Reporting season might be a handy time to buy top ASX shares that look good value. I’m calling these two ASX shares opportunities.
Businesses don’t have to fall in price to be good value – it could simply be that they’re at a large discount to the underlying asset value.
Here’s why I like these two ideas.
MFF Capital Investments Ltd (ASX: MFF)
This ASX share is a listed investment company (LIC) that’s run by Chris Mackay who has well over $300 million of his family’s wealth invested in MFF.
It’s invested in a portfolio of high-quality global shares like Mastercard, Visa, Amazon, Alphabet, Home Depot, American Express and Meta Platforms.
These sorts of businesses have done well over the long-term. MFF targets “extraordinary businesses with sustainable competitive advantages and above average sustainable growth rates, acquired on satisfactory terms.
Why is it good for investors right now? It’s currently at an 18% discount to the net tangible assets (NTA) at the end of July 2023, and it’s steadily growing the dividend. The FY24 annual dividend is expected to be $0.115 per share, which would be a fully franked dividend yield of 4%.
Accent Group Ltd (ASX: AX1)
Accent is one of the more promising ASX shares in the retail sector. It sells a number of different shoe brands like Skechers, Vans, Henleys, Hoka and Ugg. The ASX share does own some of its own brands like Glue Store, Nude Lucy and The Athlete’s Foot.
I think shoe retailing is going to perform better than some categories of retail, and I like how it’s looking to keep expanding its store network which should help with total revenue and net profit.
While lots of retailers have seen share price rises in the last few weeks, Accent hasn’t done much since the start of June.
Taking the estimates on CMC Markets at face value, the Accent share price is valued at just 12 times the projected profit for FY25, with a possible fully franked dividend yield of 7.3%.
