Listed investment companies (LICs) trade on the ASX just like ordinary shares.

LICs typically invest in a diversified portfolio of assets, including shares, bonds, property, and other securities.

ASX LICs are run by professional managers who make judgment calls on what assets to invest in, and when to buy and sell them.

Their investment strategy may focus on a particular market sector, or type of stock, like ASX growth shares or value shares.

The market’s largest LIC is Australian Foundation Investment Co Ltd (ASX: AFI).

AFIC’s investment style is to buy shares and hold them for the medium to long term.

Argo Investments Ltd (ASX: ARG) is Australia’s oldest LIC and invests in a diversified group of ASX shares.

Argo describes itself as a “value-style investor with a bottom-up approach to investment analysis”. 

On The Bull, James Bills from Shaw and Partners explains his buy rating on two other ASX LICs today.

Let’s take a look.

L1 Long Short Fund Ltd (ASX: LSF)

The L1 Long Short Fund share price is $4.66 as of market close on Tuesday and is up 57% over 12 months.

Bills says:

LSF provides exposure to global long and short strategies managed by a well regarded investment team with a strong long term track record.

The fund’s flexible approach enables it to capitalise on rising and falling markets, which is particularly effective in volatile macroeconomic conditions.

Management’s meaningful co-investment aligns interests with investors, while the portfolio’s global positioning offers diversification beyond Australian financial markets.

Recent performance has demonstrated resilience, with the fund continuing to offer an attractive blend of growth potential and income generation within a diversified portfolio.

Hearts and Minds Investments Ltd (ASX: HM1)

The Hearts and Minds Investments share price is $2.99 as of market close on Tuesday and is down 7% over 12 months.

Bills comments:

HM1 offers investors access to a concentrated portfolio of high conviction global equity ideas sourced from leading fund managers across the world.

The unique structure, combined with its philanthropic component, has attracted some of the industry’s top investors, enhancing the quality of stock selection.

The portfolio is tilted towards innovative, growth oriented companies with long term upside potential. It also pays a fully franked dividend. HM1 was recently trading at a discount to net tangible assets.

In our view, the company provides an appealing entry point for investors seeking exposure to global growth themes with strong management backing.

The post 2 ASX LICs to buy now: expert appeared first on The Motley Fool Australia.

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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 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 ResMed Inc (ASX: RMD) share price is in focus as the company announces the $490 million sale of its MatrixCare business and plans to return capital to shareholders.

What did ResMed report?

• Entered into a definitive agreement to sell MatrixCare business for US$490 million in cash
• MatrixCare contributed approximately US$220 million in revenue and US$55 million in non-GAAP operating profit for FY26
• Proceeds to be used for an accelerated share repurchase program and general corporate purposes
• ResMed reaffirmed its guidance for FY26 margins, spending ratios, and planned share buybacks
• Recent Noctrix acquisition expected to add US$30 million in revenue but dilute FY27 EPS by around US$0.20

What else do investors need to know?

The sale is aligned with ResMed’s strategy to sharpen its focus on high-growth sleep, breathing, and connected care markets. The MatrixCare business, which serves over 15,000 care providers, will be acquired by Frazier Healthcare Partners, a healthcare-focused private equity firm.

ResMed and Frazier Healthcare Partners will enter into transition service agreements to support a smooth handover and offset costs in the first year after closing. ResMed aims to fully eliminate any remaining stranded costs over time.

What did ResMed management say?

Chairman and CEO Mick Farrell said:

Today’s announcement is about our disciplined approach to portfolio management and our commitment to driving long-term growth.

By focusing on areas where we see the greatest opportunity for sleep health innovation and impact, we are strengthening our ability to deliver life-changing health technologies, improve patient outcomes, and create value for our stakeholders. We are confident MatrixCare and its affiliated businesses will continue to support team members and drive growth under new ownership with a dedicated focus on the long-term care market.

What’s next for ResMed?

The MatrixCare transaction is expected to close in the first quarter of ResMed’s 2027 financial year, pending regulatory approvals. Proceeds from the sale will go towards a share buyback and general company purposes.

Looking ahead, ResMed expects its Residential Care Software segment to accelerate growth to high single digits in FY27, with improved operating leverage. The company will provide a detailed FY27 outlook during its next quarterly results in August 2026.

ResMed share price snapshot

Over the past year, ResMed shares have declined 20%, trailing the S&P/ASX 200 Index (ASX: XJO), which has risen 2% over the same period.

View Original Announcement

The post ResMed’s $490m MatrixCare sale: What it means 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 positions in and has recommended ResMed. The Motley Fool Australia has positions in and has recommended ResMed. 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.

The S&P/ASX 200 Index (ASX: XJO) has provided solid returns over the ultra-long term, but there are some ASX shares that could outperform the ASX 200.

We’re going to look at two ASX shares that could deliver great returns in the year ahead.

A price target suggests where experts think the share price will go over the next 12 months. Let’s look at two where analysts are expecting the share price to rise by at least 50%. That’s not a guaranteed return of course, just a prediction.

Coronado Global Resources Inc (ASX: CRN)

Coronado Global Resources describes itself as a leading international producer of high-quality metallurgical coal, which is an important aspect in the production of steel. It currently has operations in both Australia and the US.

According to CMC Invest, there have been five analyst ratings on the business within the last three months. Of those, one is a buy, and four are hold ratings. However, given that the Coronado Global Resources share price has dropped by more than 50% in 2026 to date, analysts now seem to think the business is noticeably undervalued.

The average price target of those five analysts is 31 cents, implying a possible rise of around 80% within the next year, according to CMC Invest.

Coronado recently announced that it was selling its 100% interest of the Logan Mining Complex to Phoenix Coal.

This transaction is expected to help the company’s free cash flow by reducing ongoing care, maintenance and holding costs, eliminating reclamation and other future mine obligations, and allowing Coronado to focus capital allocation on its core metallurgical coal operations.

The ASX share is also going through a structural reset to boost cash flow including a mine optimisation plan for Curragh, an improvement of fleet productivity, underground optimisation for Mammoth, and contract resets and management.

WiseTech Global Ltd (ASX: WTC)

Another ASX share that could produce good returns is WiseTech, a software provider for the logistics, global trade and supply chain industries worldwide.

It provides software for more than 22,000 logistics companies and other industry participants across 193 countries. Customers include 46 of the top 50 global third-party logistics providers and 23 of the 25 largest freight forwarders worldwide.

According to CMC Invest, within the last three months, there have been 10 analyst ratings on the business, with nine buy ratings and one hold rating.

The average price target is $67.65, suggesting an increase of more than 70% from where it is at the time of writing.

It recently jumped after announcing that Raelene Murphy would become the company’s independent chair, while Richard White will focus on his role as chief innovation officer and remain as an executive director.

White said that recent media attention on him is creating an unnecessary distraction from the strength of the WiseTech business. He also denied the allegations in the media.

WiseTech also said it continues to focus its search for an additional independent non-executive director and on long-term executive succession planning.

While the e2open acquisition created some short-term financial headwinds for the statutory net profit, the company’s organic growth remains solid. HY26 organic revenue rose 7%, organic operating profit (EBITDA) grew 7%, operating cash flow rose 14% and free cash flow increased 24%.

If it continues growing its cash flow by double digits, it could go a long way to justify the analysts’ optimism about the business.

Of course, these aren’t the only two ASX shares with a compelling outlook to watch.

The post 2 ASX shares tipped to grow 50% or more in the next 12 months 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 positions in and has recommended WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.