For retirees, a good ASX dividend share needs to offer more than a high headline yield.

I would want businesses with strong earnings, the capacity to continue paying dividends, and the potential for income to grow over time.

These are three ASX passive income shares I particularly like.

Coles Group Ltd (ASX: COL)

Coles would be one of my first choices because grocery spending tends to be relatively resilient.

Households may change what they buy when budgets become tighter, but supermarkets remain an essential part of everyday life. That gives Coles an earnings base that I think suits investors who depend on their portfolio for income.

There is also growth behind the story. Coles generated earnings per share (EPS) of 81.3 cents in FY26. Consensus forecasts point to 98.2 cents in FY27, $1.05 in FY28, and $1.15 in FY29.

I expect that profit growth will create room for dividends to rise as well.

For retirees, I think that combination of defensive demand and potentially rising income is compelling.

Telstra Group Ltd (ASX: TLS)

Telstra could be another quality share for an ASX passive income portfolio.

Mobile and internet services have become essential for households and businesses, giving Australia’s largest telecommunications company a substantial base of recurring demand.

I also think Telstra’s investment case has improved because management is aiming to grow the business rather than simply protect the dividend.

Under its Connected Future 30 strategy, Telstra is targeting mid-single-digit growth in cash earnings through to FY30 and has expressed an ambition to deliver a sustainable and growing dividend.

That is the direction I would want to see as a retiree.

I would still expect periods of share price volatility, but the underlying telecommunications demand gives me confidence in Telstra as a long-term income holding.

Commonwealth Bank of Australia (ASX: CBA)

CBA would round out my three picks.

The bank is not necessarily the highest-yielding option on the ASX, but I think the strength of the franchise counts for a lot when passive income reliability is important.

CBA has leading positions across deposits and home lending, a huge customer base, and one of Australia’s strongest digital banking platforms.

That has helped it consistently generate the profits needed to fund substantial fully-franked dividends.

CBA paid $5.05 per share in FY26. Consensus forecasts point to $5.15 in FY27 and $5.30 in FY28, alongside modest earnings growth over the same period.

The shares can trade at a premium valuation, and that is something I would consider before buying. But for retirees looking beyond the highest immediate yield, I think CBA’s financial strength and dividend record make it one of the ASX banks worth considering.

Foolish takeaway

For retirees looking for passive income, I think Coles, Telstra, and CBA are three strong options to consider.

Each has an established business, dependable cash flow, and the potential to keep growing dividends over time.

The post My favourite ASX passive income shares for retirees appeared first on The Motley Fool Australia.

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• If I invest $10,000 in CBA shares today, what could they be worth in October 2027?
• How much must I invest in Telstra shares to earn a $1,000 passive income in 2027?
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Motley Fool contributor Grace Alvino has positions in Commonwealth Bank Of Australia. 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.

The Macquarie Group Ltd (ASX: MQG) share price has been an excellent performer over the long term. This year, it’s up 22%; over the past three years, it’s up 50%; and over the past decade, it’s up around 200%, at the time of writing.

The business has four divisions – Macquarie Asset Management (MAM), banking and financial services (BFS), commodities and global markets (CGM), and Macquarie Capital (investment banking).

Some of those divisions are quite cyclical/volatile, but the BFS division is growing rapidly in each result, which is a great sign of success. It’s quickly growing to challenge National Australia Bank Ltd (ASX: NAB) and ANZ Group Holdings Ltd (ASX: ANZ) in scale.

Let’s look at what experts think could happen with the Macquarie share price in the year ahead and how the business is performing.

Analyst projections for the Macquarie share price

Excitingly, experts are expecting the ASX financial share to rise from here.

According to CMC Invest, there have been 9 analyst ratings in the last 3 months. Six of those ratings calls were a buy rating and three were a hold rating.

Those analysts each issued a price target. A price target tells investors where the analyst thinks the share price will go in the next 12 months. Of course, this is not a guaranteed return; it’s just a projection.

The average price target of those nine ratings calls is $267.99. At the time of writing, that implies a possible rise of around 7% over the next year. When you add in the projected dividend yield of 3% (excluding franking credits), the total return could be around 10%, according to CMC Invest.

From those nine analysts, the most optimistic price target is $301.73, implying a possible rise of 21% over the next year (at the time of writing).

The most pessimistic Macquarie share price target is $241.38, suggesting a possible decline of 3% over the next 12 months.

How is the ASX financial share performing?

The latest update from the business was the first quarter of FY27, being the three months to 30 June 2026.

The Macquarie Asset Management division reported it had $748 billion in assets under management (AUM) at June 2026, up 4% compared to 31 March 2026, primarily driven by increased net asset valuations, favourable market movements, and positive net flows.

BFS saw its deposits grow 4% quarter over quarter to $223.3 billion at 30 June 2026. The home loan portfolio grew 6% quarter over quarter to $191.5 billion. Finally, the business banking loan portfolio improved by 3% quarter over quarter to $18.7 billion. Those are strong growth trends on an annualised basis.

The CGM division saw a higher quarterly profit year over year, thanks to increased trading activity in North American Gas and Power.

The ASX financial share said that Macquarie Capital had higher investment-related and brokerage income. At 30 June 2026, the private credit portfolio of $27.2 billion was in line with 31 March 2026, and the equity portfolio was $5.1 billion, broadly in line with 31 March 2026.

According to CMC Invest, the Macquarie share price is valued at 18 times FY27’s estimated earnings. It seems like the company has a positive future, but there could be even stronger returns available with other ASX shares.

The post How much could the Macquarie share price rise in the next year? appeared first on The Motley Fool Australia.

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• How much could the big 4 banks’ share prices fall?
• Macquarie Group vs AMP: Which ASX financial stock is best?
• Are ASX 200 bank stocks a buy in October?
• How high could Macquarie shares go? RBC Capital Markets has its say

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 Macquarie Group. The Motley Fool Australia has recommended Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Arena REIT (ASX: ARF) share price is in focus after the real estate investment trust provided an update on the administration process for tenant Edge Early Learning. Arena is currently receiving rent on all 27 centres it owns and leases to Edge, with major developments underway regarding future lease arrangements.

What did Arena REIT report?

• Goodstart Early Learning has entered into a conditional agreement to acquire 31 business operations from Edge Early Learning.
• 20 of Arena’s 27 Edge-leased centres are included in the proposed transaction.
• Rent continues to be received on all 27 Arena-owned Edge centres.
• Arena holds bank guarantees and security deposits of approximately $4 million for the Edge portfolio.
• Due diligence and final agreements on lease assignments are in progress.

What else do investors need to know?

Arena says the proposed transfer of Edge centres to Goodstart is still subject to ongoing due diligence and final agreement between all parties. Arena is actively involved in reviewing the transaction as it decides whether to consent to the assignment of leases.

The sale of Edge’s remaining 33 centres, which includes seven still leased from Arena, is being pursued separately. Arena is engaging closely with the appointed Administrator and has reassured investors it continues to proactively seek the best long-term outcome for its securityholders.

What’s next for Arena REIT?

Arena REIT will provide another update once there is more certainty regarding the outcomes of the lease assignments and the future of the remaining Edge-operated centres. The company continues to reserve all legal rights concerning the portfolio, underlining a measured approach as it works to protect investors’ interests.

The group will maintain its focus on maximising long-term value across its social infrastructure real estate and intends to keep engaging constructively with all stakeholders as the process unfolds.

Arena REIT share price snapshot

Over the past 12 months, Arena REIT shares have declined 38%, trailing the S&P/ASX 200 Index (ASX: XJO), which has declined 3% over the same period.

View Original Announcement

The post Arena REIT shares in focus as Edge Early Learning lease update issued 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.