Tag: Motley Fool

The S&P/ASX 200 Index (ASX: XJO) broke a three-session-long losing streak on Tuesday, gaining 0.18% to close at 7,430.9 points.

It came on the back of a strong session on Wall Street. The Dow Jones Industrial Average Index (DJX: .DJI) and the S&P 500 Index (SP: .INX) both rose 1.1% overnight while the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) gained 1.5%.

It makes sense then that the S&P/ASX 200 Information Technology Index (ASX: XIJ) posted the biggest gain on the Aussie index, rising 1.3%.

The S&P/ASX 200 Communications Index (ASX: XTJ) also outperformed, gaining 1.1% with the Domain Holdings Australia Ltd (ASX: DHG) share price leading the way, lifting 5.5%.

Meanwhile, market giant CSL Limited (ASX: CSL) saw its share price rise 0.9% on the back of the company’s half-year earnings.

On the other end of the market, the S&P/ASX 200 Energy Index (ASX: XMJ) and the S&P/ASX 200 Materials Index (ASX: XMJ) fell 0.4% and 0.2% respectively.

But which ASX 200 share outperformed all others on Tuesday? Let’s take a look.

Top 10 ASX 200 shares countdown

The index’s best performer today was metal recycler Sims Ltd (ASX: SGM). Its stock soared 7.1% to close at $15.72 on Tuesday.

That was despite the company posting an 80% fall in statutory profit for the first half, leading it to slash its interim dividend by 66% to 14 cents per share.

These shares made today’s biggest gains:

ASX-listed company	Share price	Price change
Sims Ltd (ASX: SGM)	$15.72	7.08%
Domain Holdings Australia Ltd (ASX: DHG)	$3.09	5.46%
Coronado Global Resources Inc (ASX: CRN)	$2.11	4.46%
Challenger Ltd (ASX: CGF)	$7.58	4.41%
Karoon Energy Ltd (ASX: KAR)	$2.32	4.04%
Adbri Ltd (ASX: ABC)	$1.82	4%
Smartgroup Corporation Ltd (ASX: SIQ)	$5.72	3.81%
Boral Limited (ASX: BLD)	$3.69	3.36%
Perpetual Limited (ASX: PPT)	$26.80	3.32%
Megaport Ltd (ASX: MP1)	$6.03	3.25%

Our top 10 shares countdown is a recurring end-of-day summary to let you know which companies were making big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Tuesday
• Why Challenger, SG Fleet, Sims, and Universal Store shares are rising
• Are whales dipping in and out of this ASX 200 travel share?
• 3 ASX All Ordinaries shares rocketing over 5% on strong earnings updates
• Challenger share price screams 7% higher on half-year results

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. has positions in and has recommended CSL and Megaport. The Motley Fool Australia has positions in and has recommended Smartgroup. The Motley Fool Australia has recommended Challenger and Megaport. 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 was on course to record a small gain until the release of an announcement late in the afternoon.

The energy producer’s shares are now down 1.5% to $36.14.

What’s going on with the Woodside share price?

This afternoon, Woodside released a small update on a few items to expect in its upcoming full year results release.

Following a review of the year-end carrying values of its assets, the company expects to recognise a non-cash, post-tax asset value impairment reversal of approximately $630 million (pre-tax value of approximately $900 million) for the Wheatstone asset. This is primarily due to a revision in short and long term LNG price assumptions.

The company also expects to recognise a Pluto petroleum resource rent tax (PRRT) deferred tax asset (DTA) of approximately $1,360 million. This is primarily due to higher 2022 income, improved future price assumptions, and additional volumes processed through the Pluto-KGP Interconnector.

The release also notes that these will be excluded from underlying net profit after tax (NPAT) for the purposes of calculating the 2022 full year dividend. This is consistent with prior practice.

Production disruption

The real drag on the Woodside share price this afternoon is likely to be an update on its planned maintenance.

Management explained that the Pluto LNG operation will have four weeks of maintenance in the second quarter. The North West Shelf LNG train 1 will have four weeks of maintenance in the third quarter and the Ngujima-Yin FPSO dry dock will have four month of maintenance during the first half.

However, Woodside’s full year production guidance remains unchanged at 180MMboe to 190MMboe despite this. Though, investors appear to believe the lower end of the range is more likely now judging by the share price reaction.

The post Woodside share price turns red following production update appeared first on The Motley Fool Australia.

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More reading

• Here are the top 10 ASX 200 shares today
• Why are ASX 200 energy stocks like Woodside having such a stellar start to the week?
• Even Joe Biden sees a lengthy future for ASX 200 oil stocks
• 5 things to watch on the ASX 200 on Monday
• ASX 200 shares: How to invest $10,000 to get $910 per year in passive income

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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The All Ordinaries Index (ASX: XAO) appears to be brimming with love today and is giving ASX investors a bit of a Valentine’s Day present. At the time of writing, the All Ords has risen by a healthy 0.19%, putting the index at just under 7,630 points.

But some ASX All Ords shares are receiving even more love from Cupid. So let’s check out two that have just hit new 52-week highs this Valentine’s Day.

2 ASX All Ords shares hitting new highs today

AUB Group Ltd (ASX: AUB)

First All Ords share worth a gander is the insurance brokering company AUB Group. AUB shares have had a rather interesting day, as you can see below:

The company has hit a new multi-year high. AUB shares touched $25.48 each just after market open this morning. Not only is that a new 52-week high, but it is the highest the shares have traded at since early January 2022.

But alas, these new heights were not to last. Soon after hitting this peak, AUB shares plummeted and are now barely breaking even at $25.07 each, up just 0.2% for the day thus far.

There hasn’t been much in the way of news out of this company lately, so perhaps investors can’t decide what AUB might tell us when it releases its half-year earnings on 22 February later this month.

Weebit Nano Ltd (ASX: WBT)

Next up today is another All Ords share in Weebit Nano. This ASX tech share has also had a bit of a bumpy ride this Tuesday, but we can’t take away the company’s new 52-week high. Again, it was soon after market open that the Weebit Nano share price reached $6.222 each.

That’s a new 52-week high for Weebit Nano shares. But it’s also the highest point this company has reached in over a decade. Yep, you’d have to go back to 2012 to find the last time Weebit Nano shares had a 6 in front of them. Weebit Nano has since cooled off a bit but is still up 0.84% at present to $5.97 a share.

This company has had an extraordinary 2023 so far, with Weebit Nano shares up a whopping 71.4% year to date:

These monstrous gains seem to stem from the company’s early January announcement that it was bringing its first-ever 22-nanometre chip to manufacturing. 

The post Love all around: 2 ASX All Ords stocks smashing new 52-week highs on Valentine’s Day appeared first on The Motley Fool Australia.

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More reading

• 3 ASX All Ordinaries shares going gangbusters on Monday
• Here are the top 10 ASX 200 shares today
• Guess which ASX All Ords share is leaping higher on a return to profit
• Here are the top 10 ASX 200 shares today
• 3 ASX All Ords shares rocketing 10% or more today

Motley Fool contributor Sebastian Bowen 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 Aub 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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The S&P/ASX 200 Index (ASX: XJO) share market seems like a great vehicle to drive our net worth towards being wealthy. Certainly, I’d much rather pick ASX 200 dividend shares over term deposits.

It’s true that term deposits are now offering much better interest rates compared to 12 months ago.

Savers can now get very competitive rates on their savings. For example, when looking at term deposits from the big banks of Commonwealth Bank of Australia (ASX: CBA), National Australia Bank Ltd (ASX: NAB), Westpac Banking Corp (ASX: WBC), and ANZ Group Holdings Ltd (ASX: ANZ), we can now see a few term deposit percentage rates starting with a 4.

But, despite the much better interest rates, I think ASX 200 dividend shares are more likely to make us wealthy.

Stronger income compounding potential than term deposits

If I put $10,000 into a term deposit with an interest rate of 4%, in 12 months I’d receive $400 in interest.

To benefit from the power of compounding, I’d need to leave the $400 of interest with the bank and re-invest the $10,400 for another 12 months. At the end of year two, I’d be paid $416 of interest, leaving me with $10,816.

But, ASX 200 dividend shares can deliver more growth, in theory.

If I put $10,000 into an ASX 200 dividend share that had a share price of $10, I’d get 1,000 shares. If that business had an expected 4% dividend yield, I’d get $400 in dividends after the first year. I could re-invest the dividend and let’s say I could buy another 40 shares (probably using a dividend re-investment plan), leaving me with 1,040 shares if the share price is still $10.

Let’s say that when the company reported its next full-year result it decided to grow the dividend by 10% after achieving earnings growth, resulting in $440 from my original 1,000 shares and $17.60 from my extra 40 shares, meaning a total of $457.60 of income paid in year two.

Assuming the share price didn’t change, my original $10,000 investment has turned into $10,858.

It’s the ability of a company to grow the dividend alongside earnings that can supercharge passive income combined with re-investment, rather than simply relying on re-investing the income each year.

Of course, it’s not just income that makes up the returns of ASX 200 dividend shares. Capital growth is a big part of the picture.

Capital growth adds to returns

Let’s use the biggest ASX exchange-traded fund (ETF) as an example. The Vanguard Australian Shares Index ETF (ASX: VAS) tracks the S&P/ASX 300 Index (ASX: XKO), which is very similar to the ASX 200 and owns many of the same ASX 200 dividend shares.

Since the ETF’s inception in May 2009, the fund has produced an average return per annum of 9.21%. Around half of that was from income – an average of 4.64% per annum, more than the dividend yield in my above example – and half of the total return was from capital growth. This shows how the ASX as a whole has performed, and the split of returns.

We don’t know what share prices are going to do this month or this year. But, if earnings keep growing then I think ASX 200 dividend shares give themselves a great chance of growing the share price (and the dividend payout).

Which ASX 200 dividend shares to buy?

I like the look of businesses that are capable of producing long-term earnings growth and dividend growth. For example, in this article, I mentioned Washington H. Soul Pattinson and Co. Ltd (ASX: SOL), Brickworks Limited (ASX: BKW), Sonic Healthcare Ltd (ASX: SHL), and APA Group (ASX: APA) and I also cover Wesfarmers Ltd (ASX: WES) shares sometimes.

I believe these are the sorts of names that can make better income returns and total than term deposits.

The post Banking on term deposits to retire rich? I’d buy ASX 200 dividend shares instead appeared first on The Motley Fool Australia.

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More reading

• Vanguard Australian Shares Index ETF: Short-term pain for long-term gains
• Should I buy Wesfarmers shares before the company reports this week?
• 3 of the best ASX 200 shares to buy now: broker
• 5 ASX 200 shares I would buy if I was starting from scratch: expert
• How I’d generate a $30,000 retirement income from the Vanguard Australian Shares Index ETF

Motley Fool contributor Tristan Harrison has positions in Brickworks and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Apa Group, Brickworks, Washington H. Soul Pattinson and Company Limited, and Wesfarmers. The Motley Fool Australia has recommended Sonic Healthcare and Westpac Banking. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Are you searching for dividend shares to buy? If you are, then the two named below could be worth a closer look.

Both have been named as buys by brokers and tipped to provide investors with big yields. Here’s what you need to know about them:

South32 Ltd (ASX: S32)

The first ASX dividend share for income investors to consider is South32.

It could be a buy according to analysts at Morgans, which believe the mining giant is a great option due to its “clear exposure to a recovery scenario for China growth.” The broker also likes the miner thanks to its portfolio transformation and strong balance sheet. The latter is seen as “supporting potential for further M&A.”

Morgans has an add rating and $5.30 price target on South32’s shares.

As for dividends, the broker is expecting South32 to pay fully franked dividends per share of 23 cents in FY 2023 and 21.6 cents in FY 2024. Based on the current South32 share price of $4.64, this will mean yields of 5% and 4.7%, respectively.

Universal Store Holdings Ltd (ASX: UNI)

Another ASX dividend share for income investors to consider is Universal Store.

This retailer, known for the Universal Store and Thrills brands, has been named as a buy by analysts at Goldman Sachs. The broker believes the company is well-placed to benefit from “a strong outlook for Gen-Z spending” and its ongoing store roll-out.

Goldman Sachs has a buy rating and $7.55 price target on its shares.

In respect to dividends, the broker is expecting fully franked dividends of 27.2 cents in FY 2023 and 29.9 cents in FY 2024. Based on the latest Universal Store share price of $5.64, this equates to yields of 4.8% and 5.3%, respectively.

The post These ASX dividend shares have big yields and bigger upside potential: experts appeared first on The Motley Fool Australia.

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More reading

• Why Challenger, SG Fleet, Sims, and Universal Store shares are rising
• Big yields are coming for these ASX dividend share: experts
• If I had a spare $1,000, here’s where I’d invest in the stock market now
• 2 ASX growth shares that also offer incredible dividends
• Beat the RBA hikes with these ASX dividend shares in February: experts

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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If your risk profile allows it, having a little exposure to the small end of town could be a good thing for a portfolio.

That’s because of the potentially strong returns that are on offer with small cap ASX shares.

But which ones could be buys? Two that Goldman Sachs rates as buys are listed below. Here’s what it is saying about them:

FINEOS Corporation Holdings PLC (ASX: FCL)

The first small cap ASX share to look at is Fineos, which is a provider of core systems for life, accident, and health insurance carriers globally. It has 7 of the 10 largest group life and health carriers in the US, as well as a 70% market share of group insurance in Australia.

Goldman is very positive on the company and has a buy rating and $2.40 price target on its shares. It commented:

Recent industry data points and commentary suggest that demand conditions are normalizing into 2023, with easing wage pressures increasing confidence in FCL’s cash break-even trajectory (we now see upside to consensus earnings across FY23-25E). Separately, FCL’s closest US comp Duck Creek was taken out for ~2-3x FCL’s trading multiple, providing valuation support for the sector.

Maas Group Holdings Ltd (ASX: MGH)

Another small cap ASX share to consider buying is Maas. It is a construction material, equipment and service provider.

Goldman believes that it could be a small cap to buy and has a buy rating and $4.20 price target on its shares. The broker is positive thanks to Maas’ ongoing transition, which it believes this will underpin higher quality earnings. It explained:

We believe MGH is in a transition phase and will see higher quality real estate income become the largest source of earnings in the next 3-5 years. We believe the market is mispricing how MGH’s civil and construction capabilities support the property development business to deliver best-in-class margins and asset turnover. In our view the value created through the development of quality annuity revenue from Build-to-Rent (BTR), Land Lease (potentially generating a 4.5x ROIC annuity income stream) and commercial real estate projects could re-rate the stock.

The post Goldman Sachs says these ASX small cap shares are buy with major upside potential appeared first on The Motley Fool Australia.

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More reading

• Why De Grey, Elders, Maas, and Nuix shares are charging higher today
• Guess which ASX 300 share is soaring 13% on a major earnings boost
• 2 of the most compelling ASX 300 shares to buy this month: fund manager

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 FINEOS Corporation. 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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With so many shares to choose from on the ASX, it can be hard to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you.

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

Endeavour Group Ltd (ASX: EDV)

According to a note out of Morgans, its analysts have upgraded this drinks giant’s shares to an add rating with an improved price target to $7.80. Morgans notes that Endeavour’s half year result was comfortably ahead of expectations with its retail margin performance the key standout. And while the regulatory environment remains uncertain, on balance, it thinks the risks lie to the upside with the underlying business performing well. The Endeavour share price is trading at $7.00 on Tuesday.

JB Hi-Fi Limited (ASX: JBH)

A note out of Citi reveals that its analysts have retained their buy rating and $55.00 price target on this retailer’s shares. This follows the release of a result and trading update in line with its expectations. Overall, the broker continues to see upside risk to consensus expectations and plenty of value in its shares. The JB Hi-Fi share price is fetching $45.15 this afternoon.

REA Group Limited (ASX: REA)

Analysts at Goldman Sachs have retained their conviction buy rating and $158.00 price target on this property listings company’s shares. Goldman was pleased with the realestate.com.au operator’s half year results and believes both the quality of the company and its positive thesis were reinforced by it. The REA share price is trading at $121.66 on Tuesday.

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

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More reading

• Are JB Hi-Fi shares now at a bargain price?
• Credit and drinks: Experts name 2 ASX shares to buy for a 2023 economic slowdown
• Here are the top 10 ASX 200 shares today
• Deadline coming: 3 ASX 200 shares to buy now before dividend payouts
• Why Audinate, Endeavour, IAG, and Vitura Health shares are charging higher

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 Jb Hi-Fi and REA Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Core Lithium Ltd (ASX: CXO) shares have the unsolicited honour of counting amongst the top shorted shares on the ASX.

And short interest in the S&P/ASX 200 Index (ASX: XJO) lithium stock has been growing.

Last Monday, 6 February, short interest in the company stood at 9%.

Yesterday, 13 February, short interest in Core Lithium shares had increased to 9.6%. That makes it the fifth most shorted stock on the ASX at the start of the week.

So, why are ASX investors betting the share price will come down?

Why is short interest growing?

Core Lithium shares look to be attracting short interest for a number of reasons.

First, investors appear to be concerned about the medium-term outlook for lithium prices. Following some big share price gains, that’s seen a number of other ASX lithium stocks make the top-10 most shorted list in recent weeks.

Indeed, with supply forecasts up and demand forecasts down for 2023, the price of the battery critical metal has fallen more than 20% since hitting all-time highs on 14 November.

Lithium carbonate prices in China (courtesy of Trading Economics) reached AU$126,000 per tonne in mid-November. Prices currently stand at AU$99,225 per tonne.

Valuation concerns are another reason Core Lithium shares are finding themselves in the crosshairs of short sellers.

On 30 January, Goldman Sachs reiterated its sell rating on Core Lithium, with a 95-cent share price target. That’s roughly 6% below the current share price of $1.01.

“CXO continues to look expensive relative to peers trading at 1.5x NAV (peer average ~1.2x NAV),” the broker stated.

Goldman also cited production risks at the miner’s Finniss project, located in the Northern Territory, where the first spodumene concentrate production is expected during the first half of this year.

According to Goldman Sachs:

We see production risk as the Finniss project moves through ramp up on project complexity (moving between different open pits and underground configurations), and the required exploration/resource upside to support capacity expansion/life extension currently priced into the stock looks significant.

How have Core Lithium shares been tracking?

Core Lithium shares are trading right about where they kicked off 2023.

As you can see in the chart below, the ASX lithium stock remains up 28% over the past 12 months, defying short sellers. At least for now.

Go back a bit further, and you’ll find shares are up 310% over two years.

The post Why is short interest in Core Lithium shares growing? appeared first on The Motley Fool Australia.

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More reading

• Here are the 10 most shorted ASX shares
• Why has the Core Lithium share price tumbled 15% in under 2 weeks?
• Better buy: Core Lithium vs Pilbara Minerals shares
• Here are the 3 most heavily traded ASX 200 shares on Monday
• Why Brainchip, Core Lithium, IAG, and Nick Scali shares are dropping today

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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Imagine being handed $500 each month for doing nothing at all. That’s the beauty of passive income, a major benefit of investing in ASX dividend shares.

Fortunately, I truly believe anyone with a few hundred dollars a month of spare cash can build up a passive income portfolio now and reap the rewards later without breaking the bank.

However, investing in any and all ASX dividend stocks could prove detrimental. Here’re five steps I’d take if I were aiming for $500 of monthly passive income, starting from scratch in 2023.

#1 commit to regularly investing

Investing involves just that, investing. To become an investor, one must have cash to begin with.

And while sinking a few hundred into the stock market here and there can build wealth, reaching a set goal is likely better done by employing a consistent investing strategy.

I believe committing to investing a set amount, say $500 a month, into ASX dividend shares is the first step to building a reliable dividend stream.

#2 know the ins and outs of ASX dividends

As alluded to above, running blindly into the stock market is rarely the best way to set yourself up to benefit from your investments.

So, I’d argue the second step to building passive income with ASX shares is to understand how dividends work.

If a company is generating more cash than it has a use for, it can hand the excess to its shareholders. The portion of such free cash flow that an investor receives is a dividend.

Thus, the best ASX dividend shares are generally those with strong, consistent, and defensive cash flows.

#3 hunt down ASX passive income opportunities

On that note, the next step is finding ASX shares worth buying.

There’s no single rule that makes one stock a better buy than another. That often comes down to an investor’s preference, existing knowledge, and risk tolerance.

However, if I were investing for passive income, I’d likely stick to S&P/ASX 200 Index (ASX: XJO) shares that I understand and that boast a history of turning consistent cash flows into decent dividends.

On top of that, I would ensure they’re trading at a good price before buying them. Of course, that means I’d be in for a decent amount of homework. But there is a shortcut.

An investor can always turn to an exchange-traded fund (ETF) like the Vanguard Australian Shares High Yield ETF (ASX: VHY) to get a hold of a diverse range of dividend paying stocks.

#4 invest in a passive income portfolio

After considering the best path forward for themselves, I’d advise an up-and-coming passive income investor to stick to their guns. The market tends to ebb and flow but has historically always gone up.

While it might be tempting to halt an investing strategy when the market is falling, doing so can be detrimental to an investor’s long-term goals.  

Speaking of the long-term, if I were to be investing $500 a month, it would take me a while to reach $500 of monthly passive income ($6,000 of annual passive income).

My portfolio of ASX shares would need to be worth $120,000 before I could realise $6,000 of passive income each year, assuming a 5% dividend yield. That’s why I would reinvest my dividends until I reach my goal.

By investing $500 a month and using my dividend income to buy more shares, I could compound my returns, thereby growing my portfolio to $120,000 in a little over 14 years.

#5 regularly review and adjust

Finally, building an ASX passive income portfolio is rarely a ‘set and forget’ endeavour. Nearly everything changes over time, and companies listed on the ASX are no exception.

If I were relying on ASX shares for passive income, I’d keep an eye on their businesses and the environment they operate in to make sure they make good investment sense now and into the future.

The post 5 steps to making $500 in monthly passive income in 2023 appeared first on The Motley Fool Australia.

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More reading

• Why Ansell, Breville, Star, and Temple & Webster shares are falling
• I’d drip-feed $400 a month into ASX shares to try for a million
• Why Challenger, SG Fleet, Sims, and Universal Store shares are rising
• Vanguard Australian Shares Index ETF: Short-term pain for long-term gains
• Dash for trash fades as earnings cliff looms for ASX shares, with the market shooting first and asking questions later

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. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Vanguard Australian Shares High Yield 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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The S&P/ASX 200 Index (ASX: XJO) is back on form on Tuesday. In afternoon trade, the benchmark index is up 0.15% to 7,428.7 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are dropping:

Ansell Limited (ASX: ANN)

The Ansell share price is down 8.5% to $25.71. Investors have been selling this health and safety products company’s shares following the release of its half year results. Ansell reported a 17.2% decline in sales to $835.3 million and a 16.5% reduction in net profit after tax to $64.8 million. This was driven by weakness in the company’s healthcare segment, which offset growth in the industrial segment.

Breville Group Ltd (ASX: BRG)

The Breville share price is down 6% to $20.38. This follows the release of the appliance manufacturer’s half year results. Breville reported a 1.1% increase in revenue to $888 million and a 1.3% lift in net profit after tax to $78.7 million. The latter was ahead of consensus estimate of $74.2 million, but that hasn’t stopped its shares from falling.

Star Entertainment Group Ltd (ASX: SGR)

The Star share price is down a further 12% to $1.30. Investors have been selling this casino operator’s shares since the release of a disappointing earnings update on Monday. Star revealed that competition in Sydney and regulatory issues have been weighing heavily on its performance.

Temple & Webster Group Ltd (ASX: TPW)

The Temple & Webster share price is down 22% to $3.84. This morning, Temple & Webster released its half year results and reported a 12% decline in revenue and a 46.7% reduction in net profit after tax. This was due to the company cycling strong lockdown-boosted sales in the prior corresponding period. It is also worth noting that the company’s result was in line with Goldman Sachs’ estimates, despite what its share price may indicate.

The post Why Ansell, Breville, Star, and Temple & Webster shares are falling appeared first on The Motley Fool Australia.

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More reading

• Dash for trash fades as earnings cliff looms for ASX shares, with the market shooting first and asking questions later
• Breville share price tumbles 4% as revenue growth slows
• Ansell share price slumps 8% as healthcare sales fail to cough up
• Temple & Webster share price sinks 13% on half year results
• 5 things to watch on the ASX 200 on Tuesday

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 Temple & Webster Group. The Motley Fool Australia has recommended Ansell and Temple & Webster 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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