Author: openjargon

There are a few ASX shares that I’ve heavily invested in that now make up a significant portion of my portfolio.

Ultimately, I want to grow my wealth. But, a key part of my investment objectives is growing the flow of dividends hitting my bank account.

With those dividends, I can pay for expenses, whether that’s discretionary spending or having the peace of mind that essential bills are covered by passive income.

With that outlined, let’s look at two businesses that make up around 40% of my portfolio.

MFF Capital Investments Ltd (ASX: MFF)

MFF is predominantly a listed investment company (LIC) that focuses on international shares. It also has a small funds management segment after acquiring Montaka.

MFF likes to target competitively advantaged businesses with above-average prospects for strong economic growth in the long-term.

This investment strategy has led to the ASX share owning stocks like Mastercard, Visa, Alphabet and Amazon.

It’s the portfolio diversification that gives me confidence to invest a significant portion of my portfolio in it. It’s not just a single ASX share.

I also like how it has the flexibility to invest in opportunities big or small, anywhere in the world. This can help deliver good returns by having a wide hunting ground. It has a great track record of delivering returns.

In terms of the dividend, the business has been growing the payout by 1 cent per share every six months for a while. This resulted in the FY26 annual dividend per share rising by 4 cents per share to 21 cents, an increase of 23.5%.

I expect the business will increase its dividend by another 4 cents per share to 25 cents per share, a rise of 19%.

That estimated FY27 payout translates into a grossed-up dividend yield of 6.6%, including franking credits.

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

Another ASX share that I’ve significantly invested in my portfolio is Soul Patts.

This business is one of the oldest on the ASX, it’s been listed for over 120 years. That longevity is one of the reasons for my confidence in the business, it has already proved it can thrive for many decades.

The company has built its portfolio to include a number of different types of assets including fixed income, private credit, swimming schools, agriculture, telecommunications, resources, energy, electrification, building products, retirement living, financial services and so on.

As I’ve said before, I love investments that can provide exposure to a whole portfolio.

I think it’s really attractive that Soul Patts invests in a wide variety of assets, including a significant portion of the portfolio being unlisted investments.

The investment team at Soul Patts continue to add additional ideas to the portfolio. Recently, fixed income and international investments have become larger focuses.

It regularly adds to its portfolio, which is a useful driver of the net asset value (NAV) of the company, which then helps the share price.

Impressively, it has grown its dividend every year since 1998, which is the sort of consistency I like to invest in. Its latest annual dividend was the FY26 payout of $1.11 per share.

That translates into a grossed-up dividend yield of 3.5%, including franking credits, at the time of writing.

The post These 2 ASX shares make up around 40% of my portfolio appeared first on The Motley Fool Australia.

More reading

• MFF Capital vs PM Capital Global Opportunities: Which LIC is the better investment today?
• 10 ASX shares with ex-dividend dates next week
• 2 great ASX dividend share buys for passive income in October
• How much do I need to retire on $110,000 a year at 65?
• Is this the ASX’s perfect dividend stock?

Motley Fool contributor Tristan Harrison has positions in Mff Capital Investments and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Mastercard, Visa, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Mff Capital Investments and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Alphabet, Amazon, Mastercard, and Visa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Technology has been one of the biggest drivers of share market growth over the past decade.

And with artificial intelligence (AI), cloud computing, automation, and digital services continuing to expand, there could still be plenty of opportunities ahead.

For investors who want exposure without picking individual tech stocks, these three ASX exchange traded funds (ETFs) could be worth considering.

Betashares S&P/ASX Australian Technology ETF (ASX: ATEC)

The Betashares S&P/ASX Australian Technology ETF could be a good option for investors who want to back the local technology sector.

It is fair to say that Australia does not have the same depth of technology companies as the United States. However, it has still produced some excellent businesses across software, online marketplaces, payments, and digital services. This includes WiseTech Global Ltd (ASX: WTC) and TechnologyOne Ltd (ASX: TNE).

The Betashares S&P/ASX Australian Technology ETF brings many of them together in one easy investment.

As a result, for investors who want exposure to home-grown technology companies, it could be worth a closer look.

Global X Artificial Intelligence ETF (ASX: GXAI)

Another ASX ETF to look at is the Global X Artificial Intelligence ETF.

It provides investors with exposure to the leading companies involved in artificial intelligence and the infrastructure needed to support it.

That can include semiconductors, software, cloud computing, data infrastructure, and automation.

The good thing about this fund is that investors do not have to decide exactly where the biggest winners will emerge. Some companies may dominate AI software, while others could make more money supplying chips, computing power, or the tools needed to build and run AI systems.

The Global X Artificial Intelligence ETF provides exposure across that wider opportunity, potentially making it a great long-term pick.

Global X FANG+ ETF (ASX: FANG)

A final ASX ETF for investors to consider is the Global X FANG+ ETF.

This fund takes a much more concentrated approach by investing in a relatively small group of major global growth companies.

Its portfolio is tilted towards businesses operating across artificial intelligence, cloud computing, digital advertising, ecommerce, social media, electric vehicles, and other fast-growing areas of the economy.

Holdings include Microsoft (NASDAQ: MSFT), Palantir (NASDAQ: PLTR), and Netflix (NASDAQ: NFLX).

For investors looking for a focused way to gain exposure to some of the world’s most influential technology and growth companies, the Global X FANG+ ETF could be worth a look this month.

The post 3 amazing ASX tech ETFs for growth investors appeared first on The Motley Fool Australia.

More reading

• 5 excellent ASX ETFs to buy in October
• Want to invest in AI? Here are the best ASX ETFs for 2027
• How to target the different layers of the artificial intelligence buildout
• Do these ASX technology shares have too much upside to ignore?
• 3 ASX ETFs for easy artificial intelligence (AI) exposure

Motley Fool contributor James Mickleboro has positions in Technology One and WiseTech Global. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Microsoft, Netflix, Palantir Technologies, and WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool Australia has recommended Microsoft and Netflix. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

I think the ASX dividend share Future Generation Global Ltd (ASX: FGG) is a strong pick for retirees for 2027 and beyond.

I imagine plenty of retirees have an outsized amount of their investment portfolios focused on Australian property, ASX bank shares and ASX mining shares.

So, an ASX dividend share that provides international investment exposure and attractive passive income could be exactly what some retiree investors need.

Let’s run through some of the positives.

Diversification

Future Generation Global is a listed investment company (LIC) that aims to deliver a combination of income and capital growth over the medium-to-long-term by investing global equities. I think it’s a great option for diversification.

It uses a fund-of-funds model, which provides shareholders with access to a professionally constructed portfolio of leading globally-focused fund managers.

There are currently 15 fund managers involved in the portfolio, including Antipodes, Munro, Holowesko Partners, Vinva, WCM, Platto, Paradice, Langdon and Morphic.

The portfolio is invested across various sectors and geographic markets. At the end of August 2026, 54.6% was in invested in the North American share market (less than the global share market), 19.3% was invested in the UK and Europe (more than the global share market), 9.2% was invested in Asia, 4.6% was invested in other developed markets and 1.5% was invested in emerging markets.

As you can see, the ASX dividend share offers plenty of diversification for Aussies. There are many hundreds of underlying businesses within the portfolio.

Philanthropy

The fund managers involved generously work pro bono – for free – which means they waive all management and performance fees. That allows Future Generation Global to donate 1% of its average monthly net assets to a selected group of charities focused on youth mental health.

Some of those charities include BackTrack, BIGhART, Happy Paws Happy Hearts, Human Naturem I CAN, Life 4 Life, Prevention United, Project Rockit, Reachout, Smiling Mind, WANTA and Youth Opportunities.

With those fees avoided, shareholder returns aren’t compromised.

Great passive income

As a LIC, the board of directors have significant control over the size of the passive income that’s paid to shareholders, which I think is great for retirees.

Future Generation Global has increased its payout for eight years in a row, which is a great record of growth so far.

The ASX dividend share expects to pay an annual dividend of 8.4 cents per share for 2026, which translates into a grossed-up dividend yield of 7.4%, including franking credits, at the time of writing.

That’s a great starting yield for retirees, and I think the 2027 payout could be even larger.

The post Why this ASX dividend share is a retiree’s dream for 2027 appeared first on The Motley Fool Australia.

More reading

• Why Future Generation Global shares are a retiree’s dream for FY27
• How much is needed in superannuation to target a $10,000 monthly passive income?
• 2 ASX passive income share ideas I’d use to generate $500 a month in 2027
• How much do I need to retire on $75,000 a year at 45?
• The ASX share I just bought for my child

Motley Fool contributor Tristan Harrison has positions in Future Generation Global. 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.

ASX share prices are always changing. Some analysts see upside ahead for certain ASX shares.

Based on expert price targets, there are a few stocks that could deliver returns of more than 60% in the next 12 months. A price target is where brokers think share prices will be in a year, though that’s not a guarantee of future returns.

Let’s look at two of the most exciting prospects.

Xero Ltd (ASX: XRO)

Xero is one of the world’s leading cloud accounting businesses, with a focus on small and medium enterprises (SME). Its main markets are Australia, New Zealand, the UK and the US.

According to CMC Invest, there have been three analyst ratings on the ASX share in the last three months. Two of those analyst ratings calls were a buy and one was a hold.  

The price target of the three ratings is $106.81, which implies a possible rise of 84.6% at the time of writing. Even a return of half of that scale would be very impressive.

Xero’s underlying numbers continue to be impressive, though Melio-related costs led to lower net profit in FY26.

During FY26, the company reported that operating revenue grew 31% to $2.75 billion following an 11% rise of customers to 4.92 million and a 23% increase in the average revenue per customer growing to $55.44.

Xero also reported that annualised monthly recurring revenue (AMRR) grew by 37% to $3.27 billion and adjusted operating profit (EBITDA) jumped 18% to $757 million.  

For FY27, operating revenue is expected to grow to between $3.62 billion and $3.73 billion, while adjusted EBITDA is forecast to rise to between $860 million and $920 million.

Nine Entertainment Co Holdings Ltd (ASX: NEC)

Another ASX share currently rated positively is Nine Entertainment, a large media business. It has the Nine Network and 9Now, The Sydney Morning Herald, The Age, The Australian Financial Review and other media assets.

According to CMC Invest, four analysts have rated the business in the last three months. Three of those ratings were buy calls, and one was a hold call.

Of those four ratings, the average price target is currently $1.11. At the time of writing, that suggests a possible rise of 62% over the next 12 months.

The company continues to deliver underlying earnings. In FY26, it reported that its continuing business achieved 3% revenue growth, 17% operating profit (EBITDA) growth and 7% net profit after tax (NPAT) growth.

The ASX share also recently announced that it had extended its Premier League rights through to 2034, which is an important driver of EBITDA growth for Stan (the streaming service).

The post 2 ASX shares tipped to grow 62% or more in the next 12 months appeared first on The Motley Fool Australia.

More reading

• Tech shares shine while ASX 200 plunges to 4-month low
• Here are the top 10 ASX 200 shares today
• By October 2027, $5,000 invested in Xero shares could turn into…
• Codan vs Xero: Which ASX tech stock is the better buy in October?
• 5 leading ASX shares I’d buy and hold until 2040

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

A big dividend yield can be attractive, but the business behind it still needs to stack up.

Fortunately, there are some ASX shares offering strong income prospects alongside assets and earnings that could support distributions over the long term.

Here are three that could be worth considering.

APA Group (ASX: APA)

APA Group could be a strong option for income investors. It owns a huge network of energy infrastructure across Australia, including gas pipelines, processing facilities, storage assets, and electricity transmission infrastructure.

What makes APA attractive is the position these assets occupy within the energy system. Australia can build new gas fields, renewable projects, batteries, and other sources of supply, but the energy still has to reach customers. APA owns infrastructure that helps make that happen.

Its existing network can also create opportunities to connect new projects without starting from scratch each time. This gives the company a long runway to keep investing in infrastructure while generating cash flow from assets already in operation.

APA is forecast to offer a dividend yield of approximately 5.5% in FY 2027.

HomeCo Daily Needs REIT (ASX: HDN)

Another ASX dividend share worth considering is HomeCo Daily Needs REIT.

It is a property company that owns neighbourhood retail centres, large-format retail properties, and healthcare and services assets.

A key strength of the portfolio is how often people have a reason to visit. A trip to its properties might involve buying groceries, going to the pharmacy, visiting a healthcare provider, picking up pet supplies, or using another local service.

That regular customer traffic can make these properties valuable locations for tenants and support rental demand.

This gives the company a relatively dependable rental base from which to pay dividends. Speaking of which, HomeCo Daily Needs REIT is forecast to provide a FY 2027 dividend yield of approximately 8.25%.

Transurban Group (ASX: TCL)

A final ASX dividend share for income investors to look at is Transurban.

It owns and operates major toll roads across Australia and North America.

These assets are located in some of the busiest parts of major cities, where congestion can make faster and more reliable travel valuable to motorists.

Population growth can increase the number of vehicles using its roads, while toll increases built into many concession agreements can support revenue growth over time.

The company can also expand and improve its existing networks through new projects and upgrades.

This combination of established infrastructure, recurring toll revenue, and long concession periods leaves Transurban well-placed to pay a growing stream of dividends.

For FY 2027, Transurban is expected to offer a dividend yield of around 5.5%.

The post 3 excellent ASX dividend shares with 5%+ yields appeared first on The Motley Fool Australia.

More reading

• Origin Energy vs APA Group: Which ASX dividend share wins?
• 5 things to watch on the ASX 200 on Tuesday
• How to build a $52,000 passive income with ASX shares
• Transurban Group share price: $4.5bn deal for bigger Sydney road stakes
• 54,543 shares of this high-yield ASX dividend stock pay an income equal to the Age Pension

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

Origin Energy vs APA Group shares: Which is better for passive income?

If you’re hunting for passive income on the ASX, it’s hard to ignore Origin Energy Ltd (ASX: ORG) and APA Group (ASX: APA). Both are heavyweights in Australia’s energy landscape and have a strong tradition of paying dividends. But which delivers better value for income-focused investors, and what sets these two sector leaders apart? Here’s how I see it.

The case for Origin Energy

Origin Energy is one of Australia’s dominant integrated energy companies, generating and selling electricity and natural gas across the country. Its operations stretch from energy production (including renewables and gas) through to retailing power to millions of Aussie homes and businesses. Origin has a long history, with a business heritage dating back to 1946.

For passive income seekers, a few points leap out:

• Reliable dividends:In recent years, Origin has moved back to delivering fully franked dividends, including 60 cents per share in both 2025 and 2026—with 100% franking.
• Attractive yield: The current dividend yield sits at 5.46%, making it a strong contender versus the ASX 200 average.
• Solid valuation: With a P/E ratio of 12.04 and EPS reported at $0.912, the current share price seems reasonable for a large-cap utility.
• Full franking: Not every income stock pays fully franked dividends, but Origin’s 100% franking boosts the after-tax cash flow for local investors.

The case for APA Group

APA Group is Australia’s leading energy infrastructure company. While Origin is more involved in retailing and generation, APA is all about the pipes and wires: owning and operating a vast network of gas pipelines, electricity interconnectors, and renewable energy assets. According to its most recent company description, APA moves the majority of Australia’s natural gas, making it a backbone of the energy grid.

Here’s why APA catches the eye for income:

• Steady payouts: APA’s dividend history is one of remarkable consistency, with payments edging up very gradually over time. The most recent full-year payout sits at 58 cents per share.
• Comparable yield: On current figures, the dividend yield is 5.47%, virtually identical to Origin’s.
• Partially franked dividends: Unlike Origin, APA only partially franked its dividends—recent payments have franking levels ranging from 0% up to about one-third.
• Low earnings relative to price: APA’s P/E is 67.41, with EPS at $0.157, so investors are clearly paying a premium for its ownership of energy-channelling infrastructure.

Valuation comparison

With passive income front of mind, here’s how the key numbers stack up:

Metric	Origin Energy	APA Group
P/E Ratio	12.04	67.41
Dividend Yield	5.46% (fully franked)	5.47% (partially franked)
Dividend per share (latest full year)	$0.60	$0.58
Franking	100%	31.4%
EPS	$0.912	$0.157
Market Cap	$18.66 billion	$14.11 billion

Note: APA Group’s reported P/E ratio may be based on a different earnings measure than the EPS listed, given the numbers appear inconsistent.

APA’s yield and payout track Origin’s very closely, but the big distinction is franking—important for many Aussie income investors. APA’s much higher P/E suggests investors may see it as safer or more predictable, but it undoubtedly demands a higher price for each dollar of profit.

Recent share price momentum

Comparing recent share price performance up to 1 October 2026:

• Origin Energy closed at $10.83, down 1.37% on the day. Its year-to-date return is 0.8%—essentially flat for 2026 so far.
• APA Group closed at $10.59, slipping 0.19% on the day. However, its year-to-date return is an impressive 21.7%, suggesting strong recent buying interest.

Both stocks have wobbled a bit in recent sessions, but APA’s stronger year-to-date share price rise is a real point of difference.

Which is the better buy?

Both Origin Energy and APA Group give passive income investors a starting yield around 5.5%. If all you want is a solid, reliable dividend, the two are neck-and-neck on headline payout.

However, I’d lean towards Origin Energy for one key reason: franking. Fully franked dividends can be a big after-tax boost, especially for investors who can use franking credits in their tax returns. APA does offer solid and dependable income, but with less franking and a much steeper P/E, there’s less value on offer in my view—at least for income-first portfolios. APA’s recent share price run and infrastructure profile will appeal to some, but if I’m picking for franked passive income, Origin’s the more compelling option right now.

The post Origin Energy vs APA Group: Which ASX dividend share wins? appeared first on The Motley Fool Australia.

More reading

• 3 excellent ASX dividend shares with 5%+ yields
• How much superannuation do I need to earn $56,000 per year in passive income?
• How to build a $52,000 passive income with ASX shares
• 54,543 shares of this high-yield ASX dividend stock pay an income equal to the Age Pension
• APA Group unveils $1.3bn Brigalow Power Plant deal to underpin growth

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 positions in and has recommended Apa 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 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.

On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week with the smallest of gains. The benchmark index rose 4.3 points to 8,686.4 points.

Will the market be able to build on this on Tuesday? Here are five things to watch:

ASX 200 to rise

The Australian share market looks set to rise on Tuesday following a good start to the week in the United States. According to the latest SPI futures, the ASX 200 is expected to open the day 27 points or 0.3% higher. On Wall Street, the Dow Jones rose 0.2%, the S&P 500 climbed 0.65%, and the Nasdaq stormed 1.05% higher.

Buy Amplitude shares

The team at Bell Potter thinks Amplitude Energy Ltd (ASX: AEL) shares are good value at current levels. This morning, the broker was pleased to see Amplitude Energy’s net September 2026 quarterly gas production come in ahead of expectations at 7.4PJ. In response, it has retained its buy rating with a $2.45 price target. It said: “AEL is a pure-play leverage to the southern east coast Australian gas market with the majority of its gas sales under stable contracted prices. The company’s flagship 100%-owned Gippsland Basin asset is now consistently operating at nameplate capacity above 70TJ/day; debottlenecking could see incremental improvements.”

Oil prices fall

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a tough session on Tuesday after oil prices dropped overnight. According to Bloomberg, the WTI crude oil price is down 1.95% to US$89.39 a barrel and the Brent crude oil price is down 1.8% to US$100.42 a barrel. Traders were selling oil after Middle East crude exports increased.

Transurban given trim rating

Transurban Group (ASX: TCL) shares are fully valued according to Morgans. In response to its Sydney tollroads deal, the broker has retained its trim rating with a reduced price target of $12.03. It said: “TCL has increased its exposure to the Sydney market via acquisition of additional equity stakes in key tollroads. While we view positively the deployment by TCL of capital into markets and assets that it knows well, we struggle to see the cashflow benefit for investors at the acquisition price paid particularly in the context of the higher rate environment.”

Gold price edges higher

ASX 200 gold shares Genesis Minerals Ltd (ASX: GMD) and Capricorn Metals Ltd (ASX: CMM) could have a relatively positive session after the gold price edged higher overnight. According to CNBC, the gold futures price is up 0.1% to US$4,166.7 an ounce. This was driven by softening US rate hike expectations.

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

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• This ASX health technology company could more than double in value: Broker
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• 5 things to watch on the ASX 200 on Monday
• Tech shares shine while ASX 200 plunges to 4-month low
• How to build a $52,000 passive income with ASX shares

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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.

Thanks to its record of delivering business growth over the long-term, I’m calling L1 Group Ltd (ASX: L1G) one of Australia’s top shares.

Since the L1 Group share price has fallen 16% since 26 August 2026, it could be a good time to consider buying.

L1 Group is a fund manager offering several strategies that investors use, including a long-short strategy, a global long-short strategy, a gold strategy, international share strategies, and a UK residential fund.

I think this is a great time to invest in one of Australia’s top shares for the following reasons.

Volatile ASX share opportunity

Fund managers are often among the most volatile stocks on the market. This is because the share market can experience significant ups and downs, which can severely impact funds under management (FUM) and therefore the company’s monthly profitability.

But I think periods of decline can be the best time for brave investors to invest.

Don’t forget that the business has experienced strong FUM growth, which is a more important driver than ultra-short-term FUM movements. In FY26, L1 Group’s FUM increased by around 17%. It also said that quarterly flows improved every quarter in FY26.

According to the projection on CMC Invest, the L1 Group share price is now valued at 20x FY27’s estimated earnings.

Strong long-term investment performance

One of the most important drivers of a fund manager’s performance is the returns of the funds.

L1 can point to strong performance in both FY26 and the long term, particularly in what I consider the most important strategy. In fact, the long-short strategy has returned an average of 20.7% (net) per year between September 2014 and August 2026. I think that level of long-term performance earns it the classification as one of Australia’s top shares.

Of course, past performance is not a guarantee of future performance. However, those sorts of returns help drive the FUM higher organically. It can also help attract additional client FUM in the coming years.

Future profit growth expected

Following the L1 acquisition of/merger with Platinum, the medium-term outlook for profit margin growth seems very positive.

It recently announced it was increasing its target merger cost synergies from $35 million to around $43 million. The incremental synergy savings are expected to fund ongoing investment in the group during FY27.

On top of that, the company points out a number of core growth pathways. It notes growth of existing funds through performance and flows, joint ventures, extensions of existing strategies (such as the global long-short strategy and gold strategy), and the acquisition of existing investment managers.

According to CMC Invest, the business is projected to grow its earnings per share (EPS) by around 20% in FY27. This should be a strong growth tailwind.

The post A rare buying opportunity in 1 of Australia’s top shares? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Tuesday
• 2 ASX mining companies tipped to jump 52% and 87%
• How much must I invest in Telstra shares to earn a $1,000 passive income in 2027?
• This ASX health technology company could more than double in value: Broker
• How much could the big 4 banks’ share prices fall?

Motley Fool contributor Tristan Harrison has positions in L1 Group. 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.

Both of these ASX mining companies have been downgraded by the brokers that cover them, yet their price targets remain well above their current trading levels.

Let’s see what the brokers are saying about them.

Meeka Metals Ltd (ASX: MEK)

This company has just completed a $40 million capital raise at 10 cents per share, with the money to be used to fund its next phase of growth.

More specifically, the money will be used to fund the company’s recent Mt Holland project acquisition, the development of its new Turnberry underground mine which will start in October, additional growth drilling and to strengthen working capital.

Meeka generated $160.8 million in revenue in FY26 and made a net profit of $51.3 million.

Broker Morgans said the company’s recent guidance of 7000-7500 ounces of gold recovered in the September quarter was below their estimate of 9800 ounces.

They added:

We maintain our BUY recommendation on MEK with a revised price target of 17 cents per share. MEK is transitioning to a two-mine underground operation, with Turnberry underground (first ore Jan-27) adding a second ore source to Andy Well. While the September quarter miss has tempered near-term expectations, the Turnberry ramp-up, ore sorter performance and drilling at depth are catalysts that could rebuild confidence and narrow MEK’s discount to net asset value.

Morgans’ price target is 87% higher than the current share price of 9.1 cents (at the time of writing).

American Rare Earths Ltd (ASX: ARR)

This company recently updated the scoping study for its Cowboy State mining project, which estimated an after-tax net present value of US$1.07 billion and a production rate of 2500 tonnes per year of neodymium and praseodymium (NdPr) oxide.

The mine is now expected to run for 26 years, up from 20, and cost US$900 million to bring into production.

American Rare Earths Chief Executive Officer Mark Wall said:

Our ambition is to turn Halleck Creek’s resource scale into a long term source of rare earth materials for American industry. This study gives investors a clearer view of the first development phase and the work that is moving it forward. We are now evaluating a mine with 50% greater processing capacity, 36% more annual NdPr oxide production and a longer operating life than the 2025 base case. That is a substantial platform from which to advance the project.

Bell Potter analysts said in their research note on the company that Halleck Creek remains one of the largest rare earth resources in the US.

The broker has a 55 cent price target on the company, which sits well above the current price of 36 cents (at the time of writing).

If achieved, this would represent a 52% return.

The post 2 ASX mining companies tipped to jump 52% and 87% appeared first on The Motley Fool Australia.

More reading

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

I think that Telstra Group Ltd (ASX: TLS) is one of the most appealing ASX blue-chip shares to consider for passive income because of how much the business is paying.

As a very profitable business, Telstra is rewarding investors with large and growing dividend payments.

Dividends aren’t guaranteed, of course, but in a defensive industry like telecommunications, the payouts are more reliable and resilient than in many other sectors, in my view.

Let’s get into how Telstra could deliver $1,000 of annual passive income in 2027.

Telstra dividend projection

The business delivered strong dividend growth in FY26, increasing its annual dividend per share by 10.5% to 21 cents. Not many ASX blue-chip shares grew their payout by that much in FY26.

Things could get even better for shareholders in the 2027 financial year, and that’s what I think investors should focus on for the current financial year. FY26 is now the past.

According to CommSec, analysts are now projecting the annual dividend per share could grow to 22 cents per share. That would be a grossed-up dividend yield of 6.5%, including franking credits, at the time of writing.

Not many ASX blue-chip shares are offering that sort of potential yield, with further growth projected to come in the following financial year (FY28).

What would it take for $1,000 of passive income in 2027?

The amount required for $1,000 of annual dividends in FY27 depends on whether franking credits are included in the income.

With a passive income projection of 22 cents per share in the 2027 financial year, it would require 4,546 Telstra shares to generate that much dividend cash.

If we include franking credits as part of the dividend income, it would take 3,182 Telstra shares to reach the $1,000 grossed-up dividend income goal.

Is this a good time to invest in Telstra shares?

Analysts are largely positive or neutral on the business right now. According to CommSec’s collation of expert ratings, there are currently seven buys, eight holds, and one sell rating on the business.

Telstra expects both of its measures of operating profit (underlying EBITDAaL and cash EBIT) to rise in the single digits in FY27. Underlying EBITDAaL could come between $8.5 billion and $8.8 billion, while cash EBIT could reach between $4.75 billion and $4.95 billion.

While faster growth would be preferred, the company continues to demonstrate its ability to grow earnings, whether that’s during good times or not.

Australia’s ongoing digitalisation and growing population are both demand drivers for connection to the company’s mobile network or its fibre network, which can help earnings and the dividend in the coming year.

The post How much must I invest in Telstra shares to earn a $1,000 passive income in 2027? appeared first on The Motley Fool Australia.

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