Macquarie (ASX:MQG) shares have rallied 34% in a year. Here's why this fundie says there's more to come

Disruptions in energy markets are delivering new opportunities for the company.

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Macquarie Group Ltd (ASX: MQG) shares have charged ahead over the past 12 months.

Though the share price slipped in late afternoon trade today amid reports the Ukrainian crisis is heating up, Macquarie shares remain up 34% since this time last year.

For some comparison, the S&P/ASX 200 Index (ASX: XJO) has gained 6% in that same period.

Atop the strong share price performance, Macquarie also pays a 3.2% trailing dividend yield, 40% franked. The diversified financial services company's last dividend of $2.72 per share was paid out to investors on 14 December.

A long-term opportunity

Macquarie shares not only trounced the benchmark over the past 12 months, but the company may have a lot more growth ahead of it.

That's according to Andrew Martin, portfolio manager at Alphinity Investment Management.

According to Martin (quoted by the Australian Financial Review):

We've long been a supporter of Macquarie Group. Initially, the market was completely missing the transformation of the group from what it was pre-GFC to the asset management powerhouse it is today, as well as the benefits from the lower interest rate and high liquidity world we were in post-GFC. Those benefits still exist today, and if anything have been enhanced by the pandemic response from central banks.

Martin is also bullish on Macquarie shares due to the growth outlook for the company's green investment business. Martin said:

Macquarie has a number of engines to rely on, including the commodities business at the moment, benefitting from disruptions in the energy markets. Going forward, their green investment business is incredibly well-placed to take advantage of the energy transition we are seeing globally. This is a long-term opportunity that may well dwarf what they have already been doing in that space alongside utilities and infrastructure.

How have Macquarie shares performed this year?

After gaining 48% in 2021, Macquarie shares have struggled in the new year, down 7%. That compares to a 4% loss posted by the ASX 200.

The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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