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The Polynovo Ltd (ASX: PNV) share price has continued to decline despite the company reporting positive numbers in mid-January.

While the medical device company’s shares rose 2.33% to $1.315 yesterday, it hasn’t been so great in 2022. In fact, for the past 6 weeks (year to date), Polynovo shares have tumbled by almost 14%.

Below, we take a look at what is impacting the company’s share price of late.

Polynovo shares in top 10 open ASX short positions

The investor sentiment on the Polynovo share price has been negative due to the inconsistent performance of the business. This has ultimately attracted a large number of short sellers to the company’s registry.

Short-selling is a common trading strategy that aims to profit from the fall in the price of a security. The goal is for an investor to first borrow and sell the shares, and then buy them back at a lower price for a profit.

Last week, the Australian Securities & Investments Commission (ASIC) released its short position report revealing the level of short interest within companies.

As such, Polynovo remained in the top 10 list with 8.89% of its shares being heavily shorted by investors.

In comparison, the government body had a short interest of 3.65% in Polynovo last year on 4 February.

Given the large increase in short positions being taken up, it appears investors believe the company’s performance will be underwhelming.

Polynovo is scheduled to release its FY22 half-year results within the next two weeks.

Polynovo share price snapshot

Over the past 12 months, the Polynovo share price has continued its downward trend to post a 50% loss.

In comparison, the S&P/ASX 200 Healthcare (ASX: XHJ) sector has lost around 5% in the same time frame.

It’s worth noting that Polynovo shares hit a multi-year low of $1.185 late last month. This is a huge difference from when its shares were trading above the $4 mark in December 2020.

Polynovo presides a market capitalisation of about $870.12 million and has approximately 661.69 million shares outstanding.

The post The company’s last update was positive, so why are Polynovo (ASX:PNV) shares still among the most shorted on the ASX? appeared first on The Motley Fool Australia.

More reading

• These are the 10 most shorted ASX shares
• These are the 10 most shorted ASX shares
• Polynovo (ASX:PNV) share price melts 31% in 2 weeks. What’s going on?
• These are the 10 most shorted ASX shares
• These were the worst performing ASX 200 shares last week

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. owns and has recommended POLYNOVO 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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It’s funny how when we have a market downturn, everyone suddenly starts talking about value investing and ASX value shares. Value investing is often touted as one of the great investing strategies to follow, together with ‘growth investing and even ‘dividend investing’. But what exactly is value investing, and why does it suddenly seem all the rage?

Value investing is perhaps most closely associated with the legendary investor Warren Buffett. It’s a strategy that Buffett has used and honed over decades, and one he credits with building his vast fortune through the now-gigantic investing conglomerate that he runs, Berkshire Hathaway Inc (NYSE: BRK.A)(NYSE: BRK.B).

We’d probably all be familiar with some of the famous quotes Warren Buffett has given investors over the years. But some sum value investing up quite nicely. “Price is what you pay, value is what you get” is one. “Be fearful when others are greedy, and be greedy when others are fearful” is another.

At its core, value investing involves assessing the value of a company (using fundamental analysis) through your own lens. Then comparing it to the value that the market is placing on it. If your valuation is far higher than what the market thinks, you might be onto a winner. Conversely, if the market is pricing a share well above your own valuation, it might be time to sell under a value investing framework.

What would Buffett do?

Indeed, Buffett’s right-hand man at Berkshire, Charlie Munger, once described value investing as ‘the only type of successful investing’:

I think all successful investment is value investing in the sense that you’re trying to get better prospects than you’re paying for… There’s no great company that can’t be turned into a bad investment, just by raising the price.

That contrasts to growth investing, which many investors might define as buying a fast-growing company and holding on (apologies for the gross oversimplification). This has been the style of investing that has arguably been the most popular over the past decade. Many investors have enjoyed eye-watering returns from ‘growth shares’ such as Amazon.com Inc (NASDAQ: AMZN) and Tesla Inc (NASDAQ: TSLA). And, here on the ASX, companies like Pro Medicus Limited (ASX: PME).

Indeed, over the past 10 years, S&P Dow Jones Indices tells us that the S&P/ASX 200 Growth Index has returned an average total return of 11.28% per annum. In contrast, the S&P/ASX 200 Value Index has managed a total return average of 8.36% per annum over the same period.

Growth Investing vs. Value Investing…

As my Fool colleague Bernd covered earlier this week, this was probably assisted by the descent into a near-zero interest rate environment that we’ve seen over the past few years. He covered how a couple of expert investors are seeing the return of higher rates as an opportunity to get back into ASX value shares and fundamental analysis territory.

So it might be for that reason that many investors’ attention is now turning to the value side of life. Most investors agree that the period of near-zero interest rates is rapidly drawing to a close. Our own Reserve Bank of Australia (RBA) is estimating a rate hike in 2023. But many expect one later this year. And we’ve already seen a savage selloff in many winners-until-recently companies that could be described as ‘growth shares’. Think Block Inc (ASX: SQ2) or WiseTech Global Ltd (ASX: WTC). Or perhaps REA Group Ltd (ASX: REA).

Perhaps we’re in a Brave New World here in 2022.

The post What exactly is an ASX value share and why is everyone talking about them? appeared first on The Motley Fool Australia.

More reading

• Brokers tip NAB (ASX:NAB) share price to storm to a new 52-week high
• 2 buy-rated ASX dividend shares with 4%+ yields
• IAG (ASX:IAG) share price on watch amid earnings miss but guidance upgrade
• Is the Pushpay (ASX:PPH) share price a post-COVID buy?
• After a disastrous 2021, the Zip (ASX:Z1P) share price has tumbled another 30%. What’s going on?

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Motley Fool contributor Sebastian Bowen owns Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Block, Inc., Pro Medicus Ltd., and WiseTech Global. The Motley Fool Australia owns and has recommended Pro Medicus Ltd. and WiseTech Global. The Motley Fool Australia has recommended Amazon, Berkshire Hathaway (B shares), and 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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The National Australia Bank Ltd (ASX: NAB) share price was a strong performer on Thursday.

The banking giant’s shares rose 4.5% to finish the day at $29.67 after the market responded very positively to its first quarter update.

This leaves the NAB share price trading within sight of its 52-week high of $30.30.

Can the NAB share price keep rising?

The good news for shareholders is that a couple of leading brokers believe the NAB share price can keep rising to a new high.

According to a note out of Bell Potter, its analysts have retained their buy rating and lifted their price target on the bank’s shares to $32.50.

Based on the current NAB share price, this implies potential upside of 9.5% over the next 12 months. In addition, the broker is forecasting a 4.3% dividend yield over the period, which brings the total potential return on offer to almost 14%.

Who else is positive?

Another broker that is positive on the NAB share price is Goldman Sachs. This morning its analysts retained their conviction buy rating and lifted their price target to $31.33.

Goldman was impressed with NAB’s performance during the quarter and notes that its result was ahead of expectations.

The broker explained: “NAB’s 1Q22 cash earnings from continuing operations were up 12% on the previous period average to A$1.80 bn, 6% ahead of what was implied by our previous 1H22E forecasts (stronger revenues and lower BDDs), with PPOP coming in 2% ahead. CET1 ratio of 12.4% was broadly consistent with our forecasts.”

Goldman also notes that NAB remains its preferred sector exposure. This is due to its strong position in business banking, good balance sheet momentum, and the progress of its cost management initiatives. Its analysts believe that as the latter “seem further progressed relative to most of its peers, [they] have freed up investment spend to be more directed towards customer experience.”

All in all, both brokers don’t appear to believe it is too late to invest in NAB’s shares.

The post Brokers tip NAB (ASX:NAB) share price to storm to a new 52-week high appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Why AMP, AVZ, Megaport, and NAB shares are pushing higher
• NAB (ASX:NAB) share price jumps after scintillating quarter
• Shareholders are happy with the NAB (ASX:NAB) earnings beat. But what do analysts say?
• ASX 200 (ASX:XJO) midday update: NAB impresses, ASX CEO to retire before CHESS replacement completes

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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Listed below are two ASX dividend shares that analysts have recently rated as buys.

Here’s why they could be top options for income investors right now:

Charter Hall Social Infrastructure REIT (ASX: CQE)

The first ASX dividend share for income investors to consider is the Charter Hall Social Infrastructure REIT. It is the largest Australian ASX-listed real estate investment trust (A-REIT) that invests in social infrastructure properties such as government facilities, healthcare buildings, and childcare centres.

The company has been adding to its portfolio again in FY 2022, which is strengthening its offering and positioning it perfectly for long term rental growth. Especially with its ultra long leases and high portion of fixed rent reviews.

In addition, the company has been tipped to reward shareholders with generous dividends in the coming years. A note out of Goldman Sachs reveals that its analysts expect dividends per share of 17.1 cents in FY 2022 and 17.5 cents in FY 2023. Based on its current share price of $3.93, this implies yields of 4.35% and 4.45%, respectively.

Goldman currently has a conviction buy rating and $4.17 price target on its shares.

Westpac Banking Corp (ASX: WBC)

Another ASX dividend share that could be in the buy zone is Westpac. Although its shares have recovered strongly from their recent lows following a series of decent updates in the sector, the team at Morgans doesn’t believe it is too late to invest.

According to a recent note, the broker has reiterated its add rating and $29.50 price target. This compares favourably to the latest Westpac share price of $22.62.

Morgans believes the market is being too negative on Westpac’s outlook and expects it to re-rate higher as things improve and its cost base reduction plans start to take shape.

As for dividends, the broker has pencilled in fully franked dividends per share of $1.19 in FY 2022 and then $1.60 in FY 2023. This will mean yields of 5.25% and 7.1%, respectively.

The post 2 buy-rated ASX dividend shares with 4%+ yields appeared first on The Motley Fool Australia.

More reading

• Will Westpac (ASX:WBC) shares give ASX 200 investors a dividend raise in 2022?
• Rising tide? Here’s why ASX 200 bank shares are having such a good run today
• ‘Future-ready’: Westpac (ASX:WBC) share price lifts following Microsoft partnership
• Here’s why the Westpac (ASX:WBC) share price isn’t a value trap
• Expert tips 3 leading ASX 200 shares to buy on the dip

Motley Fool contributor James Mickleboro owns Westpac Banking Corporation. 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 Westpac Banking Corporation. 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 Insurance Australia Group Ltd (ASX: IAG) share price will be on watch on this morning.

This follows the release of the insurance giant’s half year results.

IAG share price on watch after earnings tumble

• Revenue down 4.4% to $9,233 million
• Gross written premium (GWP) up 6.2% to $6,570
• Insurance profit down 57.8% to $282 million
• Cash earnings down 62% to $176 million
• Reported insurance margin down 10.8 percentage points to 7.1%
• Interim dividend down 14.3% to 6 cents per share

What happened during the half?

For the six months ended 31 December, IAG reported a 4.4% increase in revenue to $9,233 million but a 62% decline in cash earnings to $176 million. The latter falls well short of the consensus estimate of $285 million, which may not bode well for the IAG share price on Friday.

Management advised that this reflects the impact of a lower underlying insurance margin, higher net natural perils claims costs, a net strengthening of prior year reserves, and a lower gain from the narrowing of credit spreads.

This offset a 6.2% improvement in its GWP to $6,570 million, which was driven by a range of factors. These include higher premium rates and volume growth across personal short-tail classes in Direct Insurance Australia (DIA), significant premium rate increases in Intermediated Insurance Australia (IIA), and a combination of higher premium rates and good retention levels across all key portfolios.

In light of its softer performance, the IAG board has elected to cut its interim dividend to 6 cents per share. This represents the insurance company’s lowest interim dividend in a decade.

Outlook

One thing that could lend some support to the IAG share price today was management’s outlook for the full year.

Following stronger than expected GWP growth in the first half and ongoing supportive economic conditions, IAG has upgraded its GWP guidance from low to mid single-digit growth and reaffirmed its reported insurance margin guidance of 10% to 12%.

Management notes that the latter aligns to its aspirational goal to achieve a 15% to 17% insurance margin over the medium term.

The post IAG (ASX:IAG) share price on watch amid earnings miss but guidance upgrade appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Could IAG (ASX:IAG) shares become suddenly sexy amid rising interest rates?
• Own IAG (ASX:IAG) shares? Here’s what to expect when it reports next week
• Why did the IAG (ASX:IAG) share price slump to fresh, 9-year lows today?
• Here’s what 67% of brokers think of the current IAG (ASX:IAG) share price

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 Insurance Australia 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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Is the Pushpay Holdings Ltd (ASX: PPH) share price a post-COVID opportunity?

Pushpay shares have actually dropped by 21% since the start of the year and 38% in the past six months.

What is Pushpay?

It’s an ASX tech share that provides a donor management system, including donor tools, finance tools and a custom community app, a church management system and video streaming solutions predominately to the faith sector in the US.

Not only is there the Pushpay business, but it also owns Church Community Builder as well as Resi Media. Church Community Builder provides a software as a service (SaaS) church management system that churches use to connect and communicate with their community members, record member service history, track online giving and perform a range of administrative functions.

Resi is a SaaS company that provides live video streaming solutions. It largely services the faith sector, but also services commercial, non-profit organisations as well as education providers.

What has happened to the Pushpay share price?

Pushpay was one of the beneficiaries of the changes from the COVID-19 pandemic. The ASX tech share provides donation capabilities for people to give money electronically. Social distancing and lockdowns resulted in more donations being sent electronically.

But now the business is reporting that its growth rate in FY22 is slowing compared to 2021 and the affected months during 2020.

Pushpay’s FY21 revenue rose 39% to US$181.1 million and the net profit rose by 95% to US$31.2 million. In the FY22 half-year result, revenue grew by 9% to US$93.5 million and net profit after tax went up 43%.

Is life returning to normal hurting the company?

In the HY22 result, Pushpay said that despite pressures that have been felt globally from the COVID-19 environment, the ASX share has not seen any material change in digital giving reverting to non-digital means.

To management, this indicated that its customers in the US in the faith sector may have undergone a fundamental technological shift because of what’s happening. Indeed, customers are accelerating the option of technology because of the COVID environment.

Is the Pushpay share price an opportunity?

The company is continuing to focus on sustainable growth, refining its strategies that would enable the company to “realise its considerable potential over the long-term”.

The ASX share expects to see continued growth through further expansion of its existing suite of solutions, providing bundled product offerings to existing customers, the products utilised by customers, while also attracting new customers and expanding its reach into new segments. Resi Media provides an opportunity for material synergy opportunities through product bundling and integration.

It has plans to expand in the Catholic segment and also keep growing profit margins thanks to operating leverage. In HY22, the Pushpay gross profit margin increased from 68% to 69%.

Commsec numbers put the Pushpay share price at 17x FY24’s estimated earnings.

The post Is the Pushpay (ASX:PPH) share price a post-COVID buy? appeared first on The Motley Fool Australia.

More reading

• 2 fast-growth ASX shares with major plans
• Here’s why the Pushpay (ASX:PPH) share price could be significantly undervalued

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 PUSHPAY FPO NZX. The Motley Fool Australia owns and has recommended PUSHPAY FPO NZX. 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 Zip Co Ltd (ASX: Z1P) share price has suffered through the start of 2022 despite only seemingly good news from the company hitting the market.

As of Thursday’s close, the Zip share price is $3.07. That’s 0.65% lower than its previous close and 29% lower than its final close of 2021.

That’s a rough trot on any day of the week. However, it might appear particularly devastating on the back of Zip’s stock’s 18% tumble in 2021.

Let’s take a look at what the company’s been up to this year.

What’s been driving the Zip share price in 2022?

The buy now, pay later (BNPL) giant just can’t seem to get a break this year.

It’s released record quarterly earnings, tantalised the market with major acquisition talks, and taken out the crown as the biggest pureplay BNPL stock.

That’s right, when Afterpay delisted following its takeover by Block Inc (NYSE: SQ) – formerly named Square – Zip became the ASX top BNPL dog.

Though, the shadow of the ASX’s former favourite was left on the exchange in the form of Block Inc CDI (ASX: SQ2).

Additionally, in January Zip announced its transaction volumes increased 53% in the 3 months ended 31 December 2021 compared to the same period of 2020.

All up, it saw $2.6 billion worth of transactions in the December quarter, with a 57% jump in customers driving the increase.

Finally, Zip admitted it was pushing to acquire fellow ASX-listed BNPL company Sezzle Inc (ASX: SZL) late last month.

However, the company was careful not to get the market’s hopes up over another ASX BNPL takeover. It was clear there was no guarantee the companies would come to an agreement.

But none of that has slowed the Zip share price’s tumble.

What could be weighing on Zip in 2022?

The Zip share price could be suffering on the sentiment of the BNPL market.

Some experts are questioning the BNPL industry’s future while others question the outlook for the entire tech sector.  

Speaking of the tech sector, the S&P/ASX 200 Info Tech Index (ASX: XIJ) and the S&P/ASX All Technology Index (ASX: XTX) are struggling in 2022. They’ve fallen 17% and 15% respectively year to date.

Meanwhile, the stock remains one of the ASX’s most shorted. It had a 10% short interest as of The Motley Fool Australia’s most recent weekly update.

Though, not all are bearish on the Zip share price. As The Motley Fool Australia’s Tristan Harrison recently reported, Ord Minnett has slapped it with a price target of $6.

The post After a disastrous 2021, the Zip (ASX:Z1P) share price has tumbled another 30%. What’s going on? appeared first on The Motley Fool Australia.

More reading

• The Zip (ASX:Z1P) share price has 100% upside – broker
• These are the 10 most shorted ASX shares
• BNPL ASX shares in for a ‘tough time’: expert
• Some BNPL shares finished a horror week on a high. Why?
• Why did ASX 200 tech shares get annihilated today?

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Block, Inc. and 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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The hottest new asset class at the moment, non-fungible tokens (NFTs), is set to become a standard part of everyone’s investment portfolios within the next few years.

That’s according to deVere Group chief Nigel Green, who noted big-name corporations have started to get in on the action.

“Over the last year, the NFTs market has exploded, with a digital-only piece of art selling for US$69 million in 2021,” he said.

“Since then, an ever-growing number of celebrities and artists, and fashion, music, tech and sports brands have been creating, buying and selling tokens.”

What are NFTs?

An NFT is a digital asset that represents ownership, or more accurately custodianship, of a real-world video, photo, artwork or even real estate.

The NFT is recorded on the blockchain, which is the same technology involved in cryptocurrencies.

The “non-fungible” part means that all NFTs are unique and have different values.

Fungible assets like cash and cryptocurrencies are all exchangeable for one another — that is, one Bitcoin (CRYPTO: BTC) is always the same as another Bitcoin.

But NFTs represent different items in the physical world, so no two are equivalent.

NFTs, its proponents argue, democratise the exchange of art and real estate by cutting out the middleman. 

It can also divide ownership of a real world item that can’t otherwise be fractionaised, such as a house.

NFTs coming into the mainstream

The extraordinary prices fetched by some artworks through NFTs have made plenty of headlines the past couple of years.

Critics have argued that this is a fad that has turned into a bubble.

But Green noted that big-brand corporations have now started protecting their assets in the NFT world.

Both Nike and Hermès recently filed lawsuits against NFT dealers for appropriating their brands.

According to Green, 3 reasons are driving the adoption of NFTs, especially among younger investors.

“First, this new digital asset class has value due to the blistering pace of the digitalisation of our world,” he said.

“Millennials and Gen Z especially have digital lives and it’s natural to want to take digital representations of, say, luxury brands, music, sport and art into these worlds.”

Secondly, NFTs are providing an outlet for creative sectors to become more financially profitable.

“Artists and musicians, for example, can provide enhanced virtual experiences for collectors and buyers, they can prove if their works are counterfeited, and they can include criteria to get royalties every time their works are re-sold in the future.”

NFT prices have held firm while stocks and cryptos have plunged

And finally, NFTs have proven to be a tool of diversification within investment portfolios.

“NFTs have a very low correlation to other assets, such as stocks and bonds, and can, therefore, lower your portfolio’s overall risk and volatility levels.”

Indeed, during the downward spiral of share and crypto markets in the past 6 weeks, NFTs have held their value.

“I believe 2022 will be the breakout year for NFTs and, due [to] the diversifier factor, within 5 years the decade’s hottest emerging asset class will become a standard feature of investment portfolios.”

The post NFTs will be standard in investment portfolios within 5 years: expert appeared first on The Motley Fool Australia.

More reading

• 2 ASX dividend shares giving investors steady payrises
• Here are 3 highly rated ASX growth shares
• 5 things to watch on the ASX 200 on Friday
• 3 buy-rated ASX growth shares to make you smile
• Telstra (ASX:TLS) targets government’s deep cyber-crime pockets

Motley Fool contributor Tony Yoo owns Bitcoin. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Bitcoin. The Motley Fool Australia owns and has recommended Bitcoin. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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ASX dividend shares could be the answer to boosting income in this low interest rate environment.

Interest rates are expected to rise. But even a 1% rise from where things are today would still end up being a low interest rate for people wanting to earn some money from cash in the bank.

ASX dividend shares have the capability of producing a higher yield and also delivering growth.

Brickworks Limited (ASX: BKW)

Brickworks is one of the ASX dividend shares with the longest-running streaks of reliability. It hasn’t cut its dividend for at least four decades. In-fact, that streak is getting pretty close to five decades.

Using the last 12 months of dividends, the Brickworks grossed-up dividend yield is 3.9%. That yield has been boosted for prospective investors. The Brickworks share price dropped by around 8% over the last month.

The business is well known for its building products divisions in Australia (and the US). It’s Australia’s biggest brickmaker and also has strong market positions in other areas like masonry and roofing.

But other segments fund the dividend. One is its investment division, which has been providing earnings stability and growing dividends for decades.

The other division is the industrial property trust which it owns 50% with partner Goodman Group (ASX: GMG) owning the other half.

This property trust has a long pipeline of projects that it’s working on. It is expecting significant development profits. In the second half of FY22 it’s expecting to complete developments in Sydney and Brisbane which will add to its rental profit and boost the cashflow which funds dividends.

The ASX dividend share has lengthened its development pipeline by announcing the release of 75 hectares of land at Oakdale East in Sydney. There is “unprecedented” demand for industrial development as more companies look for e-commerce and logistics facilities.

Rural Funds Group (ASX: RFF)

Rural Funds is a growing real estate investment trust (REIT) in the agricultural landlord space.

It owns a portfolio of different farm types including cattle, almonds, macadamias, vineyards and cropping (sugar and cotton).

The business aims to grow its distribution by 4% per annum. It has been successful with this objective every year since it listed several years ago.

Organic growth of distributions is funded by contracted rental increases (linked to CPI inflation or a fixed annual increase) as well as productivity improvement investments. Rural Funds puts some money towards improving its farms to make them more productive for the tenant, produce more rental income and theoretically increase the value of the land.

It has a number of large tenants including Olam, JBS, Select Harvests Limited (ASX: SHV) and Treasury Wine Estates Ltd (ASX: TWE).

Rural Funds has provided distribution guidance of 11.73 cents per unit in FY22. That translates into a distribution yield of 3.9% from the ASX dividend share.

The post 2 ASX dividend shares giving investors steady payrises appeared first on The Motley Fool Australia.

More reading

• 2 ASX shares that could be great buys in February 2022
• 2 top ASX dividend shares for income investors
• 2 ASX dividend shares now offering big yields
• Is the Brickworks (ASX:BKW) share price a smart buy in this volatility?
• Dividend investors should put these 2 top ASX shares on the watchlist

Motley Fool contributor Tristan Harrison owns RURALFUNDS STAPLED. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Brickworks. The Motley Fool Australia owns and has recommended Brickworks and RURALFUNDS STAPLED. 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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Are you interested in adding some ASX growth shares to your portfolio today? If you are, you may want to look at the ones listed below.

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

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The first growth share to consider is an ETF that allows investors to buy many of the Asian region’s best growth shares. The BetaShares Asia Technology Tigers ETF is home to ~50 companies such as Alibaba, JD.com, Netease, Pinduoduo, Samsung, Taiwan Semiconductor, and Tencent. BetaShares notes that due to the region’s younger, tech-savvy population, Asia is surpassing the West in terms of technological adoption and the sector is anticipated to remain a growth sector for some time.

IDP Education Ltd (ASX: IEL)

Another ASX growth share to look at is IDP Education. It is a provider of international student placement services and English language testing services. It was hit hard during the pandemic but has bounced back strongly in FY 2022. For example, earlier this week, IDP delivered a 47% increase in first half revenue to a record of $397 million and a 70% lift in net profit after tax to $52.9 million. This was despite parts of the company still suffering from COVID restrictions. Macquarie was pleased with its performance. In response, it put an outperform rating and $35.00 price target on its shares.

Symbio Holdings Limited (ASX: SYM)

A final ASX growth share to look at is Symbio. Formerly known as MNF Group, Symbio develops and operates a global communications network and software suite. This suite allows many of the world’s leading tech innovators to deliver new-generation communications solutions to their customers. This includes giants such as Google, Twilio, and Zoom. Overall, Symbio appears well-placed for growth over the long term thanks to favourable industry tailwinds and trends, its expansion across Asia, and M&A opportunities. Ord Minnett currently has a buy rating and $7.90 price target on its shares.

The post Here are 3 highly rated ASX growth shares appeared first on The Motley Fool Australia.

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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 Idp Education Pty Ltd and Symbio Holdings Limited. The Motley Fool Australia owns and has recommended Symbio Holdings Limited. 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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