Author: openjargon

EBR Systems Ltd (ASX: EBR) disappointed investors this week when it announced it had implanted just 40 WiSE systems during the quarter, below its own forecast.

The company’s shares are now down almost 90% over a 12-month period, but according to the analyst teams at both Bell Potter and Morgans, there’s upside to be had from there.

It’s just that the two brokers differ wildly on how much upside there will be.

Quarterly report fell short of expectations

I’ll get to the specifics of their predictions shortly. First let’s have a closer look at what the company reported this week.

EBR Systems has developed the world’s only wireless cardiac pacing device for heart failure – the WiSE system – and is in the early stages of its commercial roll out.

In the third quarter the number of implantations was below previous quarters, with the company saying a change in management at its US operations, a change in strategy, and additional field training requirements led to the decline.

EBR systems said it was recruiting to build out its commercial team in the US, with numerous searches under way.

The company said:

EBR continues to refocus field management and activities around deeper utilisation within activated accounts, increased procedural frequency and strengthened field training and support. These initiatives are intended to strengthen U.S. commercial execution, with benefits expected to build progressively as additional field training is completed and account activity increases.

During the quarter EBR also completed the final tranche of a $150 million capital raising.

Shares looking cheap, or very cheap

Morgans said in its research note on the company that it understood a new sales strategy was needed.

They said:

Notably, WiSE adoption requires a sustained, high-touch sales effort, with representatives previously focused on prioritising the opening of new sites rather than supporting existing accounts and generating repeat procedures. Management is redirecting resources towards activated centres, strengthening territory accountability and changing its sales training model, with early feedback encouraging.

Morgans said there was little visibility of sales going forward, with the company reporting encouraging signs in early October, but giving no formal guidance.

They added:

We continue to see value in WiSE’s differentiated technology, clinical utility and substantial potential market opportunity. However, disappointing execution, greater commercial intensity and uncertain adoption trajectory warrant more conservative forecasts and a materially lower valuation. We see the potential for a recovery in commercial momentum, although the investment case now hinges on evidence of execution rather than the theoretical size of the opportunity.

Morgans lowered their price target from $1.95 to $1.20, which is still 757.1% higher than the current price of 14 cents.

Bell Potter, on the other hand, lowered their price target from 70 cents to 20 cents, which would be a 42.9% return if achieved.

EBR Systems is valued at $131 million.

The post This ASX biotech could rise 40% or 750%, depending on who you ask appeared first on The Motley Fool Australia.

More reading

• This ASX biotech could nearly triple in value Bell Potter says

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

The Alcoa Corporation Ltd (ASX: AAI) share price is under the spotlight following the company’s third quarter 2026 results, which featured net income of $483 million and continued strong operational performance.

What did Alcoa report?

• Revenue of $3.7 billion for Q3 2026, down 7% from Q2 2026
• Net income attributable to Alcoa Corporation rose to $483 million (Q2 2026: $407 million)
• Adjusted net income: $485 million; adjusted earnings per share: $1.82
• Adjusted EBITDA (excluding special items): $789 million
• Free cash flow of $472 million for the quarter
• Cash balance of $4.4 billion, including $2.6 billion in financing for the AliGroup acquisition

What else do investors need to know?

Alcoa increased aluminium production for the sixth consecutive quarter, with five smelters and one refinery hitting year-to-date volume records. The company completed the restart of its Alumar smelter in Brazil, supporting higher output.

The major AliGroup acquisition from South32 advanced significantly, with funding secured and South32 shareholders approving the deal. The transaction is tracking for completion in the first half of 2027.

Alcoa also entered into agreements to sell portions of its Massena East site in New York, targeting up to $315 million in potential proceeds over the next seven years, conditional on project developments.

What’s next for Alcoa?

Alcoa reaffirmed its 2026 alumina and aluminium production and shipment forecasts, expecting further gains in the fourth quarter as stability continues across its refineries and smelters. Management anticipates steady Alumina segment margins and some cost headwinds in the Aluminium segment due to higher raw material costs and scheduled maintenance.

The company aims to close the AliGroup acquisition in early 2027, integrate these assets, and continue efforts to optimise its operating portfolio. Higher interest income from acquisition cash reserves and an increased annual interest expense are on the radar for Q4 and beyond.

Alcoa share price snapshot

Over the past 12 months, Acola shares have risen 6%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has fallen 2% over the same period.

View Original Announcement

The post Alcoa posts higher net income, sets sights on AliGroup completion appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today

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 Deep Yellow Ltd (ASX: DYL) share price is in focus after the company announced it will delay its Final Investment Decision (FID) for the Tumas uranium project in Namibia beyond Q4 2026, but reports strong progress on construction and key civil works.

What did Deep Yellow report?

• Final Investment Decision for Tumas project postponed due to current equity market conditions
• Civil and concrete works at Tumas are fully funded with existing cash reserves
• 170 tonnes of reinforcing steel installed; all major concrete pouring areas prepared
• Four local contracts awarded worth A$3.7 million to support ongoing construction
• Environmental Clearance Certificates renewed until 2029
• 440 contractor and employee safety inductions completed

What else do investors need to know?

Deep Yellow is pushing ahead with on-site civil works at Tumas, with concrete pouring underway and off-site pre-casting of wall panels progressing as scheduled. The company highlights that these construction activities are fully funded and represent a key step in systematically de-risking the project ahead of FID.

Local economic participation has also been a focus, with contracts awarded to Namibian businesses for fuel, water, waste management, and dust suppression services. Safety remains a priority, demonstrated by comprehensive health, environment, and risk management training for the site workforce.

What did Deep Yellow management say?

Managing Director and CEO Greg Field said:

Tumas is a world-class, fully permitted uranium project in a Tier 1 jurisdiction that will play a key role in providing the next generation of supply of this key decarbonisation fuel. Despite the compelling global uranium market fundamentals, challenging equity market conditions continue to constrain funding options for uranium developers. Against this backdrop, we believe it is prudent to defer FID beyond Q4 2026 while maintaining construction momentum and progressing our funding strategy to ensure Tumas is well positioned to advance when market conditions improve. The commencement of civil works on schedule represents another significant milestone for Tumas, reflecting the considerable progress achieved across engineering, procurement and construction readiness as we systematically de-risk the project’s development. I am extremely pleased with the progress being made and the dedication and commitment of our team, which is now translating into tangible progress on the ground.

What’s next for Deep Yellow?

Deep Yellow plans to finalise and release an optimisation study and updated economic assessment for Tumas, which will inform the next phase of its development. The company is keeping construction moving at a steady pace, aiming to benefit when equity market conditions improve and to ensure Tumas is ready for the next major investment decision.

Looking further ahead, Deep Yellow remains focused on developing both its Namibian and West Australian project portfolios as part of its mission to become a globally diversified uranium producer.

Deep Yellow share price snapshot

Over the past 12 months, Deep Yellow shares have declined 67%, trailing the S&P/ASX 200 Index (ASX: XJO), which has fallen 3% over the same period.

View Original Announcement

The post Deep Yellow updates on Tumas project progress, delays FID appeared first on The Motley Fool Australia.

More reading

• Own ASX mining shares? Official forecasts show commodity prices peaking in FY27
• Here are the top 10 ASX 200 shares today
• 3 ASX shares tipped to fly 109% to 322% higher
• Buy, hold, sell: Deep Yellow, SGH, Telstra shares
• This ASX uranium stock could rise 40%: Broker

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.

A2 Milk vs Bega Cheese shares

If I had $1,000 to invest as a beginner and wanted to dip into ASX-listed consumer stocks, a2 Milk Company Ltd (ASX: A2M) and Bega Cheese Ltd (ASX: BGA) are both tempting choices from the Australian dairy aisle. Both are household names with strong brands at home and recognition overseas. But each has its own strengths when it comes to dividends, valuation, business strategy, and share price performance. Here’s how I’d compare A2 Milk vs Bega Cheese shares for a first-time investor.

The case for a2 Milk

The a2 Milk is best known for its fresh milk and infant formula that contain only the A2 protein type, a point of difference marketed as easier on digestion. Founded in 2000 in New Zealand, a2 Milk sources, produces and supplies its branded milk products throughout Australia and key global markets, including China. In 2025, the company announced the acquisition of Yashili New Zealand for NZ$282 million and the sale of its Mataura Valley Milk investment, aiming to reshape its supply chain for efficiency and growth.

Some standout fundamentals:

• Market Cap: $4.79 billion – more than twice Bega’s, marking it as a larger industry player.
• P/E Ratio: 28.83 – moderate for a branded consumer staple, not a bargain but not sky-high either.
• Dividend Yield: 2.21% (unfranked) – a solid yield, though the absence of franking credits means less after-tax income for Australian investors.

The 2026 year-to-date (YTD) return is -23.2%, reflecting a tough recent run for the shares. The most recent reported earnings per share (EPS) is $0.286, and the annual dividend per share is $0.13. Notably, dividend payments have been unfranked to date.

The case for Bega Cheese

Bega Cheese is much more than its namesake cheddar block. It’s a major Australian food manufacturer behind iconic supermarket brands like Bega Cheese and Vegemite, and it now boasts a strong portfolio of consumer packaged goods along with a traditional bulk dairy business. Bega’s diversified product base reaches supermarkets, food service, and export markets, with production mainly in NSW and Victoria and global reach to about 40 countries.

Here’s what draws my eye:

• Market Cap: $1.95 billion – smaller than A2 Milk, but still a significant Aussie food player.
• P/E Ratio: 36.35 – higher than A2 Milk’s, suggesting it’s priced a bit richer relative to current earnings. (Keep in mind, comparisons across even related consumer segments can be a bit apples-to-oranges.)
• Dividend Yield: 2.24% (fully franked) – about equal to A2 Milk’s, but the 100% franking makes each dollar received more attractive for Australian taxpayers.

Bega’s YTD return is a positive 9.2%, showing solid traction in 2026. The annual dividend per share is $0.15, and the most recent EPS is $0.178. Impressively, Bega has paid consistent, fully franked dividends every year since 2012, building trust with income-seeking investors.

Valuation comparison

There are some meaningful contrasts in valuation and income features between these two stocks.

Metric	a2 Milk	Bega Cheese
Market Cap	$4.79 billion	$1.95 billion
P/E Ratio	28.83	36.35
Dividend Yield	2.21% (unfranked)	2.24% (fully franked)
Dividend per Share	$0.13	$0.15
Earnings per Share	$0.286	$0.178

Note: Bega Cheese’s P/E ratio is higher, even though its EPS is lower than a2 Milk’s. Sector differences and growth expectations may play a part here, so while it looks “dearer,” I’d be careful about declaring either cheap or expensive without a wider peer comparison.

Also, while both offer similar yields, Bega’s dividends are fully franked — a genuine benefit for most Aussie shareholders, making a big difference at tax time.

Recent share price momentum

Comparing recent share price performance up to October 2026:

• A2 Milk closed at $6.58, having slipped -0.75% for the day and nursing a hefty YTD decline of -23.2%.
• Bega Cheese closed at $6.38, dipping -1.39% that day but up 9.2% YTD.

So, Bega has delivered not only positive absolute gains in 2026 but also dramatically outperformed a2 Milk, which has had a challenging year so far.

Which is the better buy?

If I were a beginner with $1,000 looking for a consumer stock to start off with, I’d lean toward Bega Cheese. Here’s why: Bega offers a slightly stronger dividend yield, and crucially, those dividends are fully franked — making them punch above their headline rate after tax. On top of this, Bega’s long dividend-paying track record should give new investors some peace of mind.

While a2 Milk brings a bigger market cap and arguably a bit more global “growth” sizzle, its unfranked dividends mean less take-home income. Also, its shares have taken a beating this year, which could signal a value opportunity, but as a beginner I’d rather start with the steady and simple earner showing positive momentum.

For a first-time $1,000 investment, my pick would be Bega Cheese: stable, income-generating, and trending up in 2026.

The post A2 Milk vs Bega Cheese: Which ASX dairy stock is better for new investors? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• 5 things to watch on the ASX 200 on Thursday
• Brokers tip up to 67% for these 3 ASX shares
• Investors get defensive as ASX 200 drifts to a 15-week low
• Here are the top 10 ASX 200 shares today

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 draft. 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.

Today, PLS Group Ltd (ASX: PLS) announced a major A$600–650 million investment plan to upgrade infrastructure at its flagship Pilgangoora Operation, aiming to lower costs and boost productivity.

What did PLS Group report?

• Planned A$600–650 million capital investment at Pilgangoora Operation, spanning FY27 to FY29
• Wodgina Road East upgrade to enable higher-capacity haulage and reduce concentrate transport costs by ~35%
• Construction of a new 1,200-bed permanent village to support workforce wellbeing and operational efficiency
• Build of a purpose-built mine services facility for ultra-class mining equipment
• Most project spending expected in FY28, with completion targeted for FY29

What else do investors need to know?

The infrastructure program is designed to strengthen Pilgangoora’s position as a leading hard-rock lithium operation. Upgrades are predicted to lower ongoing costs, streamline operations, and provide additional infrastructure capacity for the planned P2000 production expansion.

PLS is working alongside the Western Australian government, which has already committed an initial A$11 million towards key public roadworks. Further co-funding from state and federal governments is being explored, especially for public infrastructure elements.

The mine village overhaul aims to relocate and consolidate accommodation for improved workforce attraction and retention. Clearing the old camp will also allow more flexible and efficient mine development, potentially reducing environmental impacts.

What did PLS Group management say?

PLS Managing Director and CEO, Dale Henderson, said:

Pilgangoora has grown significantly over the past decade and, as we look ahead, we are continuing to invest in the infrastructure needed to support the long-term potential of this world-class asset. These investments make sense to deliver for Pilgangoora today. They are expected to reduce operating costs, improve productivity and strengthen the existing operation, while also providing the infrastructure capacity required to support the increased scale of P2000… We have built a strong operating position at Pilgangoora and remain focused on continuing to improve it. These investments are another step in strengthening our competitive position and supporting long-term value creation through the cycle.

What’s next for PLS Group?

PLS plans to phase the infrastructure investment over three years, targeting completion by FY29. Upgrades to road, village, and maintenance facilities are set to unlock greater efficiencies and support the upcoming P2000 project, which will lift production capacity.

Management will continue collaborating with government partners and stakeholders to secure funding and ensure a smooth delivery. The company says it is committed to maintaining Pilgangoora as a world-leading operation in the lithium sector.

PLS Group share price snapshot

Over the past 12 months, PLS shares have risen 12%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has declined 3% over the same period.

View Original Announcement

The post PLS Group to invest $650m in Pilgangoora upgrades to fuel growth appeared first on The Motley Fool Australia.

More reading

• 5 ASX 200 stocks analysts have upgraded this week
• Own ASX mining shares? Official forecasts show commodity prices peaking in FY27
• Down 30%: Why a top broker just upgraded PLS shares
• 5 things to watch on the ASX 200 on Wednesday
• These are the 10 most shorted ASX shares

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.

When it comes to retirement, there are several different metrics that you can use to work out how much you’ll spend, and therefore how much you need saved away in your superannuation.

But what if, rating than living off your superannuation balance, you could continue earning your working wage even after you retire?

According to the Australian Bureau of Statistics, $108,352 is the average full-time earning of Australians in 2026.

If you’re able to continue generating the same income level in your retirement years, then you’ll be able to live above and beyond a comfortable retirement lifestyle.

And it’s easier than you’d think.

If you invest your superannuation wisely you could generate a passive income in retirement on par with the average $108,000 Aussie wage.

But what would it actually take?

Let’s investigate.

How much do I need in my superannuation to earn an annual passive income of $108,000?

To calculate the amount of superannuation you need, you’ll need to divide your annual passive income by the dividend yield of your portfolio.

The only issue is that the answer varies depending on what that yield is.

The general rule of thumb is, as your yield goes up, the passive income you can earn off the same balance also increases.

This means that a portfolio with a dividend yield of say, 6%, only needs to be half the size of one with a 3% dividend yield in order to earn the same amount of passive income every year.

Break it down for me by yield

If your overall superannuation portfolio has a dividend yield of around 2%, you’ll need a balance of $5.4 million.

Obviously that’s a huge figure, and out of reach for many Australians. 

But remember, as your yield increases, the required balance goes down. 

If the yield of your portfolio is closer to 3%, your balance would need to be closer to $3.6 million.

For a 4% yielding portfolio, you’d need a balance closer to $2.7 million.

Raise it a little more to 5% and you’re looking at a balance of $2.16 million. That will still generate the same $108,000 passive income every year.

At a yield of 6%, your superannuation portfolio would need to be around $1.8 million in size.

It could then go down to around $1.54 million or $1.35 million for a 7% or 8% yielding portfolio, respectively.

I’m a little risk adverse, I’d be most comfortable with investing my superannuation into 4-6% yielding ASX shares. What are my options?

It’s a wise move.

It can be tempting to go for the highest yielding shares with the expectation that you could earn that same passive income off a much smaller balance. And it’s possible, but it’s a risky investment strategy.

Generally the higher yielding ASX dividend investments are associated with more risk. Investors might be faced with lower capital growth or a fluctuating income.

But a 4-6% yield is often considered to be the “sweet spot”.

It’s the middle ground between large, stable, low-growth ASX businesses, and high-growth volatile shares. 

Companies in this bracket could be some of the major banks, defensive infrastructure shares, or energy stocks. 

For example, Telstra Group Ltd (ASX: TLS), AGL Energy Ltd (ASX: AGL), National Australia Bank Ltd (ASX: NAB), ANZ Group Holdings Ltd (ASX: ANZ), Westpac Banking Corp (ASX: WBC), Transurban Group (ASX: TCL), and Origin Energy Ltd (ASX: ORG) and all yield around the 4-6% level, at the time of writing.

The post How much do I need in my superannuation to generate a $108,000 annual passive income? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• Average superannuation balance at 45. How does yours compare?
• Here are the top 10 ASX 200 shares today
• 5 things to watch on the ASX 200 on Thursday
• Here are the top 10 ASX 200 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 ASX dividend share Centuria Industrial REIT (ASX: CIP) looks irresistibly attractive right now. The value is compelling and the distribution yield is appealing.

This business is Australia’s largest listed domestic pure-play industrial real estate investment trust (REIT). Its industrial assets are located across key metropolitan locations throughout Australia, with a quality and diverse tenant base.

Its properties are spread across different segments of the industrial market, with 41% of portfolio value invested in distribution centres, 24% in manufacturing and production, 14% in transport logistics, 13% in data centres and 7% in cold storage.

For a few reasons, I rate this ASX dividend share as one of the best buys right now. Let’s get into those ideas.

Solid passive distribution income

It’s a difficult time for the REIT sector with rising interest rates, it’d be understandable if certain businesses in the industry have to cut their distribution payouts.

However, Centuria Industrial REIT is one of the few names that could increase the payout in FY27, which shows the quality of the underlying business.

The ASX dividend share expects to grow its annual distribution per security by 3% to 17.3 cents in FY27, following a 3% rise of the distribution in FY26.

At the time of writing, the FY27 projected payout translates into a forward distribution yield of 6.2%, which looks better to me than what term deposits are offering at the moment.

Huge valuation discount

One of the easiest ways to look at the valuation of a REIT is by looking at net asset value (NAV), which is a reflection of the total net value of the property values, the loans, the cash and so on.

Higher interest rates are a (short-term) headwind for property prices, but Centuria Industrial REIT has demonstrated that investors can have a good level of confidence in the NAV figure.

In the first quarter of FY27, being the three months to September 2026, it sold 22 Hawkins Crescent in Bundamba (Queensland) for $34.25 million, which was in line with the balance sheet value (which was part of the NAV). This sale mitigates the potential for extended vacancy risk and reduces exposure to a large-box, urban-fringe asset.

It reported net tangible assets (NTA) per unit of $4.01, so it’s trading at an NTA discount of 31%, at the time of writing.

Future rental income growth

A lot of income growth could occur in the next few years for the business, which is one of the main factors that’s attractive about this ASX dividend share.

During the first quarter of FY27, it leased around 25,000sqm of industrial space across seven deals. The FY27 re-leasing spreads averaged 31%, meaning the rent is now 31% higher in the new leases compared to the old leases.

The REIT estimates that the portfolio is approximately 17% under-rented on average, suggesting a significant runway for future rental growth beyond FY27.

Additionally, it has signed Australia’s largest renewable energy deal among domestic commercial property landlords with leading local distributed energy infrastructure partner Energy Bay, which means it can commercialise its substantial roof space without any capital expenditure and generate a future income stream.

This partnership could also allow the ASX dividend share to offer renewable energy solutions to its tenants.

Centuria Industrial REIT has guided that its rental profit (FFO – funds from operations) could grow up to 5.5% in FY26, which is impressive in the current environment.

The post 3 reasons why this ASX dividend share is an unmissable buy today appeared first on The Motley Fool Australia.

More reading

• Centuria Industrial REIT earnings: Leasing momentum and guidance reaffirmed
• How much is needed in superannuation to target a $7,500 monthly passive income?
• Where to invest $10,000 in ASX dividend shares today
• How much is needed in superannuation to target a $100,000 annual passive income?
• How much do I need to retire on $85,000 a year at 50?

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

The Zip Co Ltd (ASX: ZIP) share price is in focus after the company announced plans for a 5-to-1 consolidation of its fully paid ordinary shares, aiming to better align its share count with its market position.

What did Zip Co report?

• A proposed share consolidation on a five (5) for one (1) basis, reducing the number of ordinary shares significantly.
• Pre-consolidation: 1,245,921,802 fully paid ordinary shares; post-consolidation: approximately 249,191,788.
• All existing performance rights, restricted rights, and employee options will also be adjusted on a 5-for-1 basis.
• The consolidation requires shareholder approval at the 2026 Annual General Meeting on 19 November 2026.
• The move is not expected to affect the underlying value of Zip or total value of each shareholder’s holdings.

What else do investors need to know?

The Board believes consolidating Zip shares will result in a more typical capital structure for a company of Zip’s size. Management expects this could improve the appeal of Zip’s shares to a broader range of investors, possibly making the company’s shares easier to compare with other ASX-listed peers.

Should the consolidation proceed, holders of performance rights, restricted rights, and employee options will see corresponding adjustments. No action is required by shareholders or holders of these securities at this stage, as the company will provide written confirmation of adjusted balances after implementation.

What’s next for Zip?

If approved, the share consolidation is scheduled to take effect in late November 2026, with trading of the post-consolidation shares commencing from 23 November on a deferred-settlement basis, and normal trading expected to resume on 2 December 2026. Shareholders are encouraged to review the Notice of Meeting and monitor further announcements for any timetable changes.

The Board has unanimously recommended shareholders vote in favour of the consolidation, stating it will not affect the underlying value or proportionate shareholdings in Zip.

Zip share price snapshot

Over the past year, Zip shares have declined 53%, trailing the S&P/ASX 200 Index (ASX: XJO), which has fallen 4% over the same period.

View Original Announcement

The post Zip to consolidate shares 5-for-1 in 2026: What shareholders need to know appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Zip vs WiseTech: Which is the superior ASX growth stock today?
• 3 dirt cheap ASX shares I think are undervalued today
• Here are the top 10 ASX 200 shares today
• Down more than 50%, are Zip shares too cheap to ignore?

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.

ASX growth shares can be some of the best investments to own because of how much earnings could climb in the coming years.

There are a group of great businesses on the ASX that have delivered earnings growth and could continue to deliver success for many more years.

I’m not talking about businesses like Commonwealth Bank of Australia (ASX: CBA) or BHP Group Ltd (ASX: BHP) – they are already huge, largely mature companies.

I like ASX growth shares that have a long growth runway and preferably have multiple levers they can pull to expand the business.

The share prices of many of the ASX’s best companies have suffered in recent times because of both worries about potential AI disruption and higher interest rates. It’s times like this that give investors the ability to get access to great businesses at much better valuations, so I’d be very happy to increase my ownership further of the ones I own already.

If you think about what drives share prices, there are two main attributes.

First, there’s the earnings growth, which is what analysts spend so much time analysing and forecasting about a company. If profit increases by 10% each year, the underlying value of the business should also increase by 10%.

The other factor that can significantly impact a share price is what price-earnings (P/E) ratio investors are willing to pay. Internal business success can encourage investors to pay a higher earnings multiple, but what’s happening in the broader share market (whether positive or negative) is unpredictable.

Therefore, I think a good strategy is to invest in great ASX growth shares with an excellent long-term outlook and improving earnings. I think the profit growth is likely to justify good returns over the coming years.

With that in mind, I’m going to highlight my three best ASX growth shares and which I’d buy more of today.

Pro Medicus Ltd (ASX: PME)

Pro Medicus describes itself as a leading healthcare tech company, providing a full range of medical imaging software and services to hospitals, imaging centres, and healthcare groups. Some of its main offerings include radiology information system (RIS) and picture archiving and communication system (PACS).

It’s performing strongly and steadily gaining market share in the US as it wins large contracts.

During the 2026 financial year, it announced $407 million of new contracts, including a 10-year $170 million contract with UC Health Colorado and a seven-year $90 million contract with Beth Israel Lahey Health.

Following the FY26 result, the company announced yet another contract win – a seven-year $25 million contract with Valley Health.

These are multi-year contracts; therefore, the company has already locked in some good growth in FY27 and FY28 as the recent contract wins come online.

In FY26, Pro Medicus generated revenue of $261.7 million, up 22.9% year over year. For me, the more compelling factor is that the business reported an operating profit (EBIT) margin of 74.9% (which was up 90 basis points year over year).

With an EBIT margin that high, the company is turning around three quarters of revenue into operating profit, which is incredibly high for an ASX share. The fact that the EBIT margin keeps rising suggests new revenue is generating an even higher EBIT margin.

I think the company’s growth outlook is still positive, with plenty more market share to capture, its new cardiology offering for clients, and contract renewals performing so well.

In FY26, it renewed six out of six contracts worth $141 million on five-year terms. Those renewals came with higher increased minimums and an increased fee per transaction, which implies organic revenue growth.

After falling around 50% since July 2025, at the time of writing, I think this is a great time to look at Pro Medics shares and buy (more) of this ASX growth share.

Siteminder Ltd (ASX: SDR)

Siteminder is the second stock I’ll highlight. It provides software to hotels around the world to help with their revenue generation and operations. The company’s two main offerings are called Siteminder and Little Hotelier.

It’s a truly global player already, helping generate 140 million reservations worth over A$85 billion. At the end of FY26, there were 56,000 properties using its software, which was an increase of 5,600 year-over-year.

The world is becoming increasingly digital, which benefits Siteminder. Both hotels and travellers want digital tools and Siteminder can help with that.

Hotel demand for Siteminder’s software is driving its revenue, with 18.6% growth in FY26 to $266.1 million. It also reported that annual recurring revenue (ARR) grew 14.9% to $313.7 million, implying some growth in FY27 is already locked in.

The company’s profitability metrics continue to improve at a pleasing rate, giving me confidence it has a very positive future ahead. In FY26, adjusted operating profit (EBITDA) jumped 96.5% to $28.1 million, adjusted free cash flow rose 123% to $10.5 million and the adjusted gross profit margin improved 84 basis points (0.84%) to 67.2%.

I’m also excited about the growth outlook with its ‘smart platform’, which are add-ons that give hotels extra functionality and potentially significantly more revenue and efficiencies. The latest update was compelling.

In FY26, the ASX growth share reported that dynamic revenue plus now supports more than 50,000 rooms (more than double the FY26 first-half level), with those hotels benefiting from new AI-powered capabilities and predictive demand analytics. Channels plus grew to almost 10,000 hotels at the end of FY26, while the smart distribution program continued to see good progress too.

The smart platform can help push the average revenue per user (ARPU) higher in the coming years. In FY26 alone, ARPU rose 5.9% to $429.

According to the profit projection on Commsec, the Siteminder share price is valued at just 17x FY29’s estimated earnings, at the time of writing, following a decline of more than 60% over the past year.

TechnologyOne Ltd (ASX: TNE)

The third ASX growth share that I want to highlight is TechnologyOne, which provides enterprise resource planning (ERP) software to clients such as businesses, governments, local councils and universities.

Software is essential for easy access to systems and operational efficiency for organisations. TechnologyOne has more than 1,300 global clients that want to use its software.

The company retains around 99% of its clients each year, which is a great sign of customer satisfaction from its customer base.

Another positive with the company is its net revenue retention (NRR), which is the amount of additional revenue generated from the existing client base. In the FY26 half-year result, it reported NRR of 114%, which is impressive – the business doubles in size in five years if NRR is 115%. It has a target range of 115% to 120%.

NRR growth from current clients is being driven by software improvements, which I think will be a strong driver of profitability in the coming years.

The ASX growth share’s expansion in the UK market is also an exciting development because the UK also has businesses, local councils, governments and universities. In HY26, UK ARR grew 23% to $53 million. Some recent wins include Liverpool City Council, Salisbury City Council, the University of Suffolk and Royal Holloway, University of London.

The TechnologyOne share price is 21% lower than a year ago, at the time of writing, making it look a lot cheaper.

The post These are the best 3 ASX growth shares I own and I'd buy more of today appeared first on The Motley Fool Australia.

More reading

• 6 ASX shares hit by broker downgrades this week
• Buy, hold, sell: Siteminder, Bluescope Steel, Evolution shares
• 3 ASX shares I think could still be thriving in 2040
• Down 44%: Will you regret not buying Pro Medicus shares?
• Droneshield vs Pro Medicus: Which is the better ASX growth stock right now?

Motley Fool contributor Tristan Harrison has positions in Pro Medicus, SiteMinder, and Technology One. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended SiteMinder. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has positions in and has recommended SiteMinder. The Motley Fool Australia has recommended BHP 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.

Vanguard will pay ASX exchange-traded fund (ETF) investors their next dividends today.

Vanguard runs the biggest ETF on the market, the Vanguard Australian Shares Index ETF (ASX: VAS).

VAS ETF tracks the S&P/ASX 300 Index (ASX: XKO).

VAS ETF will pay 129.07 cents per unit this time around. This equates to a 1.2% dividend yield.

Dividends for Vanguard ASX ETF investors

Here is a summary of the final distributions that Vanguard will pay investors today.

ASX ETF	Distribution
Vanguard Australian Shares Index ETF (ASX: VAS)	129.07 cents per unit
Vanguard Australian Shares High Yield ETF (ASX: VHY)	120.13 cents per unit
Vanguard MSCI Index International Shares ETF (ASX: VGS)Â	28.72 cents per unit
Vanguard Australian Property Securities Index ETF (ASX: VAP)	34.87 cents per unit
Vanguard Australian Fixed Interest Index ETF (ASX: VAF)	31.29 cents per unit
Vanguard Australian Government Bond Index ETF (ASX: VGB)	27.52 cents per unit
Vanguard MSCI Australian Large Companies Index ETF (ASX: VLC)	130.82 cents per unit
Vanguard FTSE Emerging Markets Shares ETF (ASX: VGE)	3.32 cents per unit
Vanguard FTSE Asia ex Japan Shares Index ETF (ASX: VAE)	66.46 cents per unit
Vanguard FTSE Europe Shares ETF (ASX: VEQ)Â	12.29 cents per unit
Vanguard Australian Corporate Fixed Interest Index ETF (ASX: VACF)	41.47 cents per unit
Vanguard Global Aggregate Bond Index (Hedged) ETF (ASX: VBND)	26.27 cents per unit
Vanguard Diversified Conservative Index ETF (ASX: VDCO)	37.16 cents per unit
Vanguard Diversified Balanced Index ETF (ASX: VDBA)	36.68 cents per unit
Vanguard Diversified Growth Index ETF (ASX: VDGR)	40.07 cents per unit
Vanguard Diversified High Growth Index ETF (ASX: VDHG)	43.70 cents per unit
Vanguard Ethically Conscious International Shares Index ETF (ASX: VESG)	21.26 cents per unit
Vanguard Ethically Conscious Global Aggregate Bond Index (Hedged) ETF (ASX: VEFI)	19 cents per unit
Vanguard Global Infrastructure Index ETF (ASX: VBLD)	34.72 cents per unit
Vanguard MSCI International Small Companies Index ETF (ASX: VISM)Â	16.51 cents per unit
Vanguard Ethically Conscious Australian Shares ETF (ASX: VETH)	57.94 cents per unit
Vanguard Diversified All Growth Index ETF (ASX: VDAL)	30.81 cents per unit
Vanguard Diversified Income ETF (ASX: VDIF)	39.89 cents per unit
Vanguard S&P 500 US Shares Index ETF (ASX: V500)Â	9.99 cents per unit
Vanguard International Shares High Yield Index ETF (ASX: VIHY)	23.32 cents per unit
Vanguard Global Technology Index ETF (ASX: VTEK)	2.65 cents per unit
Vanguard Global Minimum Volatility Active ETF (ASX: VMIN)	33.84 cents per unit
Vanguard Global Value Equity Active ETF (ASX: VVLU)	31.67 cents per unit

The post Vanguard ETFs will pay dividends today. Here’s how much appeared first on The Motley Fool Australia.

More reading

• Why these Vanguard ETFs could be buys for beginners
• The 3 factors that have helped me build a six-figure ASX share portfolio at 35
• 3 excellent ASX ETFs for beginners in 2027
• Why I would invest $5,000 in these top Vanguard ETFs
• VGS vs V500: Which Vanguard ETF would I buy?

Motley Fool contributor Bronwyn Allen has positions in Vanguard Australian Shares High Yield ETF and Vanguard Msci Index International Shares ETF. 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 Vanguard Australian Shares High Yield ETF and Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.