On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week with the smallest of gains. The benchmark index rose 4.3 points to 8,686.4 points.

Will the market be able to build on this on Tuesday? Here are five things to watch:

ASX 200 to rise

The Australian share market looks set to rise on Tuesday following a good start to the week in the United States. According to the latest SPI futures, the ASX 200 is expected to open the day 27 points or 0.3% higher. On Wall Street, the Dow Jones rose 0.2%, the S&P 500 climbed 0.65%, and the Nasdaq stormed 1.05% higher.

Buy Amplitude shares

The team at Bell Potter thinks Amplitude Energy Ltd (ASX: AEL) shares are good value at current levels. This morning, the broker was pleased to see Amplitude Energy’s net September 2026 quarterly gas production come in ahead of expectations at 7.4PJ. In response, it has retained its buy rating with a $2.45 price target. It said: “AEL is a pure-play leverage to the southern east coast Australian gas market with the majority of its gas sales under stable contracted prices. The company’s flagship 100%-owned Gippsland Basin asset is now consistently operating at nameplate capacity above 70TJ/day; debottlenecking could see incremental improvements.”

Oil prices fall

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a tough session on Tuesday after oil prices dropped overnight. According to Bloomberg, the WTI crude oil price is down 1.95% to US$89.39 a barrel and the Brent crude oil price is down 1.8% to US$100.42 a barrel. Traders were selling oil after Middle East crude exports increased.

Transurban given trim rating

Transurban Group (ASX: TCL) shares are fully valued according to Morgans. In response to its Sydney tollroads deal, the broker has retained its trim rating with a reduced price target of $12.03. It said: “TCL has increased its exposure to the Sydney market via acquisition of additional equity stakes in key tollroads. While we view positively the deployment by TCL of capital into markets and assets that it knows well, we struggle to see the cashflow benefit for investors at the acquisition price paid particularly in the context of the higher rate environment.”

Gold price edges higher

ASX 200 gold shares Genesis Minerals Ltd (ASX: GMD) and Capricorn Metals Ltd (ASX: CMM) could have a relatively positive session after the gold price edged higher overnight. According to CNBC, the gold futures price is up 0.1% to US$4,166.7 an ounce. This was driven by softening US rate hike expectations.

The post 5 things to watch on the ASX 200 on Tuesday appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro 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 Transurban Group. The Motley Fool Australia has positions in and has recommended Transurban Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Thanks to its record of delivering business growth over the long-term, I’m calling L1 Group Ltd (ASX: L1G) one of Australia’s top shares.

Since the L1 Group share price has fallen 16% since 26 August 2026, it could be a good time to consider buying.

L1 Group is a fund manager offering several strategies that investors use, including a long-short strategy, a global long-short strategy, a gold strategy, international share strategies, and a UK residential fund.

I think this is a great time to invest in one of Australia’s top shares for the following reasons.

Volatile ASX share opportunity

Fund managers are often among the most volatile stocks on the market. This is because the share market can experience significant ups and downs, which can severely impact funds under management (FUM) and therefore the company’s monthly profitability.

But I think periods of decline can be the best time for brave investors to invest.

Don’t forget that the business has experienced strong FUM growth, which is a more important driver than ultra-short-term FUM movements. In FY26, L1 Group’s FUM increased by around 17%. It also said that quarterly flows improved every quarter in FY26.

According to the projection on CMC Invest, the L1 Group share price is now valued at 20x FY27’s estimated earnings.

Strong long-term investment performance

One of the most important drivers of a fund manager’s performance is the returns of the funds.

L1 can point to strong performance in both FY26 and the long term, particularly in what I consider the most important strategy. In fact, the long-short strategy has returned an average of 20.7% (net) per year between September 2014 and August 2026. I think that level of long-term performance earns it the classification as one of Australia’s top shares.

Of course, past performance is not a guarantee of future performance. However, those sorts of returns help drive the FUM higher organically. It can also help attract additional client FUM in the coming years.

Future profit growth expected

Following the L1 acquisition of/merger with Platinum, the medium-term outlook for profit margin growth seems very positive.

It recently announced it was increasing its target merger cost synergies from $35 million to around $43 million. The incremental synergy savings are expected to fund ongoing investment in the group during FY27.

On top of that, the company points out a number of core growth pathways. It notes growth of existing funds through performance and flows, joint ventures, extensions of existing strategies (such as the global long-short strategy and gold strategy), and the acquisition of existing investment managers.

According to CMC Invest, the business is projected to grow its earnings per share (EPS) by around 20% in FY27. This should be a strong growth tailwind.

The post A rare buying opportunity in 1 of Australia’s top shares? appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Tuesday
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Motley Fool contributor Tristan Harrison has positions in L1 Group. 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.

Both of these ASX mining companies have been downgraded by the brokers that cover them, yet their price targets remain well above their current trading levels.

Let’s see what the brokers are saying about them.

Meeka Metals Ltd (ASX: MEK)

This company has just completed a $40 million capital raise at 10 cents per share, with the money to be used to fund its next phase of growth.

More specifically, the money will be used to fund the company’s recent Mt Holland project acquisition, the development of its new Turnberry underground mine which will start in October, additional growth drilling and to strengthen working capital.

Meeka generated $160.8 million in revenue in FY26 and made a net profit of $51.3 million.

Broker Morgans said the company’s recent guidance of 7000-7500 ounces of gold recovered in the September quarter was below their estimate of 9800 ounces.

They added:

We maintain our BUY recommendation on MEK with a revised price target of 17 cents per share. MEK is transitioning to a two-mine underground operation, with Turnberry underground (first ore Jan-27) adding a second ore source to Andy Well. While the September quarter miss has tempered near-term expectations, the Turnberry ramp-up, ore sorter performance and drilling at depth are catalysts that could rebuild confidence and narrow MEK’s discount to net asset value.

Morgans’ price target is 87% higher than the current share price of 9.1 cents (at the time of writing).

American Rare Earths Ltd (ASX: ARR)

This company recently updated the scoping study for its Cowboy State mining project, which estimated an after-tax net present value of US$1.07 billion and a production rate of 2500 tonnes per year of neodymium and praseodymium (NdPr) oxide.

The mine is now expected to run for 26 years, up from 20, and cost US$900 million to bring into production.

American Rare Earths Chief Executive Officer Mark Wall said:

Our ambition is to turn Halleck Creek’s resource scale into a long term source of rare earth materials for American industry. This study gives investors a clearer view of the first development phase and the work that is moving it forward. We are now evaluating a mine with 50% greater processing capacity, 36% more annual NdPr oxide production and a longer operating life than the 2025 base case. That is a substantial platform from which to advance the project.

Bell Potter analysts said in their research note on the company that Halleck Creek remains one of the largest rare earth resources in the US.

The broker has a 55 cent price target on the company, which sits well above the current price of 36 cents (at the time of writing).

If achieved, this would represent a 52% return.

The post 2 ASX mining companies tipped to jump 52% and 87% appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Tuesday
• A rare buying opportunity in 1 of Australia’s top shares?
• How much must I invest in Telstra shares to earn a $1,000 passive income in 2027?
• This ASX health technology company could more than double in value: Broker
• How much could the big 4 banks’ share prices fall?

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.