It has been a rollercoaster ride for PLS Group Ltd (ASX: PLS) shareholders in 2026. 

The lithium-tantalum producer saw its share price open the year around $4.30 per share. 

After a strong run for lithium shares amidst renewed sector optimism, its share price hit over $6.70 per share. 

Investors’ happiness was short lived however, as it quickly plummeted back down to $4.00 per share in a matter of weeks. 

Since then, it has slowly climbed back into the positive, before PLS shares roared back to life yesterday following full year results. 

This volatility can make it difficult for investors to pinpoint true value. 

However the team at Bell Potter have provided updated guidance for what investors can expect over the next 12 months. 

What did PLS report?

As reported by The Motley Fool yesterday, the company reported FY26 revenue up 152% to $1.93 billion and a shift to a $526 million net profit.

Other results included: 

• Underlying EBITDA: $1,137 million (59% margin; up from $97 million in FY25)
• Net profit after tax: $526 million (from a $196 million loss in FY25)
• Production: 879.5k tonnes spodumene concentrate (up 17%)
• Final dividend: 5 cents per share, fully franked ($161 million distribution)
• Cash balance: $2,290 million (up 135%). 

Investors were seemingly pleased with these results as PLS shares rose by almost 8% yesterday. 

Its share price is now up more than 150% in the last 12 months. 

What is Bell Potter’s view?

The broker saw the FY26 result as broadly in line with expectations, with strong cash generation and a better-than-expected 5c fully franked dividend. 

However, PLS is now entering a large investment cycle, with FY27 capex expected to rise significantly as it progresses projects.

Bell Potter expects the P2000 project could receive investment approval in late 2026, but estimates its cost at around $2.2bn, well above the earlier $1.2bn estimate. 

While PLS has a strong balance sheet with $1.1bn net cash, Bell Potter believes the increased spending and PLS’s conservative approach to its balance sheet could limit shareholder returns in the medium term, despite only modest changes to its earnings forecasts.

Hold recommendation for PLS shares

Based on this guidance, the broker has a hold recommendation on PLS shares. 

The broker also has a price target of $5.20 on PLS shares, indicating a 5% downside from current levels. 

With the material step up in expenditure and the company’s track record for balance sheet conservatism, we believe shareholder returns could be constrained across the medium term.

The post What is this broker’s updated view on PLS shares after big results? appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Bell 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.

The Coles Group Ltd (ASX: COL) share price will be closely watched today after full-year sales revenue rose 2.8% to $45.6 billion and earnings (EBIT, excluding significant items) jumped 9.9%, led by strong Supermarkets performance.

What did Coles Group report?

• Group sales revenue up 2.8% to $45,580 million
• EBIT (excluding significant items) up 9.9% to $2,322 million
• NPAT (excluding significant items) up 13.7% to $1,255 million
• Fully franked total dividend up 13.0% to 78 cents per share
• Supermarkets sales revenue up 3.7%, EBIT up 12.2%
• eCommerce Supermarkets sales grew 26.4% to $5.6 billion

What else do investors need to know?

Coles delivered strong returns from its core Supermarkets business, with EBIT margin expanding by 43 basis points and customer satisfaction scores improving. Notably, Exclusive to Coles sales grew 6.1%, and the company gained market share during the year.

Liquor sales revenue fell 3.3% as the sector faced subdued consumer sentiment and higher costs, prompting the launch of a multi-year repositioning program. The group maintained a robust balance sheet with net assets of $3.95 billion and continued to invest in store renewals, automation, and digital technology.

Coles declared a fully franked final dividend of 37 cents per share, taking dividends for the year to 78 cents — a 13% increase.

What did Coles Group management say?

Commenting on the results, Coles CEO, Leah Weckert, said:

FY26 was another year of consistently strong performance for Coles, with above-market sales and strong earnings growth accompanied by further improvements in customer NPS and team member engagement. This demonstrates the benefits of our investments in automation and eCommerce, disciplined execution and a focus on delivering clear value for customers. We are now investing in the next phase of growth, including through an accelerated store opening and renewal program, coupled with a clear strategy to improve the performance of our Liquor business which will ensure Coles can maintain its growth trajectory.

What’s next for Coles Group?

Coles enters FY27 with positive momentum, especially across Supermarkets and digital operations, with sales growth tracking similarly to the final quarter of FY26. The business is ramping up investment in new stores, renewals, and technology—including accelerated eCommerce and supply chain automation.

For Liquor, a strategic repositioning is underway to improve integration with Supermarkets, optimise the store network, and simplify operations. The company will also invest in its new Victorian automated distribution centre and the Coles Capability Centre to drive operational efficiencies and support long-term growth.

Coles Group share price snapshot

Over the past 12 months, the Coles Group share price has outperformed the S&P/ASX 200 index (ASX: XJO) with a gain of around 9%. This reflects ongoing investor confidence in the business’s steady performance and dividend growth.

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The post Coles Group grows profit and dividend as Supermarkets shine in FY26 appeared first on The Motley Fool Australia.

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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 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.

The South32 Ltd (ASX: S32) share price is in focus today after the company reported a substantial 61% jump in Sierra Gorda’s ore reserve estimate, extending the mine’s reserve life to 2045.

What did South32 report?

• Ore reserve at Sierra Gorda increased by 61% to 1,100 million tonnes at 0.39% total copper, 0.016% molybdenum, and 0.06 g/t gold (as at 31 July 2026).
• Mineral resource estimate rose 8% to 1,870 million tonnes at 0.37% total copper, 0.016% molybdenum, and 0.06 g/t gold.
• Reserve life extended by about five years, now expected until 2045.
• Expansion follows successful infill drilling—around 85,000 metres drilled between 2023 and 2025.
• Fourth grinding line project approved, projected to boost copper production by around 30% from 2031.

What else do investors need to know?

The Sierra Gorda copper mine, in which South32 holds a 45% stake, is a large, open pit operation in northern Chile. This major jump in ore reserves and resources comes after significant drilling to better define the orebody, providing more certainty over future production.

July’s approval for a fourth grinding line is expected to increase annual processing capacity from 135,000 to 165,000 tonnes per day by 2031. The mine is already well-equipped with modern processing infrastructure, renewable energy, and seawater supply, helping support these plans.

Exploration is underway at the Catabela Northeast zone, where early drilling results suggest more copper resources could be uncovered—potentially providing further mine life extensions in the future.

What did South32 management say?

South32 Chief Executive Officer, Matt Daley said:

This update highlights the scale, quality and long-life orebody at Sierra Gorda, which we expect will be a significant source of copper for decades to come. It follows the approval in July to proceed with execution of the fourth grinding line project at Sierra Gorda, which is expected to increase copper production by approximately 30 per cent from 2031.

With the current orebody remaining open at depth, the mine offers potential for further growth beyond today’s increase to ore reserve and reserve life. We continue to work with our joint venture partner to drive further growth and value at Sierra Gorda. This includes the Catabela Northeast exploration project, where exploration holes have intersected significant copper mineralisation, highlighting the potential for future mine life extension.

What’s next for South32?

South32 is focused on ramping up development at Sierra Gorda, progressing the fourth grinding line project and ongoing infill and exploration drilling. With the orebody remaining open at depth and encouraging early drilling outside current reserves, investors can expect continued efforts to grow resources and sustain the mine’s future.

The company is also progressing environmental permit approvals to cover operations beyond 2035, aiming for a seamless transition to an extended mine life. Management highlights Sierra Gorda’s role as a cornerstone copper asset as global demand for key energy transition minerals rises.

South32 share price snapshot

The South32 share price has smashed the S&P/ASX 200 index (ASX: S32) over the past 12 months with a gain of over 70%.

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The post South32 share price in focus as Sierra Gorda mine life jumps with 61% reserve boost appeared first on The Motley Fool Australia.

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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 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.