ASX shares have fallen into the red in Tuesday lunchtime trade, driven by a sell-off of mining and technology shares, and higher oil and gold prices.

Here are four ASX shares that brokers expect to outperform broader indexes over the next 12 months.

Centaurus Metals Ltd (ASX: CTM)

Centaurus shares have slumped around 6% in Tuesday afternoon trade to 40 cents apiece. The shares have fallen 14% over the past months, and they’re now just over 30% lower year to date.

The ASX shares jumped 5% on Monday after the company confirmed that its offtake agreement with Glencore, announced to the ASX on 16 March 2026, remains binding and effective. In a statement to the ASX, Centaurus said that Glencore has been kept up to date on the progress of the Jaguar Project development and has now confirmed its intention to maintain the binding offtake agreement on the previously announced terms.

On the 2nd of October, Centaurus said it was at an advanced stage of negotiations and final documentation for additional offtake and strategic funding for the Jaguar Nickel Project. 

It looks like investors were thrilled with the update. It’s likely that today’s sell-off is the result of investors taking their gains off the table after a subdued year. At the same time, the ASX nickel shares have suffered continued headwinds from soft sentiment in the nickel sector.

But Market Index data shows that the experts are optimistic that we’ll see a turnaround in the ASX shares this year. All brokers have a strong buy rating. The $1.09 average target price implies a potential 169% upside, at the time of writing.

Light & Wonder Inc (ASX: LNW)

Light & Wonder shares are up around 1% on Tuesday afternoon, trading at $114.56 per share. It’s been a volatile ride for the shares over the past 12 months, and they’ve swung anywhere between $96.79 and $193 a piece. They’re now down 27% year to date and 8% lower than a year ago.

The company has been reshaping its business in recent years, including a focus on its recurring revenue and higher-quality earnings. 

Light & Wonder’s latest second-quarter FY26 earnings results suggest the reshape is starting to translate into revenue. The company posted a 2% increase in revenue and a 26% increase in net income year on year. 

It looks like investors are still wary about whether the company’s earnings can keep improving. But the experts are confident a growth period is coming. Market Index data shows all brokers have a strong buy rating on the shares. The $196.20 average target price implies an upside of around 71%, at the time of writing.

Generation Development Group Ltd (ASX: GDG)

Generation Development Group shares are down around 1% at the time of writing, to $2.70 a piece. The diversified financial services company’s shares have climbed around 4% higher from a two-year low recorded late last week, but they’re still down 54% for the year to date.

There hasn’t been any price-sensitive news out of the company to explain the ongoing decline. The sell-off is most likely the result of a continued broad-based rotation away from financial shares following the latest interest rate increase, higher inflation figures, and sky-high bond yields.

But the company believes that it is well-placed to benefit from strong structural tailwinds from the superannuation, retirement, and managed account markets in FY27. This is due to recent superannuation legislation changes and an aging demographic.

Brokers are bullish too. Market Index shows that all brokers have a strong buy rating on the ASX shares, and the $5.62 average target price implies an upside of around 108% at the time of writing.

CAR Group Ltd (ASX: CAR)

CAR Group shares are up around 0.5% in Tuesday afternoon trade to $22.67 per share. The increase is great news for investors after the company, which runs online global marketplaces for cars, motorcycles, boats, and commercial vehicles, tumbled 25% over the past two months.

The company has been hit by broad market volatility since mid-August. And many investors have also been taking their gains off the table after a strong rally following the company’s FY26 results announcement.

As part of the announcement, CAR Group said it expects 11% to 14% revenue growth and 10% to 13% adjusted EBITDA growth in FY27. It is also planning for high single-digit revenue growth in Australia and double-digit growth in North America, Latin America, and Asia.

Investors still look to be a little reserved about the company’s outlook. But brokers are bullish that the ASX shares could jump higher over the next 12 months. After a strong sell-off, Market Index data shows all brokers have a strong buy rating on the shares. The $34.07 average target price implies an upside of around 50% at the time of writing.

The post 4 ASX shares tipped by brokers to return 50% to 169% 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 positions in and has recommended Light & Wonder Inc. The Motley Fool Australia has recommended CAR Group Ltd, Generation Development Group, and Light & Wonder Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Demand for data centres is growing rapidly as businesses invest more in cloud computing and artificial intelligence (AI).

And one share on the S&P/ASX 200 Index (ASX: XJO) is positioning itself to benefit from that spending, with a substantial amount of future business already secured.

I think its long-term prospects look very promising despite what its recent share price weakness might suggest.

Here’s why.

NEXTDC Ltd (ASX: NXT)

NEXTDC is one of Australia’s leading data centre operators, providing the infrastructure that businesses need to store and process enormous amounts of information.

I like its position in the market because building data centres is becoming increasingly complicated.

Companies need access to suitable locations, reliable electricity supplies, and high-quality connectivity. NEXTDC has spent years developing these capabilities and establishing relationships with major customers.

With demand for AI and cloud services continuing to increase, I believe the company has a significant opportunity to expand its operations.

And there is already evidence of that growth. The ASX 200 share generated underlying EBITDA of $216.7 million in FY25, which increased 15% to $248.8 million in FY26.

Management is now guiding for underlying EBITDA of between $385 million and $410 million in FY27. That represents potential earnings growth of approximately 55% to 65% in just one year.

But I think the longer-term outlook is even more exciting.

NEXTDC has secured substantial customer commitments for data centre capacity that is still being developed.

As those facilities become operational and customers start paying for their contracted capacity, the company expects its existing contracts to eventually support more than $1 billion in annualised contracted EBITDA.

That is approximately four times what NEXTDC generated in FY26, demonstrating just how much larger the business could become in the not-so-distant future.

Why is this ASX share falling?

Despite this outlook, this ASX 200 share has fallen to a 52-week low of $9.75 on Tuesday, around 42% below its 52-week high of $16.78.

I suspect concerns about the enormous investment required across the AI infrastructure industry are contributing to the weakness.

The recent failed IPO of Firmus Technologies has also raised questions about investor confidence in the sector.

NEXTDC faces its own challenges. Building new facilities requires substantial capital, and construction delays, rising costs, or funding pressures could affect its growth plans.

Nevertheless, I think the strength of its contracted demand provides some reassurance.

Customers have already committed to substantial future capacity, giving NEXTDC a clearer growth path than many companies hoping to benefit from the AI boom.

Foolish takeaway

I think NEXTDC shares are a strong buy at around $9.75.

The next few years will involve substantial investment and execution, but the earnings potential is becoming increasingly clear.

For me, the prospect of this ASX 200 share growing into a much larger business makes today’s share price an opportunity I would be happy to take.

The post Why I think this ASX 200 share at a 52-week low is a strong buy appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino 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.

Energy stocks have been in focus over the past few months, with the conflicts in the Middle East and Ukraine sending oil prices higher and raising broader concerns about energy supplies.

Today I’m looking at two very different energy stocks – a refiner and a uranium company – which brokers have tipped for solid share price gains over the next 12 months.

Let’s have a look at who they like.

NexGen Energy Ltd (ASX: NXG)

NexGen is a Canada-focused uranium project developer that is focused on developing the Rook 1 Project in the southwestern Athabasca Basin of Saskatchewan.

The project’s Arrow deposit has a mineral resource of 257 million pounds of uranium, and the company recently said it had intersected numerous other mineralised zones adjacent to Arrow, which will be subject to further exploration to assess their economic potential.

NexGen has recently won a number of key approvals for the project, including to establish a temporary airstrip and to expand the exploration camp.

Broker Barrenjoey has just started covering NexGen shares and has an overweight rating on the stock with a price target of $14.80, compared to the current price of $12.24.

The broker said Rook was a “very high-grade deposit”, with first production expected in 2029-30.

They said the company could have the option to expand total production from 234 million pounds of uranium to 333 million pounds through the development of nearby resources.

Barrenjoey said the long-term outlook for the uranium price was strong, with their forecast of US$100 per pound higher than consensus estimates of US$87 per pound.

Viva Energy Ltd (ASX: VEA)

Viva Energy shares are up more than 80% over the past 12 months, but Macquarie’s analyst team believes they still have a way to go.

Macquarie has just released a new research note on Viva with an overweight recommendation and a price target of $4 compared to the current price of $3.16.

They are also forecasting a strong dividend yield of 8.1% this year, falling to 4.7% next year.

Macquarie has increased its forecast for Viva’s refining margins, saying the market remains tight despite a gradual recovery in trade through the Strait of Hormuz.

They said refining tailwinds were likely to persist through CY27, although soft retail fuel margins appear to be a larger drag in the second half of 2026.

Macquarie said tobacco sales were improving and new management strategies around product range and rotation were likely having some early effect.

Viva Energy is valued at $5.26 billion.

The post 2 ASX energy players that could return 20% to 30% over the next year 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 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.