S&P/ASX 200 Index (ASX: XJO) shares are up 0.4% to 9,105.1 points on Tuesday.

As earnings season continues, top broker Morgans has issued some new ratings on ASX 200 shares.

Let’s check them out.

Aristocrat Leisure Ltd (ASX: ALL)

The Aristocrat Leisure share price is $63.30, down 1.9% today and down 10.3% over 12 months. 

Morgans has downgraded this ASX 200 consumer discretionary share from buy to accumulate.

The broker said: 

We attended the Australasian Gaming Expo (AGE) in Sydney last week, which serves as the key annual showcase for the region’s major slot machine manufacturers.

Alongside meetings with other suppliers and operators, we attended a Q&A session with ALL management and took a guided tour of its product.

Land-based momentum looks solid to us. ALL continues to push new titles onto its existing cabinets while laying the groundwork for the next wave of hardware and the content that comes with it.

Despite the stock trading on c.23x forward PER with a c.2% yield, we continue to see upside potential given the strong momentum entering peak season.

However, following recent share price strength, we revise our rating to Accumulate with a 12-month target price of A$70.00 (prev. A$67.00).

Telstra Group Ltd (ASX: TLS)

The Telstra share price is $4.74, down 1.5% today and down 4% over 12 months. 

Telstra shares fell 5.2% after the telco released its full-year FY26 results last Thursday.

Morgans has a hold rating on this ASX 200 telecommunications share. 

The broker said: 

TLS’s FY26 result and FY27 guidance were largely as expected, with FY26 itself coming in at the middle-to-top end of guidance.

This largely in-line result wasn’t enough for the marginal buyer and TLS shares ended the day down 3%.

We lift FY27/28 EPS by ~4%. Our target price is reduced to $5 as we remove our previously applied premium to valuation.

Hold recommendation retained.

ANZ Group Holdings Ltd (ASX: ANZ)

The ANZ share price is $37.45, down 1.1% today and up 15% over 12 months. 

ANZ shares rose 4.5% after the bank released its 3Q FY26 update last Thursday.

Morgans maintained its trim rating on this ASX 200 bank share. 

The broker said: 

Underlying earnings growth, delivery of cost decline and low bad debts were a feature of the trading update, with lifting momentum behind revenue growth.

Forecast changes are immaterial. 12-month target price reset to $33.53/s.

TRIM retained, with potential TSR at current prices of c.-9% (including 4.4% yield).

The post Buy, hold, sell: Aristocrat, Telstra, ANZ shares appeared first on The Motley Fool Australia.

More reading

• How much do I need in my superannuation to earn $50,000 per year in passive income?
• How much could the Telstra share price rise in the next year?
• These ASX 200 shares could generate $10,000 per year in passive income
• Reporting season half-time report: 5 lessons from August so far
• How much do I need to retire on $100,000 a year at 60?

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

CSL Ltd (ASX: CSL), Pro Medicus Ltd (ASX: PME), and BHP Group Ltd (ASX: BHP) shares are turning heads today.

In morning trade on Tuesday, all three of the S&P/ASX 200 Index (ASX: XJO) heavyweights are charging ahead of the 0.1% gains posted by the benchmark index.

Here’s what’s piquing investor interest.

BHP shares jump on 30% profit surge

BHP shares are leaping higher today, up 3.1% and changing hands for $64.12 apiece.

This follows the release of the ASX 200 mining giant’s full-year FY 2026 results.

Among the highlights that look to have investors reaching for their buy buttons, BHP reported a 15% year-on-year increase in revenue to US$58.8 billion. And underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) of US$32.9 billion were up 27%.

The mining giant also achieved a 17% increase in its operating cash flow to US$21.8 billion.

On the bottom line, BHP shares are catching tailwinds with the miner reporting a 30% increase in underlying profit to US$13.2 billion.

On the passive income front, FY 2026 saw US$8.7 billion in dividends determined, equivalent to US$1.72 per share for a 66% payout ratio.

Pro Medicus shares leap on earnings increase

Like BHP shares, Pro Medicus shares are charging higher today following the release of the company’s own FY 2026 results.

Shares in the ASX 200 health imaging company are up a whopping 10.8% at the time of writing, changing hands for $194.78

Investors are piling into Pro Medicus shares after the company reported a 22.9% year-on-year increase in revenue to $261.7 million. And underlying earnings before interest and tax (EBIT) of $196.1 million were up 24.4% from FY 2025.

This helped drive a 24.1% increase in the company’s underlying net profit after tax (NPAT) to $144.7 million.

Pro Medicus also increased its cash and financial assets by 19.7% over the year to $252.3 million.

And the company’s final fully-franked dividend of 37 cents per share is up 23.3% from last year’s payout.

Which brings us to…

CSL shares rocket on profit outlook

Joining Pro Medicus and BHP shares in turning heads – and rocketing higher – today we find CSL.

Shares in the ASX 200 biotech giant are up an impressive 15.4% at the time of writing, trading for $155.37 each. This strong outperformance also follows on CSL’s full-year earnings results.

CSL shares are shooting higher despite the company reporting a 1% year-on-year decline in revenue to US$15.8 billion. And underlying NPATA of US$3.1 billion was down 2% from FY 2025.

Still, management declared a final dividend of US$1.62 per share, in line with last year’s payout.

The big uplift in CSL shares today looks to be driven by the more positive outlook for FY 2027.

“FY26 has been a year of reset. We have taken decisive action and created a clear path to return to sustainable growth,” CSL interim CEO Gordon Naylor said.

Management is forecasting steady revenue in the financial year ahead, while underlying NPAT is forecast to grow by around 5%.

The post Why is everyone talking about CSL, Pro Medicus and BHP shares on Tuesday? appeared first on The Motley Fool Australia.

More reading

• How to find ASX shares that Warren Buffett might buy
• How much do I need in my superannuation to earn $50,000 per year in passive income?
• How many BHP shares do I need to buy for $1,000 per month of passive income?
• Pro Medicus FY26: Strong earnings growth and higher dividend
• BHP Group posts record FY26 earnings and flags copper-led future

Motley Fool contributor Bernd Struben 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 CSL. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended BHP Group, CSL, and Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Warren Buffett has built one of the greatest investing records in history by owning high-quality businesses for very long periods.

Of course, we cannot know which ASX shares Buffett would actually buy. He may look at the Australian market very differently from me, and price would also play a major role in any investment decision.

What we can do is look at the types of businesses he has historically favoured and ask which ASX shares appear to share some of those characteristics.

Here are three that stand out to me.

Wesfarmers Ltd (ASX: WES)

One trait I associate strongly with Buffett is a preference for businesses that are relatively easy to understand.

Wesfarmers certainly fits that description in my opinion.

Its portfolio includes consumer businesses such as Bunnings, Kmart and Officeworks, which sell products millions of Australians regularly buy. These are established brands with large customer bases and strong positions in their respective markets.

I think Bunnings is particularly interesting from a Buffett-style perspective. Its scale, brand recognition and store network would be extremely difficult for a new competitor to replicate.

Wesfarmers also has a long history of allocating capital across different businesses. That is another characteristic I would look for when trying to identify a company Buffett might appreciate. Strong management teams can create significant value when they have the discipline to invest heavily in attractive opportunities while avoiding poor ones.

The price still has to make sense, but I think Wesfarmers has many of the business qualities I would expect a Buffett-style investor to value.

REA Group Ltd (ASX: REA)

Buffett has often invested in companies with powerful competitive advantages.

REA Group is one ASX share I think fits that profile particularly well.

Its realestate.com.au platform has become an important part of the Australian property market. Buyers naturally want to search where the largest number of properties are listed, while sellers and real estate agents want to advertise where the largest audience is looking.

That creates a powerful network effect. As more buyers use the platform, it becomes more valuable to advertisers. That in turn can attract more listings, which helps keep buyers coming back.

Businesses with this type of competitive advantage can potentially protect their market position for a very long time.

REA Group also benefits from a relatively capital-light digital business model, meaning growth does not necessarily require huge spending on physical assets.

For me, those qualities make it the kind of ASX business that deserves a closer look through a Buffett-style lens.

CSL Ltd (ASX: CSL)

Another Buffett characteristic I would look for is a business with a sustainable leadership position in an industry where replacing an established operator would be difficult.

CSL fits that description for me. The healthcare company has spent decades building its plasma collection network, manufacturing capabilities, scientific expertise and relationships across global markets.

Those assets cannot simply be recreated overnight.

Demand for many of CSL’s therapies is also connected to serious medical needs, giving the business exposure to healthcare demand that can persist through different economic environments.

There is also potential for long-term growth as the company expands production, develops new therapies and reaches more patients around the world.

CSL is more complicated than some classic Buffett investments, but I think its competitive position, global scale and long-term focus give it several qualities he has historically looked for in businesses.

Foolish takeaway

Trying to guess exactly what Warren Buffett would buy is unlikely to get investors very far.

I think the more valuable exercise is studying the qualities behind his investments.

Strong competitive advantages, understandable business models, capable management and the ability to generate attractive returns over many years are all characteristics worth looking for.

Wesfarmers, REA Group and CSL each appear to tick several of those boxes in my view.

The post How to find ASX shares that Warren Buffett might buy appeared first on The Motley Fool Australia.

More reading

• Why is everyone talking about CSL, Pro Medicus and BHP shares on Tuesday?
• Here’s what brokers tip for Wesfarmers shares over the next 12 months
• How much do I need in my superannuation to earn $50,000 per year in passive income?
• 3 reasons to buy this rebounding ASX 200 dividend stock today
• CSL earnings: FY26 sees reset and path to future growth

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