• Would I buy Bank of Queensland shares after looking at its results?

    Three happy multi-ethnic business colleagues discuss investment or finance possibilities in an office.

    Bank of Queensland Ltd (ASX: BOQ) shares are moving higher on Thursday following the release of the bank’s full-year results.

    The shares are up around 1% to $6.56, with investors seemingly encouraged by the progress being made across the business.

    But is the latest update enough to make Bank of Queensland shares worth buying? Here’s how I see it.

    Some encouraging progress

    One thing I liked about the bank’s results was the progress it is making towards becoming a simpler, more efficient bank.

    The company has completed the migration of ME customers onto its new digital banking platform, removing an important obstacle in its transformation.

    It has also continued investing in technology and improving its operations, with further productivity benefits expected in FY27.

    I think these changes could help Bank of Queensland become more competitive and reduce costs over time.

    There was also encouraging growth in business banking. Commercial lending increased 16% during FY26, supported by demand across sectors including healthcare, agriculture, and other industries.

    This is an area where Bank of Queensland has established expertise, and I think it could become an increasingly important source of growth.

    Another positive was the improvement in its net interest margin, which increased six basis points to 1.70%. Combined with continued cost discipline, that suggests management is making progress on some of the issues that have weighed on profitability.

    Why I’m still cautious on Bank of Queensland shares

    Despite those improvements, I think Bank of Queensland has more work ahead before it becomes a particularly compelling investment.

    The bank reported cash earnings of $358 million for FY26, down 7% on the previous year. That decline is disappointing, particularly when the larger Australian banks have generally demonstrated stronger earnings resilience.

    Bank of Queensland’s mortgage business also struggled, with home lending contracting 8% during the year.

    Management is targeting a return to home lending growth in FY27, supported by its digital platform and expanded distribution. I would want to see evidence of that recovery before becoming more positive.

    The economic environment could also make things difficult. Interest rates are expected to remain elevated, with further increases possible as the Reserve Bank attempts to control inflation.

    While higher rates can support banking margins, they also place pressure on borrowers and can reduce demand for new lending.

    For a smaller bank competing against much larger rivals, I think that creates additional challenges.

    What about the dividend?

    One reason income investors might remain interested is the bank’s dividend.

    The bank declared a fully franked final dividend of 20 cents per share, bringing its ordinary dividends for FY26 to 40 cents.

    At $6.56, that represents a dividend yield of approximately 6.1%.

    Shareholders also received a fully franked special dividend of 15 cents during the year, although I would not assume that payment will be repeated.

    I think its dividend yield is attractive, but maintaining it will depend on the bank delivering more consistent earnings.

    Foolish takeaway

    I would rate Bank of Queensland shares as a hold following these results.

    Management is making worthwhile improvements, and the dividend provides a reason for existing shareholders to remain patient.

    For me, though, I would like to see stronger earnings and a return to mortgage growth before putting fresh money into the bank.

    Until then, I think there are better opportunities elsewhere on the ASX.

    The post Would I buy Bank of Queensland shares after looking at its results? 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.

  • Buy, hold, sell: Appen, Flight Centre, and Telstra shares

    Businessman at his desk, looking seriously at information on his digital tablet.

    The three ASX shares in this article are operating in different industries, but each face some interesting challenges over the coming years.

    Some could benefit as conditions improve, while others may need to adapt to substantial changes in their markets.

    Here’s how I would rate their shares today.

    Appen Ltd (ASX: APX)

    Appen shares are a hold for me. The company helps developers train and improve artificial intelligence (AI) models, putting it in an industry that continues to attract enormous investment.

    But I have mixed feelings about its long-term prospects. AI models are becoming increasingly sophisticated, with synthetic data and automated evaluation potentially reducing the need for some traditional training services.

    At the same time, more advanced AI creates demand for specialist data, human evaluation, and expert input in complex areas such as coding and mathematics. Appen could benefit from these opportunities.

    Its recent results provide some encouragement. Revenue increased 17% in the first half of FY26, supported by particularly strong growth in China.

    But the recovery remains uneven. Revenue from its Global business declined 27%, suggesting Appen still faces challenges replacing traditional work with newer AI projects.

    I am also concerned about its reliance on a relatively small number of major technology customers, whose spending priorities can change quickly.

    For me, the question is whether Appen can build a consistently profitable business as AI technology evolves. I think there is enough progress to justify holding the shares, but I would want clearer evidence of sustainable growth before buying.

    Flight Centre Travel Group Ltd (ASX: FLT)

    Flight Centre is a patient buy in my view. The travel company has faced a challenging period, with geopolitical tensions disrupting travel plans and higher fuel prices contributing to more expensive airfares.

    But I think the work Flight Centre has done during this difficult period could pay off when conditions improve.

    Management has materially reduced costs, leaving the business in a stronger position to benefit when travel demand picks up.

    It has also strengthened its offering through acquisitions made around the bottom of the travel cycle, expanding its presence in specialist and higher-value travel markets.

    I particularly like its position in corporate travel. Flight Centre has built a substantial global business serving companies that need help managing employee travel, bookings, and expenses.

    That gives it an established customer base and opportunities to capture more business as corporate travel spending improves.

    For me, the combination of a leaner cost base, a broader offering, and a strong corporate travel business could support a meaningful recovery in earnings.

    I don’t expect conditions to improve overnight, particularly given the uncertainty surrounding international travel. But I would be happy to buy Flight Centre shares with a long-term view and give the recovery time to play out.

    Telstra Group Ltd (ASX: TLS)

    Telstra shares would be a buy for income investors. The telecommunications company has a substantial mobile network, millions of customers, and an established position in an industry that has become essential to everyday life.

    I like the relatively dependable demand for its services, which helps support regular dividends.

    Telstra paid 21 cents per share in FY26, and management is targeting further earnings growth under its Connected Future 30 strategy. That could provide room for dividends to increase gradually.

    There is one longer-term development I would be watching, though. SpaceX has been expanding Starlink’s mobile capabilities and recently agreed to acquire approximately US$8 billion worth of mobile spectrum in the United States. 

    I think that is a significant development, as it suggests SpaceX has ambitions to compete more directly with traditional telecommunications companies.

    But for now, I think Telstra’s extensive infrastructure and network capacity give it a strong competitive position, particularly in populated areas.

    As such, I think Telstra remains a good option for investors seeking dependable income.

    Foolish takeaway

    I would be happy buying Flight Centre and Telstra shares today, with the former offering recovery potential and the latter providing a more dependable source of income.

    Appen is one I would continue holding for now. Its recent progress is encouraging, but I think it still has more to prove before I would consider adding to my position.

    The post Buy, hold, sell: Appen, Flight Centre, and Telstra shares 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 positions in and has recommended Telstra Group. The Motley Fool Australia has recommended Flight Centre Travel Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

  • Champion Iron posts $403.9 million Q2 FY2027 revenue in preliminary results

    Woman on her phone with a view of the Sydney Harbour Bridge in the background.

    The Champion Iron Ltd (ASX: CIA) share price is in focus today after the company released its preliminary second quarter results for FY2027, highlighting iron ore sales of 4.5 million tonnes and unaudited revenue of $403.9 million.

    What did Champion Iron report?

    • Iron ore concentrate produced: 3.9 million wet metric tonnes
    • Iron ore concentrate sold: 4.5 million dry metric tonnes
    • Net average realised selling price: $89.9 per dry metric tonne
    • Preliminary revenue: $403.9 million (unaudited)

    What else do investors need to know?

    Champion Iron’s Q2 FY2027 results are preliminary, based on management estimates, and unaudited. The company has advised that final figures may differ after completion of its financial close and review procedures.

    Champion has scheduled a conference call and webcast for 30 October 2026 (Sydney time) to discuss the finalised results and answer investor questions. The webcast will be available on Champion’s website for replay for up to 90 days.

    The company continues to focus on producing high-purity iron ore from its Bloom Lake and Rana Gruber operations and pursuing upgrades to increase high-grade direct reduction quality output.

    What’s next for Champion Iron?

    Champion Iron plans to release its full quarterly financial report before the upcoming results conference call. The company remains committed to progressing its project to upgrade a portion of its Bloom Lake mine capacity to direct reduction pellet feed, aiming to take advantage of growing demand for high-quality iron ore.

    Management also noted that if any significant differences arise between the preliminary and final results, investors will be promptly updated as per regulatory obligations.

    Champion Iron share price snapshot

    Over the past 12 months, Champion Iron shares have declined 47%, trailing the S&P/ASX 200 Index (ASX: XJO), which has declined 3% over the same period.

    View Original Announcement

    The post Champion Iron posts $403.9 million Q2 FY2027 revenue in preliminary results 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.

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  • PFE | Pfizer and German partner BioNTech SE said Tuesday they’ve begun delivering doses of their coronavirus vaccine to US candidates with trials in Germany already underway.

  • PFE | Pfizer and German Parker BioNTech SE have begun delivering doses of their coronavirus vaccine for human testing US, trials in Germany already underway.