Author: openjargon

ASX tech stock Catapult Sports Ltd (ASX: CAT) continued its painful slide on Tuesday, falling 6% to $2.77 and hitting a fresh 52-week low.

The decline extends a difficult period for shareholders. The ASX tech stock is down 26% over the past month, has lost 33% in 2026, and has fallen 51% over the past year.

After such a dramatic sell-off, investors may be wondering whether things can get any worse.

Let’s take a closer look at what’s happening and what analysts think comes next.

Why are Catapult shares under pressure?

The recent weakness of the ASX tech stock reflects a combination of broader market sentiment and concerns around growth stock valuations.

Investors have become increasingly selective when assessing technology companies, particularly those trading on future growth expectations rather than near-term earnings. That shift has weighed heavily on sentiment across parts of the technology sector, including Catapult shares.

The company has also been caught up in broader risk-off trading, with investors rotating away from smaller growth companies despite continued operational progress.

As a result, the share price has continued trending lower even as the business expands its customer base and product offering.

Athlete performance technology

Catapult develops athlete performance and analytics technology used by professional sporting organisations around the world.

Its solutions allow coaches, sports scientists, and performance staff to monitor player workloads, track physical performance, reduce injury risks, and improve decision-making.

The company’s technology is deeply embedded across elite sport. Its products are used by teams in the AFL, NRL, Premier League, NFL, NBA, MLB, and international rugby competitions, among many others.

That broad customer footprint highlights one of the greatest strengths of this ASX tech stock.

Once teams integrate Catapult’s hardware, software, and historical performance data into their daily operations, switching to another provider becomes difficult and disruptive. This creates sticky customer relationships, recurring revenue streams, and a significant competitive moat.

What are the risks?

Despite its strong market position, the ASX tech stock still faces several risks.

The company remains heavily reliant on continuing to grow subscriptions and expand adoption of its products. Any slowdown in customer growth could affect investor confidence.

Like many technology businesses, Catapult also faces execution risk. Management must continue delivering product innovation while expanding internationally and maintaining customer retention.

Valuation expectations have also played a role in the recent sell-off of the ASX tech stock. Growth shares can experience significant share price volatility when market sentiment deteriorates, even when underlying business performance remains relatively solid.

What do analysts think?

Analysts remain surprisingly optimistic despite the sharp decline.

According to TradingView data, every analyst covering Catapult currently rates the ASX tech stock as either a buy or strong buy.

The average price target sits at $5.72 per share, implying upside of approximately 106% from current levels. The most bullish analyst forecast suggests the stock could climb as much as 193% over the next 12 months.

Morgans is among the more optimistic brokers. It currently has a buy rating and a $5.40 price target on the company. Based on the recent share price, that implies potential upside of almost 100%.

The post What next for this ASX tech stock after reaching new lows? appeared first on The Motley Fool Australia.

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• 2 ASX growth shares that could double your money
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• 3 top ASX 300 shares tipped to jump 30% to 50%
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• These 3 ASX technology stocks can prosper in uncertain times

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 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.

On Tuesday, the S&P/ASX 200 Index (ASX: XJO) had a subdued session and dropped into the red. The benchmark index fell 0.3% to 8,787 points.

Will the market be able to bounce back from this on Wednesday? Here are five things to watch:

ASX 200 to rebound

The Australian share market looks set for a better day on Wednesday despite a mixed night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 54 points or 0.6% higher. In late trade in the United States, the Dow Jones is up 0.1%, but the S&P 500 is down 1.15% and the Nasdaq is 1.8% lower.

Oil prices fall again

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a poor session after oil prices fell again overnight. According to Bloomberg, the WTI crude oil price is down 1% to US$73.15 a barrel and the Brent crude oil price is down 1.1% to US$77.06 a barrel. Traders have been selling oil after monitoring tanker traffic through the Strait of Hormuz.

Buy IVE shares

Bell Potter thinks investors should be buying IVE Group Ltd (ASX: IGL) shares. This morning, the broker has retained its buy rating and $3.25 price target on the marketing communications company’s shares. It believes IVE Group’s shares are undervalued at current levels, saying: “We see the stock as value trading on underlying PE ratios of 8x and 7x in FY26 and FY27 with growth expected to pick up again in FY27 and continue into FY28. We also note this is the final year the dividend has been capped or set at 18c – which still generates a yield of c.7% – and see potential or likely upside to the dividend in FY27 and beyond.”

Gold price falls

ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a soft session on Wednesday after the gold price fell overnight. According to CNBC, the gold futures price is down 1.3% to US$4,148.4 an ounce. Rate hike fears continue to weigh on precious metals.

BHP and Rio Tinto on watch

BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO) shares will be on watch on Wednesday after a poor night of trade for their NYSE-listed shares. In late trade on Wall Street, BHP shares are down 4% and Rio Tinto shares are down 3.5%. This is broadly in line with the performance of the copper price, which has pulled back by 3.5%.

The post 5 things to watch on the ASX 200 on Wednesday appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Why is the ASX 200 stuck in the red today?
• With oil prices falling, should I still buy Santos shares now?
• $5,000 invested in BHP shares 12 months ago is now worth….
• Buy, hold, sell: Charter Hall, Northern Star, Cochlear shares

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

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen has positions in Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Telix Pharmaceuticals and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Telstra Group and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Cochlear Ltd (ASX: COH) shares edged 0.3% higher to $113.34 during Tuesday afternoon trade. That modest gain follows a 4% decline on Monday and caps off an extraordinary few months for investors.

The ASX healthcare stock has rebounded 17% over the past month, yet it remains down a staggering 57% year to date. With the share price swinging wildly, many investors are wondering what’s driving the volatility and where Cochlear goes from here.

Why have Cochlear shares been so volatile?

To understand the recent moves, it’s worth remembering just how painful April was for investors in Cochlear shares.

The biggest blow landed on 22 April when Cochlear released a trading update that shocked the market.

Investors rushed for the exits after the company reported weaker demand for its hearing implants across developed markets. Management also highlighted cancellations and delivery delays in the Middle East due to the ongoing regional conflict.

The result was one of the most dramatic share price reactions seen on the ASX this year. Cochlear shares plunged 40.7% in a single trading session.

The disappointing update forced management to slash its FY 2026 underlying net profit guidance to between $290 million and $330 million. That was a significant downgrade from its previous forecast range of $435 million to $460 million.

Since then, investors have been trying to determine whether the setback represents a temporary disruption or a more serious threat to the investment case.

Has the long-term story changed?

While earnings expectations have clearly deteriorated, Cochlear’s competitive position remains largely intact.

The company still controls roughly half of the global cochlear implant market, making it the clear industry leader. That market leadership has been built over more than four decades of investment in research, development, and innovation.

Its products are deeply embedded within healthcare systems around the world, creating significant barriers for competitors attempting to win market share.

Perhaps even more importantly, the long-term growth runway remains substantial.

The addressable market is estimated to exceed six million patients across developed markets alone, yet penetration remains only around 3%. That leaves significant room for future growth if awareness, diagnosis rates, and adoption continue to improve.

An ageing population, increasing awareness of hearing loss, and ongoing advances in implantable hearing technology should also support long-term demand and the price of Cochlear shares.

What do analysts think?

Analyst sentiment on Cochlear shares remains cautious but not outright bearish.

TradingView data shows most brokers currently rate Cochlear shares as a hold. The average price target sits at $129.12, implying approximately 13% upside from current levels.

Bell Potter is among the brokers maintaining a hold recommendation.

The long term opportunity for this hearing implants maker remains compelling, supported by a large addressable market, strong brand position and an attractive product pipeline. However, near term trading conditions have softened in response to weaker referral activity in the US, hospital capacity constraints in Europe and reimbursement changes in China. Until there’s clearer evidence that volumes are stabilising, a more balanced stance is appropriate. The long term growth story and product pipeline remain intact.

For now, many analysts appear willing to wait for clearer evidence that implant volumes are stabilising before becoming more constructive on the stock.

That means Cochlear’s long-term growth story remains intact, but investors may need to be patient as the company navigates a difficult operating environment.

The post What on earth’s going on with Cochlear shares? appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: Charter Hall, Northern Star, Cochlear shares
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• Healthcare shares led the ASX 200 last week. Is a sector comeback underway?
• Where I’d invest $2,000 in ASX 200 shares
• Here are the top 10 ASX 200 shares today

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

Liontown Ltd (ASX: LTR) shares are down around 2.5% and trading at $1.86 a piece in Tuesday afternoon trade.

Today’s decline means the ASX 200 lithium shares have now crashed 30% from a three-year high recorded in early May. 

Thankfully, after a strong start to the year, the shares are still 14% higher year to date and a huge 181% higher than 12 months ago.

For context, the S&P/ASX 200 Index (ASX: XJO) is up around 0.1% today and around 1% higher for the year to date.

What happened to Liontown shares?

ASX lithium mining shares like Liontown experienced a strong uptick in the first few months of 2026, driven by resurging lithium prices and soaring investor sentiment. 

Liontown rode the lithium rebound, and at the same time, investors have been pleased with the company’s production growth potential. It looks like investors leaned into Liontown shares this year on the pretence that it has a long-term ability to benefit from strong lithium pricing and expanding global EV demand.

The miner’s development pipeline and exposure to future supply chains have also attracted investor attention.

But while the commodity boom is a strong tailwind for the miner, there is also a drawback.

Liontown is practically a pure-play lithium miner, and its assets are overwhelmingly lithium-focused. This means it is sensitive to and heavily dependent on lithium price trajectories. 

If the price rally starts to reverse, the business is at risk.

And that’s exactly what has played out in Liontown’s share price.

Trading Economics data shows that lithium carbonate prices spiked to a multi-year high in mid-May. But now prices have dropped to around CNY157,000 (approx. AU$33,210) per tonne, the lowest level in ten weeks, following speculation that one of the world’s largest lithium mines could resume operations soon.

Trading Economics explained that Contemporary Amperex Technology‘s Jianxiawo mine in Jiangxi province was suspended last year due to permitting issues. But there has been a recent government notice about a preliminary land assessment. And this has fueled expectations that the site could restart in the second half of 2026. 

The concern is that a potential restart could weigh heavily on prices at a time when the market is still concerned about global lithium oversupply. This, combined with overall sector-wide weakness, can continue driving the lithium stock lower.

The question now is, what can we expect from Liontown shares next?

Are the shares a buy, sell, or hold now?

Analysts are divided about the outlook for the lithium miner over the next year. 

TradingView data shows that sentiment is split. Out of 12 analysts, five have a strong buy rating, four rate the miner as a hold, and three have a sell or strong sell stance.

The average $2.20 target price, however, implies a potential 17% upside at the time of writing. 

But the range between the minimum and maximum target prices is huge. Some tip the shares to crash another 50% to just 95 cents, while the more bullish of the bunch think there is potential for Liontown shares to climb another 60% to $3 each.

The post Liontown shares crash 18% in a month: What happened? appeared first on The Motley Fool Australia.

More reading

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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 Contemporary Amperex Technology,. 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 a touch lower on Tuesday, despite another decent session for the big banks.

At the time of writing, the ASX 200 is down 0.07% to 8,809 points.

The index has moved around during the session. It climbed as high as 8,849.9 points earlier in the day before falling to a low of 8,798.4 points.

At the latest check, 139 of the top 200 shares are trading lower, while 51 are higher and 10 are unchanged.

Bank stocks provide some support

The main reason the ASX 200 isn’t down further is the support coming from the big banks.

Commonwealth Bank of Australia (ASX: CBA) shares are up 0.67% to $164.50, while Westpac Banking Corp (ASX: WBC) shares are 1.01% higher at $35.475.

National Australia Bank Ltd (ASX: NAB) shares are up 1.19% to $38.32, and ANZ Group Holdings Ltd(ASX: ANZ) shares are 1.28% higher at $35.70.

Macquarie Group Ltd (ASX: MQG) is also helping, with its shares up 0.81% to $249.92.

That strength is helping offset weakness elsewhere, especially with several large resource names trading lower.

CSL Ltd (ASX: CSL) is also lending a hand. Its shares are up 1.36% to $114.41.

Resources stocks hold back the ASX 200

The resources side of the market is under pressure today.

BHP Group Ltd (ASX: BHP) shares are down 0.18% to $60.23, while Woodside Energy Group Ltd (ASX: WDS) shares are 0.57% lower at $28.605.

Although gold and lithium stocks are seeing heavier selling.

Northern Star Resources Ltd (ASX: NST) shares are down 2.45% to $20.68, Evolution Mining Ltd (ASX: EVN) shares are 1.81% lower at $12.75, and Lynas Rare Earths Ltd (ASX: LYC) shares are down 2.44% to $18.165.

PLS Group Ltd (ASX: PLS) is also being sold off, with its shares down 2.80% to $5.37.

US tech jitters are still being watched

Local investors are keeping an eye on Wall Street after another choppy session for US tech stocks.

The Nasdaq Composite Index (NASDAQ: .IXIC) was pressured by weakness in large tech names, including Alphabet Inc (NASDAQ: GOOG) (NASDAQ: GOOGL) and Space Exploration Technologies Corp (NASDAQ: SPCX).

US futures are also lower during local trade, which has kept buyers cautious around growth stocks.

That is flowing through to some ASX tech shares. Pro Medicus Ltd (ASX: PME) shares are down 1.20% to $172.55, while REA Group Ltd (ASX: REA) shares are 1.78% lower at $133.35.

Where does the ASX 200 go from here?

The ASX 200 is still up 1.1% since the start of 2026 and around 4% over the past year.

Still, today’s session shows the market is leaning heavily on the banks.

If resources and tech keep slipping, the index may need more support from offshore markets to move higher.

The post Why is the ASX 200 stuck in the red today? 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 Alphabet, CSL, and Macquarie Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Lynas Rare Earths Ltd and Pro Medicus. The Motley Fool Australia has recommended Alphabet, BHP Group, CSL, Macquarie Group, and Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If you’re looking for solid capital gains and trying to sort the wheat from the chaff on the ASX, it’s often useful to defer to the experts.

I’ve had a look through the research reports from the broking houses this week and have selected three companies tipped to deliver outsized gains over the next 12 months.

Let’s see who the brokers like.

Acrow Ltd (ASX: ACF)

Acrow is a construction systems company – think scaffolding, formwork, and the like.

The company recently announced a fully underwritten institutional equity raise to raise $70 million, along with a share purchase plan for another $10 million.

Ord Minnett, in a note to clients over the past week, said the company’s goal of paying down debt and restarting its M&A strategy with the $27 million acquisition of Ausgroup and the $25 million acquisition of Preston Superdeck was a positive.

They added:

We view this update positively for a number of reasons: 1) the debt levels of ACF have been an ongoing issue for the company, and the equity raise goes a long way in wrangling the Net Debt/EBITDA multiple to reasonable levels; 2) Ausgroup looks to be a nice bolt-on acquisition, bolstering ACF’s presence in North Queensland with industrial access proving to be a solid revenue stream for the group; and 3) Preston Superdeck fills a product gap in ACF’s product offering, adding loading platforms to the company’s ‘one stop-shop’ value proposition in the construction services space.

Ord Minnett has a price target of $1.30 on Acrow compared to 93.5 cents currently. If achieved, this would be a 39% return.

Credit Clear Ltd (ASX: CCR)

Morgans has tipped Credit Clear as a company to watch, saying the debt collection business has scope to grow, given its proprietary digital collections platform, which they say is a key differentiator.

The broker said regarding the company:

Since listing in 2020, the group has evolved from a pure-play collections technology business to an increasingly scalable end-to-end contingent collections platform which, in our view, is well positioned to deliver long-term compounding growth both organically and through acquisitive market consolidation.

Morgans said Credit Clear is in a unique position to consolidate the market, which is worth $1.5 billion across Australasia and the UK.

The broker has a price target of 30 cents for the company, compared to 21 cents currently, which would represent a 42.9% return if achieved.

IODM Ltd (ASX: IOD)

Shaw and Partners likes IODM, which is an accounts receivable automation software company.

The broker said a recent deal with TransferMate “materially expands IODM’s distribution opportunity across its primary growth region while further strengthening a strategic partnership that has expanded materially over the past 12 months”.

Shaw and Partners said the deal followed the expansion with TransferMate into the US earlier, “reinforcing our view that the relationship is becoming increasingly strategic for both parties”.

Shaw and Partners has a price target of 29 cents for IODM shares, up from 12 cents currently, which would represent a gain of 141.7% if achieved.

The post 3 ASX shares with 39% to 141% growth ahead of them: Experts appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: How does Morgans rate these ASX shares?
• Why Acrow, Ampol, Medallion Metals, and Northern Star shares are racing higher

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.

Are you looking for some new additions to your portfolio? If you are, then it could pay to listen to what Morgans is saying about the ASX shares named below.

Here’s what you need to know about them:

Amcor PLC (ASX: AMC)

Morgans has been looking deeper at this packaging giant. While it is positive on the company, it does have concerns over its stretched balance sheet.

Nevertheless, it remains positive enough to put an accumulate rating and $65.40 price target on Amcor’s shares. This implies potential upside of 13% for investors. It commented:

Following its merger with Berry Global in April 2025, AMC identified a non-core portfolio of ~US$2.5bn in revenue. These lower-growth or lower-margin businesses where AMC lacks scale or leadership positions are expected to be divested over time via cash sales or joint ventures/partnerships. While there is a range of scenarios that can play out, using conservative assumptions, we estimate the combined non-core portfolio could be worth ~US$1.8bn. To date, AMC has reached agreements to sell six businesses for a combined value of ~US$500m. AMC plans to use proceeds from non-core asset sales to reduce leverage, which stood at 3.8x at the end of 3Q26.

While management expects leverage to end FY26 at 3.4-3.5x, the stretched balance sheet remains a key investor concern. Our analysis indicates a strong negative relationship (correlation coefficient -0.76) between AMC’s leverage and its 1-year forward PE multiple. We therefore expect a reduction in leverage to support an improvement in AMC’s PE multiple over time. We make no changes to our earnings forecasts and maintain our A$65.40 target price. However, with a 12-month forecast TSR of 18%, we move our rating to ACCUMULATE (from BUY).

Credit Clear Ltd (ASX: CCR)

Another ASX share that Morgans has been running the rule over is debt collection company Credit Clear.

In response to its move into the UK market, the broker has initiated coverage on Credit Clear with a speculative buy rating and 30 cents price target. This suggests that upside of 36% is possible from current levels. It said:

Credit Clear (CCR) is a leading Australian debt collections business, which focuses on contingent collections. CCR has to date made solid progress in establishing a commanding foothold within ANZ. We see the group’s recently formed beachhead in the larger UK market as a material consolidation prospect to drive further scale. We initiate coverage on CCR with a Speculative Buy rating and $0.30 price target.

IDP Education Ltd (ASX: IEL)

Finally, Morgans was pleased with this language testing and student placement company’s better-than-expected trading update. It highlights that cost reductions are better than it was forecasting and management’s decision to undertake a share buyback signals confidence in its outlook.

As a result, the broker has retained its buy rating with an improved price target of $3.45. This implies potential upside of 50% for investors over the next 12 months. It commented:

IDP delivered a positive update, including better-than-expected net cost out in FY26 (A$30m vs A$25m), potential further cost reductions in FY27 and strong capital management discipline (deleverage to ~1x in FY26-27; ~A$50m buy-back). We are encouraged by management’s confidence in the progress of the multi-year business transformation, highlighted by the stated ~A$50m buy-back and ongoing operational performance (yield strength; working capital discipline) in a subdued volume backdrop. The update incrementally reinforces our recent upgrade.

Our volume expectations remain conservative, with no meaningful SP recovery assumed until FY29 (-10% FY27; -3% FY28; +3% FY29). We remain willing to look through a cyclically depressed valuation for a leaner market leader, underpinned by structural demand, ongoing tech/product development and China testing optionality. BUY rec.

The post Buy, hold, sell: How does Morgans rate these ASX shares? 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 positions in and has recommended Amcor Plc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Woodside Energy Group Ltd (ASX: WDS) shares are slipping again on Tuesday as weaker oil prices weigh on the energy sector.

At the time of writing, the Woodside share price is down 1.01% to $28.48.

That adds to a softer recent run for the ASX energy stock. Woodside shares are now down around 11% over the past month, although they remain about 20% higher since the start of 2026.

That strong start to the year came on the back of higher oil prices, which lifted sentiment across parts of the energy sector.

However, oil prices have pulled back today, and that appears to be weighing more heavily on Woodside shares than the company’s latest announcement.

Here’s what the company told investors.

Woodside signs a new gas deal

According to the release, Woodside said it has signed a sale and purchase agreement with Alcoa Corporation (ASX: AAI).

Under the agreement, Woodside will supply 31.1 petajoules of domestic gas from its Western Australian operations to Alcoa’s alumina refineries in the state.

The gas will be supplied between 2027 and 2030.

Woodside said the agreement continues a longstanding supply relationship with Alcoa and supports local industries in Western Australia.

Alcoa’s refineries produce alumina, which is the feedstock used to make aluminium. Aluminium is used across the construction, manufacturing, and energy sectors.

Woodside Executive Vice President, Marketing & Chief Commercial Officer, Mark Abbotsford, welcomed the agreement and said the company is continuing to bring gas to the Western Australian market.

The company also said the agreement supports local jobs and contributes to the state’s energy security later this decade.

Why the deal is worth watching

While this isn’t the kind of announcement that is likely to rapture investors into a cheer, it still gives the market something to note.

The agreement adds to Woodside’s domestic gas position in Western Australia and locks in another customer for supply later this decade.

It also follows the Western Australian government’s approval in December 2025 to extend the operation of the Pluto-Karratha Gas Plant Interconnector.

Woodside has been supplying domestic gas to Western Australia for more than 40 years.

In 2025, its share of Western Australian natural gas production was 90.3 petajoules. That represented about 21% of the state’s domestic gas supply.

Oil prices remain the bigger driver

The gas deal is a positive update, but it isn’t the main driver of Woodside’s shares today.

Brent crude is trading below US$78 a barrel after easing again on Tuesday, while crude oil is sitting near US$74 a barrel.

According to Trading Economics, oil steadied as traders weighed signs of progress in US-Iran talks following pressure yesterday.

Washington also granted Iran a 60-day licence to sell oil, raising hopes of a faster recovery in global supply.

Furthermore, traffic through the Strait of Hormuz has picked up, with producers including Kuwait and the UAE finding alternative routes to export energy.

That has taken some heat out of oil prices after they helped support Woodside shares earlier in the year.

The post Woodside shares sink again as oil price pressure outweighs new gas deal appeared first on The Motley Fool Australia.

More reading

• Why is the ASX 200 stuck in the red today?
• The US-Iran peace deal just wavered. Here is what this means for these ASX shares
• Up 23% this year, should I buy Woodside shares today?
• Buy, hold, sell: Life360, Woodside, CSL shares
• 5 things to watch on the ASX 200 on Monday

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 Vanguard Diversified High Growth Index ETF (ASX: VDHG) could be one of the simplest long-term investing options on the ASX.

It is designed for investors who want a diversified portfolio in a single trade, with exposure to growth assets across Australia and overseas markets.

For those with a long time horizon, this fund could be a strong buy and hold investment.

Here are three reasons why.

Built-in diversification

The first reason to like the VDHG ETF is diversification.

Many investors start by trying to choose individual shares, sectors, or countries. That can work well, but it also requires time, research, and confidence.

The VDHG ETF takes a different approach.

It gives investors exposure to a broad mix of assets through one ASX-listed fund. This includes Australian shares, international shares, and defensive assets such as fixed interest.

That means investors are not relying on one company, one sector, or one market to drive returns.

This can be especially useful for people who want to build wealth steadily without constantly reshaping their portfolio.

The fund can still fall when markets are weak, because it has a strong growth focus. However, its broad spread of investments can help reduce the risk of being too exposed to a single part of the market.

A growth focus for long-term investors

The second reason is its high-growth profile.

The Vanguard Diversified High Growth Index ETF is built for investors with a long investment horizon. Its portfolio is heavily tilted toward growth assets, particularly shares.

That is important because shares have historically been one of the best ways to build wealth over long periods.

Australian shares can provide exposure to banks, miners, healthcare companies, retailers, infrastructure businesses, and industrial groups. International shares add access to global technology leaders, consumer brands, healthcare giants, and other major companies listed overseas.

This gives the VDHG ETF a strong mix of local and global growth potential.

The defensive assets in the portfolio can also play a useful role. They may help smooth returns during difficult periods and provide some balance when share markets are volatile.

This blend makes the fund suitable for investors who want long-term growth but still value a level of diversification across asset classes.

It keeps investing simple

The third reason is simplicity.

One of the biggest challenges that investors face is overcomplication. It is easy to own too many funds, chase too many themes, or constantly adjust a portfolio based on the latest market headlines.

This ASX ETF helps remove some of that noise. The fund gives investors a ready-made diversified portfolio, managed by Vanguard, with asset allocation and rebalancing handled inside the ETF.

This can make it easier to stay invested and add to existing positions.

Overall, for investors who want an easy way to build wealth over many years, the VDHG ETF could be one of the most useful buy and hold investment options on the ASX.

The post 3 reasons why the VDHG ETF could be a top buy and hold investment 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.