Author: openjargon

ASX bank stocks tumbled in March as conflict in the Middle East intensified, inflation figures rose and the Reserve Bank hiked interest rates again.

After strong share price rallies last year, particularly from the big four major banks, there are now concerns that ASX bank shares are overpriced and overvalued.

Now it looks like the sector could be due for a sharp correction.

There is only one ASX bank stock I’d keep in my portfolio right now: Judo Capital Holdings Ltd (ASX: JDO).

Here are a few reasons why.

The ASX bank stock stands apart from the rest

Unlike the major Australian banks, Judo Bank provides tailored financial services and lending to small and medium enterprises (SMEs) with annual turnovers of up to $100 million. 

Its business lending starts at $250,000, and it also offers personal term deposit products and home loans.

The bank has a niche focus in the SME market, an area which is typically underserved by major banks. 

It also tends to earn higher margins on business loans versus the major banks. For example, for the first half of FY26, Judo reported a net interest margin (NIM) on its business loans of 3.03%, and this is projected to increase to 3.15% in the second half of the financial year. Meanwhile, major lender National Australia Bank, reported a NIM of 1.8% in the same period.

Momentum is strong

Judo Bank had a strong start to FY26. At its latest AGM, it said lending momentum was strong over the first quarter and that it’s confident it can achieve FY26 guidance of $180-$190 million. 

Guidance was confirmed again when it posted its first-half FY26 results in mid-February.

The bank posted a 32% hike in statutory NPAT to $59.9 million. Its profit before tax hiked 53% on the prior corresponding period, to $86.5 million and its cost-to-income ratio improved.

The bank also confirmed it had delivered above system growth in gross loans and advances, up 7% since June to $13.4 billion, and up 15% year-on-year.

The bank also said it expects operating leverage to improve further in the second half of FY26.

Analysts are bullish

At the time of writing on Wednesday morning, Judo Bank shares are 1.3% higher at $1.36 a piece. The shares have tumbled 18% over the past month, in line with the rest of the financial sector and other ASX bank stocks. Judo Bank shares are down 26% over the past year. 

Analysts aren’t concerned, though, and 12 out of 13 analysts still hold a buy or strong buy rating on the shares.

The average target price is $2.22, which implies a 63% upside at the time of writing. Some are even more bullish and expect the share price to jump 84% to $2.50 each.

The post This is the only ASX bank stock I’d keep in my portfolio appeared first on The Motley Fool Australia.

More reading

• Why experts think this ASX bank share can rise 58% in a year!
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• 2 ASX shares highly recommended to buy: Experts
• Forget CBA shares, this ASX bank stock is tipped to soar another 70%
• It could be time to buy low on these ASX financials stocks

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 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.

It’s another big day for shareholders in this $5 billion ASX energy stock.

Paladin Energy Ltd (ASX: PDN) is surging 6.7% to $11.79 during Wednesday morning trade, adding to what has already been a stunning run. Over the past 12 months, Paladin shares have skyrocketed around 185%, massively outperforming the broader S&P/ASX 200 Index (ASX: XJO).

So, what’s behind the latest move?

Legal action Canadian project

First, a quick refresher. Paladin Energy is a uranium producer that focusses on supplying nuclear fuel for power generation. With nuclear energy gaining traction globally as a low-carbon solution, uranium stocks like Paladin have been in strong demand.

Now to the latest update — and it’s not what you might expect.

Paladin revealed that the Métis Nation–Saskatchewan has launched legal action over the approval of the Environmental Impact Statement for its Patterson Lake South project in Canada. The challenge relates to a decision made on 19 February 2026 by the Saskatchewan Minister of Environment.

The Métis Nation–Saskatchewan has also sought an interim injunction. This would potentially block the ASX energy stock from acting on the approval until the judicial review is resolved.

Importantly, the announcement didn’t include any financial results or immediate operational impacts.

Investors ignoring legal noise

The market may be looking through the legal noise for now.

Paladin emphasised its long-standing engagement with Indigenous communities, noting that its Canadian subsidiary has consulted with the Métis Nation–Saskatchewan for many years as part of the project’s development.

The company also acknowledged the importance of Indigenous rights and stated it will continue working collaboratively with stakeholders.

At the same time, management of the ASX energy stock made it clear it intends to defend its position.

While the legal process could affect project timelines depending on the outcome, there’s no immediate change to operations — and that may be reassuring investors.

What next for the ASX energy stock?

Looking ahead, the company will respond to the judicial review as it moves through the Saskatchewan courts. Updates on the legal proceedings, as well as progress at the Patterson Lake South project, are expected in due course.

Stepping back, the share price momentum of this ASX energy stock highlights just how strong sentiment remains in the uranium sector. Even with potential regulatory hurdles, investors appear focused on the bigger picture — rising global demand for nuclear energy.

Over the past 12 months, Paladin Energy shares have risen 185%, outperforming the ASX 200 Index which has risen 9% over the same period.

The bottom line? This ASX energy stock continues to charge higher, and for now, investors seem willing to brush off near-term uncertainty in favour of long-term growth potential.

The post Why is this ASX energy stock racing 7% higher today? appeared first on The Motley Fool Australia.

More reading

• Paladin Energy shares: Judicial review challenges EIS approval
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today
• Why ASX uranium shares like Paladin and Boss Energy could be set to rocket

Motley Fool contributor Marc Van Dinther 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.

Dateline Resources Ltd (ASX: DTR) shares are under pressure on Wednesday after the company announced another major capital raise.

In morning trade, the Dateline share price is down 4.40% to 43.5 cents.

Despite today’s decline, the stock remains up almost 100% in 2026, continuing one of the strongest runs in the ASX resources space this year.

The move suggests some investors are locking in gains after the rally, while the market waits for the next major development milestone.

Fresh funding pushes Colosseum closer

According to its ASX announcement, Dateline has completed a $50 million placement at 40 cents per share. This involves the issue of 125 million new shares, equal to roughly 3.3% of its enlarged capital base.

More than 95% of the funds came from institutional investors.

This level of support points to strong backing for its Colosseum gold and rare earths project in California.

The new capital will be directed toward enabling and site development works, procurement of key processing infrastructure, final optimisation workstreams, and the equity component required for a future project finance facility.

The funding keeps Dateline ahead of the financing curve and gives it more flexibility as it moves closer to production.

Managing director Stephen Baghdadi said:

This raise drew strong support from high-quality institutional investors, a clear endorsement of what Colosseum represents.

He noted the company is already advancing multiple work fronts so the project can move quickly once the feasibility study is complete.

Why the market may be selling anyway

Today’s weakness appears to reflect profit taking rather than the update itself.

Dateline shares have had an extraordinary run, with the stock up more than 10,000% over the past 12 months and almost doubling since the start of 2026.

Following a move of that size, positive funding news can still lead to short-term selling as traders lock in gains.

The 40-cent issue price may also be acting as a reference point, particularly with the stock trading only modestly above that level before the trading halt.

Dateline is now entering the final stages of its bankable feasibility study (BFS) with approximately $96 million in cash.

The Colosseum BFS is due this month, with wastewater planning and updated cost assumptions among the final items being worked through.

Foolish takeaway

Today’s fall does not appear to reflect any deterioration in Dateline’s project outlook.

The company now carries a market capitalisation of roughly $1.58 billion, which leaves plenty riding on the upcoming BFS.

After the stock’s strong run, investors may prefer to wait for the final Colosseum BFS before deciding if there’s still valuation upside.

The post This ASX mining stock just banked $50 million. So why are its shares falling? appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras 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.

Canaccord Genuity has named its three top picks for ASX 200 stocks which it believes will do well, should the US de-escalate the war with Iran in coming weeks, which it thinks is the most likely outcome.

Both the S&P/ASX 200 Index (ASX: XJO) and the gold price have been weaker since the start of the war in late February, which can present a buying opportunity.

Volatility remains

The Canaccord team does say to proceed with caution however.

They said in a research note to clients this week:

With the US appearing to now be actively seeking an off-ramp, our central case continues to be that a resolution to the conflict will be struck over the coming weeks. However, the risk of an escalation in hostilities and more prolonged conflict is still a scenario that needs to be factored into the investment strategy equation. We remain well diversified given elevated levels of uncertainty; however, we are not bearishly positioned.

On the interest rates front, Canaccord said the recent, second rate rise in Australia, “with a bias to do more”, increases the risk of a sharper slowdown in growth later this year.

They said further:

Higher interest rates will weigh on consumption and business confidence, while global uncertainty linked to geopolitical tensions also threatens to dampen external demand over coming months. Governor Bullock acknowledged that a recession is not the Bank’s central case and certainly not its objective but cautioned that failing to bring inflation under control would ultimately be more damaging to employment and long-term growth.

In terms of the equities they think could recover well in the case of the war scaling back, Canaccord has picked two miners and a financial company.

Evolution Mining Ltd (ASX: EVN)

Canaccord said that Evolution offers “clean leverage” to a recovery in the gold price, and to a lesser extent copper, underpinned by its “best in class” operational delivery.

They went on to say:

Gold has pulled back sharply on higher real yields, USD strength, and liquidity-driven selling, with investors using it as a source of funds during recent volatility, creating a dislocation between price and medium-term fundamentals. Importantly, we remain constructive over the medium term, with key structural tailwinds intact, including longer-term USD debasement and strong central bank demand. As liquidity pressures ease and positioning normalises, gold should recover, with EVN providing leveraged exposure. Iran de-escalation represents a key near-term catalyst for a recovery in gold.

Sandfire Resources Ltd (ASX: SFR)

Canaccord said as the ASX’s largest copper-focused miner, Sandfire provides clean leverage to a recovery in copper.

They add:

The industrial metal has pulled back on cyclical growth concerns linked to the Iran conflict, creating an attractive entry point for investors willing to look through near-term uncertainty. While cyclical demand risks remain, structural drivers (EVs, energy storage, renewables) and a tight supply backdrop support a constructive medium-term outlook. Copper appears well placed to rebound over the coming months, assuming no prolonged escalation in Iran (not our base case), with Sandfire providing leveraged exposure

Pinnacle Investment Management Group Ltd (ASX: PNI)

Canaccord said the recent pullback in Pinnacle mshares represents an attractive entry point for investors looking to position themselves for a broader equity market recovery.

They say the recent weakness in the shares reflects its leverage to the broader equity market, alongside concerns around private credit.

Canaccord says the company remains a “compelling medium-term proposition, given its diversified stable of affiliates with strong funds under management growth prospects”.

The post Three ASX 200 stock picks to consider now, to drive gains as markets and the gold price recover 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 Pinnacle Investment Management Group. The Motley Fool Australia has positions in and has recommended Pinnacle Investment Management Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Perenti Ltd (ASX: PRN) shares are pushing higher on Wednesday after releasing a fresh market update before the open.

In morning trade, the Perenti share price is up 5.13% to $2.05, extending what has already been a strong 12 months for the mining services stock.

Even after a volatile start to 2026, Perenti shares are now up more than 50% over the past year, comfortably outperforming many sector peers.

Here’s what appears to be driving the latest move.

New CEO brings deep global mining leadership

According to the release, Perenti has appointed Dr Vanessa Torres as its new managing director and CEO.

She will succeed current chief executive Mark Norwell, with the transition following the process previously outlined to shareholders at the company’s AGM.

Torres most recently served as chief operating officer at South32 Ltd (ASX: S32) and brings more than 25 years of mining and resources leadership experience.

Her background includes senior executive roles across BHP Group Ltd (ASX: BHP), Vale, and South32, spanning operations, logistics, strategy, project delivery, and technology leadership.

Perenti said Torres will commence with the company on 13 April and formally take over as managing director and CEO on 1 June 2026.

Board points to next growth phase

Chair Diane Smith-Gander said the board ran a rigorous international search process and focused on appointing a leader who could build on the group’s existing momentum.

She said the board believes Torres is “a highly accomplished executive” with the strategic capability and operational experience to lead Perenti’s next phase of growth.

Smith-Gander also thanked outgoing CEO Mark Norwell for his contribution since 2018, noting he helped deliver material improvements in financial metrics and helped build the group’s diversified portfolio.

Torres also said she was honoured to be appointed and looked forward to working with the board and management team to continue Perenti’s development and deliver long-term value for clients, people, communities, and shareholders.

Foolish takeaway

Leadership changes can sometimes create uncertainty, but Perenti’s planned succession process and the experience Torres brings should support continuity across the business.

Perenti remains a diversified mining services group spanning contract mining, drilling, mining services, and technology solutions. This gives it broad exposure to gold, copper, iron ore, and other major commodities.

The company has a market capitalisation of roughly $1.92 billion.

Perenti is also entering the leadership change after a period of improving earnings and disciplined capital management.

The focus now shifts to how the new leadership team delivers from here.

The post Why this ASX 200 stock just jumped 5% on Wednesday appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Wednesday
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Motley Fool contributor Aaron Teboneras 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 S&P/ASX 200 Index (ASX: XJO) is up 1.7% in late morning trade today, with most ASX 200 tech stocks racing ahead of those gains.

Indeed, the S&P/ASX All Technology Index (ASX: XTX) – which also contains some smaller tech companies outside of ASX 200 tech stocks – is up a blistering 3.0%.

Here’s how these top Aussie tech companies are tracking at this same time:

• Shares in cloud-based software solutions provider WiseTech Global Ltd (ASX: WTC) are up 2.6% trading for $39.01each
• Shares in software-as-a-service provider Technology One Ltd (ASX: TNE) are up 2.5% trading for $27.51 each
• Shares in data centre operator NextDC Ltd (ASX: NXT) are up 3.5% trading for $11.72 each
• Shares in location sharing software developer Life360 Inc (ASX: 360) are up 6.2% trading for $19.93 each
• Shares in accounting software provider Xero Ltd (ASX: XRO) are up 2.2% trading for $76.80 each

So, after a tough run in 2026 that still sees all of the above stocks in the red year to date, why are investors piling into the Aussie tech space today?

ASX 200 tech stocks leap on peace hopes

ASX 200 techs stocks are following US stock markets higher today as investors eye a potential near-term end to the Iran war.

Overnight the S&P 500 Index (SP: .INX) closed up 2.9% while the tech heavy Nasdaq Composite Index (NASDAQ: .IXIC) ended the day up a whopping 3.8%. AI chip making giant Nvidia Corporation (NASDAQ: NVDA) helped boost the index, closing up 5.6%.

Investor hopes for peace in the Middle East were stirred after US President Donald Trump said his nation will complete its military campaign in Iran in the next two to three weeks. Trump said the situation in the Strait of Hormuz would then resolve itself.

With Iranian leaders also reported to be calling for a rapid end to the war, rather than a just a ceasefire, the Brent crude oil price declined 3.2% overnight to US$104 per barrel.

If energy prices continue to decline, that would ease the building inflationary pressure that threatens to unleash interest rate increases from central banks across the globe.

ASX 200 tech stocks, often priced with future earnings in mind, have proven to be highly sensitive to interest rate moves.

What are the experts saying?

Commenting on the big move higher the stock markets, FBB Capital Partners’ Michael Bailey said (quoted by Bloomberg), “Markets have taken it on the chin for over a month and expectations may have hit a low enough point that any glimmer of hope is now much more valuable.”

Bloomberg strategists cautioned that investors, including those bidding up ASX 200 tech stocks today, could be getting a bit ahead of themselves.

The strategists noted:

The euphoria on Tuesday around Iran signalling a willingness to end hostilities looks a touch premature. Much hinges on what Tehran defines as ‘essential guarantees’ – particularly if they mirror the conditions outlined in its response to the US ceasefire proposal, which could prove a high bar for Washington to meet.

Stay tuned!

The post Why are ASX 200 tech stocks like WiseTech and Life360 going gangbusters on Wednesday? appeared first on The Motley Fool Australia.

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• Is this smashed ASX tech stock gearing up for a hefty comeback?
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• Xero, WiseTech shares jump higher today: Is this the beginning of a rebound?
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• Bullish on artificial intelligence? Here are 3 ASX shares I’d buy

Motley Fool contributor Bernd Struben 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 Life360, Nvidia, Technology One, WiseTech Global, and Xero. The Motley Fool Australia has positions in and has recommended Life360, WiseTech Global, and Xero. The Motley Fool Australia has recommended Nvidia and Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Shares in Arafura Rare Earths Ltd (ASX: ARU) are trading higher after the company announced two major equity investments, which will raise $230 million in new capital.

Government agencies taking a stake

In a statement lodged with the ASX on Wednesday, the company said that Export Finance Australia would subscribe for US$100 million in new equity in Arafura, which is developing the Nolans Rare Earths Project in the Northern Territory.

The German Raw Materials Fund (GRMF) would also subscribe for about $84 million in new equity.

Arafura said the new equity funding built on a “transformational” $481 million equity raising completed in the fourth quarter of 2025, and a binding term sheet signed with Australia’s National Reconstruction Fund Corporation for $200m of convertible notes.

The company said further:

The execution of these binding cornerstone agreements is consistent with Arafura’s previously announced equity funding strategy, targeting cornerstone investment from government-seeded critical minerals funds, customers and other strategic investors, and follows the previous announcement of non-binding arrangements with the German Raw Materials Fund and Export Finance Australia. This strategy, together with the binding $200 million commitment from the National Reconstruction Fund Corporation (NRFC), significantly de-risks the equity funding required for the development of the Nolans Rare Earths Project.

The company said the new and existing funding commitments came to a total of $911 million.

New supply chains critical

Arafura said in its statement to the ASX that the investment from the German fund showed the strategic importance of countries diversifying their critical minerals supply.

Arafura added:

The Nolans Project has demonstrated clear alignment with the GRMF’s objectives through its binding offtake agreement with Siemens Gamesa Renewable Energy for the supply of NdPr to be used in the manufacture of permanent magnets for offshore wind turbines assembled at their Cuxhaven facility in Germany. Arafura continues to engage with prospective European offtake partners regarding securing an additional 500tpa.

Arafura will call a general meeting of shareholders to ratify the new equity issuance.

Arafura Managing Director Darryl Cuzzubbo said regarding the new developments:

Today marks a transformational milestone for Arafura and the Nolans Project. The execution of binding equity subscriptions from these two government agencies is a powerful endorsement of the strategic importance of Nolans to western supply chains. This outcome is consistent with our long-stated equity funding strategy of partnering with government-seeded critical minerals funds, customers and strategic investors who share our vision for developing a reliable, and diversified source of rare earth supply. With the support of our shareholders and incoming cornerstone partners, we are now firmly positioned to finalise our equity funding package and deliver Australia’s first fully integrated ore-to-oxide rare earths operation.

The issue price of the new equity will be 24.47 cents per share.

Arafura shares were 3.5% higher in early trade at 29 cents. The company is valued at $1.31 billion.

The post Which ASX rare earths company’s shares are trading higher on new funding news? appeared first on The Motley Fool Australia.

More reading

• Three ASX 200 stock picks to consider now, to drive gains as markets and the gold price recover
• Why this ASX 200 stock just jumped 5% on Wednesday
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• 3 reasons why the Rio Tinto share price could be a buy
• Why this ASX giant’s shares just hit the accelerator today

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 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 Rio Tinto Ltd (ASX: RIO) share price has seen plenty of volatility, but despite the recovering valuation it could still be an underrated buy.

The ASX mining share does not produce oil or LNG, but the Middle East impacts may well have an effect on Rio Tinto’s earnings.

I think the market may be underestimating the company for the following reasons.

Electrification commodities

The business has worked hard at building its exposure to both copper and lithium in the last few years, which may turn out to be a very smart move.

The last year and a half has seen the world, particularly the US, move away from efforts to electrify (and decarbonise). However the last several weeks has shown how petrol/diesel-powered vehicles are exposed to fuel supply and potential problems that can occur when there’s uncertainty relating to Russia or the Middle East.

Copper and lithium are essential for things like electric cars, electric trucks, large-scale batteries, renewable energy and so on. The Middle East events could certainly increase demand for electrification commodities.

I think Rio Tinto’s strategic moves here will bear significant financial fruit for the company over the next few years.

Aluminium

Rio Tinto may be best known as an iron ore and copper miner, but there are other commodities in its portfolio that do play an important part. Aluminium is one of the resources that the ASX mining share also produces.

Unfortunately, the ongoing conflict has led to a number of commodity infrastructure assets being targeted in the Middle East. Perhaps surprisingly, the Middle East is an important source of aluminium, producing around 9% of the global supply.

Not only have the Middle East nations not been able to ship their commodities out of the Strait of Hormuz, but production facilities were recently hit.

Aluminium Bahrain runs one of the world’s largest smelters, but was recently hit in a Iranian strike, while another large aluminium producer in the UAE was also hit.

The aluminium price reportedly jumped 6% after these developments. Rio Tinto’s operations will play an important role in continuing to supply the world with aluminium in the coming months and years.

Iron ore

The final area I want to highlight is iron ore, which has seen the iron ore price increase to US$106 per tonne.

That’s certainly not the highest price it has been this decade, but it’s a lot stronger than what analysts were expecting.

If the high cost and diesel (and reduced availability) increases production costs, then it could lead to a reduction in global production and provide further support to the iron ore price.

In the longer-term, there is a possibility that increased production from Africa could be a headwind for the iron ore price. While that wouldn’t be a boost for Rio Tinto, the ASX mining share is a key component of the African iron ore supply because it’s a major shareholder in the new Simandou mine.

In other words, Rio Tinto’s iron ore earnings could remain strong and continue making good profit.

While this isn’t necessarily the best time to invest in the Rio Tinto share price because it’s already up 32% in the last six months, I think its earnings remain on a good trajectory, and may be underrated by the market.

The post 3 reasons why the Rio Tinto share price could be a buy appeared first on The Motley Fool Australia.

More reading

• ASX 200 mining shares ride a rollercoaster in March quarter
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• Here are the top 10 ASX 200 shares today
• Why are Australian aluminium shares charging higher today?
• ASX 200 mining shares rebound after March sell-off creates opportunities

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 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.

Shares of Eagers Automotive Ltd (ASX: APE) are gaining ground on Wednesday after the company released a major strategy update before the market open.

In morning trade, the Eagers share price is up 5.16% to $23.66, extending what has already been a strong 12 months for the automotive retail giant.

Over the past year, the stock has climbed more than 50%, comfortably outperforming both its sector and the broader S&P/ASX 200 Index (ASX: XJO).

The latest gain comes after management outlined another expansion move.

Let’s take a closer look.

New Australian deals add scale in key metro markets

According to the announcement, Eagers has moved on two new growth initiatives in Australia.

The first is a strategic 49% investment in Grand Motors Group, a multi-brand dealership portfolio spanning the Gold Coast and metro Sydney. The assets include Grand Motors Toyota on the Gold Coast, Ryde Automotive Group in Sydney covering Mazda, Subaru, and Kia, and Northshore BMW and Mini.

The portfolio generates around $490 million in annual revenue, includes six leading brand partners across 11 locations, and sells roughly 6,100 new vehicles per year.

Eagers said the transaction is expected to complete by the end of June 2026, subject to OEM, finance, and landlord approvals.

The second deal expands its Audi footprint in Victoria through the acquisition of Audi Centre Melbourne and Audi Richmond from Zagame Automotive Group.

Those dealerships generated around $140 million in annual revenue and approximately 1,100 new vehicle sales over the past 12 months. The deal also increases Eagers’ exposure to Melbourne’s premium vehicle segment.

Management says the growth pipeline remains active

Chief executive Keith Thornton said the latest acquisitions reflect the company’s disciplined expansion strategy.

He said:

The acquisition of these high-quality dealerships demonstrates the opportunities for Eagers to continue to grow in the Australian market and we are delighted to strengthen our representation with these global brand partners.

Thornton also pointed to the Grand Motors partnership model as another example of how Eagers is using scale and shared operating platforms to grow through aligned retail partners.

Management also said the much larger CanadaOne Auto investment continues to progress toward completion in Q2 2026 after originally being targeted for Q1.

That transaction remains central to the group’s international expansion plans and gives it a pathway into the Canadian dealership market.

With local acquisitions continuing and the CanadaOne deal moving closer, today’s share price move suggests investors are backing Eagers’ ability to keep growing beyond its already dominant Australian footprint.

Foolish takeaway

The update shows Eagers is still finding ways to expand across attractive metro markets even from an already strong base.

The new Australian deals add more revenue and premium brand exposure, while CanadaOne remains a larger international opportunity still moving toward completion.

After a strong run over the past year, today’s share price gain suggests investors remain supportive of the company’s expansion plans.

The post Why this ASX giant’s shares just hit the accelerator today appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Is this red-hot ASX 200 stock a buy after tumbling 18%?
• Top brokers name 3 ASX shares to buy today
• Guess which ASX 200 stock was just upgraded by a leading broker
• 5 things to watch on the ASX 200 on Wednesday

Motley Fool contributor Aaron Teboneras 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 Eagers Automotive Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If you are looking for exposure to the rebounding tech sector, then it could be worth considering the ASX 300 stock in this article.

That’s the view of analysts at Bell Potter, who have named it as one of their top picks in the sector.

Which ASX 300 tech stock?

The stock that Bell Potter is recommending to clients is Catapult Sports Ltd (ASX: CAT).

It is a leading global provider of wearable tracking solutions for professional athletes.

Bell Potter notes that its key target market is elite sporting teams and organisations and the acquisition of SBG in 2021 also now gives the company a presence in motorsports.

This is a big market. It highlights that the pro sports technology market is currently valued at US$36 billion and is forecast to double to US$72 billion by 2030.

What is the broker saying?

Bell Potter notes that Catapult released its investor day update this week and was relatively pleased with it. It said:

We have made further adjustments to our Catapult forecasts following the analyst day yesterday. The two key changes are: 1. Increasing our SBP forecasts from US$23.5m to US$26.0m in FY26 and US$30.0m to US$35.0m in FY27 (no change in FY28); and 2. Increasing our D&A forecasts by US$1.0m, US$3.1m and US$3.3m (or 3%, 7% and 7%) in FY26, FY27 and FY28 due to higher amortisation of acquisition intangibles related to IMPECT than we had originally forecast.

The net result is no change in our management EBITDA forecasts, downgrades of 20% and 24% in our statutory EBITDA forecasts in FY26 and FY27 and downgrades in our statutory NPAT forecasts (which are already losses). We note that the downgrades are all non-cash and our cash flow forecasts are little changed.

Positive outlook

Overall, Bell Potter remains very positive on the ASX 300 tech stock’s outlook and believes that management’s bold growth targets are achievable. It concludes:

The other key take-out from investor day is that the medium-term targets remain on track and the outlook remains positive. The key target is ACV of US$200m+ in “2-3 years” which in theory will be achieved by reaching 5k pro teams (vs c.4k now) and ACV per pro team of c.US$40k (vs c.US$30k now). The key to achieving this ACV target will be the increase in ACV per pro team which will require both an increase in the number of multi-solution teams and the average number of solutions per team.

Both of these look well achievable with Catapult highlighting that c.27% of its pro team customers now taking more than one solution – versus just c.14% in FY23 – and the number of solutions has increased significantly over the past few years from both investment in new products (like Vector Core) and acquisitions (like SBG, Perch and IMPECT). We forecast Catapult to reach ACV of US$200m+ in FY29 – our forecast is US$207m – so our forecasts are consistent with the medium-term target.

In light of this, it has retained its buy rating and $4.75 price target on Catapult’s shares. Based on its current share price of $3.44, this implies potential upside of 38% for investors over the next 12 months.

The post Tech rebound: Bell Potter says this ASX 300 stock is a top buy 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 positions in and has recommended Catapult Sports. The Motley Fool Australia has positions in and has recommended Catapult Sports. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.