The BWP Trust (ASX: BWP) share price has dropped into the red on Wednesday morning.

At the time of writing, the Bunnings-focused commercial property company's shares are down 1% to $3.88.

This follows the release of the BWP's half year results this morning.

BWP share price falls on half-year results

• Revenue up 4% to $78.63 million
• Profit before investment property gains up 2% to $57.4 million
• Gains in fair value of investment properties down 82% to $53.9 million
• Profit after tax down 68% to $111.3 million
• Interim distribution flat at 9.02 cents per share

What happened during the half?

For the six months ended 31 December, BWP reported a 4% increase in revenue to $78.63 million. This was underpinned by a 3.9% increase in like-for-lie rental growth and an occupancy rate of 97.5%.

And while its overall profit was down heavily on the prior corresponding period, this was due to major gains in the fair value of investment properties in FY 2022. Pleasingly, profit before these gains was up year over year to $57.4 million.

This allowed the BWP board to maintain its interim distribution at 9.02 cents per share.

The company also revealed that its entire investment property portfolio was revalued during the half. Following the revaluations, the company's weighted average capitalisation rate was 5.05%, which is up a fraction from 5.04% at the end of June.

One slight negative, though, is that BWP's portfolio now has a weighted average lease expiry of 3.6 years. This is down from 3.9 years in June and 4.3 years 12 months ago. Though, it is worth noting that the company has options it can exercise to extend Bunnings leases.

Outlook

Management appears positive on the company's prospects in the second half. This is due to rent reviews, which are expected to contribute incrementally to property income for the second half.

It notes that there are 45 leases to be reviewed to the CPI or by a fixed percentage increase during the period. There are also four market rent reviews of Bunnings Warehouses that remain unresolved and are in the process of being finalised.

Outside this, management's main focus will be on filling any vacancies in the portfolio, progressing store upgrades, re-zonings, and extending Bunnings leases through the exercise of options. It will also continue to look for opportunities to acquire assets where there is good potential for value creation.

Subject to there being no major disruption of the Australian economy, BWP expects to pay a full year distribution in-line with what was paid in FY 2022 (18.3 cents per share).

The post This ASX Bunnings property share is falling on its half year results appeared first on The Motley Fool Australia.

Some investors may be wondering if they are able to buy shares of Bunnings Warehouse on the ASX.

It's a good question. Although it's not an ASX share in itself, Bunnings is part of one of the largest retail businesses in Australia. Let's take a look.

How big is Bunnings?

Well, Bunnings boasts about being the leading retailer of home and lifestyle products for consumer and commercial customers in Australia and New Zealand. Its store network is made up of 282 large warehouse stores, 67 smaller format stores, and 32 trade centres and frame & truss sites.

But there's more to Bunnings than just Bunnings Warehouses.

It acquired South Australian retailer Adelaide Tools (which is now called Tool Kit Depot), which has 11 stores. Bunnings then acquired Beaumont Tiles in November 2021, which has 115 stores.

At the last count, the business had around 53,000 team members.

How to gain exposure to Bunnings Warehouse on the ASX

Bunnings is part of the retail conglomerate Wesfarmers Ltd (ASX: WES).

Wesfarmers has owned the business for almost 30 years, taking full ownership in 1994.

It's the crown jewel in Wesfarmers' portfolio.

In FY22, Bunnings generated $2.2 billion of earnings before tax (EBT), outperforming all other brands in the Wesfarmers stable. Kmart and Target made $505 million of EBT, Officeworks made $181 million of EBT, Wesfarmers chemicals, energy and fertilisers (WesCEF) made $540 million of EBT, and other small divisions contributed smaller amounts.

Bunnings made $17.75 billion of revenue in FY22, which was an increase of 5.2%.

I think one of the most impressive things about Bunnings is its return on capital (ROC), which was 77.2% in FY22. That says that the business makes a lot of profit on the money invested in it.

What's the outlook?

In Wesfarmers' outlook comments about Bunnings, the company said:

Bunnings continues to be well positioned for a range of market conditions, and will benefit from the diversity of its business, focus on necessity products and strength of its offer across consumer DIY and commercial markets. The demand outlook across consumer and commercial is supported by a solid pipeline of renovation and building activity, as well as incremental DIY growth opportunities as customers continue to focus on maintaining and improving their homes.

Bunnings remains focused on driving long-term growth by building more connected experiences across all channels, deepening its relationship with commercial customers, and evolving its supply chain to support the continued growth of the business.

Another option: Invest in the buildings

Owning Wesfarmers shares is the way to gain access to the operating business.

However, there is an ASX property share that owns many of the warehouses that Bunnings operates from.

BWP Trust (ASX: BWP) is the name – it's a real estate investment trust (REIT) that claims to be the largest owner of Bunnings Warehouse sites in Australia, with a portfolio of 65 stores. Seven of the properties have adjacent retail showrooms that the BWP owns and are leased to other tenants, according to the REIT.

At 30 June 2022, the portfolio had a value of $3 billion, generating $153.3 million of annual rent. The occupancy rate across its entire property was 97.5% due to three vacant properties. BWP's portfolio had a portfolio weighted average lease expiry (WALE) of 3.9 years.

In my opinion, Wesfarmers shares are the better way to gain direct exposure to Bunnings and its success, particularly if it sells more things online. But, the BWP Trust is an interesting alternative investment.

The post Can you buy Bunnings Warehouse shares on the ASX? appeared first on The Motley Fool Australia.

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) has followed the lead of US markets and dropped into the red. At the time of writing, the benchmark index is down 0.45% to 6,967.2 points.

Four ASX shares that are not letting that hold them back are listed below. Here's why they are charging higher:

BWP Trust (ASX: BWP)

The BWP share price is up 1.5% to $4.30. Investors have been buying this Bunnings-focused commercial property company's following the release of its full year results. BWP reported modest revenue and profit growth before investment property gains. But including these gains, its profits rose 85% to $486.6 million.

Lynas Rare Earths Ltd (ASX: LYC)

The Lynas Rare Earths share price is up 7% to $9.52. This morning this rare earths company announced plans for a $500 million capacity-expansion at Mt Weld Global. This is being undertaken due to forecasts for demand for rare earth materials and NdFeB magnets more than doubling over the next 10 years.

Pilbara Minerals Ltd (ASX: PLS)

The Pilbara Minerals share price is up 2% to $2.79. Investors have been buying this lithium miner's shares after it revealed the results of its latest BMX auction. According to the release, the price it commanded at this month's digital auction rose month on month to US$6,350 per dry metric tonne (SC5.5, FOB Port Hedland basis). On a pro rata basis for lithia content (inclusive of freight costs), this equates to a price of ~US$7,012 per dmt (SC6.0, CIF China basis).

Pinnacle Investment Management Group Ltd (ASX: PNI)

The Pinnacle share price has jumped almost 15% to $11.55. The catalyst for this was the release of the investment company's full year results, which revealed a 14% increase in net profit after tax to $76.4 million. Analysts at Morgans were forecasting a profit after tax of $75.3 million.

The post Why BWP, Lynas, Pilbara Minerals, and Pinnacle shares are charging higher appeared first on The Motley Fool Australia.

The BWP Trust (ASX: BWP) share price is climbing on Wednesday after the real estate investment trust (REIT) reported its full-year FY22 earnings.

The highlight was an 85% increase in net profit to $486.6 million compared to $263.2 million in FY21.

In addition, BWP's property portfolio gained 14.1%, or $379.1 million, in value over FY22. BWP said the result reflected "the ongoing attractiveness of Bunnings Warehouse properties to investors".

The REIT declared a final distribution of 9.27 cents per unit payable on 19 August. Total annual distributions for FY22 were the same as FY21 at 18.29 cents.

Based on the BWP share price of $4.29 at the time of writing, this is an annual yield of 4.26%.

BWP share price up as property portfolio gains 14%

BWP reported the following additional results:

• Unitholders' equity of $2.5 billion and total liabilities of $500 million
• Net tangible assets of $3.87 per unit at 30 June, up 17.6% on FY21
• Final distribution of 9.27 cents includes 0.44 cents per unit of capital profits released from the undistributed income reserve, which is 20% less than FY21
• Weighted average cost of debt (finance costs as a percentage of average borrowings) 2.7%
• Gearing (debt/total assets) was 15.1% at 30 June
• Other operating expenses in FY22 were $8.7 million, up 1.16% on FY21
• Management expense ratio of 0.64% in FY22, up from 0.63% in FY21.

What else happened in FY22?

BWP investment properties raked in an extra $1 million in rental income in FY22. This was largely due to annual rent increases and new leases. Like-for-like rental growth was 3.3% in FY22. The trust granted rent abatements of $300,000 to tenants affected by COVID-19 shutdowns, compared to $500,000 in FY21.

At 30 June, 97.5% of the portfolio was leased. The weighted average lease expiry (WALE) is 3.9 years.

In FY22, Bunnings Warehouse exercised five-year options for its stores in Geraldton (WA), Mornington (VIC), Frankston (VIC), Gladstone (QLD), Greenacre (NSW), Craigieburn (VIC), and Scoresby (VIC).

BWP also agreed to a $12.8 million upgrade of the Lismore (NSW) Bunnings Warehouse property.

The trust's Scope 2 emissions position at 30 June was net-zero. BWP said this was a result of using "green electricity" and carbon credits. The trust incurs Scope 2 emissions from electricity usage at a small number of properties where the trust has responsibility for power usage.

What's next?

BWP said inflation, the cost of funding, and future investor demand would influence its performance in FY23 and beyond. Any further COVID-related disruptions and the time and cost of repositioning properties vacated by Bunnings would also have an impact.

The trust relies on the health of the Bunnings network, which is owned by Wesfarmers Ltd (ASX: WES). It therefore also relies on the popularity of home improvement and lifestyle products.

BWP said:

For the year ended 30 June 2022, there continued to be strong investor demand for Bunnings Warehouse properties. This was driven by the low interest rate environment and the search by investors for running yields higher than interest rates, the strong Bunnings financial covenant, and the relative risk of a Bunnings Warehouse investment, compared to other property and other asset classes.

In FY23, BWP said it will be focused on filling vacancies in the portfolio, progressing store upgrades, extending existing leases with Bunnings through the exercise of options, completing market rent reviews, and continuing the rollout of energy efficiency improvements at its properties.

BWP added:

Subject to there being no major COVID-19 or other disruption of the Australian economy, the Trust could expect the distribution for the year ending 30 June 2023 to be similar to the ordinary distribution paid for the year ended 30 June 2022.

BWP share price snapshot

The BWP share price is up 4.63% over the past 12 months. In the year to date, it is up 1.66%.

BWP has outperformed the benchmark S&P/ASX 200 A-REIT Index (ASX: XPJ) significantly. The index is down 7.46% over 12 months and 19.23% lower year to date.

The post BWP Trust share price lifts as net profit soars 85% in FY22 appeared first on The Motley Fool Australia.

So today, let's take a look at three such All Ords shares that managed to hit new 52-week highs.

3 All Ords shares at 52-week highs today

BWP Trust (ASX: BWP)

BWP is a real estate investment trust (REIT) that is well-known for owning commercial real estate assets, including several of the warehouses occupied by the Wesfarmers Ltd (ASX: WES)-owned Bunnings. This REIT had a rather strange session.

Yes, it initially rose upon market open to a new 52-week high of $4.35 a unit. But BWP quickly lost steam throughout the day and ended up closing at $4.24, down 0.93% for the day. Even so, the new high watermark still counts.

Austal Ltd (ASX: ASB)

Shipbuilder Austal is next up this Monday. Austal shares also had a strange day of trading today. The company, like BWP, was out of the gate like a bull this morning, quickly rising to $2.79 a share, its new 52-week high.

But investors appeared to get cold feet as well, and Austral shares spent the rest of the day falling away from this new high. The company ended up finishing at $2.64 a share, down 1.49%.

It was only last week that we were discussing another new 52-week high for Austral. So it's certainly been a great week for this company.

COG Financial Services Ltd (ASX: COG)

Third and finally, we have Cog Financial Services. Alone on this list, Cog actually finished in the green this Monday. The company closed at $1.87 a share this afternoon, up a pleasing 4.47%. However, that's not Cog's new 52-week high.

That came at market open when the company rocketed as high as $2 a share. That happens to be Cog's new high watermark. Cog shares are now up close to 20% since 21 July, when the company released a well-received trading update.

The post These 3 ASX All Ordinaries shares hit new 52-week highs on Monday appeared first on The Motley Fool Australia.

Top broker UBS has reduced its price targets on Australian real estate investment trusts (REITs) by an average of 15% but also says it's time to buy a couple of the biggest names.

The ASX Australian REIT (A-REIT) sector includes Charter Hall Group (ASX: CHC), Charter Hall Retail REIT (ASX: CQR), Charter Hall Long WALE REIT (ASX: CLW), Centuria Industrial REIT (ASX: CIP), Goodman Group (ASX: GMG), Stockland Corporation Ltd (ASX: SGP), and BWP Trust (ASX: BWP).

Which ASX property shares does UBS like?

According to reporting in The Australian, UBS has raised its rating on Centuria Industrial to a buy. This follows a 30.5% fall in the Centuria Industrial share price year to date.

The broker also gives ASX investors the green light on Charter Hall Group. UBS reckons it's time to buy Charter Hall shares, which have dropped in price by 47.5% in 2022.

The UBS team has also raised its rating to neutral on BWP Trust shares. The A-REIT stock has lost 7.8% in value in 2022.

And finally, UBS has expressed some pessimism about Shopping Centres Australasia Property Group Ltd (ASX: SCP) shares. The team has lowered its rating to neutral. The Shopping Centres Australasia share price is down 10% this year so far.

A-REITs underperform in 2022

The news report notes "material sector underperformance" for ASX property shares this year.

The S&P/ASX 200 A-REIT Index (ASX: XPJ) has lost 25% in 2022, underperforming the broader benchmark S&P/ASX 200 Index (ASX: XJO) which has fallen 14%. But it's better than the ASX tech sector, with the S&P/ASX All Technology Index (ASX: XTX) down 40%.

UBS analyst Grant McCasker said: "As extraordinary policy settings normalise and inflation emerges, markets are increasingly pricing in negative outcomes [including] a potential recession or stagflation."

Rising interest rates to hurt A-REIT profits

McCasker thinks A-REITs will lose profits over the next three years due to rising interest rates.

The article said McCasker has reduced his forecasts for sector earnings over FY23 to FY26 by 5%.

The loss in earnings will be "marginally offset by inflation-linked leases; FY23 asset devaluations of
about 8 per cent for real estate fund managers; and a more severe residential downturn", the article said.

The latest monthly CoreLogic report revealed national home values fell for the first time since September 2020 last month. The national fall — which was only 0.1% — was led by Sydney and Melbourne.

These two markets began to cool earlier in the year. Home values are down 0.9% and 0.6% respectively.

The post Why ASX-listed property shares could be on the chopping block appeared first on The Motley Fool Australia.

Both dividend shares are expected to provide investors with yields of over 4% in the near term. Here's what you need to know about them:

BWP Trust (ASX: BWP)

The first ASX dividend share to look at is commercial property company, BWP.

It has a focus on warehouses, with the majority of its properties leased to hardware giant Bunnings Warehouse. In fact, the company is the largest owner of the hardware giant's properties and counts Bunnings' owner, Wesfarmers Ltd (ASX: WES), as a major shareholder.

BWP has been a positive performer over the last couple of years thanks largely to the strength of the Bunnings business. The retailer's strong sales and profits have allowed BWP to collect rent mostly as normal and also underpinned a notable increase in the value of its properties.

In FY 2022, management expects to pay shareholders a distribution in the region of 18.29 cents per unit. Based on the current BWP share price of $4.00, this will mean a 4.6% dividend yield.

Rural Funds Group (ASX: RFF)

Another ASX dividend share that offers an attractive yield is this agricultural real estate investment trust (REIT).

Rural Funds owns a diversified portfolio of Australian assets which are leased to large industry players including Select Harvests Limited (ASX: SHV) and Treasury Wine Estates Ltd (ASX: TWE). The company also recently added to its portfolio through the acquisition of a number of cattle and cropping properties in Queensland.

All in all, these properties and their fixed rental increases and long leases leave Rural Funds well-placed for growth over the next decade.

In FY 2022, the company intends to increase its dividend by its annual target rate of 4% to 11.73 cents per share. Based on the current Rural Funds share price of $2.76, this represents a yield of 4.25%.

The post 2 ASX dividend shares with attractive yields appeared first on The Motley Fool Australia.

Two such dividend shares are listed below. Here's what you need to know about them:

BWP Trust (ASX: BWP)

The first ASX dividend share to look at is BWP. It is a commercial property company with a focus on warehouses. The vast majority of these warehouses are leased to Bunnings Warehouse, which actually makes BWP the largest owner of the hardware giant's properties.

Thanks largely to the strength of the Bunnings business, it has been a positive performer over the last couple of years and has been able to collect rent largely as normal. This was the case again during the first half of FY 2022, with BWP recently reporting a 97.6% occupancy rate and 2.2% like for like rental income growth.

In FY 2021, BWP paid an 18.29 cents per unit distribution. It intends to pay a similar distribution in FY 2022. Based on the current BWP share price of $4.02, this will mean a 4.55% dividend yield.

National Storage REIT (ASX: NSR)

Another ASX dividend share for income investors to look at is National Storage. It is one of the ANZ region's largest self-storage operators. National Storage currently operates over 200 storage centres and provides tailored storage solutions to almost 100,000 residential and commercial customers.

It has been a positive performer as well over the last few years. This has been underpinned by a combination of organic growth and the benefits of acquisitions. And despite the size of its network, management believes there's still plenty more acquisition opportunities in this fragmented market to drive its future growth.

In FY 2022, management is guiding to ~10% underlying earnings per share growth. If it were to grow its distribution in line with its earnings, it would mean a distribution of 9.02 cents per share. Based on the current National Storage share price of $2.47, this would equate to a yield of 3.65%.

The post 2 ASX dividend shares with good yields appeared first on The Motley Fool Australia.

BWP Trust shares closed yesterday at $4.01 and are currently trading at $3.95 per share.

Below we take a look at the highlights from the real estate investment trust's (REIT) financial results for the half-year ending 31 December 2021.

BWP Trust share price falls with flat dividend outlook

• Revenue from ordinary activities of $75.9 million, equivalent to the corresponding half year
• Profit before gains on investment properties of $56.5 million, down 1% from the prior corresponding half year
• Profit from ordinary activities attributable to shareholders increased 142% year-on-year to $348.3 million
• Dividend of 9.02 cents per share, unfranked, equivalent to the corresponding half year

What else happened during the half year?

The big variance profit before gains on investment properties and profits attributable to shareholders stems from the $291.8 million gains in fair value of investment properties for the REIT during the half year.

That also saw net tangible assets per share increase 17% to $3.75 per share, up from $3.20 per share in the half year ending 31 December 2020.

The interim dividend was paid on 30 December 2021 and the Distribution Reinvestment Plan (DRP) was in effect during this time. Management expects the DRP to remain in place.

BWP Trust also reported like-for-like rental growth of 2.2% for the full 2021 calendar year. And the weighted average lease expiry (WALE) stood at 4.3 years as at 31 December, with 97.6% of assets leased.

The REIT's gearing as at 31 December was 15.5%, measuring its debt to total assets. The portfolio is valued at $2.9 billion.

What did management say?

Commenting on the revaluation of the portfolio, management wrote:

During the half-year, the Trust's entire investment property portfolio was revalued. Property revaluations were performed by independent valuers for 10 properties during the period. The remaining 63 properties were subject to directors' valuations…

The value of the Trust's portfolio increased by $280.6 million to $2,916.7 million during the half-year following capital expenditure of $2.3 million and revaluation gains of $291.8 million, after adjusting for the straight-lining of rent of $1.0 million and less net proceeds from divestments of $14.5 million.

What's next?

BWP Trust intends to focus on filling any vacancies in its portfolio, progress store upgrades, and extend its Bunnings leases through the exercise of options. It will also keep searching for new assets "where there is good potential for value creation".

Investors can expect a dividend for the year ending 30 June 2022 in line with the current payout, so long as there are no major COVID-19 or other economic disruptions. Judging by the sliding BWP Trust share price, investors may have been hoping for more.

BWP share price snapshot

Over the past 12 months the BWP Trust share price is up 1%, trailing the 6% gains posted by the S&P/ASX 200 Index (ASX: XJO) over that same time.

So far in 2022, BWP Trust shares are down 5%.

The post Dividend downer? BWP (ASX:BWP) share price slips following first-half results appeared first on The Motley Fool Australia.

With that in mind, here are two dividend shares that offer good yields:

BWP Trust (ASX: BWP)

The first dividend share to look at is BWP. It is a commercial property company and the largest owner of Bunnings Warehouse sites in Australia.

Thanks to strong demand for hardware products and Bunnings being able to open during lockdowns, the hardware giant has been a positive performer over the last couple of years. This has allowed BWP to collect rent largely as normal during the entirety of the pandemic.

In FY 2021, BWP paid was able to pay shareholders a 18.29 cents per unit distribution. It also plans to pay a similar distribution in FY 2022. Based on the current BWP share price of $3.96, this will equate to a 4.6% dividend yield.

National Storage REIT (ASX: NSR)

Another dividend share to look at is National Storage. It is one of the ANZ region's largest self-storage operators. It has a portfolio of over 210 centres providing tailored storage solutions to over 85,000 residential and commercial customers.

As with BWP, National Storage was on form in FY 2021. It delivered a 28% increase in underlying earnings to $86.5 million. This was driven by both organic growth and the benefits of acquisitions. This allowed the company to pay a full year distribution of 8.2 cents per share.

Management is guiding to 10% earnings growth in FY 2022. If it grows its dividend by the same margin, this will mean 9.02 cents per share. Based on the current National Storage share price of $2.48, this will mean a yield of 3.6%.

The post 2 top ASX dividend shares with good yields appeared first on The Motley Fool Australia.

Two such shares are listed below. Here's what you need to know about them and their dividends:

BWP Trust (ASX: BWP)

The first ASX dividend share to look at is this commercial property company.

BWP was formerly owned by Woolworths Group Ltd (ASX: WOW), which remains a major shareholder today. It has a focus on warehouses and is the largest owner of Bunnings Warehouse properties.

While having such a reliance on a single customer is ordinarily a risk, as Bunnings is owned by Woolworths, it seems unlikely that the retail giant would do anything such as mass lease exits that would negatively impact its investment.

Especially given how Woolworths has been generating significant passive income from BWP thanks to generous dividend payments. For example, in FY 2021, BWP paid an 18.29 cents per unit distribution. It also plans to pay a similar distribution this year. Based on the current BWP share price of $4.23, this will mean a 4.3% dividend yield.

National Storage REIT (ASX: NSR)

Another ASX dividend share to look at is National Storage. It is Australasia's largest self-storage provider, tailoring self-storage solutions to residential and commercial customers at over 200 storage centres across Australia and New Zealand.

Thanks to a combination of organic growth and the benefits of acquisitions, National Storage was on form in FY 2021 and reported a 28% increase in underlying earnings to $86.5 million. This allowed the National Storage Board to declare a full year distribution of 8.2 cents per share.

Looking ahead, management expects to grow its underlying earnings per share by 10% in FY 2022. If its distribution increases in line with its earnings, this would lead to a distribution of 9.02 cents per share. Based on the current National Storage share price of $2.67, this represents a yield of 3.4%.

The post 2 ASX dividend shares with attractive yields appeared first on The Motley Fool Australia.

Two such dividend shares are listed below. Here's what you need to know about them:

BWP Trust (ASX: BWP)

The first ASX dividend share to look at is BWP. It is a commercial property company with a focus on warehouses. The vast majority of these warehouses are leased to Bunnings Warehouse, making BWP the largest owner of the hardware giant's properties.

Thanks largely to the strength of the Bunnings business, it has been a positive performer during the pandemic. Bunnings' strong performance allowed BWP to collect rent largely as normal and led to the value of its properties increasing.

In FY 2021, BWP paid an 18.29 cents per unit distribution. It intends to pay a similar distribution in FY 2022. Based on the current BWP share price of $4.20, this will mean a 4.35% dividend yield.

National Storage REIT (ASX: NSR)

Another ASX dividend share to look at is National Storage. It is one of the ANZ region's largest self-storage operators. National Storage currently operates over 200 centres and provides tailored storage solutions to almost 100,000 residential and commercial customers.

As with BWP, it was a positive performer in FY 2021 despite the pandemic. National Storage delivered a 28% increase in underlying earnings to $86.5 million. This was underpinned by both organic growth and acquisitions, and allowed the company to pay a full year distribution of 8.2 cents per share.

Looking ahead, management is confident on its outlook in FY 2022. It has guided to ~10% underlying earnings per share growth.

If it were to grow its distribution in line with its earnings, it would mean a distribution of 9.02 cents per share. Based on the current National Storage share price of $2.60, this would equate to a yield of 3.5%.

The post Here are 2 ASX dividend shares with attractive yields appeared first on The Motley Fool Australia.

Both dividend shares are expected to provide investors with attractive yields in the near term. Here's what you need to know about them:

BWP Trust (ASX: BWP)

The first ASX dividend share to look at is this commercial property company. BWP has a focus on warehouses, with vast majority of its properties leased to Bunnings Warehouse. In fact, the company is the largest owner of the hardware giant's properties.

BWP has been a positive performer during the pandemic thanks largely to the strength of the Bunnings business. The retailer's strong performance has allowed BWP to collect rent largely as normal and underpinned a notable increase in the value of its properties.

In FY 2021, BWP paid an 18.29 cents per unit distribution. Management advised that it plans to pay a similar distribution in FY 2022. Based on the current BWP share price of $4.14, this will mean a 4.4% dividend yield.

Rural Funds Group (ASX: RFF)

Another ASX dividend share to look at is this agricultural real estate investment trust (REIT).

Rural Funds owns a diversified portfolio of Australian agricultural assets which are leased to large industry players including Select Harvests Limited (ASX: SHV) and Treasury Wine Estates Ltd (ASX: TWE).

The company has also just added to its portfolio through the acquisition of a number of cattle and cropping properties in Queensland. Management notes that these are consistent with its strategy of acquiring assets with potential for productivity improvements, in agricultural sectors in which it has operating experience and Australia has a comparative advantage.

In FY 2022, the company intends to increase its dividend by its annual target rate of 4% to 11.73 cents per share. Based on the current Rural Funds share price of $2.90, this represents a yield of 4%.

The post 2 ASX dividend shares with 4% yields appeared first on The Motley Fool Australia.

Two such shares are listed below. Here's what you need to know about them and their dividends:

BWP Trust (ASX: BWP)

The first ASX dividend share to look at is BWP. It is a commercial property company with a focus on warehouses. The vast majority of these warehouses are leased to Bunnings Warehouse, making BWP the largest owner of the hardware giant's properties.

It has been a positive performer during the pandemic thanks largely to the strength of the Bunnings business. The retailer's strong performance has allowed BWP to collect rent largely as normal and led to the value of its properties increasing notably.

In FY 2021, BWP paid an 18.29 cents per unit distribution. It also plans to pay a similar distribution in FY 2022. Based on the current BWP share price of $4.08, this will mean a 4.5% dividend yield.

National Storage REIT (ASX: NSR)

Another dividend share to look at is National Storage. It is one of the ANZ region's largest self-storage operators.

National Storage currently operators over 210 centres and provides tailored storage solutions to over 85,000 residential and commercial customers.

It was a positive performer in FY 2021, delivering a 28% increase in underlying earnings to $86.5 million. This was driven by both organic growth and the benefits of acquisitions. This allowed the National Storage Board to declare a full year distribution of 8.2 cents per share.

Pleasingly, management is confident on its outlook in FY 2022. It has guided to a 10% increase in underlying earnings per share. If it were to grow its distribution in line with its earnings, it would mean a distribution of 9.02 cents per share. Based on the current National Storage share price of $2.39, this would equate to a yield of 3.8%.

The post 2 ASX dividend shares with great yields appeared first on The Motley Fool Australia.

But not all stocks struggled last month.

In fact, the top 3 performing ASX real estate shares each returned more than 60 times the gains posted by the index.

We take a look at those outperformers below.

How did the top 3 ASX real estate shares perform in October?

Coming in with the top gains among the ASX real estate shares is…drum roll please…Arena REIT (ASX: ARF). The real estate investment trust (REIT) gained 6.6% in October, closing the month at $4.50 per share.

There was no price sensitive news released by the company, which invests mostly in childcare, healthcare and government tenanted properties. Although this isn't the first time Arena has made it onto our top performers list. The REIT also counted amongst the top 5 share price gainers for ASX real estate shares during the 2021 financial year.

Arena pays a 3.36% trailing dividend yield, unfranked.

And number 2…

Coming in at a close number 2, with an October share price gain of 6.5%, is Aventus Retail Property Fund (ASX: AVN). The ASX real estate share owns, manages and develops large-format retail centres in Australia.

The Aventus share price got a big lift on 18 October when the company reported on its intentions to merge with Home Consortium Ltd (ASX: HMC) and HomeCo Daily Needs REIT (ASX: HDN).

At the time, Aventus' chairman Bruce Carter said:

The merger is attractive for Aventus securityholders, both because of the potential offered by being part of the larger merged groups and because the offer reflects a material premium to Aventus' trading price and its NTA [net tangible assets].

Aventus pays a 5.25% trailing dividend yield, unfranked.

The third best ASX real estate share performer in October

Rounding off our list of top ASX real estate shares to hold in October is another REIT, BWP Trust (ASX: BWP), which finished October up 6.0%. BWP invests in and manages commercial properties across Australia, notably including warehouses leased to the Wesfarmers Ltd (ASX: WES) hardware giant Bunnings.

Atop potential share price gains, BWP pays a 4.31% trailing dividend yield, unfranked.

The post What were the best performing ASX real estate shares to hold in October? appeared first on The Motley Fool Australia.

Two such shares are listed below. Here's what you need to know about their dividends:

BWP Trust (ASX: BWP)

The first ASX dividend share with an attractive yield is BWP Trust. It is the largest owner of Bunnings Warehouse sites in Australia with a portfolio of warehouses leased to the hardware giant.

Thanks to strong demand for hardware products and Bunnings being able to open during lockdowns, BWP has been a positive performer over the last 18 month. This has allowed the company to collect rent largely as normal during the pandemic. It has even seen the value of its properties increase notably.

In FY 2021, BWP paid an 18.29 cents per unit distribution. It also plans to pay a similar distribution in FY 2022.

Based on the current BWP share price of $4.06, this will equate to a 4.5% dividend yield.

National Storage REIT (ASX: NSR)

Another dividend share to look at is National Storage. It is one of the ANZ region's largest self-storage operators with a portfolio of over 210 centres providing tailored storage solutions to over 85,000 residential and commercial customers.

National Storage was on form in FY 2021 and delivered a 28% increase in underlying earnings to $86.5 million. This was driven by both organic growth and the benefits of acquisitions. This allowed the company to pay a full year distribution of 8.2 cents per share.

Positively, management is expecting another solid year in FY 2022. It has provided guidance for underlying earnings per share growth of at least 10%. In addition, it has approximately $900 million of investment capacity to support its growth by acquisition strategy.

If National Storage grows its distribution in line with its earnings guidance, it will mean a distribution of 9.02 cents per share in FY 2022. Based on the current National Storage share price of $2.36, this will mean a yield of 3.8%.

The post Here are 2 ASX dividend shares with attractive yields appeared first on The Motley Fool Australia.

Two such ASX shares are listed below. Here's what you need to know about these dividend shares:

BWP Trust (ASX: BWP)

The first ASX dividend share to look at is BWP Trust. It is the largest owner of Bunnings Warehouse sites in Australia with a portfolio of warehouses leased to the hardware giant.

Compared with most retail property companies, BWP has been a very positive performer during the pandemic. This has been driven largely by the quality of its tenancies. With Bunnings Warehouse reporting stellar sales growth again in FY 2021, BWP has been able to collect rent as normal. It has even seen the value of its properties increase strongly since COVID-19 hit Australia.

In light of this, the company was able to pay an 18.29 cents per unit distribution in FY 2021. It also advised that a similar distribution is expected in FY 2022. Based on the current BWP share price of $4.04, this equates to an attractive 4.5% dividend yield.

National Storage REIT (ASX: NSR)

Another dividend share to look at is National Storage. It is one of the ANZ region's largest self-storage operators with a portfolio of over 210 centres.

National Storage recently released its full year results and revealed a 28% increase in underlying earnings to $86.5 million. This was driven by a combination of organic growth and the benefits of acquisitions. This allowed the company to pay a full year distribution of 8.2 cents per share.

Another strong year is expected in FY 2022, with management guiding to underlying earnings per share growth of at least 10%. It also notes that it has approximately $900 million of investment capacity to fuel its growth by acquisition strategy.

Based on the current National Storage share price of $2.28, if its distribution grows by 10% to 9.02 cents per share, it will mean a yield of 4%.

The post 2 top ASX dividend shares with attractive yields appeared first on The Motley Fool Australia.

Two ASX 200 dividend shares that are expected to do this are listed below. Here's what you need to know about them:

BWP Trust (ASX: BWP)

The first ASX 200 dividend share to look at is BWP Trust. It is a commercial property company and the largest owner of Bunnings Warehouse sites in Australia. At the last count, it leased a total of 65 warehouses to the hardware giant.

With the Bunnings business performing very positively over the last decade, BWP has been able to deliver solid earnings and dividend growth for its shareholders. Pleasingly, the hardware giant has continued this positive form during the pandemic, underpinning a robust 12 months for BWP in FY 2021.

It declared a full year distribution of ~18.3 cents per share in FY 2021 and expects something similar in FY 2022. Based on the current BWP share price of $4.01, this equates to an attractive 4.55% dividend yield.

Telstra Corporation Ltd (ASX: TLS)

Another ASX 200 dividend share to look at is Telstra. This telco giant has just handed in its full year results, which went down well with investors.

For the 12 months ended 30 June, Telstra reported an 11.6% reduction in total income and a 9.7% decline in underlying EBITDA to $6.7 billion. The latter reflects an in-year NBN headwind of $650 million and an estimated $380 million financial impact from COVID-19. If you exclude the NBN headwind, Telstra's underlying EBITDA would have fallen only $70 million year on year.

Pleasingly, with its operating performance improving and the NBN headwind easing, management expects the company to return to growth in FY 2022. It provided underlying EBITDA growth guidance of 4.5% to 9%. After which, it is targeting a further increase in FY 2023.

Goldman Sachs was pleased with its result and guidance. In response, it retained its buy rating and lifted its price target to $4.30. It also continues to forecast fully franked dividends per share of 16 cents through to FY 2023 and then 18 cents in FY 2024.

Based on the current Telstra share price of $3.96, this will mean yields of 4% through to FY 2023 and then 4.5% in FY 2024.

The post 2 top ASX 200 dividend shares with very attractive yields appeared first on The Motley Fool Australia.

Three sell ratings that caught my eye are summarised below. Here's why top brokers think investors ought to sell these shares next week:

A2 Milk Company Ltd (ASX: A2M)

According to a note out of Credit Suisse, its analysts have retained their underperform rating and $5.50 price target on this embattled infant formula company's shares. Although the broker is seeing improvements on Chinese ecommerce platforms, it isn't enough for a change of rating. The broker continues to believe that the company will underperform the market's expectations in the coming years. Particularly given the weakness in the daigou channel. The a2 Milk share price ended the week at $5.97.

BWP Trust (ASX: BWP)

A note out of Citi reveals that its analysts have retained their sell rating but lifted their price target slightly on this Bunnings landlord's shares to $2.90. This follows the release of a full year result that fell a touch short of the broker's expectations. And while operating trends are solid, it doesn't see enough value in its shares to have a more positive rating. Though, it does see upside risk from earnings accretive acquisitions. The BWP share price was trading at $4.02 at Friday's close.

Mineral Resources Limited (ASX: MIN)

Analysts at Morgan Stanley have retained their underweight rating but lifted their price target on this mining and mining services company's shares to $49.70. According to the note, the broker believes the market is overlooking a number of risks. This includes the successful execution of new projects and the potential for a widening discount for low grade iron ore. The Mineral Resources share price ended the week at $58.95.

The post Top brokers name 3 ASX shares to sell next week appeared first on The Motley Fool Australia.

Unfortunately, not all shares are in favour with them right now. Three ASX shares that have just been given sell ratings by brokers are listed below. Here's why these brokers are bearish on them:

BWP Trust (ASX: BWP)

According to a note out of UBS, its analysts have retained their sell rating and $3.86 price target on this Bunnings-focused commercial property company's shares. This follows the release of BWP's full year results earlier this week. While the company's result was largely in line with expectations, UBS has concerns over its growth in the coming years. The broker suspects that it could experience a larger than normal amount of lease non-renewals over the next five years. The BWP share price is fetching $3.97 this afternoon.

Commonwealth Bank of Australia (ASX: CBA)

A note out of Goldman Sachs reveals that its analysts have retained their sell rating but lifted their price target on this banking giant's shares to $81.87. Goldman is expecting Australia's largest bank to deliver a strong full year result next week and suspects that a $2.00 per share special dividend could be declared. However, this isn't enough for a change of rating. It continues to believe its shares are overvalued and better value can be found elsewhere in the sector. The CBA share price is trading at $103.12.

Reece Ltd (ASX: REH)

Analysts at Morgan Stanley have commenced coverage on this plumbing parts company's shares with an underweight rating and $16.40 price target. Although the broker is a fan of Reece and believes it is a high quality company, it isn't a fan of its valuation. It believes the current share price is unsustainable and the risk is firmly to the downside. Morgan Stanley estimates that its shares are trading at over 50x full year earnings. The Reece share price is fetching $23.98 today.

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