Author: openjargon

Appen Ltd (ASX: APX) shares are getting hit hard on Thursday after the company released its latest quarterly update.

At the time of writing, the Appen share price is down 28.06% to $1.115.

That is a brutal drop in a single session, especially when you consider the stock is still up around 40% in 2026.

Here’s what spooked investors.

Early signs of growth are starting to show

Looking at the numbers, there are some encouraging signs starting to come through.

Appen reported revenue of $54.8 million for the March quarter, which is up 9% on the same period last year. That follows a long run of declines and is an early sign things may be stabilising.

Profitability also moved in the right direction. The company posted underlying EBITDA of $1 million, compared to a $1.5 million loss a year ago, showing some early improvement as activity picks up.

That said, margins are still under a bit of pressure. Gross margin slipped to 36.5%, down from 37.4% last year, which means cost pressure has not eased yet.

China is doing the heavy lifting

When you dig a little deeper, there’s a clear split between the regions, and it explains a lot.

Appen’s China business is already its largest and is clearly where the momentum is right now.

Revenue there jumped 88% to $34.9 million, driven by demand tied to generative AI projects. The business also exited the quarter with an annualised run rate above $144 million.

Earnings followed the same trend, with China delivering $5.2 million in EBITDA for the quarter. That’s a solid improvement and gives a better sense of how the business looks when demand is there.

But outside the Asian giant, things are still uneven.

The Appen Global segment saw revenue fall 37% to $19.9 million, reflecting the stop-start nature of project work. It also posted an EBITDA loss of $3.1 million, which weighed on the overall result.

No changes to outlook disappoints the market

Another piece that likely didn’t help is the outlook.

Appen kept its FY26 guidance unchanged, with revenue expected to land between $270 million and $300 million. Underlying EBITDA margins are expected to sit between -5% and -10%.

There were no upgrades to reflect the stronger China performance, which may have caught some investors off guard given the recent run in the share price.

Cash flow pulls back from last quarter

On the balance sheet side, Appen finished the quarter with $59 million in cash, down slightly from $59.8 million at the end of December.

Operating cash flow also came in lower at $3.8 million, compared to $14.7 million in the prior quarter, largely reflecting typical seasonal patterns.

Foolish takeaway

There are some better numbers in here, but I am not convinced the turnaround is locked in yet.

Right now, the China business is doing most of the work, and that leaves the overall result feeling a bit one-sided.

Until the global segment starts to stabilise, it is hard to get too confident in the recovery.

I would be watching this from the sidelines for now.

The post Why Appen shares just crashed 28% despite a return to growth appeared first on The Motley Fool Australia.

More reading

• Why Appen, Catalyst Metals, South32, and Woolworths shares are sinking today
• 3 under-the-radar ASX AI shares that could be the next WiseTech
• ASX 200 tech shares rocket 13% as long-awaited sector rebound accelerates

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 Appen. 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.

Not every stock that falls 50% is a bargain. 

Some deserve the decline. But occasionally, the market becomes overly focused on near-term issues and loses sight of the bigger picture.

These two ASX 200 shares stand out to me right now for that reason.

WiseTech Global Ltd (ASX: WTC)

WiseTech is a stock that has gone from market darling to heavily scrutinised.

The share price has pulled back 50% from its high, and I think a lot of that comes down to concerns around growth, acquisitions, and how artificial intelligence (AI) could reshape the software landscape.

But when I look at the business itself, I still see an ASX 200 share with a very strong position.

CargoWise remains deeply embedded in global logistics workflows, and that is not something that is easy to replace. Once systems like this are integrated, switching becomes complex and risky for customers.

What I find particularly interesting is how management is leaning into AI rather than being threatened by it. The company is actively embedding AI into its platform to improve automation, productivity, and customer outcomes.

At the same time, it is shifting its commercial model toward transaction-based pricing, which I think could better align revenue with customer value over time.

There are also signs that the business continues to grow, with revenue and EBITDA both increasing, even if margins have been impacted in the short term.

For me, this looks like a company going through a transition rather than one that is losing its edge. If it executes well, I think the current weakness could prove to be an opportunity.

Treasury Wine Estates Ltd (ASX: TWE)

Treasury Wine Estates is a very different type of story.

The share price has been under pressure for some time and is down 50% over the past year. Sentiment has clearly been weak, but I think there are early signs that the business is starting to stabilise.

Its recent update suggests that underlying demand is improving in key markets, with depletions returning to growth in areas like the US and continuing to perform strongly in China.

I think this is important. This is a business that has been working through a transformation, and improving sales momentum is often one of the first signs that things are heading in the right direction.

There are also structural changes underway. The company is moving to a new regional operating model designed to improve execution and simplify the business.

At the same time, it continues to focus on its premium and luxury brands, particularly Penfolds, which still appears to be performing well.

I think this looks like a turnaround story that could be in the early chapters, but has the potential to be very rewarding for patient investors.

Foolish takeaway

Both WiseTech and Treasury Wine Estates have fallen a long way from their highs, and in both cases, there are valid reasons for that.

But I think the key question is whether their long-term positioning has fundamentally changed.

Right now, I do not think it has.

WiseTech still looks like a leader in a complex, global industry, while Treasury Wine Estates appears to be making progress in stabilising and reshaping its business.

For investors willing to look beyond short-term uncertainty, I believe both could be worth considering at these levels.

The post 2 ASX 200 shares down 50% that I would buy today appeared first on The Motley Fool Australia.

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• 1 ASX dividend stock down 50% I’d buy

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 Treasury Wine Estates and WiseTech Global. The Motley Fool Australia has positions in and has recommended Treasury Wine Estates and WiseTech Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

It’s been another red opening for the S&P/ASX 200 Index (ASX: XJO) today. 

However, two ASX 200 stocks that are bucking the trend and charging higher are Yancoal Australia Ltd (ASX: YAL) and Regis Healthcare Ltd (ASX: REG). 

At the time of writing, Regis Healthcare shares are almost 7% higher on Thursday, while Yancoal shares are rising 4%. 

Why are these ASX 200 stocks rising?

It seems investors are scooping up Regis Healthcare shares this morning after the company announced that FY26 underlying EBITDA is expected to be about $135 million, hitting the top end of its guidance amid strong occupancy across its mature homes.

As The Motley Fool’s Laura Stewart reported earlier today, Regis Healthcare announced: 

• FY26 underlying EBITDA expected to be approximately $135 million
• Average Q3 FY26 occupancy in mature homes reached 95.9%, up on the prior period
• Net refundable accommodation deposit (RAD) inflows of $223 million year to date (March FY26)
• Total paid-up RAD balance at $2.3 billion as at 31 March 2026
• One-off profit before tax of $25 million from divestment of two homes in Far North Queensland

This has sent the stock price soaring more than 6% higher. 

Its share price is now up 18% since April 20. 

It’s worth noting that the ASX 200 company also named a new CEO yesterday.

Meanwhile, ASX 200 company Yancoal is also storming higher this morning. 

This marks a third consecutive day in the green, despite no price-sensitive news out of the company this week. 

The coal miner is now up 55% year to date. 

What are experts saying?

At the time of writing, Yancoal shares are trading for $7.78 per share. 

This is below yearly highs of $8.70 hit by the coal miner in late March. 

However, estimates from brokers indicate it could race past this price in the next 12 months. 

Huatai Securities has a buy rating on Yancoal with a $14.40 share price target.

This indicates an upside potential of 85% from current levels. 

Meanwhile, for Regis Healthcare, the company is being tipped to benefit from ageing populations in the long term. 

The ASX 200 company offers aged care facilities, retirement villages, home care, day therapy, and day respite program. 

At the time of writing, Regis Healthcare shares are trading at $6.76 per share. 

This is down 26% from 12-month highs. 

However, 5 analysts’ forecasts via TradingView place a fair price estimate of $8.48 on the ASX 200 stock. 

This indicates upside potential of 25% from current levels. 

The post What are experts saying about these ASX 200 stocks soaring higher today? appeared first on The Motley Fool Australia.

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• Regis Healthcare expects FY26 EBITDA to hit top end of guidance
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• Here are the top 10 ASX 200 shares today
• 3 ASX 200 stocks storming higher in this week’s sinking market

Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The All Ordinaries Index (ASX: XAO) is down 0.3% in late morning trade on Thursday, but don’t blame this rocketing ASX All Ords healthcare share.

The high-flying stock in question is Aroa Biosurgery Ltd (ASX: ARX).

Shares in the soft-tissue regeneration company closed yesterday trading for 55 cents. At time of writing, shares are changing hands for 65 cents apiece, up 18.2%.

Here’s what’s piquing investor interest today.

ASX All Ords healthcare share rockets on guidance beat

Investors are bidding up Aroa shares today following the release of the company’s preliminary full year results (FY 2026). Aroa’s financial year runs through to 31 March.

The ASX All Ords healthcare share reported full year revenue of NZ$104 million in actual terms. On a constant currency basis, FY 2026 revenue came in at NZ$101 million.

That sees revenue coming in above Aroa’s full year guidance range of NZ$92 million to NZ$100 million (constant currency). It’s also 21% higher than FY 2025 total revenue.

Management credited the strong growth to a 52% year-on-year boost (constant currency) in sales in its Myriad portfolio, which was stronger than they had expected. Myriad is the company’s propietary biological surgical implant used to regenerate soft tissue.

On the earnings front, the ASX All Ords healthcare share expects FY 2026 normalised earnings before interest, taxes, depreciation and amortisation (EBITDA) to be in the range of NZ$11million to NZ$12 million on an actual basis. Or NZ$10 million to NZ$11 million on a constant currency basis.

That also materially exceeds Aroa’s FY 2026 constant currency earnings guidance of NZ$5 million to NZ$8 million.

The earnings boost was primarily driven by the increased revenue. The company noted that changes in the timing of project related costs, particularly its Enivo and TelaBio development projects, also had some impact. Aroa now expects these costs to be realised in FY 2027.

In other core financial metrics, Aroa has a positive net cash flow of NZ$5 million over the full year.

And on the balance sheet, the company held NZ$27 million at 31 March, up from NZ$23 million at 30 September.

What did Aroa management say?

Commenting on the preliminary results sending the ASX All Ords healthcare share surging today, Aroa CEO Brian Ward said:

We are delighted with the strong performance reflected in these preliminary results, driven by continued growth in the Myriad portfolio. We look forward to providing further details on the release of our audited full year results at the end of May.

Aroa is scheduled to release its fully audited FY 2026 results on 26 May.

The post Guess which ASX All Ords healthcare share is rocketing 18% in Thursday’s sinking market appeared first on The Motley Fool Australia.

More reading

• What are experts saying about these ASX 200 stocks soaring higher today?
• CSL, Resmed, Cochlear shares crash to multi-year low: Buy, sell or hold?
• ASX tech stock charges higher on big acquisition news
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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.

The S&P/ASX 200 Index (ASX: XJO) has slumped again in early morning trade on Thursday, continuing on a run of seven consecutive days of losses.

The latest weakness has been driven, in part, by declines in major ASX healthcare shares. Cochlear Ltd (ASX: COH), CSL Ltd (ASX: CSL), and Resmed CDI (ASX: RMD) shares have all tumbled to multi-year lows this week.

Cochlear shares are 1.21% lower to $88.88 at the time of writing on Thursday morning. The latest share price represents the lowest trading price since November 2015. For the year to date, Cochlear shares are now down 67%, and they’re 68% lower for the year.

It’s a similar story for CSL shares. The beaten-down biotech stock is down 0.88% today to a 10-year low of $124.76 a piece. For the year to date, CSL shares are now down 27%, and they’re 50% lower for the year.

Resmed shares have tumbled another 3.82% in early-morning trade, to a two-year low of $29.19 a piece. The latest update means the medical equipment company’s shares are now 19% lower for the year to date, and they’re 20% lower than this time 12 months ago. 

Why are these ASX healthcare shares slumping?

ASX healthcare shares are facing significant headwinds right now. These include disappointing earnings results and structural headwinds such as a weaker US dollar, higher US tariffs, and increased labour costs.

Concerns about overinflated share prices also caused concern that some ASX shares were overvalued and due for a sharp correction.

These headwinds have seen investors increasingly turn away from healthcare shares this year and instead reposition themselves towards ASX energy stocks, resources, and defensive assets. 

On top of a sector-wide sentiment shift, the three companies have also faced their own business-based headwinds.

Cochlear posted a softer-than-expected half-year result in February, triggering a share sell-off. The shares crashed again last week after the company downgraded its FY26 earnings guidance, citing weaker conditions across developed markets and softer demand.

Meanwhile, CSL has experienced a notable slowdown in earnings growth, loss of investor confidence, and operational challenges. More recently, CSL has faced headwinds such as lower vaccine demand, a surprise restructure, and even a shock CEO exit.

There hasn’t been any price-sensitive news out of Resmed to explain the company’s share price declines this year. It’s likely that the healthcare stock has been swept up in a general sector-wide sell-off. 

Is the latest dip a buying opportunity for investors? Or is there more to come? Here’s what the analysts think.

What to expect from Cochlear, CSL, and Resmed shares next

It looks like now is a great buying opportunity to get into the ASX 200 shares for cheap. 

Analysts are mostly bullish across the board.

TradingView data shows that eight out of 18 analysts have a buy or strong buy rating on Cochlear shares, with an average target price of $130.70 a piece. That time plies a 47% upside at the time of writing.

Analysts are even more positive about the potential outlook for CSL shares. Out of 18 analysts, 12 have a buy or strong buy rating on the stock, and they tip an average 60% upside to $199.11 a piece.

Resmed shares are also expected to fly around 42% to an average target price of $41.67 over the next 12 months. Out of 31 analyst ratings, 22 have a buy or strong buy rating on Resmed shares.

The post CSL, Resmed, Cochlear shares crash to multi-year low: Buy, sell or hold? appeared first on The Motley Fool Australia.

More reading

• 3 amazing ASX 200 shares to buy with $5,000 in May
• Down 65%, are Cochlear shares a once-in-a-decade buying opportunity?
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• CSL shares crash to a 9-year low. Is it time to sell off my shares?
• Don’t sit out this ASX share market chaos, it could cost you

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 positions in and has recommended CSL, Cochlear, and ResMed. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended CSL and Cochlear. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Gentrack Group Ltd (ASX: GTK) shares are on the rise on Thursday.

In morning trade, the ASX tech stock is up 3% to $4.95.

This follows the announcement of an acquisition, which is offsetting broad market weakness.

What did the ASX tech stock announce?

This morning, the utilities software provider announced that it has entered into an agreement to acquire Dubai Technology Partners (DTP).

It is a premier airport technology and services provider based in Dubai, United Arab Emirates.

According to the release, the acquisition will be integrated into Gentrack’s airports division, Veovo, expanding its product portfolio, its global delivery scale, and its footprint in the Middle East.

It highlights that DTP’s innovative technologies will be integrated as high-value bolt-ons to Veovo’s AI-enabled portfolio.

In addition, DTP brings around 60 highly skilled professionals with deep domain expertise in airport operations and flagship Middle Eastern customers including Dubai, Abu Dhabi and Saudi Arabian airports.

The ASX tech stock is paying US$10 million, subject to customary completion adjustments. This will be funded entirely from Gentrack’s existing cash reserves.

Management advised that, depending on the final completion date, it expects the acquisition of DTP to add around NZ$3.5 million of revenue to Gentrack’s Veovo business across the four months remaining in FY 2026.

It also expects the acquisition to be marginally EBITDA accretive (before acquisition costs) in FY 2026. The good news is the cost of integration will be low and focused on cross sales activities aimed at driving growth in FY 2027 and onwards.

Commenting on the deal, the ASX tech stock’s CEO, Gary Miles, said:

DTP is a highly complementary acquisition—technologically, commercially, and culturally. By adding DTP’s technologies to Veovo’s AI-enabled portfolio and leveraging their prestigious expertise, we can deliver smarter, more automated solutions to our 150+ airports worldwide while establishing a powerful growth engine in the Middle East.

DTP’s chair, HE Sultan Al Mansoori, added:

Gentrack and Veovo have demonstrated a proven track record as a leading airport technology provider, underpinned by strong and enduring cooperation with DTP over many years. This partnership represents the natural next step in DTP’s development, enabling the team to enhance service delivery for our existing clients while extending the global reach of our high-quality solutions as part of Gentrack. It also provides an excellent platform for the continued growth and development of our highly skilled and motivated personnel.

The post ASX tech stock charges higher on big acquisition news appeared first on The Motley Fool Australia.

More reading

• What are experts saying about these ASX 200 stocks soaring higher today?
• Guess which ASX All Ords healthcare share is rocketing 18% in Thursday’s sinking market
• CSL, Resmed, Cochlear shares crash to multi-year low: Buy, sell or hold?
• This ASX 200 copper stock is pushing higher on record profits
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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 Gentrack Group. The Motley Fool Australia has positions in and has recommended Gentrack Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Capstone Copper Corp (ASX: CSC) shares are pushing higher on Thursday morning.

At the time of writing, the ASX 200 copper stock is up 2% to $11.67.

Why is this ASX 200 copper stock pushing higher?

Investors have been buying Capstone Copper shares today after responding positively to the company’s first quarter results.

According to the release, consolidated total contained copper production for the first quarter was 47,960 tonnes at C1 cash costs of $2.66 per pound.

This underpinned revenue of US$652.5 million for the first quarter, which is up 22% from US$533.3 million a year earlier.

This helped the company swing to a net profit attributable to shareholders of US$102.5 million, compared to a loss in the prior corresponding period.

Adjusted earnings were also strong, with record adjusted net income of US$94.8 million and adjusted EBITDA of US$329.1 million.

The ASX copper stock highlights that this marks the sixth consecutive quarter of record adjusted EBITDA, driven largely by higher realised copper prices and supportive gold and silver prices.

Operating cash flow (before changes in working capital) came in at $217.9 million compared to $166.1 million in the prior corresponding period.

Net debt is now $737.5 million, which is a decrease from $780.1 million at the end of December.

Management commentary

Commenting on the quarter, the ASX 200 copper stock’s president and CEO, Cashel Meagher, said:

Q1 marked our sixth consecutive quarter of record EBITDA generation driven by solid operations and all-time high copper prices. For the remainder of 2026, we are focused on operational execution and continuing to advance our high-return organic growth opportunities, including executing the Mantoverde Optimized Project, advancing Santo Domingo to a sanctioning decision, and progressing our exploration strategy centered around district-scale growth.

Despite recent geopolitical volatility, copper prices remain strong and fundamentals support continued momentum, reinforcing our ability to deliver significant value through our peer-leading growth pipeline.

Outlook

Capstone Copper advised that it continues to expect production of 200,000 to 230,000 tonnes of copper and C1 cash costs of $2.45 to $2.75 per payable pound of copper in 2026.

In addition, its capital expenditure, capitalised stripping, and exploration expenditure guidance is unchanged.

However, it will continue to monitor and manage the impacts stemming from the conflict in the Middle East.

And while to date it has not experienced any inventory or operational impacts, cost pressures, notably from higher diesel and sulphuric acid prices, represent a headwind.

The post This ASX 200 copper stock is pushing higher on record profits appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Mineral Resources Ltd (ASX: MIN) shares are surging on Thursday after the mining and services group delivered a fresh quarterly update.

At the time of writing, the Mineral Resources share price is up 7.29% to $66.29.

That adds to what has already been a strong run. The stock is up around 22% in 2026 and has rocketed by more than 220% over the past 12 months.

So, what did the company report?

Guidance lifted across key operations

According to the release, Mineral Resources has upgraded its full-year guidance across several core parts of the business.

Onslow iron ore is now expected to produce between 17.7wmt and 19.4wmt for FY26, up from 17.1wmt and 18.8wmt.

Mining services volume guidance has also been lifted to 320Mt to 330Mt, pointing to strong demand across its contracting business.

Lithium guidance has also been lifted, with Wodgina now expected to produce 270k dmt to 290k dmt of spodumene concentrate, while Mt Marion is set to deliver 210k dmt to 230k dmt.

Production dips while pricing improves

Despite the lift in guidance, the March quarter was a bit uneven, with a few factors getting in the way of production across the business.

Iron ore shipments took a hit from cyclone activity, which slowed crushing and logistics at Onslow for a period.

On the lithium side, both Wodgina and Mt Marion also ran into some short-term interruptions, mainly due to weather and operational factors.

Even with those setbacks, pricing helped balance things out.

Average realised iron ore prices moved higher across both Onslow and the Pilbara Hub, sitting around the low US$100’s per tonne.

Lithium pricing also improved over the quarter, lifting into the US$900 to US$1,000 per tonne range.

The stronger pricing helped offset the softer volumes and kept revenue fairly steady across the group.

Costs and balance sheet in focus

Costs are still something to keep an eye on, particularly with diesel moving higher during the quarter.

That is expected to flow through into unit costs in the June period, which could add a bit of pressure in the short term.

Even so, the company has kept its full-year cost guidance unchanged across the business, suggesting things are still tracking within expectations.

On the balance sheet side, there was some improvement.

Net debt came down to around $4.5 billion by the end of March, from roughly $4.9 billion in the prior quarter.

Foolish takeaway

The update shows the business is still moving forward across a few key areas.

Guidance is higher, debt is coming down, and the main projects are progressing.

From here, I would be watching how Onslow ramps through the rest of the year and whether lithium volumes can stay consistent.

The post Mineral Resources shares jump 7% on guidance upgrade appeared first on The Motley Fool Australia.

More reading

• Mineral Resources upgrades FY26 volume guidance and posts robust lithium prices
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• Mineral Resources just made a $2 billion move. Here’s why the stock is climbing again

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.

Broker analysts are always on the hunt for good opportunities that could produce strong returns. There are some wonderful businesses inside the S&P/ASX 200 Index (ASX: XJO) which the market may be overlooking. So, we’ll look at two potential ASX share opportunities.

These stocks have multiple buy ratings and are among the highest-quality names on the ASX, yet their share prices have dropped considerably from former heights. Therefore, it looks like a good time to be greedy while other investors are fearful.

REA Group Ltd (ASX: REA)

REA Group owns Australia’s leading property portal, realestate.com.au. According to Commsec, there are currently 12 analysts that rate the business as a buy.

I’m not sure how higher interest rates and elevated inflation will affect property listings, but it’s possible that there could be an increase in forced sales, boosting demand for its portal.

The company’s market position allows it to implement regular price rises for vendors to use its portal, with little detrimental effect (so far). In the FY26 half-year result, the business reported that 12.7 million people visited its portal – it reportedly received 105.9 million more monthly visits than its nearest competitor, on average.

The ASX 200 share also revealed that 2.9 million people visited realcommercial.com.au (another of its businesses) each month on average, 1.9 million more people than the nearest competitor.  

The digital nature of its business model allows it to achieve rising profit margins. In the FY26 half-year result, core revenue grew 5% to $916 million , operating profit (EBITDA) grew 6% to $569 million and net profit rose 9% to $341 million.

It’s expecting buy yield growth of between 12% to 14% in FY26, which is an excellent tailwind for earnings.

Using the forecast on Commsec, the REA Group share price is valued at 31x FY27’s estimated earnings.

TechnologyOne Ltd (ASX: TNE)

TechnologyOne is best-known as an enterprise resource planning (ERP) software provider to well over 1,000 clients across numerous sectors including corporations, government agencies, local councils and universities.

According to Commsec, the business is currently rated as a buy by 10 different analysts, which is also a very bullish view by the market.

While some investors may by concerned about the impacts that AI could have on the software sector, TechnologyOne talks about how its software as a service (SaaS) and its products are being “turbocharged through AI”.

The ASX 200 share is confident that it’s going to deliver strong double-digit growth in the 2026 financial year. Management are guiding that in the current financial year, its annual recurring revenue (ARR) could rise by between 16% to 18%, while profit before tax (PBT) growth could be between 18% to 20%.

Using the earnings estimate on Commsec, the TechnologyOne share price is valued at 58x FY26’s estimated earnings. Its earnings per share (EPS) is projected to grow by 38% between FY26 and FY28.

The post 2 high-quality ASX 200 shares experts rate as buys appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Technology One. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Technology One. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Capstone Copper Corp (ASX: CSC) shares drifted slightly higher on record earnings results for the first quarter, but the company warned that diesel price increases going forward could be costly.

A string of good results

The Canada-based mining company said in a statement to the ASX on Thursday that it had recorded its sixth consecutive quarter of record EBITDA generation, “driven by solid operations and all-time high copper prices”.

The company’s total consolidated copper production came in at 47,690 tonnes, at a cost of US$2.66 per pound, compared with 53,796 tonnes at a cost of US$2.59 per pound in the first quarter last year.

The period this year included a 35-day strike at the company’s Mantoverde mine.

Net income for the quarter came in at US$102.5 million compared with a net loss of US$6.8 million for the same period last year.

Adjusted EBITDA was a record US$329.1 million, up from US$179.9 million.

Capstone also reiterated its 2026 production guidance of 200,000 to 230,000 tonnes of copper at a cost of US$2.45 to US$2.75 per pound.

The company noted that the war in the Middle East could present cost issues.

As they said:

We continue to monitor and manage the impacts stemming from the conflict in the Middle East. To date we have not experienced any inventory or operational impacts, however cost pressures, notably from higher diesel and sulphuric acid prices, represent a headwind.

Capstone said average copper prices were 16% higher in the first quarter, despite the issues in the Middle East.

But in the company’s 2026 outlook, they explained the exact impact of higher diesel prices.

We expect to consume approximately 134 million litres of diesel over the remainder of 2026 (75% in Chile, 24% in the USA, and 1% in Mexico) and our guidance assumed US$60/bbl oil. From April, every 10% change in oil prices (including refining margins) is estimated to impact direct costs by approximately US$13 million, split between US$9 million (or $0.02 per payable pound) impact to our consolidated C1 cash costs and US$4 million impact to capitalised stripping.

The company said 55% of its sulphuric acid costs were locked in for the remainder of the year, while 45% were variable.

The company said:

From April, every 10% change in sulphuric acid prices is estimated to impact consolidated C1 cash costs by approximately $5 million (or $0.01 per payable pound).

Shares looking cheap

Morgans recently issued a research note on Capstone Copper, with a price target of $15.40, up 0.7% on Thursday from the current price of $11.51.

The post This major ASX copper company just reported record earnings but warned on diesel prices 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.