The S&P/ASX 200 (INDEXASX: XJO) has backed up yesterday’s disastrous start to the week with another day of heavy falls. At the time of writing, the ASX 200 has shed another 1.33% and is sitting on 6,885 points. This follows the US Dow Jones Industrial Average shedding 3.56% overnight.
While it’s not fun watching the value of your portfolio fall, in every cloud, there’s a silver lining (as the saying goes). So here are 3 ASX shares that I think are showing some silver today and might just be going for a bargain.
Washington H. Soul Pattinson & Co. Ltd (ASX: SOL)
Soul Patts is such a share in my view. This industrial conglomerate was trading for over $23 a share last week, but today is going for $21.23 (at the time of writing) – an 8% pullback. After initially spiking earlier this month on news that one of its major holdings TPG Telecom Ltd (ASX: TPM) will be allowed to merge with Vodafone, I think Soul Patts is back in the buy zone today.
I don’t think there are many shares on the ASX that can give such a diversified earnings base. Its stellar dividend track record is also something to consider!
Telstra Corporation Ltd (ASX: TLS)
Telstra is another stock that is looking a lot cheaper this week than last week. This might prove to be a good opportunity to pick up shares of Australia’s largest telco. I don’t think the coronavirus (or anything else at the moment) is going to affect people using their phones and internet, making Telstra’s earnings quite immune to any disruptions in my opinion.
Today, Telstra shares are going for $3.60, which is the lowest price that 2020 has offered so far. Therefore, I think Telstra could be a great stock to pick up today. Locking in a 4.44% dividend yield is nothing to be sneezed at!
NIB Holdings Limited (ASX: NHF)
NIB is another company that is not faring well in this week’s sell-off. In fact, NIB has had a rough month after the company reported less than impressive earnings numbers in its mid-year report last week. The NHF share price is today trading at $4.88 – a far cry from the company’s 52-week high of $8.20 that we saw last year and even from January’s high of $6.54.
But I think this stock could be an under-appreciated value play today. NIB is a top notch provider of private health insurance – an industry that is struggling right now. But it is also essential to a well-run healthcare system, which is why I think it could be primed for some government intervention in the next few years. In the meantime, NIB is paying a 4.71% dividend yield on current prices. That’s something to lick your lips over!
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Motley Fool contributor Sebastian Bowen owns shares of Telstra Limited and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of and has recommended Telstra Limited and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended NIB Holdings Limited. 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.