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It certainly was an eventful year for Pilbara Minerals Ltd (ASX: PLS) shares.

As you can see on the chart below, the lithium miner’s shares traded as high as $5.66 before finishing the year at $3.77.

While this still meant that Pilbara Minerals shares ended the year with a 17% gain, it could have been so much better for shareholders.

What happened to Pilbara Minerals shares in 2022?

Investors were scrambling to buy the lithium giant’s shares last year due to its strong performance in FY 2022.

Thanks to sky high lithium prices, Pilbara Minerals reported a 577% increase in revenue to $1.2 billion and earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $814.5 million. The latter was up massively from just $21.4 million in FY 2021.

And with Pilbara Minerals’ online lithium auctions continuing to command higher and higher prices for much of the year, investors were betting on another stellar result in FY 2023.

Furthermore, management revealed that it would pay its maiden dividend in 2023, much to the delight of shareholders.

However, a couple of bearish broker notes late in the year claiming that lithium prices could soon collapse caused investors to panic.

The selling then intensified after Pilbara Minerals released a digital auction which revealed a month on month decline in the price commanded for its lithium on the platform.

What’s next?

Opinion remains divided on where Pilbara Minerals shares are heading in 2023.

The team at Macquarie remain positive and expect lithium prices to remain strong. As a result, the broker has put an outperform rating and $7.50 price target on its shares. This suggests that its shares could double in 2023.

Whereas Credit Suisse has an underperform rating and lowly $2.60 price target on its shares. This implies potential downside of 30% for investors from current levels.

Time will tell which broker made the right call.

The post Why did 2022 bring such huge highs and lows for Pilbara Minerals shares? appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Wednesday
• Why are ASX 200 lithium shares running on empty today?
• Why Invictus Energy, New Hope, Pilbara Minerals, and WiseTech shares are dropping
• Why has the Core Lithium share price fallen 26% in a month?
• 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 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 Woodside Energy Group Ltd (ASX: WDS) share price is down 1.83% during the lunch hour, at $34.70 per share.

This comes as investors eye the potential impact of fast-spreading COVID cases in China on energy demand. Concerns that saw Brent crude oil prices dip 4.4% overnight.

S&P/ASX 200 Index (ASX: XJO) energy share investors are also keeping an eye on the potential impact of the government price caps on gas, and how this might impact the Woodside share price.

What’s happening with the gas price caps?

In December, the government’s proposal to cap the price of coal and gas sold in domestic markets passed through the Senate despite opposition from the crossbench.

The government made the move, citing concerns over soaring electricity costs in 2023 as gas prices rocketed in 2022 amid the Russian invasion of Ukraine.

According to the government website, the “emergency, temporary price cap on new domestic wholesale gas sales by east coast producers will be implemented for 12 months to help keep wholesale gas contract prices under control”.

The government intends to set this cap at $12/GJ, noting it believes this is “a reasonable price allowing for the key costs of domestic supply, including a reasonable return on capital, for gas sourced from currently operational fields”.

According to data from the Australian Competition and Consumer Commission, before Russia invaded Ukraine, 96% of the 289 domestic supply offers on the east coast in 2021 for supply in 2023 were below $12/GJ. The average offer came in at $9.20/GJ.

Gas from undeveloped fields will not be impacted by the price caps.

To date, the Woodside share price has largely shrugged off the price caps. Shares are down about 2.5% since the legislation passed the Senate.

Not that Woodside CEO Meg O’Neill is pleased about the caps.

O’Neill stated:

The policy will not address falling domestic gas supply and the increasingly critical role of gas in providing dispatchable power… We need to unlock gas supply now.

Woodside has been looking at options to increase supply, including through new LNG import terminals, exploration spending and further development on the east coast. Unfortunately, the proposed market intervention will make it very difficult for industry to economically invest to increase supply.

The final impact on the Woodside share price remains to be seen.

But I suspect that the company’s performance will hinge more on global oil and gas prices than the temporarily, artificially suppressed domestic gas prices.

Woodside share price snapshot

As you can see in the chart below, the Woodside share price has enjoyed a strong year, up 53% over the past 12 months. For some context, the ASX 200 is down 7% over this same period.

The post What could gas caps mean for the Woodside share price? appeared first on The Motley Fool Australia.

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More reading

• ANZ shares were slaughtered in 2022. Does the new year bring fresh hope?
• Why are ASX 200 energy shares falling today?
• Forget gold! Here’s why I’d buy ASX 200 dividend shares to hedge against inflation
• 5 things to watch on the ASX 200 on Wednesday
• Broker tips significant upside for the Woodside share price

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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I believe investing a small portion of my portfolio in high-yielding ASX income shares could up my annual returns by a quarter. My secret ingredient? Diversification.

Why I would diversify to bolster returns

Say I held a portfolio of shares capable of offering a stable 5% return annually. Such a return – considering both capital gains and dividends – is relatively modest. Though, it’s likely also comparatively safe.

But what if I told you there might be a way I could have my cake and eat it too? That is, investing a small portion of my portfolio in high-yielding ASX shares.

Plenty of quality ASX dividend shares are likely trading for a discount following 2022’s market downturn.

Many of those could be capable of returning more than 10%, including both share price gains and dividends, at their current prices.

How I might boost my ASX portfolio‘s annual return by 25%

Now, I wouldn’t want to give up my core portfolio in a bid to realise higher returns. What I might do, however, is create a smaller high-yield ASX portfolio to sit alongside it.

I might aim to build up my high-yield portfolio to a quarter of the size of my core portfolio, taking care to only add shares I believe can outperform the market over the long term.

If I could find a handful of shares capable of providing an average 10% annual return, my portfolio’s predicted performance might look like this:

Portion of my portfolio	Expected annual return
75%	5%
25%	10%
100%	6.25%

Thus, I could bump my total projected annual return from 5% to 6.25% – increasing it by 25% – by investing in a shadow portfolio of high-yielding ASX shares.

Though, it’s worth noting no investment is guaranteed to provide returns and past performance isn’t an indication of future performance.

Risk vs reward

You might be reading this and wondering why I wouldn’t just build my entire portfolio from shares I believe could return more than 10% annually.

My reasoning is simple: Higher rewards generally come with higher risks.

Rarely will a blue chip share return 10% in a single year. However, that sort of return is often common among growth stocks.

Thus, diversification can help an investor make the most of various investing enclaves, while still offering some protection from market swings.

Additionally, an investor’s tolerance for risk and volatility should largely determine the makeup of their ASX portfolio. Personally, I’d be comfortable with a 75%-stable and 25%-high-yield mix, and the diversification such a make up can offer.

The post How a high-yield ASX income portfolio could boost my annual returns by 25% appeared first on The Motley Fool Australia.

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More reading

• ANZ shares were slaughtered in 2022. Does the new year bring fresh hope?
• How I’d invest $2,000 like Warren Buffett in 2023
• The Qantas share price soared 20% in 2022. Can it maintain altitude in 2023?
• These were the 3 best performing ASX lithium shares of 2022
• Can the BHP share price deliver in 2023?

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 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 Australia and New Zealand Banking Group Ltd (ASX: ANZ) share price fell just over 13% in 2022. But can the ASX bank share turn things around in 2023?

It significantly underperformed the S&P/ASX 200 Index (ASX: XJO) which dropped by around 7%.

Indeed, it also underperformed compared to the other big banks, Commonwealth Bank of Australia (ASX: CBA), National Australia Bank Ltd (ASX: NAB), and Westpac Banking Corp (ASX: WBC).

What went wrong in 2022?

I’m not sure that anything went particularly wrong last year. But, there were a few elements that could have caused concern.

In mid-2022, when interest rate rises started picking up, investors may have become concerned about how the bank’s loan book was going to perform in a rapidly-rising interest rate environment. Would it lead to higher arrears and bad debts?

How the bank performed in its FY22 result could also have been a factor.

In the 12 months to 30 September 2022, it reported that statutory net profit after tax (NPAT) rose by 16% to $7.1 billion. That’s a strong growth number.

However, the bank said that its core underlying profit actually went backwards. Its continuing operations cash profit before credit impairments, tax and large/notable items fell 3% to $9.1 billion.

But the ANZ board did decide to grow the annual dividend per share by 3% to $1.46.

It also said that its total gross loans and advances (GLAs) increased by 7% to $676 billion. The ANZ CEO Shayne Elliott explained that it has restored momentum with its Australian home loans with application approval times “back in line with industry peers”.

Another factor that could have impacted the ANZ share price in 2022 was the announcement of the proposed acquisition of the banking division of Suncorp Group Ltd (ASX: SUN). ANZ says that this deal will add scale and allow it to challenge the other major banks more effectively.

However, it’s possible that the deal may not be a great move, particularly if the bank focuses on integrating the Suncorp banking division rather than improving its current operations.

Could 2023 be better?

For ANZ shares in 2023, the biggest boost could be the higher interest rates.

A key part of a bank making profit is the net interest margin (NIM). The NIM is the profit margin that the bank makes on its lending compared to the cost of that funding, such as savings accounts and term deposits.

If a saver had $100,000 in a term deposit with a rate of 3%, and $100,000 was lent with a loan rate of 5%, the NIM would be 2%.

The NIM can increase in a rising interest rate environment because the banks are passing on rate increases to borrowers faster than to savers.

In its FY22 result, ANZ said:

We expect the environment will continue to be supportive for margins in the first half, although any change from the exit margin is likely to be more modest.

ANZ indicated that in FY23, it could earn an additional net interest income of $1.5 billion and then in FY25, it could generate $3.2 billion of extra net interest income.

If profit goes higher, investors could decide that the ANZ share price is worth more, along with potentially higher dividends.

Valuation

According to Commsec, the ANZ share price is valued at 10 times FY23’s estimated earnings with a potential grossed-up dividend yield of 9.3%.

At this price, ANZ looks cheap and offers a big yield. With higher lending profit expected, it could be worth looking at, though it’d be wise to think about how the planned Suncorp deal and, possibly, higher loan arrears could affect things.

The post ANZ shares were slaughtered in 2022. Does the new year bring fresh hope? appeared first on The Motley Fool Australia.

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More reading

• Forget gold! Here’s why I’d buy ASX 200 dividend shares to hedge against inflation
• 5 things to watch on the ASX 200 on Wednesday
• Broker tips significant upside for the Woodside share price
• Here are the top 10 ASX 200 shares today
• Hot out the gate: 2 ASX 200 shares kicking off 2023 with new 52-week highs

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 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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S&P/ASX 200 Index (ASX: XJO) mining shares outperformed the broader market last year.

The ASX 200 dropped more than 5% over the 12 months to 31 December 2022 amid soaring inflation, rising interest rates, and the war in Ukraine. But the S&P/ASX 200 Materials Index (ASX: XMJ) dodged the carnage, gaining around 5% in that time.

Perhaps unsurprisingly, it was lithium and coal miners that led the way.

Let’s crown the three biggest share price gains posted among ASX 200 materials and resources shares in 2022.

3 best ASX 200 mining shares of 2022

Taking out gold as the ASX 200’s top-performing mining share of 2022 is – drum roll please – lithium favourite Core Lithium Ltd (ASX: CXO).

After closing 2021 at 59 cents, the share shot up over the course of last year to finish at $1.02 – marking a 72.9% gain for the 12-month period.

Lithium was the talk of the town last year and Core Lithium was there to capitalise. The company is working to kick off production at its Finniss Project in the Northern Territory. It’s set to ramp up in the current half.

The next best-performing ASX 200 mining share of 2022 was coal producer Coronado Global Resources Inc (ASX: CRN).

It rose from $1.24 at the final close of 2021 to end last year at $1.99 – a whopping 60.5% gain.

Much of its rise was seemingly driven by its soaring earnings, a result of sky-high coal prices. The black rock’s value soared in 2022 as Russia’s invasion of Ukraine sparked an energy crisis in Europe.

Finally, taking out bronze is another lithium favourite, Sayona Mining Ltd (ASX: SYA). The mining share was added to the ASX 200 in September.

Its shares closed 2021 at just 13 cents before leaping to exit last year at 19 cents – a 46.1% gain.

The company holds assets in Canada and Australia and is expected to restart its North American Lithium operation this quarter.

The post The 3 best performing ASX 200 mining shares of 2022 appeared first on The Motley Fool Australia.

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More reading

• Why are ASX 200 lithium shares running on empty today?
• Why has the Core Lithium share price fallen 26% in a month?
• Here are the 10 most shorted ASX shares
• Here’s what I think could impact the Core Lithium share price in 2023
• These were the best-performing ASX 200 shares of 2022

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 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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While recent market volatility has been disappointing for investors, every cloud has a silver lining.

The silver lining right now is the potential for investors to uncover cheap ASX shares following the volatility.

But as we have seen in the past, the window of opportunity is never open too long. As a result, I’m looking to buy cheap shares before the market rebounds and valuations return to normal again.

It’s what legendary investor Warren Buffett has been doing for decades to great effect. He famously quipped:

Be fearful when others are greedy and greedy when others are fearful.

But if you want to be greedy, how do you find out if an ASX share is cheap or not? One way is the classic price-to-earnings (P/E) ratio.

Price and earnings

I like to look at a company’s P/E ratio to decide if it is cheap. This ratio is the result of dividing a company’s share price by its earnings per share. As a guide, at present, the S&P 500 index on Wall Street trades with an average P/E ratio of 19.89.

It is admittedly a very simple valuation metric and not suitable for all ASX shares. For example, I wouldn’t use it on miners like BHP Group Ltd (ASX: BHP), banks like Westpac Banking Corporation (ASX: WBC), or fledgling tech shares like Life360 Inc (ASX: 360). Instead, I would use valuation methods such as net asset value, book value, and discounted cash flow, respectively, for them.

However, for ASX shares where the P/E ratio is applicable, generally speaking, the lower the P/E ratio the better.

Accent Group Ltd (ASX: AX1) could be a great example right now. This footwear retailer’s shares are currently trading at $1.69. And with Goldman Sachs forecasting earnings per share of 12 cents in FY 2023, this means that its shares trade at 14 times forward earnings.

Notice that I am looking at forward earnings here. This is an important distinction because an ASX share could look cheap based on last year’s earnings. But if there’s no chance of those earnings being repeated the following year, you could be falling into a value trap.

In light of this, I want to buy cheap ASX shares that face no obvious structural issues, are growing, and will continue to grow long into the future.

So, with Accent priced at 14 times forward earnings, which is lower than average, I would argue that this makes its shares cheap today. Especially given how Goldman Sachs is forecasting an earnings compound annual growth rate of 30.3% between FY 2022 and FY 2025.

Time will tell if it is the case, but I believe this is a cheap ASX share that offers a compelling risk/reward for investors over the medium to long term.

The post I’d start loading up on cheap ASX shares while I can appeared first on The Motley Fool Australia.

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More reading

• 23 ASX shares to buy in 2023 – brokers
• Brokers say these top ASX dividend shares are buys for 2023
• Bell Potter names the best ASX shares to buy in 2023
• These quality ASX dividend shares are buys: Goldman Sachs
• Need a passive income boost? Experts say these ASX dividend shares are buys

Motley Fool contributor James Mickleboro has positions in Life360 and Westpac Banking. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Life360. The Motley Fool Australia has recommended Accent Group 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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The Piedmont Lithium Inc (ASX: PLL) share price is in the red in early trade, down 0.76%.

The ASX lithium stock closed yesterday trading for 66 cents per share and is currently trading at 65 cents per share.

This comes after the company reported on an amended agreement with Tesla Inc (NASDAQ: TSLA).

Here’s what investors are mulling over.

What’s the new agreement with Tesla?

The Piedmont Lithium share price is in the red following the announcement the company has amended its agreement to supply United States EV giant Tesla with spodumene concentrate (SC6) from its co-owned North American Lithium project (NAL).

Piedmont Lithium has a 25% interest in NAL, located in the province of Quebec in Canada. Sayona Mining Ltd (ASX: SYA) owns the other 75%.

The new agreement is binding for a three-year term and includes the option to renew for an additional three years. Piedmont has agreed to deliver approximately 125,000 tonnes of SC6 to Tesla beginning in the second half of 2023 and initially running through to the end of 2025.

The price Piedmont Lithium receives for its SC6 will be determined by market prices at the time of each shipment. The miner’s offtake agreement with Sayona entitles it to purchase 113,000 tonnes per year or 50% of SC6 production, whichever is greater.

The company expects to restart spodumene concentrate production at NAL in the first half of 2023. It forecasts that the first commercial shipments will commence in the third quarter of 2023.

Commenting on the amended agreement that’s so far failed to lift the Piedmont Lithium share price today, CEO Keith Phillips said:

We are pleased to be able to partner with Tesla to supply lithium resources produced in North America. The electric vehicle and critical battery materials landscape has changed significantly since 2020 and this agreement reflects the importance of – and growing demand for – a North American lithium supply chain.

This agreement helps to ensure that these critical resources from Quebec remain in North America and support the mission of the Inflation Reduction Act to bolster the US supply chain, the clean energy economy, and global decarbonisation.

Piedmont Lithium share price snapshot

As you can see in the chart below, the Piedmont Lithium share price has struggled over the past 12 months, down 15%. Longer term, however, the ASX lithium stock is up 198% over five years.

The post Piedmont Lithium share price dips on amended Tesla agreement appeared first on The Motley Fool Australia.

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More reading

• Sayona Mining share price higher on North American Lithium news
• Why are ASX 200 lithium shares taking a lashing 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 positions in and has recommended Tesla. 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 market may be pushing higher in morning trade, but the same cannot be said for the energy sector.

At the time of writing, the S&P/ASX 200 Energy index is down 1.5% after energy shares dropped at the open.

Here’s a summary of how they are performing:

• The Beach Energy Ltd (ASX: BPT) share price has fallen 1.5%.
• The Santos Ltd (ASX: STO) share price is down 1.5%.
• The Woodside Energy Ltd (ASX: WDS) share price has dropped 3%.

Why are ASX 200 energy shares falling?

Investors have been hitting the sell button on Wednesday after a very poor night of trade for oil prices.

According to Bloomberg, the WTI crude oil price is down 4.2% to US$76.90 a barrel and the Brent crude oil price has tumbled 4.4% to US$82.10 a barrel. Traders were selling oil amid concerns over Chinese demand and global economic growth.

Commenting on energy markets, courtesy of CNBC, Mizuho analyst Robert Yawger, said:

There is plenty of reason for concerns here – the China COVID-19 situation and the fear of recession in the foreseeable future is putting pressure on markets

This follows the release of poor economic data out of China and news that the Chinese government has raised its export quotas for refined oil products in the first part of 2023. The latter is being seen as a sign that the government is expecting poor domestic demand as the world’s largest crude importer battles waves of COVID-19 infections.

In respect to global economic growth, IMF Managing Director Kristalina Georgieva spoke bleakly on Sunday about the year ahead. She highlights that the US, European, and Chinese economies were all slowing simultaneously, which is expected to make 2023 a tougher year than 2022 for the global economy.

The post Why are ASX 200 energy shares falling today? appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Wednesday
• Broker tips significant upside for the Woodside share price
• 5 things to watch on the ASX 200 on Tuesday
• How I’d invest $1,000 in ASX 200 shares for rising inflation
• These were the best-performing ASX 200 shares of 2022

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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Are you looking for ASX dividend shares to buy? If you are, then you may want to check out the two listed below that have recently been named as buys.

Here’s why brokers rate these dividend shares highly right now:

Stockland Corporation Ltd (ASX: SGP)

The first ASX dividend share that has been rated as a buy is Stockland.

It is a residential and land lease developer and retail, logistics and office real estate property manager.

Goldman Sachs is positive on the company. And while it acknowledges that trading conditions aren’t easy right now, the broker believes “the potential headwinds are factored into the share price” and sees it as “attractively valued.”

In respect to dividends, Goldman is forecasting dividends per share of 27.6 cents in FY 2023 and 28.3 cents in FY 2024. Based on the current Stockland share price of $3.60, this will mean yields of 7.65% and 7.9%, respectively.

The broker has a buy rating and $4.50 price target on Stockland’s shares.

Wesfarmers Ltd (ASX: WES)

Another ASX dividend share that has been named as a buy is this conglomerate.

Wesfarmers is the company behind a range of businesses such as Bunnings, Catch, Covalent Lithium, Kmart, Officeworks, and Priceline.

The team at Morgans thinks Wesfarmers could be a good option in the current environment due to its value offering. It highlights that “Kmart is well-placed to benefit with the average price of an item at around $6-7.”

As for dividends, its analysts are forecasting fully franked dividends per share of $1.82 in FY 2023 and $1.89 in FY 2023. Based on the current Wesfarmers share price of $45.46, this will mean yields of 4% and 4.15%, respectively.

Morgans has an add rating and $55.60 price target on Wesfarmers’ shares.

The post These are the ASX dividend shares to buy now: brokers appeared first on The Motley Fool Australia.

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More reading

• 2022 was brutal for Wesfarmers shares. What now?
• Here’s how I’ll be investing my money in ASX shares in 2023
• 3 ASX shares under $5 with 7%+ dividend yields
• Boost your passive income with these buy-rated ASX dividend shares: experts
• How to swap your job for $75,000 in retirement income using ASX dividend shares

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 positions in and has recommended 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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The 2022 year was a mixed one for ASX 200 gold shares, but three shares were standout performers.

The Capricorn Metals Ltd (ASX: CMM), Perseus Mining Ltd (ASX: PRU) and Northern Star Resources Ltd (ASX: NST) share prices all soared in 2022. In this piece, we are looking at three shares with a market capitalisation of more than $100 million that are part of the S&P/ASX 200 Index (ASX: XJO).

Let’s take a look at these three ASX 200 gold shares in more detail.

Capricorn Metals

Capricorn Metals shares soared by 35.3% in 2022. The company is developing the Karlawinda Gold Project and the Mount Gibson Gold Project in Western Australia.

Capricorn Metals shares exploded by 78% between market close on 26 September and 30 December. Gold futures rose 12% from US$1633.40 an ounce at market close on 26 September to US$1830.10 on 30 December, CNBC data shows.

In late October, Capricorn advised ore reserves at the Karlawinda project had lifted 12% to 1.34 million ounces. Capricorn shares leapt nearly 5% on this day. Meanwhile, on 7 November Capricorn announced the Mineral Resource Estimate at the Mt Gibson project had soared by 32% from 2,755,000 ounces. Capricorn shares soared 10% on this day alone.

Commenting on this news, executive chairman Mark Clark said:

Our exploration team has made a strong start to FY23, advancing some exciting early-stage prospects across our global tier-1 portfolio as well as expanding beyond known areas of mineralisation.

Perseus Mining

The Perseus share price surged by 30.2% in 2022. Perseus operates three gold mines in Africa. Perseus shares had a bumper end to the year, soaring 57% between market close on 26 September and 30 December amid higher gold prices.

In October, Perseus advised of a maiden ore reserve of 2.2 Mt 3.58 grams per tonne for 259koz at the Yaouré Gold Mine in Côte d’Ivoire. Commenting on the news, Perseus managing director and CEO Jeff Quartermaine said:

Having attained the goal of producing gold at a rate of 500,000oz per year across our three gold mines, we are now working to maintain, and where possible, exceed that level of production over the next decade and beyond.

Northern Star

Northern Star shares leapt by 15.9% in 2022. The company has a market capitalisation of nearly $13 billion. Northern Star outperformed ASX gold giant Newcrest, which fell 15% during the calendar year.

Like Perseus and Capricorn, Northern Star shares soared nearly 57% between market close on 26 September and 30 December. The higher gold price likely helped Northern Star recover losses in the first nine months of the year.

On 15 November, Northern Star provided an exploration update. The company advised of progress on its FY23 exploration program. Managing director Stuart Tonkin said:

Our exploration team has made a strong start to FY23, advancing some exciting early-stage prospects across our global tier-1 portfolio as well as expanding beyond known areas of mineralisation.

The post 3 best ASX 200 gold shares of 2022 appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Wednesday
• Here are the top 10 ASX 200 shares today
• Why ASX 200 gold shares top my 2023 investment radar
• Is the gold price weighing down ASX 200 gold shares today?
• Why are ASX 200 gold shares having such a top run today?

Motley Fool contributor Monica O’Shea 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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