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Setting up our personal finances right can help grow our ASX share portfolios. I’m going to talk about three strategies that can help us ensure we have the right foundations for our money.

The most obvious thing to do with our finances is to spend less than we earn. That surplus of cash flow means investors can start putting savings towards financial goals. But, there are three things that I’d really want to make conscious decisions about.

Have an emergency fund

Having an emergency fund is the idea of putting some money aside in a savings account for…an emergency!

We don’t know when an emergency is going to happen, so it’s good to have that money ready. Different households may have different possible worst-case emergencies. A young adult may want to have enough to replace their car if it’s written off.

A family may want to have an amount big enough to pay for living expenses for three to six months if the main breadwinner loses their income. Three to six months would hopefully be enough time to get a new job.

Other unexpected personal finance expenses could be a broken fridge, travel for an interstate funeral and so on.

Having this money set aside can give us confidence to invest in ASX shares, rather than going for the most defensive ASX shares.

Don’t take on ‘bad’ debt

In my mind, we don’t necessarily need to take on any debt at all, apart from buying a property.

Taking on debt to pay for discretionary items could encourage us to stretch too far with our spending and it ends up costing our personal finances more because of the interest costs. Borrowing money is even more expensive now because of higher interest rates. Our personal finance choices can make a big difference in how much we can invest in ASX shares.

If we’re going to take on debt, I think it’s best used for assets that can go up in value.

Got a goal to pay for something? I’d suggest putting money into a high interest savings account. That way, we can make interest work for us rather than against us. Albert Einstein supposedly once said:

Compound interest is the most powerful force in the universe. Compound interest is the eighth wonder of the world. He who understands it, earns it; he who doesn’t pays it.

Invest regularly

I think a regular investment strategy with ASX shares is key for creating good long-term wealth with our personal finances.

Putting more money to work into ASX shares gives us the chance to find more opportunities and put more into compound growth by giving the portfolio more fuel.

Just putting money regularly into ASX-listed exchange-traded funds (ETFs) can create good long-term returns.

There are lots of different options – it can be a good idea to get diversified exposure to the global share market, with a pick like the Vanguard MSCI Index International Shares ETF (ASX: VGS).

The post 3 personal finance tips to help anyone grow richer appeared first on The Motley Fool Australia.

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More reading

• Buy these ASX dividend stocks for an income boost
• 5 things to watch on the ASX 200 on Wednesday
• If you’d put $20,000 in this ASX retail stock at the start of 2023, you’d have $134,000 now
• Qantas or Telstra share price: Which will climb higher in 2024?
• 2 Australian dividend shares to buy under $2

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 Vanguard Msci Index International Shares 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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Which ASX dividend stocks could be good options for investors looking for an income boost?

Let’s take a look at a couple that have recently been given the seal of approval by analysts. They are as follows:

Centuria Industrial REIT (ASX: CIP)

The first ASX dividend share that could be a buy according to analysts is Centuria Industrial.

It is Australia’s largest domestic pure play industrial property investment company with a portfolio of high-quality industrial assets across the country.

UBS is positive on the company and recently retained its buy rating and $3.71 price target on its shares.

The broker also continues to forecast attractive dividend yields from its shares. It is forecasting the company to pay dividends per share of 16 cents in both FY 2024 and in FY 2025. Based on the current Centuria Industrial share price of $3.54, this represents yields of 4.5% in both years.

Deterra Royalties Ltd (ASX: DRR)

Another ASX dividend stock that analysts are positive on is Deterra Royalties.

It is focused on the management and growth of a portfolio of royalty assets across a range of commodities. This includes royalties held over its cornerstone asset, Mining Area C, in the Pilbara region of Western Australia.

The team at Morgan Stanley is feeling very positive about the company despite an admittedly softer than expected first-half performance. Last month, it put an overweight rating and $5.65 price target on its shares.

As for income, the broker is expecting Deterra Royalties to pay some big dividends in the near term. It is forecasting fully franked dividends per share of 37 cents in FY 2024 and 34 cents in FY 2025. Based on the current Deterra Royalties share price of $4.70, this will mean yields of 7.9% and 7.2%, respectively.

The post Buy these ASX dividend stocks for an income boost appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Wednesday
• Buy Coles and this ASX 300 dividend share
• Popular ASX All Ords shares with ex-dividend dates next week
• 3 ASX stocks boasting better margins than Nvidia
• Analysts name 2 ASX income shares to buy with 6%+ dividend yields

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 Scott Phillips.

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On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was out of form and dropped into the red. The benchmark index fell 0.4% to 7,780.2 points.

Will the market be able to bounce back from this on Wednesday? Here are five things to watch:

ASX 200 expected to edge higher

The Australian share market looks set to rise slightly on Wednesday following a subdued session in the United States. According to the latest SPI futures, the ASX 200 is expected to open the day 5 points higher. In late trade on Wall Street, the Dow Jones is flat, the S&P 500 has fall 0.15%, and the Nasdaq is down 0.2%.

Oil prices fall

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a tough session after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 0.55% to US$81.49 a barrel and the Brent crude oil price is down 0.8% to US$86.04 a barrel. Traders appear to have been taking profit after recent gains.

Gold price edges higher

ASX 200 gold shares including Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) will be on watch on Wednesday after the gold price edged higher overnight. According to CNBC, the spot gold price is up slightly to US$2,199.1 an ounce. A weaker US dollar boosted the precious metal ahead of the release of US inflation data.

Monadelphous rated as a buy

The Monadelphous Group Ltd (ASX: MND) share price is great value according to analysts at Bell Potter. This morning, the broker initiated coverage on the engineering company’s shares with a buy rating and $15.40 price target. It said: “MND’s short-and-medium-term outlooks are supported by a growing pipeline of committed developments across the energy, lithium and rare earths sectors, which is expected to drive strong growth by its EC division.”

ASX 200 shares going ex-dividend

A large number of ASX 200 shares are going ex-dividend this morning and could trade lower. This includes property companies Arena REIT (ASX: ARF), Centuria Industrial REIT (ASX: CIP), and Healthco Healthcare and Wellness Reit (ASX: HCW), and plumbing parts company Reece Ltd (ASX: REH).

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

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More reading

• $19 billion in ASX dividends is being paid out this week. Are you getting your share?
• Here are the top 10 ASX 200 shares today
• These 5 ASX 200 shares just hit new 52-week highs
• These 5 high-quality companies are now paying a better income than CBA shares
• Why Beach Energy, Elders, Lake Resources, and Premier Investments are rising today

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group. 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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In the face of 13 interest rate rises in 18 months over 2022 and 2023, many ASX retail stocks struggled with the expectation that their earnings would drop.

However, there is one direct-to-consumer online retailer that’s managed to buck the trend.

Let’s check out the phenomenon that’s Step One Clothing Ltd (ASX: STP).

Everything that could go wrong

Step One sells men’s underwear and rapidly developed a cult following for its bamboo and anti-chafing materials.

Its low-budget television ads also caught the eye of curious consumers and allowed the brand to compete against much larger rivals.

The popularity encouraged the business to float on the ASX in late 2021, in a bull market hungry for initial public offerings (IPOs).

Shares were sold for $1.53 during the IPO, then exploded on the first day of trading, ending up at $2.70.

Unfortunately for all involved, it all came crashing down soon afterwards.

A combination of underwhelming business performance and a market that lost interest in high-growth shares due to rising interest rates meant Step One shares plunged.

By the start of 2023, they were languishing at just 26 cents.

Let’s assume you had the foresight to buy $20,000 worth of Step One shares at this point.

A comeback for the ages

As early as January 2023, the experts at Morgans declared that consumer discretionary shares had been oversold.

The team explicitly named Step One as one of the retail stocks to buy.

To the credit of those analysts, Step One shares have gone ballistic ever since.

Over just 14 months, the stock has risen a crazy 569%.

That $20,000 you invested last year? It’s now worth $133,846.

Amazingly, Morgans is still backing the $320 million market capitalisation to increase even further, currently maintaining the add rating for Step One.

The moral of this story isn’t to speculate all your money into one stock for quick riches.

It’s that buying ASX shares when everyone else has fled is not a bad idea, as long as you have faith that the business is capable of recovering in the long run.

If you keep grabbing stocks that are already popular, you will never do better than average. In fact, statistically you would probably do worse than the market.

Good luck out there.

The post If you’d put $20,000 in this ASX retail stock at the start of 2023, you’d have $134,000 now appeared first on The Motley Fool Australia.

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More reading

• Shares vs. property: Why cheaper homes and ASX small-cap shares are rising fastest in 2024
• This ASX dividend share has soared 450% in a year! Is it still a buy?
• 2 ASX stock picks with explosive potential

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

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The Telstra Group Ltd (ASX: TLS) share price closed the session yesterday at $3.76, down 0.13% for the day and down 10.8% over the past year.

The Qantas Airways Limited (ASX: QAN) share price closed at $5.35, down 0.56% for the day and down 17.7% over the past 12 months.

Both stocks are considered ASX blue chips, but which one will rise in value faster over the next year?

We canvas the views of top broker Goldman Sachs, which has a buy rating on both stocks.

Telstra share price to ring in 21% upside, says broker

Goldman Sachs has a 12-month share price target of $4.55 on Telstra.

This implies a potential upside of 21% for investors who buy Telstra shares today.

In a note released this month, the broker says Telstra is its preference among Australia/New Zealand telcos.

However, the ASX telecommunication share is not without downside risks.

Goldman explained:

Key downside risks: (1) higher competition in mobile/fixed from Optus/TPG or from smaller players using the NBN to loss lead, both of which would reduce our earnings & dividend growth; (2) disappointing cost out performance, meaning TLS is unable to offset wage cost inflation; (3) unfavorable regulation in fixed & mobile, including NBN pricing; and (4) delays to infrastructure monetisation or lower than expected realised value.

What do other analysts think?

The consensus among analysts on CommSec is for Telstra to improve its earnings over the next few years.

The consensus on earnings per share (EPS) is 18.1 cents in 2024, 19.5 cents in 2025, and 21.8 cents in 2026.

The analysts expect Telstra to pay dividends of 18 cents per share in 2024, 19 cents in 2025 and 20 cents in 2026.

Based on yesterday’s closing share price, this means Telstra will pay dividend yields of 4.78%, 5.05%, and 5.32%, respectively.

The consensus rating on Telstra shares among the 18 analysts is a moderate buy. Twelve say Telstra is a strong buy and three say a moderate buy. Two say hold and one gives the telco a moderate sell rating.

What about the Qantas share price?

Goldman Sachs has a 12-month share price target of $8.05 on Qantas.

This implies a potential upside of 50.5% for investors who buy Qantas shares today.

In a note last month, the broker said 1H FY24 earnings provided “another proof point on reset earnings capacity”.

The broker said:

… we note that our FY24 EPS remains 52% above pre-COVID levels even as the business faces higher (vs pre COVID) fuel prices, elevated current customer investment and a 10% yoy GSe decline in unit revenue (FY24 RASK is 24% above pre-COVID equates to average 4.4% per annum). Despite this, QAN is trading 17% below its pre-COVID market capitalization with the enterprise value 24% lower.

Goldman said that, like Telstra shares, Qantas also has downside risks.

These include slower-than-expected traffic recovery; a structurally reduced travel demand post-pandemic; irrational domestic market pricing; higher-than-expected fuel prices, and unfavourable exchange rates.

What do other experts think?

The consensus is for Qantas to grow its EPS from 90.2 cents in 2024 to 99 cents in 2025 and $1.01 in 2026.

The analysts expect Qantas to pay no dividend in 2024, 20 cents per share in 2025 and 27 cents in 2026.

Based on yesterday’s closing share price, this means Qantas will pay yields of 3.74% in 2025 and 5.05% in 2026.

The consensus rating on Qantas shares among 16 analysts on CommSec is a strong buy. Eleven say the flying kangaroo is a strong buy, two say a moderate buy, and three say hold.

Qantas or Telstra share price: Which wins?

Qantas, easily.

Goldman Sachs is expecting an uplift of 50.5% in the Qantas share price this year.

By comparison, the broker expects the Telstra share price to rise by 21%.

The post Qantas or Telstra share price: Which will climb higher in 2024? appeared first on The Motley Fool Australia.

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More reading

• $19 billion in ASX dividends is being paid out this week. Are you getting your share?
• Why Telstra and these ASX 300 stocks just hit 52-week lows
• Telstra is paying 18 cents per share in dividends: Time to buy the stock?
• A ‘once in a lifetime’ opportunity for Qantas shares?
• Buy these ASX 200 blue chip shares for big returns

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Investors are spoilt for choice when it comes to Australian dividend shares.

But which ones could offer investors bang for their buck right now? Let’s take a look at two under $2 that could be top options according to analysts. Here’s what you can expect from them:

Accent Group Ltd (ASX: AX1)

The first Australian dividend share for income investors to look at is footwear focused retail Accent.

With over 800 stores, 34 brands, and over 35 online platforms, there’s a good chance that you will have bought shoes or sneakers from Accent in the past.

Among its store brands are Platypus, Sneaker Lab, The Athlete’s Foot, and Hype DC. It also recently moved into clothing with brands including Nude Lucy, Owwy, First Muse, and Glue Store.

Last month, analysts at Bell Potter retained their buy rating on the company’s shares with an improved price target of $2.50.

As for dividends, the broker is forecasting fully franked dividends per share of 13 cents in FY 2024 and 14.6 cents in FY 2025. This equates to dividend yields of 6.5% and 7.3%, respectively.

Centuria Office REIT (ASX: COF)

Another Australian dividend share that has been named as a buy is the Centuria Office REIT.

It offers investors an easy way to invest in commercial property. Centuria Office REIT is Australia’s largest pure play office REIT with a geographically diversified portfolio of high quality assets. The portfolio is predominantly exposed to metropolitan and near city office markets that are well connected to transport and lend themselves to affordable rents.

Morgans thinks it would be a good option for income investors. It currently has an add rating and $1.60 price target on its shares.

In respect to income, the broker is forecasting dividends per share of 12 cents in FY 2024 and then 11.4 cents in FY 2025. This equates to yields of 9.1% and 8.7%, respectively.

The post 2 Australian dividend shares to buy under $2 appeared first on The Motley Fool Australia.

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More reading

• 7 ASX small-cap shares that are cheaper than the ASX 200 in March 2024
• Forget term deposits and buy these ASX dividend shares
• Invest $15,000 in Accent stock and get $5,500 in passive income
• Buy these top ASX dividend shares with 5%+ yields
• Why these excellent ASX dividend shares have been named as buys

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

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ASX small-cap shares are enjoying a nice run at the moment.

No doubt the prospect of interest rates peaking and even coming down this year has helped the cause.

This week DNR Capital portfolio manager Sam Tweedale named three small-cap stocks that his team is loving right now:

Sales, cash and expansion. What more could you want?

In a DNR video, Tweedale said that a big takeaway from last month’s reporting season was the bullishness for some consumer discretionary stocks.

“That’s an area we’ve been adding to in our emerging companies fund. It’s been a core overweight.

“We’ve seen some great opportunities to buy some good quality businesses where the market’s got some short-term concerns around the outlook.”

And the pick of the lot, which his team has been buying regularly over the past year, is Lovisa Holdings Ltd (ASX: LOV).

“I think the result really sort of put to bed some concerns there that the market had [with] sales more resilient than the market was expecting. 

“Also the margins came in better than expected, showing very good cost control, strong cash flow, strong balance sheet, and really brought the focus back onto the store rollout potential.”

The small cap on the comeback trail

After a pretty ordinary couple of years, 4WD accessories merchant ARB Corporation Ltd (ASX: ARB) had a turnaround reporting season.

“Again, that business is really benefiting from its strong market leadership,” said Tweedale.

“The company now has sales better than expected [and] a very strong order backlog.”

Similar to Lovisa, Tweedale felt margins reported better than expected, and ARB exercised decent pricing power and cost control.

“The company’s really benefiting from that fixed cost leverage, benefiting from the economies of scale and the efficiencies that they’re getting.”

Small-cap disruptors shining bright

Technology was another boom area to come out of earnings season, according to Tweedale.

“We’re seeing what’s happening overseas with the impact of AI and there’s some great companies here for investors to get exposure to with a lot of disruption happening.”

A great example of businesses cashing in on this structural change is Audinate Group Ltd (ASX: AD8).

“That company’s really disrupting the professional AV industry, helping them convert from analog to digital based signals over networks.

“And that company really is consolidating that market leadership position that they have. The result really highlighted that.”

Tweedale noted that Audinate now has almost 7 million devices in the real world with its networking protocol embedded.

“There’s an opportunity to leverage that install base with a software opportunity on top,” he said.

“We continue to like these businesses, which have a long runway for growth. They’re reinvesting a high return on invested capital, and we think that puts them in an attractive position, long-term, to deliver that capital growth for investors.”

The post 3 small-cap ASX shares with ‘long runways for growth’ appeared first on The Motley Fool Australia.

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More reading

• 3 ASX shares to buy in 2024 and hold for the next 10 years
• 2 ‘very high-quality’ ASX retail shares with significant inside ownership
• Big returns could be coming for high-flying Lovisa shares
• Why these ASX 200 growth shares could be top buys now
• 2 ASX growth stocks I’d buy for rapidly rising profit

Motley Fool contributor Tony Yoo has positions in Audinate Group and Lovisa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ARB Corporation, Audinate Group, and Lovisa. The Motley Fool Australia has positions in and has recommended Audinate Group. The Motley Fool Australia has recommended ARB Corporation and Lovisa. 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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If you want to grow your wealth, then buying and holding some high-quality ASX shares could be the way to do it.

That’s because by holding shares for a long period, it allows investors to benefit from the power of compounding to supercharge their returns.

Compounding is what happens when you earn returns on top of returns. It helps explain why earning a 10% return on $1,000 turns into $1,100 in one year but approximately $2,600 in ten years.

But which ASX shares could be good options right now? Here are three ASX shares to consider:

CSL Ltd (ASX: CSL)

As arguably the highest quality company trading on the Australian share market, this biotechnology giant could be a great option for buy and hold investors.

It certainly has been in the past. Despite a recent blip, this ASX share has delivered a 15.8% per annum return over the last decade. And thanks to this blip, investors can pick up its shares at an attractive price today.

UBS currently has a buy rating and $330.00 price target on its shares. This offers almost 17% upside for investors from current levels.

Domino’s Pizza Enterprises Ltd (ASX: DMP)

Another ASX share that could be a good buy and hold option is Domino’s. It is of course Australia’s leading pizza chain operator. In addition, the company has a growing network of stores across Asia and Europe.

It has been going through a tough period due to inflationary pressures and some poor choices from management. While this is disappointing, it could prove to be an excellent buying opportunity for patient investors.

Morgan Stanley believe this could be the case. It has an overweight rating and $68.00 price target on the ASX share. This suggests potential upside of over 55% for investors.

Lovisa Holdings Ltd (ASX: LOV)

Another ASX share that could be a great buy and hold option is Lovisa. It is a fashion jewellery retailer with bold global expansion plans.

It is because of these plans that the team at Morgans thinks investors should be buying and holding the company’s shares. The broker has previously stated its belief that Lovisa “may prove to be one of the biggest success stories in Australian retail” and that “now is the time LOV steps up to become a global force.”

Morgans has an add rating and $35.00 price target on its shares. This implies potential upside of 8% from current levels, but greater gains could follow as its growth continues.

The post 3 ASX shares to buy in 2024 and hold for the next 10 years appeared first on The Motley Fool Australia.

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More reading

• 2 of the best ASX 50 shares to buy now
• These ASX 200 shares could rise 20% to 50%
• Here are the top 10 ASX 200 shares today
• 2 ASX shares that could help set you up for life
• Big returns could be coming for high-flying Lovisa shares

Motley Fool contributor James Mickleboro has positions in CSL, Domino’s Pizza Enterprises, and Lovisa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL, Domino’s Pizza Enterprises, and Lovisa. The Motley Fool Australia has recommended CSL, Domino’s Pizza Enterprises, and Lovisa. 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 ASX is well known for its dividends, and of course, by extension, its dividend-paying shares. ASX shares have been incentivised to pay out high levels of fully franked dividend income to shareholders for decades now. That’s primarily thanks to a number of factors, most potently our unique system of franking,

That’s why we tend to see much higher yields from an ASX index fund compared to similar products covering international markets.

But there’s another rather unique feature of our share markets that international investors might find odd. That would be our companies’ propensity to pay biannual dividends.

In most other markets, including both the United States and the United Kingdom, quarterly dividend payments are the norm. But here on the ASX, we have twice as long between the metaphorical drinks. The vast majority of ASX dividend shares funding a dividend payment only every six months.

This means that whilst investor income is a little irregular, when the payments do arrive, it’s something of a cash deluge.

Luckily for ASX investors, one of those deluges just happens to be scheduled for this week.

The five-day period we are currently in the midst of will see a plethora of ASX dividend shares dole out their latest dividend payments. Most of these were announced during the February earnings season we’ve just gone through. A rough $19 billion in dividends is set to be showered on investors by Friday’s close of business.

Which ASX 200 shares are paying out dividends this week?

Here’s a non-exhaustive list of some of the major ASX 200 blue-chip shares that will pay out dividends over this trading week:

• Bendigo and Adelaide Bank Ltd (ASX: BEN)
• Altium Ltd (ASX: ALU)
• Mineral Resources Ltd (ASX: MIN)
• ASX Ltd (ASX: ASX)
• Fortescue Ltd (ASX: FMG)
• Insurance Australia Group Ltd (ASX: IAG)
• Santos Ltd (ASX: STO)
• Wesfarmers Ltd (ASX: WES)
• Ampol Ltd (ASX: ALD)
• Coles Group Ltd (ASX: COL)
• Beach Energy Ltd (ASX: BPT)
• Origin Energy Ltd (ASX: ORG)
• Commonwealth Bank of Australia (ASX: CBA)
• Telstra Group Ltd (ASX: TLS)
• BHP Group Ltd (ASX: BHP)
• Lottery Corp Ltd (ASX: TLC)
• Newmont Corporation (ASX: NEM)

This Thursday, 28 March, might well be the biggest payday on the ASX this dividend season. That day, we’ll see what could conceivably be a majority of all ASX investors receive some kind of dividend paycheque.

That’s the day that Beach Energy, Origin Energy, CBA, Telstra, BHP, Lottery Corp and Newmont will send out their latest shareholder payments.

So strap yourself in, and get yourself an umbrella, because some of the ASX’s favourite shares are about to make it rain.

The post $19 billion in ASX dividends is being paid out this week. Are you getting your share? appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Shares vs. property: How to generate $500 passive income per month
• These 5 ASX 200 shares just hit new 52-week highs
• Why Telstra and these ASX 300 stocks just hit 52-week lows
• These 5 high-quality companies are now paying a better income than CBA shares

Motley Fool contributor Sebastian Bowen has positions in Newmont, Telstra Group and Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Altium, Lottery, and Wesfarmers. The Motley Fool Australia has positions in and has recommended Bendigo And Adelaide Bank, Coles Group, Telstra Group, and Wesfarmers. 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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There’s not much argument that the world’s hottest stock in the past year or so has been Nvidia Corp (NASDAQ: NVDA).

The shares for the US company have rocketed 539% since early January 2023, on the back of the hype around artificial intelligence (AI).

Funnily enough, Nvidia itself doesn’t produce any AI.

The Californian business makes computer chips that its customers need to power all the intensive computing needed to run intelligent algorithms.

In other words, Nvidia is selling the “picks and shovels” — or the tools — needed to make the coolest tech that everyone wants.

Now, if you feel like you missed the boat on Nvidia shares, you need not worry.

There are plenty of other companies that could benefit from the AI revolution in a similar way, even here in Australia.

The tech stock in ‘outstanding position’ to cash in on AI hype

One example looking like an excellent buy right now is NextDC Ltd (ASX: NXT).

As a data centre provider, the Australian company is even further up the supply chain than Nvidia. It’s providing the facilities to house the computers.

The NextDC share price has already doubled since the start of last year, but many professionals are predicting there is plenty more where that came from.

The recent half-year results were warmly received, with the stock hitting all-time highs.

Chief executive Craig Scroggie acknowledged the contribution artificial intelligence was making to the booming business.

“As demand continues to be bolstered by the broad adoption of new technologies such as generative AI, the business remains in an outstanding position to support customer growth requirements across the enterprise, government and hyperscale verticals.”

NextDC also has a second long-term tailwind that it’s riding on, in cloud computing.

All this has led to a remarkable 14 of 17 analysts naming the stock as a buy, according to broking platform CMC Invest.

Moomoo market strategist Jessica Amir last month named NextDC as one of the stocks she would buy and hold onto until the next leap year.

“Positioned to capture [and] generate AI opportunities,” she said.

“Half of its revenue is from NSW and ACT — huge potential to expanding capacity and geographically — and it’s doing that.”

The post Missed out on Nvidia? My best ASX tech stock to buy and hold appeared first on The Motley Fool Australia.

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More reading

• I’d buy these shares for Nvidia-like gains over the next decade
• 3 ASX stocks boasting better margins than Nvidia
• Why this ASX Nvidia partner has just been placed in a trading halt
• How to invest in artificial intelligence (AI) without buying Nvidia stock
• Guess which ASX tech stock is up 120% in three sessions thanks to Nvidia

Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Nvidia. The Motley Fool Australia has recommended Nvidia. 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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