Bell Potter has recently started coverage of Sports Entertainment Group Ltd (ASX: SEG), and the broker believes big things are in store for the company.

New acquisition to drive growth

Sports Entertainment Group operates the SEN sports radio network across Australia, and also has operations in digital media, live events, television syndication, and talent management.

Bell Potter said the company offers an attractive proposition for advertisers.

As they said:

SEG has curated a portfolio capable of delivering a whole-of-sport strategy targeting a valuable cohort for advertisers at the top of the funnel, then additional value as content filters through operating channels/segments; this operating model delivered an underlying EBITDA contribution margin of 20.4% in FY26 versus group underlying margin of 14.8%.

Sports Entertainment Group also recently finalised the takeover of New Zealand group MediaWorks for $107.6 million.

The company said when announcing the takeover that they expected the acquisition to be materially earnings per share accretive before synergies were factored in.

Synergies were estimated at about $5 million per year.

Sports Entertainment Group said MediaWorks was New Zealand’s number-one audio business, with about 59% audience share in the 25-to-54 demographic.

Sports Entertainment Group Chief Executive Officer Craig Hutchinson said after the deal was finalised:

Today marks a landmark moment for Sports Entertainment Group. Completing the acquisition of MediaWorks which is New Zealand’s #1 audio business transforms SEG into a truly scaled, trans-Tasman media group reaching more than 5 million listeners across Australia and New Zealand. This is exactly the kind of strategically important and value driving transaction we have been building toward. Both businesses are performing strongly into Q1 FY27. We are already seeing the benefits of the combination in our advertiser conversations and digital platform integration planning. The MediaWorks management team, led by CEO Wendy Palmer, has been outstanding throughout this process and we look forward to building something exceptional together.

Media shares looking cheap

Bell Potter said in its research note on the company that it expected the company to generate a compound annual growth rate of 13% in EBITDA from FY26 to FY29.

The company was expected to benefit from NZ$50 million in tax losses held by MediaWorks, as well as a healthy calendar of major sporting events over the medium term.

Bell Potter also expected the company to restart dividend payments at the end of FY28.

The broker has a price target of 45 cents on Sports Entertainment Group shares, compared to 26.5 cents currently.

If achieved, this would constitute a 69.8% return. The company is valued at $84.8 million.

The post Top broker says this ASX stock could rise 70% appeared first on The Motley Fool Australia.

More reading

• AGL, Cochlear, WiseTech shares: Buy, hold, sell
• Down 20%: Is the Wesfarmers share price a top buy?
• Are CBA shares still worth buying near $150?
• Droneshield vs NextDC: Which ASX tech share is the better buy?
• How much passive income can I earn from a $950,000 superannuation balance?

Motley Fool contributor Cameron England has no position in any of the stocks mentioned. 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Commonwealth Bank of Australia (ASX: CBA) shares are trading around $151.07 on Wednesday.

That follows a weaker period for Australia’s largest bank, with investors weighing up higher interest rates, a cooling housing market, and what both could mean for earnings.

So, with the share price back around $150, is CBA still worth buying?

Why CBA remains so popular

CBA has long been one of the most highly valued banks on the ASX, and I think there are good reasons for that.

Its scale gives it a powerful position across mortgages and deposits, while years of investment in digital banking have helped make it an important part of customers’ everyday financial lives.

That combination has allowed CBA to generate strong returns while maintaining a large and relatively stable funding base.

It also helps explain why investors have traditionally been willing to pay a premium for the shares compared with other major banks.

The question today is whether that premium still makes sense as the economic backdrop becomes more difficult.

Housing and rates are creating pressure

CBA’s recent share price weakness has coincided with a tougher period for Australia’s housing market.

National home prices fell for a sixth consecutive month in September and were 5.2% below their peak, while higher borrowing costs have reduced buyer purchasing power and weighed on transaction activity.

Interest rates are adding to that pressure. The Reserve Bank of Australia lifted the cash rate by another 25 basis points in late September to 4.6%, its highest level in 15 years. The RBA has also left the door open to further tightening if inflation remains too high.

For CBA, that creates a mixed picture. Higher rates can support banking margins depending on how quickly lending and deposit rates move. But they also make mortgages more expensive, reduce borrowing capacity, and can eventually weigh on credit growth or increase financial stress among customers.

The RBA still believes most mortgage borrowers are relatively well placed, with less than 2% of variable-rate owner-occupiers currently estimated to have a cash flow shortfall.

That gives me some comfort, but I would still expect the housing and rate environment to remain an important influence on CBA over the next year.

Does $151 look reasonable?

CBA earned $6.58 per share in FY26, and consensus forecasts point to modest earnings per share growth to $6.67 in FY27 and $6.86 in FY28.

At $151.07, the shares are valued on a P/E ratio of roughly 22.6 times FY27 earnings.

I would not call that cheap. Investors are still paying a substantial price for CBA’s quality.

But I am more comfortable with that valuation when the share price is around $150 than I was at considerably higher levels.

The dividend also continues to move in the right direction. After paying $5.05 per share in FY26, consensus forecasts point to $5.15 in FY27 and $5.30 in FY28.

Foolish takeaway

I would still buy CBA shares at around $150.

The housing downturn and higher interest rates give investors legitimate reasons to be more cautious, and I do not think the current valuation leaves room for complacency.

But the recent pullback has made the price easier for me to accept. CBA remains the major Australian bank I would most want to own, and at around $150, I think the quality of the business is worth paying for.

The post Are CBA shares still worth buying near $150? appeared first on The Motley Fool Australia.

More reading

• How much passive income can I earn from a $950,000 superannuation balance?
• If I invest $10,000 in CBA shares today, what could they be worth in October 2027?
• How much could the big 4 banks’ share prices fall?
• Buy, hold, sell: CBA, Capstone Copper, Codan shares
• Why I’d buy CBA and Coles shares in October

Motley Fool contributor Grace Alvino has positions in Commonwealth Bank Of Australia. 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Droneshield vs Nextdc shares: Which ASX tech stock comes out on top?

Everyday Aussie investors looking for exposure to cutting-edge technology on the ASX might find themselves weighing up Droneshield Ltd (ASX: DRO) and Nextdc Ltd (ASX: NXT) . Both companies occupy high-potential corners of the tech sector, but their businesses – and their fundamentals – offer very different investment propositions. If you’re tossing up between Droneshield shares and Nextdc shares, here’s a side-by-side look at what sets each apart.

The case for Droneshield

Droneshield specialises in high-tech solutions that detect and defeat drones, using artificial intelligence-powered hardware and software. Its products target threats from drones used by criminals or terrorists, providing protection for government, military, airports, and critical infrastructure. With a global presence – operating across Australia, the US, and the UK – Droneshield’s offering is right at the intersection of defence, security, and new technology.

Looking at its numbers, Droneshield currently has a market cap of $1.69 billion, but it remains unprofitable according to its latest earnings per share figure (-$0.033). Notably, its P/E ratio is a staggering 433.75 – but with negative EPS, that ratio may be derived from underlying or future earnings rather than trailing profits, so I’d treat that with some caution. Droneshield doesn’t pay a dividend, in line with most early-stage tech or defence businesses. It has also seen a significant drop in sentiment, with a year-to-date return of -40.75%.

The case for Nextdc

Nextdc is Australia’s largest independent provider of data centre and interconnection services. Its big data centres house thousands of companies’ IT infrastructure, connecting businesses, cloud providers, and telecom carriers. Nextdc’s focus is on enabling the digital economy with secure, scalable, and highly connected spaces – making it a backbone provider for everything from large enterprise to small tech startups.

Fundamentally, Nextdc is considerably larger than Droneshield, with a market cap of $8.08 billion. Unlike many tech companies, its reported earnings per share is positive, at $0.122, and its P/E ratio – while high at 88.03 – is typical for a business reinvesting for expansion in a fast-growing, capital-intensive sector. Like Droneshield, Nextdc does not pay a dividend, choosing instead to channel its earnings into growth. Its year-to-date return is -12.92%, which although negative, is much milder compared to Droneshield’s recent performance.

Valuation comparison

There are a few key points of difference in the fundamentals:

Metric	Droneshield	Nextdc
Market Cap	$1.69 billion	$8.08 billion
P/E Ratio	433.75	88.03
Earnings Per Share (EPS)	-0.033	0.122
Dividend Yield	0.00%	0.00%
YTD Return	-40.75%	-12.92%

Note: Droneshield’s reported P/E ratio may be based on a different earnings measure (such as underlying or forecast earnings) than the negative EPS shown, which is why they appear inconsistent. Nextdc’s P/E and EPS figures are more aligned.

Neither company offers a dividend, so this is really a comparison of growth potential and business momentum rather than current income.

Recent share price momentum

Comparing recent share price performance up to 2 October 2026:

• Droneshield closed at $1.83, showing a 6.41% rise on the day, yet remains down 40.75% year-to-date.
• Nextdc closed at $10.74, rising 1.32% on the day, with a year-to-date decline of 12.92%.

Both companies had positive daily gains on 2 October 2026. However, over 2026 so far, Droneshield has suffered much steeper share price falls than Nextdc.

Which is the better buy?

Weighing it all up, I’d lean towards Nextdc as the stronger buy in this head-to-head. While both companies are unfranked and offer no dividend, Nextdc stands out for having positive earnings, a far more moderate (though still high) P/E ratio for its sector, and much better share price resilience in 2026. Droneshield’s technology is fascinating and its potential market is compelling, but the company is still unprofitable and investors have recently marked it down heavily, as shown in its 40%+ year-to-date drop. For me, that signals higher risk and a longer path to proven success.

Nextdc provides essential infrastructure for the digital world, enjoys significant scale, and is already generating profits, even if it trades at a growth premium. If I had to pick between them for an ASX tech buy right now, my pick would be Nextdc.

The post Droneshield vs NextDC: Which ASX tech share is the better buy? appeared first on The Motley Fool Australia.

More reading

• 4 ASX shares tipped by brokers to return 18% to 96%
• Buy, hold, sell: New Hope, Cleanaway Waste Management, NextDC shares
• Should I invest $1,000 into DroneShield shares?
• These are the 10 most shorted ASX shares
• 5 things to watch on the ASX 200 on Monday

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DroneShield. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial draft. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.