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The Northern Star Resources Ltd (ASX: NST) share price is shining bright today.

Shares in the S&P/ASX 200 Index (ASX: XJO) gold miner closed yesterday trading for $12.08. As we head into the lunch hour on Wednesday, shares are swapping hands for $12.75 apiece, up 5.6%.

For some context, the ASX 200 is down 0.16% at this same time. And in a better comparison of apples to apples, the S&P/ASX All Ordinaries Gold Index (ASX: XGD) is up 2.7%.

The Northern Star share price is outperforming today following the release of the ASX 200 gold stock’s quarterly update for the three months ending 31 December.

Read on for the highlights.

(All figures in Aussie dollars unless otherwise noted.)

Northern Star share price lifts off on strong outlook

Northern Star stock looks to be getting a boost today after the miner reported generating an underlying free cash flow of $102 million.

Over the three months, Northern Star sold a total of 412,000 ounces of gold at an all-in sustaining cost (AISC) of $1,824 per ounce (US$1,186/oz).

The quarter also saw the miner commence mining at its Kalgoorlie Consolidated Gold Mines (KCGM) operations in Golden Pike North ahead of schedule. KCGM is located in Western Australia.

Estimated first-half cash earnings of $685 million to $715 million were well up from the H1 FY 2023 of $467 million.

The Northern Star share price could also be getting a lift, with $131 million of the company’s $300 million on-market share buy-back program remaining.

Capital expenditure during the December quarter was $72 million (down from $80 million in the September quarter). Total project capital expenditure year to date is $152 million, in line with expectations.

What did management say?

Commenting on the results sending the Northern Star share price sharply higher today, managing director Stuart Tonkin said:

The value of our diversified production centres was apparent during the December quarter, with an exceptional performance at Kalgoorlie and continuous improvement at Pogo offsetting some operational challenges at Yandal…

Cost pressures remain prevalent across our industry and are a key focus for our teams as we work towards delivering our FY24 guidance, which remains 2H weighted. At the same time, we are making sure our profitable organic growth strategy is executed to plan.

What’s ahead for the Northern Star share price?

Looking to what might impact the Northern Star share price in the months ahead, the company’s balance sheet remains strong, with net cash of $238 million, and its FY 2024 growth program fully funded.

All told, the miner had $1.1 billion of cash and bullion and $2.6 billion of liquidity as at 31 December.

Management maintained its guidance of 1.6 million to 1.75 million ounces of gold sold at an AISC of $1,730 to $1,790 per ounce in FY 2024.

The miner forecasts its capital expenditure (sustaining, growth, exploration) will be in line with FY 2023, excluding the $525 million capex for its KCGM Mill Expansion.

The post Northern Star share price leaps higher on boosted earnings appeared first on The Motley Fool Australia.

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More reading

• Why Karoon Energy, Kogan, Northern Star, and Pilbara Minerals shares are jumping today
• 5 things to watch on the ASX 200 on Wednesday
• 5 things to watch on the ASX 200 on Monday
• 5 things to watch on the ASX 200 on Friday
• 5 things to watch on the ASX 200 on Thursday

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 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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The Vanguard Australian Shares Index ETF (ASX: VAS) is the largest ASX exchange-traded fund (ETF) and it also pays out significant dividend passive income to investors each year. How much income? I’m going to look at that in this article.

For readers who don’t know what this ASX ETF does, it invests in a basket of 300 of the biggest ASX shares. Officially, it tracks the S&P/ASX 300 Index (ASX: XKO). It also gives us good diversification with just a single investment.

How are the distributions decided?

If a company makes a profit, then the board of directors can decide to pay a dividend to shareholders.

An ETF simply passes through the dividends and distributions it receives from its invested shares and sends those to investors. Some ASX ETFs pay a distribution every quarter, some pay every six months and some pay once a year.

The VAS ETF pays a distribution every quarter, creating regular cash flow for investors.

How much does Vanguard Australian Shares Index ETF (VAS) pay in dividends?

The ASX ETF is significantly invested in ASX blue chips that pay large dividend yields, such as BHP Group Ltd (ASX: BHP), National Australia Bank Ltd (ASX: NAB), ANZ Group Holdings Ltd (ASX: ANZ), Westpac Banking Corp (ASX: WBC), Fortescue Ltd (ASX: FMG), Telstra Group Ltd (ASX: TLS) and so on.

Due to this portfolio being weighted to plenty of stocks with a high dividend yield, the VAS ETF also has a good dividend yield.

According to Vanguard, the VAS ETF had a dividend yield of 3.8% as of 31 December 2023. Remember, this yield doesn’t include the bonus of franking credits.

There are some lower-yielding names in the portfolio like CSL Ltd (ASX: CSL) which bring down the yield, but these sorts of stocks are the ones that can provide stronger capital growth.

Is it a strong ETF for passive income?

It certainly seems so, it has a stronger yield than globally-focused ASX ETFs such as iShares S&P 500 ETF (ASX: IVV) and Vanguard MSCI Index International Shares ETF (ASX: VGS).

However, Vanguard Australian Shares High Yield ETF (ASX: VHY) could be an even stronger option for income-focused investors because it only invests in sizeable ASX shares that have a high dividend yield. The VHY ETF had a dividend yield of 4.9% at December 2023, excluding franking credits.

The post How much does Vanguard Australian Shares Index ETF (VAS) pay in dividends? appeared first on The Motley Fool Australia.

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More reading

• 3 no-brainer ASX 300 shares I’d buy right now without hesitation
• How I’d build a backup superannuation fund with $10,000 and 5 ASX shares
• I’m buying cheap ASX shares to build my wealth in 2024 and beyond
• How I’d create investment cash flow in retirement from ASX ETFs
• Should ASX growth investors buy the Vanguard Australian Shares Index ETF (VAS)?

Motley Fool contributor Tristan Harrison has positions in Fortescue. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL and iShares S&P 500 ETF. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended CSL, Vanguard Australian Shares High Yield ETF, Vanguard Msci Index International Shares ETF, and iShares S&P 500 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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After posting an update, the Kogan.com Ltd (ASX: KGN) share price is hotter than a Boxing Day special today.

While the consumer discretionary sector slides lower, shares in the online retailer are having a field day. As we approach midday, Kogan shares are swapping hands at $5.10 apiece, leaping a sizeable 16.7%.

Let’s pop the locks on what investors are reacting to.

Platform approach paying off?

Kogan appears to have restored some confidence today as the company’s latest business update shows further profit improvements during the first half of FY2024.

In the release, Kogan breaks out the gross sales for each business area. Kogan Marketplace, the company’s largest contributor to gross sales, experienced a 9.1% decline compared to the previous first half. Meanwhile, the ‘Exclusive Brands’ segment suffered a steeper 25.1% reduction in gross sales, falling to $88.5 million.

However, the retailer’s membership offering — Kogan FIRST — shined bright during the half. The segment contributed $33.9 million in gross sales, growing 133.5% from the prior corresponding period. Kogan recorded more than 466,000 subscribers on 31 December 2023, rising 15.3% in a year.

Despite reducing gross sales through the marketplace, the company attributes improving gross margins to the capital-light platform. Unlike producing and selling its own products, the marketplace allows Kogan to clip the ticket on products sold through the site by other businesses.

Notably, Kogan reported a 13.2 percentage point improvement in its gross margin, reaching 36%. In addition to platform-based sales, improved profit margins were realised on in-warehouse products as the company concludes excess inventory clearing.

Other important metrics to note in the first half include:

• Group active customers of 2.744 million
• Gross sales of $445.5 million, down 5.6% year on year
• Total gross profit of $89.5 million, increasing 42.1% year on year
• Adjusted EBITDA of $21.5 million versus a $4.4 million loss
• Adjusted EBIT of $14 million versus a $12.7 million loss

Kogan finished the half with $83.3 million in cash and no external debt.

What did management say?

Founder and CEO of Kogan.com, Ruslan Kogan, commented on the company’s progress in the first half, stating:

The past six months have seen Kogan.com go from strength to strength, delivering on multiple projects for our Customers and ensuring we continue to help customers live their best lives by offering remarkable value.

The growth in our Kogan FIRST loyalty program and community demonstrates the value we are delivering every day to our customers. We now have over 466,000 Kogan FIRST Subscribers amongst our millions of customers, who get to enjoy the many new benefits we’ve introduced to the program.

Adding to the optimism, Ruslan described the business as having returned to a position of “stability and strength”.

Kogan share price recap

The past 12 months have been a rocky path for Kogan and its shareholders. Before today, the share price was basically flat compared to a year ago. Inventory right-sizing and getting back on track have been a dominant focus.

Now, the Kogan share price is perched 54% above its 52-week low.

The post Kogan share price surges 17% as business strength returns appeared first on The Motley Fool Australia.

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More reading

• Why Karoon Energy, Kogan, Northern Star, and Pilbara Minerals shares are jumping today
• 3 high-growth ASX shares that could be worth $2 billion in 10 years — or sooner

Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Kogan.com. The Motley Fool Australia has recommended Kogan.com. 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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The S&P/ASX 200 Index (ASX: XJO) has slipped into the red in afternoon trade. At the time of writing, the benchmark index is down slightly to 7,510.9 points.

Four ASX shares that are not letting that hold them back are listed below. Here’s why they are falling:

Karoon Energy Ltd (ASX: KAR)

The Karoon Energy share price is up 6% to $1.89. This morning, analysts at Goldman Sachs suggested that investors buy this energy producer’s shares following weakness this week. It has a buy rating and $2.41 price target on its shares. This implies 28% upside even after today’s gain.

Kogan.com Ltd (ASX: KGN)

The Kogan share price is up 17% to $5.11. Investors have been buying this ecommerce company’s shares after it released a first half update. Although Kogan’s sales were down 5.6% to $445.4 million for the half, its gross profit jumped 42.1% to $89.5 million thanks to margin expansion. Adjusted earnings before interest an tax is expected to be $14 million, up from a loss of $12.7 million.

Northern Star Resources Ltd (ASX: NST)

The Northern Star share price is up 5% to $12.75. This follows the release of the gold miner’s quarterly update this morning. Northern Star reported gold sold of 412,000 ounces at an all-in sustaining cost (AISC) of A$1,824 an ounce. This puts it on course to achieve its guidance of 1,600,000 to 1,750,000 ounces at an AISC of A$1,730-A$1,790 an ounce in FY 2024.

Pilbara Minerals Ltd (ASX: PLS)

The Pilbara Minerals share price is up 6% to $3.47. This has been driven by the release of a solid quarterly update from the lithium miner this morning. It reported a 22% increase in spodumene concentrate production to 176,000 tonnes and a 9% lift in sales to 146,400 tonnes. And while it also reported a 50% reduction in its realised price to US$1,113 per tonne, it remains very profitable thanks to its low costs.

The post Why Karoon Energy, Kogan, Northern Star, and Pilbara Minerals shares are jumping today appeared first on The Motley Fool Australia.

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More reading

• Kogan share price surges 17% as business strength returns
• Pilbara Minerals shares charge higher on rock solid Q2 update
• Why this ASX 200 energy stock could rise 35%
• 5 things to watch on the ASX 200 on Wednesday
• Why IDP Education, Karoon Energy, Liontown, and Zip shares are falling today

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 and Kogan.com. The Motley Fool Australia has recommended Kogan.com. 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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It’s been an uninspired day so far for ASX shares and the S&P/ASX 200 Index (ASX: XJO). At present, the ASX 200 has gained an anaemic 0.032% and is hovering just above 7,500 points. But let’s talk about two ASX real estate investment trusts (REITs) that are making news this Wednesday.

If you’ve got a keen interest in Wesfarmers Ltd (ASX: WES), you may be familiar with either the BWP Trust (ASX: BWP) or the Newmark Property REIT (ASX: NPR). Or perhaps both.

Both of these REITs lease land to Wesfarmers.

BWP owns a 73-property portfolio of real estate, with 61 of those properties occupied by Bunnings Warehouses.

Meanwhile, Newmark has a portfolio consisting of nine properties. These are rented out to retailers like JB Hi-Fi Ltd (ASX: JBH), Petstock and Freedom. But 74.1% of the ASX REIT’s income comes from Wesfarmers businesses like Kmart, OfficeWorks and Bunnings.

Why is this significant? Well, the big ASX REIT news today is that these two property trusts are merging.

BWP and Newmark to join in an ASX Bunnings REIT mega-merger

In an announcement put out this morning, both REITs confirmed that Newmark was approached by BWP for a full takeover last month.

Today, those details have become public, along with the news that Newmark’s independent board committee has unanimously recommended that unitholders accept the latest offer.

That offer is an all-scrip one, with Newmark unitholders to receive 0.4 BWP units for every Newmark unit owned. That implies a valuation of $1.39 per Newmark unit. This, Newmark told investors, represents a whopping 43.1% premium to the 97 cents unit price Newmark units closed at yesterday.

As such, it’s no surprise to see Newmark units pop on the share market this Wednesday. At present, the ASX REIT is up a massive 38.66% at $1.34 a unit.

In contrast, the BWP unit price has fallen 1.3% today to $3.42 so far.

Here’s some of what Newmark chair Michael Doble told investors this morning:

The Proposal represents a highly attractive offer for NPR securityholders. The consideration reflects a material premium to NPR’s trading price and provides an opportunity to participate in a larger merged group with lower gearing, which is particularly compelling given the ongoing elevated interest rate environment and market uncertainty.

After careful consideration, the IBC has concluded that the Proposal is in the best interests of NPR securityholders and unanimously recommends that NPR securityholders accept the BWP takeover offer, in the absence of a superior proposal.

The offer is conditional on 50.1% of Newmark unitholders granting approval for the merger, amongst other conditions. Both ASX REITs have put a ‘mid-March 2024’ deadline for the offer to close and the merger to proceed.

It’s clear who investors think is betting the better deal here, judging by today’s REIT unit price movements on the ASX.

The post This ASX Bunnings REIT is rocketing 40% today. Here’s why appeared first on The Motley Fool Australia.

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More reading

• Why Adriatic Metals, Chrysos, Coronado, and Nanosonics shares sinking today
• Core Lithium share price soars 5% as production increases and costs fall
• Top brokers name 3 ASX shares to buy today
• Woodside share price hesitant on $3.36 billion quarter
• Are Brickworks or Soul Patts shares a better ASX buy? Here’s my take

Motley Fool contributor Sebastian Bowen has positions in Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has positions in and has recommended Wesfarmers. The Motley Fool Australia has recommended Jb Hi-Fi. 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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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is fighting hard to keep its winning streak alive. At the time of writing, the benchmark index is up a fraction to 7,515.1 points.

Four ASX shares that are weighing on the market today are listed below. Here’s why they are dropping:

Adriatic Metals (ASX: ADT)

The Adriatic Metals share price is down almost 8% to $3.25. This follows the release of the initial production guidance of the Vares Silver Project in Bosnia and Herzegovina. It is forecasting production of 240-300kt for 2024, then 750-850kt for 2025, and finally 800-900kt for 2026 onwards.

Chrysos Corporation Ltd (ASX: C79)

The Chrysos share price is down 6.5% to $7.13. This morning, the mining technology company released its quarterly update. It revealed revenue of $10.1 million for the three months. This represents a 13% increase quarter on quarter and a 57% jump year on year. It seems that some investors were expecting even stronger growth.

Coronado Global Resources Inc (ASX: CRN)

The Coronado share price is down 4% to $1.61. This may have been driven by the release of a broker note out of Ord Minnett. Its analysts have downgraded the coal miner’s shares to a hold rating with a trimmed price target of $1.80.

Nanosonics Ltd (ASX: NAN)

The Nanosonics share price is down 34% to $2.87. Investors have been selling this infection prevention company’s shares following the release of a disappointing update. Nanosonics revealed that it has continued to experience ongoing uncertainty associated with the impact on the timing of capital unit sales due to hospital capital budgetary pressures. In light of this, its first half profit before tax is expected to be just $4.9 million. This is less than half of what was recorded a year ago.

The post Why Adriatic Metals, Chrysos, Coronado, and Nanosonics shares sinking today appeared first on The Motley Fool Australia.

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More reading

• Here’s why Nanosonics shares are crashing 37% today
• Here are the top 10 ASX 200 shares today
• Miners among the ASX 300 shares surging on quarterly reports
• Here are the top 10 ASX 200 shares today
• The 8 ASX mining stocks Goldman Sachs says are buys in 2024

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 Chrysos and Nanosonics. The Motley Fool Australia has positions in and has recommended Chrysos and Nanosonics. 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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The Core Lithium Ltd (ASX: CXO) share price is enjoying a big lift today.

Shares in the S&P/ASX 200 Index (ASX: XJO) lithium stock closed yesterday trading for 19.5 cents. At the time of writing on Wednesday morning, shares are changing hands for 20.5 cents apiece, up 5.2%.

For some context, the ASX 200 is up a slender 0.1% at this same time, with most lithium producers also outperforming.

Here’s what’s happening.

Core Lithium share price lifts on production boost

The Core Lithium share price looks to be getting a boost following the release of the company’s quarterly update for the three months ending 31 December.

Among the biggest news, was management’s decision to temporarily suspend operations of its open pit mining operations at Finniss as part of the company’s Q2 Strategic Review. The Core Lithium share price closed down 11.5% on 5 January, the day of that announcement.

“With the rapid shifts in lithium market pricing, Core moved quickly to undertake a strategic review, resulting in the temporary suspension of mining and BP33 early works to conserve cash, and preserve the value of the underlying business,” CEO Gareth Manderson said.

Atop conserving cash, Core reported a 39% quarter on quarter increase in spodumene concentrate production to 28,837 tonnes.

Lithia recoveries for the three months averaged 60%, up 20% from the prior quarter.

And the 30,718 tonnes of spodumene concentrate shipped was up 31% from last quarter.

The miner also prepared for the wet season, with 289,000 tonnes of ore stocks at the end of the quarter, up 56% from Q1.

With mining temporarily halted, Core reduced its capital spend guidance and cash operating cost guidance.

Commenting on the quarterly performance that looks to be offering a lift for the Core Lithium share price, Manderson said, “There is no doubt we have seen strong operational improvement at Finniss as it has ramped up throughout the year.”

Manderson added:

The work undertaken ahead of the wet season has successfully established ore stockpiles that will see us produce concentrate for the next 5-6 months at a lower overall cash cost, due to the suspension of mining.

This approach will preserve Finniss’ long-term value and ensure we are prepared to move quickly to restart mining in a more favourable pricing environment.

As at 31 December, Core has a cash balance of $125 million.

How has the ASX 200 lithium miner been performing?

It’s been a rough year for the Core Lithium share price amid a crashing lithium price and the suspension of the company’s mining operations.

Despite today’s welcome lift, shares in the ASX 200 miner remain down 81% over the past 12 months.

The post Core Lithium share price soars 5% as production increases and costs fall appeared first on The Motley Fool Australia.

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More reading

• Here’s the lithium price forecast through to 2027
• Mineral Resources shares tumble 9% on unfavourable broker rating
• These are the 10 most shorted ASX shares
• Here are the top 10 ASX 200 shares today
• Is Core Lithium stock a good buy after falling 80% in a year?

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 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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Many of Australia’s top brokers have been busy adjusting their financial models again, leading to the release of a number of broker notes this week.

Three ASX shares brokers have named as buys this week are listed below. Here’s why they are bullish on them:

CSL Ltd (ASX: CSL)

According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $334.00 price target on this biotechnology company’s shares. The broker has been looking at the plasma collection market and was pleased with what it saw in respect to collections and the company’s network rollout. In light of this, it remains as positive as ever on the company’s outlook. The CSL share price is trading at $293.11 today.

Elders Ltd (ASX: ELD)

A note out of Bell Potter reveals that its analysts have retained their buy rating on this agribusiness company’s shares with an improved price target of $9.50. This follows favourable weather conditions which it believes will be supportive of Elders’ business. And while the broker is forecasting an earnings decline in FY 2024, it then expects strong earnings growth in both FY 2025 and FY 2026. It appears to believe that this makes its shares great value at current levels. The Elders share price is fetching $8.48 this morning.

Liontown Resources Ltd (ASX: LTR)

Another note out of Bell Potter reveals that its analysts have retained their speculative buy rating on this lithium developer’s shares with a reduced price target of $1.60. While the broker has slashed its valuation to reflect Liontown’s disappointing update this week, it still sees plenty of value on offer for investors with a high risk tolerance. This is because it believes Liontown’s Kathleen Valley lithium project is highly strategic in terms of its stage of development, long mine life, and location. The Liontown share price is trading at 95 cents on Wednesday.

The post Top brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

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More reading

• Buy this ASX 300 share for 13% upside and a 4% dividend yield
• Is now the right time to buy CSL shares? Here’s my take
• Why IDP Education, Karoon Energy, Liontown, and Zip shares are falling today
• Here’s the lithium price forecast through to 2027
• Broker tips 70% return for Liontown shares after selloff

Motley Fool contributor James Mickleboro has positions in CSL. 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 and Elders. 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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The Woodside Energy Group Ltd (ASX: WDS) share price is barely oscillating on Wednesday morning following the release of its fourth-quarter report.

Shares in the oil and gas producer opened at $31.15, appearing unsure which way to whip amid the latest update. At the time of writing, the Woodside share price sits at $31.09, putting it 8% above its 52-week low.

Woodside share price stoic amid result

Here are the main takeaways from the quarter ended 31 December 2023:

• Record full-year 2023 production up 18.7% to 187.2 million barrels of oil equivalent (MMboe)
• Quarterly production down 6.8% to 48.1 MMboe
• Quarterly revenue of $3,355 million, down 35% versus prior corresponding period
• Sales down 7% quarter-on-quarter to 49.5 MMboe
• Average realised price of $66.8 per barrel of oil equivalent

Pumping out 187.2 MMboe, it ended up being a record year of production at Woodside. However, the fourth quarter witnessed a decline in production versus Q3 due to reduced volume from the Bass Strait during planned maintenance works and weaker gas demand in the summer.

Additionally, production at the North West Shelf fell to 7.8 MMboe from 9.6 MMboe due to ‘natural field decline’.

What else happened in Q4?

Several Woodside projects continued through development in the quarter. The Scarborough and Pluto Train 2 project reached 55% completion at the end of the fourth quarter. Woodside is currently targeting first LNG cargo for 2026.

Meanwhile, phase one of the Sangomar project was 94% complete at the end of 2023. Management is eyeing mid-2024 to produce its first barrel of black gold.

Another big item of the quarter was confirmed merger talks between Woodside and Santos Ltd (ASX: STO).

Providing an update in today’s announcement, Woodside CEO Meg O’Neill stated, “The talks are still at an early stage and there is no certainty that the transaction will progress. Woodside will be disciplined, conduct thorough due diligence, and will only pursue a transaction that is value-accretive for shareholders.”

What’s next?

Charting course for 2024, Woodside provided full-year guidance for the year ahead. Production is expected to land between 185 MMboe and 195 MMboe, representing a 1.5% increase at the midpoint.

Furthermore, Woodside provided a production split by product type as follows:

• LNG – approximately 45%
• Pipeline gas – approximately 20%
• Crude and condensate – approximately 30%
• Natural gas liquids – approximately 5%

The company expects to outlay between US$5 billion and US$5.5 billion in capital expenditure in 2024. At roughly 40%, the Scarborough project is anticipated to soak up the largest portion of funds.

Woodside share price snapshot

Shares in Australia’s largest listed energy company are down 16% over the last 12 months. Much of this weakness manifested between September and December last year — a time when crude oil prices retreated from US$91 per barrel back to US$70.

For context, the S&P/ASX 200 Index (ASX: XJO) is up 0.5% compared to a year ago. Perhaps a fairer comparison, the S&P/ASX 200 Energy Index (ASX: XEJ) is down 7%.

Due to the Woodside share price falling, the company’s price-to-earnings (P/E) ratio has diminished to 6 times earnings. Yet, this is still mostly in line with the Australian oil and gas industry average multiple.

The post Woodside share price hesitant on $3.36 billion quarter appeared first on The Motley Fool Australia.

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Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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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Nanosonics Ltd (ASX: NAN) shares are on the slide on Wednesday morning.

At the time of writing, the ASX 200 stock is down 37% to a 52-week low of $2.76.

Why are Nanosonics shares sinking?

Investors have been selling the infection prevention company’s shares today in response to the release of a trading update after the market close on Tuesday.

According to the release, the company has continued to experience ongoing uncertainty associated with the impact on the timing of capital unit sales due to hospital capital budgetary pressures. Management explained:

During the first half of FY24, the pipeline for new installed base and upgrades continued to grow however timeframes to conclude sales increased resulting in lower capital sales than expected. In particular, this saw the Company experience softer than anticipated upgrade sales with customers extending the use of their existing trophon equipment, delaying the trophon2 upgrade capital purchase.

What does this mean for sales and profits?

Nanosonics is expecting total revenue for the half year is expected to be approximately $79.6 million. This represents a 2.4% (4.3% in constant currency) decrease compared with prior corresponding period.

Also heading in the wrong direction was the ASX 200 stock’s operating expenses, which are expected to be approximately $60.8 million for the half. This represents an increase of 12% compared with prior corresponding period. Though, this includes investments being made in preparation for the commercialisation of its new endoscope reprocessing platform, CORIS.

The sum of the above will be a profit before tax of approximately $4.9 million. This is less than half of the $11.4 million recorded in the prior corresponding period..

FY 2024 guidance

Looking further ahead, management revealed that it is currently reviewing its second half sales outlook. However, it anticipates revenue growth in second half over the first half, as well as revenue growth for the full year.

It plans to provide more detail on its guidance with its half year results late next month.

In the meantime, the ASX 200 stock warns:

All guidance is subject to ongoing uncertainty in relation to hospital capital budgetary pressures as well as broader economic and geopolitical conditions. All the forward looking information included is inherently uncertain, and the Company cautions against reliance on any forward-looking statements.

Nanosonics shares are now down almost 45% over the last 12 months.

The post Here’s why Nanosonic shares are crashing 37% today appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• The top 10 ASX shares I’m picking for a prosperous 2024

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 Nanosonics. The Motley Fool Australia has positions in and has recommended Nanosonics. 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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