3 top resources shares I would buy today

With fears of a global trade war easing once again after a positive speech from China’s President Xi on Tuesday, I feel confident that the strong global growth that was predicted in 2018 will materialise.

As strong global growth is likely to lead to robust demand for commodities, I think now could be an opportune time to consider making an investment in the resources sector.

Here are three top shares that I would consider:

BHP Billiton Limited (ASX: BHP)

My first pick in the resources sector would have to be mining giant BHP Billiton. I believe that at the current price its shares are very attractive and offer investors both value and income. Especially given that its high-quality assets and the rosy outlook for the key commodities that it produces puts it in a strong position to deliver another bumper profit result in FY 2018. Furthermore, I believe the company is likely to lift its generous dividend over the next couple of years. At present it provides investors with a trailing fully franked 4.3% yield.

Rio Tinto Limited (ASX: RIO)

If the global economy continues growing strongly then I believe demand for the commodities that Rio Tinto produces will remain robust and support favourable prices. This should put the mining giant in a position to deliver solid earnings and dividend growth for the next couple of years at least. Another key bonus is its sizeable cash balance following its recent exit from the coal industry. This is likely to be returned to shareholders through dividends and share buybacks. Rio Tinto’s shares currently provide a trailing fully franked 4.8% dividend.

Western Areas Ltd (ASX: WSA)

While a lot of investors are focusing purely on the lithium miners when it comes to the electric vehicle boom, it is worth remembering that many lithium-ion batteries contain nickel. If the growth of electric vehicles continues as expected and there are no changes to battery technology, I believe demand for nickel will grow strongly over the next few years. This could put Western Areas in a position to deliver above-average earnings growth for the foreseeable future.

If you already have enough exposure to the resources sector, then I would suggest you consider one of these top growth shares.

Top 3 Growth Shares To Buy this Month

For many, blue chip stocks mean stability, profitability and regular dividends, often fully franked..

But knowing which blue chips to buy, and when, can be fraught with danger.

The Motley Fool’s in-house analyst team has poured over thousands of hours worth of proprietary research to bring you the names of "The Motley Fool’s Top 3 Blue Chip Stocks for 2018."

Each one pays a fully franked dividend. Each one has not only grown its profits, but has also grown its dividend. One increased it by a whopping 33%, while another trades on a grossed up (fully franked) dividend yield of almost 7%.

The names of these Top 3 ASX Blue Chips are included in this specially prepared free report. But you will have to hurry. Depending on demand – and how quickly the share prices of these companies moves – we may be forced to remove this report.

Click here to claim your free report.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…


The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!