Author: openjargon

The team at Shaw and Partners have used the recent reporting season as an opportunity to have another look at some of the companies they cover, with two in particular standing out as presenting some possible large upside.

Let’s have a look at the companies they like.

Beamtree Holdings Ltd (ASX: BMT)

Beamtree is a healthcare technology company which, in its own words, “applies deep clinical, coding and data expertise combined with AI to help hospitals and pathology labs improve clinical quality, coding accuracy, and reimbursement outcomes”.

The company said in a recent shareholder update that it had undertaken a strategic review which led to it refining its product mix, reshaping its cost base and strengthening its executive team.

The company added:

Going forward, we are focusing our investment on the products with strongest customer resonance, margin potential and capacity for innovation, namely our market leading Diagnostics product (Rippledown), our Coding solutions (PICQ and PICQ Audit, RISQ) and our Analytics platform. This year we are launching our Autonomous Coding Solutions (ACS) product and our Autonomous Data Entry (ADE) product with selected customers.

Shaw and Partners in its research note on the company said the company’s full year result of $29.2 million in revenue and negative EBITDA of $3.5 million was broadly as expected.

The broker said the business had a solid foundation to grow from, with execution now the key.

They have reduced their price target on the company from 30 cents to 25 cents, however this is still well above the current level of 10 cents.

NobleOak Life Ltd (ASX: NOL)

This small cap life insurance provider delivered a net profit of $14.1 million in FY26, up 98% while its in-force premiums grew 18% to $549.2 million.

The company’s Chief Executive Officer Anthony Brown said it was a good year, with the company achieving strong market share gains.

He added:

We are executing our growth strategy and during the year launched new partnerships and products including a new alliance with nib, one of Australia’s largest private health insurers, which is delivering encouraging early results and is expected to accelerate in FY27. Disciplined underwriting, ongoing investment in technology and AI, and a relentless focus on our customer continue to underpin our performance. As we transition from a Friendly Society to a Life Company, we are well positioned and well capitalised to deliver our next growth phase.

Shaw and Partners said NobleOak beat its guidance for both in-force premiums and underlying net profit.

The broker has a price target of $3 on the shares, compared to $1.23 currently.

The post 2 ASX small caps which could rise 140% to %150 appeared first on The Motley Fool Australia.

More reading

• 3 fantastic ASX ETFs for Aussie investors in September
• This ASX 200 stock has fallen 32% from its high. Is it finally cheap?
• Santos versus Woodside shares: Which ASX energy stock outperformed in August?
• Could this ASX tech company really rise 180%?
• Corporate Travel Management swings to profit as earnings jump in FY26

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 Beamtree. 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.

September could be a good time to look at where your portfolio is heading.

Not just next week or next month, but over the next five to ten years.

ASX exchange traded funds (ETFs) can be a good way to invest in long-term themes, quality companies, and entire sections of the market without having to pick every individual winner.

With that in mind, here are three fantastic ASX ETFs that could be worth a look in September.

Global X Artificial Intelligence ETF (ASX: GXAI)

The Global X Artificial Intelligence ETF could be an ASX ETF to consider for investors wanting exposure to the AI boom.

This fund gives investors access to companies involved in artificial intelligence and the technology that supports it.

That can include businesses linked to chips, cloud computing, software, automation, data infrastructure, and other parts of the AI ecosystem.

Another positive with the ETF is that it does not require investors to make a single call on which AI company will dominate.

That is important because the AI opportunity is large, but it is also moving quickly. Some winners today may not be the winners of tomorrow.

The Global X Artificial Intelligence ETF gives investors a way to back the broader theme while spreading the risk across a basket of companies.

VanEck MSCI International Quality ETF (ASX: QUAL)

The VanEck MSCI International Quality ETF takes a very different approach.

Rather than focusing on one fast-moving theme, this ASX ETF looks for international companies with quality characteristics.

That means businesses with strong profitability, healthy balance sheets, and stable earnings. This could be a smart way to invest globally.

The world is full of companies, but not all of them are worth owning. Some are highly cyclical, some carry too much debt, and some struggle to grow consistently. The VanEck MSCI International Quality ETF tries to tilt investors toward the stronger names.

This could make it a strong long-term holding for investors who want global exposure with a quality filter.

Betashares S&P/ASX Australian Technology ETF (ASX: ATEC)

A third ASX ETF to look at is the Betashares S&P/ASX Australian Technology ETF.

This fund gives investors exposure to Australian technology stocks.

The local tech sector is much smaller than the US market, but that does not mean it should be ignored.

Australia has produced some impressive technology businesses across software, online marketplaces, payments, data, and digital services.

The Betashares S&P/ASX Australian Technology ETF gives investors a way to gain exposure to this part of the ASX without needing to choose one company.

It can be volatile, especially when growth shares fall out of favour.

But if more of the Australian economy keeps shifting online and local technology companies continue expanding offshore, this ETF could have plenty of long-term potential.

The post 3 fantastic ASX ETFs for Aussie investors in September appeared first on The Motley Fool Australia.

More reading

• Want to invest in AI shares? Here’s how to do it on the ASX
• 2 top ASX shares to buy and hold for the next decade
• 3 growth focussed ASX ETFs that could beat the market in FY27
• 3 super ASX ETFs for beginner investors
• 2 amazing ASX ETFs I’d buy and hold for the next decade

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.

REA Group Ltd (ASX: REA) shares have had a rough 12 months, with the stock now trading well below the levels seen late last year.

The REA share price is down another 3.06% to $164.59 today, extending its 2026 decline to around 10%.

It’s also a long way from the 52-week high of $242.81. From that level, the stock has fallen around 32%, despite bouncing strongly from its June low of $131.07.

That recovery carried REA shares back above $180 in August, but some of those gains have since been given back.

With the valuation lower and brokers still seeing upside, investors may be wondering whether REA shares now look attractive again.

Citi becomes more cautious

One broker that isn’t getting too excited about the lower share price is Citi.

According to The Australian, analyst Siraj Ahmed has downgraded REA shares to ‘neutral’ after their recent rebound, although he lifted his price target by 4% to $191.30.

That still sits around 16% above the current share price.

Citi’s concern is that some of the value that appeared after the June sell-off has already disappeared. REA shares rallied more than 30% from their low, pushing the valuation higher again.

The broker is also worried about property listings, particularly with interest rates still a risk.

REA expects national buy listings to be flat to down by a low single-digit percentage in FY27. Citi is more bearish and is forecasting a decline of around 5%.

And with the stock trading at 30 times forecast earnings, Citi thinks there’s less room for things to go wrong if listings keep falling.

What are other brokers saying?

The wider broker view on REA shares is still fairly mixed.

According to TipRanks, 10 recent analyst ratings give the stock an average 12-month price target of $191.32.

That suggests potential upside of around 16% from the current share price.

The consensus includes 4 buy ratings, 5 holds and 1 sell.

Morgan Stanley is the most bullish with a $230 target, while Ord Minnett is close behind at $225.

Morgans has a $203 target, RBC Capital sits at $197 and Jefferies is at $195.

UBS is more reserved with a $177 target, while Macquarie is only slightly above the current share price at $170.

However, Bell Potter is the most bearish of the group, with a sell rating and $147 price target.

Are REA shares cheap yet?

REA shares are certainly a lot cheaper than they were, but that doesn’t automatically make them a bargain.

The business is still growing. FY26 core net profit rose 15% to $650.5 million, while the full-year dividend increased 20% to $2.97 per share.

But the broker targets show there is still plenty of debate over what investors should be willing to pay.

A lot will depend on whether REA can keep lifting revenue and margins if property listings weaken further.

The post This ASX 200 stock has fallen 32% from its high. Is it finally cheap? 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 positions in and has recommended Jefferies Financial Group. 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.

Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) shares were in focus in August as both S&P/ASX 200 Index (ASX: XJO) energy stocks reported their half year results.

Both companies also faced fluctuating oil and gas prices over the month.

The Brent crude oil price started August at around US$90 per barrel, falling to US$79 per barrel by 4 August amid promising Middle East peace negotiations. But as those negotiations faltered, oil marched higher again to end August right about where it started, at around US$90 per barrel, according to data from Bloomberg.

By market close on 31 August, one of the ASX 200 energy stocks had materially outperformed the 1.1% gains posted by the benchmark index over the month, while the other finished in the red.

Here’s what’s been happening.

Woodside shares slip in August

Woodside shares were the underperformers in August, closing the month down 1.6% at $32.42 apiece.

Woodside reported its half year results on 25 August.

Over the six months, the company raked in US$7.45 billion in operating revenue, up 13% year-on-year.

And on the bottom line, Woodside’s net profit after tax (NPAT) of US$1.67 billion was up 27%.

Despite the profit boost, the fully franked interim dividend of 79.5 cents a share was down 2.8% from last year.

That Woodside dividend is still up for grabs, by the way. But not for long. Woodside stock trades ex-dividend tomorrow, 3 September. So if you want to bank that passive income payout, you’ll need to own shares at market close today.

Woodside shares closed down 1.4% on day of the half year results release.

Santos shares outperform

Santos shares outpaced Woodside shares and the ASX 200 in August, gaining 3.8% over the month to close on 31 August at $8.14 apiece.

But Santos performance is actually better than this figure indicates.

That’s because Santos stock traded ex-dividend on 24 August.

So investors who held the stock on 21 August (a Friday) will be receiving that payout on 23 September.

If we add that 16.3 cent per share unfranked dividend back into the 31 August closing price, then the accumulated value of Santos shares gained 5.9% over the month just past.

Atop the dividend news, when Santos released its half year results on 19 August, the company reported a 2% year-on-year increase in sales revenue to US$2.62 billion.

And sales volumes increased by 1.7% to 48 million barrels of oil equivalent (mboe).

Investors also didn’t appear overly concerned about the 19% decline in Santos’ half-year statutory net profit after tax (NPAT), which declined to US$355 million.

Instead, investors look to be focused on the company’s growth potential as its major projects come on line and near completion.

The company provided full calendar year production guidance of 99 to 105 mboe.

Santos shares closed up 2.5% on day of the half year results release.

How have the ASX 200 energy stocks tracked in 2026?

As of early morning trade today, Santos shares are up 37.1% year to date.

Woodside shares have gained 42.1% so far in 2026.

The post Santos versus Woodside shares: Which ASX energy stock outperformed in August? appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Wednesday
• When to sell your ASX shares? Warren Buffett has 3 answers
• How much passive income can I earn off a $630,000 superannuation balance
• Santos shares rebound 8% in a month: Buy, sell or hold?
• Top 3 ASX dividend shares to buy before they go ex-dividend

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 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.

Hi-tech memory company Weebit Nano Ltd (ASX: WBT) posted a huge jump in net profit recently to a record $15.3 million, and the analysts at Pitt Street Research believe the shares are now in line for a rerating.

The profit was up 246% on FY25 and the company believes strong growth will continue due to the benefits of their ReRam technology.

Fast, efficient memory to drive revenue

Weebit Nano said in their recent profit report that AI, digitisation and “increasing intelligent electronics” were driving demand for faster, more efficient embedded memory.

The company said:

ReRAM is becoming the leading technology to succeed embedded flash in next‑generation semiconductor devices, combining the performance, scalability and manufacturability required for future applications. Weebit ReRAM delivers ultra‑low power consumption, fast access times, excellent endurance and long data retention, even at high temperatures and in harsh operating environments. It is highly scalable to advanced process nodes and supports emerging computing architectures, including AI applications. With qualified solutions available across multiple foundry platforms, Weebit ReRAM is well positioned for a broad range of automotive, industrial IoT, consumer and AI‑enabled devices.

Weebit Nano Chief Executive Officer Coby Hanoch said the company expected revenue of at least $7.1 million in the first half of FY27, up from $5.6 million in the previous corresponding period.

He added:

Weebit Nano has a large addressable market. We are currently the leading independent supplier that can support multiple foundries and their customers, while competing ReRAM technologies developed by some foundries, are generally available only to customers manufacturing within these foundries. We enter FY27 in a materially improved financial position, having successfully raised $102 million (including a Share Placement Plan) to cement our ReRAM leadership in the embedded NVM market and accelerate development of a solution for the In‑Memory Compute (IMC) domain.

Broker says this ASX tech stock is looking cheap

Pitt Street Research said in a note to clients this week that Weebit Nano was building strong traction in the analogue semiconductor market, “which we see as its “lowest-hanging” commercial opportunity, with two of its largest customers already in the space”.

The broker said analogue was just one of multiple large markets for the company.

They added:

The real inflection point, however, in Weebit Nano’s business model begins as royalty revenue starts to scale. Royalties carry very high incremental margins, meaning a greater share of each additional dollar of revenue should flow through to profitability. In our scenario analysis, we believe royalties could account for more than 30% of total revenue post-2030, as existing customers move into broader mass production.

Pit Street Research has a price target on Weebit Nano shares of $10.20, compared to $3.46 currently. The company is valued at $899.2 million.

The post Could this ASX tech company really rise 180%? appeared first on The Motley Fool Australia.

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• Weebit Nano FY26: Record revenue, new customer wins

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.

This week, Corporate Travel Management Ltd (ASX: CTD) posted its FY26 results, revealing a 36% lift in underlying EBITDA to $113.6 million and $17.7 million net profit after tax for FY26.

What did Corporate Travel Management report?

• Revenue and other income up 4% to $669.9 million
• Underlying EBITDA rose 36% to $113.6 million
• Net profit after tax (NPAT) of $17.7 million (improved from an FY25 loss of $348.5 million)
• Transaction volumes climbed 13% to 18.3 million
• $669 million in new business wins and $1.5 billion re-tendered or renewed
• Group liquidity supported by $106.9 million cash and new $175 million funding package

What else do investors need to know?

CTM made solid progress on resolving customer refund matters during the year, with around 78% of refunds now either agreed or close to being finalised. The business also continued to embed improvement initiatives in governance, risk management, and operational controls across its regions.

Results showed notable improvement in both Australia/New Zealand and Europe. ANZ revenue grew 6%, with a 53% jump in underlying EBITDA, while Europe delivered a turnaround, helped by new special project work and better contract terms. The company also finished the year with substantial cash reserves and recently secured an extra $175 million funding package to support ongoing operations and remediation.

The Whole of Australian Government Travel Arrangements audit found no evidence of widespread overcharging and highlighted robust program controls and a collaborative approach between CTM and government. The company also announced Stewart Harvey as its new CEO for UK/Europe, following an extensive recruitment process.

What did Corporate Travel Management management say?

Managing Director and CEO Ana Pedersen said:

FY26 represents an important step forward for CTM. We delivered a significant improvement in earnings and continued to maintain strong levels of client retention across our global operations. The strength of our customer franchise was evident throughout the year, with $669 million of new business wins and $1.5 billion of re-tenders and renewals secured across the Group. This demonstrates the confidence customers continued to place in CTM throughout FY26 and provides clear evidence of the quality of CTM’s customer service and value proposition. We also made substantial progress on customer remediation, with approximately 78% of refunds agreed or close to finalisation, supported by the recently announced $175 million funding package. While our earnings remain below historical levels and there is still work to do, FY26 demonstrates meaningful progress in stabilising the business, strengthening our foundations and positioning CTM for growth.

What’s next for Corporate Travel Management?

The company says trading in the first month of FY27 is broadly in line with expectations, with transaction volumes and TTV reflecting usual seasonal factors and client mix. Year-to-date, CTM has secured $178 million in new business wins and renewed key contracts, including with the UK Ministry of Defence.

The Board remains focused on finalising remediation activities, continuing to strengthen governance and control frameworks, and improving operating performance. Further insights and guidance are expected at the Annual General Meeting in November 2026.

View Original Announcement

The post Corporate Travel Management swings to profit as earnings jump in FY26 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 positions in and has recommended Corporate Travel Management. The Motley Fool Australia has positions in and has recommended Corporate Travel Management. 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.

September is here, and two ASX technology shares are high on my watchlist after recently reporting their FY26 results.

I think both still have substantial long-term opportunities ahead, although investors need to be comfortable with some uncertainty along the way.

Zip Co Ltd (ASX: ZIP)

Zip has become a much stronger business than the company investors may remember from the buy now, pay later boom.

The company finished FY26 with 6.5 million active customers and 97,400 merchants globally. Total transaction volume increased 27% to $16.7 billion, while cash EBTDA jumped 58% to $268.9 million.

For me, the important development is that rapid growth is increasingly being accompanied by stronger profitability.

The US opportunity remains especially exciting to me. Zip has been expanding beyond occasional discretionary purchases into areas such as health, education, transport, groceries, and other everyday spending. Customers are also using the service more frequently, while partnerships with businesses such as Stripe can put Zip in front of many more merchants.

This creates the possibility of Zip becoming a much more regular part of how customers manage short-term cash flow.

Credit quality will always be important, and consumer lending brings risks if economic conditions weaken. But Zip’s FY26 net bad debts remained well controlled at 1.8% of transaction volume.

I think the combination of US growth, improving profitability, and deeper customer engagement makes Zip an interesting September buy.

WiseTech Global Ltd (ASX: WTC)

I would also buy WiseTech shares in September.

There is still uncertainty around the integration of e2open, its newer commercial model, leadership changes, and how quickly some of its growth initiatives will deliver.

But I find its position within global logistics difficult to ignore. WiseTech’s software is used by more than 20,000 logistics companies across 193 countries. This includes 47 of the world’s top 50 third-party logistics providers and 24 of the 25 largest global freight forwarders.

I think that is an extraordinary position in an industry where moving goods internationally requires companies to handle customs, compliance, transport, warehousing, documentation, and countless other processes.

CargoWise sits deep inside those operations.

WiseTech also ended FY26 with 61 large global freight forwarder rollouts, while several contracted customers still have substantial volumes waiting to go live. I think that gives the company a strong foundation for further growth.

The e2open integration could expand WiseTech’s reach across the wider supply chain, while AI offers opportunities to automate more of the work its customers currently perform manually.

There is plenty to prove, but I am willing to accept some uncertainty when the underlying competitive position is this strong.

Foolish takeaway

Both ASX shares require investors to look beyond the next quarter.

Zip is showing that its US expansion can produce strong growth alongside improving economics, while WiseTech remains deeply embedded in an industry where its software can become increasingly valuable.

For investors prepared to tolerate some bumps, I think September could be a good time to take a closer look at both.

The post Why I think Zip and WiseTech shares could be buys in September appeared first on The Motley Fool Australia.

More reading

• Experts tip these $3 billion ASX shares to deliver over 75% returns
• WiseTech shares had their best month in a year. Is this a buying opportunity?
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• Short sellers are targeting these ASX shares. Should you worry?
• 5 things reporting season taught ASX investors about FY27

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 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.

A number of S&P/ASX 200 Index (ASX: XJO) shares could come under pressure on Wednesday.

A group of 12 ASX-listed companies are trading ex-dividend today, which means their share prices will no longer include the value of their latest payout.

That alone is expected to have a decent impact on the broader market.

According to The Australian, the combined ex-dividend moves could shave around 31 points from the ASX 200.

With futures already pointing lower, that could make market open look a little heavier than usual.

Here’s the shares investors will want to keep an eye on.

The ex-dividend moves to watch today

There are a few larger payouts sitting near the top of today’s list.

Sonic Healthcare Ltd (ASX: SHL) closed Tuesday at $19.64 and is trading ex-dividend for 63 cents per share. The payment is 60% franked and is due on 17 September.

Monadelphous Group Ltd (ASX: MND) is not far behind. Its shares closed at $28.78 before going ex-dividend for a 59-cent fully-franked payout.

Origin Energy Ltd (ASX: ORG) and Seek Ltd (ASX: SEK) also have decent-sized dividends dropping off today.

Origin’s 30-cent fully-franked dividend comes off an $11.70 closing share price, while Seek’s 25-cent fully-franked payment comes off a $14.32 close.

Furthermore, Newmont Corporation (ASX: NEM) closed at $176.04 and is trading without its 25.95-cent unfranked dividend.

More ASX shares joining the list

There are also several smaller payouts coming off the board as well.

Downer EDI Ltd (ASX: DOW) closed Tuesday at $6.55 and is trading ex-dividend for 16.3 cents per share. Steadfast Group Ltd (ASX: SDF) closed at $5.84 and is going ex-dividend for 12.75 cents.

Medibank Private Ltd (ASX: MPL) is also on the list. The shares closed at $4.81 on Tuesday, with a 10.9-cent dividend going ex today.

Among the miners, Yancoal Australia Ltd (ASX: YAL) is trading ex-dividend for 7 cents per share, and Whitehaven Coal Ltd (ASX: WHC) is doing the same for 6 cents.

PLS Group Ltd (ASX: PLS) is trading ex-dividend for 5 cents, with Karoon Energy Ltd (ASX: KAR) rounding out the group with a 1.2-cent payout.

All of the 7 dividends are fully franked.

Why today’s moves could be misleading

Keep in mind, trading ex-dividend does not automatically mean a stock will fall on the day. There’s still plenty happening in the broader market that can push shares either way.

Nonetheless, the ASX 200 futures are expected to open at a fall of around 0.9%.

The post Why these ASX shares are worth watching closely today appeared first on The Motley Fool Australia.

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• Top 3 ASX shares built for higher-for-longer rates
• Could this 7%-yielding ASX healthcare share be a growth winner?
• The average superannuation balance for 64 year olds in Australia in FY27
• 5 things to watch on the ASX 200 on Wednesday
• Buy, hold, sell: Greatland Resources, PEXA Group, Origin shares

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

Most ASX shares are hurt by rising interest rates, which is why it’s important to look at the exceptions to this rule.

Australia’s 10-year government bond yield climbed to around 5.19% on Tuesday.

That is its highest level in 15 years.

ANZ Group Holdings Ltd (ASX: ANZ) now expects the Reserve Bank to lift the cash rate to 4.60% in November.

A handful of listed businesses would quietly welcome that outcome.

Why some ASX shares benefit from higher rates

The mechanism is simple and frequently overlooked.

Insurers and financial administrators hold enormous pools of other people’s money between the day it arrives and the day it is paid out.

That money lies in cash and short-dated bonds, earning whatever the prevailing rate happens to be.

When rates rise, the income on those balances rises with them, while almost none of the cost base moves in sympathy.

1. QBE Insurance Group Ltd (ASX: QBE)

QBE is the clearest example on the local market.

The company’s first-half result delivered adjusted net profit after tax of US$1,033 million, up 4%, with gross written premium rising 10% to US$15.1 billion.

The combined operating ratio held steady at 92.8% and return on equity reached 17.7%, comfortably above the company’s medium-term target of 15%.

Management specifically flagged that an improving outlook for interest rates is expected to support investment returns.

The shares closed Monday at $22.48, up 4.51% over twelve months, on a price-to-earnings (P/E) ratio of 11.08 and a 5.06% yield.

Franking is only 30%, which matters a great deal for Australian income investors.

The interim dividend rose 6% to 33 cents per share.

2. Computershare Ltd (ASX: CPU)

Computershare earns margin income on the client balances it administers, which is the same mechanism.

FY26 revenue rose 4.6% to US$3,257.5 million and net profit after tax edged up 1.9% to US$618.7 million.

Employee Share Plans revenue grew 18%, Corporate Trust rose 9.6%, and Issuer Services added 7.7%.

The interesting part is in the outlook statement.

Management warned that margin income may be constrained by prevailing lower interest rates.

That guidance assumed rates were heading downward.

If bond yields at 15-year highs are telling us anything, the assumption now looks conservative.

The shares closed at $39.72 and have gained 18.54% so far this calendar year.

3. Medibank Private Ltd (ASX: MPL)

Medibank is the most defensive of the three.

Health insurers hold reserves against future claims, and those reserves earn more as yields rise.

FY26 underlying net profit after tax rose 2.9% to $636.8 million on revenue of $9,115.2 million, up 5.9%.

The fully-franked dividend increased 6.7% to 19.2 cents per share.

Chief executive David Koczkar was direct about the environment his customers are living in:

We continued to deliver value for the 6 million people who trust us with their health and wellbeing, as household budgets remain under pressure. Despite this, people continue to prioritise their health.

The shares closed at $4.81, down 3.61% over the year, on a fully-franked yield of 3.87%.

The risks facing these ASX shares

None of the three is a risk-free bet on interest rates.

QBE is an insurer, and a bad catastrophe season would overwhelm any investment income benefit.

Computershare’s core revenue depends on corporate activity, which tends to slow when rates rise.

Medibank faces regulated premium increases and rising claims costs, and its FY27 guidance is only for margins broadly consistent with FY26.

In each case, higher rates help the investment line while pressuring the customer.

Foolish takeaway

The case for these three ASX shares is not that they escape higher rates.

It is that higher rates arrive on the revenue side of the income statement rather than the cost side.

QBE offers the most direct leverage and the highest yield.

Computershare has the most conservative guidance to beat.

Medibank is the steadiest and the slowest growing of the three.

If the Reserve Bank does move in November, these are the ASX shares I would look to own.

The post Top 3 ASX shares built for higher-for-longer rates appeared first on The Motley Fool Australia.

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Motley Fool contributor Mark Verhoeven 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 gold price is well down on the highs it hit earlier in the year, but according to the analysts at RBC Capital Markets, the trend from here will be up.

RBC has issued a new research report on the yellow metal and says they remain bullish on its outlook.

Gold in focus as uncertainty reigns supreme

Gold tends to benefit from uncertainty, and with the war in the Middle East dragging on, the war in Ukraine, and US President Donald Trump’s ongoing trade wars, there’s plenty of uncertainty around.

RBC said investors are coming back into the market in a new wave of the “debasement” trade, which refers to a flight to hard assets.

The broker said:

Recent months have seen investors come back in size, which should drive north of 200 tons of inflows this year. Central bank flows in particular, after a pause earlier this year, are back too. We think their reasoning and volume will remain consistent for now, leading to over 700 tons of inflows this year and next.

The broker said President Trump’s popularity, or lack thereof, could also be key.

As they said:

While the macro drivers still cannot explain gold’s current prices on their own, gold’s reputation as a perceived haven, store of value, and non-debaseable real asset are very well suited to the current environment, in our view. Trump’s second term has brought with it numerous gold-positive risks and uncertainties, and we’ve cited a notable negative correlation between gold prices and Trump’s approval rating. We eye the upcoming midterms with anticipation, but at the moment, are focused on gold’s growing contextual appeal.

RBC also said the US national debt is a cause for concern, which helps to drive gold demand.

As they said:

Perhaps the biggest sustainable driver is one that the gold bugs have been holding onto for some time — that a mountain of debt in the US and elsewhere should drive more interest in non-debaseable assets like gold. Likewise, the uncertainty of geopolitics, politics, and headline-driven volatility across assets increases the appeal of a perceived safe haven and preserver or value like gold. That’s why we have stuck with our forecasts from late last year, despite a pause in some of the flows that were key underlying drivers of gold prices, because we still thought that the context of gold was unchanged.

Gold price to grind higher from here

RBC said they believe that US$4500 to US$5000 is the “sweet spot” for gold in the medium term, while “we are beginning to favour our high scenario, grinding towards US$5000/oz before year-end and higher in 2027”.

This compares to the current gold price of US$4485.10.

The post How high will the gold price go this year, according to RBC Capital Markets? 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 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.