The Westpac Banking Corp (ASX: WBC) share price is typically low enough to offer investors an attractive dividend yield. The ASX bank share is among the most popular picks for passive income because of its large market capitalisation and perceived stability.

As one of the largest ASX bank shares in Australia, Westpac typically offers a higher yield than Commonwealth Bank of Australia (ASX: CBA) and Macquarie Group Ltd (ASX: MQG) because it usually trades on a lower price-to-earnings (P/E) ratio.

But Westpac usually has a dividend yield similar to that of National Australia Bank Ltd (ASX: NAB) and ANZ Group Holdings Ltd (ASX: ANZ), as they have similar earnings multiples and dividend payout ratios.

Let’s take a look at how appealing the Westpac share price could be for passive income.

Dividend projection for the ASX bank share

According to the forecast on Commsec, Westpac could pay an annual dividend per share of $1.54 in the 2026 financial year. That would be a grossed-up dividend yield of 6.1%, including franking credits, at the time of writing.

We’re already more than halfway through FY26, so it’s worthwhile looking at what the payout could be in the next financial year – FY27.

The projection on Commsec suggests the business could hike its annual dividend per share to $1.55 in the 2027 financial year. That translates into a potential forward grossed-up dividend yield of 6.2%, including franking credits.

While those aren’t the biggest yields on the ASX, the potential passive income is very competitive against the best term deposits right now.

We should also remember that term deposit income is limited to the advertised interest rate. On the other hand, businesses with good prospects can grow their profits and dividends over time.

For me, the dividend income prospects are solid, but I wouldn’t say it’s impressive enough – large or growing quickly – to justify buying at the current Westpac share price just for dividends.

Is the Westpac share price a buy?

The Westpac share price has fallen 16% since April, with headwinds from the Federal budget likely weighing on investor confidence. Is the ASX bank share attractive when negative gearing and capital gains tax (CGT) changes are seemingly hurting property buyer (and borrower) demand?

But, in my view, it’s better to buy when the price is lower rather than higher. It’s possible that owner-occupier demand could offset lower investor demand in the medium term.

According to CMC Invest, there have been nine ratings on the ASX bank share in the last three months. Six of those were sell ratings and three were hold ratings.

Of those nine ratings, the average Westpac share price target is $33.63. That implies a possible 6% decline over the next year, so analysts think the business is overvalued.

Therefore, it doesn’t seem like it’s great to invest in the bank today, while other ASX share opportunities look more appealing.

The post Is the Westpac share price a buy for its 6% dividend yield? appeared first on The Motley Fool Australia.

More reading

• Westpac shares climb as bank makes a big tech move
• Sell alert! Why this expert is calling time on Westpac shares
• Down 17%: What should I do with my Westpac shares now?
• Buy, hold, sell: JB Hi-Fi, Westpac, Santos shares
• Why CSL, Westpac, and this big-name ASX 200 share could be sells

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.

S&P/ASX 200 Index (ASX: XJO) tech stocks, including REA Group Ltd (ASX: REA) and TechnologyOne Ltd (ASX: TNE), have taken a beating this past year.

Indeed, while the ASX 200 has managed to push 2.8% higher over the last 12 months, the S&P/ASX All Technology Index (ASX: XTX) has plunged 27.5% over this same period.

(All price data as at late afternoon trade on Wednesday, 24 June.)

As for REA Group, at $131.55 each, shares in the online property listings company are down a sharp 43.9% in a year. REA shares also trade on a 2% fully-franked trailing dividend yield.

TechnologyOne shares have fared a little better, but not much.

At $28.05 apiece, shares in the ASX 200 software-as-a-service (SaaS) provider have dropped 30.5% in 12 months. TechnologyOne stock also trades on a 1.3% partly-franked trailing dividend yield.

While each company has faced its own issues, they’ve both gotten caught up in the so-called SaaSpocalypse. This has seen most SaaS stocks suffering steep declines amid investor concerns that artificial intelligence could replace a lot of the services these companies offer.

Then there’s rising interest rates, with the RBA hiking rates three times this year and the US Fed switching from an easing outlook to potential tightening as well.

That’s a particularly strong headwind for many tech stocks, including TechnologyOne and REA, as these are often priced with higher future earnings in mind. And as interest rates go up, so too does the present cost of investing in those future earnings.

But following the past year’s sell-off, a number of prominent fund managers are seeing value emerging in the ASX tech space.

REA and TechnologyOne shares tipped to thrive in an AI world

Solaris portfolio manager Damien Keune expects that REA shares won’t be taken out by the rise of artificial intelligence.

“The AI revolution might change how buyers search for properties, but the houses still need to be listed somewhere,” Keune said, quoted by the Australian Financial Review.

According to Keune:

REA has lived through many property cycles, and they’ve always managed to report positive earnings growth because they’re so embedded in what is an emotionally charged process of buying and selling a house.

And Ten Cap portfolio manager Jun Bei Liu said she is bullish on TechnologyOne shares.

Liu noted:

ASX tech is becoming interesting again. The ones we like are those that still have a long runway for revenue growth, recurring income, and operating leverage, even in an AI world.

The post Why these top fundies are buying REA and TechnologyOne shares appeared first on The Motley Fool Australia.

More reading

• 2 ASX 200 shares I’d buy for powerful growth
• 3 buy-rated ASX tech shares with bright futures
• Down 16%: What on earth is going on with TechnologyOne shares?
• These ASX 200 shares are down 40% to 65% and could be bargain buys
• REA shares fall 43% to a three-year low. Is it time to buy?

Motley Fool contributor Bernd Struben 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 Technology One. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The CSL Ltd (ASX: CSL) share price has experienced significant volatility over the last few years following the COVID-19 pandemic. The last year has been challenging for shareholders, as the chart below shows.

The ASX biotech share has a diversified earnings business, yet many of them are facing a challenging operating environment. CSL operates in areas like immunoglobulin products, albumin, HEMGENIX, iron deficiency treatment, plasma and recombinant therapies, and vaccines.

Let’s look at the performance of the CSL share price and what would have happened to $10,000.

A heavy decline for the ASX biotech share

In the past year, the CSL share price has more than halved (it has dropped 51.6%), and it’s down 57% from August 2025.

With such a painful drop, a shareholder who had $10,000 a year ago now only has an investment that’s worth just over $4,800. A little bit of dividend income may have helped offset a small part of that decline, but investors are certainly facing big losses.

Its latest update demonstrated the problems it’s experiencing.

The company now expects FY26 revenue to be around $15.2 billion, while underlying net profit (NPATA) – excluding restructuring costs and impairments – could be around $3.1 billion. Both of those guided figures are both on a constant currency basis.

There were a few different negatives in that update.

In US immunoglobulin, while demand is growing in the mid-to-high-single-digits, consistent with CSL’s expectations, reported revenue will reflect CSL’s normalisation of channel inventory, resulting in approximately $300 million of revenue being impacted.

Additionally, with its albumin in China, while CSL’s share has expanded and volumes have stabilised, market value has declined, resulting in an expected venue impact of approximately $200 million.

CSL also said that impacts from the Middle East conflict, revised HEMGENIX growth and competition in iron collectively resulted in an expected revenue impact of approximately $150 million.  

But, on the positive side of things, CSL continues to expect revenue growth in the second half of FY26 for CSL Behring, supported by “underlying demand, ongoing commercial execution and benefits from operational and transformation initiatives”.

Finally, the financial performance of the vaccine business (Seqirus) in FY26 is expected to be “moderately stronger than previously anticipated”.

It said it expects to recognise approximately $5 billion of impairments across FY26 and FY27.

Is the CSL share price a buy?

Analysts are still feeling somewhat cautious on the business, despite the much lower valuation.

According to CMC Invest, there have been 11 ratings on the business in the last three months, with three buy ratings and eight hold ratings.

The average price target on the CSL share price is $135.28. That implies a possible rise of 16% in the next year.

Despite such a large decline, little recovery is expected, so there could be better opportunities out there.

The post $10,000 invested in CSL shares 12 months ago is now worth… appeared first on The Motley Fool Australia.

More reading

• Why I’d buy CSL and Zip shares before they recover
• New to ASX shares? Avoid these 3 beginner mistakes
• Down 54%: What should I do with my CSL shares now?
• Is this broker right about CSL shares?
• 3 cheap ASX shares that could be hiding in plain sight

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