There is a school of thought that the entertainment industry is one that can remain resilient through economic downturns.

The idea is that consumers will stay home more and watch television or streaming services, or gamble as a distraction from a troubled world.

After ten consecutive months of interest rate rises, this theory is about to get a sore workout in Australia.

Here are two ASX shares that fit the bill that one expert is recommending as buys:

'Fundamentals are strong'

Nine Entertainment Co Holdings Ltd (ASX: NEC) operates a free-to-air television network, streaming service Stan, as well as a national stable of newspapers and radio stations.

Ord Minnett senior investment advisor Tony Paterno was impressed with what the company presented during the reporting season.

"The diversified media giant posted group revenue of $1.403 billion in the first half of fiscal year 2023," Paterno told The Bull.

"This represented a 5% increase on the prior corresponding period."

Paterno was not too worried about net profit after tax, which was down 16%. 

"Group fundamentals are strong, backed by a solid balance sheet," he said.

"In our view, the shares were trading at a discount at $1.91 on March 2. We retain our $2.80 fair value estimate."

The television network also scored a coup last month when it secured the broadcast rights to the next five Olympic games.

The Nine share price is down more than 27% over the past 12 months.

'The offer is appealing'

Star Entertainment Group Ltd (ASX: SGR) has seen its share price halve over the past year as multiple government enquiries questioned its fitness to hold its casino licences.

But with new management installed, perhaps it can't get any worse.

Paterno noted the company raised some much-needed cash with a $595 million institutional issue at $1.20 per share.

"Star Entertainment expects to raise about $205 million from its retail entitlement offer. The offer will close on March 13," he said.

"The capital initiatives will dilute our fair value estimate, but we believe the offer is appealing on valuation grounds."

The money will be used to pay off debt and provide "liquidity headroom", according to Paterno. 

"New South Wales and Queensland regulators have imposed fines totalling $200 million on Star Entertainment," he said.

"Shareholders should examine the retail entitlement offer before investing."

The post 47% upside: Expert names 2 entertainment ASX 200 shares to buy for cheap appeared first on The Motley Fool Australia.

The S&P/ASX 200 Index (ASX: XJO) posted a slight gain on Thursday, lifting 0.05% to close at 7,255.4 points.

It comes on the back of a strong session for the S&P/ASX 200 Materials Index (ASX: XMJ), which rose 2.9%.

It was helped along by shares in the market's biggest company BHP Group Ltd (ASX: BHP) which had their best day in months, gaining 4% to close at $48.05.

Higher gold and iron ore prices also likely helped the sector. Gold futures price added 0.5% overnight to reach US$1,845.40 an ounce while iron ore futures lifted 0.8% to US$126.80 a tonne.

The S&P/ASX 200 Energy Index (ASX: XEJ) also outperformed, increasing 1.4% after oil prices gained 1% overnight.  

On the other hand, the S&P/ASX 200 Financials Index (ASX: XFJ) fell 1.9%, with the big four banks coming in among its losers.

But which ASX 200 share came out on top of all others on Thursday? Let's take a look.

Top 10 ASX 200 shares countdown

Today's top-performing stock was none other than mining giant South32 Ltd (ASX: S32). It rose 5.15% to close at $4.70.

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.

To say casino operator Star Entertainment Group Ltd (ASX: SGR) is having a difficult time of late is an understatement.

Multiple government enquiries in the past year have accused the company of allowing money laundering at its venues. Those reviews raised doubts about Star Entertainment's fitness to hold casino licences in New South Wales and Queensland.

The share price has rightly more than halved over the past 12 months and a new chief executive has been installed.

As if that wasn't enough, this week the corporate regulator revealed it has been in Star's ear about its concerns.

Massive provision, massive loss

The Australian Securities and Investments Commission on Wednesday morning took credit for Star's revelation in its financial reporting that it had set aside $150 million for potential fines and penalties.

"Following a review of The Star's financial report for the year ended 30 June 2022, ASIC raised concerns that no provision had been recorded for likely fines and penalties — despite some uncertainties as to their amount — for non-compliance by The Star with Anti-Money Laundering and Counter-Terrorism Financing laws," stated the watchdog.

So that's $150 million that Star Entertainment now cannot touch, to ensure it has funds to cop whatever punishment arises out of the ongoing AUSTRAC investigation.

Star Entertainment reported a whopping $1.26 billion loss for the half-year ending 31 December.

According to ASIC, it warned the company as a part of its "financial reporting surveillance program". 

"ASIC's financial reporting surveillance program aims to improve the quality of financial reporting and to ensure financial reports have been prepared in accordance with the law, supporting investor confidence and the integrity of Australia's capital markets."

There's a lot going on with Star shares

To add to its woes, a Hong Kong company with alleged associations to criminal gangs was revealed to have participated as an investor in the Star's $1 billion capital raising last week.

The Australian Financial Review aired the claim last weekend, calling it "a mark of desperation" or "shortsightedness".

The same publication revealed Tuesday night that Ord Minnett's part-owner Bruce Mathieson has been rapidly buying up the discounted shares in recent times.

"Mathieson's understood to have climbed to nearly 10% of Star's shares on issue, which is the most any investor can buy without clearance from casino regulators," reported the AFR.

"Ords did 70% of the Star volume on Tuesday – or nearly 10 times any other broker – and more than 50% on Monday."

The post Which ASX 200 company just put aside $150 million for fines and penalties? appeared first on The Motley Fool Australia.

The Star Entertainment Group Ltd (ASX: SGR) share price is back in business today, rising amid the completion of a large chunk of the company's $800 million capital raise.

The stock was put into a trading halt on Wednesday. Today, it returned to trade as the successful completion of $595 million of that raise was announced.

But the Star Entertainment share price isn't responding positively. It's falling 1.32% at the time of writing to trade at $1.50.

It's also worth noting today marks the first time the market can respond to the company's $1.3 billion first-half loss, also revealed yesterday.

Let's take a closer look at what's going on with the embattled S&P/ASX 200 Index (ASX: XJO) casino operator.

Star completes institutional raise, gears up for retail offer

The Star Entertainment share price returned to trade on Friday, quickly falling into the red after completing the institutional component of its capital raise.

That comprised a $115 million institutional placement and the institutional element of a $685 million entitlement offer, each offering new shares for $1.20 apiece. The latter allowed existing investors to buy three new shares for every five already owned.

It saw strong support from both existing and new investors, with a take up rate of around 94%. That included $80 million of binding pre-commitments from strategic partners Chow Tai Fook Enterprises and Far East Consortium International.

Star Entertainment CEO Robbie Cooke commented on today's news, saying:

The capital structure initiatives announced yesterday, including the placement and entitlement offer, will provide The Star with a strengthened balance sheet to deliver on its key strategic priorities and to meet the capital requirements provisioned for.

The company plans to use the raised capital to repay debt and increase its liquidity. It boasts $754 million of pro forma liquidity and $341 million of net debt as of the end of December.

And retail investors wanting to bolster their position in Star Entertainment shares for $1.20 apiece won't have to wait long to do so.

The retail component of the company's entitlement offer – expected to be worth $205 million – will open on Thursday and run until 13 March.

Star Entertainment share price snapshot

The Star Entertainment share price has taken a major tumble in recent months. It's currently down 17% year-to-date as challenging trading conditions weighed on its earnings.

Looking further back, the stock has tumbled 54% over the last 12 months amid a massive fine and the suspension of its Sydney casino license.

For comparison, the ASX 200 is 5% higher year to date and over the last 12 months.

The post Star Entertainment shares return to trade after raising $595 million. What's next? appeared first on The Motley Fool Australia.

The Star Entertainment Group Ltd (ASX: SGR) share price is being spared after the release of its half-year results.

Still sitting in a trading halt, investors are none the wiser as to whether the market is taking today's results positively or negatively.

Star share price frozen as tarnishing takes its toll

Here are the highlights of the company's half-year results:

• Statutory revenue up 76% year on year to $1,013 million
• Earnings before interest, tax, depreciation, and amortisation (EBITDA) grew by 550% to $199.7 million
• Net losses deepened by 1,603% to reach $1,264 million
• Net assets fell 37% to $2,153.4 million
• An $800 million equity raising at $1.20 per share announced today
• Dividends suspended until the long-term target leverage of 2 to 2.5 times is reached and all licenses are returned

The six months ending December 2022 was unquestionably a diabolical stretch of time for the casino operator. Troubled by investigations, license stripping, and fines, Star Entertainment is perhaps lucky to still be standing.

Surprisingly, despite all the rumblings, some of the company's casinos performed strongly. Revenue from Star's Gold Coast and Brisbane locations increased by 30% and 9% respectively compared to their pre-pandemic levels. Although, the performance of its Sydney casino was not glowing, with revenue slipping 14% to the pre-COVID comparable.

The company's staggering $1.3 billion loss is comprised of several significant items. These include nearly a billion dollars in impairment costs to Star's Sydney property assets and goodwill; $350 million worth of penalties; and ongoing costs tied to its regulatory reviews.

What else happened in the first half?

There was little in the way of good news throughout the back half of 2022.

On 17 October, it was unveiled that the New South Wales gaming regulator — NSW Independent Casino Commission (NICC) — had handed down a $100 million fine.

In addition, NICC suspended the company's gaming license following unsettling findings from an inquiry. Remarkably, the Star share price rose more than 1% on the news.

Another spanner that was thrown into the works during the half was the New South Wales government's announced plans to bring reform to casino tax rates. Under the new reform, pokies will garner a top tax rate of 60.67%.

What did management say?

Star group CEO and managing director Robbie Cooke discussed the difficulties and the successes during the half, stating:

We have been pleased with the ongoing strength of trading across our Queensland-based properties while trading at The Star Sydney has been impacted by operational changes associated with the outcome of the Bell Review and increased competition.

Cooke put an emphasis on regaining the trust and confidence of the community moving forward. In doing so, a key focus is to prove its casinos are fit for purpose and to regain licenses.

What's next?

After entering a trading halt yesterday, Star has now announced capital structure initiatives to shore up the company amid the heightened uncertainty.

The plan is to raise $800 million in total through a $685 million entitlement offer and a $115 million institutional placement. Notably, this capital will be raised at a 21% discount to the current Star share price.

According to the release, the proceeds will be used to repay debt and increase liquidity.

Star Entertainment share price snapshot

Shares in the Australian casino operator have been in a world of pain. Not only over the past year, but across the last five years. The company's share price was unable to reclaim its pre-pandemic level after initially bouncing back.

The last 12 months have seen the Star share price crumble 56%, with steep falls in December and February.

The post Star Entertainment share price treads water as losses blowout to $1.3 billion appeared first on The Motley Fool Australia.

It's been a pretty disappointing day for ASX shares and the ASX 200 Index so far this Wednesday. At the time of writing, the ASX 200 has slipped by 0.31% to under 7,315 points. But one ASX 200 share, perhaps mercifully, is sitting this session out. That would be the Star Entertainment Group Ltd (ASX: SGR) share price.

Yesterday, this ASX 200 casino operator and gaming company closed at $1.52 a share. And that's where it will be staying, at least for a while. This is due to Star announcing a trading halt for its shares this morning before market open.

Yes, in an ASX release today, Star announced that its shares would be put on ice.

Why?

Star share price on ice as capital initiatives announced

Well, Star Entertainment has told investors that "the Trading Halt is necessary as The Star expects to make an announcement to ASX regarding capital structure initiatives".

As such, the shares will remain halted until either 24 February or until "such time as The Star releases an announcement to ASX in relation to the capital structure initiatives".

And that's all we know for now.

Of course, the Star share price has had a truly awful month. Back on 13 February, the company released an earnings and guidance update which spooked investors mightily.

Star told the markets that it is anticipating a non-cash impairment charge of between $400 million and $1.6 billion in its half-year results, depending on the impact of the proposed changes to New South Wales casino duty.

It also declared that it is expecting to report full-year underlying earnings before interest, tax, depreciation and amortisation (EBITDA) between $330 million and $360 million.

Investors were not impressed, to say the least. On the day this guidance came up, the Star share price cratered by a horrendous 20.74%, and lost another 13.4% the following day too, reaching a record-low share price of $1.28 in the process:

Until yesterday, the Star share price had recovered somewhat from these lows. But it will interesting to see what investors make of this latest announcement. Or indeed exactly what kind of "capital structure initiatives" Star has up its sleeve.

The post Why is the Star Entertainment share price on ice today? appeared first on The Motley Fool Australia.

The S&P/ASX 200 Index (ASX: XJO) followed Tuesday's pop with an 1.06% drop on Wednesday, falling to close at 7,352.2 points.

It came amid a deluge of earnings from some of the market's biggest names including Wesfarmers Ltd (ASX: WES), Commonwealth Bank of Australia (ASX: CBA), Cochlear Limited (ASX: COH), and Fortescue Metals Group Limited (ASX: FMG).

Weighing on the market today was the massive S&P/ASX 200 Financials Index (ASX: XFJ). It tumbled 3.4% as the big four banks weighed heavily, led by the CBA share price's 5.7% fall.

The S&P/ASX 200 Consumer Staples Index (ASX: XSJ) also had a rough session, dropping 1.4%.

Meanwhile, the S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) was among the top-performing sectors today, rising 0.5% with earnings from Wesfarmers and GUD Holdings Limited (ASX: GUD).

And I can tell you today's top-performing ASX 200 stock is at home on the consumer discretionary section. Let's take a look at what drove it sky-high on Wednesday.

Top 10 ASX 200 shares countdown

Today's biggest gains came from casino operator Star Entertainment Group Ltd (ASX: SGR). Its share price rocketed 14.4% in a partial recovery from recent losses.

The stock dived 20.8% on Monday on the back of a disappointing earnings update. It followed that up with a 13.5% tumble yesterday.

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.

But let's not let all of that get us down. So instead of dwelling, let's now turn to the shares that are currently topping the ASX 200's share trading volume charts, according to investing.com.

The 3 most traded ASX 200 shares by volume this Wednesday

Telstra Corporation Ltd (ASX: TLS)

Our first share experiencing large trading volumes worth checking out today is the ASX 200 telco Telstra. So far this Wednesday, a substantial 13.27 million Telstra shares have been exchanged on the markets. We haven't gotten any new news from Telstra for a while now. So this volume probably has something to do with the company's share price performance this session.

Telstra is pleasingly defying the gloom of the broader markets and has held its ground today. The telco is presently flat at $4.14 a share, but rose as high as $4.17 earlier this morning, before falling into red territory and recovering to where we see the shares at now. All of this volatility has probably resulted in the high volumes we are seeing here.

Star Entertainment Group Ltd (ASX: SGR)

ASX 200 gaming and casino company Star Entertainment is next up this Wednesday. This session has seen a chunky 25.65 million Star shares fly across the ASX skies. This is almost certainly a result of the big recovery the Star share price has staged so far today.

After a disastrous start this week following a poorly-received guidance update, the Star share price has bounced today. It's currently up by a pleasing 9.34% at $1.40 a share. With a bounce this big, it's no surprise to see so many shares flying around.

Sayona Mining Ltd (ASX: SYA)

Our last share this Wednesday is the ASX 200 lithium stock Sayona Mining. At this point of the trading day, a large 31 million Sayona shares have found a new ASX home. There's been no news out of Sayona today. But that hasn't stopped this company from sliding by a nasty 6.52% to 22 cents per share.

This dramatic loss of value is almost certainly behind the elevated trading volumes on display. Perhaps investors are getting spooked over the heightened short-selling of Sayona shares that my Fool colleague Brooke discussed this morning.

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

It's probably fair to say that this week has been one of, if not the, worst week in the history of the Star Entertainment Group Ltd (ASX: SGR) share price. Star, an ASX 200 gaming and casino share, fell off a cliff on Monday when the company released an earnings and guidance update.

As we covered at the time, Star reported a big drop in revenue from its Sydney casino, as well as a large rise in costs and headcount. The company also told investors to expect a non-cash impairment charge of between $400 million and $1.6 billion when the company delivers its next earnings report.

It's probably an understatement to say that investors were not impressed. By the end of Monday's session, Star shares fell almost 21% to their lowest price on record. Yesterday, the pain kept coming. The company fell another 13.4% to find a new all-time low of $1.28 a share.

Take a look at the damage for yourself:

But today, it appears the wounds have been staunched.

Star share price finally finds a bottom

The Star share price is currently on the rebound so far this Wednesday. At the time of writing, the ASX 200 gaming stock has rebounded by a pleasing 8.19% back up to $1.39 a share.

There's been no fresh news from Star since its dramatic guidance update on Monday. So it appears investors have finally decided that the Star share price has found its bottom. That would explain why the shares are bouncing back up so far this Wednesday. But even so, the company is still sitting at a horrible 25.9% loss from where it closed last week.

The company is also down more than 78% from its last all-time high. That was back in early 2018 and saw the company above $6 a share.

At the current Star Entertainment share price, this ASX 200 gaming share has a market capitalisation of $1.41 billion.

The post Star Entertainment share price rebounds 8% on Wednesday appeared first on The Motley Fool Australia.

Yay for love. But let's now delve a little deeper into what the markets are doing today by checking out the ASX 200 shares that are currently at the top of the share market's trading volume charts, according to investing.com.

The 3 most traded ASX 200 shares by volume this Tuesday

Pilbara Minerals Ltd (ASX: PLS)

Our first ASX 200 share worth taking a look at this Tuesday is the lithium miner Pilbara Minerals. So far this session, a decent 11.52 million Pilbara shares have been bought and sold on the markets. We haven't seen any fresh news or announcements out of Pibara today, or indeed so far this month.

So this volume is probably a result of the share price movements the company has enjoyed. At present, Pilbara is up, but only just, having recorded a gain of 0.41% to $4.87 a share.

Earlier today, investors sent this company up to $5 a share, but seem to have readjusted their expectations as the day has gone on. It's probably this sliding around that has resulted in so many shares trading.

Sayona Mining Ltd (ASX: SYA)

Another ASX 200 lithium stock is next up this session in Sayona Mining. So far this Tuesday, a chunky 21.3 million Sayona shares have been sent to a new owner. Again, all has been quiet on the official Sayona news front so far this week. So again, let's look at the company's share price to explain this volume.

Unlike Pilbara, Sayona shares have had a shocker. The lithium share is presently down by a nasty 3.3% to 24 cents per share. That comes despite the company having a strong start this morning, and rising around 3% soon after open. This volatility is almost certainly why we are seeing so many Sayona shares shuttled around.

Star Entertainment Group Ltd (ASX: SGR)

Our final and most traded ASX 200 share today is the casino operator and gaming company Star Entertainment. A whopping 31.3 million Star shares have gambolled across the ASX boards at this point of the trading day.

Unfortunately for investors, this looks like a direct result of the continuing fallout over Star's disappointing earnings update from yesterday. The company cratered a nasty 20.74% yesterday to a new record low but has lost another 12% today to plumb to even lower depths at $1.30 a share at present. No wonder so many shares are flying around.

The post Here are the 3 most heavily traded ASX 200 shares on Tuesday 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:

Ansell Limited (ASX: ANN)

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

Breville Group Ltd (ASX: BRG)

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

Star Entertainment Group Ltd (ASX: SGR)

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

Temple & Webster Group Ltd (ASX: TPW)

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

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

But let's not let this set the tone for our week. So instead, let's take a look at the stocks dominating the ASX 200's share trading volume charts right now, according to investing.com.

The 3 most traded ASX 200 shares by volume this Monday

Telstra Group Ltd (ASX: TLS)

Our first stock worth taking a look at this Monday is the ASX 200 telco Telstra. So far this session, a notable 14.4 million shares of Telstra have been traded on the markets. We still haven't seen any news out of the company directly over February to date.

So therefore this volume is likely just a consequence of the moves that Telstra shares themselves are making today. Right now, the telco is bucking the markets convincingly, up by 0.74% at $4.10 a share.

Earlier today, Telstra rose as high as $4.12, but has also gone as low as $4.06. It's this bouncy performance which has probably led to so many Telstra shares flying around.

Mirvac Group (ASX: MGR)

Next up we have ASX 200 real estate investment trust (REIT) Mirvac Group. A hefty 16.9 million Mirvac units have changed hands so far this Monday.

Mirvac units have been experiencing heavy trading volumes since the REIT released its half-yearly earnings on Thursday last week. And not in a good way.

Today, the property trust has lost another 2.42% to $2.22 a unit, putting its losses since Wednesday at almost 8%. This selling pressure is probably responsible for Mirvac's presence here today.

Star Entertainment Group Ltd (ASX: SGR)

From MGR to SGR! Our final and most traded ASX 200 share today is none other than this casino operator. A whopping 48.4 million Star shares have zoomed across the ASX skies so far this Monday.

This is almost certainly a result of the fallout from Star's earnings update, which we covered this morning.

Star reported that its first-half revenue fell by 1% compared to pre-COVID levels, mainly driven by a 13.5% revenue drop from its Sydney casino.

Investors have not been impressed and earlier today sent the Star share price down to a new record low of $1.46 a share. The company's shares are down a horrible 20.3% at $1.49 each right now.

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

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

Appen Ltd (ASX: APX)

The Appen share price is down 16% to $2.79. This morning, the artificial intelligence data services company revealed that it expects to report full year revenue at the high end of its guidance range but EBITDA at the low end of its range. Appen also announced a non-cash, pre-tax impairment charge of $204.3 million relating to its new markets business.

Lendlease Group (ASX: LLC)

The Lendlease share price is down 7% to $7.69. Investors have been selling this engineering company's shares after its first half results disappointed. Lendlease reported a statutory loss of $141 million for the half. A key driver of this was a $200 million provision due to action by the United Kingdom government.

Nuix Ltd (ASX: NXL)

The Nuix share price has crashed 29% to $1.08. This appears to have been sparked by fears that the investigative analytics and intelligence software provider could be about to lose a major customer. According to the AFR, the Australian Securities and Investments Commission (ASIC) is planning to dump the company and use alternative software. There is also speculation that other government departments could follow suit.

Star Entertainment Group Ltd (ASX: SGR)

The Star share price is down a massive 20% to $1.50. Investors have been selling this casino operator's shares after it released a disappointing earnings update. Star revealed that competition in Sydney was weighing on its performance and is expected to lead to a small decline in first half revenue compared to pre-COVID levels. This is also expected to weigh on its full year earnings.

The post Why Appen, Lendlease, Nuix, and Star shares are sinking today appeared first on The Motley Fool Australia.

In morning trade, the casino operator's shares are down a massive 19% to $1.52.

This means the Star share price is down approximately 60% over the last 12 months.

Why is the Star share price crashing?

Investors have been selling down the Star share price on Monday after the company released a very disappointing earnings and guidance update.

According to the release, the company's first half earnings have been impacted by operational changes arising from the Bell and Gotterson Reviews, a step-up in remediation costs, and increased competition in Sydney from Crown Sydney.

First half revenue grew 30% on pre-COVID levels for The Star Gold Coast and 9% for Treasury Brisbane, but fell 13.5% for The Star Sydney. This led to overall group revenue falling 1% on pre-COVID levels.

In respect to its ongoing remediation actions, Star revealed that it has continued to invest in improved compliance capabilities and incurred remediation costs of ~$20 million during the half. This includes a significant increase in headcount including the use of 'surge' third party consultants to improve compliance processes as it seeks to return to licence suitability.

In light of this, Star expects to report underlying EBITDA of $195 million to $205 million during the first half. Though, it is worth noting that this excludes provisions for fines and one-off legal costs which will be treated as significant items.

Full year guidance

Unfortunately, things aren't expected to get any easier in the second half. In fact, its second half profits are expected to be softer half on half.

This is expected to lead to full year underlying EBITDA of $330 million to $360 million. This is based on the assumption that market conditions and the regulatory environment do not materially change.

Non-cash impairment

Star also revealed that it is writing down the value of its Sydney business due to operational changes implemented following the Bell Review, amendments to the NSW Casino Control Act, and the potential for an increase in NSW casino duty rates from FY 2024.

Management is anticipating a non-cash impairment charge in the range of $400 million to $1.6 billion in its half year results.

It notes that the high end of this range is based on the implementation of NSW casino duty rate increases as proposed by the NSW Government, whereas the low end of the range assumes no change in NSW casino duty rates.

Management commentary

Star's CEO and Managing Director, Robbie Cooke, commented:

We have been pleased with the ongoing strength of trading across our Queensland based properties, while trading at The Star Sydney has been impacted by operational changes associated with the outcome of the Bell Review as well as competition from Crown Sydney

Whilst the outcome of recent regulatory and legislative developments remains uncertain, we have taken a prudent approach to assessing the carrying value of our assets, which has resulted in a non-cash impairment charge which will be recognised in our 1H FY23 results.

The post Why did the Star Casino share price just dive 19% to an all-time low? appeared first on The Motley Fool Australia.

The S&P/ASX 200 Index (ASX: XJO) ended the week on a high – a six-week high that is. The index lifted 0.66% today to close at 7,328.1 points. That marks a 3.07% week-on-week improvement.

Friday's gain came on the back of positive inflation data out of the United States. The nation's consumer price index slipped 0.1% in December, bringing its annual inflation rate down to 6.5%. That's good news for anyone hoping interest rates will ease.

Back home, the S&P/ASX 200 Energy Index (ASX: XJO) led the way on Friday. It rose 1.5% after oil prices lifted more than 1% overnight.

S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) shares also had a good day. The sector gained 1.4%.

Though, it wasn't such a good session for S&P/ASX 200 Consumer Staples Index (ASX: XSJ) stocks, with the sector bringing up the rear, falling 0.4%.

So, with all that in mind, let's take a look at which ASX 200 shares posted the biggest gains on Friday.

Top 10 ASX 200 shares countdown

Today's top-performing ASX 200 share was Blackmores Ltd (ASX: BKL). It lifted 6.2% to close at $81.27 despite the company's silence.

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 have failed to climb with the market today are listed below. Here's why they are dropping:

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price is down 9% to $8.84. Investors have been hitting the sell button today after the fund manager released another dismal funds under management update. Magellan revealed that its funds under management declined by 10% or $4.9 billion last month. Management also advised that its performance fees would not be material for the six months to 31 December.

Pointsbet Holdings Ltd (ASX: PBH)

The Pointsbet share price is down 2.5% to $1.63. This follows a poor night of trade for tech shares on Wall Street overnight. Investors were selling tech shares after strong US jobs data appeared to support the Federal Reserve's aggressive rate hike plans.

Star Entertainment Group Ltd (ASX: SGR)

The Star share price is down a further 2.5% to $1.79. Investors have been selling this casino and resorts operator's shares in recent weeks amid concerns over a proposed new gambling tax. Goldman Sachs warned that the "NSW government's proposed casino tax reforms pose a significant earnings risk for SGR's Sydney casino." The Star share price is now down 30% since this time last month.

Zip Co Ltd (ASX: ZIP)

The Zip share price is down 4% to 60 cents. This may have been driven by profit taking from some investors after the buy now pay later provider's shares rocketed higher in recent sessions. Even after today's decline, the Zip share price is still up 12% since this time last week.

The post Why Magellan, Pointsbet, Star, and Zip shares are dropping today appeared first on The Motley Fool Australia.

S&P/ASX 200 Index (ASX: XJO) casino operator Star Entertainment Group Ltd (ASX: SGR) has just flipped the calendar on a year to forget.

But 2023 could throw up some more headaches for the ASX 200 stock.

Why was the ASX 200 casino operator battered in 2022?

As you can see in the chart below, the Star Entertainment share price trended broadly lower throughout the year, with a final big fall in December.

By the time the smoke cleared, the ASX 200 casino operator's shares were down 52% in 2022.

Star faced various regulatory headwinds during the year, culminating when it was hit by yet another $100 million fine in December, this one courtesy of Queensland.

In announcing the penalty on 9 December, Queensland's Attorney-General and Justice Minister, Shannon Fentiman, said Star's operating practices in the state's casino had been found to be unsuitable.

"I was appalled at the extent of the actions of The Star in welcoming excluded persons to their casinos and the exorbitant incentives on offer for questionable gamblers," she said.

And if the ASX 200 casino operator needed more troubles (it didn't), the company received it from New South Wales just a week later.

That's when NSW treasurer Matt Kean announced the state's plan to increase taxes on gaming tables and poker machines at casinos. NSW hopes to raise $364 million over the next three years from the tax hike.

This led Goldman Sachs to cut its price target for the ASX 200 casino operator by 34% to $1.90.

 "The NSW government's proposed casino tax reforms pose a significant earnings risk for SGR's Sydney casino," Goldman noted.

What other headaches could Star Entertainment face in 2023?

Clearly the ASX 200 casino operator is going to need to lift its game from a governance perspective.

If done correctly, that should put an end to the crushing fines and casino license suspensions.

However, increasing compliance to the level that ASIC demands will come at its own cost.

Commenting on ASIC's signal to Australia's casinos, Monash University gambling regulation expert Charles Livingstone said (quoted by The Australian Financial Review):

The signal is pretty clear. If you want to be on the board of a large gambling concern, then you need to be around all the regulatory concerns of the industry, which are many and varied.

Livingstone said this will take a lot more effort from directors, however, it's certainly achievable.

"It's not unenforceable, but it becomes a much less profitable business if you do it properly, and that's the issue."

Indeed, the ASX 200 casino operator could see its profits eroded as it closes the door on problem gamblers and questionable high rollers flush with cash.

According to Livingstone, this will see the casinos incur some "really significant losses".

The post Could this ASX 200 casino operator be in for another year of pain in 2023? appeared first on The Motley Fool Australia.

The first session of 2023 brought chaos to the market as the S&P/ASX 200 Index (ASX: XJO) fell 1.31%. The index closed Tuesday at 6,946.2 points.

It was the banks that weighed heaviest on the ASX. The S&P/ASX 200 Financials Index (ASX: XFJ) dropped 1.9% with the Westpac Banking Corp (ASX: WBC) share price leading the downturn, falling 2.7%.

Also struggling were stocks in the S&P/ASX 200 Health Care Index (ASX: XHJ) and the S&P/ASX 200 Consumer Staples Index (ASX: XSJ). The sectors tumbled 1.8% and 1.7% respectively.

Interestingly, the S&P/ASX 200 Energy Index (ASX: XEJ) performed on par with the broader index despite New Hope Corporation Limited (ASX: NHC) posting today's biggest fall. The coal stock plummeted 8.5% on Tuesday despite the company's silence.

It wasn't all dire, however. The S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) clambered its way into the green this afternoon, though it ultimately closed 0.1% lower.

But which ASX 200 share outperformed all others to post the strongest start to the new year? Keep reading to find out.

Top 10 ASX 200 shares countdown

Today's top-performing stock on the index was gold explorer De Grey Mining Limited (ASX: DEG). It gained 5% to close today's session at $1.35.

Interestingly, there was no price-sensitive news released by the company today.

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 are falling more than most today are listed below. Here's why they are dropping:

Invictus Energy Ltd (ASX: IVZ)

The Invictus Energy share price is down 6.5% to 29 cents. Investors have been selling this energy exploration company's shares following the release of an update on drilling activities at the Mukuyu-1 well in Zimbabwe. Management revealed that its wireline logging operations have been hit by issues retrieving its cable. It has become lodged against the wellbore and multiple attempts to free the cable were unsuccessful.

Star Entertainment Group Ltd (ASX: SGR)

The Star share price is down over 2% to $1.79. This morning, Goldman Sachs retained its neutral rating but slashed its price target on the casino operator's shares by a massive 34% to $1.90. Goldman said: "The NSW government's proposed casino tax reforms pose a significant earnings risk for SGR's Sydney casino."

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price is down 4.5% to $9.30. Investors have been selling Whitehaven Coal and other coal miners today despite there being no news out of them. However, the energy sector has come under pressure today amid concerns over demand from China.

Woodside Energy Group Ltd (ASX: WDS)

The Woodside share price is down 3.5% to $35.49. This has been driven by a pullback in oil prices overnight. This appears to have been driven by concerns over surging COVID-19 cases in China, which has offset optimism that easing restrictions could boost demand.

The post Why Invictus Energy, Star, Whitehaven Coal, and Woodside shares are dropping appeared first on The Motley Fool Australia.

Will the market be able to bounce back from this on Thursday? Here are five things to watch:

ASX 200 expected to fall again

The Australian share market looks set to fall again on Thursday following another poor night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 39 points or 0.55% lower this morning. In late trade in the United States, the Dow Jones is down 0.6%, the S&P 500 has fallen 0.7% and the NASDAQ has tumbled 1%.

Oil prices drop

Energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a difficult day after oil prices dropped on Wednesday night. According to Bloomberg, the WTI crude oil price is down 1.15% to US$78.60 a barrel and the Brent crude oil price is down 1.7% to US$82.87 a barrel. Oil prices fell on Chinese demand concerns.

Lithium miners fall again

It could be another red day for lithium miners such as Mineral Resources Ltd (ASX: MIN) and Pilbara Minerals Ltd (ASX: PLS). On Wall Street, US-listed lithium miners SQM and Albemarle are trading lower in late trade. Concerns over electric vehicle demand and lithium prices appear to be behind this.

Star rated neutral

The Star Entertainment Group Ltd (ASX: SGR) share price could be fully valued according to analysts at Goldman Sachs. This morning, the broker has retained its neutral rating but slashed its price target by 34% to $1.90. Goldman said: "The NSW government's proposed casino tax reforms pose a significant earnings risk for SGR's Sydney casino."

Gold price softens

Gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a subdued day after the gold price softened overnight. According to CNBC, the spot gold price is down 0.5% to US$1,813.2 an ounce. A stronger US dollar put pressure on the precious metal.

The post 5 things to watch on the ASX 200 on Thursday appeared first on The Motley Fool Australia.