It was a busy week for Australia’s top brokers. This has led to a number of broker notes being released. 

Three broker buy ratings that you might want to know more about are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

Evolution Mining Ltd (ASX: EVN)

According to a note out of UBS, its analysts upgraded this gold miner’s shares to a buy rating with an improved price target of $16.00. The broker made the move following site visits, which have given UBS confidence in Evolution Mining’s production growth outlook. It sees scope for the company to increase its gold production to 900,000 ounces per annum and its copper production to 120,000 tonnes per annum by 2032. Key drivers of this are expected to be its Cowal and Northparkes operations and underground mining. The Evolution Mining share price ended the week at $13.71.

Nufarm Ltd (ASX: NUF)

A note out of Morgans reveals that its analysts have retained their buy rating on this agricultural chemicals company’s shares with an improved price target of $4.24. This follows the release of its guidance for FY 2026. Morgans believes that Nufarm would’ve beaten consensus expectations were it not for two unplanned manufacturing disruptions. This is especially the case given that Seed Technologies earnings have once again been upgraded due to higher Omega-3 prices. The broker remains very positive and highlights that Nufarm is on track to materially deleverage, with further improvement targeted in FY27. So, with its turnaround plans on track and its shares looking materially undervalued compared to peers, Morgans thinks now could be a good time to invest. The Nufarm share price was fetching $3.04 at Friday’s close.

Premier Investments Ltd (ASX: PMV)

Analysts at Bell Potter have retained their buy rating on this retail conglomerate’s shares with a trimmed price target of $15.50. According to the note, Premier Investments delivered an FY 2026 result that was in line with expectations. Outside this, the broker notes that while it is expecting a period of slow growth in the near to medium term, it views Premier Investments’ forward multiple as attractive. In fact, its sum of the parts valuation sees an attractive ~$1.6 billion enterprise value for the key Peter Alexander brand. This compares to the company’s $1.9 billion market capitalisation. The Premier Investments share price ended the week at $11.77.

The post Top brokers name 3 ASX shares to buy next week appeared first on The Motley Fool Australia.

More reading

• 3 ASX shares given buy ratings this week offering 20% to 40% upside
• Why I’d buy the dip in top ASX 200 gold stocks like Newmont, Northern Star and Evolution Mining shares today
• Premier Investments vs Myer: Which ASX Retail Stock is Best?
• 2 ASX shares UBS says could increase 13% to 37%
• 5 ASX 200 shares upgraded by experts this week

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

National Australia Bank vs ANZ shares: which delivers better income?

When it comes to income investing, the big four banks are perennial favourites among Aussie shareholders. But which comes out ahead — National Australia Bank Ltd (ASX: NAB) or ANZ Group Holdings Ltd (ASX: ANZ)? Both are banking giants with substantial dividends and a long history of rewarding shareholders. Let’s break down the data to see which looks better for those chasing income, and whether one offers a stronger investment case right now.

The case for NAB

National Australia Bank is a mainstay of Australia’s financial landscape, providing a broad spectrum of banking and wealth management services. Its primary operations are in Australia and New Zealand, with a presence in Asia, UK, and the US. As one of the nation’s ‘big four’ banks by market cap, NAB stands out for its scale and established reputation.

A few things jump out from the latest data:

• NAB boasts a market capitalisation of $120.37 billion, edging out ANZ and confirming its position as one of the country’s very largest listed firms.
• Its dividend yield sits at 4.39%, with dividends fully franked at 100%.
• NAB’s dividend history is both long and consistent, with recent annual dividends per share reaching $1.70, and all recent dividends fully franked — a feature especially appealing to Aussie investors seeking tax-effective income.

NAB bank runs a comprehensive range of services, but for me, it’s the fully franked dividend paired with its massive scale that makes NAB a classic income pick.

The case for ANZ

ANZ Group Holdings is another pillar of Australia’s banking sector, tracing its roots back to its 1969 ASX listing. The company claims, as of its latest public description, to serve over 8.5 million customers across nearly 30 markets. Like NAB, ANZ is globally diversified but with a strong anchor in Australia and New Zealand.

The metrics worth noting here include:

• ANZ’s market cap came in just below NAB, at $115.06 billion, so it’s a touch smaller but still an absolute giant.
• Its latest dividend yield is 4.36%, incredibly close to NAB.
• Dividends total $1.66 per share based on the most recent data, but unlike NAB, ANZ dividends are only partially franked (most recently at 75%), and the franking rate has been trending lower in recent payments.

While ANZ’s payout and yield are virtually identical to NAB’s, the lower franking means the after-tax income for Australian investors could be less attractive.

Valuation comparison

Both NAB and ANZ trade on seemingly similar valuations, but there are a couple of fine points of difference. Here’s how they line up on the key income metrics:

	National Australia Bank	ANZ
Market Cap	$120.37 billion	$115.06 billion
P/E Ratio	19.36	19.28
Dividend Yield	4.39%	4.36%
Dividend per Share	$1.70	$1.66
Franking	100%	75%
Earnings per Share	2.000	1.973

NAB offers slightly higher dividends, fully franked, while ANZ’s payout is almost the same dollar amount but only 75% franked, so you might not pocket quite as much after tax. Their P/E ratios and EPS numbers are effectively matched, suggesting the market prices them on similar expectations.

Recent share price performance

Comparing share price activity until 22 September:

• National Australia Bank closed at $38.61 on 22 Sep 2026. Its year to date return is -6.5%, reflecting a moderate downturn over 2026 so far.
• ANZ Group Holdings closed at $38.15 on 22 Sep 2026. Its year to date return is a positive 6.9%, showing genuine strength versus NAB over the same period.

It’s clear that while both shares are trading at almost identical levels, ANZ has delivered solid positive momentum this year, whereas NAB has slipped backwards.

Which is the better buy?

If income is my main focus, I’d favour National Australia Bank over ANZ Group right now. Both offer near-identical headline dividend yields and similar payout levels, but NAB delivers 100% franking on its dividends — that’s a real edge for Aussie shareholders chasing the maximum after-tax income. The consistent franking, especially compared to ANZ’s recent trend of partial franking, makes a big difference come tax time.

On the other hand, ANZ is enjoying notably stronger share price momentum based on year-to-date returns. If total shareholder return (dividends plus price appreciation) is your true goal, ANZ’s recent outperformance could tip the scales, at least in the short term.

But for me, the promise of fully franked, reliable dividends still matters more than a few months of price action. Provided NAB can keep up its track record, it’s the better buy for an income investor in this big bank showdown.

The post NAB vs ANZ: Which big four bank is the better passive income stock? appeared first on The Motley Fool Australia.

More reading

• Here’s the dividend forecast out to 2028 for NAB shares
• How much superannuation do I need to earn $2,000 per week in passive income?
• Here are the most popular ASX share superannuation investments in SMSFs
• ANZ shares have climbed 13% in a year. Is there still room to run?
• Is NAB one of the best ASX dividend shares to buy?

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 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. 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.

ASX dividend shares look more compelling following the passage of capital gains tax (CGT) changes into law, experts say.

Cost base indexation will replace the current 50% CGT discount for assets held longer than 12 months from 1 July next year.

The new rules grandfather existing ASX shares investments. So, the 50% discount will still apply to gains made before 1 July 2027.

After that date, capital gains on existing and new investments will be subject to cost base indexation.

A minimum 30% CGT tax rate will apply, too.

Income strategies looking better than growth: expert

Portfolio strategist Damien Boey from Wilson Asset Management says the CGT changes have already affected investors’ behaviour.

In an interview with Wilson chair and chief investment officer, Geoff Wilson AO, Boey said:

So it’s early days, but one of the things which we’ve noticed, particularly as we’ve been doing the rounds with shareholders, is that people have actually anticipated and responded to these changes.

So a lot of people … have decided that look, it’s not worth their while anymore to keep holding out for big capital gains. They’d rather actually go for much more income-based investment … there’s definitely a shift there for investors to prefer income over capital growth.

Wilson and Boey said buying and holding ASX shares for capital growth now looked less rewarding due to the 30% minimum CGT rate.

Boey said:

… The Australian Shareholders Association ran a survey a little while ago and what they showed was that over 40% of people are basically saying, look, I’m not so sure I want to invest in long-term equities any more as a result of these changes.

Wilson pointed out the significance of that percentage, given 7.7 million Australians invest in shares outside their superannuation.

Overseas markets may offer better capital growth

Boey also questioned how Australian capital growth would even materialise for investors given his expectation that the CGT changes would negatively impact already anaemic productivity growth.

The minimum 30% CGT rate also applies to businesses. This could disincentivise reinvestment and stifle productivity growth, he said.

This dynamic may encourage Aussie investors to continue putting their money into overseas share markets like the US for growth.

US stocks have delivered substantially more capital growth than ASX shares over the past three years.

“If I still have a preference for capital growth, then where am I going to get it? I have to go overseas,” Boey said.

He added:

… when you’re really starving the place of actual, real productivity growth, then what are you actually earning?

Where is the capital growth going to come from? What you’ll probably see is a big shift into income-based [products].

In Australia you’ve got to go for the most reliable income sources, particularly after inflation, and then if you want capital growth you really have to invest abroad.

Goal: $15,000 in passive income

In FY26, the ASX 200 provided an average dividend yield of 4.2%, so let’s use that as a guide.

If you only own ASX shares with full franking credits, that 4.2% yield grosses up to 6%.

To get $15,000 passive income per year, you’ll need about $250,000 in ASX dividend shares on a 6% yield.

Of course, that’s an oversimplification, because each individual ASX dividend share pays a different yield.

So, you’ll need to do your research.

You could try building a portfolio of several individual stocks which deliver a collective average 6% yield.

Some examples of ASX shares paying fully franked dividends include Wesfarmers Ltd (ASX: WES) and BHP Group Ltd (ASX: BHP).

There’s also Fortescue Ltd (ASX: FMG) and Commonwealth Bank of Australia (ASX: CBA) shares.  

Easier alternative to individual stock picking

Alternatively, you could invest in an ASX exchange-traded fund (ETF), ideally one with a high level of franking.

The most popular ASX dividend-focused ETF is Vanguard Australian Shares High Yield ETF (ASX: VHY).

VHY ETF has delivered a 10-year average annual distribution of 6.46% and growth of 4.03%.

This ETF’s franking levels have changed significantly from year to year.

In FY26, VHY ETF distributions came with 89% franking.

The post How much do I need in ASX dividend shares to receive $15,000 passive income per year? appeared first on The Motley Fool Australia.

More reading

• Buying CBA shares? Here’s the dividend yield you’ll get today
• Why I’d invest $50,000 of superannuation in New Hope, Mineral Resources and BHP shares
• Northern Star vs BHP: Which ASX share is better for passive income?
• If I invest $15,000 in Wesfarmers shares, how much passive income will I receive in 2027?
• Commonwealth Bank vs Westpac: Which ASX bank stock is the better buy for resilient passive income?

Motley Fool contributor Bronwyn Allen has positions in Vanguard Australian Shares High Yield ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has recommended BHP Group, Vanguard Australian Shares High Yield ETF, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.