Which shares are HOT to buy in December 2019?

In 2019, the ASX S&P200, {ASX chart from TradingEconomics.com] the market measure based on the top two hundred company share prices listed on the Australian share market has risen significantly from 5596 on 3 January 2019 to 6858.2 on 16 December 2019.

ASX market leader BHP Billiton is up from $31.99 one year ago to $39.99 today.

Despite its problems and compensation for millions of customers, Commonwealth Bank shares are up from $69 one year ago to $81.46 today.

And these Australian blue-chip stocks, like many others, pay dividends as well grow in in capital value over time.

Which shares should I buy?

There really is no one answer to this. Your choice of shares depends on your appetite for risk, your ethical outlook and, of course, how much you can afford to invest (and maybe lose). You may be planning to buy low and sell high at a later date or you may have another strategy, like looking for shares that offer regular pay–outs, or dividends.

Which shares pay dividends?

Some shares are designed to be bought and sold and the investor only realises a profit upon sale. Other shares, however, pay investors dividends on a regular basis. Most shares like this pay out quarterly, but there are other which pay every six months, some annually and (somewhat rarer) some pay monthly.

If you’re looking for good dividends you need to buy in at the bottom and watch your profits grow. Two companies worth researching for yourself right now are CSL (ASX: CSL) and NIB Holdings (ASX: NHF). CSL is a healthcare company that’s been offering share dividends since 2013 and has seen a 230 per cent share price rise.

NIB Holdings is a health insurance company that’s had its share price rise by 111 per cent in recent years. At present it’s paying investors a dividend of 23 cents per share, up from seven cents per share back in 2010.

I’m looking for shares to buy and sell

While holding onto shares that will pay regular dividends – hopefully higher dividends as time passes – is a useful and worthwhile investment strategy, you might want to mix your portfolio up with some buy–and–sell style shares.

You’ll be wondering, in this case, which shares to invest in in 2019, so here are four ASX companies that are doing well in recent years, although past performance is not a reliable  guide to future performance.

The Audinate Group Ltd (ASX: AD8)

This innovator and manufacturer of audio–visual products has had a good year in 2019, with its share prices growing by 159 per cent over the last 12 months. Its shares are at an all–time high and there’s no reason to think that 2020 will be any different. AD8 is preparing for further growth in the coming years, with lots more products in the pipeline to boost its value even more.

Brickworks Limited (ASX: BKW)

Brickworks is possibly a good buy for anyone wanting to get a good return as building products aren’t riding too high right now. If you’re patient you could benefit from some vigorous growth if this sector picks up. While you’re waiting for the right time to sell, you’ll also see some small but handy dividends of 4.4 per cent, too.

Altium Limited (ASX: ALU)

This company provides a platform for printed circuit board software designers and is a great prospect for anyone wanting to buy shares before the end of the year.

Altium’s share price is actually 50 times its estimated earnings for the 2020 financial year, but there’s good reason for this explosion. The company is operating at the cutting edge of the Internet of Things market and is set to almost triple its 2019 US$171.8 million revenue to US$500 million by 2025.

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This article is not financial advice and is not written by a financial advisor.

The information contained on this web site is general in nature and does not take into account your personal situation. Do not interpret the listing order as an endorsement or recommendation from us.  You should consider whether the information is appropriate to your needs, and where appropriate, seek professional advice from a financial adviser. If you or someone you know is in financial stress, contact the National Debt Helpline on 1800 007 007.

The products compared in this article are chosen from a range of offers available to us and are not representative of all the products available in the market and influenced by a range of factors including interest rates, product costs and commercial and sponsorship arrangements

InfoChoice compares financial products from 145 banks, credit unions and other financial institutions in Australia. InfoChoice does not compare every product in the market. Some institutions may have a commercial partnership with InfoChoice. Rates are provided by partners and taken from financial institutions websites. We believe all information to be accurate on the date published. InfoChoice strives to update and keep information as accurate as possible.

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