Author: openjargon

Zip Co Ltd (ASX: ZIP) shares have suffered a volatile start to 2026, but it looks like the share price could finally be turning a corner.

After crashing over 40% from a multi-year high late last year, Zip shares continued tumbling through the first few months of 2026. The share price swung anywhere between $1.45 and $3.56 a piece.

But after hitting a 52-week low in mid-March, the share price has changed trajectory and is slowly trending back up again.

At the close of the ASX on Monday afternoon, the shares were down around 0.7% to $2.90 a piece.

The decline represents a minor slide for the day, but a 100% rebound from the dip in mid-March.

Zip shares are also now nearly 5% higher than 12 months ago.

So, if I bought $7,000 of Zip shares 3 months ago, what are they worth now?

While the share price fell quickly through early-2026, Zip shares have rebounded strongly from its annual low three-months ago.

The 100% increase means that $7,000 invested in the technology company’s shares in the dip three months ago is already worth a huge $14,000!

Even $7,000 invested in Zip shares 12 months ago are now finally returning a profit. Your $7,000 investment made in June last year would now be worth $7,350.

Why have Zip shares started climbing higher?

The digital financial services company was caught up in a tech sector-wide sell-off in late-2025 and into 2026.

This was likely exacerbated by investors taking gains off the table after a strong share price rally and a disappointing first-half FY26 result in February. 

There hasn’t been any price-sensitive news out of Zip to explain the rebound over the past few months. It’s likely the result of a long-awaited shift in investor sentiment. 

I think the turnaround shows that investors are finally buying back into the growth potential for the ASX 200 tech stock.

Zip’s financial results have been robust over the past few quarters. Its latest third-quarter FY26 results announcement in mid-April showed that growth has finally started to accelerate. The company upgraded its FY26 cash guidance to reflect its improved optimism. 

Zip has undergone a major reset over the past few years. It is now heavily concentrated on product growth and global expansion, especially in the US. It looks like this reset is finally translating to improved revenue and a boost in investor confidence.

Zip is currently pursuing a dual sharemarket listing on the Nasdaq in the US in the hope it could help drive an even opportunity for business expansion in the area. 

Can the share price keep climbing?

TradingView data shows that the majority of analysts are very bullish on the outlook for Zip shares over the next 12 months. Out of 12 analysts, 11 hold a buy or strong buy rating on the ASX tech stock. 

They tip a 32% upside to an average target price of $3.82, at the time of writing. But some are even more optimistic and expect the shares to rocket another 86% to $5.40 each.

The post If I’d invested $7,000 in Zip shares 3 months ago, guess what I’d have now! appeared first on The Motley Fool Australia.

More reading

• Up 96%: What on earth has happened to Zip shares?
• Could this ASX 200 share double by 2030?
• 3 amazing ASX growth shares to buy and hold forever
• Here are the top 10 ASX 200 shares today
• 3 reasons to buy Zip shares today

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

The Reliance Worldwide Corporation Ltd (ASX: RWC) share price is in focus after the company announced further steps in its global manufacturing footprint rationalisation. Reliance Worldwide expects a US$9 million annual uplift to group operating earnings by the end of FY27.

What did Reliance Worldwide report?

• Planned closure of brass casting, forging, and machining operations in Moorabbin and Braeside, Victoria, plus smaller sites.
• Expected net annual EBITDA benefit of US$9 million across the group by end FY27.
• One-off net charge of US$100 million to US$110 million in FY26 (excluded from operating earnings).
• Around 85 employees impacted by Australian brass manufacturing closures.
• Transition of APAC brass component supply to third-party Asian vendors in 2025.

What else do investors need to know?

These manufacturing changes follow a steady decline in demand for brass production in Australia. This is due in part to Reliance Worldwide’s investment in automating its Alabama facilities and designing products that use less brass, alongside a strategy to increasingly replace brass with stainless steel.

The company anticipates an adverse EBITDA impact of US$9 million on APAC region results after the closures. However, these are expected to be more than offset by an estimated annual Americas region benefit of US$18 million.

What’s next for Reliance Worldwide?

Reliance Worldwide’s focus moving forward is on sourcing from third-party vendors and ongoing optimisation of its supply chain. The company expects its overall brass requirements to continue declining, supporting a shift towards more cost-effective materials and manufacturing strategies.

Management anticipates these steps will deliver net financial benefits from FY27, with project cash outflows mainly relating to redundancy and asset exit costs, and the bulk of the one-off charges non-cash in nature.

Reliance Worldwide share price snapshot

Over the past 12 months, Reliance Worldwide shares have declined 12%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 4% over the same period.

View Original Announcement

The post Reliance Worldwide closes Australian brass sites appeared first on The Motley Fool Australia.

More reading

• Stockland announces FY26 distribution and DRP update
• Transurban Group overhauls NSW toll enforcement, ditches paper notices
• Iluka Resources signs multi-year rare earths supply deal
• Up 1,700% and more, what’s next for these ASX 200 shares?
• 5 things to watch on the ASX 200 on Tuesday

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 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 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.

You do not need a huge amount of money to start investing.

Even $500 can be enough to begin building long-term wealth on the ASX.

The key is to keep things simple. With a smaller amount, investors can either choose a broad exchange traded fund (ETF) or start building positions in high-quality ASX shares over time.

Here are three options that could be worth considering.

iShares S&P 500 ETF (ASX: IVV)

The first option to look at is the iShares S&P 500 ETF.

This fund gives investors exposure to 500 of the largest listed companies in the United States.

That includes many of the world’s strongest businesses across technology, healthcare, finance, consumer goods, communication services, and industrials.

For someone investing $500, this can be a simple way to gain global exposure straight away.

The US share market has been home to many great long-term compounders, and this ETF gives investors access to that market without needing to choose individual shares.

If I were investing my first $500, this would be one of the top options on my list.

Pro Medicus Ltd (ASX: PME)

Another option is Pro Medicus. This healthcare technology company provides medical imaging software to hospitals and radiology groups.

Its Visage platform helps doctors and specialists view, manage, and interpret large volumes of medical images quickly and efficiently.

That may sound like a niche area, but it is an important part of modern healthcare.

Hospitals are producing more imaging data than ever, and they need systems that can handle that complexity without slowing clinicians down. This has worked in Pro Medicus’ favour, with the company consistently winning major contracts with large health networks overseas.

Its shares can be volatile because the company often trades on high expectations. However, for investors with a long-term view, Pro Medicus could be a great buy and hold pick.

Wesfarmers Ltd (ASX: WES)

A third option to consider is Wesfarmers. It is one of Australia’s highest-quality blue-chip companies, owning a collection of well-known businesses, including Bunnings, Kmart, Officeworks, and its chemicals, energy and fertilisers operations.

That gives the company a diversified earnings base across retail and industrial markets.

Bunnings remains one of the strongest retail franchises in Australia, while Kmart has built a powerful position in value-focused retail.

Wesfarmers also has a long track record of disciplined capital allocation, with a willingness to invest in growth, reshape the portfolio, and return capital to shareholders when appropriate.

For investors using $500 to start building a portfolio, Wesfarmers could be a high-quality individual share to consider.

The post Where to invest $500 on the ASX right now appeared first on The Motley Fool Australia.

More reading

• Pro Medicus shares are flying 35% higher. Time to cash out?
• One ASX dividend and one ASX growth stock to buy now
• 3 reasons why the Wesfarmers share price is a buy
• The ASX investing strategy that could quietly make you rich
• Buy, hold, sell: CSL, Steadfast, and Wesfarmers shares

Motley Fool contributor James Mickleboro has positions in Pro Medicus. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended Pro Medicus, Wesfarmers, and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Your 60s are a turning point in your life where the priority for your superannuation and your finances needs to switch from growth to preservation.

After all, at the age of 61, you’re just four years from the average Australian retirement age and six years from potentially receiving the Age Pension payment. 

The question is, do you know exactly how much you have in your super, and exactly how much money you need to fund your retirement when you decide to stop working.

Here’s a rundown of what the average Aussie has at age 61, and what you actually need to retire comfortably.

What is the average superannuation balance at age 61?

There isn’t an exact figure for the average superannuation balance at age 61, but the Association of Superannuation Funds of Australia (ASFA) has a good guideline.

ASFA’s data shows that at age 60 to 64, the average Australian male has around $395,852 in their superannuation. Meanwhile, the average 60 to 64 year old female has less, at approximately $313,360.

How does your balance compare to the average Aussie the same age?

What does a comfortable retirement look like?

ASFA defines a comfortable retirement as being able to maintain a good standard of living above and beyond the Age Pension. 

It assumes you’ll have top-level private health insurance, own a good brand of car, and do regular leisure activities. 

It allocates funds to set aside to build an emergency fund, for home repairs or renovations. And perhaps even go for the occasional meal out, and an annual domestic trip.

How much will that cost me?

According to ASFA, a comfortable retirement for Australians aged 65 to 84 years old is expected to cost around $54,840 per year for single Aussies. It is expected to cost roughly $77,375 per year for a couple. 

These figures also assume that you’ll be entitled to receive a part Age Pension payment once you reach age 67.

That means ASFA’s data indicates that by age 67, single Australians need a superannuation balance of approximately $640,000. And couples should have closer to $730,000.

How do I know if I’m on the right track?

Unfortunately, at up to $395,852, the average superannuation balance at age 61 falls short of what Aussies at the same age actually need in order to reach the retirement lifestyle they want.

I’ve crunched the numbers and it turns out that in order to reach the superannuation balance needed by age 67, at age 61 you’d need closer to $519,000 in your super.

That’s significantly higher than the average balance for both men and women the same age.

How can I bridge the gap between my average balance and what I actually need?

At age 61, it’s not too late to catch up.

The first thing to do is check that your super fund is performing well and your risk profile is appropriate for your age. 

Next, you’ll need to focus your attention on making extra contributions however you can. Individuals can make concessional (before-tax) super contributions, such as salary sacrificing, taxed at a reduced rate and up to an annual cap. You can also make after-tax payments within your annual limits. 

It also makes sense to check in with Government contribution rules. There are several rules and co-contribution rules you might be eligible for, depending on your personal circumstances. Every cent counts when it comes to compound growth!

The post Average superannuation balance for 61 year olds in 2026. How does yours compare? appeared first on The Motley Fool Australia.

More reading

• If I’d invested $7,000 in Zip shares 3 months ago, guess what I’d have now!
• Reliance Worldwide closes Australian brass sites
• Where to invest $500 on the ASX right now
• I’d buy this ASX share because it offers almost everything an investor could want
• The US-Iran peace deal just wavered. Here is what this means for these ASX shares

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

Every year that goes by makes the ASX share Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) more appealing to me.

The investment house regularly adds to its portfolio, which helps improve the quality of the business and increase its long-term prospects.

For example, it recently announced that it was selling its stake of a property investment trust worth $1.9 billion. Management said that this transaction will provide an opportunity for Soul Patts to reallocate capital toward opportunities it’s seeing across domestic and international markets.

This move could help the growth trajectory of the portfolio with the investments it makes with its new war chest. It’s looking at both local and international investments.

There are three areas that make me think this ASX share could be a good buy today.

Diversification

Plenty of investors just want to invest in quality options that provide good diversification and deliver solid returns. That’s partly why exchange-traded funds (ETFs) are so appealing to a lot of Aussies, allowing them to track the market.

Soul Patts has a diversified portfolio across a number of industries, including resources, telecommunications, financial services, building products, property, agriculture, water entitlements, swimming schools, electrification, credit and plenty more.

By owning this investment, investors can get access to a diversified portfolio through just one holding.

With its steadily adjusting portfolio over time, I think this company can future-proof itself and continue its excellent longevity. It’s already more than 120 years old.

Passive dividend income

In multiple ways, Soul Patts is the ultimate ASX dividend share, making it a great choice for passive income.

The company has paid a dividend every year in its listed existence, including through the world wars, global pandemics, economic recessions, various Prime Ministers and so on. Nothing has stopped that passive income flowing. It’s not guaranteed, though, of course.

Soul Patts also has the record for the longest continuous dividend growth streak on the ASX. It has hiked its regular payout every year since 1998, so it’s approaching 30 years of non-stop dividend growth.

It pays its dividend from the investment cash flow from its portfolio of shares, property, credit and private businesses. Soul Patts usually has a reasonably generous dividend payout ratio, but it still retains a material amount of its cash flow each year to invest in opportunities.

The cash flow growth can come from a combination of the organic growth of its own investments, as well as additional investments over time.

The only thing that doesn’t stand out as much is the dividend yield – at the time of writing it has a grossed-up dividend yield of 3.5%, including franking credits.

Capital growth

Some investors may be more focused on capital growth than dividends or diversification.

Soul Patts is not a high-flying AI company, but it’s the sort of business that has been able to provide steady compounding thanks to the growth in the value of the portfolio.

Over the last five years, the Soul Patts share price has risen 41%, at the time of writing. Past performance is not a guarantee of future returns of course, but I wouldn’t be surprised if it delivered a similar (or better) return over the next five years.

I’m seeing the business shift its portfolio towards a more growth-orientated focus, which I think will be a big positive for the longer-term returns.

As the years go by, I think it’s becoming more attractive as an investment for capital growth.

When combined in a portfolio with other attractive ASX shares, I think it’s a very good buy today.

The post I’d buy this ASX share because it offers almost everything an investor could want appeared first on The Motley Fool Australia.

More reading

• Term deposits or ASX dividend shares as the RBA holds?
• How to invest in ASX shares when you can’t find stocks to buy
• Why are Soul Patts shares pushing higher again on Thursday?
• How much is needed in superannuation to target an $8,000 monthly passive income?
• These ASX dividend shares keep giving investors a pay rise

Motley Fool contributor Tristan Harrison 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 Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Peace, it turns out, is easier said than done.

The market has turned jittery after Iran said it had re-closed the Strait of Hormuz over the weekend following Israeli strikes on Lebanon.

That news lands just days after the US and Iran signed an interim peace deal and oil began flowing through the Strait again, sending prices sharply lower.

US and Iranian officials are now in Switzerland for further discussions, but the renewed closure shows just how fragile the agreement remains.

For these ASX shares, that uncertainty has direct and immediate implications.

How oil prices have whipsawed on peace deal headlines

The speed of the reversal has been extraordinary.

Oil prices fell to US$76.64 a barrel for WTI and US$79.38 a barrel for Brent on Friday, as traders sold down prices following the peace deal signing and the resumption of shipping through Hormuz.

That fall came after months of extreme volatility.

Brent crude has previously bounced following fresh US attacks on Iranian targets, only to fall again days later on renewed peace optimism.

The market has now whipsawed in both directions multiple times since the conflict began on 28 February 2026. Today’s renewed Strait closure adds yet another reversal to that pattern.

What it means for Woodside, Santos, and Beach Energy shares

Woodside Energy Group Ltd (ASX: WDS) has been one of the biggest beneficiaries of elevated oil prices in 2026, rising 21% year to date.

A renewed closure of the Strait would likely reverse that recent decline and push the share price higher again.

However, Woodside’s longer-term investment case is not solely dependent on the oil price, with Scarborough LNG now 94% complete. The project is on track for first cargo in Q4 2026, providing earnings support regardless of where oil settles.

Santos Ltd (ASX: STO) is up approximately 18% year to date and fell 8% in a single session when the original peace deal news broke. This illustrates just how sensitive the stock remains to Middle East headlines.

Santos’ Barossa LNG project is already producing at 75% of its planned 2026 rates, giving the business some insulation from oil price swings.

Beach Energy Ltd (ASX: BPT) remains the most leveraged of the three to oil price movements, given its smaller size. The company has continued to underperform even during periods of rising oil prices due to its own production guidance downgrade earlier in FY 2026.

Why the broker community remains divided on these ASX shares

Peak Asset Management holds a hold rating on Woodside. The asset manager has noted that the company continues to execute strongly operationally even as quarterly production fell 8% due to seasonal weather events, with the average realised oil price rising 11% in Q1 2026.

This nuanced view, constructive on operations but cautious on the unresolved geopolitical backdrop, reflects the difficulty brokers face in pricing these stocks while the Hormuz situation remains this unsettled.

The key lesson for investors

The most important thing for ASX investors to understand is that this situation remains unresolved.

The Strait of Hormuz has opened and closed multiple times since February. Each reversal has triggered a sharp and immediate share price reaction across Woodside, Santos, and Beach Energy.

Positioning a portfolio for a single, confident outcome carries real risk given how quickly this situation has shifted in both directions over the past four months.

Foolish Takeaway for these ASX shares

The US-Iran peace deal has wavered just days after being signed, with Iran re-closing the Strait of Hormuz over the weekend.

For Woodside, Santos, and Beach Energy shareholders, that means the volatility that has defined 2026 is unlikely to disappear soon.

Investors in all these ASX shares should expect continued share price swings as the situation in the Middle East continues to evolve in real time.

The post The US-Iran peace deal just wavered. Here is what this means for these ASX shares appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Tuesday
• Up 23% this year, should I buy Woodside shares today?
• Buy, hold, sell: JB Hi-Fi, Westpac, Santos shares
• Buy, hold, sell: Life360, Woodside, CSL shares
• 5 things to watch on the ASX 200 on Monday

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 Stockland Corporation Ltd (ASX: SGP) share price is in focus as the company announces an estimated distribution of 16.2 cents per security for the second half of FY26, bringing the full year payout to 25.2 cents, matching previous guidance.

What did Stockland report?

• Estimated 2H26 distribution: 16.2 cents per Ordinary Stapled Security
• FY26 full year distribution: 25.2 cents per Ordinary Stapled Security
• Distribution Record Date: 30 June 2026
• Payment Date: 31 August 2026
• Distribution Reinvestment Plan (DRP) will not operate for this period

What else do investors need to know?

Stockland has confirmed that the full-year distribution is in line with its prior guidance, offering stability for investors. The Distribution Reinvestment Plan (DRP) won’t apply for the 2H26 distribution, so any previous DRP elections won’t be used this time. No action is needed unless securityholders want to change their nomination.

The company will release its full-year financial results and final distribution details on 19 August 2026. Securityholders can access DRP FAQs and rules at the Stockland Investor Centre for more information.

What’s next for Stockland?

Investors can look forward to the upcoming results announcement, which will provide more detail on Stockland’s financial performance for FY26. With the distribution matching guidance and the next update scheduled, Stockland continues to emphasise consistency in its investor communications and returns.

Decisions on the Distribution Reinvestment Plan for future periods will be communicated in due course, and investors are encouraged to review their nominations if necessary.

Stockland share price snapshot

Over the past 12 months, Stockland shares have declined 25%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 4% over the same period.

View Original Announcement

The post Stockland announces FY26 distribution and DRP update appeared first on The Motley Fool Australia.

More reading

• Reliance Worldwide closes Australian brass sites
• Transurban Group overhauls NSW toll enforcement, ditches paper notices
• Iluka Resources signs multi-year rare earths supply deal
• Up 1,700% and more, what’s next for these ASX 200 shares?
• 5 things to watch on the ASX 200 on Tuesday

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 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 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.

The Transurban Group (ASX: TCL) share price is in focus today after the company announced a comprehensive overhaul to its NSW toll enforcement process, including switching off toll notice administration fees and moving to digital notifications for unpaid tolls.

What did Transurban Group report?

• Agreement with NSW Government to digitise unpaid toll reminders via email and SMS
• Phased switch-off of paper toll notices and elimination of related administration fees from July 2026*
• Enhanced support for motorists experiencing financial hardship
• Changes tied to broader Toll Reform outcomes between concessionaires and the NSW Government
• Ongoing protection of Transurban and partner investment in Sydney’s $36 billion road network

What else do investors need to know?

Transurban, alongside its investment partners, worked closely with the NSW Government to revamp the state’s toll notice process, aiming for earlier and more direct engagement with motorists. The reforms promise not only operational efficiency—like reduced paper usage—but also improvements to the customer experience, with timely digital alerts and clearer pathways for those in financial difficulty.

The reforms’ implementation will depend on the finalisation of administrative arrangements with Transport for NSW and the conclusion of broader toll reform discussions. If all goes to plan, the digital system is expected to roll out in July 2026.

What did Transurban Group management say?

CEO Michelle Jablko said:

Digitising toll notices will result in a better customer experience and reduced operating costs. These changes are consistent with the Government’s commitment to respecting the value of existing contracts and the revenue of concessionaires and are contingent on broader toll reform outcomes.

What’s next for Transurban Group?

With the new digital enforcement process nearing implementation, Transurban is positioning itself for smoother and more efficient toll collection in NSW. Investors can expect to hear more as the company and government finalise system upgrades and the broader Toll Reform package.

For now, the transition marks the final stages towards a significant shake-up in how Sydney’s toll roads are managed. Transurban says these changes should benefit motorists, the NSW Government, and shareholders by protecting core investments and supporting simpler road use.

Transurban Group share price snapshot

Over the past 12 months, Transurban Group shares have risen 5%, slightly outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 4% over the same period.

View Original Announcement

The post Transurban Group overhauls NSW toll enforcement, ditches paper notices appeared first on The Motley Fool Australia.

More reading

• Reliance Worldwide closes Australian brass sites
• Stockland announces FY26 distribution and DRP update
• Iluka Resources signs multi-year rare earths supply deal
• Up 1,700% and more, what’s next for these ASX 200 shares?
• 5 things to watch on the ASX 200 on Tuesday

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 Transurban Group. The Motley Fool Australia has positions in and has recommended Transurban Group. 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.

ASX healthcare shares have tested investors’ patience in recent years.

Some former market favourites have fallen out of favour as growth expectations, margins, valuations, and sentiment have all been reassessed.

But healthcare is still one of the most attractive long-term sectors on the market.

Demand is supported by ageing populations, chronic disease, medical innovation, and the simple reality that people do not stop needing treatment when the economy slows.

Two ASX healthcare shares that could be worth buying with a long-term view are in this article.

CSL Ltd (ASX: CSL)

The first ASX healthcare share to look at is biotech giant CSL.

It has been through a difficult period, with investors becoming far more cautious on its earnings outlook and growth profile.

But it could be worth sticking with the company. CSL is a global leader in plasma therapies, with products used across areas such as immunology and haematology. It also has exposure to vaccines and iron deficiency through other parts of the group.

This gives the company a broad healthcare platform, rather than a single product or single treatment market.

The plasma business is particularly important. It requires collection centres, manufacturing expertise, regulatory approvals, scale, and deep relationships across healthcare systems. These are not easy advantages for competitors to replicate quickly.

That does not mean CSL will rebound immediately. Management still needs to restore confidence, improve execution, and prove that its earnings base can grow again. But for patient investors, this is where the opportunity may sit.

If CSL can stabilise its performance and return to sustainable earnings growth, the current period of weakness could eventually look like a major reset in a high-quality healthcare business.

ResMed Inc (ASX: RMD)

Another ASX healthcare share that could be a great long-term buy is ResMed.

It is a global leader in sleep apnoea treatment and connected respiratory care.

ResMed’s products help patients breathe better and manage sleep-related breathing disorders. This includes devices, masks, accessories, software, and digital tools that support ongoing treatment.

The long-term opportunity is significant. Sleep apnoea is significantly underdiagnosed in many markets, but awareness of sleep health continues to grow. As more people are tested and treated, demand for ResMed’s devices and consumables could continue expanding.

So, with its shares down heavily from their highs, now could be an opportune time to invest with a long term view.

Why patience is important

CSL and ResMed are very different companies, but they share some important qualities.

Both operate in global healthcare markets, both have built strong positions over many years, both provide products that address real medical needs, and both have the potential to benefit from long-term demand rather than short-term consumer trends.

The challenge is that healthcare investing often requires patience.

Earnings growth can be uneven, sentiment can change quickly, and operational setbacks can take time to fix. Investors who buy these shares need to be willing to look beyond the next result and focus on the quality of the businesses over a longer horizon.

For patient investors, that could make CSL and ResMed shares very interesting opportunities right now.

They may take time to recover, but their global market positions, healthcare exposure, and long-term demand drivers could make them great ASX shares to buy and hold for the years ahead.

The post Should I buy CSL and ResMed shares right now? appeared first on The Motley Fool Australia.

More reading

• 2 ASX shares tipped to grow 50% or more in the next 12 months
• 3 reasons why experts think CSL shares are a sell
• 3 ASX healthcare shares to sell despite signs of sector rebound
• Buy, hold, sell: Life360, Woodside, CSL shares
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Motley Fool contributor James Mickleboro has positions in CSL and ResMed. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL and ResMed. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Iluka Resources Ltd (ASX: ILU) share price is in focus after the company secured its first binding, multi-year offtake agreement for magnet rare earth oxides, promising minimum revenue of US$155 million over four years.

What did Iluka Resources report?

• Signed a binding, multi-year offtake agreement with a global automotive company
• Agreement covers supply of around 1,200 tonnes of magnet rare earth oxides (Nd, Pr, Dy, Tb) over four years
• Commences in 2028, in line with Eneabba refinery commissioning and ramp up
• Minimum revenue of US$155 million under the take-or-pay terms; potential for US$172 million if industry prices hold
• Volumes represent about 10% of Iluka’s planned rare earths output for the period

What else do investors need to know?

Iluka’s agreement sets pricing at the higher of minimum or market-linked prices for each product, boosting revenue security while keeping upside if prices rise. The contract signals early commercial confidence in Eneabba, which is now over 50% complete and scheduled for commissioning in 2027.

The deal covers both light and heavy magnet rare earth oxides and is with a ‘globally recognised automotive company’—though the customer’s name remains confidential. The company notes that talks with other potential buyers are ongoing, which could further underpin future sales.

What did Iluka Resources management say?

Managing Director Tom O’Leary said:

Iluka’s offtake agreement marks a particularly important milestone in the development of our rare earths business. Our first rare earths customer is a globally recognised automotive company and I am delighted that Iluka has been entrusted to deliver refined critical minerals as part of its supply chain. We look forward to a collaborative and successful partnership.

Beyond being Iluka’s first, the agreement is significant in that it encompasses the full suite of light and heavy magnet rare earth oxides and contains minimum prices agreed between commercial parties that are independent of those backed by governments.

One year out from commissioning, Iluka’s rare earth oxides have been procured by an end-use customer in a likeminded nation. This demonstrates increasing recognition of Iluka’s position as a credible, vertically integrated supplier, with diverse feedstock sources spanning internal operations and third-parties. Discussions with other prospective customers are ongoing.

What’s next for Iluka Resources?

With this offtake agreement in place, Iluka’s rare earths business edges closer to first production from the Eneabba refinery in 2027 and initial deliveries from 2028. Management continues to engage with more potential customers and aims to further diversify its rare earths sales.

The company is also progressing plans to ramp up production using additional feedstocks in future years, which would grow the Eneabba refinery’s capacity beyond current plans, strengthening its competitive position in critical minerals supply.

Iluka Resources share price snapshot

Over the past 12 months, Iluka Resources shares have risen 138%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 4% over the same period.

View Original Announcement

The post Iluka Resources signs multi-year rare earths supply deal 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 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 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.