Author: openjargon

The QBE Insurance Group Ltd (ASX: QBE) share price is in focus today after the insurer reported a 21% lift in statutory net profit after tax to US$2,157 million and full year dividends up 25% to 109 cents per share.

What did QBE Insurance Group report?

• Gross written premium rose 7% to US$23,959 million (8% excluding exited portfolios)
• Statutory net profit after tax up 21% to US$2,157 million (FY24: US$1,779 million)
• Combined operating ratio improved to 91.9% versus 93.1% a year ago
• Investment income steady at US$1,633 million, a return of 4.9%
• Full year dividend increased 25% to 109 Australian cents per share (payout ratio: 50%)
• Adjusted return on equity up to 19.8% (FY24: 18.2%)

What else do investors need to know?

QBE saw its funds under management jump 17% to US$35.8 billion, driven by premium growth and robust investment returns. Debt to total capital increased to 24.1% as the group completed tier 2 capital raisings to replace previously issued notes.

The combined operating ratio improvement reflects successful portfolio optimisation and lower catastrophe claims, with the net cost from catastrophes at just 4.1% of net insurance revenue, well below the group’s allowance. The APRA Prescribed Capital Amount (PCA) multiple edged higher to 1.87x, above the group target range.

What did QBE Insurance Group management say?

Group CEO Andrew Horton said:

QBE delivered strong performance in 2025, exceeding our financial plan for the year. Profitability remains attractive across the majority of lines and the year ahead appears constructive for further growth, and a continuation of solid returns.

What’s next for QBE Insurance Group?

Looking ahead, QBE expects continued gross written premium growth in the mid-single digits (on a constant currency basis) for FY26, with an anticipated combined operating ratio of around 92.5%.

The company remains focused on underwriting discipline and portfolio optimisation, having largely exited its North American non-core portfolio. Strategic priorities include further investment in digital, cloud, and AI capabilities to drive efficiency and robust underwriting.

QBE Insurance Group share price snapshot

Over the past 12 months, QBE Insurance Group shares have remained flat, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 9% over the same period.

View Original Announcement

The post QBE Insurance posts 2025 profit and dividend increase in FY25 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.

If you have $5,000 to invest and a penchant for ASX dividend shares, then read on.

That’s because listed below are three shares that Bell Potter thinks could be top buys for income investors. Here’s what you need to know:

Cedar Woods Properties Limited (ASX: CWP)

Bell Potter thinks Cedar Woods could be an ASX dividend share to buy. It is one of Australia’s leading property developers with a diverse portfolio. This includes subdivisions in emerging residential communities, high-density apartments, and townhouses in inner-city neighbourhoods.

The broker believes the company is well-positioned to benefit from Australia’s chronic housing shortage. It expects this to underpin dividends per share of 35 cents in FY 2026 and then 39 cents in FY 2027. Based on its current share price of $8.15, this equates to 4.3% and 4.8% dividend yields, respectively.

Bell Potter has a buy rating and $10.00 price target on its shares.

Elders Ltd (ASX: ELD)

Bell Potter is also feeling bullish on Elders and sees it as an ASX dividend share to buy.

It is an agribusiness company that provides rural and livestock services, agricultural inputs, and real estate services to Australia’s farming sector.

Bell Potter has been pleased with the performance of its base business and believes it has multiple growth drivers. In addition, the broker feels that the market is undervaluing the company’s Delta Agribusiness acquisition.

With respect to income, the broker is forecasting fully franked dividends of 43 cents per share in FY 2026 and then 45 cents per share in FY 2027. Based on its current share price of $7.22, this would mean dividend yields of 6% and 6.2%, respectively.

Bell Potter has a buy rating and $9.45 price target on its shares.

Rural Funds Group (ASX: RFF)

A final ASX dividend share to consider for a $5,000 investment is Rural Funds.

It is a property company that owns agricultural assets such as cattle properties, vineyards, and cropping land. Rural Funds leases these properties to high-quality tenants on long-term agreements with periodic rental increases built in.

Bell Potter is expecting the company to reward its shareholders with 11.7 cents per share dividends in FY 2026 and FY 2027. Based on its current share price of $2.07, this would mean attractive 5.7% dividend yields in both years.

The broker currently has a buy rating and $2.45 price target on its shares.

The post 3 top ASX dividend shares to buy with $5,000 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 Rural Funds Group. The Motley Fool Australia has recommended Elders. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

February earnings season is past the halfway mark. 

After a busy week of results, here are some of the key headlines you might have missed. 

Winners: Banks continue to beat 

Last week it was ANZ Group Holdings Ltd (ASX: ANZ), Westpac Banking Corp (ASX: WBC) and Commonwealth Bank of Australia (ASX: CBA) that pleasantly surprised many pundits. 

This week, it was National Australia Bank Ltd (ASX: NAB) that climbed after results beat expectations. 

On Wednesday, the bank delivered a strong start to FY26.

Its cash earnings climbed 15% and underlying profit up 12% compared to the prior equivalent period.

Following the result, NAB shares rose 6% to a record high of just over $48. 

Westpac, NAB and ANZ now all sit close to all-time highs. 

Experts believe that NAB shares can continue to rise, with optimistic ratings coming from UBS following the results. 

As for bank shares as a whole, valuations look full and expectations are mixed among brokers. 

Telstra hits record high

Another clear earnings season winner was Telstra Group Ltd (ASX: TLS). 

Shares lifted to a 9 year high on the back of HY 26 earnings season results. 

Some positives from the result included:

• Mobile services revenue rose 5.6% for the half, supported by higher ARPU and customer growth
• Group cash EBIT grew by 14% compared to the prior corresponding period
• Underlying operating expenses were reduced by $179 million, down 2.4%
• Interim dividend lifted to 10.5 cents per share (90.5% franked, was 9.5 cps fully franked 1H25). 

Its share price is now up 24% over the last 12 months. 

Wesfarmers tumble 

On the negative side of news, blue-chip stock Wesfarmers Ltd (ASX: WES) fell on earnings results on Thursday. 

The company behind Australian staples like Bunnings and Kmart posted 2026 HY results that included: 

• Revenue of $24,212 million, up 3.1% on the prior period
• Net profit after tax (NPAT) increased 9.3% to $1,603 million
• Earnings before interest and tax (EBIT) climbed 8.4% to $2,493 million
• Fully-franked interim dividend of $1.02 per share, up 7.4%.

However it seems investors were not impressed as the share price tumbled 5.6% on Thursday. 

ZIP tanks 34%

One of the biggest single day crashes this earnings season came from Zip Co Ltd (ASX: ZIP). 

Investors were exiting this stock in waves on Thursday after the company’s 1H FY26 result missed expectations. 

While the company posted a record performance, the market appears uneasy about several key metrics. 

Revenue margin slipped slightly to 7.9%, net bad debts rose to 1.73% of total transaction value (TTV), and second-half cash EBITDA is forecast to be broadly in line with the first half. 

This outlook indicates profit growth may stabilise from here instead of accelerating further.

ZIP shares are now down 44% year to date. 

The post Recap: Winners and losers from earnings season week 3 appeared first on The Motley Fool Australia.

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• Buy, hold, or sell? Goodman Group, Wesfarmers, Zip shares
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Motley Fool contributor Aaron Bell has positions in National Australia Bank. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Step One Clothing Ltd (ASX: STP) shares are in focus today after the company’s earnings results led to a big sell-off this week.

On Wednesday, the company released its H1 FY26 result, which led to a 12% share price fall.

Investors then continued to exit the company on Thursday. 

As a result, Step One shares are down 17% this week.

What did the company report?

Step One Clothing is a direct-to-consumer online retailer for men’s undergarments.

Included in Wednesday’s half year earnings was: 

• Revenue of $36.3 million for the six months to 31 December 2025, down 24.5% compared to the prior corresponding period
• EBITDA loss of $10 million, compared to a $11.2 million profit a year earlier
• Statutory NPAT loss after tax of $8.5 million, versus a $8.2 million profit in 1H25
• Gross margin declined to 43%, down from 78% in the prior period. 

Speaking on the results, Step One Founder and CEO, Greg Taylor, said: 

Sales in late 2025 were below our expectations, primarily due to slower-than-expected clearance of legacy inventory despite promotional activity. As a result, we have taken a $10.9 million provision against this stock, which is now fully provided for, with no material additional provisions anticipated.

What now for Step One shares?

Following this week’s fall, there could be an opportunity to buy low on Step One shares. 

Two brokers have provided updated guidance following the earnings results. 

In a note out of Morgans, the broker said the 1H26 earnings were broadly in line with guidance provided in December, although fell materially short of prior expectations. 

Morgans said FY26 will be a reset year for the business, with management focusing on rebuilding brand equity for longer term profitable growth. 

STP have reset pricing, scaling back promotional activity, increased brand marketing spend to drive new customer acquisition and continue to launch new products in adjacent categories. We have made modest changes to earnings, our price target is $0.29 (was $0.30) and we maintain our HOLD recommendation.

From yesterday’s closing price of $0.265, this indicates an upside of 9.4%. 

Bell Potter weighs in

The team at Bell Potter also provided updated guidance on Step One shares following the result. 

The broker reiterated its hold recommendation, and also revised its price target to $0.29. 

Given the recent inventory provision, we remain cautious on inventory management due to the increased investment into new products, particularly with a push into new segments with broader competitive pressures.

We still view STP’s product as market leading in terms of quality, however we believe a mix of maturation in the core market/customer mixed with a higher cost of living to provide future strain on the business.

The post What are brokers saying about Step One shares after 17% crash appeared first on The Motley Fool Australia.

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• Step One shares plunge 12% as inventory write-down wipes out half-year profit

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

If you’ve got $30,000 ready to deploy, spreading it across a few carefully chosen exchange traded funds (ETFs) can provide exposure to multiple long-term themes without overcomplicating things.

But which funds could be good picks for this money?

Here are three ASX ETFs that could be worth considering this February.

BetaShares Global Cybersecurity ETF (ASX: HACK)

The first ASX ETF to look at is the BetaShares Global Cybersecurity ETF.

It provides exposure to global cybersecurity leaders such as CrowdStrike (NASDAQ: CRWD), Palo Alto Networks (NASDAQ: PANW), and Zscaler (NASDAQ: ZS). These companies help governments and enterprises defend against increasingly sophisticated cyber threats.

With respect to CrowdStrike, its cloud-native Falcon platform uses artificial intelligence to detect and respond to threats in real time. As businesses shift more workloads to the cloud, endpoint protection becomes mission-critical. CrowdStrike’s subscription-based model also provides recurring revenue and strong operating leverage as it scales.

With cyber threats rising globally and security budgets remaining a priority even in slower economic periods, the BetaShares Global Cybersecurity ETF taps into a structural growth theme that shows little sign of slowing.

Vanguard MSCI International Shares ETF (ASX: VGS)

While thematic exposure is exciting, broad diversification remains powerful.

The Vanguard MSCI International Shares ETF gives investors access to over 1,000 stocks across developed markets. This includes Microsoft (NASDAQ: MSFT), Novo Nordisk (NYSE: NVO), and Visa (NYSE: V).

Rather than targeting a single industry, this fund captures global economic growth across healthcare, financials, technology, and consumer sectors. For example, Novo Nordisk is a global pharmaceutical leader in diabetes and obesity treatments. These are areas experiencing long-term demand growth due to ageing populations and lifestyle trends.

By holding the Vanguard MSCI International Shares ETF, investors effectively gain exposure to global earnings growth without needing to predict which country or sector will lead next.

Betashares Nasdaq 100 ETF (ASX: NDQ)

Finally, the Betashares Nasdaq 100 ETF focuses on the Nasdaq 100, which is home to some of the most innovative companies in the world.

Its holdings include Nvidia (NASDAQ: NVDA), Alphabet (NASDAQ: GOOGL), and Adobe (NASDAQ: ADBE). These businesses sit at the centre of artificial intelligence, digital advertising, cloud computing, and creative software.

Nvidia (NASDAQ: NVDA) stands out in particular. The company designs the high-performance chips that power AI training and inference across data centres worldwide. From hyperscale cloud providers to enterprise AI deployments, Nvidia’s GPUs have become critical hardware in the global AI buildout.

Overall, the Betashares Nasdaq 100 ETF remains a compelling way to gain concentrated exposure to US innovation and technology-driven growth.

The post 3 ASX ETFs to buy with $30,000 in February appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in BetaShares Nasdaq 100 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Adobe, Alphabet, BetaShares Global Cybersecurity ETF, BetaShares Nasdaq 100 ETF, CrowdStrike, Microsoft, Nvidia, Visa, and Zscaler. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Novo Nordisk and Palo Alto Networks and has recommended the following options: long January 2028 $330 calls on Adobe and short January 2028 $340 calls on Adobe. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Adobe, Alphabet, CrowdStrike, Microsoft, Nvidia, Vanguard Msci Index International Shares ETF, and Visa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

I am not primarily an income investor. I tend to focus more on growth and long-term compounding. But if I were building a portfolio specifically for income, especially in an uncertain environment, I would want businesses that feel steady, essential, and resilient.

In my view, the key is not chasing the highest dividend yield available. It’s owning companies whose business models are built to keep generating cash even when economic conditions are less than ideal.

Here are three ASX dividend shares I would buy for income investors if uncertainty is part of the backdrop.

Woolworths Group Ltd (ASX: WOW)

When times are uncertain, I start with necessities. Woolworths sits at the centre of everyday spending in Australia through its supermarket operations.

People may cut back on discretionary purchases, but they still need groceries. That does not mean earnings are immune to pressure, but it does mean demand tends to be more stable than in many other sectors.

For income investors, that stability matters. Woolworths generates significant cash flow from a large and diversified customer base. Its scale, supply chain, and brand recognition create competitive advantages that are difficult to replicate. While dividend growth may not always be rapid, the underlying business is tied to essential consumption rather than economic optimism.

If I were building an income portfolio for uncertain times, that defensive exposure would appeal to me.

APA Group (ASX: APA)

APA operates energy infrastructure assets such as gas pipelines and storage facilities. These are long-lived assets that underpin energy delivery across Australia.

What attracts me here is the nature of the revenue. Much of it is contracted or regulated, which can help smooth cash flows over time. The company is not reliant on selling discretionary products or chasing short-term demand trends. It operates infrastructure that plays a foundational role in the energy system.

That does not eliminate risk, particularly given the capital-intensive nature of the business. But for income investors, predictable cash generation linked to essential infrastructure can be an attractive combination.

If my focus were income and peace of mind, APA would be on my shortlist.

Transurban Group (ASX: TCL)

Transurban owns and operates toll roads in major cities in Australia and North America. These are assets that are difficult to replace and often protected by long concession agreements.

Traffic volumes can fluctuate, particularly during economic slowdowns. However, over the long term, population growth and urban congestion tend to support usage. People still need to commute, transport goods, and move around cities.

From an income perspective, I like the idea of owning infrastructure assets with long operating lives and visibility over revenue. Transurban’s model is built around assets that remain relevant regardless of market sentiment.

If I were constructing an income-focused portfolio designed to withstand uncertainty, infrastructure exposure like this would play a role.

Foolish takeaway

If I were investing with income as the primary objective, particularly in uncertain times, I would prioritise business models that feel durable and essential.

Woolworths Group, APA Group, and Transurban Group operate in different sectors, yet each is linked to services people rely on every day. For income investors seeking stability rather than excitement, that foundation can matter more than chasing the highest yield available.

The post 3 ASX dividend shares with business models built for uncertain times appeared first on The Motley Fool Australia.

More reading

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• 4 ASX shares to consider buying with an average dividend yield of 6%

Motley Fool contributor Grace Alvino has positions in Transurban Group. 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 Apa Group, Transurban Group, and Woolworths Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Solvar Ltd (ASX: SVR) has been an outstanding ASX financials stock to own over the last year. 

It is a financial services company specialising in providing finance and other related services to assist consumers with the purchase of a new or used vehicle, as well as offering personal loans to consumers.

12 months ago Solvar shares were trading for roughly $1.38. 

Yesterday, this ASX financials stock closed at $1.86. 

That’s a rise of 34%.

For context, the S&P/ASX 200 Index (ASX: XJO) is up roughly 7.9% in that same span. 

On Wednesday, the company released H1 FY26 results.

Let’s see what the company reported. 

Earnings growth 

In Wednesday’s announcement, for the half year ended 31 December 2025 (H1 FY26), the company reported: 

• Normalised Net Profit After Tax (NPAT) of $20.0 million, up 5.8% on pcp;
• Statutory NPAT of $17.8 million, up 5.8% on pcp;
• Earnings Per Share (EPS) up 13.5% to 9.3 cents per share on pcp;
• Fully franked interim dividend of 6.0 cents, plus a special fully franked dividend of 2.5 cents per share, totalling 8.5 cents per share payable on 7 April 2026.

Solvar also reiterated FY26 guidance of normalised NPAT of $36.0 million (including the one-off sale of the written off loan book in New Zealand).

Speaking on the outlook, Mr Scott Baldwin, CEO and Managing Director of Solvar said:

Solvar continues to invest in the development of new products and establishing a dedicated commercial lending team, with the commercial loan book now at ~$67.0 million and growing. Solvar anticipates continued growth in commercial lending as Bennji establishes itself in the market.

Investors were clearly pleased with the results as its share price is up 5.6% since the announcement. 

Morgans gives it an upgrade

Following the result, the team at Morgans increased its target price on this ASX financials stock. 

The broker said the company’s 1H26 result continued to illustrate the ongoing shift in the business as management work through the windup of New Zealand and refocus attention back towards domestic growth. 

Normalised NPAT was ahead of estimates, while net interest income was behind. 

FY26 Normalised NPAT guidance of ~$36m (i.e. NPAT of $34m plus ~$2m from one-off sale of NZ Arrears) was reiterated (implying 2H NPAT of $16m), with SVR expecting book growth momentum to improve into 2H26 lead by Bennji & AFS. Our FY26-28F Underlying NPAT forecasts lift by +5%/+1%/+1%.

Following this forecast upgrade, the broker increased the price target to $2.00 (previously $1.85). 

Morgans maintained its Accumulate rating. 

Based on yesterday’s closing price of $1.86, the new price target indicates an upside of 7.53%

The post Morgans just bumped up its price target for this booming ASX financials stock appeared first on The Motley Fool Australia.

More reading

• What are brokers saying about Step One shares after 17% crash
• 3 ASX ETFs to buy with $30,000 in February
• 3 ASX dividend shares with business models built for uncertain times
• Buy, hold, or sell? Goodman Group, Wesfarmers, Zip shares
• 3 beaten down ASX shares I’d load up on at these prices

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

The S&P/ASX 200 Index (ASX: XJO) reached a new record high yesterday as earnings season continued.

However, shares in these three popular ASX companies fell after their 1H FY26 reports were released.

Zip Co Ltd (ASX: ZIP) shares were absolutely smashed and lost a third of their value, despite positive results.

Some brokers have already reviewed the numbers and updated their ratings and 12-month price targets on these stocks.

Let’s take a look.

Goodman Group (ASX: GMG)

The Goodman share price closed at $29.82 on Thursday, down 4% for the day and down 12.8% over the past 12 months.

Yesterday, Goodman Group reported a 1.5% fall in operating profit to $1.2 billion for 1H FY26.

The property group also reported an 8.3% decline in operating earnings per share (OEPS) to 58.5 cents.

The property group reported work in progress (WIP) worth $14.4 billion across 51 projects.

Almost three-quarters of these projects are data centres.

Management said it expects WIP to increase to approximately $18 billion by the end of FY26.

Goodman will pay a 15-cent interim dividend.

After reviewing the 1H FY26 report, Macquarie reiterated its buy rating on Goodman Group shares.

The broker has a 12-month share price target of $34.73.

Wesfarmers Ltd (ASX: WES) 

The Wesfarmers share price closed at $84.24 yesterday, down 5.6% for the day and up 10% over 12 months.

Yesterday, Wesfarmers revealed a 3.1% lift in revenue to $24,212 million for 1H FY26.

Net profit increased 9.3% to $1,603 million and earnings before interest and tax (EBIT) rose 8.4% to $2,493 million.

The operating cash flow was $2,491 million, down 3.3% year-on-year. Basic EPS rose to 141.4 cents per share.

Wesfarmers will pay a fully franked interim dividend of $1.02 per share, up 7.4% on 1H FY25.

Managing Director Rob Scott said:

Wesfarmers’ increase in profit was supported by strong earnings contributions from our largest divisions – Bunnings, Kmart Group and WesCEF.

During the half, Wesfarmers’ divisions benefited from productivity initiatives to navigate ongoing challenging market conditions… The divisions performed well, driving productivity to mitigate cost pressures and keep prices low for customers.

After going over the report, UBS reiterated its hold rating on Wesfarmers shares.

The broker has a 12-month target of $90.

Zip Co Ltd (ASX: ZIP) 

Zip shares closed at $1.85 on Thursday, down 34.4%.

Stock in the buy now, pay later operator is down 27.7% over the past 12 months.

Yesterday, Zip reported a cash EBTDA of $124.3 million, up 85.6% year-over-year, with total income of $664 million, up 29.2%.

Total transaction volume (TTV) rose 34.1% to $8.4 billion. The operating margin improved to 18.7%, up from 13% in 1H FY25.

Net bad debts increased slightly to 1.7% of TTV, up from 1.56% a year ago, but in line with management’s target.

The number of active customers increased 4.1% to 6.6 million.

The number of retailers using Zip payment services lifted 10.5% to 90,600.

You may be wondering why Zip shares were punished yesterday, despite these positive numbers.

My colleague, James Mickelboro, provided some insights in his report.

James wrote:

With Zip shares having rallied strongly since last April, the combination of margin mix pressure, slightly higher credit losses, and a more measured second-half outlook could have triggered heavy profit-taking today.

Despite the big share price drop, UBS retained its buy rating on Zip with an unchanged target of $5.20.

The post Buy, hold, or sell? Goodman Group, Wesfarmers, Zip shares appeared first on The Motley Fool Australia.

More reading

• 3 beaten down ASX shares I’d load up on at these prices
• 5 things to watch on the ASX 200 on Friday
• Is the Zip share price crash a buying opportunity or a warning sign?
• Why are Goodman shares sinking 7% today?
• Why Goodman, Lovisa, Medibank, and Zip shares are falling today

Motley Fool contributor Bronwyn Allen has positions in Zip Co. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goodman Group and Wesfarmers. The Motley Fool Australia has recommended Goodman Group and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

There are times when I’m happy to nibble at positions. And then there are times when I look at a share price and think the risk-reward is too attractive to ignore.

Right now, three ASX shares stand out to me for different reasons. All have been volatile. All carry risk. But at current prices, I believe they offer compelling upside relative to what the market seems to be assuming.

DroneShield Ltd (ASX: DRO)

DroneShield has been one of the most talked-about defence technology names on the ASX, and for good reason.

The company specialises in counter-drone solutions, using radio frequency detection and defeat technologies to neutralise hostile drones. With global conflicts highlighting the growing importance of drone warfare, demand for these systems is no longer theoretical. It is real and accelerating.

What I find particularly attractive is the scale of the opportunity relative to the company’s current size. Defence budgets globally are expanding, and counter-UAS capability is becoming a priority rather than an optional extra. DroneShield has built battlefield credibility, which I think gives it a genuine edge.

Yes, the share price has been volatile. And yes, revenue can be lumpy due to the nature of defence contracts. But when I look at the addressable market and the company’s expanding sales pipeline, I see asymmetric upside.

At these prices, I’d be comfortable loading up gradually and holding through the noise.

Block Inc. (ASX: XYZ)

Block is a very different story, but I think the opportunity is just as interesting.

Through Square, it provides payment and business tools to merchants. Through Cash App, it has built a powerful consumer financial ecosystem. And of course, it owns Afterpay, a brand that is deeply embedded in the Australian retail landscape.

Over the past year, tech sentiment and macro concerns have weighed heavily on the share price. Investors have questioned growth rates, margins, and exposure to consumer spending. But when I step back, I still see a business with enormous optionality.

Cash App continues to monetise its user base. Square remains a core operating system for small businesses. And the integration of Afterpay into the broader ecosystem strengthens both sides of the network.

If execution continues and growth stabilises, I believe the current valuation could look very conservative in hindsight. For investors willing to tolerate volatility, I think this is one worth loading up on.

Zip Co Ltd (ASX: ZIP)

Zip has been through the wringer over the past few years, but this is not the same business it once was.

The company has tightened credit settings, exited weaker markets, and focused on profitability. Importantly, it is no longer in survival mode. It has demonstrated improving margins and better credit performance, which I think the market is still underappreciating.

Buy now, pay later as a sector has matured. The reckless growth-at-all-costs phase is over. What remains are operators that can balance growth with discipline. I believe Zip is positioning itself as one of those operators.

With the share price crashing on Thursday, expectations appear far more grounded. If revenue growth continues and credit metrics remain stable, the earnings leverage could surprise on the upside.

At these levels, I see an attractive setup for long-term investors.

Foolish takeaway

DroneShield, Block, and Zip are not low-volatility blue chips. They are growth-oriented businesses operating in fast-moving sectors.

But that’s why I find them compelling at current prices. When sentiment is cautious and expectations are subdued, I think that’s often when the seeds of strong future returns are planted.

For me, these are three ASX shares I’d be happy to load up on and hold for the years ahead.

The post 3 beaten down ASX shares I’d load up on at these prices appeared first on The Motley Fool Australia.

More reading

• Buy, hold, or sell? Goodman Group, Wesfarmers, Zip shares
• Is the Zip share price crash a buying opportunity or a warning sign?
• Here are the top 10 ASX 200 shares today
• Why Goodman, Lovisa, Medibank, and Zip shares are falling today
• Zip shares crash 33% on results day

Motley Fool contributor Grace Alvino has positions in DroneShield. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Block and DroneShield. 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.

ASX mining shares closed higher yesterday, with the S&P/ASX 300 Metal & Mining Index (ASX: XMM) rising 1.41%.

So far this year, ASX mining shares have continued to outperform after an exceptionally strong run in 2025.

The Metal & Mining Index is up 11.8% in the year to date (YTD) while the broader S&P/ASX 300 Index (ASX: XKO) is up 3.8%.

Here are three ASX mining shares that the experts think will more than double in value over the next 12 months.

Sun Silver Ltd (ASX: SS1)

This ASX silver mining share closed at $1.87 yesterday, up 0.8%.

Sun Silver shares have fallen 1.8% in the YTD and rocketed 159% over the past 12 months.

Sun Silver owns the Maverick Springs Silver-Gold Project in Nevada, US, which is the ASX’s largest pre-production primary silver project.

Canaccord Genuity has a buy rating with a 12-month price target of $4.15, suggesting a potential upside of 122%.

However, East Coast Research says Sun Silver shares could reach $6.54 within 12 months, implying a potential 250% upside.

In a note, East Coast Research said:

SS1’s impressive recent 3rd Mineral Resource upgrade in under 2 years since listing places its Maverick Springs Project as a standout, strategically significant U.S. primary silver asset at a time when silver is becoming an important element of the North American / western-based secure supply chain thematic.

Here is the outlook for the silver price in 2026.

Turalco Gold Ltd (ASX: TCG)

The Turalco Gold share price closed 2.3% higher at 68 cents yesterday.

The ASX gold mining share has fallen 18.7% in the YTD and ripped 88% over the past 12 months.

Morgans retained a buy rating on Turalco after a visiting its Afema Gold Project in Côte d’Ivoire.

The broker commented:

Afema represents one of the largest undeveloped gold projects on the ASX, hosting a 4.06Moz resource at 1.2g/t Au.

The visit included all key resource prospects, future growth corridors, site infrastructure, core yard and a visit through the local community — reinforcing both the scale of the system and development readiness.

Morgans has a 12-month share price target of $2.19. This implies a 220% potential upside over the next 12 months.

Canaccord Genuity is less ambitious.

It has a buy rating and a target of $1.45, which suggests a still impressive potential 113% capital gain over the year ahead.

Check out some 2026 gold price forecasts here.

True North Copper Ltd (ASX: TNC)

The True North Copper share price closed at 49 cents on Thursday, up 4.3%.

This ASX copper mining share has fallen 5.8% YTD but risen 32% over the past 12 months.

True North’s flagship asset is the Mount Oxide exploration project, which has copper, silver, and cobalt deposits.

True North Copper also owns the Cloncurry Copper Project.

Morgans has a buy rating with a 12-month target of $1.20.

This suggests a possible 145% capital gain over the next year.

Check out Goldman Sachs’ 2026 forecast for the copper price here.

The post 3 ASX mining shares tipped to double in a year appeared first on The Motley Fool Australia.

More reading

• 2 ASX copper shares to buy: experts
• 3 ASX mining shares to buy: brokers
• What’s the outlook for the silver price?
• Sun Silver shares to soar 235% in 12 months, tips expert
• 4 ASX mining shares just re-rated by Morgans

Motley Fool contributor Bronwyn Allen 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.