Northern Star Resources Ltd (ASX: NST) shares are charging higher on Wednesday morning.

The Northern Star share price is currently up 8.12% to $25.18, after closing yesterday at $23.29.

At one stage, the gold miner climbed as high as $25.59, taking its gains over the past week to almost 15%.

There hasn’t been a new announcement from Northern Star today.

Instead, investors are reacting to reports that Gold Fields Ltd (NYSE: GFI) could sweeten its takeover proposal after being rejected.

Gold Fields may come back with more cash

The latest development comes after Northern Star revealed on Monday that it had rejected a $38.7 billion takeover proposal from Gold Fields.

The offer would have given Northern Star shareholders 0.3125 new Gold Fields shares and $7.25 cash for each share they owned.

That valued Northern Star at $27 per share when the proposal was made on 14 September, representing a 22% premium to its previous closing price.

However, around 73% of the consideration was made up of Gold Fields shares.

Northern Star wasn’t interested, arguing the proposal materially undervalued the company and would expose shareholders to greater jurisdictional and operational risks.

But Gold Fields doesn’t appear ready to walk away.

Bloomberg reports the South African miner is considering increasing the cash component of its proposal as it looks for a way to win over Northern Star’s board.

No decision has been made, and there’s no guarantee another proposal will arrive.

Still, today’s share price reaction suggests investors are betting that the first offer may not be the last.

Why does Gold Fields want Northern Star?

There is a pretty clear reason Gold Fields is interested.

The two miners have significant operations in Western Australia, creating plenty of opportunities to cut costs and make better use of existing infrastructure.

Gold Fields believes a combination could deliver between US$4 billion and US$5 billion in synergies.

The combined company would produce around 4.1 million ounces of gold annually.

That would make it the world’s second-largest gold producer behind Newmont Corp (ASX: NEM).

What happens next?

I think the next move from Gold Fields will be worth watching closely.

Northern Star has made it clear that $27 per share, with most of the consideration in Gold Fields shares, isn’t enough.

But with Northern Star shares now trading above $25, the gap between the market price and the rejected offer has narrowed considerably.

If Gold Fields wants to get Northern Star’s board to the negotiating table, it may need to put more cash and a higher price on the table.

And judging by today’s 8% jump, investors seem to think there’s a decent chance it will.

The post Why are Northern Star shares rocketing 8% on Wednesday? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Is the Northern Star share price a cheap buy?
• Here are the top 10 ASX 200 shares today
• Northern Star shares on watch after major takeover approach rejected
• Northern Star Resources rejects $38.7bn Gold Fields takeover offer

Motley Fool contributor Aaron Teboneras 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 vs ANZ shares

Looking for a steady stream of passive income from ASX bank shares? Commonwealth Bank of Australia (ASX: CBA) and ANZ Group Holdings Ltd (ASX: ANZ) are two of Australia’s banking heavyweights, but they aren’t identical when it comes to dividend income, value, or recent momentum. Here’s my take on which could come out on top for investors chasing reliable returns and regular dividends.

The case for Commonwealth Bank of Australia

Commonwealth Bank of Australia, or CommBank, is a true giant in Australian banking. It’s not only the largest of the big four by market capitalisation, but also one of the most recognisable brands in the country. CBA’s operations stretch beyond Australia, with a presence in New Zealand, the UK, the US, as well as several Asian markets. The company’s product suite covers everything from day-to-day banking through to superannuation, insurance, and wealth management offerings.

A couple of numbers really stand out:

• As of the latest data, CBA’s market cap sits at a whopping $253.56 billion, making it one of the ASX’s biggest blue-chips.
• It boasts a fully franked dividend yield of 3.35%. Every dollar you receive from CBA’s $5.05 per share dividend can be boosted by franking credits, making it an appealing income stock, especially for those who can make use of the credits.
• The shares trade on a price-to-earnings (P/E) ratio of 23.14. By big bank standards, that’s at the higher end, but CBA does have a reputation for quality and steady profits.

The company’s long-term dividend history is a feature, with consistent, fully franked payouts stretching back decades.

The case for ANZ

ANZ is no minnow itself – it’s a banking powerhouse spanning Australia, New Zealand, and about 30 other markets. Like CBA, ANZ caters to a huge base of retail, business, and institutional customers, and its international focus means it’s well diversified for an Australian bank.

Here are the highlights I notice:

• ANZ currently offers a market capitalisation of $115.90 billion, making it a significant player, though not in CBA’s league on pure size.
• Its dividend yield is a healthy 4.39%, notably higher than CBA’s. However, recent dividends have only been 75% franked, so the after-tax benefits for certain investors may be less than a fully franked rival.
• ANZ shares change hands at a P/E ratio of 19.18, which is lower than CBA’s. This could appeal to bargain-hunters or income investors keen on getting more yield for each dollar invested.

While ANZ’s trailing dividend is lower than pre-pandemic years and its franking has varied, it remains a popular option for dividend-focused portfolios.

Valuation comparison

Given both sit within the big four banks, it makes sense to hold them up side-by-side. Here are the main numbers at a glance:

	Commonwealth Bank	ANZ
Market Cap	$253.56 billion	$115.90 billion
P/E Ratio	23.14	19.18
Dividend Yield	3.35% (100% franking)	4.39% (75% franking)
Earnings Per Share	6.517	1.973
Dividend Per Share	$5.05	$1.66

Note: Franking levels for ANZ have recently shifted between 56% and 100%, with the most recent payout at 75%.

Also, ANZ’s reported P/E ratio and EPS figure may reflect different earnings measures, so don’t expect those numbers to tally up precisely for valuation comparisons.

Recent share price performance

Comparing recent share price action up to 25 September 2026:

• Commonwealth Bank closed at $150.83 per share as of 25 September 2026, a modest rebound from its recent soft patch, though it’s down -2.92% year-to-date.
• ANZ closed at $37.84 per share on 25 September 2026, having logged a strong year-to-date gain of 6.41%.

Which is the better buy?

For passive income, my nod goes to ANZ. The headline dividend yield is higher at 4.39%, and it comes at a lower P/E compared to Commonwealth Bank. While CBA’s dividends are 100% franked (a huge plus for maximising after-tax returns, especially for retirees or those on lower tax rates), ANZ’s yield advantage is big enough to matter, even with only 75% franking on the latest payout.

ANZ has also shown better share price momentum this year, adding to its appeal for income-focused investors who care about capital preservation or mild growth on top of regular payments.

CBA still has a lot going for it – size, brand, consistency and the comfort of fully franked dividends. But given ANZ’s relatively strong yield and value stats, I’d lean toward ANZ as my pick right now for those seeking the best blend of dividend income and reasonable valuation in the banking sector.

The post Commonwealth Bank vs ANZ: Which is better for passive income? appeared first on The Motley Fool Australia.

More reading

• Sell alert! Expert calls time on Corporate Travel and CBA shares
• ASX 200 holds steady as investors brace for a big afternoon
• 3 ASX shares to sell now according to experts
• Should I buy CBA shares in October?
• Buy, hold, sell: CBA, BHP, CSL shares

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.

There’s a wide variety of exchange-traded funds (ETFs) out there that investors can choose. The Vanguard Australian Shares Index ETF (ASX: VAS) is the most popular ASX-listed ETF, and for good reason, in my opinion.

When I say it’s the most popular, I’m talking about how much money is currently invested in the ETF.

At the end of August 2026, $26.9 billion was invested in the VAS ETF, a significant sum that has grown substantially over the last few years as more investors allocate money to ETFs.

Easy way to invest in the ASX 300

ETF investing has made it very easy for everyday Australians to gain access to the stock market without needing an advanced understanding of shares to gain access to the market average return.

You don’t need to make gigantic returns to see pleasing financial results thanks to the power of compounding. If an investment delivers an 8% return per year, it will double in value in approximately nine years.

Investing in the VAS ETF gives investors exposure to the S&P/ASX 300 Index (ASX: XKO), an index of 300 of the largest and most impressive ASX shares.

The biggest businesses get the largest allocation in the portfolio. For the Vanguard Australian Shares Index ETF, the largest 10 holdings represent 47.5% of the total ETF. Those 10 holdings are:

• BHP Group Ltd (ASX: BHP)
• Commonwealth Bank of Australia (ASX: CBA)
• National Australia Bank Ltd (ASX: NAB)
• Westpac Banking Corp (ASX: WBC)
• ANZ Group Holdings Ltd (ASX: ANZ)
• Wesfarmers Ltd (ASX: WES)
• Macquarie Group Ltd (ASX: MQG)
• CSL Ltd (ASX: CSL)
• Rio Tinto Ltd (ASX: RIO)
• Woodside Energy Group Ltd (ASX: WDS)

Another underrated aspect of investing in the VAS ETF (and others like it) is that the portfolio regularly updates. We don’t need to think about which stocks to buy and sell – the ETF does that for us and simply holds the names that correspond with where they fit in the index.

If a current holding suffers, it will drop down the holding list and play a smaller part in the ETF’s future returns. If there’s a newcomer that is soaring, it will play a bigger part in the ETF’s holdings as time goes on.

Passive income

One advantage the ASX share market offers, compared with many other share markets, is the scale of passive income it provides.

The ASX 300 has a pleasingly high dividend yield thanks to the fact that the largest businesses have a high dividend payout ratio and a relatively low price/earnings (P/E) ratio compared to other sectors like technology and healthcare.

According to Vanguard, at the end of August, the VAS ETF had a dividend yield of 3.1%, excluding franking credits. Compared to most share markets, that’s a solid level of dividend income.

It’s a good idea to re-invest dividends for long-term compounding, but investors can also enjoy the passive income payments for their life spending.

Low costs

One of the best reasons to invest in the VAS ETF is the very cheap management costs. The lower the fees, the more of the net returns stay in the hands of the investor.

According to Vanguard, the VAS ETF has an annual management fee of just 0.07%. That’s extremely low and means we can virtually match the ASX 300 return.

Of course, it’s important to note that the VAS ETF does provide a lot of exposure to the largest holdings, so it could be a good idea to balance with other investments.

For example, an investor could utilise the VanEck Australian Equal Weight ETF (ASX: MVW) or pick market-beating individual ASX stocks to boost their portfolio’s overall return.

The post 3 reasons why the Vanguard Australian Shares Index ETF (VAS) is a solid buy appeared first on The Motley Fool Australia.

More reading

• How much is needed in superannuation to target a $10,000 monthly passive income?
• Own US ETFs like IVV or NDQ? Here’s why your dividends are so low
• 10 top ASX ETFs to watch in 2027
• How many VAS ETF shares do I need to buy for $10,000 per year of passive income?
• Own VAS, VHY, VGS, or other Vanguard ETFs? Here’s your next dividend

Motley Fool contributor Tristan Harrison 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, Macquarie Group, and Wesfarmers. The Motley Fool Australia has recommended BHP Group, CSL, Macquarie Group, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.