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The CSL Limited (ASX: CSL) share price will be one to watch on Friday.

This follows the release of an update after the market close yesterday.

What did CSL announce?

Yesterday evening, CSL provided the market with an update on its proposed acquisition of Vifor Pharma.

CSL is currently in the process of acquiring the Swiss biotech giant for US$12.3 billion (A$17.2 billion) in cash. Management expects the deal to expand its leadership across an attractive portfolio focused on renal disease and iron deficiency.

It also highlights that Vifor has a high quality pipeline and complements CSL’s existing therapeutic focus areas. These include Haematology, Thrombosis, Cardiovascular, and Transplant.

Why is the CSL share price on watch today?

The CSL share price could be one to watch today after it revealed that 74% of Vifor shares have been tendered as part of its public tender offer.

While this is short of its original 80% target, the company has decided to waive this acceptance rate condition and thus declare the offer successful.

The company commented: “CSL welcomes the strong support it has received from Vifor shareholders for the acquisition and now plans to waive the original 80% acceptance rate condition and to declare the offer successful. Following this, a tender period for subsequent acceptance of the offer will commence on 9 March 2022 and run through until 22 March 2022.”

What now?

This development means that the transaction is on track to complete as planned, pending the satisfaction of the remaining conditions.

It explained: “CSL further advises that the regulatory approval process for the acquisition is on track and CSL remains confident that the remaining conditions will be satisfied and the transaction completed by mid-2022, as previously indicated.”

The post CSL (ASX:CSL) share price on watch following Vifor Pharma acquisition update appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• 2 ASX 50 shares Morgans rates as buys
• Why did the CSL (ASX:CSL) share price go backwards in February?
• ‘A lot of headroom to grow’: Is 2022 the year ASX investors turn to ESG shares?
• Which ASX shares might be impacted by Probuild’s collapse?

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 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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In this period of volatile returns, the ability to receive cash payments as dividends (or distributions) from ASX dividend shares could be very useful and more consistent.

Brokers are always on the lookout for investment opportunities. If they think that a business is at good value, they’ll rate it as a ‘buy’, ‘outperform’ or something similar.

Some businesses are also expected to pay attractive dividends or distributions in FY22.

These two ASX dividend shares are rated as buys:

Centuria Office REIT (ASX: COF)

This real estate investment trust (REIT) is rated as a buy by at least three brokers, including Morgans.

The broker has a buy rating on the business with a price target of $2.50. That’s approximately 10% higher than where it is today.

As the name may suggest, it provides exposure to office real estate, it’s the largest in Australia. Centuria says that it’s predominantly exposed to metropolitan and near city office markets that are well connected to transport and lend themselves to affordable rents.

When the ASX dividend share released its FY22 first half result, it said that it has 23 assets worth $2.3 billion, with a portfolio occupancy of 94.3% and a weighted average lease expiry (WALE) of 4.3 years.

The FY22 funds from operations (FFO) – the rental profit – is now expected to be 18.3 cents per unit. This is expected to fund a forecast FY22 distribution per unit of 16.6 cents.

At the current Centuria Office REIT share price, its guidance translates into a FY22 yield of 7.4% and further growth in FY23.

Atlas Arteria Group (ASX: ALX)

This business is a global toll road operator. It is smaller than Transurban Group (ASX: TCL), but still has a very sizeable market capitalisation of $6.1 billion according to the ASX.

It owns, operates and develops toll roads. Atlas Arteria wants its roads to reduce travel time, give greater time certainty, reduce fuel consumption and carbon emissions.

The business has investments in toll roads in France, the US and Germany.

Atlas Arteria recently announced its full-year result for the 12 months to December 2021.

Traffic is continuing to recover despite the ongoing impacts of COVID. Weighted average traffic in 2021 was 18.6% higher than 2020 and only 8.4% below 2019.

It made statutory net profit after tax (NPAT) of $163.7 million, compared to a net loss of $99.2 million in 2020. Net profit after tax excluding notable items was $179.1 million, up from 2020’s net profit of $26.2 million.

The ASX dividend share is rated as a buy by at least four brokers, including Credit Suisse which has a price target of $7.15. That’s more than 10% higher than today’s level.

Credit Suisse is expecting distribution growth in FY22, with a projected yield of 6.5%.

The post 2 ASX dividend shares to buy right now: brokers appeared first on The Motley Fool Australia.

More reading

• CSL (ASX:CSL) share price on watch following Vifor Pharma acquisition update
• Are these 2 ASX tech shares good buys in March?
• This ASX share just halved in price, so why is it time to buy?
• 2 long-term ASX stars now cheap enough to buy: experts
• 2 compelling ASX shares expecting big growth this decade

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’s already March 2022. Where has the year gone? With all of the volatility and declines in the stock market, there may be some attractive ASX tech shares to consider.

Worries about inflation and interest rates have given investors a lot to think about since the start of 2022.

Plenty of ASX tech shares have been sold down. Are some of them opportunities?

TechnologyOne Ltd (ASX: TNE)

The TechnologyOne share price has fallen by 18% since the start of the year.

This business provides global enterprise resource planning (ERP) software. It’s working on growing its offering through a software as a service (SaaS) solution in the cloud.

It’s currently rated as a buy by the broker Morgans with a price target of $13.73.

The company has substantial long-term goals to help grow the business over time.

In FY21, it saw net profit before tax growth of 19% to $97.8 million. The company says that it has a $145 million annual recurring revenue (ARR) runway to move from on-premise to SaaS by FY26. Management says that the quality of the SaaS revenue is very high because it has a recurring contractual nature, combined with a very low churn rate of around 1%.

The goal is for the total ARR to reach more than $500 million by FY26.

The ASX tech share is also expecting to grow its profit before tax margin to 35% or more in the next few years. It was 31% in FY21.

There are three things that the company pointed to which could help with this.

It said that cost reductions reflect the efficiencies from the transition to SaaS.

There would be benefits from rebalancing investment and headcount from on-premise to growth areas.

Finally, it will maintain COVID-inspired remote implementations and digital user groups.

Betashares Asia Technology Tigers ETF (ASX: ASIA)

This is an exchange-traded fund (ETF) listed on the ASX which aims to give investors exposure to the Asian technology sector.

It holds 50 businesses in the Asian tech industry, outside of Japan.

BetaShares says that due to its younger, tech-savvy population, Asia is surpassing the West in terms of technological adoption and the sector is anticipated to remain a growth sector.

Some of the businesses in the ASX tech share’s portfolio includes Taiwan Semiconductor Manufacturing, Samsung electronics, Tencent, Alibaba, Meituan, Infosys, JD.com, Netease, Pinduoduo and SK Hynix.

There are four sectors that have a double-digit weighting in the ETF – internet and direct marketing retail (25.3%), semiconductors (22.3%), interactive media and services (17.7%) and tech hardware, storage and peripherals (13.7%).

The biggest four allocations geographically are: China (46.7%), Taiwan (24.1%), South Korea (17.8%) and India (7.2%).

It has been a rough last 12 months for the Betashares Asia Technology Tigers ETF share price. The ASIA ETF has dropped 34%, with the drop of the valuations of the underlying businesses.

The post Are these 2 ASX tech shares good buys in March? appeared first on The Motley Fool Australia.

More reading

• Check out these ETFs in March
• Why this top broker rates these ASX shares as buys in March
• 2 popular ETFs you need to know
• 3 fantastic ETFs for ASX investors today
• 3 ETFs for ASX investors to watch in 2022

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF. 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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What happens when one of the best ASX shares in your portfolio suddenly becomes a stinker?

This is the dilemma that the Market Matters team faced in its Emerging Companies Portfolio.

Investment distributor Pinnacle Investment Management Group Ltd (ASX: PNI) gave Market Matters a 258% return in 12 months when its share price peaked in November.

Nice.

But since then the stock has almost halved, going from above $19 to $10.10 at Thursday’s close.

Yikes.

Dramas for ASX shares in investment sector 

Market Matters portfolio manager James Gerrish explained that “all listed managers” in the investment sector had suffered in recent months.

But he believes Pinnacle is “somewhat different to the rest”, taking a stake and providing backend services in a very diverse universe of fund managers — equity, debt, local and international markets.

In a not-so-subtle reference to the misfortunes of Magellan Financial Group Ltd (ASX: MFG) shares, Gerrish pointed out Pinnacle is “not just reliant on one star manager investing in one asset class”.

“They have further capacity to scale up and with exposure across a variety of asset classes with a cross section of boutique managers,” he said in his newsletter.

“It’s likely to receive both a steady stream of performance fee and inflows in all market environments.”

Add to portfolio now

Market Matters analysts are, therefore, bullish on Pinnacle and currently seeking to add to the portfolio.

“Performance fees, in particular, provide a free kick for growth if/when they come,” said Gerrish.

“And with the core business already growing 10+% per annum, it’s hard not to like Pinnacle after this recent pullback.”

Capital H Management chief Harley Grosser told The Motley Fool last month that Pinnacle is one of the ASX shares he regretted not buying years ago.

“I think probably one that was in our wheelhouse that we missed because it was a bit big for us was Pinnacle Investment Management,” he said. 

“That’s one that we probably should have been more across.”

The post This ASX share just halved in price, so why is it time to buy? appeared first on The Motley Fool Australia.

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• Why Domino’s, Magellan, PointsBet, and Zip shares are falling
• Leading brokers name 3 ASX shares to sell today
• These were the worst performing ASX 200 shares last week
• Why Blackmores, BWX, Kogan, and Magellan shares are dropping
• Magellan (ASX:MFG) share price slips 6% as funds continue mass exodus

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. owns and has recommended PINNACLE FPO. The Motley Fool Australia owns and has recommended PINNACLE 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 pullback in ASX shares in recent months has seen some long-time reliables take big haircuts.

So some of those stocks that previously made long-term investors very wealthy are at discounted levels.

And many of those businesses have not changed. What they do, how they do it, customer demand, their balance sheets — none of those things have taken a hit due to inflation nor the war in Ukraine.

These experts have picked out 2 ASX shares to buy that are in exactly this position right now.

Seek-ing a bargain?

Ord Minnett senior investment adviser Tony Paterno loves how cheap Seek Limited (ASX: SEK) shares are right now.

The stock for the celebrated job-hunting website rocketed by more than 150% in just 20 months from its lowest point during the COVID-19 market crash.

But since its peak in November, the Seek share price has been caught up in the tech and growth stock correction.

It plummeted from above $36 to $28.12 at yesterday’s close.

Paterno was triggered by information out of Seek during the recent results season.

“The result and guidance upgrade has prompted us to increase our earnings estimates for the recruitment portal, driven by continuing strength in the Australasian market,” he told The Bull.

“We expect Seek to continue extracting value during the next 12 to 18 months.”

Even after the latest dip, Seek shares have returned more than 340% over the past 10 years.

Buying opportunity for a stellar performer

Industrial real estate manager Goodman Group (ASX: GMG) has been a darling share in recent years.

By the end of last year, it had climbed by more than 138% in the 21 months since its coronavirus market trough.

But Goodman shares have plunged 17% this year.

Medallion Financial Group director Philippe Bui can’t understand the negative sentiment.

“Across the board, the first half 2022 result looked impressive,” he said.

“Management of this global industrial property group has upgraded guidance for fiscal year 2022.”

This makes the current discounted share price a golden buying opportunity.

“In our view, Goodman is a business with a strong balance sheet and growth prospects,” he said.

“Operating earnings per share growth is projected to be 20%. Potential for continuing margin expansion is also positive.”

Goodman shares have almost tripled over the past 5 years, going from mid-$7s to $22.19 at yesterday’s close.

The post 2 long-term ASX stars now cheap enough to buy: experts appeared first on The Motley Fool Australia.

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• Analysts name 3 ASX 200 shares with potential upside of 20%+
• 2 blue chip ASX 200 shares analysts rate as buys
• Analysts name 2 ASX 200 blue chip shares to buy

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

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Some ASX shares have compelling growth potential and are benefiting from structural growth or from specific company plans.

Businesses that utilise technology can produce above-average margins, which can help profit growth and perhaps boost the shareholder returns.

These two ASX share investments could be compelling in the coming years:

Betashares Global Cybersecurity ETF (ASX: HACK)

This is an exchange-traded fund (ETF) that is all about the businesses which operate in the global cybersecurity space.

Between 2017 and 2023, the global cybersecurity market is expected to grow from US$137.6 billion to US$248.3 billion. As the amount of cybercrime increases and the level of important information online grows, there is an increasing need for cyber protection.

BetaShares says that demand for cybersecurity services is expected to grow strongly for the foreseeable future.

For an annual cost of 0.67%, investors can get exposure to the 35 businesses in the portfolio. Some examples of the businesses in the portfolio include: Palo Alto Networks, Cisco Systems, Crowdstrike, Accenture, Check Point Software and Cloudflare.

Past performance is not a reliable indicator of future performance. However, over the last five years it produced an average return per annum of 20.3% to 31 January 2022.

Airtasker Ltd (ASX: ART)

Airtasker is a fast-growing platform ASX share. It enables people and businesses who need work doing to connect with people willing to do the work.

The business showed a strong recovery in the second quarter of FY22 after lockdowns ended in Melbourne and Sydney. Second-quarter gross marketplace volume (GMV) was up 39% quarter on quarter to $48.6 million, whilst the second-quarter revenue rose 37.5% quarter on quarter to $8.1 million. A record weekly GMV run rate of $4.5 million was achieved in December.

Internationally, the business is growing even quicker in the much larger markets of the US and the UK. The US posted task growth of 71% quarter on quarter and the UK saw quarterly GMV growth of 121%.

The business is also benefiting from an increase in the average task value, in the second quarter it rose 24% year on year to $255.

Airtasker has a high gross profit margin, allowing it to re-invest most of the new revenue into new marketing and other growth expenditure.

The business pointed out that in Australia it only has a 0.3% market share of a $52 billion local services market, generating $153 million of GMV in FY21. If it were to capture the same 0.3% in UK and USA, that would mean GMV of $210 million and $1.5 billion respectively from each of those markets.

In the US, the company is focused on a few key cities, being Dallas, Atlanta, Kansas City and Miami.

The post 2 compelling ASX shares expecting big growth this decade appeared first on The Motley Fool Australia.

More reading

• Why is this leading ASX ETF suddenly in the spotlight?
• Top brokers name 3 ASX shares to buy next week
• 2 exciting tech ETFs for your watchlist
• 2 exciting ASX growth shares for March 2022
• Airtasker (ASX:ART) share price falls 4% amid half-year plagued by COVID

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 BETA CYBER ETF UNITS. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Airtasker Limited. The Motley Fool Australia owns and has recommended BETA CYBER ETF UNITS. 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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If you’re looking for dividend shares to buy then you may want to look at the ones below that brokers are recommending.

Here’s what brokers are saying about these ASX 200 dividend shares:

National Australia Bank Ltd (ASX: NAB)

The first ASX 200 dividend share to look at is banking giant NAB. It could be a top option in the sector thanks to its strong position in business banking, which is performing far better than retail banking at present. It was thanks largely to this side of the business that NAB delivered a 9.1% increase in cash earnings during the first quarter.

In addition, the bank is aiming to boost its consumer banking offering through acquisitions. This includes the recently completed acquisition of digital bank 86 400 and the proposed acquisition of Citigroup’s Australian consumer business. The team at Bell Potter expect these to allow the bank to “achieve scale in digital and consumer banking offerings.”

Its analysts remain very positive on NAB and currently have a buy rating and $32.50 price target on its shares. The broker has also pencilled in fully franked dividends per share of 132.5 cents in FY 2022 and then 134.5 cents in FY 2023. Based on the current NAB share price of $29.11, this equates to yields of 4.55% and 4.6%, respectively.

Transurban Group (ASX: TCL)

Another ASX 200 dividend share to consider is toll road giant Transurban. It could be a top long term option for investors thanks to its portfolio of key roads in the Australia and North America markets and its development projects. The latter look likely to underpin solid growth over the next decade.

Analysts at Morgans are positive on Transurban. This is due largely to its exposure to a number of factors which are expected to boost traffic on its roads. These include employment and population growth, urbanisation, and the value of time.

Morgans has an add rating and $14.29 price target on its shares. As for dividends, it is forecasting dividends per share of 35 cents in FY 2022 and then 55.3 cents in FY 2023. Based on the current Transurban share price of $12.58, this implies yields of 2.8% and 4.4%, respectively.

The post Why brokers rate these ASX 200 dividend shares as buys appeared first on The Motley Fool Australia.

More reading

• Australia’s newest tech unicorn, Zeller, is taking on the ASX banks. Here’s how
• Why did the NAB (ASX:NAB) share price leap 7% in February?
• ‘A lot of headroom to grow’: Is 2022 the year ASX investors turn to ESG shares?
• Own NAB (ASX:NAB) shares? Here’s why the bank has been ruffling some customer feathers
• Which new investments are predicted to help the AFIC (ASX:AFI) share price and dividends?

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

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On Thursday, the S&P/ASX 200 Index (ASX: XJO) was on form again and pushed higher. The benchmark index rose 0.5% to 7,151.4 points.

Will the market be able to build on 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 in a disappointing fashion. According to the latest SPI futures, the ASX 200 is expected to open the day 44 points or 0.6% lower this morning. This follows a mixed night on Wall Street, which in late trade sees the Dow Jones up 0.3%, the S&P 500 trading flat, and the Nasdaq down 0.9%.

CSL acquisition update

The CSL Limited (ASX: CSL) share price will be on watch on Friday. This follows the release of an update on its proposed acquisition of Vifor Pharma after the market close on Thursday. According to the release, following a public tender offer, 74% of Vifor shares have been tendered. While this was short of its target, CSL has decided to waive the original 80% acceptance rate condition and declare the offer successful. This puts the acquisition on course to complete mid-2022.

Oil prices ease

Energy producers including Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could have a subdued finish to the week after oil prices eased. According to Bloomberg, the WTI crude oil price is down 1.1% to US$109.48 a barrel and the Brent crude oil price is down 0.6% to US$112.28 a barrel. Oil prices hit 2008 highs before paring their gains.

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 pushed higher. According to CNBC, the spot gold price is up 0.7% to US$1,935.7 an ounce. The Russia-Ukraine crisis boosted the appeal of the safe haven asset.

Xero shares given buy rating

The Xero Limited (ASX: XRO) share price remains in the buy zone according to the team at Goldman Sachs. This morning the broker retained its buy rating but trimmed its price target to $135.00. Despite the price target reduction, it still implies potential upside of 35% for investors over the next 12 months.

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

More reading

• Here are the top 10 ASX shares today
• The Woodside (ASX:WPL) share price has smashed at least 8 52-week highs in the last month. What’s next?
• Santos (ASX:STO) share price rockets to a new 52-week high. Here’s why
• Looking for ASX shares in these uncertain times? Top broker says these sectors are now ripe for the picking
• Are ASX green energy shares losing their appeal amid rising oil and gas prices?

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 CSL Ltd. and Xero. The Motley Fool Australia owns and has recommended Xero. 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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There are a lot of exchange traded funds (ETFs) for investors to choose from on the Australian share market.

But which ETFs should you focus on? Listed below are three excellent ETFs that could be worth getting better acquainted with in March. Here’s what you need to know about them:

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The first ETF to look at is the BetaShares Asia Technology Tigers ETF. This popular ETF gives investors exposure to the growing Asian economy through a number of the most promising tech shares in the region. This means you’ll be owning a slice of companies such as ecommerce giants Alibaba, Meituan Dianping, and Pinduoduo, as well as search engine company Baidu and WeChat owner Tencent.

BetaShares Crypto Innovators ETF (ASX: CRYP)

Another ETF to look at is the BetaShares Crypto Innovators ETF. It could be worth considering if you’re interested in gaining indirect exposure to cryptocurrencies. BetaShares highlights that the ETF allows investors to access the growth potential of the crypto economy through exposure to a portfolio of companies at the forefront of the crypto world. This includes crypto trading platforms, crypto mining and mining equipment companies, and other companies servicing crypto-markets. Coinbase, Silvergate, and Riot Blockchain are among the ETF’s holdings.

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

A final ETF to look at in March is the VanEck Vectors Morningstar Wide Moat ETF. This Warren Buffett inspired ETF focuses on companies with sustainable competitive advantages. This is a key feature that Mr Buffett looks for when making his investments. And given his success, it’s hard to argue against this. The ETF currently contains almost 50 attractively priced shares, including the likes of Alphabet (Google), Altria, Amazon, Boeing, Coca Cola, Intel, Kellogg Co, and Walt Disney.

The post Check out these ETFs in March appeared first on The Motley Fool Australia.

More reading

• 3 excellent ETFs for ASX investors to look at in March
• 2 popular ETFs you need to know
• 2 exciting tech ETFs for your watchlist
• 2 quality ASX shares that have been sold-off
• 2 intriguing ETFs for ASX investors to watch

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 Betashares Crypto Innovators ETF. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF and VanEck Vectors Morningstar Wide Moat ETF. 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 Telstra Corporation Ltd (ASX: TLS) share price lost ground today. It came amid the company signing a new satellite partnership with OneWeb to explore low earth orbit satellite communications.

Telstra shares finished the day at $3.91, a 0.76% fall. In contrast, the S&P/ASX 200 Index (ASX: XJO) climbed 0.49% today. However, it was broadly in line with the S&P/ASX 200 Communication Services Index (ASX: XTJ), which fell 0.59%.

Let’s take a look at what is happening at the telecommunications giant.

New satellite deal

Telstra announced the new deal overnight at Mobile World Congress in Barcelona. The telco signed a non-exclusive memorandum of understanding with OneWeb.

OneWeb is a global company that currently has 428 satellites in low orbit.

Commenting on the deal, Telstra networks and IT group head Nikos Katinakis said:

Working with OneWeb could allow us to boost connectivity in hard-to-reach places across rural and regional Australia with a combination of our mobile network and OneWeb’s Low Earth Orbit (LEO) satellite technology.

It also opens the possibility of bringing high-speed, low latency connectivity from space, as well as support enterprise and small businesses across Australia and improve the resilience of our existing network.

The Telstra share price was one of the most heavily traded ASX 200 shares on the market on Thursday. More than 33,000 shares swapped hands on the market in one day. As my Foolish colleague Aaron reported, the company’s shares traded ex-dividend on Wednesday.

Meanwhile, speaking from Barcelona, Telstra CEO Andy Penn highlighted how the company is helping people impacted by the Ukraine crisis.

In the Ukraine, obviously some just some terrifying images. And I know our hearts go out to all of the people in the Ukraine, and also those with family and friends in Ukraine.

We’ve provided free calls to people in Ukraine and we are adding roaming now, and we are adding free data as well for people who are impacted here. We just want to do everything we can to support people. But it’s obviously a very concerning time.

Telstra share price snapshot

The Telstra share price has gained nearly 26% over the past year, while it has fallen 6% this year to date.

For perspective, the benchmark ASX 200 has returned nearly 5% over the past year.

Telstra has a market capitalisation of about $46 billion based on its current share price.

The post Telstra (ASX:TLS) share price in the red amid new satellite deal appeared first on The Motley Fool Australia.

More reading

• Here are the 3 most heavily traded ASX 200 shares this Thursday
• Battle for 5G: here’s why Telstra (ASX:TLS) is ruffling feathers of its rival
• These 3 ASX 200 shares are topping the volume charts on Wednesday
• What’s with the Telstra (ASX:TLS) share price today?
• 5 things to watch on the ASX 200 on Wednesday

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 has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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