Author: openjargon

It has been a tough 12 months for ASX financials stock Regal Partners Ltd (ASX: RPL). 

The specialist alternative investment manager has seen its share price fall more than 30% year to date. 

However, a new report from Ord Minnett points to a major rebound over the next year. 

The company manages a range of investment strategies covering hedge funds, growth equity, real & natural assets and credit & royalties on behalf of institutions, family offices, charitable groups and private investors.

Not just a dividend stock 

In recent months, this ASX financials stock has been highlighted for its generous dividend yield – and for good reason. 

It currently offers a very healthy dividend yield of 11.1%, after more than doubling its net profit over the past financial year.

However, recent share price weakness now makes it an attractive growth option as well. 

According to Ord Minnett, it delivered a strong first-half FY26 result (1H26), though attention focused mainly on the announced transition to retirement of founder and portfolio manager Philip King. 

Mr King is responsible for approximately 16% of RPL’s funds under management (FUM), or $3.4 billion, and will remain in his current roles until at least 30 June 2027. The extended handover period should help support continuity. RPL declared a fully franked interim dividend of 12 cents per share (cps) which was double last year’s interim. Financially, the result was robust. Normalised net profit after tax reached $93 million (guidance was for at least $90 million), more than double the prior corresponding period, and 3% ahead of consensus.

Flows remain strong

Ord Minnett also highlighted the standout contributor during the most recent half was performance fees which came-in at $119 million. 

This was above guidance for at least $115 million, and significantly higher than the $42 million generated in the first-half of FY25. “Performance fees may moderate in the second-half of FY26 given the amount of FUM that is at, or within, 5% of its high-water mark, has fallen by $1.1 billion in the six months to 30 June 2026.

This has likely declined further in July given softer investment returns from a range of long/short strategies. Flows remain strong. Net inflows totalled $300 million in July, with additional inflows during August across credit and listed investment company products. This momentum has prompted us to lift our expectations for CY26 net inflows to $2.2 billion, ahead of management’s guidance of $2 billion.

Big upside for ASX financials stock

Based on this guidance, Ord Minnett slightly lowered its price target on this ASX financials stock. However, significant upside remains. 

The broker now has a price target of $4.90 (previously $5.40). 

We maintain a Buy recommendation. Despite the leadership transition risk, RPL is trading on an attractive FY27 price to earnings multiple of circa 8x, and on our numbers, offers around 14% per annum growth in EPS over FY26–29.

From current levels, this indicates 118% upside potential. 

The post Ord Minnett tips this ASX financials stock to double within the next 12 months  appeared first on The Motley Fool Australia.

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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.

Goodman Group vs Nextdc shares: Which ASX stock with AI exposure comes out on top?

If you’re on the hunt for ASX stocks with exposure to the booming demand for AI infrastructure, Goodman Group (ASX: GMG) and Nextdc Ltd (ASX: NXT) are both front-runners. But they’re very different plays: one is Australia’s leading industrial property trust, while the other is the country’s top home-grown data centre operator. Let’s break down their businesses, fundamentals, valuation, and recent price moves to help you decide where you might want to put your money.

The case for Goodman Group

Goodman Group is Australia’s largest real estate investment trust (REIT) and operates an integrated property business across 14 countries. It specialises in owning, developing and managing industrial and commercial properties—including logistics hubs, warehouses, and, increasingly, cutting-edge facilities geared towards cloud infrastructure and AI.

A few fundamentals stand out for Goodman Group:

• A hefty market capitalisation of $53.42 billion, putting it among the ASX heavyweights.
• A P/E ratio of 19.42, which looks reasonable for a global property group exposed to future tech trends.
• The dividend yield sits at 1.16% with unfranked payouts, and its dividends have held steady at $0.15 per half-year for several years running.

Goodman’s scale means it can win huge development projects—like new hyperscale data centres and logistics hubs—that directly benefit from AI’s ever-growing appetite for space, power and connectivity.

The case for Nextdc

Nextdc is the quintessential ASX data centre stock—with a core focus on building and operating state-of-the-art infrastructure tailored specifically to cloud, digital services, and, increasingly, AI workloads. Its flagship data centres are critical to the digital economy, providing secure, high-speed connections for both Aussie and global tech companies.

Three things jump off the page with Nextdc:

• It’s much smaller than Goodman, with a market cap of $8.40 billion—arguably a more ‘pure play’ on AI and cloud megatrends.
• The P/E ratio is a sky-high 93.36, reflecting hefty expectations for future growth rather than immediate profits.
• Nextdc pays no dividend, preferring to reinvest heavily into expanding its footprint and ramping up capacity to capture the next wave of AI and cloud demand.

If you’re backing the digital economy and big data, Nextdc gives you direct exposure to the backbone infrastructure that makes AI possible.

Valuation comparison

Here’s how these two stack up on key numbers:

Metric	Goodman Group	Nextdc
Market Cap	$53.42 billion	$8.40 billion
P/E Ratio	19.42	93.36
Dividend Yield	1.16% (unfranked)	0.00%
Earnings per Share	1.329	0.122
Year-to-Date Return	-16.20%	-7.65%

The clear contrasts? Goodman is much larger and stands out for its steady (if modest) dividend—though it’s unfranked. Nextdc is valued much more optimistically on earnings, as often happens with “growth at all costs” tech infrastructure stocks.

Recent share price performance

Let’s look at the past month: from 18 August to 17 September 2026.

Goodman Group’s shares started this window at $30.47 and finished at $26.00—a drop of about 14.7%. That’s consistent with its negative year-to-date return of -16.20%.

Nextdc began the period at $14.73 and ended at $11.06, marking a fall of about 24.9%. However, its year-to-date return is somewhat better at -7.65%, suggesting earlier 2026 gains have softened the blow.

So, while both have fallen in the short run, Goodman’s decline has been less severe over the recent month, but Nextdc has fared a bit better year-to-date.

Which is the better buy?

Here’s how I see it. Goodman Group looks like the safer, lower-multiple choice, offering big scale and a steady, if low, dividend. It’s exposed to data centre and AI-driven property demand, but as just one part of a broader real estate strategy. Its valuation looks reasonable, but recent price falls reflect market caution toward property and infrastructure assets.

Nextdc, on the other hand, is a genuine pure-play on AI and cloud infrastructure. It’s priced for high growth—with that towering P/E and no dividend—because investors expect surging demand to boost profits down the road. But it’s riskier: one slip in execution or a slower ramp-up in demand and that valuation could compress quickly.

If I had to choose today, my pick would be Nextdc. Despite a steeper recent correction, I think it offers the most upside for those seeking direct, higher-octane AI exposure, provided you can stomach short-term volatility. Goodman is a solid anchor for a more conservative portfolio, but if it’s AI infrastructure ‘oomph’ you’re after, I’d lean towards Nextdc

The post Goodman Group vs Nextdc: Which stock is the better buy today? appeared first on The Motley Fool Australia.

More reading

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• Nextdc vs Megaport: Which ASX tech growth share comes out on top?
• How to make $26,000 of passive income from ASX shares

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goodman Group. The Motley Fool Australia has recommended Goodman 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.

S&P/ASX 200 Index (ASX: XJO) shares edged 0.11% lower last week, closing at 8,731.2 points on Friday.

On The Bull this week, Dylan Evans from Catapult Wealth explains his ratings on three ASX 200 shares.

Let’s take a look.  

Coles Group Ltd (ASX: COL)

The Coles share price closed at $23.12 on Friday, down 0.47% for the week.  

Evans has a buy rating on this ASX 200 consumer staples share. 

He said: 

The supermarket industry structure remains favourable, with Coles and competitor Woolworths Group Ltd (ASX: WOW) dominating market share.

Coles posted group sales revenue of $45.580 billion in full year 2026, up 2.8 per cent on the prior corresponding period. Excluding significant items, group earnings before interest and tax of $2.322 billion was up 9.9 per cent.

Supermarket eCommerce sales was a highlight, growing 26.4 per cent.

Coles offers a reliable dividend yield, backed by defensive earnings.

Catalysts for growth include online expansion, population growth and supply chain automation.

CSL Ltd (ASX: CSL)

The CSL share price closed at $175.59 on Friday, up 5.08% for the week.  

Evans has a hold rating on this ASX 200 healthcare share. 

He commented: 

The CSL share price has partially recovered after the company posted a brighter outlook at its 2026 full year results.

A promising sign was profit growth guidance in full year 2027, driven by the core blood plasma business. This guidance should provide the market with confidence about CSL’s brighter future after a difficult period.

There’s potential value in the stock, particularly if CSL achieves guidance and growth recovers.

National Australia Bank (ASX: NAB)

The NAB share price closed at $38.47 on Friday, down 0.65% for the week.  

Evans has a sell rating on this ASX 200 bank share. 

He said: 

Revenue grew by 2 per cent in the third quarter of fiscal year 2026 when compared to the first half quarterly average. Cash earnings also increased by 2 per cent.

In our view, the broader banking sector is facing several headwinds. The Federal Government announced changes to capital gains tax and negative gearing in the May Budget. Investment loan applications have slowed amid a cost of living crisis.

While the NAB business is well managed and the balance sheet is solid, it’s difficult to identify any significant growth on the horizon.

Investors may want to consider taking some profits and explore superior earnings growth opportunities elsewhere.

The post Buy, hold, sell: Coles, NAB, CSL shares appeared first on The Motley Fool Australia.

More reading

• 2 ASX 200 shares to buy and 1 to sell now
• ASX 200 healthcare shares lead a weaker market amid 82% chance of a rate hike
• Down 15% and paying record dividends: Are CBA shares now a good buy for passive income?
• How much passive income could I make by investing $500 a month in ASX shares?
• Are BHP, CBA, and CSL shares top buys?

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

Now could be the time to sell the S&P/ASX 200 index (ASX: XJO) share in this article.

That’s because the team at Bell Potter has just put a sell rating on its shares and is warning of significant downside potential.

Which ASX 200 share?

The share in question is coal miner New Hope Corporation Ltd (ASX: NHC).

Bell Potter notes that New Hope released its results this month and delivered a profit below expectations. It said:

Earlier this week, NHC reported FY26 underlying EBITDA of $514m (pre-reported) and statutory NPAT of $161m (BP est. $183m), below our estimates with higher finance expenses. In FY26, NHC realised an average price of A$145/t and average group FOB cash cost (excluding royalties) A$89/t (up 8% YoY) for an underlying margin of A$45/t, down 30% YoY with lower realised thermal coal prices. 

Though, one positive was that the ASX 200 share is paying a much larger than expected dividend despite the profit weakness. Bell Potter adds:

Operating cash flow was $564m and capex $193m for free cash flow $403m. A 30cps fully franked final dividend was declared (BPe 14cps, VA consensus 15cps), equating to $253m or 157% of statutory NPAT. At 31 July 2026, NHC had cash and liquid investments of $778m and debt (including leases) of $447m, for net cash of $332m. FY27 guidance was not released; NHC typically publish initial guidance with the October quarterly production report scheduled for November 2026.

Downgraded to sell

According to the note, Bell Potter has downgraded the ASX 200 share to a sell rating (from hold) with a $5.00 price target. 

Based on its current share price of $6.38, this implies potential downside of almost 22% for investors over the next 12 months.

Commenting on the downgrade, the broker said:

We have downgraded our NHC recommendation to Sell on recent share price appreciation. Our $5.00/sh Target Price already incorporates a 14% premium to our sum-of-the-parts valuation, reflecting NHC’s leverage to global energy security themes amplified by recent geopolitical tensions. We expect energy markets will normalise over the near-term. Beyond the ramp-up of New Acland Stage 3, NHC has a limited organic production growth pipeline, and we expect earnings will peak in FY27. We expect NHC may participate in further industry consolidation as an acquirer.

Overall, this could make it worth keeping your powder dry for the time being and waiting for a better entry point down the line.

The post Guess which ASX 200 stock was downgraded to a sell rating appeared first on The Motley Fool Australia.

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• $10,000 invested in Zip and New Hope shares 3 years ago is now worth…

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.

The ASX dividend stock Regis Healthcare Ltd (ASX: REG) has fallen a huge 49% from its high just over a year ago and this looks like a great time to invest.

Regis is one of the largest aged care operators in Australia. It provides services to more than 10,000 older Australians through residential aged care homes, home care service hubs, day therapy, respite centres and retirement villages.

Some of the decline happened earlier this month after the company noted that the Australian National Aged Care Classification (AN-ACC) starting price will increase 2.55% from $295.64 to $303.19, starting 1 October 2026.

The government also announced that the hotelling supplement will remain unchanged at $22.15 per resident per day.

Regis Healthcare said that the price increase is significantly below cost inflation in the sector and the broader economy.

I think the ASX dividend stock is a buy for multiple reasons.

Significantly cheaper

It’s clear that conditions in the short-term are more challenging for Regis Healthcare, but I think the share price has more than made up for that.

It has fallen by roughly half in the space of a year. A share price is meant to reflect a company’s long-term future potential. I don’t think its long-term prospects have worsened by around 50%.

The company is still benefiting from the long-term tailwind of Australia’s ageing population. In FY26, its total occupied bed days increased 8.4% to 2.85 million, with its average occupancy increased by 0.7 percentage points to 95.8%.

FY26’s aged care revenue per occupied bed grew 6.7%, while aged care staff expenses per occupied bed rose 8.3%.

FY26 underlying operating profit (EBITDA) climbed 10% to $138 million, underlying net profit grew 4% to $55.6 million, and statutory net profit rose 14% to $55.7 million.

After falling so far, the business now trades at a much more appealing price/earnings (P/E) ratio.

According to the forecast on Commsec, the Regis Healthcare share price is now valued at 28x FY27’s estimated earnings.

Regis Healthcare said the industry requires 10,000 new beds per year to meet potential demand. In 2025, the industry added around 800 beds, falling well short of that target. As one of the big players in the sector, the ASX share will be an important player in meeting that demand in the coming years.

Mitigating actions to help protect against margin reduction

While the latest price update for aged care providers may not match expense growth, it will partially offset the rise in costs. Plus, the ASX dividend stock is undertaking a range of initiatives to mitigate ongoing margin pressures.

Its initiatives include an increase to room prices, a rollout of ‘higher everyday living fee (HELF)’ services, other revenue optimisation, and operational efficiency initiatives.

Hopefully those ideas will help reduce the burden of increased costs, without reducing service at its homes.

Pleasing dividend credentials with the ASX dividend stock

I’m not expecting a dividend increase from the business every year, though it has increased its annual payout each year for the last four consecutive years.

FY27 could see a reduction based on likely reduced profitability, but then projections suggest a return to regular dividend growth in the subsequent years.

According to the projection on Commsec, it could pay an annual dividend per share of 15.1 cents in FY27. That’d be a grossed-up dividend yield of 4.6%, including franking credits.

The FY29 annual dividend is projected to be 19.2 cents per share – larger than the FY26 dividend. This would be a grossed-up dividend yield of 5.8%, including franking credits.

I believe the ASX dividend stock’s payout could grow materially over the next five to ten years as ageing-demographic tailwinds continue to strengthen. This could be a good time to pounce.

The post 1 ASX dividend stock down 49% I’d buy right now appeared first on The Motley Fool Australia.

More reading

• 2 ASX shares tipped to grow 30% or more in the next 12 months
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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 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 are looking for S&P/ASX 200 index (ASX: XJO) shares to buy (and sell), then it could be worth hearing what one expert is saying, courtesy of The Bull.

Here are two ASX 200 shares they are tipping as buys and one share that they think is a sell:

Coles Group Ltd (ASX: COL)

The team at Catapult Wealth is positive on supermarket giant Coles. 

It highlights the company’s attractive and reliable dividend yield and defensive earnings as reasons to buy. It said:

The supermarket industry structure remains favourable, with Coles and competitor Woolworths dominating market share. Coles posted group sales revenue of $45.580 billion in full year 2026, up 2.8 per cent on the prior corresponding period. Excluding significant items, group earnings before interest and tax of $2.322 billion was up 9.9 per cent. 

Supermarket eCommerce sales was a highlight, growing 26.4 per cent. Coles offers a reliable dividend yield, backed by defensive earnings. Catalysts for growth include online expansion, population growth and supply chain automation.

National Australia Bank Ltd (ASX: NAB)

Catapult Wealth isn’t as positive on NAB and has named it as an ASX 200 share to sell this week.

It believes that growth will be challenging for the banking giant in the near term and thinks investors could get better value for money elsewhere in the market. Catapult Wealth explains:

Revenue grew by 2 per cent in the third quarter of fiscal year 2026 when compared to the first half quarterly average. Cash earnings also increased by 2 per cent. In our view, the broader banking sector is facing several headwinds. The Federal Government announced changes to capital gains tax and negative gearing in the May Budget. 

Investment loan applications have slowed amid a cost of living crisis. While the NAB business is well managed and the balance sheet is solid, it’s difficult to identify any significant growth on the horizon. Investors may want to consider taking some profits and explore superior earnings growth opportunities elsewhere.

Netwealth Group Ltd (ASX: NWL)

The wealth management firm has named Netwealth as an ASX 200 share to buy.

It believes the investment management platform provider’s shares are trading at an attractive level following recent weakness. Catapult Wealth said:

Netwealth operates a leading investment management platform used by financial advisers in Australia. The company’s full year 2026 results continued to deliver strong growth, with the platform’s funds under administration increasing 20.3 per cent to $135.7 billion and earnings per share growing 16 per cent to 55.2 cents. 

Despite these strong results, the share price has fallen significantly, most likely and partially in response to a compensation payout of about $101 million to members in the collapsed First Guardian Master Fund. Share price weakness presents an opportunity, as Netwealth still holds a net cash position and is poised to generate strong revenue growth moving forward.

The post 2 ASX 200 shares to buy and 1 to sell now appeared first on The Motley Fool Australia.

More reading

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

Once a week, I like to look at ASIC’s short position report to find out which ASX shares are being targeted by short sellers.

That’s because I believe it is worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, listed below are the 10 most shorted shares on the ASX this week according to ASIC.

The top 10 most shorted ASX shares

• Lotus Resources Ltd (ASX: LOT) remains at the top of the table with short interest of 17%, up from 15.9% last week. The uranium producer continues to attract short sellers, possibly due to concerns over its ability to ramp up production at Kayelekera and deliver the expected financial benefits.
• DroneShield Ltd (ASX: DRO) has seen its short interest rise to 16.2%. Short sellers may be questioning whether the counter-drone technology company’s growth can justify its valuation, particularly with the ASIC investigation still creating uncertainty.
• 4DMedical Ltd (ASX: 4DX) has short interest of 12.3%, which is up slightly week on week. Despite encouraging progress with its US commercial rollout, short sellers may believe its current revenue base is too small to support its market valuation.
• Domino’s Pizza Enterprises Ltd (ASX: DMP) has seen its short interest rise to 12%. The pizza chain operator remains under pressure as it works to improve store profitability and restore earnings growth following a difficult period.
• IperionX Ltd (ASX: IPX) has jumped to fifth with short interest of 11.7%, up from 10.6% last week. Short sellers may have concerns over the titanium company’s valuation and how quickly it can turn its growing production capacity into meaningful earnings.
• Treasury Wine Estates Ltd (ASX: TWE) has seen its short interest ease to 11.4%. The Penfolds owner continues to face challenging conditions in the Americas, with short sellers potentially questioning how quickly its restructuring efforts will improve profitability.
• PLS Group Ltd (ASX: PLS) has 11.2% of its shares held short, which is broadly unchanged since last week. Uncertainty over the timing of a sustained lithium price recovery may be keeping short sellers interested in the miner.
• Telix Pharmaceuticals Ltd (ASX: TLX) has returned to the top ten with short interest of 11%. Despite recently securing US FDA approval for Pixclara, short sellers may still be questioning how quickly its expanding product portfolio can drive earnings growth.
• Flight Centre Travel Group Ltd (ASX: FLT) has seen its short interest ease slightly to 11%. Short sellers may remain wary of disruption to international travel and whether the company can deliver a meaningful improvement in margins.
• Paladin Energy Ltd (ASX: PDN) has short interest of 10.9%, which is broadly flat week on week. The uranium producer continues to attract short sellers, possibly due to doubts over its ability to meet production expectations and keep operating costs under control.

The post These are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

More reading

• ASX 200 healthcare shares lead a weaker market amid 82% chance of a rate hike
• Here are the top 10 ASX 200 shares today
• 4DMedical shares are rocketing 11% today. Is a short squeeze starting?
• Could this evolving development smash ASX lithium shares like Liontown, Mineral Resources and PLS?
• 3 ASX 200 shares forecast to fly 30% to 40% higher

Motley Fool contributor James Mickleboro has positions in Domino’s Pizza Enterprises and Treasury Wine Estates. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Domino’s Pizza Enterprises, DroneShield, Telix Pharmaceuticals, and Treasury Wine Estates. The Motley Fool Australia has positions in and has recommended Treasury Wine Estates. The Motley Fool Australia has recommended Domino’s Pizza Enterprises, Flight Centre Travel Group, and Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week with the smallest of declines. The benchmark index fell slightly to 8,731.2 points.

Will the market be able to bounce back from this on Monday? Here are five things to watch:

ASX 200 expected to fall

The Australian share market looks set for a poor start to the week following a mixed session on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 57 points or 0.65% lower. In the United States, the Dow Jones was down 0.2%, the S&P 500 rose 0.15%, and the Nasdaq pushed 0.4% higher.

Oil prices drop

ASX 200 energy shares including Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a soft start to the week after oil prices pulled back on Friday night. According to Bloomberg, the WTI crude oil price was down 1.6% to US$100.30 a barrel and the Brent crude oil price was down 0.9% to US$103.87 a barrel. This was driven by optimism over Saudi Arabian oil flows.

Buy Nickel Industries shares

Nickel Industries Ltd (ASX: NIC) shares could be worth a look according to Bell Potter. This morning, the broker has retained its buy rating and $1.45 price target on the nickel producer’s shares. It said: “NIC is one of the world’s largest listed nickel producers and offers exposure across a range of nickel products and markets. It has a track record of maintaining margins through low nickel prices, benefitting from its diversified product suite and margin exposure across an integrated value chain. We retain our Buy recommendation and TP$1.45/sh.”

Gold price rises

It could be a positive start to the week for ASX 200 gold shares Capricorn Metals Ltd (ASX: CMM) and Northern Star Resources Ltd (ASX: NST) after the gold price rose on Friday night. According to CNBC, the gold futures price was up 0.55% to US$4,424.9 an ounce. Easing oil prices gave the precious metal a boost.

New Hope shares downgraded

New Hope Corporation Ltd (ASX: NHC) shares are overvalued according to Bell Potter. This morning, the broker has downgraded the coal miner’s shares to a sell rating with a $5.00 price target. It said: “We have downgraded our NHC recommendation to Sell on recent share price appreciation. Our $5.00/sh Target Price already incorporates a 14% premium to our sum-of-the-parts valuation, reflecting NHC’s leverage to global energy security themes amplified by recent geopolitical tensions. We expect energy markets will normalise over the near-term. Beyond the ramp-up of New Acland Stage 3, NHC has a limited organic production growth pipeline, and we expect earnings will peak in FY27. We expect NHC may participate in further industry consolidation as an acquirer.”

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

More reading

• ASX 200 healthcare shares lead a weaker market amid 82% chance of a rate hike
• Here are the top 10 ASX 200 shares today
• Santos vs Woodside: Which ASX energy share is better value?
• Here’s the earnings forecast out to 2028 for Woodside shares
• ASX 200 slips into the red after a positive start. Here’s why

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group Ltd. 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.

Metcash vs Wesfarmers shares: which is better for income investors?

If you’re looking for steady, reliable income from shares, Metcash Ltd (ASX: MTS) and Wesfarmers Ltd (ASX: WES) will both be on your radar. Both companies are big names in the world of Aussie retail and distribution, famous for supporting some of our most familiar brands. But which is the better choice for income-focused investors when you cut through the headlines to the fundamentals? Let’s take a closer look at how Metcash vs Wesfarmers shares stack up.

The case for Metcash

Metcash is Australia’s leading wholesale distributor for independent food retailers (think IGA and Foodland supermarkets), as well as a major supplier for bottle shops (like The Bottle-O and Cellarbrations) and hardware stores (Mitre 10, Home Timber & Hardware, and Total Tools). According to its most recent public description, Metcash supports more than 1600 independent supermarkets and has a significant footprint in liquor and hardware too.

The standout attraction for income investors is Metcash’s dividend yield. The current yield is an attractive 6.34%, with dividends fully franked at 100%. This is backed by a price-to-earnings (P/E) ratio of 11.23, making Metcash look relatively cheap vs. the broader market. The company’s year-to-date (YTD) return is -11.06%, showing its share price has come under some pressure, but for those focused on cash flow, the consistent dividends (see below) are arguably more important.

Metcash has a long track record of paying fully-franked dividends, with recent annual payouts split between interim and final dividends – all 100% franked.

The case for Wesfarmers

Wesfarmers is one of Australia’s largest conglomerates, with major retail brands under its belt. Its stable of businesses includes Bunnings Warehouse, Kmart, Officeworks, Priceline, and more. The company also has significant interests in chemicals, energy, and fertilisers, and recently entered the pharmacy sector through acquiring Australian Pharmaceutical Industries. What started as a farmers’ co-op in 1914 has become a juggernaut of Australian retail and industrial activity.

For income investors, Wesfarmers offers a current dividend yield of 3.07%, lower than Metcash, but with a much higher absolute dividend per share ($2.22 vs Metcash’s $0.19), reflecting its larger share price. Like Metcash, its dividends are fully franked (100%). Wesfarmers has a long history of paying reliable, fully-franked dividends, and often surprises with special dividends on top of regular payouts.

Wesfarmers carries a significantly higher market cap ($82.68 billion) than Metcash, offering scale, diversification and resilience. However, its P/E ratio is 28.53, much higher than Metcash, suggesting the market is pricing in more growth and possibly less underlying value for income-seekers right now.

Valuation comparison

Here’s how the core fundamentals for income investors compare:

	Metcash	Wesfarmers
Market Cap	$3.12 billion	$82.68 billion
P/E Ratio	11.23	28.53
Dividend Yield	6.34%	3.07%
Dividend per Share	$0.19	$2.22
Franking	100%	100%
Earnings per Share	$0.253	$2.534

Metcash trades at a much lower P/E ratio and delivers a notably higher dividend yield. Wesfarmers is far larger and distributes more in dollar terms per share, but that comes alongside a much higher price per share and a lower yield.

Recent share price performance

Looking at recent share price data (as of 17 September 2026 for both stocks), both Metcash and Wesfarmers have seen negative returns year-to-date.

Metcash’s YTD return stands at -11.06%. Over the last few weeks (25 August to 17 September 2026), its share price drifted from $2.98 down to $2.84, a modest decline, including several small daily ups and downs. This suggests a relatively stable (if underwhelming) recent period.

Wesfarmers’ YTD return is -8.11%. Over the same period (25 August to 17 September 2026), the Wesfarmers share price dropped from $82.69 to $72.86. That is a steeper drop in absolute dollar terms and a larger percentage move over these weeks compared to Metcash, including some big daily swings.

Which is the better buy?

For income-focused investors, I think Metcash stands out as the stronger choice right now. Its 6.34% fully-franked dividend yield is far higher than Wesfarmers’ 3.07%, and its lower P/E ratio could signal better value. While Wesfarmers offers unmatched scale and sector diversification, its yield is notably lower, and the shares are much more expensive relative to earnings.

If you’re seeking dividend income my pick would be Metcash. The income is higher, the franking is full, and you’re not paying a premium P/E multiple. Wesfarmers might appeal if you want stability, brand breadth and potentially more capital growth in the long term, but for pure income, Metcash wins it for me.

The post Metcash vs Wesfarmers: Which Is Better for Income Investors? appeared first on The Motley Fool Australia.

More reading

• 3 top ASX dividend shares to target this week for lifelong income
• How much passive income could I make by investing $500 a month in ASX shares?
• ASX retail shares are down 13% in 2026. Here’s what Morgan Stanley is worried about
• 3 ASX shares I’d buy for income and growth in retirement
• Down 22%: Are Wesfarmers shares now a good buy for passive income?

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. 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. 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.

With the S&P/ASX 200 Index (ASX: XJO) providing sluggish growth in 2026, many investors are turning their attention towards ASX dividend shares. 

A changing environment 

Research from Betashares shows that the economic climate is shifting in favour of income instead of growth.

Elevated valuations, a shifting interest rate environment and recent tax changes are all impacting the potential of growth investing.

ASX dividend shares could be a strategic play in this current landscape. 

They provide investors with regular income even when the broader ASX 200 is experiencing weaker price performance. 

They may also offer greater exposure to established, cash-generative businesses. 

Importantly, investing in ASX dividend shares doesn’t mean just chasing the highest yield. 

For long-term investors, finding companies with a consistent track record of dependable payments is vital. 

Here are three options that could provide consistent cash flow for dividend investors to consider. 

Wesfarmers Ltd (ASX: WES)

Wesfarmers is a diversified company with broad retail operations in home improvement and outdoor living, apparel, general merchandise, office supplies, and health and wellbeing, alongside a chemicals, energy and fertilisers business.

It is the company behind household-name retailers like Bunnings Warehouse, Kmart Australia, Officeworks, Priceline, and more.

It is ideal for dividend investors because it owns established, cash-generative businesses. 

Wesfarmers is one of the true, blue-chip ASX companies and has a well-established record of regular, fully franked dividends extending back decades, including occasional special payouts.

Transurban Group (ASX: TCL)

Another strong option amongst ASX dividend shares is Transurban Group. 

It is one of the world’s largest toll-road operators, managing and developing urban toll-road networks in Australia and North America. 

Its toll-road assets generate recurring cash flows that, at the time of writing, translate into a yield of roughly 5%. 

Right now, its shares are looking attractively valued after falling 15% from yearly highs. 

This could provide investors with passive income and capital growth. 

Betashares Australian Dividend Harvester Fund (ASX: HVST)

In addition to individual ASX dividend shares, ASX ETFs focused on high yields can be a great vehicle for consistent long-term income. 

This Betashares dividend harvester fund is worth considering.

It aims to provide franked income that exceeds the broad Australian share market’s net income yield, along with exposure to a diversified portfolio of Australian shares.

Importantly, it pays distributions monthly, providing a more consistent income stream than many individual stocks. 

At the time of writing it offers a yield over 5%. 

The post 3 top ASX dividend shares to target this week for lifelong income appeared first on The Motley Fool Australia.

More reading

• How much passive income could I make by investing $500 a month in ASX shares?
• ASX retail shares are down 13% in 2026. Here’s what Morgan Stanley is worried about
• Which ASX dividend shares are buys for passive income?
• 3 ASX shares I’d buy for income and growth in retirement
• Transurban posts 3.4% August traffic growth

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