our preferred names include: 1) Telstra (Buy) and NextDC (Buy) in the telco/digital infra space given resilient and predictable earnings growth (and dividends for Telstra); (2) REA, NWS & NEC in Media, given we are very positive on REA’s ability to continue growing yields into the medium-long term, with News Corp also exposed to this alongside the digital led growth at Dow Jones, while having a compelling underlying valuation; (3) XRO and MP1 in Technology, with both companies delivering a much improved earnings outlook under their (relatively) new CEOs.

In respect to Telstra, the broker currently has a buy rating and $4.65 price target on its shares. This offers 14% upside for investors from current levels. It commented:

We believe the low risk earnings (and dividend) growth that Telstra is delivering across FY22-25, underpinned through its mobile business, is attractive. We also believe that Telstra has a meaningful medium term opportunity to crystallise value through commencing the process to monetize its InfraCo Fixed assets – which we estimate could be worth between A$22-33bn.

The post Goldman Sachs says Telstra and these 6 ASX shares are buys appeared first on The Motley Fool Australia.

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More reading

• 3 roaring ASX shares I’d hold for the next 20 years
• How ASX shares vs. property performed in January
• Got $15,000? How I’d invest for a bulletproof ASX passive-income portfolio
• 2 world-class ASX 50 shares to buy for your portfolio
• What could happen to Telstra shares if interest rates fall?

Motley Fool contributor James Mickleboro has positions in Nextdc and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group, Megaport, REA Group, and Xero. The Motley Fool Australia has positions in and has recommended Telstra Group and Xero. The Motley Fool Australia has recommended Megaport, Nine Entertainment, and REA Group. 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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Do you have room for some ASX exchange-traded funds (ETFs) in your portfolio this month? If you do, then it could be worth looking at the four listed below.

Here’s what you need to know about these funds:

Betashares Global Uranium ETF (ASX: URNM)

The first ASX ETF for investors to look at in February is the Betashares Global Uranium ETF. It aims to track the performance of an index that provides exposure to a portfolio of leading companies in the global uranium industry. These companies look incredibly well-placed for growth over the next decade thanks to strong demand and weak supply of the chemical element. Among its holdings are uranium shares Boss Energy Ltd (ASX: BOE) and Paladin Energy Ltd (ASX: PDN).

BetaShares NASDAQ 100 ETF (ASX: NDQ)

One of the most popular ASX ETFs out there at the moment is the BetaShares NASDAQ 100 ETF. And it isn’t hard to see why over $4 billion is invested in the fund. That’s because it gives investors easy access to 100 of the largest non-financial shares on the famous NASDAQ index. This includes many of the world’s largest tech companies such as Apple and Microsoft.

VanEck Vectors Video Gaming and eSports ETF (ASX: ESPO)

If you’re looking for some exposure to the tech sector then the VanEck Vectors Video Gaming and eSports ETF could be worth considering. The fund manager, VanEck, highlights that the ETF gives investors access to a global video game market that is estimated to comprise close to 3 billion active gamers. Among its holdings are the biggest players in the industry such as Take-Two Interactive Software, Inc. (NASDAQ: TTWO) and Nintendo.

Vanguard Australian Shares Index ETF (ASX: VAS)

Another ASX ETF for investors to look at is the Vanguard Australian Shares Index ETF. It is an index-based fund that aims to track the ASX 300 index. This means that you will be buying a slice of Australia’s leading 300 listed companies. Among this diverse group of shares are companies as large as BHP Group Ltd (ASX: BHP) and as small as Adairs Ltd (ASX: ADH). Another positive is that the ETF provides investors with a decent yield. At present it sits around 3.8%.

The post 4 quality ASX ETFs to buy in February appeared first on The Motley Fool Australia.

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More reading

• These ASX income ETFs could be top buys
• 3 investment megatrends of 2024 and the ASX ETFs offering a way in
• Why I’m buying Soul Patts shares over the Vanguard Australian Shares Index ETF (VAS)
• 3 excellent ASX ETFs to buy and hold in February
• How do the Vanguard Australian Shares Index ETF (VAS) fees compare to other ASX ETFs?

Motley Fool contributor James Mickleboro has positions in BetaShares Nasdaq 100 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Adairs, Apple, BetaShares Nasdaq 100 ETF, Microsoft, and Take-Two Interactive Software. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Nintendo. The Motley Fool Australia has positions in and has recommended Adairs and BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Apple, Betashares Global Uranium Etf, and VanEck Vectors Video Gaming And eSports ETF. 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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