If you're considering investing in any of these companies and want to catch the next dividend payment, you must act before the ex-dividend day.

What happens on ex-dividend day?

Share prices usually fall on ex-dividend days simply because they are less appealing without the upcoming dividend attached.

Plus, investors know the impending dividend payment will take a chunk of cash off the company's balance sheet.

However, the ex-dividend day can provide a useful dollar-cost averaging opportunity if you already own the stock and are committed to the investment for the long term.

Here are a bunch of ASX shares going ex-dividend next week.

30 ASX shares about to go ex-dividend

The post 30 ASX shares going ex-dividend next week appeared first on The Motley Fool Australia.

What FSA Group does

FSA Group is a provider of debt solutions and direct lending services to individuals in Australia. FSA has serviced thousands of Australians for just over 19 years. FSA offers a range of debt solutions and direct lending services. The company says it tailors these services to suit clients' individual circumstances and to achieve successful outcomes for its clients. FSA has two business divisions which are Services and Consumer Lending.

How did FSA perform in FY 2020?

As stated by FSA, the 2020 financial year has been a year of challenges however it has also presented opportunities. For FY 2020, FSA Group generated $68.2 million in operating income, a 2% decrease on the prior corresponding period (pcp).  

This was largely due to the fact that, during the 2020 financial year, new client numbers for informal arrangements and debt agreements decreased by 5%. Clients for personal insolvency agreements and bankruptcy also decreased by 20% compared to the pcp. FSA Group currently manages $353 million of unsecured debt under informal arrangements and debt agreements. During the 2020 financial year, FSA paid $89 million in dividends to creditors.

Profit after tax was announced to be $16.3 million, a 13% increase compared to the results of 2019. The net cash inflow from operating activities was $19.4 million, a 14% increase. This was aided by home and personal loans growing by 4% from $441 million to $457 million. 

The company announced a fully franked final dividend of 3 cents per share, bringing the full year dividend to 6 cents per share.

What's next for the FSA share price?

For 2021, FSA will seek to rebrand Azora (finance solutions for small businesses) and focus on growing its home loan and personal loan pools. The company is also aiming to maintain its leading position in a niche market and improve its informal arrangement offering, based on client and creditor feedback. Despite strong cash inflow, FSA will not provide FY 21 earnings guidance until a later date. However, the company advised it expects the FY 21 dividend to be between 6 – 7 cents per share.

On a side note, Sam Doumany is retiring after 17 years as Chairman of the company. He is expected to step down on 2 September, his 83rd birthday.

The post FSA share price surges 16% thanks to positive annual report appeared first on The Motley Fool Australia.

The company has had a torrid time of it of late with class actions and compliance issues related to its lending practices hurting profitability and the share price. The stock has sunk 73% since peaking at $1.46 in early 2013.

The company is in the process of transitioning its UK division to franchise only and shrinking its Small Account Credit Contract (SACC) loan book. Its SACC business has caused most of the regulatory headaches endured over recent years and both these moves should reduce lending risk.

Like listed peers FSA Group Ltd (ASX: FSA) and Money3 Corporation Limited (ASX: MNY), Cash Converters is looking to grow its automotive finance arm. The company hopes that this will fill the void left by the shrinking SACC segment.

At the midpoint of 2017 guidance, Cash Converters is trading on a price-to-earnings ratio (PER) of 8. At these levels, zero growth is required for the stock to be decent investment as the dividend alone is worth 12% when grossed up. Of course, this also assumes things don't deteriorate from here.

The post Should you buy Cash Converters International Ltd on today's news? appeared first on The Motley Fool Australia.

These seven stocks are all flying under the radar of mainstream analysts, yet their relative valuation ratios mostly suggest they are cheap.

Fiducian and OTOC reported yesterday, and their results were outstanding.

Fiducian, the wealth management business, yesterday reported a 22% increase in underlying net profit to $7 million for the 2016 financial year (FY16), and a 25% increase in its dividend to 12.5 cents. The company also has $9.7m of cash in its bank account and trades on an undemanding P/E ratio of 13x.

OTOC offers surveying, planning and design services to many sectors including government. The company also reported yesterday and delivered a 246% increase in underlying earnings before interest, tax, depreciation and amortisation (EBITDA) to $16.2 million as revenues went close to doubling compared to FY15.

Dicker Data and Tamawood we have both covered in more detail previously, but the former still trades on a prospective P/E of ~11.6x and Tamawood recently reported double-digit growth in earnings per share.

Joyce and FSA group I covered in more detail last month, but both still look attractive at current prices.

ICSGLobal is a software business primarily supplying billing software in the UK for healthcare professionals. At its half year result earlier this year, ICSGLobal saw profit increase 30%, and upped its interim dividend by 33% and still trades on a prospective P/E ratio of around 14.6x.

Foolish takeaway

Focusing on the smaller end of the market can see investors thrash the overall market return, as smaller companies have the ability to generate enormous growth the big end of town simply can't.

The post 7 small cap bargains I'd buy right now with $7,000 appeared first on The Motley Fool Australia.

It's difficult for the members of the ASX Top 20 Index to double, triple or quadruple revenues in a short period of time – but smaller companies can do that – if you find the right ones that is.

Here are three that investors might want to consider adding to a solid portfolio…

FSA Group Ltd (ASX: FSA)

FSA Group provides debt solutions and lending services to consumers – mainly to help consolidate debt and sort out their finances – and has a market cap of around $130 million. It's the largest provider of debt agreements in Australia, originating 48% of all agreements in Australia in 2015. Back in May, the company announced that it had sold its factoring business for around $10 million in after-tax cash. Add to that the company's cheap price – at $1.05, the company is trading on a trailing P/E ratio of 9.7x and paying a dividend yield of more than 6% – fully franked.

Joyce Corporation Ltd (ASX: JYC)

A retailer of bedding through the Bedshed franchise chain (~30 stores), Joyce Corp has a market cap of around $36 million, but had substantial cash ($13.7m) and property (~$5m) on its balance sheet. The company also owns 51% of KWB Group (Kitchen Connection and Wallspan) – a retailer and installer of custom kitchens and wardrobes – and recently announced the acquisition of 51% of Lloyds Online auctions for $6 million. Lloyds is expected to add $10 million in revenues to Joyce Corp and boost total sales across the network to more than $170 million in the 2017 financial year. (Note: Not all of that is attributable to Joyce Corp).

The company also pays a solid and growing fully franked dividend, and at the current share price of $1.32, looks reasonably cheap.

Cyclopharm Limited (ASX: CYC)

It's not often that you find a biotech stock that generates growing revenues, is profitable, debt free and also pays out dividends but Cyclopharm is one. The company's primary product is Technegas – a lung imaging technology widely used around the world to diagnose the presence of blood clots. Cyclopharm also expects to have another product coming onto the market next year – Ultralute – a product that extends the useful life of nuclear isotopes by up to 50%.

Cyclopharm has a market cap of just $72 million, but generated $4.8m in net profit in the 2015 financial year and paid a 1 cent fully franked dividend.

But the biggest catalyst could be ahead with Technegas commencing phase III trials in the US in 2012. The US has the potential to become the company's biggest global market for Technegas.

The post 3 cheap diversified micro-cap stocks for your portfolio appeared first on The Motley Fool Australia.

Shares in Lifehealthcare are down 34.5% over the past six months after the market seemingly overreacted to its half yearly accounts. Whilst the company delivered a solid 12.3% increase in revenue to $54.4 million, operating earnings before interest, tax, depreciation and amortisation (EBITDA) were flat compared to the previous year at $8.5 million.

Perhaps a more likely explanation for the sell off is related to the recent Private Health Insurance (PHI) review which is designed to tackle rising health insurance premiums. In particular, an Industry Working Group has been established which could lead to lower private sector prices for prosthetics. Such products currently make up approximately 35% of Lifehealthcare's revenue.

A 34.5% fall in Lifehealthcare's share price appears to more than compensate for this risk given the worst outcome is likely to be a small reduction in average profit margins for the group. Furthermore, underlying demographic trends remain favourable for the healthcare industry and should benefit the company over the long term.

Asian Pacific Data Centre Group (ASX: AJD) owns three data centres in Sydney, Melbourne and Perth that it leases to Nextdc Ltd (ASX: NXT). The stock pays an unfranked dividend yield of 6.1% based on the latest quarterly distribution.

Asian Pacific recently had its assets revalued to $187 million representing an increase of 12.4% over the year to 30 June 2016.  Consequently, net tangible assets per security increased to $1.43 from $1.25 as at 31 December 2015 versus today's stock price of $1.60.

Asian Pacific is looking to expand its portfolio of data centres and had $18 million of net debt at 31 December 2015, just 9.6% of the value of its properties. Existing leases expire in 2027 and 2028, with options for a further 25 years and are subject to annual CPI increases and five-yearly market reviews.

Asian Pacific could offer a low risk path for investors looking to gain exposure to the rapidly growing cloud industry. The group is well protected from an economic downturn due to its long leases and the high cost of switching locations for its tenants. However, it currently relies on a single client for all of its income and so it might be wise to wait until Asian Pacific has secured more customers before jumping in.

FSA Group Ltd (ASX: FSA) provides debt solutions and secured lending services to consumers. The stock currently trades on a fully franked dividend yield of 6.5%.

FSA is the largest provider of debt agreements in Australia. It originated 48% of all agreements in 2015 and was responsible for 61% of paid out agreements in 2014 demonstrating that it delivers better than average returns to creditors.

The debt solutions business dovetails nicely with the consumer lending division which specialises in subprime loans for customers looking to consolidate their debts. All loans are secured against either property or motor vehicles and the underlying funding is mainly provided by Westpac.

As at the 31 December 2015 arrears were just 2.67% of outstanding home loans and nothing for personal loans. An economic slump would almost certainly cause arrears to rise but so would demand for FSA's debt solutions and so the company looks fairly recession proof.

The post 3 small caps with big dividends to buy today appeared first on The Motley Fool Australia.

So What: This leading market position has helped FSA to report a solid set of full year results. For the 12 months ending June 30 2015, operating income increased 6% to $69.6 million, profit after tax gained 9% to $14.7 million, earnings per share also gained 9% to 11.74 cents and dividends for the year were raised 8% to 6.5 cents per share.

FSA's market-leading position in Debt Agreements once again drove the result with the division reporting an increase in profit before tax of 31%. The group also saw growth in its loan pools, however, the increased marketing spend and associated costs came at the expense of divisional earnings in the period. With FSA aiming to grow this loan pool from $270 million to $500 million over the next five years, the benefits of these upfront costs should begin to flow in coming periods.

Now What: The board of FSA has declared a fully franked, final dividend of 3.5 cents per share. The shares are set to trade ex-dividend on August 27 with the dividend payable to shareholders on September 11. Inclusive of the 3 cps interim dividend, shareholders will receive a total of 6.5 cps in fully franked dividends in respect of the 2015 financial year. With the shares sinking 8% on Monday to close the trading session at $1.26 this implies a trailing yield of 5.1%.

Meanwhile, on a price-to-earnings basis, FSA is trading on a multiple of 10.7 times last year's earnings.

Management noted in its market release that:

"If we are successful in the execution of our 5 year strategic plan we expect average long term earnings growth of around 10% per annum. The growth rate in earnings may be lower in the earlier years."

Based on these comments by management the stock is arguably trading around its fair value.

The post Why the FSA Group Ltd share price fell 8% today appeared first on The Motley Fool Australia.

The company website notes that since inception in 2010, Glennon Capital Small Companies has produced returns that have outperformed the Small Ordinaries Index (net of fees) by 73%.

Michael is currently undertaking an IPO of a new Listed Investment Company to be called Glennon Small Companies Limited (ASX: GC1). This is the first time the portfolio manager's fund can be invested in by retail investors.

Glennon's investment philosophy is to invest in sensible businesses in sound industries with superior management.

Below, Michael showcases four such small-cap stocks…

Capilano Honey Ltd (ASX: CZZ)  With a market capitalisation of $125 million, this stock continues to provide shareholders with sweet returns. After a strong rally the company is still trading on undemanding multiples, P/E and EBITDA multiples remain attractive, whilst an 88% increase in dividends demonstrates confidence from management in earnings maintenance.

Synergies from the acquisition of Chandlers Honey should lift CZZ's supply while a tough two years of weather has constrained total domestic supply and impacted competitors.  Additionally, Australia remains the only country in the world yet to be affected by Varroa Mite which destroys bee colonies. Global demand for honey constantly exceeds supply. Bee colonies are disappearing in the US and Europe, pure honey is becoming a valuable commodity.

The price of honey in the US is rising more than 6% annually, and the market globally is expected to hit $12 billion by the end 2015.

FSA Group Ltd (ASX: FSA)  FSA is the holding company for Fox Symes, which is the largest provider of debt consolidation solutions to individuals and businesses in Australia.

With a market cap of $173m and a dividend yield of 4.7%, this small financial services firm is steadily advancing their debt administration, consumer and business lending segments.

On 13 July FSA boosted its market leading position in debt arrangement from 45% (FY14) to 48% in FY15. FSA has also been able to expand bottom line growth through lower impairment losses, which has been a necessity in a low interest rate environment.

On a peer comparison basis, FSA also looks attractive. FY15 P/E of 10.9x, 3yr EPS CAGR of 21%, ROE of 22% and a dividend yield of 4.7% indicate signs of out-performance compared to peers. As a long term investment we think there is a long way to go for this company.

Sirtex Medical Limited (ASX: SRX)  Sirtex has been in the Glennon Capital portfolio for some time now. It's a biotech company that has a treatment for cancer in the liver, but the technology also has the potential to be used for different areas other than the liver.

We think it has some world beating technology, similar to CSL and Cochlear. Shares in Sirtex have rallied since their recent fall and have now recovered from their eight-month lows and it is now trading at $30.17 and at a market cap of $1.7 billion. The recovery followed the complete release of the SIRFLOX study in America to a crowd of 3,000 biomedical professionals which outlined the positive impact of their liver cancer treatment.

In March when the Sirtex share price more than halved, we believed that this was due to an overreaction to negative news. Sirtex also posted 22% sales growth for the 10 months to April and given the potential for their products to become more internationally scalable we believe this stock can continue to outperform.

IPH Ltd (ASX: IPH)  IPH is the holding company for the Spruson & Furguson Intellectual Property business. The stock reached a high of $5.00 back in June and its current market cap is $796m.

We believe this company is well run and has great management, an enviable position in the market, and a blue-chip client base that will position it well for long term growth through Australia, NZ and Asia.

The market is fragmented and IPH is the first listed company in this space in Australia. That should allow it to execute acquisitions and further enhance growth. The prospects are bright for this company and while in the short term the shares fully reflect the current levels of business, as a long term investment we think that the future is bright for this company.

The post 4 top ASX small cap stock picks by star manager appeared first on The Motley Fool Australia.

These 6 stocks are also having a good day…

Yowie Group Ltd (ASX: YOW) is up 9.1% to $1.135. Almost a year-to-the-day the company announced it had secured a large US deal with Valero Corner Store and saw its shares jump 15%, the confectionary producer continues to see its shares climb. Just a month ago, the company announced that its Yowie confectionary product was going to be rolled out to 4,300 Walmart stores beginning next month. Further deals with other retailers may be on the cards too.

FSA Group Ltd (ASX: FSA) climbed 8.5% to $1.40. The company provides debt solutions and direct lending to individuals and business, mainly to those struggling with existing debts. Earlier this week, FSA announced that it had strengthened its market share for debt agreements from 45% in 2014 to 48% in the 2015 financial year. FSA last reported an 18.5% increase in net profit for the six months to December 2014, and full year results may be worth watching.

Senetas Corporation Limited (ASX: SEN) rose 6.9% to 15.5 cents after the company updated its market guidance. The encryption hardware company expects to report a net profit of between $5.7 and $6 million for the 12 months to June 30, 2015. That's more than double last year's $2.5 million. No wonder shares are up 187% since the beginning of this year. Senetas is one stock to add to your watchlist.

Affinity Education Group Limited (ASX: AFJ) gained 7% to 76 cents. The childcare centre group is under takeover offer from G8 Education Ltd (ASX: G8), with the offer being 1 G8 share for every 4.61 shares in Affinity. With G8 shares soaring on Wednesday and gaining another 4.6% today, Affinity shares are also rising correspondingly. Affinity's board is considering the offer and has yet to make a formal announcement whether they will support the bid or not.

AP Eagers Ltd (ASX: APE) added 6.3% to $9.65 after the motor vehicle dealership group announced today that it expected to report a net profit before tax of $59.5 million for the 2015 financial year, a 29% increase over last year. Investors were obviously pleased with that news, although shares look slightly expensive at these prices – that is unless the company can continue to deliver similar growth in future.

Blackmores Limited (ASX: BKL) closed up 5.1% at an astonishing $82.99 putting the company on a trailing P/E ratio of more than 32x and a lowly dividend yield of 2%. The vitamins and supplements group has had an amazing turnaround as I've detailed previously, but investors may well be disappointed buying in at current prices.

The post 6 stocks soaring higher on the ASX appeared first on The Motley Fool Australia.

FSA Group specialises in helping people in financial trouble by arranging bankruptcies and debt agreements with creditors. A debt agreement is an arrangement where a debtor pays a portion of what is owed and in exchange creditors forgive the rest of the debt.

Regulators introduced debt agreements into the Bankruptcy Act in 1996 and since then, there has been a shift towards debt agreements instead of bankruptcy.

Debt agreements are preferable to bankruptcy for both debtors and creditors. Debtors can avoid the stigma and legal consequences of bankruptcy and creditors receive more of what they are owed compared with bankruptcy, where they usually receive nothing.

FSA positioned itself when the industry was in its infancy and is the current market leader, providing 45% of all new debt agreements last year. In addition to insolvency services, the company now offers home loans, car loans and business loans to those with poor credit histories.

Thanks to its expansion into lending, the company is now subject to interest rate and default risks which was not the case 10 years ago. Also, the insolvency business has much lower growth prospects today, and so FSA no longer represents the investment opportunity that it once did.

In order to find the next FSA or REA Group, it is useful to understand what these companies looked like before their meteoric rises.

What did REA Group and FSA Group have in common back in 2005?

• They were tiny companies – FSA had a market capitalisation of just $3 million compared with $170 million for REA Group.
• They were profitable – FSA reported a profit after tax of $1.3 million in 2005 compared to $7.9 million for REA Group
• They were market leaders – FSA delivered about half of all new debt agreements in 2005 and 80% of Australian estate agents subscribed to realestate.com.au in 2005.
• They operated in new and growing industries – Changes to the Bankruptcy Act in 1996 created a new market for FSA's services, and the growing popularity of the internet provided a superior channel for classified advertising.

Foolish takeaway

There are likely to be many listed companies with the above qualities that never go on to achieve the success of either FSA or REA Group. However in my opinion, companies with these traits are more likely to be the next FSA or REA Group than those without them.

Analysts at the Motley Fool have identified two stocks that have the above traits. If you are comfortable accepting the extra risk that comes with investing in small stocks, then follow the links below…

The post Which stock has outperformed REA Group Limited over the last 10 years? appeared first on The Motley Fool Australia.

Management reported a 10.4% uplift in group revenue to $34.4 million and an 18.5% jump in net profit to $7 million for the six months to end December.

This was ahead of the group's December guidance of up to a 17% growth in net profit.

However, it was a case of "buy the rumor and sell the fact" with shares in FSA falling 2.3%, or 3 cents, to $1.26 during lunch time trade.

The dip is not surprising given that the stock has surged nearly 30% since the profit guidance until yesterday.

However, I suspect the stock will resume its upward climb as its fundamentals look attractive even when compared to its peer, Collection House Limited (ASX: CLH), which also reported a strong result earlier this month.

Assuming similar growth momentum in the second half, FSA is trading on a 2014-15 price-earnings (P/E) multiple of about 10-11 times, when consensus estimates for Collection House puts it on a P/E of nearly 14 times.

Further, the yield for FSA should come in at around 5.5% (this assumes a 1 cent increase to last year's dividend of 6 cents a share), when Collection House is paying a forecast dividend that's closer to 4% for the current financial year.

The outlook for the business looks encouraging as high levels of consumer debt should drive demand for FSA's debt agreement service.

Besides offering services to consumers wishing to enter into a repayment agreement with creditors, FSA also provides small business lending solutions. This business has also reported growth with the loan pool increasing to $29 million at end of 2014, compared with $24 million at June last year.

While business lending only contributed 17% to group net profit in the first half, the expansion of this business is key to growing group profits above average rates.

This is why the upcoming renewal of FSA's loan facility with Westpac Banking Corp (ASX: WBC) will be keenly watched by the market. The facility is used to fund FSA's business lending and is due to mature in June this year.

Management is expecting the facility to be renewed on similar terms for another two years.

The post Is the fall in the FSA Group Ltd share price a buying opportunity? appeared first on The Motley Fool Australia.

Rising house prices are a 'sure thing', right?

According to a recent Fairfax media article, China's hyper-industrialisation has kept our miners busy by pushing up commodity prices to unprecedented highs.

It kept our country in good stead throughout the GFC, when all those around us fell to their knees – some of which are still down for the count.

As any seasoned investor – or eighth grade economics student will tell you – high prices in a competitive industry leads to oversupply. Prices then fall, mines shut and people lose jobs.

For Australia the rapid downturn in global prices of iron ore, oil and coal was never going to make a transition to the 'non-mining sector' easy.

Therefore its little wonder unemployment – currently 6.3% – is expected to rise in 2015, house price growth is slowing and consumer and business confidence is taking a hit.

Whilst the government's real GDP growth forecast for 2014-15 remains unchanged at 2.5%, there are many reasons to believe the our economy could be entering a rough patch.

Although I believe this should never command our investment decisions, as long-term investors, we do need to be conscious of the macroeconomic environment. Not only will it help us avoid poor investments like Fortescue Metals Group Limited (ASX: FMG), which is down 54% for the year, it can also help us identify beneficiaries of the likely future trends.

Indeed if unemployment rises, I'm tipping debt collectors like Credit Corp Group Limited (ASX: CCP) and Collections House Limited (ASX: CLH) will find their services in greater demand. And right now, they're trading cheap. Currently they both offer dividend yields of 4.2% fully franked and trade on a price-earnings ratio of 12.

An outside choice for the trend of rising unemployment and record household debt levels, is FSA Group Ltd (ASX: FSA). The $140 million company helps people negotiate and manage debt repayments; and helps businesses with cash flow management. It's slightly higher risk than Credit Corp and Collections House but is offering a 5.4% fully franked dividend, trades on a P/E of 10 and management recently updated profit guidance.

For investors who don't want to sacrifice on growth, yet want to add a counter-cyclical element to their portfolio, Burson Group Ltd (ASX: BAP) is an obvious choice. The auto parts dealer is a well-run business and since listing in April, has risen 21%.

Finally law firm Slater & Gordon Limited (ASX: SGH) is a top stock pick for 2015 and beyond. It has the leading personal injury firm in Australia but can pursue multiple growth options over the medium to long term, with both a UK expansion and push in general legal services underway.

Investors need to be conscious of trends and cycles for a number of reasons. However the basis of our investment should never be formed simply on macroeconomic trends. Instead focus on the underlying business and make conservative forecasts over the long term (five years of more) to determine fair value. Then, once the price is right and you've prepared yourself to hold through times of heightened volatility, hit the buy button.

The post Worried about the economy? Here are 5 top growth stocks with bright futures appeared first on The Motley Fool Australia.

1. Collins Foods Ltd (ASX: CGF) is an owner and operator of KFC, Sizzler and Snag Stand restaurants throughout Australia. After experiencing a volatile share price over the past two months (which followed a buying spree from a director), its management today released an FY15 update which showed strong growth across much of the business. It is forecast to pay a 7% grossed-up dividend in the next year.
2. WDS Limited (ASX: WDS) is a mining services company. Divided into two divisions, namely energy and mining, WDS provides specialist services to a number of high-profile customers involved in coal and coal seam gas production. It is expected to report solid full-year results on (or around) 27 August. What's more analysts are forecasting a grossed-up dividend over 10% in the next year.
3. Titan Energy Services Ltd (ASX: TTN) is another small-cap mining services company which is expected to grow earnings and dividends in coming years. Recently however the company reported a strong set of results including an 82% increase of operating cash flow and 34% revenue increase, year-on-year. It trades on a price-earnings ratio of 8 and dividend yield of 5.4% grossed-up.
4. Lindsay Australia Limited (ASX: LAU) is a refrigerated transport company with a history of delivering reliable services to its customers. Its fleet is growing and its share registry boasts a substantial holding from one of Australia's best long-term institutional investors, Washington H. Soul Pattinson and Co. Ltd (ASX: SOL). It trades on a grossed-up dividend yield of 6.6%.
5. FSA Group Ltd (ASX: FSA) is a debt solutions and cash flow management provider to individuals and small businesses. Despite a falling interest rate environment, FSA is continuing to pump out solid results and big operating margins. In the coming 12 months I estimate it'll payout 5.5 cents per share fully franked as a dividend, putting it on a forecast yield (grossed-up) of 5.8%.

Our #1 dividend stock idea – Yours Free!

The reason these five companies are yielding so much is because they trade on low earnings multiples and pay fully franked dividends. They also have a number of risks which investors need to fully appreciate before committing to an investment.

The post 5 small-cap ASX stocks with dividends greater than 5% appeared first on The Motley Fool Australia.

The reason it's such a great time to go on the prowl for new opportunities is because we, long-term investors, can buy quality stocks which the day-traders and myopic institutional investors have sold off.

Although not all reported results today, below I've listed some quality S&P/ASX 200 Index (INDEXASX: XJO) stocks which are trading cheaper today.

1. Computershare Limited (ASX: CPU) opened this morning nearly 4% lower after the share registry services company announced earnings per share growth of around 5%. Clearly, short-term investors have forgotten the defensive nature of the business and have sold it down.

2. Rio Tinto Limited (ASX: RIO) is also trending lower today. Down 2.5% at the time of writing. Recently I highlighted Rio Tinto as an excellent buying opportunity for long-term investors. After today's drop, it's even better.

3. Coca-Cola Amatil Ltd (ASX: CCL) has also followed the market modestly lower today. Thanks to 24 months of stiff competition, the Coca-Cola bottler and distributor's shares are trading on a modest valuation and appear a solid ultra-long term buy.

4. Cash Converters International Ltd (ASX: CCV) has experienced a rapid recovery in the past year, since legislative changes to fees on small-loans were introduced. However, shares have opened this morning slightly lower, providing an opportunity for potential investors to buy one of the best long-term growth stocks on the ASX (in my opinion).

5. FSA Group Ltd (ASX: FSA) has been unable to push higher in the first hour of morning trade, although it is outside the ASX 200. However, trading on a price-earnings ratio of just 8 and fully-franked dividend around 4%, it'd be hard to imagine this stock getting any cheaper!

Our BEST dividend stock idea – Yours free!

Long-term investors shouldn't fear a market setback (as many are predicting), correction or even down days like today. Of course, waiting for a market setback can seem like a conservative investment strategy and if you feel the market is overvalued, you shouldn't feel compelled to buy stocks right now. However, I feel these five businesses present compelling buying opportunities at today's prices and feel confident they have the ability to weather market setbacks and emerge stronger, more profitable companies.

The post 5 cheap ASX stocks to buy today appeared first on The Motley Fool Australia.

With the S&P/ASX200 Index (INDEXASX:XJO) up 34% since the beginning of 2012, our top 200 stocks are, on average, over a third higher than what they were just a few short years ago.

However, whist some of those blue chips deserve to be trading at higher levels, I know not all of them do. So investors need to be more cautious than ever that they don't overpay.

Another way to look at it is, it's getting harder to find quality businesses trading cheap.

However, outside the top 200 stocks, there's still a number of quality, dividend-paying businesses trading on relatively attractive valuations. Here are three to consider:

1. Collins Foods Ltd (ASX: CKF) is an owner and operator of KFC, Sizzler and Snag Stand food outlets throughout Australia and Asia. Whilst the Sizzler business is currently under pressure to transform its domestic operations, it continues to rollout across Asia with modest success. The KFC business is however growing strongly, both organically and acquisitively. Since making it my top stock pick for February Collins Foods has climbed 22% in price. However I still see long-term upside in the stock price from here. It is forecast to pay a 4.6% fully franked dividend.

2. FSA Group Ltd (ASX: FSA) provides services to financially distressed individuals and businesses. Whilst FSA's business could be expected to suffer in times of low interest rates because, presumably, less people would default on their loan repayments, FSA's management recently announced it expected to report profit before tax of between 18% and 25% higher than in FY13. I think this is very good considering they increased earnings 26% year over year, in 2013.

If margins can be upheld in the upcoming year, which I think they will, the current price will appear cheap. What's more, with over 50% of the debt arrangement market t operates in, once interest rates start rising, we'll likely witness growth from the group's debt services division. It is expected to pay a 3.8% fully franked dividend.

3. Hills Ltd (ASX: HIL) was once the maker of the world-renowned Hills Hoist clothes line. Now, Hills has transformed away from its steel businesses into technology and communications. A field which is already delivering promising results for the company. Based on consensus earnings estimates for FY15 it appears to be trading on a price-earnings ratio of 13 and dividend yield of 4% fully franked. Whilst a transition as big as this is never easy, Hills is making inroads to becoming a much more profitable organisation. In addition it's got enough money on hand to make acquisitions in coming years.

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Each of these companies offer long-term growth at a discounted rate to the broader market. Of the three, Hills is my choice and has capable management in place to transform the business.

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The first stock that's firmly on my long-term buy list is FSA Group Limited (ASX: FSA). FSA helps individuals with debt problems and businesses with cash flow management. Whilst its business model might sound boring, it's a silent achiever which has gained 84% in the past 12 months. However with a juicy fully franked dividend, rapidly growing profits and cheap share price, I think there's more to come (it's the reason I made it my top stock pick for July).

The second stock which I believe has a bright future ahead is Vita Life Sciences (ASX: VSC). It is an $87 million company involved in the manufacture and distribution of vitamins and supplements throughout Australia and Asia. In the past five years sales have grown at an average rate of 16.1%. In 2014 management have set guidance of between 13% and 15% revenue growth and an EBIT margin of 15%. Whilst Australia remains a competitive market, Asia now accounts for 60% of group revenue.

Liquefied Natural Gas Limited (ASX: LNG) has proven to be the ASX's hottest stock of 2014, increasing some 645% so far. Although it is yet to make a profit, LNGL is moving towards the development of an eight million tonnes per annum (8mtpa) LNG liquefaction and export facility in Lake Charles, Louisiana USA. If the company can get the necessary funding and approvals for the Magnolia project, it could generate EBITDA of up $750 million per annum by 2021. Although there is a considerable risk that nothing may eventuate from the project, some of the world's biggest and best fund managers have taken up substantial holdings in the company with the expectation it'll be successful. If everything goes according to plan, its current market price of $2.20 per share could prove to be cheap.

ADMEDUS FPO (ASX: AHZ) is a junior biotechnology stock with considerable upside potential. Admedus is involved in the development, manufacture and distribution of a tissue regeneration technology known as Cardiocel. With six years passed since clinical trials, Admedus has received US and European approval to market the technology which allows it to increase revenues significantly in coming years. In addition the company continues with its vaccines program and distribution of medical devices. At $0.13 per share I think it is a somewhat risky, but good long-term buy and hold.

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Each of these companies hold significant long-term potential from their current prices. However they are risky and only one (FSA) pays an attractive dividend. Fast growing companies which can pay a BIG dividend usually don't remain hidden from the market for long.

The post 4 FAST growing ASX stocks to pocket today appeared first on The Motley Fool Australia.

However, that doesn't mean investors have to sacrifice on quality, as many of the ASX's best companies have market capitalisations less than $500 million. For example, Cash Converters International Ltd (ASX: CCV) has a market cap of $470 million, but brand recognition which stretches throughout Australia, New Zealand and the United Kingdom.

Cashies has taken its niche market position in second-hand goods and become a dominant player in payday loans, car finance and more. At $1.10 per share, it trades on a forward P/E ratio of 13 and 3.7% dividend, fully franked. In my opinion, Cash Converters' stock is firmly in bargain territory.

Another small financial company with strong brand recognition, good growth prospects and a healthy dividend yield is FSA Group Ltd (ASX: FSA). It trades on a trailing P/E ratio of just 7.9 and dividend yield of 4% fully franked. FSA provides individuals and small businesses with debt consolidation and cash flow services.

When interest rates (inevitably) rise, so too does demand for FSA's services. However, even in the current low interest rate environment, FSA is taking strides towards growing earnings per share and recently upped its FY14 profit after tax guidance to between 18% and 25% higher than FY13.

Lastly, diversified wealth manager and mortgage broker Yellow Brick Road Holdings Ltd (ASX: YBR) has been on my watchlist and, in my portfolio, for around a year. Despite its share price drifting sideways in that time, I believe the business is primed for significant growth in coming years. Today the company entered a trading halt, following the decision to undertake an acquisition and capital raising. However with Chairman and substantial shareholder, Mark Bouris, at its helm, you know your money is in good hands.

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The post Cha-ching! Cash up with these 3 growing Aussie companies appeared first on The Motley Fool Australia.

1. Cash Converters International Ltd (ASX: CCV) is more than a rapidly expanding second-hand goods dealer. If you want a small loan or a complete car finance package (including the loan, maintenance, insurance and roadside assistance) Cash Converters is your one stop shop. What's more, with improved technology, all the necessary applications can be done online. With a juicy fully franked 3.4% dividend Cashies is a compelling long-term buy and hold at its current price. I'm so confident in its growth prospects, it makes up over 10% of my personal portfolio.

2. Money3 Corporation Limited (ASX: MNY) jumped nearly 7% today on the release of an updated profit guidance. Managing Director Rob Bryant said normalised profit is expected to reach $10 million (before tax), up from $5.2 million in 2013. As you can imagine I'm kicking myself for missing this one but I think there could be more good times to come. Like Cash Converters, Money3 does small loans through an extensive branch network and complements it with an online offering. It pays a 4.2% dividend fully franked.

3. FSA Group Limited (ASX: FSA) was one of the biggest movers in 2013 climbing 178%. FSA profits from helping individuals and businesses with short-term financing but in a more personalised manner than most others in the industry. You could probably remember seeing Fox Symes & Associates on television. Its business is divided into three operating segments, namely Services (for those who wish to enter into payment arrangements with creditors), Home Loans (for consolidating debt) and Small Business (helping with cash flow management). In 2013 all divisions boosted profits and, despite recently increasing FY14 profit after tax guidance to between 18% and 25% higher than FY13, management believe the best earnings will come in the future when interest rates rise. It is forecast to pay a 4.1% dividend.

Here's another huge growth stock… 

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That does not mean you should buy companies when they're over overpriced. Take for example Australia's major banks. Each rallied strongly in 2013, but stand little chance of delivering market-beating returns in the long run despite their attractive dividend yields.

There are some companies which boast enormous potential that others in the market have already caught wind of, sending share prices up. The Australian Financial Review unveiled five stocks that rallied strongly in 2013, but could continue rampaging in the year to come:

Nearmap Ltd (ASX: NEA): Nearmap provides high-resolution overhead photos of Australian towns and cities, covering 85% of Australia's population, its products are used by thousands of companies. Due to the frequency at which it updates its maps, many users find it even more useful than Google's (NASDAQ: GOOG), Google Maps (with which it recently signed a licence agreement). While its shares rallied 859% in 2013, investors should be focused on the company's long-term potential to continue expanding and gathering new customers.

Admedus (ASX: AHZ): (Formerly Allied Healthcare Group) More and more surgeons in Australia and overseas are endorsing Admedus' CardioCel product, which has shown to offer a number of benefits in the repair and reconstruction of heart defects. The diversified healthcare group is expanding internationally, with the company reporting that its first sales had commenced in Europe in November. Despite having gained over 700% in 2013, the company's shares are still trading for just 16c, giving it a market capitalisation of $201 million and strong momentum going into 2014.

Atrum Coal NL (ASX: ATU): While the materials sector declined last year, Atrum soared more than 600% – and its cornerstone British Columbia-based Groundhog anthracite project hasn't even commenced production yet! It is said that the company has the largest deposit of anthracite in the world. This is even more valuable than coking coal, and when meaningful production begins in 2015-16, analysts are expecting a net profit of around $104 million. While the stock climbed over 600% in 2013, Shaw Stockbroking has a 12-month price target of $2.25 which still represents a 73% upside for investors.

Select Harvests Limited (ASX: SHV): The almond producer is set to benefit from a number of factors. Firstly, the world's largest producing region, California, is entering its third year of drought which has seen the price of almonds rise. Combined with significant cost-cutting and an increase in production, Select Harvests is in a very good position to boost profits in 2014 and beyond. At $5.83 per share and a P/E ratio of 13.6, shares are looking attractive despite their 320% rally in 2013.

FSA Group Ltd (ASX: FSA): FSA Group is a provider of debt solutions and direct lending services to both Australian consumers and businesses. It is one of the largest providers of personal solvency agreements with more than 1500 clients. Although its shares climbed 178% last year, the company believes that its profit for the six months to December 31 2013, would be up between 30%-38% compared to the previous corresponding period, and analysts believe the gains will continue well beyond. At $1.30 per share, it's not too late for investors to buy in.

Foolish takeaway

Although each of the above companies have already climbed strongly over the last year, investors shouldn't wait for prices to drop as that may never happen. Interim earnings season is fast approaching and any of the above companies could receive a welcome-boost.

The post These 5 stocks soared in 2013 and they're still a bargain! appeared first on The Motley Fool Australia.