Tag: Motley Fool

The Boss Energy Ltd (ASX: BOE) share price is having a woeful day on the ASX.

At the time of writing, the uranium producer’s shares are swapping hands at $2.68, down 7.90%.

This comes as the broader Aussie stock market is also tumbling on the back of bearish sentiment after Wall Street sank overnight.

Shares in fellow miners, Paladin Energy Ltd (ASX: PDN) and Deep Yellow Ltd (ASX: DYL) are down 4.44% and 8.37%, respectively.

What’s causing Boss Energy shares to fall today?

Investors are offloading the Boss Energy share price after uranium prices have continued their descent in the past few days.

Otherwise known as ‘yellowcake’, the heavy metal is fetching for US$50.85 per pound, a drop of 0.68% from the previous close.

At the beginning of the week, uranium was being traded around US$52.68 before the energy sector tanked.

For context, the S&P/ASX 200 Energy (ASX: XEJ) sector is the worst performer across the ASX today with a 4.11% decline.

In addition, the Global X Uranium ETF (URA) nosedived by 4.04% last night. The index fund covers a number of companies involved in uranium mining and the manufacturing of nuclear equipment.

This comes as investors have pulled out of the commodity markets in fear of the Fed Reserves’ impending rate hike.

When interest rates are lifted, this puts pressure on the stock market.

Nonetheless, as reported by my Fool Colleague Brooke the current global energy crisis could have a positive impact on uranium in the medium-term.

Boss Energy share price snapshot

Despite today’s losses, the Boss Energy share price is up 20% in 2022.

However, when looking over the past 12 months, the share is relatively flat.

Based on today’s price, Boss Energy presides a market capitalisation of roughly $1.03 billion.

The post Why is the Boss Energy share price melting 8% lower? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why are ASX uranium shares getting smashed on Friday?
• ASX uranium shares have had a stellar month. Are they just getting started?
• What’s the outlook for ASX uranium shares in September?
• 2 ASX uranium shares added to the ASX 300 today
• Could this tiny development add even more fuel to ASX uranium shares?

Motley Fool contributor Aaron Teboneras has positions in Paladin Energy Ltd. 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.

from The Motley Fool Australia https://ift.tt/PtFQjK1

It’s turning out to be a disappointing end to a depressing week for ASX investors this Friday. At the time of writing, the S&P/ASX 200 Index (ASX: XJO) has lost another nasty 1.38%, dialling back the index to around 6,748 points. At this point, the ASX 200 is on track to lose around 2.2% for the week.

But let’s not let that ruin our weekends. So rather than dwelling on that, let’s instead take a glance at the ASX 200 shares that are currently topping the share market’s trading volume charts, according to investing.com.

The 3 most traded ASX 200 shares by volume this Friday

Pilbara Minerals Ltd (ASX: PLS)

First up today is the ASX 200 lithium share Pilbara minerals. Pilbara has had a hefty 20.2 million shares trade accounts on the market today. This probably has something to do with the notable share price fall this company has suffered through.

There’s been no news out of Pilbara itself. But the company has retreated from yesterday’s all-time highs and is currently down a chunky 2.45% at $4.58 a share. It’s likely that this market-exceeding fall has prompted the high volume levels we are seeing.

Atlas Arteria Group (ASX: ALX)

Next up is a rare guest appearance for this list in ASX 200 toll road operator Atlas Arteria. This Friday has seen a sizeable 22.01 million Atlas shares cross the bridge to a new owner. This company’s presence here is almost certainly the result of the horrible 14.2% drop Atlas has recorded so far to $6.70 a share.

As my Fool colleague Matthew covered earlier today, this is a result of the company coming out of a trading halt. The proposed acquisition of the US-based Skyway Concession company has not gone down too well with some investors.

Lake Resources NL (ASX: LKE)

Our third, final and most traded ASX 200 share this Friday is none other than Pilbara’s fellow lithium share Lake Resources. Today has seen a whopping 24.8 million Lake shares bought and sold on the ASX so far. There hasn’t been much news to go off here.

But like Pilbara, Lake shares are also dropping today. The company has shed another 3% to 89.5 cents a share, putting its five-day losses at a depressing 33.2%. This drop is probably the reason we are seeing such elevated trading volumes.

The post Here are the 3 most heavily traded ASX 200 shares on Friday appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why Atlas Arteria, Liontown, St Barbara, and Zip shares are dropping today
• ASX lithium shares take a beating on Friday
• Why is the Pilbara Minerals share price in reverse today?
• Why did the Atlas Arteria share price just dive 16%?
• Why is the Lake Resources share price tumbling again?

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 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.

from The Motley Fool Australia https://ift.tt/lNhoKau

The S&P/ASX 200 Index (ASX: XJO) is on course to end the week in a very disappointing fashion. In afternoon trade, the benchmark index is down a sizeable 1.4% to 6,748.8 points.

Four ASX shares that are falling more than most today are listed below. Here’s why they are dropping:

Atlas Arteria Group (ASX: ALX)

The Atlas Arteria share price is down 14% to $6.69. This morning this toll road operator announced the completion of a $2.5 billion institutional entitlement offer. These funds were raised at $6.30 per new share, which represents a discount of 19.3% to its last close price. Atlas Arteria is raising the funds to acquire a 66.67% stake in the Skyway Concession company.

Liontown Resources Limited (ASX: LTR)

The Liontown share price is down over 5% to $1.62. Investors have been selling this lithium developer’s shares despite there being no news out of it. However, it is worth noting that the lithium industry is a sea of red today. Investors appear to be selling higher risk shares during this latest market selloff.

St Barbara Ltd (ASX: SBM)

The St Barbara share price is down a sizeable 8% to 80.5 cents. This has been driven largely by a pullback in the gold price overnight. Traders have been selling down the yield-less safe haven asset after US treasury yields widened. The S&P/ASX All Ordinaries Gold index is down 4.6% this afternoon.

Zip Co Ltd (ASX: ZIP)

The Zip share price is down 3% to 83.5 cents. This follows the broad market selloff and calls for stricter regulations on buy now pay later (BNPL) providers in the United States. The U.S. Consumer Financial Protection Bureau (CFPB) wants to subject BNPL lenders to the same vigorous oversight as credit card companies.

The post Why Atlas Arteria, Liontown, St Barbara, and Zip shares are dropping today appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why did the Atlas Arteria share price just dive 16%?
• Why is the Liontown share price tumbling 5% today?
• Why is the Zip share price ending the week in the red?
• 5 things to watch on the ASX 200 on Friday
• Look who just landed more than $2 million worth of Zip 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 positions in and has recommended ZIPCOLTD FPO. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/fAKBJn3

The S&P/ASX 200 Index (ASX: XJO) is finishing Friday on a whimper as it’s down 2.98% over the last five days and down 1.36% since the market opened this morning.

Some of the biggest shares listed on the ASX 200 are in a slump this afternoon, putting downward pressure on the index.

Some marquee names being painted with a red brush include BHP Group Ltd (ASX: BHP) and Commonwealth Bank of Australia (ASX: CBA), down 2% and 0.79%, respectively, for the day.

But some shares refuse to be pushed down this afternoon. Let’s cover some of the winners.

Tabcorp Holdings Limited (ASX: TAH)

Shares of TAB, a well-known gambling entertainment company, are up by a bit at a 3.46% gain.

Meanwhile, the S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) is down 0.44%.

There’s no news today from ASX 200 share TAB to report on, but yesterday morning it published notice of its annual general meeting, which will take place on 26 October in Brisbane.

Shareholders can vote on the re-election and election of three non-executive directors, among other resolutions.

Computershare Limited (ASX: CPU)

ASX 200 tech share Computershare is up 3.47% for the day.

That’s above the S&P/ASX 200 All Technology Index (ASX: XTX), as it has made a 0.97% loss so far on Friday.

On Wednesday, Computershare’s shares made it to the top of the leaderboard of the ASX 200’s top performers.

Computershare’s resilience could be buoyed by its results in FY22. Notably, it expects an earnings per share (EPS) growth of 55% for FY23.

Reliance Worldwide Corporation Ltd (ASX: RWC)

Reliance Worldwide is up the least of the three, but with a no less impressive 2.92% gain.

At the same time, the S&P/ASX 200 Industrials Index (ASX: XNJ) is struggling at a 2.17% loss.

Reliance Worldwide published an investor presentation yesterday that contained a trading update for its August group sales.

The update highlighted that all of its regional operating segments saw considerable growth from the previous corresponding period, including the America region, which saw sales lift from 33% to 62%.

The post 3 ASX 200 shares defying Friday’s sell-off to surge higher appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why Computershare, Critical Resources, Judo Capital, and Platinum shares are charging higher
• 3 blue-chip ASX 200 shares touting the highest dividend yield in September
• Here are the top 10 ASX 200 shares today
• Guess which ASX 200 share is holding firm amid today’s carnage
• 3 ASX 200 directors who have been selling shares in their companies this week

Motley Fool contributor Matthew Farley 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 Reliance Worldwide Corporation Limited. The Motley Fool Australia has recommended Reliance Worldwide Corporation Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/uUYd1aq

The Polynovo Ltd (ASX: PNV) share price has been thrown into the freezer this afternoon as the company gets ready to release what could be big news.

The medical devices developer appears to be preparing to announce a major product has received United States Food and Drug Administration (FDA) clearance.

The Polynovo share price was trading flat at $1.36 prior to being frozen ahead of the anticipated announcement.

Let’s take a closer look at what’s going on with the S&P/ASX 300 Index (ASX: XKO) stock today.

Polynovo stock in the freezer ahead of FDA news

The Polynovo share price isn’t going anywhere this afternoon. Meanwhile, fans are likely on the edge of their seats as they prepare to learn of the company’s latest news.

In requesting its trading halt, the company hinted that a “major” product had received clearance from the US food and drug regulator.

The approval could have a huge impact on the company’s ability to market the product in the North American nation.

However, eager market watchers will likely be left waiting over the weekend. The stock will remain frozen until Tuesday’s open unless the anticipated announcement drops between now and then.

Polynovo develops medical devices using its patented bioabsorbable polymer technology, Novosorb.

Its NovoSorb Biodegradable Temporising Matrix (BTM) brought in $37.6 million of sales last financial year. The product is a dermal scaffold for the regeneration of dermis that’s lost through surgery or burn.

The company lodged an application for FDA clearance for its Novosorb MTX product early last month.

Polynovo share price snapshot

This year has been a rough one for the Polynovo share price.

The stock has slumped 13% since the start of 2022. It’s also trading for 30.5% less than it was this time last year.

For comparison, the ASX 300 has slipped 11% year to date and 10% over the last 12 months.

The post Polynovo share price halted amid FDA news appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 3 ASX 300 healthcare share winners on Wednesday
• Why did the Polynovo share price plunge 17% today?
• Why Aussie Broadband, Grange, NextDC, and PolyNovo shares are being hammered
• Polynovo share price plummets 15% despite surging full-year revenue
• Why City Chic, Macquarie Telecom, Polynovo, and Smartgroup shares are sinking

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 POLYNOVO FPO. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/OPYQ8bL

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to end the week deep in the red. At the time of writing, the benchmark index is down a disappointing 1.4% to 6,748.9 points.

Four ASX shares that have avoided the selloff are listed below. Here’s why they are charging higher:

Computershare Limited (ASX: CPU)

The Computershare share price is up 3% to $25.68. This is despite there being no news out of the stock transfer and mortgage services company. However, given how it is positively leveraged to rising interest rates, investors may be snapping up shares on the belief that rates will go higher than initially thought.

Critical Resources Ltd (ASX: CRR)

The Critical Resources share price is up a further 3% to 7.8 cents. This lithium explorer’s shares have been on fire this week thanks to the release of a positive update on the 100% owned Mavis Lake Lithium Project. According to the release, assay results have returned the highest grade lithium results in the company’s history.

Judo Capital Holdings Ltd (ASX: JDO)

The Judo Capital share price is up over 2% to $1.19. This morning the business bank successfully priced its inaugural public senior unsecured benchmark bond issuance. Judo has issued a three-year fixed rate note priced at 265 basis points over the three-year swap rate. Management notes that the senior unsecured transaction represents another important milestone against the execution of Judo’s comprehensive funding strategy.

Platinum Asset Management Ltd (ASX: PTM)

The Platinum share price is up 2% to $1.68. This follows news that the fund manager is extending its share buyback for up to 10% of its issued share capital for another 12 months. The fund manager intends to buy shares should its board determine that the Platinum share price is trading at a significant discount to its underlying value.

The post Why Computershare, Critical Resources, Judo Capital, and Platinum shares are charging higher appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Here are the top 10 ASX 200 shares today
• Guess which ASX 200 share is holding firm amid today’s carnage
• 3 ASX mining shares leaping more than 20% on battery minerals news
• 3 ASX 200 directors who have been selling shares in their companies this week
• Here are the top 10 ASX 200 shares today

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Judo Capital Holdings Limited. 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.

from The Motley Fool Australia https://ift.tt/5LsRExG

The A2 Milk Company Ltd (ASX: A2M) share price is down 0.71% today to $5.56 at the time of writing.

That’s a superior performance to the S&P/ASX All Ordinaries Index (ASX: XAO), which is down 1.5%.

A2 Milk share investors have had a rocky few years. In fact, they’ve been terrible years. This is an ASX share that has been truly relegated to the doghouse over the pandemic period.

Let’s take a look at recent history.

The A2 Milk share price plunge

Back in July 2020, the A2 Milk share price was at an all-time high of $20.05. Since then, it has fallen 72%.

No one said the buy-and-hold strategy is easy.

To be fair, investors who bought in at the time of the initial public offering (IPO) in 2015 have still made a bundle. A total of 895%, to be precise (incorporating that painful 72% fall in recent years).

As my Fool colleague Sebastian points out, A2 Milk was once considered a market darling. In fact, it was viewed as an ASX growth share.

Between April 2015 and April 2018, the A2 Milk share price rose by an astounding 2,000%. After this honeymoon period, it experienced some volatility but continued to move up gradually until July 2020.

And then came the impact of the COVID-19 pandemic, which had a profound effect on A2 Milk’s daigou channel.

Are things turning around?

A2 Milk’s FY22 full-year results revealed revenue and earnings about 5% above consensus expectations.

The company reported a 59% lift in underlying earnings before interest, tax, depreciation, and amortisation (EBITDA) to NZ$196.2 million. Its net profit after tax (NPAT) was up 42.3% to NZ$114.7 million.

A2 Milk told the market it expected high single-digit revenue growth in FY23.

What do the experts think?

In a recent webinar, equity analyst Anna Milne from WAM Leaders Ltd (ASX: WLE) was positive on A2 Milk.

Milne said:

So the CEO has made a lot of brave decisions recently to try and turn A2 around, and green shoots are starting to appear.

The daigou channel is now economical and they have price and margin, and it’s just one of these defensive names that has been in the doghouse. So we do like A2 Milk.

Leading fund manager Perpetual Equity Investment Company (ASX: PIC) is on the same page as Milne. The fundie sees “material upside” to the current A2 Milk share price, as my colleague Bruce reported.

In Perpetual equity’s August update, it noted that the most pleasing aspect of A2 Milk’s results was the strong growth of the China Label infant formula business. Despite a significantly lower birth rate in China, A2 Milk’s infant formula business had revenue growth of 40%. 

Finally, Bell Potter has retained its buy rating and lifted the share price target on A2 Milk to $6.60.

As my Fool friend James reported, Bell Potter was impressed that A2 Milk’s Australia-China exports were up 111% year over year in July — the “strongest read in nine months” — and China infant formula imports were up 31%.

The post Could the A2 Milk share price be ready to leave the ‘doghouse’? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Leading fund manager sees “material upside” to the a2 Milk share price
• Broker says the A2 Milk share price can charge even higher
• Why A2 Milk, BHP, Lovisa, and Nickel Industries shares are charging higher
• Why is the A2 Milk share price storming 6% higher on Monday?
• A2 Milk share price on watch following China update

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 no position in any of the stocks mentioned. The Motley Fool Australia has recommended A2 Milk. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/fBPxYFZ

Of the dividends that are coming ASX investors’ way this month, the Rio Tinto Limited (ASX: RIO) dividend must surely be among the most anticipated.

Like its contemporaries in the mining space, the last few years have seen record dividends from Rio Tinto. That’s thanks largely to historically high commodity prices.

Rio announced its half-year earnings back in July. Back then, investors might have initially experienced disappointment with what the company reported in terms of revenue and earnings.

But they might also have been disappointed that Rio did not declare a special dividend to accompany its interim payment. For the past few years, Rio has included a special dividend payment alongside its regular dividends. But not this time.

Saying that, it might be hard to dismiss the fact that the US$2.76 per share fully-franked interim dividend will be the second-highest ever doled out by Rio Tinto.

Unfortunately for would-be Rio investors, the company’s shares have already traded ex-dividend for this upcoming payment. The ex-dividend date was way back on 11 August.

So anyone who has bought Rio Tinto shares since will be ineligible for this payment. But eligible investors will only see the cash (or additional shares, if the dividend reinvestment plan is preferred) next week on 22 August.

The ASX will be closed on that day due to the public holiday commemorating the late Queen Elizabeth II. But Rio’s dividend is still scheduled to be paid out then.

Rio Tinto’s next dividend finally revealed

But today, investors got some happy news to keep the home fires burning until next week’s payday. Rio has announced the final amount that ASX investors are set to receive.

The miner normally declared its dividend payments in US dollars when first announced. It then announces what its investors will receive in the local currency closer to the date, based on prevailing exchange rates.

So we already know that next week’s dividend would be worth US$2.76 per share. But today, we found out that ASX investors can expect a payment of $3.837 per share in our currency.

Rio Tinto shares will have a trailing dividend yield of 10.39% on the current pricing when the dividend is paid. That’s 11.32% if we include the value of the special dividend from earlier this year as well.

The post Hanging out for your Rio Tinto dividend? Here’s the latest appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Morgan Stanley just boosted its outlook for aluminium. Here’s which ASX shares have exposure
• How big will the Rio Tinto dividend be in 2023?
• ASX 200 mining shares stage significant rebound in afternoon trading
• Rio Tinto share price slides despite new $3bn iron ore project
• Rio Tinto share price shrugs off latest blow to Turquoise Hill deal

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 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.

from The Motley Fool Australia https://ift.tt/ajJ4Bdb

ASX lithium shares are taking a beating today.

Granted, it’s a tough day on the market overall.

In afternoon trading the All Ordinaries Index (ASX: XAO) is down 1.5%.

But energy and metals mining stocks – of which ASX lithium shares arguably have a footprint in each – are doing it tougher.

This sees the S&P/ASX 300 Metals & Mining Index (ASX: XMM) down 2.5% while the S&P/ASX 200 Energy Index (ASX: XEJ) is down 4.1% at this same time.

How are ASX lithium shares holding up?

ASX lithium shares have been among the top performers in 2022.

But not today.

At the time of writing here’s how these stocks are holding up:

• Allkem Ltd (ASX: AKE) shares down 4.0%
• Core Lithium Ltd (ASX: CXO) shares down 6.0%
• Pilbara Minerals Ltd (ASX: PLS) shares down 3.0%
• Lake Resources N.L. (ASX: LKE) shares down 2.7%

Not that you should break out your tiny violin for long-term ASX lithium shareholders quite yet!

Here are the returns from these same stocks over the past 12 months:

• Allkem Ltd (ASX: AKE) shares up 60%
• Core Lithium Ltd (ASX: CXO) shares up 207%
• Pilbara Minerals Ltd (ASX: PLS) shares up 95%
• Lake Resources NL (ASX: LKE) shares up 79%

That compares to a 10% full-year loss posted by the All Ordinaries.

So, after all this outperformance, what’s going on?

Why the big Friday fire sale?

Lithium prices are flat over the past day and remain up 4% over the month and a whopping 242% over 12 months.

So, we can’t point the finger of blame there.

Instead, it looks like another rough day of selling in US markets – with futures pointing to more pain tomorrow (overnight Aussie time) – is pressuring shares across the board.

That fall was driven by inflation figures in the world’s largest economy coming in 0.1% higher in August than the numbers reported in July, while the market had largely priced in lower inflation.

This means investors can expect more hawkish tightening from the US Federal Reserve. And higher rates are particularly onerous to growth shares, like many lithium stocks, which are priced with future earnings in mind.

ASX lithium shares are also taking a harder fall in part because they have outperformed so strongly. Some profit taking is likely taking place today as investor sentiment again turns more risk averse.

The post ASX lithium shares take a beating on Friday appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why is the Pilbara Minerals share price in reverse today?
• Why is the Lake Resources share price tumbling again?
• Why is the Core Lithium share price sliding 4% today?
• Here are the 3 most heavily traded ASX 200 shares on Thursday
• Why Lake, Pushpay, South32, and Tyro shares are dropping

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.

from The Motley Fool Australia https://ift.tt/HNheTL9

The BHP Group Ltd (ASX: BHP) share price has had a rough year so far, falling nearly 10% since the start of 2022.

While that leaves it outperforming the S&P/ASX 200 Index (ASX: XJO) – it’s fallen 11% year to date ­– the stock’s tumble has left brokers tipping a considerable potential upside.

The BHP share price is $38.05 at the time of writing, having dumped 6% over the last 30 days.

For context, both the ASX 200 and the S&P/ASX 200 Materials Index (ASX: XMJ) have slumped 5% since this time last month.

Do experts think the iron ore giant can pull out of its strop? Let’s take a look.

Is the BHP share price a buy right now?

Most experts offer a bullish outlook for the BHP share price. However, one top broker is breaking away from the pack in doubting the ASX 200 giant.

And that broker is UBS. It’s tipping the BHP share price to slide 6.7% to $35.50 amid falling commodity prices, my Fool colleague James reported earlier this month.

UBS isn’t alone in questioning commodity prices. Fitch Solutions is said to have dropped its outlook for iron ore earlier this week.

It now tips the steelmaking ingredient’s value to average US$115 a tonne this year, falling to US$100 a tonne in 2023, and by another US$10 each year thereafter until 2025, the Australian Financial Review reports.  

But, while iron ore makes up a large portion of BHP’s business, some tip its coal production to drive its stock higher in the near term.

According to The Australian, Macquarie lifted expectations on both the price of coal and BHP’s shares earlier this week. The broker now tips the BHP share price to lift 10% to $42.

Meanwhile, Morgans has flagged the mining giant as one of its top tips for September. Its analysts slapped the stock with a whopping $48 price target – representing a potential 26% upside, saying:

While there are more leveraged plays sensitive to a global recovery scenario, we see BHP as holding an attractive combination of upside sensitivity, balance sheet strength, and resilient dividend profile.

Finally, Citi and Goldman Sachs have both slapped the stock with buy ratings and respective price targets of $44.50 and $40.50.

The post BHP shares: Buy, hold, or fold? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 3 blue-chip ASX 200 shares touting the highest dividend yield in September
• What’s with ASX copper shares on Thursday?
• ASX 200 shares dump $60 billion in horror session. Here’s how Wednesday unfolded
• ASX 200 mining shares stage significant rebound in afternoon trading
• Rio Tinto share price slides despite new $3bn iron ore project

Citigroup is an advertising partner of The Ascent, a Motley Fool company. 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 Goldman Sachs. The Motley Fool Australia has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/b4uHvhJ