This weekend could be a good time to consider some leading ASX shares as potential ideas.
Investments that are growing nicely and are seemingly at attractive value could be good ones to think about.
It could be a wise idea to think about businesses that give Aussies international earnings diversification.
With that in mind, here are two ASX shares:
VanEck Morningstar Wide Moat ETF (ASX: MOAT)
This is an exchange-traded fund (ETF) that, geographically, is about giving investors exposure to US stocks.
Instead, the ASX share is focused on a certain standard of business.
Analysts at Morningstar are focused on finding businesses that are viewed as having wide (strong) economic moats. That means the analysts believe the business has a strong competitive advantage. Not only that, but the analysts believe that the business will be competitively strong for at least a decade and perhaps longer.
The wide moat businesses are what the analysts start with as a shortlist. To make it into the VanEck Morningstar Wide Moat ETF portfolio, the potential investments must be trading at attractive value compared to the estimate of fair value.
Looking at the portfolio from 15 September 2021, of the 51 positions, these are the ones with a weighting of more than 2.5%: Servicenow, Alphabet, Microsoft, Facebook, Pfizer, Cheniere Energy, Guidewire Software, Salesforce.com, Philip Morris, Tyler Technologies, Medtronic, Amazon.com, Wells Fargo, Gilead Sciences and General Dynamics.
This ASX share has an annual management cost of 0.49%. Including those costs, the ETF has produced an average return of 19.4% per annum over the last five years.
Doctor Care Anywhere Group PLC (ASX: DOC)
This ASX share is down more than 20% since the end of May 2021, though it continues to expand its business in terms of revenue, profit and geographically where it operates.
Doctor Care Anywhere is a UK-based telehealth company that is offering digitally-enabled care for patients. It is utilising its relationships with health insurers, healthcare providers and corporate customers to deliver a range of telehealth services.
The ASX share recently reported its FY21 half-year result. The following numbers were compared to the second half of FY20. So, the numbers represent half-on-half growth. Total revenue increased by 57.7% to $11.2 million. Gross profit jumped 75.8% to $5.8 million.
Despite continuing to invest in various parts of the business, earnings before interest and tax (EBIT) climbed 15.8% to a loss of $8 million and the net loss after tax increased by 37% to $8 million.
But the business has also been busy expanding its operations to other countries. A few days ago it announced it was expanding in the Republic of Ireland to self-paying patients. Its existing operations in the Irish market includes the provision of digital healthcare services to employees of the Irish headquarters of one of the UK’s largest banking groups and a partnership with one of the world’s largest insurance groups called Allianz.
The company has also entered the Australian telehealth market by acquiring GP2U Telehealth. It provides virtual GP services as well as tele-mental services under the brand Psych2U. In FY21, GP2U Telehealth delivered 54.8% gross revenue growth for FY21 (which was to a total of A$4.4 million). The acquisition price was $11 million.
Doctor Care Anywhere sees significant opportunities to grow national mental health and GP telehealth services in Australia.