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

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

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

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

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

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

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

Top 10 ASX 200 shares countdown

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

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

These shares made today's biggest gains:

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

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

Four ASX shares that are climbing more than most today are listed below. Here's why they are rising:

Challenger Ltd (ASX: CGF)

The Challenger share price is up 5% to $7.65. Investors have been buying this annuities company's shares following the release of its half year results. Challenger reported a 5% increase in normalised profit before tax to $250 million. This allowed the company to increase its interim dividend by 4% to 12 cents per share.

SG Fleet Group Ltd (ASX: SGF)

The SG Fleet share price is up 10% to $2.29. This morning, this fleet management company reported a 16% lift in revenue to $178.4 million and a 41% jump in half year profit to $41.9 million. Management commented: "We have demonstrated the strength of our competitive position and our ability to turn the steady stream of new business opportunities into further customers wins and vehicle orders."

Sims Ltd (ASX: SGM)

The Sims share price is up 8% to $15.91. The catalyst for this has been the release of the scrap metal company's half year results. Sims reported a 10% decline in revenue and a whopping 80% decline in underlying net profit after tax. However, investors appear to have been expecting even worse.

Universal Store Holdings Ltd (ASX: UNI)

The Universal Store share price is up 5% to $5.69. This appears to have been driven by a bullish broker note out of Citi. According to the note, the broker has upgraded this retailer's shares to a buy rating with a $6.00 price target. Citi believes consensus estimates are too low.

The post Why Challenger, SG Fleet, Sims, and Universal Store shares are rising appeared first on The Motley Fool Australia.

The All Ordinaries Index (ASX: XAO) is back in the green today, helped along by these three shares. They're each leaping as high as 13% on news of their first-half performances.

Right now, the All Ordinaries is up 0.35%, trading at just over 7,640 points.

Let's take a look at the stocks roaring higher on the back of earnings updates.

3 ASX All Ordinaries shares soaring on earnings updates

First up is All Ordinaries share Sims Ltd (ASX: SGM). It rocketed nearly 9% to trade at $15.95 earlier today despite the metal recycling company revealing tumbling profits.

However, reports UBS has upped its price target for Sims stock to $16 might also be bolstering it on Tuesday.

The company's underlying post-tax profit for the first half came in at $53 million. That marks an 80.3% fall on that of the prior comparable period (pcp).

Its sales revenue also dropped 10% to $3.8 billion. Meanwhile, its interim dividend was slashed by 66% to 14 cents per share.

CEO and managing director Alistair Field said the downturn was driven by lower steel prices and weakening customer demand, while high fuel prices and decelerating economic activity saw scrap volumes slump.

Meanwhile, investors in All Ordinaries fleet management solutions company SG Fleet Group Ltd (ASX: SGF) will likely be happy with the news driving its share price higher. The stock leapt to a high of $2.36 earlier today, representing a 13% gain.

The company posted a $41.9 million post-tax profit for the first half – marking a 41% year-on-year improvement.

It also declared an 8.91 cents per share interim dividend – a 7.1% increase on last year's.

All that was despite continuous supply chain difficulties, which will likely push benefits forward to be realised in coming periods.

Finally, All Ordinaries retailer KMD Brands Ltd (ASX: KMD) technically didn't release earnings today. However, its share price is soaring on an update on its first-half trading, peaking at $1.03 – a 6% gain.

The company is behind brands Kathmandu, Rip Curl, and Oboz.

It announced record first-half sales of around $546 million today – a 34% increase on that of the pcp.

Its underlying earnings before interest, tax, depreciation, and amortisation (EBITDA) for the half year is expected to come in at $45 million.

The company will post its audited results on 22 March.

The post 3 ASX All Ordinaries shares rocketing over 5% on strong earnings updates appeared first on The Motley Fool Australia.

These analysts are looking at the share market every day, so they typically have expertise on the businesses they're following and hopefully have chosen a good time to call that business a buy.

The Australian has reported on some of the latest calls.

Blackmores Ltd (ASX: BKL)

The broker Citi raised its target on the vitamins business to a buy. Citi's price target on the business is $84. A price target is where the broker sees the Blackmores share price trading in 12 months time.

With a price target of $84, that suggests that Blackmores doesn't have any upside from here.

The company is due to hand in its FY23 half-year result on 23 February 2023. The latest update we heard was in October 2022 when the company held its annual general meeting (AGM).

It said that it had seen a solid start to FY23, with supply chain stabilising, and service levels to customers improving to the best in the previous three years.

In Australia and New Zealand, it implemented price increases in the FY23 first quarter of between 5% to 6% to absorb cost inflation pressures. Blackmores' total market share value growth in ANZ is in line with the category.

In the international market, the ASX 200 share confirmed it's expecting revenue in the FY23 first half to be lower than the first half of FY22. It implemented price increases of 7% to 8% in the FY23 first quarter.

In the China region, Blackmores said it's seeing good momentum in premium fish oil and eye care segments, with the performance of new product launches being "encouraging". Blackmores implemented price increases across e-commerce platforms of between 6% to 8% in the FY23 first quarter.

Sims Ltd (ASX: SGM)

The broker UBS has significantly raised its price target on Sims to $16. That suggests a possible rise of close to 9% over the next year.

Sims describes itself as a global leader in metal recycling and providing "circular solutions for technology, and an emerging leader in renewable energy." The business has operations in a number of places including the UK, Europe, North America, Africa and the Asia Pacific region.

The latest update from Sims was at its annual general meeting (AGM). It said that soft market conditions have persisted through the first quarter of FY23, driven by lower volumes, tighter margins and "resiliently high" inflation.

The ASX 200 share said that lower scrap volumes resulting from significantly reduced economic activity, combined with increased competition for available infeed, has tightened trading margins in both percentage and dollar per tonne terms.

Sims' underlying earnings before interest and tax (EBIT) for the FY23 first half is forecast to be in the range of between $65 million to $75 million.

Johns Lyng Group Ltd (ASX: JLG)

The newspaper also reported that Citi has rated Johns Lyng as a buy, with a price target of $8.77. That suggests a possible rise of over 50% in the next 12 months.

This ASX 200 share is a building services business that provides building and restoration services across Australia and the US. The key role that it performs is that it rebuilds and restores properties and contents after damage from insured events such as impact, weather and fire events.

The Johns Lyng share price has dropped close to 40% since April 2022, giving it a lot of room to rebound.

While weather events are terrible for the communities it impacts, it gives the business more opportunity to provide its services. For example, at the AGM in November 2022, it said that Hurricane Ian in the US alone was an event that could cost more than US$60 billion.

The ASX 200 share has forecast that FY23 group revenue will be $1.03 billion with business as usual (BaU) work accounting for $930.4 million – a rise of 27.4% compared to FY22.

The earnings before interest, tax, depreciation and amortisation (EBITDA) forecast is $105.3 million, representing a growth of 26% compared to FY22. The BaU EBITDA forecast is $93 million, a 43.3% increase over FY22.

The post 3 ASX 200 shares just upgraded by brokers, one with 50% upside appeared first on The Motley Fool Australia.

The S&P/ASX 200 Index (ASX: XJO) recovered yesterday's slump and then some today. It closed Tuesday's session 0.59% higher at 7,181.3 points.

That's despite major commodities, including oil, iron ore, and gold all having fallen overnight.

Interestingly, the S&P/ASX 200 Energy Index (ASX: XEJ) led the way today, gaining 2.4%. The sector was mainly driven by coal shares amid the black rock's rising value. Though, oil majors also lifted despite softer oil prices.

The Brent crude oil price fell 0.2% to US$87.45 a barrel overnight while the US Nymex crude oil price slumped 0.4% to trade at US$79.73 a barrel.

The S&P/ASX 200 Materials Index (ASX: XMJ) came in next best despite the price of major commodities slipping. It lifted 1.1%.

Gold futures price dropped 0.8% overnight to US$1,739.60 an ounce and iron ore futures fell 1.5% to US$91.54 a tonne.

It wasn't such a good day for the S&P/ASX 200 Consumer Staples Index (ASX: XSJ), however. It fell 0.3% on Tuesday.

All in all, eight of the ASX 200's 11 sectors closed higher today. But which share outperformed all others to take out today's top spot? Keep reading to find out.

Top 10 ASX 200 shares countdown

Today's top performing ASX 200 share was none other than Virgin Money UK CDI (ASX: VUK). The stock posted a 10.6% gain as the company revealed a 42% year-on-year jump in profits.

Today's biggest gains were made by these shares:

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

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

The S&P/ASX 200 Index (ASX: XJO) closed in the red on Monday despite a strong start to the day. The index slipped 0.16% to end today's session at 7,146.3 points.

That was despite a strong performance from the S&P/ASX 200 Materials Index (ASX: XMJ). The mining sector lifted 3.4% on Monday, led by iron ore and lithium miners.

Their gains came amid reports China will relax certain COVID-19 restrictions. Perhaps in response, iron ore futures lifted 2.9% to US$90.79 a tonne on Friday. Meanwhile, gold futures rose 0.9% to US$1,769.40 an ounce.

The S&P/ASX 200 Energy Index (ASX: XEJ) also posted a decent start to the week, lifting 0.9% amid higher oil prices.

The Brent crude oil price gained 2.5% to US$95.99 a barrel on Friday and the US Nymex crude oil price lifted 2.9% to US$88.96 a barrel.

Unfortunately, the nine remaining ASX 200 sectors ended the day in the red, with the S&P/ASX 200 Industrials Index (ASX: XNJ) leading the fall. It tumbled 2.3% as only two of its constituents posted gains.

So, with all that in mind, which ASX 200 share outperformed all others on Monday? Keep reading to find out.

Top 10 ASX 200 shares countdown

Perhaps unsurprisingly, the biggest gain on the ASX 200 today was posted by iron ore miner Champion Iron Ltd (ASX: CIA). The stock gained 12.9% despite the company's silence.

Today's biggest gains were made by these shares:

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

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

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

Baby Bunting Group Ltd (ASX: BBN)

The Baby Bunting share price is down 4.5% to $2.55. This morning Macquarie downgraded this baby products retailer's shares to a neutral rating and slashed the price target on them to $2.80. The broker has reduced its margin estimates to reflect the company's trading update at its recent annual general meeting.

James Hardie Industries plc (ASX: JHX)

The James Hardie share price has sunk 14% to $28.63. Investors have been selling this building products company's shares following the release of its half year update. Although James Hardie delivered solid top and bottom line growth, it downgraded its full year guidance. It also scrapped its dividend in favour of a share buyback.

Sims Ltd (ASX: SGM)

The Sims share price is down 9% to $11.65. This follows the release of the scrap metal company's trading update at its annual general meeting. Sims advised that tough trading conditions have tightened trading margins in both percentage and dollar per tonne terms. As a result, it expects first half underlying EBIT to be in the range of $65 million to $75 million. This is a significant decline on the underlying EBIT of $361.7 million that it reported during the first half of FY 2022.

Temple & Webster Group Ltd (ASX: TPW)

The Temple & Webster share price is down 3.5% to $5.35. This also appears to have been driven by a Macquarie downgrade. Its analysts have downgraded the online furniture retailer's shares to an underperform rating and cut the price target on them to $4.00. Macquarie has concerns about trading conditions given the housing market downturn and rising rates.

The post Why Baby Bunting, James Hardie, Sims, and Temple & Webster shares are dropping appeared first on The Motley Fool Australia.

In morning trade, the scrap metal company's shares are down over 11% to $11.33.

At one stage, the Sims share price was down as much as 14% to a 52-week low of $10.97.

Why is this ASX 200 share crashing?

Investors have been hitting the sell button in a panic after the company released a dismal trading update ahead of its annual general meeting.

According to the release, the tough trading environment that the company highlighted in August has persisted throughout the first quarter of FY 2023.

The update reveals that lower scrap volumes resulting from significantly reduced economic activity, coupled with increased competition for available infeed, has tightened trading margins in both percentage and dollar per tonne terms.

In light of this, the company expects its first half underlying earnings before interest and tax (EBIT) to be in the range of $65 million to $75 million. This is a significant decline on the underlying EBIT of $361.7 million that it reported during the first half of FY 2022.

Furthermore, management has warned that there are shipments scheduled to occur close to the half-year end. In accordance with its revenue recognition policies, this has the potential to impact whether EBIT is attributed to the first half or second half.

This earnings decline comes despite the company implementing cost mitigation initiatives during the first quarter. The company notes that these have only partially offset inflationary pressures and costs are therefore expected to remain elevated in the second quarter. Further cost reduction measures are targeted for the second half.

Management commentary

Sims CEO, Alistair Field, remains confident on the company's medium term outlook. He commented:

We believe these are short-term headwinds driven by macro-economic factors which do not alter our belief in, and our focus on, the medium-term outlook for the business."

Having delivered strong earnings in the previous three financial halves, successfully transitioned from a regional to a functional organisation, added new and innovative acquisitions, and built significant growth in SA Recycling's footprint, provides a solid platform to work towards the 2025 business goals.

I have every confidence that the fundamentals for metal recycling remain positive for the medium-term, with the decarbonisation of steel making, growth of EAFs, and the energy transition expected to continue driving demand.

The post Here's why this ASX 200 share is crashing 14% on Tuesday appeared first on The Motley Fool Australia.

The S&P/ASX 200 Index (ASX: XJO) followed Wall Street into the red on Monday. The index closed 1.4% lower at 6,667.8 points.

Its tumble appeared to follow similar suffering on US markets on Friday after strong employment data stoked expectations of further rate hikes. The Dow Jones Industrial Average Index (DJX: .DJI) fell 2.1% on Friday, as the S&P 500 Index (SP: .INX) plunged 2.8%, and the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) plummeted 3.8%.

Unsurprisingly, then, the S&P/ASX 200 Information Technology Index (ASX: XIJ) was one of the market's worst-performing sectors today, dumping 2.6%.

Interestingly, the S&P/ASX 200 Consumer Staples Index (ASX: CSJ) led the way, falling just 0.3%.

Meanwhile, the S&P/ASX 200 Materials Index (ASX: XMJ) fell 0.9% and the S&/ASX 200 Energy Index (ASX: XEJ) dumped 1.1% despite rising oil prices.

The Brent crude oil price lifted 3.7% to US$97.92 a barrel on Friday, while the US Nymex crude oil price gained 4.7% to US$92.64 a barrel.

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

Top 10 ASX 200 shares countdown

The Sims Ltd (ASX: SGM) share price topped the lot on Monday, gaining 2.2%. That's despite no news having been released by the metal recycling company.

Today's biggest gains were made by these shares:

Our top 10 ASX 200 shares countdown is a recurring end-of-day summary to let you know which companies were making big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

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

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

Cronos Australia Ltd (ASX: CAU)

The Cronos Australia share price is down 5% to 68.5 cents. This is despite there being no news out of the medicinal cannabis company. However, it is worth noting that even after today's decline, the Cronos Australia share price is up 25% since this time last month. This could mean that profit taking is weighing on its shares today.

Mesoblast limited (ASX: MSB)

The Mesoblast share price is down over 1% to 83 cents. This also appears to have been driven by profit taking from investors following a strong showing on Monday. The biotech company's shares jumped yesterday following the release of a promising update.

Sims Ltd (ASX: SGM)

The Sims share price is down over 1% to $13.05. This has been driven by the scrap metal company's shares trading ex-dividend this morning. Eligible shareholders can now look forward to receiving Sims' partially franked 50 cents per share dividend later this month on 19 October.

WAM Research Limited (ASX: WAX)

The WAM Research share price is down 6% to $1.34. This has also been driven largely by the fund manager's shares going ex-dividend this morning. WAM Research will be paying eligible shareholders a fully franked 5 cents per share dividend in a couple of weeks. That payment is scheduled to hit bank accounts on 17 October.

The post Why Cronos Australia, Mesoblast, Sims, and WAM Research are dropping appeared first on The Motley Fool Australia.

The Sims Ltd (ASX: SGM) share price will be on watch tomorrow as the ASX 200 metals company turns ex-dividend.

Tomorrow, Sims will be taking away entitlements to its partially franked final dividend of 50 cents per share.

This means that today is the final day to lock in this dividend, which will be paid on 19 October.

Investors buying Sims shares tomorrow won't score the latest dividend. But they'll likely be able to pick up shares at a reduced price.

This is because a company's shares usually fall on the day they turn ex-dividend as the value of the dividend leaves the share price.

While the extent of the drop is influenced by market sentiment, it's usually in relative proportion to the size of the dividend.

Given that Sims' final dividend equates to a yield of around 3.7%, the Sims share price will likely come under fire tomorrow as shares turn ex-dividend.

Did Sims crush it in FY22?

FY22 was a bumper year for Sims. Revenue jumped by 57% to $9.3 billion, driven by a combination of higher sales volumes and higher sales prices.

This strong growth flowed through to earnings as the company delivered its best underlying earnings before interest and tax (EBIT) results on record. Underlying EBIT nearly doubled to $756 million.

In terms of segment performance, North America Metal achieved the largest improvement in underlying EBIT, which surged by 114% to $293 million. This was driven by higher trading margins and higher volumes on the back of strong demand from domestic and export markets. Recent acquisitions also had a hand in the growth.

Commenting on the results, CEO and managing director, Alistair Field said:

I am proud that we delivered the strongest Underlying EBIT result on record and significant trading margin and volume increases. I am also pleased that return on productive assets grew by 16.0 ppts to 39.0%, and cash flow from operations increased by 323.3%, enabling us to lift our cash distribution to shareholders, while maintaining our balance sheet strength.

On the back of these results, Sim declared FY22 dividends of 91 cents per share, partially franked. This represents a mammoth 117% hike from the annual dividends of 42 cents declared in the prior year.

At current prices, Sims shares are spinning up a trailing dividend yield of 6.8%.

The company is also delivering further returns to shareholders through an on-market share buyback.

What's the outlook for the Sims share price?

In response to Sims' FY22 results, broker Goldman Sachs retained a neutral rating on Sims shares.

Goldman remains positive on the long-run demand trend for scrap metal. However, the broker is forecasting a ~50% drop in Sims' EBIT in FY23 as global scrap prices head south and global steel demand weakens.

Goldman has a 12-month price target of $16.70 for Sims shares, which implies a potential upside of 20% from current levels.

The Sims share price last traded at $13.38. It's tumbled by 38% over the past six months but zooming out over the past year, Sims shares have gained 6%.

In comparison, the S&P/ASX 200 Index (ASX: XJO) has backpedalled by 14% and 10% over the last six and 12 months, respectively.

The post This high-yielding ASX 200 share is trading ex-dividend tomorrow appeared first on The Motley Fool Australia.

The S&P/ASX 200 Index (ASX: XJO) ended the week with a wobbly performance despite strong gains among energy shares. The index closed Friday's session 0.02% higher at 7,114.5 points.

That marks a 1.16% gain for the week and the ASX 200 closed four out of five sessions in the green.

The S&P/ASX 200 Energy Index (ASX: XEJ) soared 4% on Friday, likely on the back of rising oil prices and concerns a European energy crisis could increase demand for coal. The Brent crude oil price lifted 3.1% to US$96.59 a barrel overnight while the US Nymex crude oil price rose 2.7% to US$90.50 a barrel.

It wasn't such a good day on the S&P/ASX 200 Utilities Index (ASX: XUJ). It fell 0.7% as AGL Energy Limited (ASX: AGL) released its earnings and APA Group (ASX: APA) revealed a $32 million impairment.

Speaking of earnings, TPG Telecom Ltd (ASX: TPG) shares slumped on the telco's results while Cochlear Limited (ASX: COH) shares lifted on the results of the healthcare giant.

Never fear if you missed out on much of today's earnings excitement; there's plenty more to come next week.

At the end of Friday's session, five of the ASX 200's 11 sectors were in the green.

But which share outperformed all others to be crowned the final daily top performer of this week? Let's take a look.

Top 10 ASX 200 shares countdown

Today's top performing ASX 200 share was none other than Santos Ltd (ASX: STO). It lifted alongside its home sector on Friday. Find out more about the company and what it's been up to here.

Today's biggest gains were made by these ASX shares:

Our top 10 ASX 200 shares countdown is a recurring end-of-day summary to let you know which companies were making big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

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

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

Bendigo and Adelaide Bank Ltd (ASX: BEN)

The Bendigo and Adelaide Bank share price is down over 4% to $9.44. This morning the team at Goldman Sachs downgraded this regional bank's shares to a neutral rating with a trimmed price target of $10.60. Goldman admitted that it got it wrong with the bank. It said: "[T]oday's result showed that we had underestimated the extent to which the NIM upside that we had initially anticipated BEN would enjoy due to higher cash rates."

Challenger Ltd (ASX: CGF)

The Challenger share price is down over 11% to $6.33. Investors have been selling this annuities company's shares after the release of its full year results. Challenger reported a statutory net profit after tax of $254 million for FY 2022. This was down a disappointing 57% from FY 2021.

SEEK Limited (ASX: SEK)

The Seek share price is down 5% to $23.19. The catalyst for this was the release of the job listings company's full year results. Although Seek delivered an 81% increase in net profit after tax (excluding significant items) to $245.5 million, this was still short of expectations. Goldman Sachs notes that Seek's result was a "slight miss" and its "FY23 outlook [was] mixed."

Sims Ltd (ASX: SGM)

The Sims share price is down 3% to $15.25. This was despite the scrap metal company reporting a 161.2% increase in net profit to $599.3 million in FY 2022. Management's cautious guidance could be weighing on its shares. It notes that ferrous prices have halved in value over the last few months from US$700 per tonne in March to between US$320 and US$400 per tonne at the start of FY 2023.

The post Why Bendigo and Adelaide Bank, Challenger, Seek, and Sims shares are dropping appeared first on The Motley Fool Australia.

The Sims Ltd (ASX: SGM) share price is in the red this afternoon after the company posted its full-year results for FY22.

At the time of writing, Sims shares are down 3.18% to $15.21, having earlier slumped as low as $14.51.

Let's take a closer look at what the ASX-listed metal and electronics recycling company reported.

What did Sims report?

Here are the highlights from Sims' FY22 results:

• Sales revenue rose 56.6% to $9,264.4 million compared to FY21
• Net profit up 161.2% to $599.3 million
• Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) jumped by 65.4% to $958.9 million
• Earnings before interest and taxation (EBIT) went up by 146.4% to $773.6 million
• Underlying EBIT increased 95.6% to $756.1 million
• Operating cash flow surged by 323.3% to $547.8 million
• Declared a final dividend of 50 cents per share, a 66.7% jump on FY21

Revenue experienced strong growth on the back of a 12.2% increase in sales volumes. This was primarily driven by a 23.6% increase in zorba volumes, partially due to improved metal recovery technology.

Sims benefitted from a surge in sales prices, in particular ferrous commodities. The average sales price for ferrous went up by 43% compared to non-ferrous sales prices, which increased by 32%.

The higher operating costs of 23.9% were a result of greater activity across the business, acquisitions, greenfield facilities, and enhanced performance incentives.

What else happened in FY22?

All segments within the business experienced inflationary pressures, in particular labour.

It should be noted that the company's earnings benefitted from an 89.2% increase in earnings contribution from a 50% interest in SA Recycling.

Diluted earnings per share (EPS) increased from 112.8 cents in FY21 to 295.6 cents in FY22, a rise of 162.1%.

The weighted average number of basic shares was reduced by 3.3 million shares relative to FY21. On top of this, the company bought back and cancelled 7.7 million shares, contributing to an improvement in diluted EPS by 5.6 cents.

In addition, Sims declared a final dividend of 50 cents per share, 50% franked. That brings the full-year payout to 91 cents — a 116% increase over the prior year. The dividend will be paid out on 19 October 2022.

Meanwhile, the company achieved its lowest total recordable injury frequency rate ever after implementing its critical risk management strategy in FY19.

The business continues to hit sustainability goals, ranking 11th on the 2022 Global 100 List of most sustainable companies in the world.

What did management say?

Commenting on the results, Sims CEO and Managing Director Alistair Field said:

We made significant progress on our business strategy: successfully completed several strategic acquisitions, continued to deploy enhancement technologies in ferrous and non-ferrous, and opened new feeder yards in the metal business.

In Sims Lifecycle Services, we launched new service offerings and invested in engineering and technology to continue driving innovation and build capacity to scale up operations quickly when the supply chain challenges ease.

I am particularly proud of how our teams managed the inflationary pressures and market volatility, working across all market segments to protect margins while maintaining high safety standards.

Management provides a measured outlook

Management has flagged the uncertainty around the short term because of major volatility.

The combination of rising interest rates and increasing inflation has resulted in lower demand for steel, copper, and aluminium.

Ferrous prices were at a high of US$700 tonne in March FY22 but have subsequently dropped to between US$320 and US$400 per tonne at the start of FY23.

FY23 results will depend on how interest rates pan out but management advised its strong market position and strong balance sheet will help the business absorb the adverse impact of the short-term volatility.

Management also added structural macro trends like the global decarbonisation of steelmaking, rise in electric arc furnaces, and energy transition will act as strong tailwinds for recycled metal.

Sims share price snapshot

When metals prices were at all-time highs in April, the Sims share price rallied to a 12-month high of $22.64 per share.

However, since then, the Sims share price has taken a turn for the worse, sinking as low as $13.37 at the start of July.

Over the last 12 months, the Sims share price has fallen by 13%. Across the same period, the S&P/ASX 200 Index (ASX: XJO) has dropped by 6%.

The post Sims share price slips despite stellar growth in FY22 appeared first on The Motley Fool Australia.

Earnings season truly kicked off among S&P/ASX 200 Index (ASX: XJO) shares today with many of the market's favourites releasing results. The index ended the day 0.45% higher at 7,064.30 points.

If you missed out on any of the excitement today, never fear. There'll be plenty more over the rest of the month.

The S&P/ASX 200 Real Estate Index (ASX: XRE) led the way on Monday, gaining 1.95%, itself led by GPT Group (ASX: GPT) following the company's half-year earnings.

Meanwhile, the S&P/ASX 200 Energy Index (ASX: XEJ) recorded the biggest fall, slumping 0.8%. It was weighed down by the Beach Energy Ltd (ASX: BPT) share price after the company released its financial year 2022 earnings amid lower oil prices.

The Brent crude price fell by 1.5% to US$98.15 a barrel on Friday. It outperformed the US Nymex crude oil price, which dropped 2.4% to US$92.09 a barrel.

The S&P/ASX 200 Financials Index (ASX: XFJ) also underperformed today, dipping 0.2% amid – you guessed it – a notable constituent's earnings. This time it was the Bendigo and Adelaide Bank Ltd (ASX: BEN) share price that slumped on the release of full year results while Zip Co Ltd (ASX: ZIP) stock also tugged at the index despite the company's silence.

But it was a broadly productive day on the ASX 200. Nine of the index's 11 sectors ended the day in the green.

But which ASX 200 share outperformed all others? Keep reading to find out.

Top 10 ASX 200 shares countdown

Monday's best performing ASX 200 stock was none other than lithium developer Core Lithium Ltd (ASX: CXO). The stock took off on the back of an update on exploration activities.

Find out more about what Core Lithium has been up to here.

Today's biggest gains were made by these ASX shares:

Our top 10 ASX 200 shares countdown is a recurring end-of-day summary to let you know which companies were making big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

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

Today brought more gains for the S&P/ASX 200 Index (ASX: XJO), with energy shares taking the lead. The index was 0.69% higher at 6,993 points as of Monday's close.

It marks a fifth consecutive session in which the benchmark index closed in the green. Though, it hasn't clambered back its June losses yet.

The S&P/ASX 200 Energy Index (ASX: XEJ) led on Monday, gaining 1.9% on the back of higher oil prices.

The price of Brent crude oil lifted 2.7% on Friday to trade at US$110.01 a barrel. Meanwhile, the US Nymex crude oil price gained 2.3% to reach US$96.42 a barrel.

It was also a good day for the S&P/ASX 200 Health Care Index (ASX: XHJ) and the S&P/ASX 200 Materials Index (ASX: XMJ). The latter's lift likely had something to do with higher base metals and iron ore prices.

The price of nickel lifted 7.8% on Friday while iron ore futures rose 7.4% to trade at US$115.48 a tonne.

It wasn't all glory, however. The S&P/ASX 200 Information Technology Index (ASX: XIJ) slumped 0.4% on the back of the Megaport Ltd (ASX: MP1) share price's 13% tumble.

At the end of Monday's session, eight of the ASX 200's 11 sectors were in the green. But which shares topped the lot? Let's take a look.

Top 10 ASX 200 shares countdown

Today's top performer was lithium and boron producer Allkem Ltd (ASX: AKE). The stock gained 4.5% today despite the company's silence. Find out what Allkem has been up to lately here.

Today's biggest gains were made by these ASX 200 shares:

Our top 10 ASX 200 shares countdown is a recurring end-of-day summary to ensure you know which companies were making big moves on the day. Check in at Fool.com.au after the market has closed during weekdays to see which stocks make the countdown.

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

Ask A Fund Manager

The Motley Fool chats with the best in the industry so that you can get an insight into how the professionals think. In this edition, Redpoint Australian Equity Income Fund portfolio manager Max Cappetta reveals how he would deal with three ASX shares that have had a shocker this year.

Cut or keep?

The Motley Fool: Now let's see what you think about three ASX shares that used to be darlings but have fallen considerably off the perch this year.

First is WiseTech Global Ltd (ASX: WTC), which has dropped 30% year-to-date. You've already spoken about how WiseTech is a buy for you at the moment. Anything further to add?

Max Cappetta: Because it has fallen this far, we think that it is probably trading at a "more attractive" level than it has in the past. 

Investors should bear in mind that that thematic of higher interest rates, therefore impacting the valuation of some of these stocks, is still there. So even though it has fallen, it's more attractive. If it falls further from here, then it does in fact become quite attractive for the growth profile that the company has put forward it can achieve.

MF: Domino's Pizza Enterprises Ltd (ASX: DMP) shares have more than halved since September. What are your thoughts?

MC: I think the disappointing aspect that we're seeing through our quantitative analysis of their financials, is really the weakening of their profit margins over recent years. 

We know that revenues have grown quite strongly for the company over the past few years. And we do know that the promise of their global growth ambitions, really, was to bring that incremental profit growth. And I think there's just been disappointment about how that has actually been delivered and whether, right here right now, they can get back onto that path. 

If there is that uncertainty, then that's just going to depress the premium that investors are willing to pay for maybe less certainty around the growth of that company. 

We do know just in recent weeks the company has moved to add a service delivery fee to try and combat some of the higher costs within the business. But, for us, that is a little bit of a stop-gap measure. What we still need to see is an underlying improvement in their operating efficiency, to really justify a much larger rebound from these price levels.

MF: And the quick-service restaurant industry is so competitive and commoditised, isn't it? 

MC: Yeah, absolutely. It's that substitution effect, that, if I'm not going to take that one, I've got plenty of other options, both in terms of freshly made and also frozen varieties through the supermarkets as well.

MF: Sims Ltd (ASX: SGM) has lost 40% of its value since April. What do you think?

MC: Sims is a real interesting one here. I think for people that might recognise the name, they'll know it as a metal recycling business. But I think maybe what is less well known is the fact that it really is at the forefront of this global drive to a more sustainable economy. 

The company was founded back in the early 1900s and has really been mainly focused on trading in ferrous metals — iron and steel — as well as other metals, such as copper, aluminium, lead, zinc, and nickel. But I think the interesting element is the diversity that they're now building, particularly in North America, around some of their electronics recycling and also their curbside recycling businesses.

Now I do take that it has been really a long-term underperformer relative to the market over many years. And that has been really in line with the volatility of iron and steel prices in the marketplace, which impacts the demand for iron, which is one of the key things that they obviously purchase and then recycle. 

Now, I think this could be changing over the years ahead as the company diversifies into these recycling activities in a more broader sense. And as I said before, that ongoing focus on the transition to more sustainable global practices should provide it a tailwind.

Looking at it from an income perspective, it's trading at a gross dividend yield of approximately 4%, which I think still remains attractive relative to interest rates available, notwithstanding that interest rates are on the way up, but we're only at around 1.5% there at the moment. 

It's going to deliver a record profit in financial year 2022 of about $2 per share. Now we do note that expectations in 2023 are that profits will weaken slightly, back to around $1.50 per share, but this is still well ahead of the $1 per share that it made in 2018. And the share price is actually trading at slightly below where it was in 2018. So from a valuation perspective, we think that it is attractive, and maybe some people are staying away from the company due to its volatility. But as the business diversifies into these recycling and sustainable processes outside of the metals industry or related to it, they're going to be able to provide a more diversified and consistent profit growth in the years ahead.

The post What I'd do with 3 ASX shares that have plunged this year: expert appeared first on The Motley Fool Australia.

Unfortunately, not all shares were able to climb with the market. Here's why these were the worst performers on the ASX 200 last week:

Metcash Limited (ASX: MTS)

The Metcash share price was the worst performer on the ASX 200 last week with a 9.5% decline. This was despite the wholesale distributor announcing the renewal of a major contract with Drakes Supermarkets in Queensland. Sales by Metcash's Food pillar to Drakes Queensland stores in FY 2021 were ~$220 million. Concerns over consumer spending due to inflation and high energy prices may have offset this news.

Boral Limited (ASX: BLD)

The Boral share price wasn't far behind with a decline of 9.45% over the five days. Investors were selling this building products company's shares after it revealed that its earnings have taken a hit from inclement weather and higher energy prices. This means that Boral will fall short of its underlying earnings before interest and tax (EBIT) guidance of $145 million and $155 million.

Nufarm Ltd (ASX: NUF)

The Nufarm share price was out of form and dropped 9.1% last week. This was driven by the release of the agricultural chemicals company's half-year results. For the six months ended 31 March, Nufarm reported a 41% increase in underlying EBITDA to $330 million. This was in the middle of the company's guidance range of $320 million to $340 million. It appears that some investors may have been expecting Nufarm to hit the top end of its guidance range.

Sims Ltd (ASX: SGM)

The Sims share price was a poor performer with an 8.3% decline over the period. This appears to have been driven by a broker note out of Goldman Sachs. Its analysts downgraded the scrap metal company's shares to a neutral rating with a $21.30 price target. Goldman made the move on valuation grounds and prefers BlueScope Steel Limited (ASX: BSL) at current levels.

The post These were the worst performing ASX 200 shares last week appeared first on The Motley Fool Australia.

The S&P/ASX 200 Resources Index (ASX: XJR) finished the session on Friday down 1.95%. By comparison, the S&P/ASX 200 Index (ASX: XJO) fell 2.16%.

Let's take a look at the ASX 200 mining shares that were the big price fallers today.

The top 5 fallers in ASX 200 mining shares…

1. The Coronado Global Resources Inc (ASX: CRN) share price lost 8.13% to finish the session at $2.26
2. The AVZ Minerals Ltd (ASX: AVZ) share price lost 7.14% to finish at 78 cents
3. The Lake Resources NL (ASX: LKE) share price lost 6.52% to finish at $1.65
4. The Sims Ltd (ASX: SGM) share price lost 6.16% to finish at $19.04
5. The Liontown Resources Limited (ASX: LTR) share price lost 5.8% to finish at $1.38.

And among the mega miners…

• The South32 Ltd (ASX: S32) share price fell 2.94% to finish at $4.63
• The Rio Tinto Limited (ASX: RIO) share price fell 2.08% to finish at $109.26
• The Newcrest Mining Ltd (ASX: NCM) share price fell 1.71% to finish at $26.43
• The BHP Group Ltd (ASX: BHP) share price fell 1.37% to finish at $46.80
• The Fortescue Metals Group Limited (ASX: FMG) share price finished the session steady at $20.83.

The post Which ASX 200 mining shares were the worst-performing on Friday? appeared first on The Motley Fool Australia.

ASX mining shares were the market leaders last quarter with several names taking out top spots in the race for shareholder returns.

The S&P/ASX 300 Metals & Mining Index (ASX: XMM) started at 5,539 and lunged to 6,352. As such, it earned a net change of 813 points or 14.7% for the quarter.

It has pared gains but still remains aloft the benchmark S&P/ASX 200 Index (ASX: XJO), shown below.

Top performing ASX mining shares

It was a constructive period for the ASX mining sector in more ways than one. There were 36 names that came out strong, whereas 18 were down, according to Bloomberg data. One name remained unchanged.

There were also eight new additions to the index, whereas two names were removed.

During the quarter Rio Tinto Limited (ASX: RIO) was one top performer of the ASX mining shares basket with a 25.94% change for the quarter.

A number of catalysts, stemming from roaring commodity markets and extending to company-specific updates, saw the Rio Tinto share price jump north for the period.

On a similar note, mining giant BHP Group Ltd (ASX: BHP)'s share price jumped up by 30.31%, whilst Sims Ltd (ASX: SGM) climbed by 37.76%.

However, it was Coronado Global Resources Inc (ASX: CRN) that came out on top, with a 72.53% gain for the quarter, followed by Champion Iron Ltd (ASX: CIA) which grew circa 46%.

The results of the top 10 gainers in the ASX metals and mining shares index from last quarter are tabled below.

The post ASX mining shares were the leaders last quarter. Here are the top performers appeared first on The Motley Fool Australia.