Author: openjargon

Telix Pharmaceuticals Ltd (ASX: TLX) shares closed 1.3% lower on Tuesday afternoon, at $15.78 a piece.

The decline means the shares have now fallen just over 9% over the past week, sparking concerns that the rebound is now over for Telix shares.

The biopharmaceutical stock tumbled to a multi-year low of $8.63 in mid-February, before recovering over 100% in early July.

The shares are now up around 39% for the year-to-date.

But they’re still roughly 33% lower than trading levels seen 12 months ago, and 48% lower than an all-time high recorded in early 2025.

What caused the rebound?

Telix shares turned a corner in February this year after a series of good-news announcements out of the biotech company. 

In late February, the company confirmed that it had filed for a key regulatory approval in Europe. 

Later in March, Telix posted several announcements about its growth and development plans. 

In early April, Telix announced that the FDA had accepted its NDA for TLX101-Px (Pixclara®) and also announced a major collaboration with US-based biotech company Regeneron Pharmaceuticals. 

It also announced a 56% increase in revenue and issued FY26 guidance in the range of US$950 million to US$970 million.

Then in early July, the company confirmed it has reached an agreement with the FDA to move ahead with the next part of its ProstACT Global Phase 3 study in the US, developed to target prostate cancer.

Why have Telix shares now started tumbling again?

It’s not clear why Telix shares have been tumbling over the past week. There has been no price-sensitive news out of the company to explain the latest sell off. 

It’s most likely a combination of investors taking gains off the table after a strong rally, and a shift in sentiment for ASX healthcare shares overall.

Reignition of conflict in the Middle East has caused a fresh wave of uncertainty across markets, with investors again rotating into more defensive sectors.

Is there any upside left for Telix shares?

According to the experts, there should be a lot more to come from Telix shares over the next 12 months.

TradingView data shows that 15 out of 16 analysts have a buy or strong buy rating on the shares. One more has a hold rating. They all agree we’ll see some upside ahead too.

The average $25.01 target price implies a potential 59% upside at the time of writing. But the more bullish of the bunch forecast the shares to rocket another 101% to $31.65 over the next 12 months.

Morgans has a $24.33 price target on the healthcare stock and said that industry consolidation could spark more interest in Telix shares.

The broker said that recent news flow on its convertible note refinancing, solid sales figures, and collaboration with Regeneron suggests there is plenty happening at Telix. 

There are also several potential milestones ahead for the company this year, including FDA clearance for its Zircalix kidney cancer imaging production and Pixclara for brain cancer imaging.

The post Down 9%: Is the rebound over for Telix shares? appeared first on The Motley Fool Australia.

More reading

• These are the 10 most shorted ASX shares
• These are the 10 most shorted ASX shares
• Here are the top 10 ASX 200 shares today
• Healthcare shares lead the ASX 200 again as sector rotation gathers pace
• Up 55% in 2026! Why this ASX healthcare stock is climbing again

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

Guzman Y Gomez (ASX: GYG) shares could be one of Australia’s top shares to consider right now. It could offer the right mix of revenue growth and rising profit margins to unlock great returns for investors.

In the future, it may be rare for GYG shares to trade at around $20, given how quickly the underlying business is growing. I also think the business is unlikely to fall more than 20% within 12 months, as it has done.

The Mexican food business looks like a good buy and one of Australia’s top shares for the following reasons.

Strong sales growth

I believe every great business needs to be able to deliver strong compounding. In other words, the company can justify excellent, sustainable share price returns because it’s increasing its intrinsic value at a good pace as revenue and earnings climb.

A company growing earnings at 2% per year is not going to cut it if we’re trying to outperform the market over the long-term.

GYG makes revenue from both its owned restaurants and the franchise ones. One of the best signs of the company’s financial progress is its growing total network sales, which is partly driven by its expanding network of restaurants across Australia and Asia.

We continued to see how quickly the business is growing in the FY26 third quarter.

Australian network sales grew by 19.7% year-over-year to $320.4 million, while Asian network sales grew by 18.7% to $21.5 million. Across Australia and Asia, its comparable sales growth was 6.6%, a strong rate of organic growth for existing restaurants.

That quarterly update also showed the total number of Australian restaurants grew by 14.7% year-over-year to 242, Singaporean restaurants grew by 15% to 23, and Japanese restaurants increased 25% to five.

In the ultra-long term, the company aims to reach 1,000 Australian locations over the next 20 years. It is expected to open 32 Australian restaurants in FY26, showing it’s making solid progress towards that long-term goal.

If its overall network sales can continue growing in the teens in percentage terms for the foreseeable future, it’ll very likely translate into rising profit, making it one of Australia’s top shares, in my view.

Growing profitability

Investors usually value a business based on how much profit it’s generating and could make in the future.

We’ve already seen that the company’s network sales are growing quickly and its profit is growing even faster. Operating leverage is a very powerful force for a great company.

In the FY26 half-year result, network sales grew 18% to $681.8 million, segment underlying operating profit (EBITDA) grew 23.3% to $33 million, profit before tax (PBT) grew 26.2% to $19.2 million and net profit grew 44.9% to $10.6 million.

That HY26 result saw the segment underlying operating profit (EBITDA) as a percentage of network sales improve by 0.6 percentage points to 6.1%. In the long-term, the company thinks this operating profit margin could improve to 10%, which would be a significant improvement over time and implies the bottom line can continue its fast growth.

Significant improvement of profit margins adds to my belief that this business is one of Australia’s top shares.

Valuation

According to Commsec’s projection, the company is valued at 32x FY28’s estimated earnings.

I think this is a great time to invest. But, it’s not the only ASX share with a very compelling future.

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

More reading

• 2 ASX shares highly recommended to buy: Experts
• 2 ASX shares highly recommended to buy: Experts
• 4 ASX 200 shares I’d buy before the end of June
• ASX 200 retail shares outperform on growing hopes interest rates have peaked
• Here are the 10 most shorted ASX shares

Motley Fool contributor Tristan Harrison has positions in Guzman Y Gomez. 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.

There are a number of ASX shares that could be excellent buys right now based on their valuations and potential growth.

When the valuation makes sense, businesses that are growing earnings rapidly could be very attractive buys.

When one analyst rates a business as a buy, that’s interesting. When numerous experts rate a stock as a buy, it could be a compelling opportunity. Let’s look at two ASX shares with significant backing.

TechnologyOne Ltd (ASX: TNE)

TechnologyOne is one of the ASX leading tech companies. It provides enterprise resource planning (ERP) software to various customers such as government entities, local councils, companies, universities and so on.

According to the Commsec collation of analyst opinions, there are currently 13 buy ratings on the business, as well as one hold rating and two sell ratings.

The company is delivering impressive growth year over year. It has a net revenue retention (NRR) goal of 115%, which means it’s aiming to grow its revenue from its existing client base by 15% each year. At that pace, revenue would double in size over five years.

The ASX share is winning more clients in different markets, across both geographies and sectors. It’s growing in the UK, which is a large target market and has similar institutions to Australia, so its software offerings could resonate with potential customers.

I like how the company invests significantly in research and development, which helps it provide the best offering for clients. Additionally, AI tools could help the business lower its costs/speed up its development.

According to the projection on Commsec, the TechnologyOne share price is valued at 51x FY27’s estimated earnings.

Zip Co Ltd (ASX: ZIP)

Zip is one of the leading buy now, pay later businesses in Australia and New Zealand.

According to the Commsec collation of analyst opinions, there are currently 12 buy ratings on the business, with no other ratings.

The ASX share is experiencing ongoing solid growth in the US, which is now the company’s core growth market and it’s seeing rising profit generation.

In the FY26 third quarter, Zip reported total income growth of 20.2% to $335.2 million and operating profit (cash EBTDA) growth of 41.5%. Revenue is growing at a strong pace and profit margins are increasing, which is a great sign for the company’s future net profit.

The company has seen an increase in net bad debts, so that’s something to keep an eye on. But, it’s a lot cheaper than it was in October 2025 – it’s down more than third since then.

According to the projection on Commsec, the Zip share price is valued at 33x FY26’s estimated earnings.

The post 2 ASX shares highly recommended to buy: Experts appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: TechnologyOne, Pro Medicus, PLS Group shares
• Top brokers name 3 ASX shares to buy next week
• 10 fantastic ASX shares to buy for FY27
• Why brokers think Zip shares could soar 50% or more in FY27
• Why I’d buy and hold ResMed and TechnologyOne shares with $5,000

Motley Fool contributor Tristan Harrison has positions in Technology One. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Technology One. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If you are looking for exposure to the healthcare sector and have a high tolerance for risk, then it could be worth considering the ASX share in this article.

That’s because the team at Bell Potter believes it could be a buy with huge upside potential.

Which ASX healthcare share?

The share that Bell Potter has initiated coverage on this week is Lumos Diagnostics Holdings Ltd (ASX: LDX).

It is a commercial-stage point-of-care (POC) diagnostics company that is busy developing rapid testing solutions for frontline healthcare settings.

Bell Potter believes the company’s FebriDx product is worth getting excited about. It explains:

FebriDx is a rapid POC test built around a simple clinical question, Does the patient have an acute respiratory infection (ARI) requiring antibiotics? Unlike other assays, FebriDx assesses the patient’s immune response to distinguish bacterial from nonbacterial illnesses after 10 minutes, via a single fingerstick blood sample. 

The dual biomarker (CRP/MxA) rapid read out supports antibiotic stewardship through real-time decision making that ensures lower and more effective antibiotic use. The journey has been long and has had some setbacks, but now there is a clear path to commercial success following FDA approval with CLIA waiver and reimbursement from CMS that delivers a starting gross margin of 60% and capacity to increase it to 80% over time.

The good news is that the broker highlights that this product gives the ASX healthcare share an estimated US$1 billion market opportunity. It adds:

The CLIA waiver for FebriDx in March 2026 expanded access to eligible sites by c.8.5x from c.32k to c.277k sites via enabling lower-complexity clinics to perform the FebriDx rapid diagnostic test. The waiver provides access to clinics that are a better fit for FebriDx with lower-complexity front-line settings where FebriDx’s rapid, analyserfree workflow is better aligned with real-time prescribing decisions. LDX claims it is now exposed to c.80m annual patient visits to Urgent Care / Primary Care Physicians which creates a c.US$1b opportunity.

Big potential returns

According to the note, the broker has initiated coverage on Lumos Diagnostics shares with a buy rating and 25 cents price target. 

Based on its current share price of 8.6 cents, this implies potential upside of 190% for investors over the next 12 months.

Commenting on its initiation, Bell Potter said:

We initiate coverage with a BUY recommendation and a 10-yr DCF-based valuation/ TP of $0.25/sh, assuming a WACC of 13% and TG of 3.5%. Our TP offers material upside which relies on ensuring deep utilisation by WellStreet and wider adoption of FebriDx over time.

The post Top broker just put a buy rating on this ASX healthcare share appeared first on The Motley Fool Australia.

More reading

• 2 ASX shares highly recommended to buy: Experts
• How much superannuation is needed to target a $100,000 annual passive income?
• 5 things to watch on the ASX 200 on Wednesday
• Why Nick Scali shares are set for a 36% rebound: Expert
• 2 ASX blue-chip shares offering big dividend yields

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

Superannuation is a very effective tool for investors to generate returns with a lower tax rate. It could be a very useful way to invest for Aussies wanting passive income.

The main reason it’s so appealing is that superannuation has a lower tax rate compared to many individuals, trusts and companies. I believe the nature of the superannuation structure, and how Aussies access that money in retirement, enable investors to invest for the long-term.

Receiving passive income is one of the rewarding elements of owning ASX shares with how little effort we need to put in for the ongoing dividend payments.

In my opinion, the passive income we receive after tax is a more important figure than the before-tax figure, because that’s what investors get to keep.

Superannuation can have a tax rate as low as 0% in retirement. That’s great. In the accumulation phase, the superannuation 15% tax rate on income is lower than what many individuals or companies may experience.

Every household may have a different tax situation, so I’ll just focus on a specific dividend income target and won’t refer to tax rates from now on.

How much is needed in superannuation for $100,000 of annual passive income?

Receiving $100,000 in dividends each year would be wonderful, in my opinion. I’d love to receive that much, though I’ve got a long way to go to get there.

There are a variety of asset classes that investors can consider for income such as term deposits, bonds, property and shares.

I think that ASX shares are the best choice for passive income, partially thanks to the excellent bonus of franking credits.

The portfolio size required to earn $100,000 depends on the size of the dividend yield.

As an example, a portfolio with a 5% dividend yield would require a $2 million portfolio. If a portfolio had a dividend yield of 6%, it would need a $1.67 million portfolio.

Different dividend yields require different-sized portfolios to reach that $100,000 of passive income from superannuation.

The sorts of ASX dividend shares I’d buy

Within the ASX share space, there are a few different types of dividend options that offer good dividend yields, such as real estate investment trusts (REITs), S&P/ASX 300 Index (ASX: XKO) shares and compelling listed investment companies (LICs).

Some of the businesses I’d consider with a lower-to-medium dividend yield include Washington H. Soul Pattinson and Co. Ltd (ASX: SOL), Wesfarmers Ltd (ASX: WES), Australian Foundation Investment Co Ltd (ASX: AFI) and Telstra Group Ltd (ASX: TLS).

Some of the higher-yielding names I’d consider include WCM Global Growth Ltd (ASX: WQG), Future Generation Global Ltd (ASX: FGG), Future Generation Australia Ltd (ASX: FGX), Centuria Industrial REIT (ASX: CIP) and Dexus Industria REIT (ASX: DXI).

There are even more ASX dividend shares that superannuation investors could consider for passive income, but I think the above names are a useful starting list.

The post How much superannuation is needed to target a $100,000 annual passive income? appeared first on The Motley Fool Australia.

More reading

• How much passive income can I earn off a $50,000 portfolio?
• How much do I need in superannuation to receive $6000 per month in passive income?
• How to build a successful ASX dividend portfolio
• How I’d invest $10,000 in ASX shares for the next decade
• 3 of the best ASX dividend stocks to supplement your superannuation

Motley Fool contributor Tristan Harrison has positions in Future Generation Australia, Future Generation Global, Washington H. Soul Pattinson and Company Limited, and Wcm Global Growth. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Washington H. Soul Pattinson and Company Limited and Wesfarmers. The Motley Fool Australia has positions in and has recommended Telstra Group and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

On Tuesday, the S&P/ASX 200 Index (ASX: XJO) recovered from a poor start to end the day flat at 8,808.5 points.

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

ASX 200 to rise

The Australian share market looks set for a good session on Wednesday following a solid night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 45 points higher. In the United States, the Dow Jones rose slightly, the S&P 500 climbed 0.4%, and the Nasdaq stormed 0.9% higher.

Oil prices climb again

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have another good day of trade on Wednesday after oil prices pushed higher overnight. According to Bloomberg, the WTI crude oil price is up 2.4% to US$80.02 a barrel and the Brent crude oil price is up 2.8% to US$85.62 a barrel. This was driven by news that the US has launched new strikes on Iran.

Buy Nick Scali shares 

Bell Potter continues to rate Nick Scali Limited (ASX: NCK) shares as a buy. However, the broker has trimmed its price target from $25.00 to $22.00. This still implies potential upside of 40% and a dividend yield of 4%. It said: “With a cautiously optimistic view on the broader Consumer Discretionary sector and looking through to mid-term opportunities, we continue to favour category outperformers such as NCK and see lower risk on margins in manoeuvring revenue growth vs other retailers in our coverage. This sees us sitting ahead of median Consensus in FY27/28e (below in FY26e). We view NCK among the highest quality retailers in our coverage, with a stable market share in ANZ and UK offering sufficient growth levers.”

Gold price rises

ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a good session on Wednesday after the gold price rebounded overnight. According to CNBC, the gold futures price is up 1.3% to US$4,058.1 an ounce. Traders were bidding gold higher after US inflation came in softer than expected.

Evolution Mining update

Evolution Mining Ltd (ASX: EVN) shares will be on watch on Wednesday when the gold miner releases its fourth-quarter update. When Evolution Mining released its last quarterly update, it revealed that it was on track for a strong result. It said: “On track to deliver FY26 gold production at lower than original cost guidance with March quarter production of 170koz gold and 11kt copper at an All-in Sustaining Cost (AISC) of $2,220/oz.”

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

More reading

• Why Nick Scali shares are set for a 36% rebound: Expert
• Here are the top 10 ASX 200 shares today
• Steadfast Group takeover bid update: KKR joins consortium
• 5 things to watch on the ASX 200 on Tuesday
• Here are the top 10 ASX 200 shares today

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

Nick Scali Ltd (ASX: NCK) operates as one of the most recognisable companies in the consumer discretionary sector. 

It is one of Australia’s largest furniture retailers competing within the middle to upper end of the Australian furniture market. It also has a growing global presence via its UK entry.

In general, it has been a tough year for consumer discretionary shares. Inflation and high interest rates have impacted consumer spending. 

This has been reflected in the performance of Nick Scali shares, which are down over 30% in 2026. 

However, a new report from Bell Potter has suggested Nick Scali shares may have been oversold, creating a buy-low opportunity. 

Strength into close of FY26 – cautious on FY27

In yesterday’s report, Bell Potter said it expects Nick Scali to finish FY26 strongly.

Recent sales indicators have been positive, giving the broker confidence that the company’s seasonally strong fourth quarter met expectations.

However, Bell Potter is more cautious about FY27 because consumer confidence is weak in both Australia and the UK, especially for big-ticket household purchases like furniture.

The broker expects challenging trading conditions over the next nine months and believes FY27 will be the low point in the retail cycle.

Even so, Bell Potter expects Nick Scali to perform better than the average retailer during this difficult period.

There are also some early signs that improving housing activity in Australia and better industry trends in the UK could support a gradual recovery.

Bell Potter has reduced its FY27 and FY28 earnings forecasts, mainly because it now expects slower sales growth in the UK than previously forecast.

While our FY26e estimates remain unchanged, we apply some conservatism to our forward estimates within our revenue assumptions for NCK’s mid-market brand Plush in Australia and in the UK. Majority of our earnings changes are driven by revenue assumptions in the UK vs our previous assumptions for a sizable ramp-up in average store revenues.

Price target reduced but upside remains 

Based on this guidance, Bell Potter has reduced its price target on Nick Scali shares to $22.00 (previously $25.00). 

It has retained its buy recommendation. 

Despite lowering its target, the broker still forecasts over 36% upside from current levels. 

With a cautiously optimistic view on the broader Consumer Discretionary sector and looking through to mid-term opportunities, we continue to favour category outperformers such as NCK and see lower risk on margins in manoeuvring revenue growth vs other retailers in our coverage. 

This sees us sitting ahead of median Consensus in FY27/28e (below in FY26e). We view NCK among the highest quality retailers in our coverage, with a stable market share in ANZ and UK offering sufficient growth levers.

The post Why Nick Scali shares are set for a 36% rebound: Expert appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Top broker tips 47% upside for this ASX financials stock 
• 2 ASX small-caps with 40% upside
• 1 ASX dividend stock down 37% I’d buy right now
• Is this ASX consumer discretionary stock a buy after jumping 10% yesterday?

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

ASX blue-chip shares can be a great source of passive income, if we choose the right ones. For me, it’s about more than just what the dividend yield is.

I want to consider businesses that I am confident can deliver resilient payouts. Plus, I prefer ASX blue-chip shares with tailwinds that can enable them to increase their payouts over time.

The below two businesses offer pleasing diversification, a high level of passive income and potential growth. Let’s dive in.

Charter Hall Long WALE REIT (ASX: CLW)

This business is a real estate investment trust (REIT) that owns a diversified portfolio of commercial properties across Australia.

Its portfolio spans government-related buildings (such as Geosciences Australia in Canberra), pubs and hotels, grocery and distribution, telecommunication exchanges, service stations, food manufacturing, waste and recycling, Bunnings properties and plenty more.

I think this ASX blue-chip share’s $6 billion portfolio is very attractive and offers more diversification than any other ASX-listed property investment.

But it’s not just diversification that makes this a good investment – the business also has built-in rental indexation with its tenants. The rent is either growing in line with inflation or at a fixed annual rate.

In the first half of FY26, the business saw 3% growth of like-for-like property income. This allows the business to hike its FY26 annual distribution by 2% to 25.5 cents per unit. That translates into a dividend yield of 7%. That’s a great yield in my book.

It looks great value to me considering it’s trading at a 22% discount to the net tangible assets (NTA) of $4.68 at 31 December 2026.

WAM Leaders Ltd (ASX: WLE)

The other idea I want to tell you about is this listed investment company (LIC) which largely focuses on ASX blue-chip shares with an active management strategy.

That strategy of buying when prices are lower and selling when prices are higher has helped the team at WAM Leaders portfolio outperform the S&P/ASX 200 Accumulation Index (ASX: XJO) by an average of close to 3% more per year since the LIC’s inception in 2016, before fees, expenses and taxes.

By focusing on high-quality businesses, WAM Leaders can produce good returns in most economic conditions.

At the end of June 2026, some of its largest positions included Wesfarmers Ltd (ASX: WES), Woodside Energy Group Ltd (ASX: WDS), Stockland Corporation Ltd (ASX: SGP), Scentre Group (ASX: SCG), Nexgen Energy (Canada) CDI (ASX: NXG), Goodman Group (ASX: GMG), Charter Hall Group (ASX: CHC), Amcor CDI (ASX: AMC) and Ampol Ltd (ASX: ALD).

As you can see, it’s a portfolio full of ASX blue-chip shares.

The business has increased its annual payout each year since FY17, showing it has a great track record of providing rising dividends for investors.

It expects to pay an annual dividend per share of 9.6 cents in FY26, which translates into a forward grossed-up dividend yield of 9.8%, including franking credits, at the time of writing.

These aren’t the only ASX shares I’d buy for income, but they are among the ones I’d be very happy to buy for my portfolio.

The post 2 ASX blue-chip shares offering big dividend yields appeared first on The Motley Fool Australia.

More reading

• How much passive income can I earn off a $50,000 portfolio?
• How to build a successful ASX dividend portfolio
• 2 leading ASX blue-chip shares experts think are buys
• How much do I need in my superannuation to get $52,000 per year in passive income?
• 5 top ASX dividend shares to buy in July

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 Goodman Group and Wesfarmers. The Motley Fool Australia has positions in and has recommended Amcor Plc. 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.

Ballard Mining Ltd (ASX: BM1) has been delivering some encouraging exploration results recently, and the gold company’s story has piqued the interest of the analysts at Moelis Australia, who have just initiated coverage of the stock.

Moelis has a bullish share price target on the company’s shares, which we’ll get to shortly.

First, let’s look at the company’s recent announcements.

ASX gold company delivering with exploration success

Ballard in mid-June said in a statement to the ASX that it had made a new gold discovery north of its Baldock deposit.

The new Pluto discovery included intersections, including 5m at 10.2 grams per tonne of gold from 98m, and 7m at 3.7 grams per tonne from 19m.

Ballard also extended its Ayla discovery by 200m and returned more good results from its Neptune discovery.

Just a week later, the company reported more high grade results at Baldock outside of the current one million ounce resource.

Ballard Managing Director Paul Brennan said at the time:

This is a very exciting development for Ballard. These results have the potential to add a material resource uplift to the existing base load +1 Moz Baldock deposit. The Company’s CY2026 exploration program is currently optimised towards near-term development rather than fully testing the potential of the system. These results continue to reinforce our belief that Mt Ida is potentially a camp scale project that has been historically under-explored. As we work through the remainder of our planned drilling for this calendar year, our focus is on identifying the next 1 Moz at Mt Ida.

Shares looking like good value

Moelis said in its report on Ballard that the Australian gold sector was maturing, and it was turning its focus to companies further down the development curve.

Moelis said regarding Ballard:

The key tenements are already mine permitted, and studies are well advanced around the potential to develop a new gold mining operation capable of operating in excess of 8 years producing an initial 80koz Au annually. While very early stage, our modelling suggests total capital of approximately A$270m to establish an operation with competitive industry cash costs (aided by high grade underground ore feed).

Moelis said, on current timelines, the company could be in a position to formally commit to funding and development by the end of FY27, enabling first production at the start of FY29 via an open-pit mine, followed by an underground operation from CY30.

Moelis added:

In our view the exploration potential of the region is significant and could aid both higher production run rates or longer mine life with further discovery.

Moelis has a price target of 90 cents on Ballard Mining shares compared to 63.5 cents at the time of writing.

The post This ASX gold stock could jump more than 40%: Broker appeared first on The Motley Fool Australia.

More reading

• How to invest $20,000 in ASX ETFs in July
• How much passive income can I earn off a $50,000 portfolio?
• Up almost 50%, is it too late to buy BHP shares?
• Forget CBA shares, this ASX financials stock has strong momentum heading into FY27
• After soaring 9% yesterday, is this ASX stock a buy, hold or sell?

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.

A $20,000 investment can go a long way with ASX exchange-traded funds (ETFs).

I would use it to build a portfolio that is simple enough to hold, but still has enough variety to feel well balanced.

The four ETFs below would give me global reach, Australian exposure, US market strength, and a small tilt toward one long-term growth theme.

Here is how I would split the money in July.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

I would put the largest part of the $20,000 into this Vanguard ETF.

The reason is simple: it gives me exposure to a wide range of large companies across developed markets outside Australia.

That can be valuable for Australians because our local market is relatively small. Many of the world’s biggest healthcare, technology, industrial, consumer, and financial businesses are listed overseas.

This fund gives investors a way to own a slice of that global business machine without trying to pick each company individually.

I also like it as a core holding because it can quietly do its job in the background. Some years will be strong, others will be weaker, but a broad international ETF can help investors stay connected to global earnings growth over the long term.

Betashares Australian Quality ETF (ASX: AQLT)

I would still want some local exposure. But rather than simply buying the whole Australian market, I would consider this Betashares ETF because it focuses on quality companies.

The fund’s index looks for businesses with high returns on equity, lower leverage, and steadier earnings.

I like that because the Australian market can be heavily influenced by banks and resources shares. I like the idea of taking a more selective approach and focusing on companies with stronger financial characteristics.

This ETF could still fall when the ASX is weak. But over the long term, I think quality filters can help investors avoid some of the weaker parts of the market.

iShares S&P 500 ETF AUD (ASX: IVV)

This iShares ETF would give the portfolio an extra tilt toward the US share market.

While the first ETF already has some US exposure, I would still be comfortable adding this fund because Wall Street remains home to many of the world’s most dominant companies.

The S&P 500 is not just a technology story. It includes businesses across healthcare, payments, consumer products, manufacturing, financial services, software, and other areas.

What I like is the depth of the market. The US has a long record of producing companies that can scale globally, reinvest heavily, and become more valuable over time.

Betashares Global Cybersecurity ETF (ASX: HACK)

The final part of the $20,000 would go into a more focused ETF.

Cybersecurity is one of those areas that feels increasingly tied to how the modern economy works. Companies, governments, hospitals, banks, retailers, and households all rely on digital systems that need protection.

That creates demand for businesses involved in security software, threat detection, identity protection, cloud security, and related services.

This Betashares ETF is more targeted than the others, so I would keep the allocation smaller. Further, the share prices of cybersecurity companies can be volatile, especially if valuations become stretched.

Even so, I like the idea of having a small position in a theme that could remain important for many years.

Foolish takeaway

If I were investing $20,000 into ASX ETFs in July, I would focus most of the money on broad exposure and then add a couple of deliberate tilts.

The aim would be to own a portfolio that can grow with global markets, include some local quality, and capture a small slice of a powerful digital security trend.

I would not overcomplicate it.

A mix like this could give investors plenty of diversification while still making the portfolio feel purposeful. For me, that is exactly what a long-term ETF portfolio should do.

The post How to invest $20,000 in ASX ETFs in July appeared first on The Motley Fool Australia.

More reading

• Analysts are still bullish on SpaceX shares after Nasdaq inclusion. Here is what that means for ASX investors
• 3 ASX ETFs with strong long-term growth potential
• The best Vanguard ETFs to buy and hold
• ASX IVV and other iShares ETFs are paying dividends today!
• Where to invest $50,000 in ASX ETFs this month

Motley Fool contributor Grace Alvino 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 BetaShares Global Cybersecurity ETF and iShares S&P 500 ETF. The Motley Fool Australia has recommended Vanguard Msci Index International Shares ETF and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.