I love investing in Australia’s top shares when they’re trading at a low price. I think this describes the opportunity with the current Lovisa Holding Ltd (ASX: LOV) share price.

As the chart above shows, the Lovisa share price has dropped 46% since August 2025 and it’s down 15% from 7 August 2026.

After such a sizeable fall in a relatively small period of time, this could be the right time to consider one of the ASX’s leading retailers. Let’s look at why the jewellery retailer is so appealing.

Significant global growth plans

I think leading ASX growth shares need to have the potential to grow significantly in size today to unlock strong shareholder returns.

Lovisa already has around 1,100 global stores, but I think it can add significantly more. At the end of the FY26 half-year result, 219 of its global network was in Australia and New Zealand, with another 237 in the US.

It also has at least one store in Singapore, Malaysia, Hong Kong, Taiwan, China, Vietnam, South Africa, Namibia, Botswana, Zambia, the UK, Ireland, Spain, France, Germany, Belgium, Belgium, the Netherlands, Austria, Luxembourg, Switzerland, Poland, Italy, Hungary, Romania, UAE, USA, Canada, Mexico, a franchise in the Middle East and Africa, and a franchise in South America.

As you can see, it’s in numerous markets and this allows it to choose where to invest for new stores and earn the best return. The global network makes it one of Australia’s top shares, in my opinion.

Its expanding store count is a key growth tailwind. In HY26, the company reported its store count rose 15.5%. Combine that with positive comparable sales growth, and you’ve got a great revenue growth story.

In HY26, the company reported that Lovisa achieved revenue growth of 22.7%, with comparable sales growth of 2.2%.

Lovisa has also launched a new business called Jewells in the UK, which could add to earnings in the coming years.

Rapidly rising profit

The business is investing a fair amount into expanding its store network each year, yet its profit is also growing at an impressive pace, which is driving the underlying value of one of Australia’s top shares.

Lovisa reported that, excluding Jewells, operating profit (EBIT) grew 20.4% to $109.1 million and net profit grew 21.5% to $69.6 million.

I think if any business can grow its earnings regularly by more than 20% per year, then its intrinsic value will compound strongly.

As the business becomes larger, I think scale benefits will continue to strengthen, and this should help its profit margins improve.

Compelling valuation for one of Australia’s top shares

According to the forecast on Commsec, the Lovisa share price is valued at 28x FY26’s estimated earnings, with projections that earnings per share (EPS) could climb by another 27% in FY27.

I think the Lovisa share price is undervalued for how much its store network could increase in the coming years. At the current valuation, I think it’s one of Australia’s top share opportunities, though there could be volatility over certain periods.

The post A rare buying opportunity in 1 of Australia’s top shares? appeared first on The Motley Fool Australia.

More reading

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• 7 ASX 200 shares downgraded by the experts this week
• 2 top ASX shares to buy and hold for the next decade
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today

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

Deciding which ASX shares are buys and which ones are sells can be difficult. 

To help you figure things out, let’s look at three ASX shares that experts are tipping as sells this week, courtesy of The Bull. 

Here’s what they are saying:

CAR Group Ltd (ASX: CAR)

The team at Alto Capital is bearish on auto listings company CAR Group.

While it was pleased with its performance in FY 2026, it isn’t a fan of its valuation and believes the risk-reward is unfavourable for investors. It said:

CAR Group operates leading digital automotive markets in Australia and internationally. It delivered another strong result in fiscal year 2026. Reported revenue of $A1.253 billion was up 6 per cent on the prior corresponding period. Reported net profit after tax of $A314 million was up 14 per cent. International operations continue to generate attractive long term growth and management expects further revenue growth in fiscal year 2027. 

However, the company’s strong operating performance is increasingly reflected in its valuation, which requires sustained double digit growth and continuing successful international execution. In our view, the risk-reward balance in response to valuation supports a lighten recommendation.

Commonwealth Bank of Australia (ASX: CBA)

Red Leaf Securities has named CBA shares as a sell this week. While it acknowledges that CBA deserves to trade at a premium to peers, it believes a substantial re-rating leaves little room for disappointment. 

As a result, Red Leaf thinks investors should consider taking profit and focusing on areas with more reasonable valuations. It said:

CBA shares deserves to trade at a premium given its dominant retail franchise, strong technology platform, solid deposit base and consistent execution. However, Australian banking remains a mature industry, with intense competition across mortgages and deposits limiting the potential for outsized earnings growth. 

At a premium valuation, investors are paying a higher price for quality, leaving little room for disappointment. After a substantial re-rating, investors may be better served taking some profits and reallocating capital towards businesses offering stronger growth at more reasonable valuations.

Westpac Banking Corp (ASX: WBC)

The team at Red Leaf has also named Westpac shares as a sell this week.

It highlights the increasingly competitive environment as a reason to be cautious, especially given its valuation. It commented:

The bank remains well capitalised and continues to generate solid earnings, but the operating environment is becoming increasingly competitive. Mortgage pricing is aggressive, deposit competition remains intense and the scope for sustained margin expansion appears limited. Westpac’s dividend remains attractive, but investors should also consider opportunity cost. We believe there are more compelling opportunities on the ASX, which offer stronger structural growth or more attractive valuations.

The post Experts name CBA and these ASX shares as sells today appeared first on The Motley Fool Australia.

More reading

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• 5 things Warren Buffett looks for before buying ASX shares
• 3 reasons to buy CBA shares following its results
• Want income for life? Here’s how I’d build an ASX dividend portfolio
• How much is needed in superannuation for $1500 in weekly passive income?

Motley Fool contributor James Mickleboro 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 recommended CAR Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week with a small decline. The benchmark index fell 0.25% to 9,058.9 points.

Will the market be able to bounce back from this on Monday? Here are five things to watch:

ASX 200 expected to rise

The Australian share market looks set for a solid start to the week following a good session on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 41 points or 0.45% higher. In the United States, the Dow Jones rose 1%, the S&P 500 climbed 0.45%, and the Nasdaq pushed 0.45% higher.

Oil prices rise

It could be a positive start to the week for ASX 200 energy shares Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) after oil prices rose on Friday night. According to Bloomberg, the WTI crude oil price was up 0.25% to US$87.06 a barrel and the Brent crude oil price was up 0.65% to US$94.39 a barrel. This was despite reports claiming that the Iranian government wants to end the war soon.

GYG shares downgraded

Guzman Y Gomez Ltd (ASX: GYG) shares are around fair value now following a recent rally according to analysts at Bell Potter. In response to the quick-service restaurant operator’s FY 2026 results, the broker has downgraded its shares to a hold rating with an improved price target of $27.30. It commented: “While we think GYG is a clear leader in the QSR space after displaying strong comp sales growth, margin expansion, and further network growth opportunities, we see near-term cost headwinds and a consumer slow-down as a risk to FY27 guidance and view the current multiple as fairly valued. While we increase our PT ~11%, it is only a modest premium to the share price, so we downgrade to HOLD.”

Gold price jumps

It is likely to be a strong start to the week for ASX 200 gold shares Capricorn Metals Ltd (ASX: CMM) and Northern Star Resources Ltd (ASX: NST) after the gold price jumped on Friday night. According to CNBC, the gold futures price was up 2.4% to US$4,680.6 an ounce. The precious metal hit a three-month high on US dollar weakness.

ASX 200 results

A number of ASX 200 shares will be on watch on Monday when they release their latest results. Among the names to watch are Dan Murphy’s owner Endeavour Group (ASX: EDV) regional bank Bendigo and Adelaide Bank Ltd (ASX: BEN), lithium leader PLS Group (ASX: PLS), and health insurance company NIB Holdings Limited (ASX: NHF).

The post 5 things to watch on the ASX 200 on Monday appeared first on The Motley Fool Australia.

More reading

• How much passive income can I earn off a $900,000 superannuation balance?
• ASX 200 healthcare shares soar 9% amid notable FY26 reports from CSL, Pro Medicus
• Brokers name the ASX 200 winners and losers from the first half of reporting season
• Why I’d still buy Guzman Y Gomez shares after its big rise
• Here are the top 10 ASX 200 shares today

Motley Fool contributor James Mickleboro has positions in Endeavour Group and Woodside Energy Group Ltd. 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 Bendigo And Adelaide Bank and NIB Holdings. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.