Like many ASX blue chip shares on the Australian stock exchange, Coles Group Ltd (ASX: COL) is often selected as an investment thanks to its dividend income potential. Most established, mature and profitable companies on the ASX pay their investors a regular stream of dividend income, and Coles is no different.

In fact, this supermarket operator has one of the better track records of providing dividend income to its investors. Since it spun off from Wesfarmers Ltd (ASX: WES) in late 2018, the company has delivered an annual dividend hike every year since.

Saying that, it has not been all smooth sailing for Coles, and its investors over the past 12 months. Since this time last year, the grocery giant has traded as high as $24.59 a share, and as low as $20.10. At the time of writing, Coles is sitting at $23.31, essentially flat for the day.

With that in mind, let’s dive a little deeper into Coles shares and discuss what kind of dividend yield one can expect from this company right now.

So, over the past 12 months, Coles has paid out two dividends to investors, as is its habit. The first of those came in March, with Coles funding an interim dividend worth 41 cents per share. The second was September’s final dividend, which was worth 37 cents per share. Both payments came with full franking credits attached.

Coles shares: What is the current dividend yield?

This annual total of 78 cents per share for 2026 represents a healthy 13% rise over the 69 cents per share in dividend income that Coles investors enjoyed over 2025.

At the current Coles share price of $23.30, the 79 cents per share in dividends that Coles has doled out this year gives the company a trailing dividend yield of 3.35%.

However, as any prudent dividend investor knows, a trailing dividend yield only tells us what a company has paid out in the past, not what it may provide going forward. Of course, there’s no way to know what kind of dividend any company is going to pay until the company itself announces it.

Saying that, my Fool colleague Tristan recently covered analysts’ views on Coles’ 2027 dividend potential. He reported that CommSec is pencilling in a forecasted consensus of 83.5 cents per share in dividends over 2027. If accurate, that would represent a 7.05% rise over 2026’s payouts. It would also give Coels shares a forward yield of 3.58% at current prices. Let’s see if that turns out to be the case.

The post Buying Coles shares? Here’s the dividend yield you’ll get today appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen has positions in Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has recommended Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Fortescue Ltd (ASX: FMG) shares are rebounding in Monday afternoon trade.

At the time of writing, the iron ore shares are up around 2% and changing hands at $15.62 a piece.

It’s been headwind after headwind for the shares this year, and they’ve fallen mostly consistently throughout 2026 so far, off the back of iron ore price pressure. For the year to date, the shares are down around 29% and 18% lower than this time last year.

For context, the S&P/ASX 200 Index (ASX: XJO) is up around 1% today and up around 1% year to date.

Why are the shares climbing higher today?

There isn’t any price-sensitive news out of the iron ore miner today to explain today’s increase.

But ASX mining shares are trending higher today, driven by an overnight bounce in commodity prices.

The prices of major metals, including Chinese iron ore, copper, and gold, are climbing again. 

Iron ore futures dropped toward CNY 680 per ton late last week, which is the lowest level since October 2022, as Chinese markets reopened after a week-long holiday.

Elsewhere, Copper futures in the US have risen close to a record high of US$6.80 per pound, thanks to threats around global supply and continued speculative demand. 

Gold prices have also climbed as falling oil prices helped alleviate some concerns about rising inflation.

Fortescue is a major global iron ore producer and is also actively expanding its portfolio into copper and green energy. So its share price is heavily influenced by changing commodity prices.

Where to next for Fortescue shares?

Sentiment about the outlook for the ASX miner is pretty neutral

Market Index data shows brokers have a hold rating on Fortescue shares. The $17.88 average target price implies around a 14% upside, at the time of writing.

On TradingView, again, the majority of analysts (9 out of 16) have a hold stance on Fortescue shares. Another three rate the shares as a sell/strong sell, and two rate them as a strong buy.

The average $16.88 target price implies an 8% upside, but some think the shares could climb another 41% to $22.01 over the next 12 months, at the time of writing.

The team at Bell Potter have a hold rating on the shares and recently reduced their price target to $15.80. The broker noted that Fortescue’s latest quarterly update showed lower shipments, impacts from port maintenance, and shipment-to-sales gaps.

Late last week, UBS also confirmed its hold rating on the shares, with a $16.40 target price, following the miner’s latest quarterly update.

Fortescue reported its first-quarter FY27 iron ore shipments were 46.8 million tonnes (Mt), 6% lower than FY26 Q1. 

Cash was US$3.2 billion and net debt was US$2.8 billion on the 30th of September 2026, compared with net debt of US$0.9 billion on the 30th of June 2026.

The post Down 29% so far in 2026: What do brokers tip next for Fortescue shares? appeared first on The Motley Fool Australia.

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Motley Fool contributor Samantha Menzies 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.

Since mid-May, the S&P/ASX 200 Index (ASX: XJO) has held up relatively well. Despite some volatility along the way, the ASX 200 presently sits about 2% above where it was back on 19 May. However, we cannot say the same for Telstra Group Ltd (ASX: TLS) shares.

Back in May, Telstra had just hit a new 52-week (and multi-year) high of $5.55 a share. Today, those same shares sit at a far less impressive $4.65 each. That’s after the nasty 2.6% plunge that we are witnessing today.

Given that Telstra first started exploring this territory back in September, it might be easy to blame the telco’s full-year earnings that month for the lacklustre reception Telstra shares are still on the pointy end of. To be fair, these earnings didn’t exactly light up the room. Telstra reported a 0.8% drop in revenues to $22.94 billion. Despite that, the company still managed to reveal a 4.9% rise in underlying net profits after tax to $2.5 billion, as well as a 14% increase in cash earnings per share (EPS) to 25.5 cents.

This allowed Telstra to boost its 2026 final dividend by 10.5% to 10.5 cents per share. A $1 billion share buyback program was also announced.

So why then have Telstra shares taken such a dramatic plunge since May? Well, we can’t totally rule out a poor reception of these earnings. After all, if Telstra’s revenues continue to flatline in the years ahead, its current price-to-earnings (P/E) ratio of 23.4 arguably starts to look a little generous.

However, I think there’s another factor at play here: interest rates.

Telstra shares fall as interest rates rise

Telstra is first and foremost known as one of the ASX’s best and most reliable dividend payers. Many, if not most, of those Australian investors who own Telstra shares do so with the expectation of receiving fat dividend cheques, with at least some franking credits attached.

As we’ve already touched on, Telstra is continuing to deliver in this department. But perhaps the problem is the growing attractiveness of alternative sources of passive income.

2026 has been a dramatic year when it comes to interest rates. The Reserve Bank of Australia (RBA) has already hiked rates three times this year. Although the cash rate now sits at a 15-year high of 4.6%, many commentators anticipate it hasn’t finished its current cycle yet. Most Australians understandably associate high interest rates with more painful mortgage repayments. However, this 4.6% cash rate has also resulted in the returns from term deposits and savings accounts exploding. Today, and for the first time in 15 years, one can open a term deposit with an interest rate of over 5.5% per annum – unheard of for years.

Back when Telstra was sitting at $5.55 a share, it would have only been offering a dividend yield of under 3.8%. You can see why more than a few investors would just take the risk-free 5% return instead.

Perhaps the company is finding more buyers at the current price of $4.65. That offers up a much improved 4.52% yield. But as a company that could be described as a bond proxy, I don’t find it at all surprising to see demand for Telstra shares drop off when risk-free passive income is looking so lucrative. Unless Telstra can start growing its revenues at a healthy rate again, or until interest rates start coming down, I’m not expecting to see Telstra shares back above $5 anytime soon.

The post Why have Telstra shares lost 16% since May? appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen 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 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.