5 unbeatable ASX stocks I’m eager to buy in 2026

A woman wearing dark clothing and sporting a few tattoos and piercings holds a phone and a takeaway coffee cup as she strolls under the Sydney Harbour Bridge which looms in the background.

As 2026 gets underway, I’m looking for ASX stocks that I believe can continue to grow, adapt, and compound value over time.

With that in mind, these are five stocks I’m particularly eager to buy for my portfolio in 2026.

DroneShield Ltd (ASX: DRO)

DroneShield operates in a niche that is becoming increasingly important. Counter-drone technology is now a critical requirement for defence, government, and the protection of key infrastructure.

While the company’s revenue can be lumpy due to contract timing, the underlying demand drivers are structural rather than cyclical. As drone technology becomes more accessible and sophisticated, the need for effective countermeasures will only intensify.

DroneShield is not a low-risk investment, but for investors willing to tolerate volatility, I think it offers exposure to a long-term defence technology theme that is still in its early stages.

Lovisa Holdings Ltd (ASX: LOV)

Lovisa has built one of the most scalable retail models on the ASX.

Rather than relying on heavy discounting or aggressive marketing, the company focuses on rapid product turnover and disciplined store expansion. That approach has allowed Lovisa to grow its footprint across dozens of international markets while maintaining strong returns on capital.

What appeals to me is that growth is still being driven primarily by new store openings, not by stretching assumptions around consumer spending. If execution remains consistent, there is plenty of scope for Lovisa to continue expanding in 2026 and beyond.

Wesfarmers (ASX: WES)

Wesfarmers earns its place on this list through consistency rather than speed.

The group owns a collection of well-established businesses, but its real strength lies in how it allocates capital across them. Over time, management has demonstrated a willingness to invest, divest, and reshape the portfolio as needed, rather than standing still.

Strong cash generation gives Wesfarmers flexibility. It enables the company to continue investing under various conditions while maintaining its balance sheet strength. In 2026, I see Wesfarmers as a strong holding that reduces overall portfolio risk without sacrificing long-term returns.

Sigma Healthcare Ltd (ASX: SIG)

Sigma Healthcare looks very different today than it did a year ago.

Following its merger with Chemist Warehouse, the business now operates at a much larger scale across wholesale distribution, franchising, and retail pharmacy. That places Sigma at the centre of Australia’s community pharmacy ecosystem.

Demand for medicines and pharmacy services is not discretionary, which gives the business a defensive foundation. As integration progresses and efficiencies are realised, Sigma has the potential to deliver steady earnings growth over time.

Temple & Webster Group Ltd (ASX: TPW)

Temple and Webster rounds out the list.

The ASX stock has established a strong position in online furniture retail, supported by a broad product range and a data-driven approach to merchandising. While housing activity and consumer confidence can move in cycles, Temple and Webster has shown it can adjust its cost base and inventory as conditions change.

I also like the company due to its relatively small market share and potential to increase it significantly as more spending shifts online.

Foolish Takeaway

Overall, I believe these ASX stocks offer long-term relevance, a clear strategic direction, and the ability to continue executing effectively under various conditions. For me, those qualities matter.

That is why DroneShield, Lovisa, Wesfarmers, Sigma, and Temple and Webster are five stocks I’m eager to buy in 2026.

The post 5 unbeatable ASX stocks I’m eager to buy in 2026 appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in DroneShield, Lovisa, and Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DroneShield, Lovisa, Temple & Webster Group, and Wesfarmers. The Motley Fool Australia has recommended Lovisa, Temple & Webster Group, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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