• Should you buy Lynas and this ASX share at their 52-week lows?

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    Two well-known ASX shares have fallen to fresh 52-week lows on Monday, leaving investors with a decision to make.

    Both companies have faced heavy selling pressure, but their longer-term earnings outlooks suggest there could be opportunities at current prices.

    So, would I buy either of them today?

    Lynas Rare Earths Ltd (ASX: LYC)

    Lynas shares have fallen to a 52-week low of $12.14 on Monday, leaving them down around 40% over the past 12 months.

    I think the rare earths producer has an interesting long-term opportunity. Rare earths elements are essential for a range of technologies, including electric vehicles, wind turbines, and defence equipment.

    With governments increasingly focused on securing supply chains outside China, Lynas is well-positioned as an established producer and processor of rare earths materials.

    The company is also looking to expand its operations. Earlier this month, Lynas announced an agreement to acquire Meteoric Resources Ltd (ASX: MEI), which owns the Caldeira rare earths project in Brazil.

    The acquisition could give Lynas access to an important new source of heavy rare earths and support its longer-term expansion plans. But the market does not appear particularly enthusiastic about the deal so far.

    Investors may be concerned about the additional investment required to develop Caldeira, the challenges of processing a different type of rare earths resource, and the dilution associated with the all-share acquisition.

    I think those concerns are reasonable, although the longer-term earnings outlook remains encouraging. Consensus forecasts point to earnings per share (EPS) of 58.3 cents in FY27, increasing to 92.9 cents in FY28 and $1.13 in FY29.

    At $12.14, those estimates put Lynas on approximately 21 times FY27 earnings, falling to just under 11 times FY29 earnings. That could prove cheap if the company delivers the expected growth.

    For an investor with a diversified portfolio who wants exposure to the rare earths industry, I think Lynas could be a buy at current levels.

    Sonic Healthcare Ltd (ASX: SHL)

    Sonic Healthcare shares have also been under pressure, falling to a 52-week low of $18.11 on Monday. That leaves the healthcare company’s shares down approximately 18% in 2026.

    Sonic operates a global network of pathology and diagnostic businesses, providing essential medical services across several countries.

    I like the underlying demand for these services. Ageing populations, advances in medical testing, and the growing importance of early diagnosis should support the industry over time.

    But Sonic has some operational challenges to work through. These include improving the performance of its US operations, integrating acquisitions, and managing regulatory and reimbursement changes in certain markets.

    I think these issues help explain why investors have become more cautious. Nevertheless, there is some potential for earnings to improve as management makes progress. Consensus forecasts point to EPS of $1.14 in FY27, increasing to $1.26 in FY28 and $1.31 in FY29.

    For income investors, the dividend outlook also looks interesting. Analysts expect partially franked dividends of $1.05 per share in FY27, $1.11 in FY28, and $1.14 in FY29.

    At $18.11, those forecasts represent potential dividend yields of approximately 5.8%, 6.1%, and 6.3%, respectively.

    I think that is a generous level of income, although the relatively high proportion of earnings being paid out leaves limited room for disappointment.

    Sonic could therefore be worth considering for patient income investors who are comfortable waiting for the business to improve.

    Foolish takeaway

    I think both shares deserve a closer look following their recent falls.

    For me, Lynas offers the more exciting growth opportunity, although its performance could be unpredictable.

    Sonic’s potential dividend yield is certainly tempting, but I would want to see more progress on its operational challenges before becoming particularly enthusiastic about the shares.

    The post Should you buy Lynas and this ASX share at their 52-week lows? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in Lynas Rare Earths Ltd right now?

    Before you buy Lynas Rare Earths Ltd shares, consider this:

    Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Lynas Rare Earths Ltd wasn’t one of them.

    The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

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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 recommended Lynas Rare Earths Ltd. The Motley Fool Australia has recommended Sonic Healthcare. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

  • Nextdc vs WiseTech: Which ASX tech stock is better for a 25 year old investor?

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    Nextdc vs WiseTech shares: Which ASX tech stock stacks up for young investors?

    If you’re 25 and thinking about backing a big Aussie tech name, it’s hard to go past the heavyweight duo of Nextdc Ltd (ASX: NXT) and WiseTech Global Ltd (ASX: WTC). Both play crucial roles in Australia’s digital future, but which one should make the cut in your portfolio? Here’s how these two market darlings measure up on the numbers that matter.

    The case for Nextdc

    Nextdc Ltd operates data centres across Australia, New Zealand, and Southeast Asia, serving organisations that need secure, scalable places to run and connect servers. Its core offering is co-location — letting businesses house their tech hardware in specialist facilities with top-shelf physical security, cooling, power, and network interconnection. As of its company profile, Nextdc was serving more than 1,700 customers, from small enterprises through to major cloud providers.

    From a fundamentals perspective, Nextdc stands out for:

    • A market cap of $7.88 billion, making it a formidable presence among ASX tech stocks
    • An earnings per share (EPS) of $0.122
    • No dividend payout, meaning all earnings are reinvested for growth

    The company’s focus has been on expanding infrastructure and capturing the growing demand for cloud and data services, instead of returning capital to shareholders via dividends.

    The case for WiseTech Global

    WiseTech is best known for its global logistics software platforms, including CargoWise One, which is used by big names in freight forwarding such as DHL and Toll. Headquartered in Sydney and operating worldwide, WiseTech develops mission-critical systems that help move goods through supply chains more efficiently.

    Key WiseTech fundamentals include:

    • A market cap of $11.31 billion, making it even larger than Nextdc
    • An earnings per share (EPS) of $0.485
    • A history of fully franked dividends, with a 0.65% current yield and a recently paid final dividend of $0.1231 per share

    WiseTech has consistently expanded its dividend, paying fully franked distributions for years — an uncommon feature among local tech leaders.

    Valuation comparison

    Let’s hold up the key numbers side by side:

    Nextdc WiseTech
    Market Cap $7.88 billion $11.31 billion
    P/E Ratio 85.00 44.00
    Dividend Yield 0.00% 0.65% (100% franked)
    Earnings per Share (EPS) $0.122 $0.485
    Franking – 100%

    Note: The P/E and EPS figures for each company are as reported. If you notice a mismatch in how these metrics relate, remember that P/E ratios can use normalised or forward earnings, so small inconsistencies may crop up in reported numbers.

    Nextdc trades on a higher P/E multiple compared to WiseTech, despite not offering a dividend. Meanwhile, WiseTech’s ability to deliver dividends — especially fully franked — is rare among tech stocks, and may reflect a more established, cash-generative business.

    Recent share price momentum

    Comparing recent share price momentum up to 9 October 2026:

    • Nextdc closed at $10.37, up 0.88% for the day
    • WiseTech Global closed at $33.63, up 4.25% for the day
    • Year to date, Nextdc shares are down 15.9%
    • Year to date, WiseTech shares are down a steeper 50.6%

    Both companies enjoyed gains on the day, but year-to-date returns show hefty declines, especially for WiseTech.

    Which is the better buy?

    For a 25-year-old investor, I’m looking for a mix of growth potential, resilience, and maybe even a little passive income. Both these tech heavyweights have had a rough trot in 2026, but the falls have been much sharper for WiseTech. Nextdc trades at a higher P/E with no dividend, suggesting a “growth at all costs” proposition — and if you’re excited by the data infrastructure sector, that strategy may appeal. On the other hand, WiseTech is more attractively priced based on its P/E and delivers a fully franked dividend, which is a strong plus for compounding returns over time.

    Personally, I’d lean toward WiseTech as my pick for a young investor. The lower P/E, consistent (albeit modest) dividend, and global software reach look like a more balanced, sustainable package. That said, this story could flip again if Nextdc turns its impressive infrastructure footprint into faster bottom-line growth down the track. For now though, I think WiseTech edges it — but both stocks offer something for tech-hungry ASX investors willing to stomach a bit of volatility.

    The post Nextdc vs WiseTech: Which ASX tech stock is better for a 25 year old investor? appeared first on The Motley Fool Australia.

    Should you invest $1,000 in WiseTech Global right now?

    Before you buy WiseTech Global shares, consider this:

    Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and WiseTech Global wasn’t one of them.

    The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    And right now, Scott thinks there are 5 stocks that may be better buys…

    * Returns as of 1 August 2026

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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 positions in and has recommended WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. 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 draft. 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.

  • How I’ll find the best ASX dividend shares for 2027

    Elderly couple using laptop at home while drinking a cup of coffee.

    With 2027 approaching, I think now is a good time for income investors to start looking at which ASX dividend shares could deliver attractive income next year.

    There are plenty of companies offering generous dividend yields, but finding the best opportunities takes a little more work.

    Here is how I would approach the search.

    Start with the business

    The first thing I would look for is a business that can generate dependable earnings and cash flow.

    After all, dividends need to be funded by something.

    Companies with established market positions, consistent demand, and manageable debt are generally a good place to start.

    For example, Commonwealth Bank of Australia (ASX: CBA) has a substantial customer base across mortgages and deposits, helping it generate the profits needed to support regular dividends.

    Telstra Group Ltd (ASX: TLS) is another example, with its telecommunications services providing an established source of customer demand.

    I think businesses like these are worth considering because their underlying operations provide a reasonable foundation for future payouts.

    Of course, even strong companies can experience difficult periods, so I would still want to examine their financial position carefully.

    Look at where dividends are heading

    For 2027, I would pay particular attention to what analysts expect companies to earn and distribute over the next few years.

    A share offering a 6% yield today might look attractive, but that income becomes less impressive if profits are expected to fall and the dividend needs to be reduced.

    I would be more interested in businesses where earnings are forecast to grow and dividends could follow.

    I would also look at how much of those earnings are being paid to shareholders.

    A company distributing almost all its profits may have limited room to increase dividends, particularly if it needs to invest heavily in its operations.

    Ideally, I would want a business that can reward shareholders while retaining enough cash to support future growth.

    Consider the economic outlook

    The broader economy will also influence my choices. Interest rates, household spending, and commodity prices can all have a significant impact on company earnings and dividends.

    For example, higher interest rates can affect bank profitability in several ways, including lending margins, credit demand, and borrower stress.

    Meanwhile, mining companies such as BHP Group Ltd (ASX: BHP) can generate substantial dividends when commodity markets are strong, but those payouts can fluctuate considerably.

    I would therefore consider how each ASX dividend share might perform under the economic conditions we could face in 2027.

    Having income from businesses across several industries could also help reduce reliance on any single part of the economy.

    Find the right price

    Finally, I would consider the share price. A great dividend-paying company can still be a disappointing investment if investors pay too much for it.

    I would compare the forecast dividend with the current share price to understand the potential yield, while also considering whether the business offers reasonable value.

    Franking credits would be another factor for Australian income investors, depending on their individual circumstances.

    For me, the strongest candidates would combine an attractive starting yield with a realistic opportunity for that income to grow.

    Foolish takeaway

    I think the best ASX dividend shares for 2027 will be those with the financial strength to keep rewarding shareholders.

    A generous yield is certainly welcome, but I would be particularly interested in companies that can maintain their dividends through difficult conditions and potentially increase them over time.

    That is where I would begin my search.

    The post How I’ll find the best ASX dividend shares for 2027 appeared first on The Motley Fool Australia.

    Wondering where you should invest $1,000 right now?

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    Motley Fool contributor Grace Alvino has positions in Commonwealth Bank Of Australia. 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 BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.