Tabcorp Holdings Ltd (ASX: TAH) shares have been almost totally flat over the past 12 months, but the analysts at RBC Capital Markets are predicting that could be about to change.

RBC has issued a new research note on the gambling company, initiating coverage with an outperform rating and a bullish share price target which I’ll get to shortly.

First let’s have a look at how Tabcorp fared over the 2026 financial year.

Earnings up on flat revenue

Tabcorp in August reported revenue of $2.64 billion, up 0.8%, and EBITDA of $431.7 million, up 10.3%.

The company paid total dividends of 3 cents per share, up 50%.

Managing Director Gillon McLachlan said of the result:

Midway through our turnaround journey, we’re executing on the plan, continuing to exercise cost and capital discipline and the Company is delivering earnings growth. The new retail commercial model has been implemented, the National Tote will launch soon, TAB LIVE and our new Next-Gen terminals are being rolled out in pubs and clubs in approved States, and we’ve renewed key domestic and global media rights partnerships.

Mr McLachlan said the first two stages of the transformation plan, “were to get fit and operationalise our game plan”.

He said that had been achieved, and the company’s proposed acquisition of Betmakers, announced after the end of the financial year, would accelerate the strategy, allowing the company to release products faster and more cheaply.

Tabcorp shares looking like a good punt

RBC said in its research note that Tabcorp had strong forecast earnings growth, stable market share and a sound balance sheet.

They added:

Tabcorp has leading positions in the Australian wagering, media and integrity services markets with wagering and gaming machine monitoring licences in key states. While the wagering market is mature and very competitive, Tabcorp’s market share has stabilised and Tabcorp has returned to earnings growth.

RBC said the proposed Betmakers deal was a positive as it would help modernise Tabcorp’s technology stack, “and be earnings per share accretive if the company can deliver upon the targeted $30 million in cost synergies”.

RBC is yet to factor the acquisition into its financial modelling however, as it believes there are still some risks to completion.

RBC has also factored in an expected cost from AUSTRAC action against Tabcorp.

RBC said:

While this is likely to remain an overhang on the share price, we believe any resolution is likely to be long-dated based on recent precedents. Tabcorp is focussing on improving its risk and compliance controls and governance and it has made some key appointments as part of the uplift. We have allowed for a $100m penalty in our valuation, equivalent to 4.4cents per share.

RBC has valued Tabcorp at $1.25 per share compared to the current share price of 96.25 cents.

Tabcorp is valued at $2.07 billion.

The post RBC Capital Markets thinks Tabcorp shares could go how high? appeared first on The Motley Fool Australia.

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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.

ANZ Group Holdings Ltd (ASX: ANZ) shares have long been a popular dividend pick. As one of the major ASX bank shares, the company benefits from significant scale and can deliver a strong dividend yield, supporting high passive income.

Banks usually trade on a relatively low price/earnings (P/E) ratio and have relatively high dividend payout ratios compared to other sectors, which is why they can deliver a solid dividend.

Of course, dividends are not guaranteed, so don’t take any projections as certain. The payout could be lower, or higher, than expected. Let’s take a look at what is projected of the ASX bank share and what that could mean for receiving $9,000 of annual passive income.

Dividend projection

ANZ has been very consistent with its half-year dividend – ever since mid-2024 it has paid 83 cents per share every six months. That means its last 12 months of dividends come to $1.66 per share.

According to the projection on Commsec, the ASX bank share is projected to pay an annual dividend per share of $1.66 in FY26, the same as FY25 and FY24.

Looking further ahead to FY27, the annual dividend per share is also expected to be $1.66 again. On the one hand, that’s pleasing stability. On the other hand, a flat dividend means inflation is eating away at the value of the dividend.

What would it take to generate $9,000 of passive income?

I’m sure many investors would like to receive $9,000 in annual passive income, whether from ANZ shares or another option. But this article focuses on ANZ shares.

As mentioned above, the ASX bank share is projected to pay an annual dividend of $1.66 per ANZ share, so to generate $9,000 of annual passive income, it would take 5,422 ANZ shares.

But, the above number doesn’t take into account franking credits, which arguably should be included as it’s part of the income package from Australian companies.

If franking credits are included, an investor would need only 4,104 ANZ shares to generate $9,000 in annual grossed-up dividend income.

Is this a good time to invest in ANZ shares?

Analysts don’t think the valuation is particularly appealing right now. There have been eight ratings on the business within the last three months, with the average price target being $35.39.

That price target implies the experts collectively think, at the time of writing, that the ANZ share price will fall 7% over the next year.

It looks like there are better ideas to buy out there.

The post How many ANZ shares do I need to buy for $9,000 of passive income? appeared first on The Motley Fool Australia.

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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.

The Tuas Ltd (ASX: TUA) share price is in focus today after the company revealed a 24% revenue boost to S$187.6 million and an underlying EBITDA of S$83.7 million for FY26.

What did Tuas report?

• Revenue up 24% over FY25 to S$187.6 million
• Underlying EBITDA increased 22% to S$83.7 million
• Statutory NPAT improved to S$26.0 million (underlying NPAT: S$29.6 million)
• Strong subscriber growth: mobile users rose to 1.46 million, broadband to 62,000
• Year-end cash and term deposits of S$498.8 million

What else do investors need to know?

Tuas Limited continues to focus on network investments, supporting rapid subscriber growth and expanding its 5G coverage. The company also upgraded its core mobile network and introduced new broadband packages, including a 10Gbps business offer.

The proposed acquisition of M1 was not completed, as it lapsed following regulatory delays and subsequent investigation into the Singapore telco sector’s cyber security. Tuas’ subsidiary, SIMBA, remains fully compliant with regulatory standards and is cooperating with authorities.

What’s next for Tuas?

Looking ahead, Tuas intends to drive further revenue growth by leveraging SIMBA’s expanding network and product innovation. Planned capital expenditure on mobile and broadband infrastructure is set at S$50–55 million for FY27.

With an added focus on cybersecurity, Tuas expects to invest S$15–30 million in meeting enhanced requirements. The business remains alert for regulatory updates and is positioned to adapt its strategy as needed.

Tuas share price snapshot

Over the past 12 months, Tuas shares have declined 68%, trailing the S&P/ASX 200 Index (ASX: XJO), which has fallen 1% over the same period.

View Original Announcement

The post Tuas FY26 results: revenue climbs, subscriber base expands appeared first on The Motley Fool Australia.

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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 summary of the company announcement. 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.