How to buy ASX (ASX) shares
Learn how to easily invest in ASX shares.
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ASX Limited is a financial data & stock exchanges business based in Australia. ASX shares (ASX) are listed on the Australian Securities Exchange (ASX) and all prices are in Australian Dollars. ASX has a trailing 12-month revenue of around $1 billion. If you're looking to buy shares, check out the steps below.
How to buy shares in ASX
- Compare share trading platforms. To buy shares listed in Australia, you'll need to sign up to a broker with access to the Australian Securities Exchange (ASX). Our table below can help you choose.
- Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, PayPal or debit card.
- Search for ASX. Find the share by name or ticker symbol: ASX. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until ASX reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. At today's price, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs.
- Check in on your investment. Congratulations, you own a part of ASX. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.
What's in this guide?
ASX stock price (ASX:ASX)Use our graph to track the performance of ASX stocks over time.
ASX shares at a glance
|52-week range||$64.7612 - $87.6151|
|50-day moving average||$81.9986|
|200-day moving average||$78.0966|
|Dividend yield||$2.236 (2.76%)|
|Earnings per share (TTM)||$2.484|
Compare share trading platforms
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
Is it a good time to buy ASX stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
ASX price performance over time
|1 week (2021-10-15)||2.56%|
|1 month (2021-09-24)||-2.98%|
|3 months (2021-07-23)||5.03%|
|6 months (2021-04-23)||11.81%|
|1 year (2020-10-23)||0.32%|
|2 years (2019-10-24)||-1.98%|
|3 years (2018-10-24)||38.48%|
|5 years (2016-10-24)||71.24%|
Is ASX under- or over-valued?
Valuing ASX stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of ASX's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
ASX's P/E ratio
ASX's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 33x. In other words, ASX shares trade at around 33x recent earnings.
That's comparable to, say, the P/E ratio for the ASX over the 12 months to December 2019 (32.14).
ASX's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $719 million (£0.0 million).
The EBITDA is a measure of a ASX's overall financial performance and is widely used to measure a its profitability.
|Revenue TTM||$1 billion|
|Operating margin TTM||69.01%|
|Gross profit TTM||$971.7 million|
|Return on assets TTM||2.58%|
|Return on equity TTM||12.9%|
|Market capitalisation||$15.8 billion|
TTM: trailing 12 months
ASX's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like ASX.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
ASX's total ESG risk score
Total ESG risk: 25.6
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and ASX's overall score of 25.6 (as at 12/31/2018) is pretty good – landing it in it in the 20th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like ASX is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
ASX's environmental score
Environmental score: 10.71/100
ASX's environmental score of 10.71 puts it squarely in the 9th percentile of companies rated in the same sector. This could suggest that ASX is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
ASX's social score
Social score: 11.29/100
ASX's social score of 11.29 puts it squarely in the 9th percentile of companies rated in the same sector. This could suggest that ASX is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
ASX's governance score
Governance score: 12.59/100
ASX's governance score puts it squarely in the 9th percentile of companies rated in the same sector. That could suggest that ASX is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Environmental, social, and governance (ESG) summary
|Total ESG score||25.6|
|Total ESG percentile||20.08|
|Environmental score percentile||9|
|Social score percentile||9|
|Governance score percentile||9|
ASX share dividends
Dividend payout ratio: 89.8% of net profits
Recently ASX has paid out, on average, around 89.8% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.73% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), ASX shareholders could enjoy a 2.73% return on their shares, in the form of dividend payments. In ASX's case, that would currently equate to about A$2.236 per share.
ASX's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
The latest dividend was paid out to all shareholders who bought their shares by 5 September 2021 (the "ex-dividend date").
Have ASX's shares ever split?
ASX's shares were split on 20 March 2000.
ASX share price volatility
Over the last 12 months, ASX's shares have ranged in value from as little as $64.7612 up to $87.6151. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (AU average) beta is 1, while ASX's is 0.1998. This would suggest that ASX's shares are less volatile than average (for this exchange).
ASX Limited operates as a multi-asset class and integrated exchange company in Australia and internationally. The company provides listings, trading, clearing, settlement, technical and information services, and other post-trade services; securities and derivatives exchange, and ancillary services; and central counterparty clearing services. It also operates markets for a range of asset classes, including equities, fixed income, commodities, and energy; provides data and technology services to intermediaries, banks, information vendors, and software developers to enable them to make decisions, offer services to their clients, and connect with one another; and is involved in the registry, depository, and settlement activities, as well as delivery-versus-payment clearing of financial products. The company was founded in 1987 and is based in Sydney, Australia.
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