The ASX dividend stock Regis Healthcare Ltd (ASX: REG) has fallen a huge 49% from its high just over a year ago and this looks like a great time to invest.

Regis is one of the largest aged care operators in Australia. It provides services to more than 10,000 older Australians through residential aged care homes, home care service hubs, day therapy, respite centres and retirement villages.

Some of the decline happened earlier this month after the company noted that the Australian National Aged Care Classification (AN-ACC) starting price will increase 2.55% from $295.64 to $303.19, starting 1 October 2026.

The government also announced that the hotelling supplement will remain unchanged at $22.15 per resident per day.

Regis Healthcare said that the price increase is significantly below cost inflation in the sector and the broader economy.

I think the ASX dividend stock is a buy for multiple reasons.

Significantly cheaper

It’s clear that conditions in the short-term are more challenging for Regis Healthcare, but I think the share price has more than made up for that.

It has fallen by roughly half in the space of a year. A share price is meant to reflect a company’s long-term future potential. I don’t think its long-term prospects have worsened by around 50%.

The company is still benefiting from the long-term tailwind of Australia’s ageing population. In FY26, its total occupied bed days increased 8.4% to 2.85 million, with its average occupancy increased by 0.7 percentage points to 95.8%.

FY26’s aged care revenue per occupied bed grew 6.7%, while aged care staff expenses per occupied bed rose 8.3%.

FY26 underlying operating profit (EBITDA) climbed 10% to $138 million, underlying net profit grew 4% to $55.6 million, and statutory net profit rose 14% to $55.7 million.

After falling so far, the business now trades at a much more appealing price/earnings (P/E) ratio.

According to the forecast on Commsec, the Regis Healthcare share price is now valued at 28x FY27’s estimated earnings.

Regis Healthcare said the industry requires 10,000 new beds per year to meet potential demand. In 2025, the industry added around 800 beds, falling well short of that target. As one of the big players in the sector, the ASX share will be an important player in meeting that demand in the coming years.

Mitigating actions to help protect against margin reduction

While the latest price update for aged care providers may not match expense growth, it will partially offset the rise in costs. Plus, the ASX dividend stock is undertaking a range of initiatives to mitigate ongoing margin pressures.

Its initiatives include an increase to room prices, a rollout of ‘higher everyday living fee (HELF)’ services, other revenue optimisation, and operational efficiency initiatives.

Hopefully those ideas will help reduce the burden of increased costs, without reducing service at its homes.

Pleasing dividend credentials with the ASX dividend stock

I’m not expecting a dividend increase from the business every year, though it has increased its annual payout each year for the last four consecutive years.

FY27 could see a reduction based on likely reduced profitability, but then projections suggest a return to regular dividend growth in the subsequent years.

According to the projection on Commsec, it could pay an annual dividend per share of 15.1 cents in FY27. That’d be a grossed-up dividend yield of 4.6%, including franking credits.

The FY29 annual dividend is projected to be 19.2 cents per share – larger than the FY26 dividend. This would be a grossed-up dividend yield of 5.8%, including franking credits.

I believe the ASX dividend stock’s payout could grow materially over the next five to ten years as ageing-demographic tailwinds continue to strengthen. This could be a good time to pounce.

The post 1 ASX dividend stock down 49% I’d buy right now appeared first on The Motley Fool Australia.

More reading

• 2 ASX shares tipped to grow 30% or more in the next 12 months
• 9 ASX shares downgraded by experts post-results this week
• 40 ASX shares with ex-dividend dates next week
• Regis Healthcare reacts to government funding change
• Regis Healthcare reports higher FY26 profits and 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 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.

If you are looking for S&P/ASX 200 index (ASX: XJO) shares to buy (and sell), then it could be worth hearing what one expert is saying, courtesy of The Bull.

Here are two ASX 200 shares they are tipping as buys and one share that they think is a sell:

Coles Group Ltd (ASX: COL)

The team at Catapult Wealth is positive on supermarket giant Coles. 

It highlights the company’s attractive and reliable dividend yield and defensive earnings as reasons to buy. It said:

The supermarket industry structure remains favourable, with Coles and competitor Woolworths dominating market share. Coles posted group sales revenue of $45.580 billion in full year 2026, up 2.8 per cent on the prior corresponding period. Excluding significant items, group earnings before interest and tax of $2.322 billion was up 9.9 per cent. 

Supermarket eCommerce sales was a highlight, growing 26.4 per cent. Coles offers a reliable dividend yield, backed by defensive earnings. Catalysts for growth include online expansion, population growth and supply chain automation.

National Australia Bank Ltd (ASX: NAB)

Catapult Wealth isn’t as positive on NAB and has named it as an ASX 200 share to sell this week.

It believes that growth will be challenging for the banking giant in the near term and thinks investors could get better value for money elsewhere in the market. Catapult Wealth explains:

Revenue grew by 2 per cent in the third quarter of fiscal year 2026 when compared to the first half quarterly average. Cash earnings also increased by 2 per cent. In our view, the broader banking sector is facing several headwinds. The Federal Government announced changes to capital gains tax and negative gearing in the May Budget. 

Investment loan applications have slowed amid a cost of living crisis. While the NAB business is well managed and the balance sheet is solid, it’s difficult to identify any significant growth on the horizon. Investors may want to consider taking some profits and explore superior earnings growth opportunities elsewhere.

Netwealth Group Ltd (ASX: NWL)

The wealth management firm has named Netwealth as an ASX 200 share to buy.

It believes the investment management platform provider’s shares are trading at an attractive level following recent weakness. Catapult Wealth said:

Netwealth operates a leading investment management platform used by financial advisers in Australia. The company’s full year 2026 results continued to deliver strong growth, with the platform’s funds under administration increasing 20.3 per cent to $135.7 billion and earnings per share growing 16 per cent to 55.2 cents. 

Despite these strong results, the share price has fallen significantly, most likely and partially in response to a compensation payout of about $101 million to members in the collapsed First Guardian Master Fund. Share price weakness presents an opportunity, as Netwealth still holds a net cash position and is poised to generate strong revenue growth moving forward.

The post 2 ASX 200 shares to buy and 1 to sell now appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: Coles, NAB, CSL shares
• Down 15% and paying record dividends: Are CBA shares now a good buy for passive income?
• Here’s the dividend forecast out to 2029 for Coles shares
• Telstra vs NAB: Which ASX blue chip is the better buy?
• 6 ASX 200 shares boosted by brokers 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 positions in and has recommended Netwealth Group. The Motley Fool Australia has positions in and has recommended Netwealth Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Once a week, I like to look at ASIC’s short position report to find out which ASX shares are being targeted by short sellers.

That’s because I believe it is worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, listed below are the 10 most shorted shares on the ASX this week according to ASIC.

The top 10 most shorted ASX shares

• Lotus Resources Ltd (ASX: LOT) remains at the top of the table with short interest of 17%, up from 15.9% last week. The uranium producer continues to attract short sellers, possibly due to concerns over its ability to ramp up production at Kayelekera and deliver the expected financial benefits.
• DroneShield Ltd (ASX: DRO) has seen its short interest rise to 16.2%. Short sellers may be questioning whether the counter-drone technology company’s growth can justify its valuation, particularly with the ASIC investigation still creating uncertainty.
• 4DMedical Ltd (ASX: 4DX) has short interest of 12.3%, which is up slightly week on week. Despite encouraging progress with its US commercial rollout, short sellers may believe its current revenue base is too small to support its market valuation.
• Domino’s Pizza Enterprises Ltd (ASX: DMP) has seen its short interest rise to 12%. The pizza chain operator remains under pressure as it works to improve store profitability and restore earnings growth following a difficult period.
• IperionX Ltd (ASX: IPX) has jumped to fifth with short interest of 11.7%, up from 10.6% last week. Short sellers may have concerns over the titanium company’s valuation and how quickly it can turn its growing production capacity into meaningful earnings.
• Treasury Wine Estates Ltd (ASX: TWE) has seen its short interest ease to 11.4%. The Penfolds owner continues to face challenging conditions in the Americas, with short sellers potentially questioning how quickly its restructuring efforts will improve profitability.
• PLS Group Ltd (ASX: PLS) has 11.2% of its shares held short, which is broadly unchanged since last week. Uncertainty over the timing of a sustained lithium price recovery may be keeping short sellers interested in the miner.
• Telix Pharmaceuticals Ltd (ASX: TLX) has returned to the top ten with short interest of 11%. Despite recently securing US FDA approval for Pixclara, short sellers may still be questioning how quickly its expanding product portfolio can drive earnings growth.
• Flight Centre Travel Group Ltd (ASX: FLT) has seen its short interest ease slightly to 11%. Short sellers may remain wary of disruption to international travel and whether the company can deliver a meaningful improvement in margins.
• Paladin Energy Ltd (ASX: PDN) has short interest of 10.9%, which is broadly flat week on week. The uranium producer continues to attract short sellers, possibly due to doubts over its ability to meet production expectations and keep operating costs under control.

The post These are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

More reading

• ASX 200 healthcare shares lead a weaker market amid 82% chance of a rate hike
• Here are the top 10 ASX 200 shares today
• 4DMedical shares are rocketing 11% today. Is a short squeeze starting?
• Could this evolving development smash ASX lithium shares like Liontown, Mineral Resources and PLS?
• 3 ASX 200 shares forecast to fly 30% to 40% higher

Motley Fool contributor James Mickleboro has positions in Domino’s Pizza Enterprises and Treasury Wine Estates. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Domino’s Pizza Enterprises, DroneShield, Telix Pharmaceuticals, and Treasury Wine Estates. The Motley Fool Australia has positions in and has recommended Treasury Wine Estates. The Motley Fool Australia has recommended Domino’s Pizza Enterprises, Flight Centre Travel Group, and Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.