Latest news with #energyStocks
News.com.au
3 days ago
- Business
- News.com.au
Closing Bell: ASX slips as falling oil prices undercut energy and utilities stocks
ASX slips 0.24pc in trade Falling oil prices drive energy and utilities stocks lower Gold ticks up, lifting ASX All Ords Gold Index 0.85pc The ASX fell 0.24% during the session, experiencing broad weakness on the back of renewed tariff war concerns. The market's trajectory also took a hit from an announcement from OPEC+ that it would continue to increase oil production. Brent crude oil has fallen more than 12% over the past six months, and more than 19% over the last year. The oil price dip cut the feet out from under our energy stocks, driving the sector down 1.39%. Utilities, usually less sensitive to the whims of crude pricing, also fell 0.82%. There was little movement in the positive at all on the ASX today, with only three sectors in the green. While gold prices fell to US$3315.40 an ounce last night, they recovered more than 1% today, rising to US$3326.25 an ounce as Trump started banging the tariff drum yet again. Still, the uptick offered one of the few bright spots for the ASX, lifting the All Ords Gold Index 0.85%. China signals it's considering 'forceful measures' As Stockhead's Eddy Sunarto wrote this morning, Trump has re-ignited tensions over US-China trade relations, accusing Beijing of failing to hold up its end of the deal in a post on Truth Social. While he signalled a desire to resolve the trade spat via a conversation with China's President Xi Jinping, Chinese officials are already voicing their displeasure. "China, with a responsible attitude, has earnestly addressed, strictly implemented, and actively upheld the consensus of the trade talks in Geneva," a Chinese Ministry of Commerce official stated. The official has accused the US of introducing 'multiple discriminatory restrictions against China' pointing to controls on AI chip exports, restrictions on sales of chip design software, and the revocation of visas for Chinese students. 'The US has continuously provoked new trade frictions, exacerbating uncertainty and instability in bilateral trade relations,' the official statement read. "China firmly rejects these unwarranted accusations." US car makers are deeply concerned about losing access to rare earth magnets, as China currently dominates the market, controlling about 90% of rare earth processing globally. Uncertainty is running rampant as traders wait to see how far China and Trump will take this new stoush. Section 899 'revenge' tax draws ire Already widely criticised for drastically increasing government deficits and reducing the US judicial system's ability to enforce orders on the government, Trump's new tax bill also contains a 'revenge' tax measure that has alarmed international traders. While the full scope of the proposed changes and their application is unclear, the bill would give the administration powers to impose a tax of up to 20% on foreigners with US-based investments. It's designed to be used in cases where the administration believes other countries are imposing unfair or discriminatory taxes against US companies, thus the 'revenge tax' moniker. 'We see this legislation as creating the scope for the US administration to transform a trade war into a capital war,' Deutsche Bank analyst George Saravelos said. If the bill passes, the provision could make foreign investors think twice about parking their money in US assets. Considering trust in US government bonds is shaky at present, the bill could contribute to a marked pull-back of foreign investment in the country. ASX SMALL CAP LEADERS Today's best performing small cap stocks: Security Name Last % Change Volume Market Cap BYH Bryah Resources Ltd 0.011 120% 49647577 $4,349,768 CRI Criticalim 0.022 69% 84430831 $34,949,832 OSL Oncosil Medical 0.003 50% 100000 $9,213,164 RNX Renegade Exploration 0.0035 40% 9101121 $3,220,909 OB1 Orbminco Limited 0.002 33% 3580335 $3,596,352 DXN DXN Limited 0.0475 32% 4679906 $10,753,331 LKY Locksleyresources 0.105 31% 30947300 $11,733,333 IIQ Inoviq Ltd 0.57 30% 2628030 $49,118,433 BCC Beam Communications 0.155 29% 495488 $10,370,631 FTL Firetail Resources 0.075 25% 5820054 $22,801,679 8CO 8Common Limited 0.02 25% 446928 $3,585,518 BLZ Blaze Minerals Ltd 0.0025 25% 168753 $3,133,896 FHS Freehill Mining Ltd. 0.005 25% 5048301 $12,934,111 IS3 I Synergy Group Ltd 0.005 25% 101989 $2,002,920 KPO Kalina Power Limited 0.005 25% 10300784 $11,731,879 TEM Tempest Minerals 0.005 25% 332524 $2,938,119 VFX Visionflex Group Ltd 0.0025 25% 2854782 $6,735,721 SRJ SRJ Technologies 0.016 23% 180380 $7,872,515 BSN Basinenergylimited 0.017 21% 252751 $1,719,610 BPP Babylon Pump & Power 0.006 20% 5624300 $13,852,835 EAT Entertainment 0.006 20% 28943 $6,543,930 EE1 Earths Energy Ltd 0.006 20% 32378 $2,649,821 GLL Galilee Energy Ltd 0.006 20% 185049 $3,535,964 TEG Triangle Energy Ltd 0.003 20% 1349753 $5,223,085 PEX Peel Mining Limited 0.08 19% 2529078 $38,932,664 Making news… Inoviq (ASX:IIQ) has unveiled breakthrough results for its early ovarian cancer screening test, showing 77% sensitivity and 99.6% specificity across all stages, with no early-stage cancers missed in the study. The AI-powered blood test, which uses exosome tech and runs on high-throughput lab instruments, was presented this week at the big ASCO cancer conference in Chicago. There's currently no screening test on the market. Firetail Resources (ASX:FTL) has locked in options to acquire two high-grade gold projects in the US, one in Nevada's massive Walker Lane belt and the other near the legendary Homestake Mine in South Dakota. The Excelsior Springs project comes with strong drill hits like 51.8m at 4g/t gold and historic production of over 19,000oz at 41g/t, while the Bella project boasts rock chip samples over 100g/t and sits just 20km from the 42Moz Homestake deposit. FTL is spending just under a million bucks in cash and issuing shares to get the exploration going. DXN (ASX:DXN) has scored a $4.6 million deal to deliver three modular data centre units to Globalstar in Hawaii by the end of 2025. It won the contract after a competitive tender. The company said the deal puts DXN deeper into the booming satellite and LEO (Low Earth Orbit) comms space, and marks another step in its push into edge-ready data centres. Babylon Pump and Power (ASX:BPP) has built out its specialist pumping and hydrotesting offering with the acquisition of BPY Holdings Pty Ltd, a WA-based specialist provider. The company reckons the move will give it greater rental scale, strengthening its geographic reach and adding a profitable dry hire business to the platform. ASX SMALL CAP LAGGARDS Today's worst performing small cap stocks: Security Name Last % Change Volume Market Cap ASR Asra Minerals Ltd 0.002 -33% 9409622 $8,299,608 HLX Helix Resources 0.002 -33% 42791991 $10,092,581 ADD Adavale Resource Ltd 0.0015 -25% 4120010 $4,574,558 CZN Corazon Ltd 0.0015 -25% 1333 $2,369,145 EEL Enrg Elements Ltd 0.0015 -25% 2296906 $6,507,557 NAE New Age Exploration 0.003 -25% 176721 $10,637,596 SFG Seafarms Group Ltd 0.0015 -25% 159652 $9,673,198 SRN Surefire Rescs NL 0.0015 -25% 1825999 $4,972,891 TYX Tyranna Res Ltd 0.003 -25% 901582 $13,153,701 EVEDA EVE Health Group Ltd 0.03 -25% 956258 $5,274,483 MIO Macarthur Minerals 0.015 -25% 18000 $3,993,310 HWK Hawk Resources. 0.013 -24% 2923444 $4,605,801 CVR Cavalierresources 0.215 -23% 127355 $16,195,821 GTE Great Western Exp. 0.01 -23% 2804919 $7,380,853 VBS Vectus Biosystems 0.047 -22% 539982 $3,196,699 BTM Breakthrough Minsltd 0.1 -20% 2576443 $5,982,437 AVE Avecho Biotech Ltd 0.004 -20% 392525 $15,867,318 AYT Austin Metals Ltd 0.004 -20% 1000000 $7,870,957 BP8 Bph Global Ltd 0.002 -20% 19757302 $2,627,462 CDE Codeifai Limited 0.008 -20% 1118215 $3,260,318 HPC Thehydration 0.008 -20% 1419763 $3,833,009 RGL Riversgold 0.004 -20% 14854729 $8,418,563 VRC Volt Resources Ltd 0.004 -20% 1896263 $23,423,890 1AI Algorae Pharma 0.005 -17% 1478761 $10,124,368 ALY Alchemy Resource Ltd 0.005 -17% 4137997 $7,068,458 IN CASE YOU MISSED IT Singular Health Group (ASX:SHG) has completed a share issue for a placement with Marin and Sons, fulfilling the terms of a follow-on investment from SHG's largest shareholder. Marin and Sons invested $773k at $0.16 per share on May 15, 2024, with the issue of shares approved by SHG shareholders on March 19, 2025. In today's Break It Down, host Tylah Tully explains the latest developments in Sweden, where the country is looking at potentially removing a ban on uranium mining. Aura Energy (ASX:AEE) has interest in uranium projects in Sweden, and is working with the coalition to get the ban lifted. Trading halts Challenger Gold (ASX:CEL) – cap raise Eclipse Metals (ASX:EPM) – resource upgrade Estrella Resources (ASX:ESR) – exploration update New Frontier Minerals (ASX:NFM) – cap raise Patriot Resources (ASX:PAT) – copper discovery QuickFee (ASX:QFE) – debt refinancing and cap raise Sunshine Metals (ASX:SHN) – drilling results At Stockhead, we tell it like it is. While Singular Health Group and Aura Energy are Stockhead advertisers, they did not sponsor this article.
Globe and Mail
14-05-2025
- Business
- Globe and Mail
Here Are My Top 2 High-Yield Energy Stocks to Buy Now
As a dividend investor, I appreciate a high-yield stock with a rock solid business behind it. One of my biggest preferences, however, is for simplicity. It's hard enough tracking a portfolio of stocks -- why gum up the process with overly complex investments? That's why I am a big fan of Black Hills (NYSE: BKH) and TotalEnergies (NYSE: TTE) today. Bad stories are all over the place When it comes to dividend stocks, you can find high yields fairly easily. For example, master limited partnership (MLP) Energy Transfer has a huge 7.7% distribution yield. However, this midstream giant cut its dividend in 2020, right when investors probably would have preferred a reliable income stream thanks to the coronavirus pandemic. And in 2016, it scuttled a deal to buy peer Williams that Energy Transfer itself had initiated. In the process, it made some moves that suggested that the MLP was looking out for insiders rather than worrying about unitholders. That's a terrible backdrop and not something I want to get involved in. Then there's integrated energy company BP, with a well-above-industry-average 6.4% dividend yield. Only BP made a bold shift toward clean energy in 2020, a move that coincided with a dividend cut. Presumably, the dividend cut would have freed up capital to put toward clean energy. But BP has since walked back its clean energy commitment. It seems like management doesn't have a full grasp of what it's doing. Now, there are rumors that BP might get bought out by a rival. BP's business gyrations are too complicated for me to bother with. 2 high yielders I own and love In contrast to those two stocks, I happily own Black Hills and TotalEnergies. They have dividend yields of 4.6% and 6.7%, respectively. Black Hills is a utility, a segment where the average yield is 2.9%, and TotalEnergies is an integrated energy producer, where the average energy stock's yield is around 3.5%. So both are offering well-above-average yields. Black Hills is, by far, the more boring of the pair. It operates regulated natural gas and electric utilities serving roughly 1.35 million customers across parts of Arkansas, Colorado, Iowa, Kansas, Montana, Nebraska, South Dakota, and Wyoming. There's really nothing particularly exciting about the business -- it's a slow and steady tortoise. But it's also a very reliable tortoise, with over 50 years of annual dividend increases behind it. That makes it one of the few utilities to achieve Dividend King status. You may not have heard of Black Hills because it's fairly small, with a market cap of around $4.5 billion. Don't ignore it because of its size. The utility's customer base is growing at nearly three times the rate of the U.S. population, and management believes it can achieve 4% to 6% annual earnings growth for the foreseeable future. Dividends should track earnings higher over time. TotalEnergies isn't small -- it's one of the largest integrated energy companies in the world. It actually competes with BP directly, and it owns pipelines and other midstream assets just like Energy Transfer. But the big draw here is likely to be the lofty yield. That's just the start of the story. TotalEnergies made the same clean energy commitment at the same time as BP and Shell. But unlike BP and Shell, TotalEnergies didn't cut its dividend when it made the commitment, and it hasn't walked back its clean energy commitment like BP and Shell have since done. Basically, TotalEnergies is a giant oil and gas company that's using its carbon fuel profits to grow a business unit that's focused on cleaner alternatives. I like the hedge that offers me, given the ongoing changes the world is making on the clean energy front. The high yield and support of the dividend through this transition period are icing on the cake. The story matters if you want to sleep well at night Some investors might prefer BP and Energy Transfer over Black Hills and TotalEnergies. That's fine for them, but I prefer to own companies I can easily understand, that reward me well for owning them (with reliable dividends), and that don't have troubling histories that leave me wondering if I can trust management. Black Hills and TotalEnergies are two of my favorite high-yield energy buys right now. Should you invest $1,000 in TotalEnergies right now? Before you buy stock in TotalEnergies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and TotalEnergies wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $598,613!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $753,878!* Now, it's worth noting Stock Advisor 's total average return is922% — a market-crushing outperformance compared to169%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of May 12, 2025
