Author: openjargon

If you have a high tolerance for risk, then it could be worth checking out the speculative ASX share in this article.

It has been recommended by analysts at Bell Potter, who believe it has the potential to rocket 80% from current levels.

Which ASX share?

The small cap share that Bell Potter is bullish on is ImpediMed Ltd (ASX: IPD).

It manufactures and sells a medical device employing a technology known as bioimpedance spectroscopy (BIS). This is used in a non-invasive clinical assessment and monitoring of fluid status and tissue composition of patients.

Bell Potter notes that ImpediMed has undertaken a major capital raising and announced a cost reduction plan. The broker feels the cost reductions are credible and leaves the ASX share positioned for break-even if revenue picks up. It said:

As part of the capital raising, IPD advise it is implementing a $5m cost out programme, which reflects a combination of headcount, relocating some roles from the US to Australia, and general cost reductions. While encouraging, the gap to breakeven remains with the revenue side of the ledger. IPD requires c.$12m in additional annual revenue, c.80% of which is expected to be sourced from BCRL [breast cancer-related lymphoedema] in the US, implying that Heart Failure and Body Composition require a longer gestation period. Approx. 40% of the BCRL 350-unit target is expected to come from existing customers.

The BCRL target infers a simple average of 50 units / qtr over the next seven quarters, although IPD is more likely to escalate sales volume from the current 30 units incrementally and one would expect IPD to achieving more than 50 units / qtr by 2Q28. Given IPD’s current sales profile and investment in building SOZO’s value proposition, the assumptions seem credible, but execution is the risk, given past performance.

Big potential returns

If everything goes to plan, Bell Potter believes this ASX share could deliver very big returns.

According to the note, the broker has retained its speculative buy rating with a reduced price target of 1.5 cents. Based on its current share price, this implies potential upside of 87% for investors.

Commenting on the speculative stock, Bell Potter said:

Assuming all options are exercised, the dilution to the share count is material with a potential tripling of the SOI to c.6.6b. This swamps any benefit from the cost reductions, and results in our DCF valuation halving to $0.015/sh. Our WACC is a conservative 17%. Should IPD achieve breakeven and the current risk profile unwinds, a lower and normalised WACC of c.10.5% could be justified which would provide upside potential to $0.045/sh fully diluted.

The post This speculative ASX share is being tipped to rocket 80% appeared first on The Motley Fool Australia.

More reading

• These are the 10 most shorted ASX shares
• 1 ASX dividend stock down 25% I’d buy right now
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• Bell Potter says this dominant blue-chip ASX 200 share is a buy
• Is this the best ASX 200 stock to buy in May?

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.

At the start of each week, I like to look at ASIC’s short position report to find out which shares are being targeted by short sellers.

This is because I believe it is well 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, here are the 10 most shorted shares on the ASX this week according to ASIC:

• Domino’s Pizza Enterprises Ltd (ASX: DMP) has become the most shorted ASX share again after its short interest rose to 15.9%. A poor update from the Domino’s US business has cast further doubt on this pizza chain operator’s turnaround.
• Telix Pharmaceuticals Ltd (ASX: TLX) has seen its short interest ease to 15.6%. Short sellers have been targeting this radiopharmaceuticals company this year amid US FDA approval challenges.
• Lotus Resources Ltd (ASX: LOT) has short interest of 15.1%, which is up sharply week on week. Short sellers have been loading up on this uranium producer’s shares following a disastrous March quarter which saw weak production and a sizeable cash burn. This has many in the market expecting another capital raising later this year.
• Polynovo Ltd (ASX: PNV) has 14.3% of its shares held short, which is flat week on week. It is possible that short sellers think this medical device company’s shares are overvalued due to their premium valuation.
• Guzman Y Gomez Ltd (ASX: GYG) has short interest of 14%, which is up week on week. Short sellers appear to be targeting the quick service restaurant operator due to the underperformance of its US operations.
• Boss Energy Ltd (ASX: BOE) has short interest of 13.3%, which is up since last week. The market is concerned about this uranium miner’s production outlook beyond 2026.
• Treasury Wine Estates Ltd (ASX: TWE) has 12.5% of its shares held short, which is down week on week. Short sellers have been closing positions after the struggling wine giant released an encouraging trading update.
• Zip Co Ltd (ASX: ZIP) has 11.9% of its shares held short. This is up slightly since last week. This is despite the buy now pay later provider delivering both a strong quarterly update last month and an equally strong trading update last week.
• DroneShield Ltd (ASX: DRO) has 10.8% of its shares held short, which is down since last week. This may be due to valuation concerns.
• Flight Centre Travel Group Ltd (ASX: FLT) has short interest of 10.7%, which is down week on week. A stronger than expected trading update from the travel agent appears to have discouraged short sellers.

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

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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, PolyNovo, 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, PolyNovo, and Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Australian Foundation Investment Co Ltd (ASX: AFI) is a leading ASX dividend stock that I’d call a leading opportunity right now because it’s down around 25% from its peak in 2022 and down around 15% from July 2025, as the below chart shows.

It’s the largest and one of the oldest listed investment companies (LICs) around, but it’s the dividend record and valuation that I’m particularly attracted to, rather than its size or age.

In terms of a good time to buy AFIC, this is arguably close to the best time to invest in the business.

Great valuation

I’ve already highlighted that the business has fallen materially from its 52-week high and all-time high.

But, even more importantly (in my view), is where the AFIC share price is sitting compared to its underlying value – the net tangible assets (NTA). That’s how much the company’s portfolio (and other assets and liabilities) is worth.

At 30 April 2026, it had pre-tax NTA of $7.69. The AFIC share price is trading at close to a 15% discount to that valuation. That’s around the biggest discount it’s traded at for the last decade, which makes this great to buy today.

Compelling payouts from the ASX dividend stock

The business aims to provide shareholders with attractive investment returns through access to a “growing stream of fully franked dividends and enhancement of capital invested over the medium to long term”.

Excluding special dividends, the last two half-year ordinary dividends have amounted to 26.5 cents per share. At the current valuation (at the time of writing), the ASX dividend has a grossed-up dividend yield of 5.8%, including franking credits.

Its regular dividend (excluding special dividends) has been extremely reliable this century, and it has been regularly increasing its payout this decade. For many investors, consistency is a very powerful tool.

Diversified portfolio

Unlike many ASX dividend stocks, instead of relying on one business for dividends, AFIC owns a portfolio of resilient ASX blue-chip shares.

It owns dozens of holdings spread across a number of sectors, including BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA), Macquarie Group Ltd (ASX: MQG), Westpac Banking Corp (ASX: WBC) and National Australia Bank Ltd (ASX: NAB).

I think this business looks attractively priced for an investment today, offering a combination of dividends, resilience and great value.  

The post 1 ASX dividend stock down 25% I’d buy right now 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 positions in and has recommended Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If you have $10,000 ready to invest this week, ASX exchange traded funds (ETFs) could be worth considering.

But which ones could be top picks for investors focused on growth?

Here are three ASX ETFs that could be worth looking at this week.

Betashares Global Cybersecurity ETF (ASX: HACK)

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

Cybersecurity has become a permanent spending priority for businesses, governments, and critical infrastructure providers. As more operations shift into cloud systems and digital platforms, the cost of a breach can be significant.

This fund gives investors exposure to global companies involved in cybersecurity hardware, software, and services. Its holdings include names such as Palo Alto Networks (NASDAQ: PANW), CrowdStrike (NASDAQ: CRWD), and Fortinet (NASDAQ: FTNT).

Cybersecurity demand is not tied to one product cycle. It is being driven by the ongoing need to protect data, identities, networks, and applications. This bodes well for the long-term outlook of the Betashares Global Cybersecurity ETF.

Betashares Crypto Innovators ETF (ASX: CRYP)

Another ASX ETF that could be a top pick for growth investors is the Betashares Crypto Innovators ETF.

This fund provides exposure to companies connected to the cryptocurrency and blockchain ecosystem.

Rather than holding cryptocurrencies directly, the Betashares Crypto Innovators ETF invests in businesses that support or benefit from activity in digital assets. These can include crypto exchanges, miners, blockchain infrastructure companies, and firms with meaningful exposure to the sector.

Its holdings include Coinbase Global (NASDAQ: COIN), MicroStrategy (NASDAQ: MSTR), and Marathon Digital (NASDAQ: MARA).

This is a higher-risk ETF. Its performance can move sharply with crypto prices, regulation, and investor sentiment toward digital assets. But for investors comfortable with volatility, it provides a simple ASX-listed way to gain exposure to one of the market’s more speculative growth themes.

Global X Fang+ ETF (ASX: FANG)

A third ASX ETF worth considering is the Global X Fang+ ETF.

This fund targets a concentrated group of major global technology and growth companies.

Rather than spreading exposure across hundreds of shares, it focuses on a smaller basket of companies that have been central to the digital economy. These businesses operate across areas such as cloud computing, artificial intelligence, social media, electric vehicles, ecommerce, and digital advertising.

Its holdings include NVIDIA (NASDAQ: NVDA), Meta Platforms (NASDAQ: META), and Palantir (NASDAQ: PLTR).

This concentration can be powerful when large technology leaders are performing well, but it also means the ETF can be more volatile than broader global share funds.

For investors looking to add focused exposure to some of the world’s most influential growth companies, the Global X Fang+ ETF could be an ETF to watch this week. It was recently recommended by analysts at Global X.

The post 3 ASX ETFs to buy with $10,000 this week appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended BetaShares Global Cybersecurity ETF, CrowdStrike, Fortinet, Meta Platforms, Nvidia, and Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Coinbase Global and Palo Alto Networks. The Motley Fool Australia has recommended CrowdStrike, Meta Platforms, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

REA Group Ltd (ASX: REA) shares could be good value after pulling back by 33% from their high.

That’s the view of analysts at Bell Potter, who are recommending the ASX 200 share as a buy to clients.

What is the broker saying about this ASX 200 share?

Bell Potter was pleased with REA Group’s quarterly update, highlighting that the realestate.com.au operator delivered a resilient result despite rising interest rates. It said:

REA reported a resilient Q3 update in a rising interest rate environment, with 1% growth in listings driven by strong Melbourne (+7%) and Sydney (+4%) performance. Residential Buy yield of +14% for the quarter was ahead of BPe FY26 (12%) and was supplemented by the Mel/Syd volume outperformance. Commercial and Financial Services segments grew revenues double digits, while a focus on core Housing.com revenue in India helped reduce Group opex on a like-for-like basis to 5% growth offset by 9% growth in Aus; Group margin increased by 221bps YoY to 55.3% for the quarter.

Another positive is that the broker believes that REA Group’s outlook is improved despite a deterioration in market conditions. It adds:

REA guided to an 8% average price increase for FY27e, which is well ahead of Domain’s 4% increase aimed at undercutting REA on price to take market share; our read-through is that REA remains confident in proving value against price leveraging its superior audience with REA attracting and engaging the buyer for 9 out of 10 homes listed on-platform and go on to sell, according to independently reviewed and validated data provided to end-users.

Recent acquisition iGuide is expected to assist against the CoStar integration of Matterport into Domain. REA see’s the market entering a balanced phase following a period of demand exceeding supply; our forecast for -2% listings decline in FY27e is unchanged.

Market-beating potential returns

According to the note, the broker has retained its buy rating on the ASX 200 share with an improved price target of $217.00 (from $211.00).

Based on its current share price of $176.89, this implies potential upside of almost 23% for investors over the next 12 months.

Commenting on its buy recommendation, Bell Potter said:

While we recognise the potential for disruption in a rapidly evolving environment, we currently see the multiple compression as overdone considering that REA’s moat lies in decades of property, customer and buyer intent data and inherent network effect via established and highly engaged audience. Therefore, REA’s shareholder value sits below the user interface level which is difficult to replicate. Retain Buy.

The post Bell Potter says this dominant blue-chip ASX 200 share is a buy appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Friday

Motley Fool contributor James Mickleboro has positions in REA 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.

A brutal sell-off in one of the ASX 200’s biggest tech names has opened up a very attractive buying opportunity.

After a rough start to 2026, WiseTech Global Ltd (ASX: WTC) shares are trading at a large discount to where they were less than a year ago.

The logistics software company finished Friday down 4.63% to $42.27. That followed a weaker session for the S&P/ASX 200 Index (ASX: XJO) as investors reacted to naval skirmishes between the US and Iran in the Strait of Hormuz.

WiseTech shares are now down almost 40% in 2026. They are also trading a long way below their July 2025 high of $121.31.

Let’s take a closer look at why the stock could be worth buying at these levels.

A global software business at a very cheap price

WiseTech is best known for CargoWise, its software platform used across the global logistics industry.

Its customers include freight forwarders, customs brokers, logistics providers, and other companies that need to manage complex cross-border supply chains.

This isn’t a simple app that customers can easily replace. CargoWise sits deep inside day-to-day logistics workflows, covering areas such as freight forwarding, customs, compliance, routing, and documentation.

Once embedded, CargoWise can become difficult and costly to replace.

And WiseTech also has a large global opportunity.

In its latest Macquarie Australia Conference presentation, the company said CargoWise is targeting an $11 trillion-plus global logistics market. It also pointed to TradeWise, trade finance, customs and border agencies, and verified identity as additional long-term markets.

Guidance still looks strong

The key point to note is that the company’s numbers still point to a strong year ahead.

WiseTech has maintained its FY26 guidance. It expects revenue of US$1.39 billion to US$1.44 billion and EBITDAof US$550 million to US$585 million.

That implies an EBITDA margin of around 40% to 41%.

WiseTech has also pointed to underlying EBITDA of US$598.5 million to US$637.5 million.

The company is also pushing harder into artificial intelligence (AI). Management sees AI as a way to improve productivity, reduce labour intensity, and make its platform more useful for customers.

But there are risks. WiseTech is still not cheap on traditional valuation measures, and investors have been worried about acquisitions, AI disruption, and global trade uncertainty.

Nonetheless, at $42.27, the risk-reward looks far more interesting than it did near $121.

Foolish takeaway

Despite the above, I would not call WiseTech completely risk-free.

The US-Iran conflict and pressure around the Strait of Hormuz have added uncertainty to global trade and shipping. But those issues will not last forever.

Once shipping lanes normalise and the market starts looking past the geopolitical noise, I think WiseTech could re-rate quickly.

This is still a high-margin global software business with recurring revenue, deep customer relationships, and a large market opportunity.

With FY26 guidance maintained and the stock more than 60% below last year’s high, WiseTech looks like an absolute bargain.

The post Is this the best ASX 200 stock to buy in May? appeared first on The Motley Fool Australia.

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

The ASX 200 has been strong over the past year, but CSL Ltd (ASX: CSL) has missed the party completely.

On Friday, CSL shares hit a 52-week low of $119.61. That means the healthcare giant is now down around 49% over 12 months.

I think that is an extraordinary fall for one of Australia’s highest-quality global businesses. And while CSL clearly has challenges to work through, I believe the sell-off has created a buying opportunity for patient investors.

This is not just any fallen stock

I would never buy a share simply because it has fallen heavily.

Sometimes a falling share price is the market correctly adjusting to a weaker business. But I think CSL deserves a closer look because of what it still owns.

This is a global healthcare company with leading positions in plasma therapies, vaccines, and specialist medicines. Its products are used to treat serious medical conditions, which gives the business a very different demand profile from a retailer, miner, or airline.

That does not make CSL immune from problems. Plasma collection costs, margin pressure, trial failures, weak demand for albumin in China, and investor disappointment around earnings growth have all weighed on sentiment.

But I do not think those issues destroy the long-term value of the business.

For me, the key question is whether CSL can gradually rebuild confidence. If it can, today’s share price could look very cheap in hindsight.

The market has reset expectations

What makes CSL interesting today is how far expectations have moved.

A few years ago, investors treated CSL as one of the safest growth shares on the ASX. It often traded at a premium valuation because the market believed in its long-term earnings power.

Today, the mood is very different.

Investors are questioning the pace of recovery, margins, balance sheet flexibility, and whether management can return the business to the type of growth profile it once delivered.

I think that caution is understandable. But I also think the share price now reflects a lot of disappointment.

That is where the opportunity may be.

If CSL only needs to show steady progress, rather than perfection, the risk-reward looks much more appealing to me at a 52-week low than it did when the market was pricing in near-flawless execution.

The recovery could be powerful

CSL does not need to become a new business to create value from here.

It needs to execute better, restore margins over time, manage costs, keep reducing investor concerns, and show that its core plasma business still has attractive long-term growth ahead.

I believe it can do that.

Healthcare demand is not going away. Plasma therapies remain difficult to replicate at scale. CSL has global infrastructure, scientific expertise, regulatory experience, and deep relationships across healthcare markets.

Those strengths can be easy to overlook when sentiment is poor.

But for long-term investors, I think they still matter.

There is also something important about buying quality when it feels uncomfortable. The best entry points rarely arrive when every headline is positive. They often appear when investors are tired of waiting and the market has stopped giving a company the benefit of the doubt.

That feels close to where CSL is today.

Foolish takeaway

CSL shares are deeply out of favour, and I can understand why some investors have lost patience.

But I think the market may now be focusing too much on the pain of the past year and not enough on the quality that still sits inside the business.

At a 52-week low, I would be willing to buy CSL shares and give the company time to recover.

It may not happen quickly. But if CSL can regain even part of its former market confidence, I think patient investors could be well rewarded from here.

The post Why I’d buy CSL shares at their 52-week low appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in CSL. 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.

On Friday, the S&P/ASX 200 Index (ASX: XJO) had a day to forget and finished the week deep in the red. The benchmark index sank 1.5% to 8,744.4 points.

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

ASX 200 expected to fall again

The Australian share market looks set for a poor start to the week despite a strong finish on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 42 points or 0.5% lower. In the United States, the Dow Jones was largely flat, but the S&P 500 rose 0.85% and the Nasdaq stormed 1.7% higher.

Oil prices rise

ASX 200 energy shares including Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a decent session after oil prices rose on Friday night. According to Bloomberg, the WTI crude oil price was up 0.65% to US$95.42 a barrel and the Brent crude oil price was up 1.2% to US$101.29 a barrel. Traders were buying oil amid doubts over the US-Iran peace deal.

ANZ shares going ex-dividend

ANZ Group Holdings Ltd (ASX: ANZ) shares are going ex-dividend this morning and could trade lower. Last week, the big four bank released its half-year results and declared a partially franked interim dividend of 83 cents per share. This will be paid to eligible shareholders in around seven weeks on 1 July.

Gold price rises

ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a positive start to the week after the gold price pushed higher on Friday night. According to CNBC, the gold futures price was up 0.4% to US$4,730.7 an ounce. Traders appear to believe gold has been oversold in recent weeks.

Buy REA Group shares

Bell Potter thinks REA Group Ltd (ASX: REA) shares are good value. In response to the property listings company’s quarterly update, the broker has retained its buy rating with an improved price target of $217.00 (from $211.00). It said: “While we recognise the potential for disruption in a rapidly evolving environment, we currently see the multiple compression as overdone considering that REA’s moat lies in decades of property, customer and buyer intent data and inherent network effect via established and highly engaged audience. Therefore, REA’s shareholder value sits below the user interface level which is difficult to replicate. Retain Buy.”

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

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Motley Fool contributor James Mickleboro has positions in REA Group and 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.

A booming lithium market has sent several ASX lithium stocks into overdrive, with two standout performers delivering extraordinary returns for investors.

PLS Group Ltd (ASX: PLS) has risen 323% over the past 12 months, while Liontown Ltd (ASX: LTR) has climbed an even stronger 354%.

Recent momentum has also been strong. Over the past month alone, PLS shares are up 21%, while Liontown has jumped 42%.

The key catalyst has been a sharp rebound in lithium prices. Lithium carbonate prices have risen almost 60% in 2026 and are up roughly 180% over the past year as demand expectations continue to strengthen.

The global push toward clean energy and electric vehicles (EVs) remains the biggest long-term driver. At the same time, ongoing oil market volatility has reinforced the appeal of EV adoption globally, increasing optimism around future lithium demand.

But after such explosive gains, investors may be wondering whether these ASX lithium stocks can keep climbing.

PLS Group

PLS Group has become one of the ASX’s most closely watched lithium producers thanks to its strong production profile and large-scale operations.

The company benefits from established lithium exports, growing cash flow generation and significant leverage to higher spodumene prices. Investors have also been encouraged by improving sentiment across the broader battery materials sector.

However, lithium remains a highly cyclical commodity, and that creates risk for shareholders after a rally of this size. Any sharp pullback in lithium prices could weigh heavily on earnings expectations and market sentiment.

That caution is increasingly reflected in broker views on the ASX lithium stock. Morgans recently downgraded PLS shares to a trim rating and placed a $5.40 price target on the stock. With shares currently trading around $6.26, the broker sees limited near-term upside after the recent surge.

Even so, bullish lithium market conditions could continue supporting the share price if battery demand remains strong and supply growth struggles to keep pace.

Liontown

This $8 billion ASX lithium stock has also ridden the lithium rebound aggressively higher as investors look toward the company’s production growth potential.

The market has become increasingly optimistic about Liontown’s long-term ability to benefit from stronger lithium pricing and expanding EV demand globally.

Its development pipeline and exposure to future battery supply chains continue attracting investor attention, particularly as major automakers and battery manufacturers seek secure lithium supply.

Still, Liontown carries its own risks. Development-focused miners can face funding pressures, operational execution challenges and sensitivity to commodity price swings.

Analyst sentiment also appears more balanced following the recent rally. According to CommSec data, Liontown shares currently carry a consensus hold rating among 12 analysts covering the stock.

Morgans this week also downgraded Liontown shares from hold to trim, although it lifted its price target to $2.20, which is below the current share price.

Foolish Takeaway

For investors, the outlook for both ASX lithium stock may ultimately depend on whether lithium prices can continue their remarkable recovery.

If EV demand growth remains strong and supply stays constrained, these high-flying ASX lithium shares could still have room to run.

The post ASX lithium stocks surge more than 300%: is there more to come? appeared first on The Motley Fool Australia.

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• ASX lithium stocks to buy amid commodity price rocketing 58% already this year

Motley Fool contributor Marc Van Dinther 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.

Building an ASX portfolio does not have to be difficult.

In fact, I think many investors could do very well by keeping things simple, spreading their money across a small number of exchange-traded funds (ETFs), and letting time do the heavy lifting.

If I were starting today and wanted a simple long-term portfolio, I would consider using three ASX ETFs.

Start with a broad Australian base

The first ETF I would consider is the Vanguard Australian Shares Index ETF (ASX: VAS).

This ETF provides investors with exposure to a broad basket of Australian shares, including the largest companies on the ASX.

That means a single investment can provide exposure to banks, miners, retailers, healthcare companies, infrastructure shares, and industrial businesses.

For me, the appeal is simplicity.

Instead of trying to pick the next winning bank or mining stock, investors can own a broad slice of the Australian market. That can reduce the risk of relying too heavily on one company.

The VAS ETF can also provide dividend income, which is one of the features many investors like about the Australian share market.

I would not expect it to be the fastest-growing part of the portfolio every year. But I think it can work well as a steady foundation.

Add global diversification

The second ETF I would consider is the Vanguard MSCI Index International Shares ETF (ASX: VGS).

This is where I think the portfolio becomes much stronger.

Australia is a good market, but it is also quite concentrated. Banks and resources make up a large part of the local index, which means investors can miss out on other sectors if they only buy Australian shares.

The VGS ETF helps solve that problem.

It provides exposure to major global companies across developed markets, including large technology, healthcare, consumer, industrial, and financial businesses.

I think that is important because many of the world’s best companies are listed outside Australia.

A portfolio that only owns ASX shares may be missing out on global leaders in software, semiconductors, luxury goods, pharmaceuticals, payments, and cloud computing.

That is why I would want the VGS ETF in the mix.

Add a growth tilt

The third ETF I would consider is the Betashares Nasdaq 100 ETF (ASX: NDQ).

This ETF is more concentrated and higher risk than the VAS or VGS ETFs, but I think it can play a useful role for investors who want extra growth exposure.

It gives investors access to many of the largest companies listed on the Nasdaq, including global technology and innovation leaders like Apple and Nvidia.

These businesses are exposed to themes such as artificial intelligence, cloud computing, digital advertising, e-commerce, cybersecurity, and software.

Of course, the Nasdaq can be volatile. When interest rates rise or investors turn away from growth shares, the NDQ ETF can fall sharply.

But over the long term, I think owning some exposure to world-class technology businesses makes sense.

Foolish Takeaway

An ASX portfolio does not need 20 holdings to work.

I think a mix of the VAS, VGS, and NDQ ETFs could give investors a strong starting point. It provides exposure to Australian dividends, global businesses, and some of the world’s leading technology companies.

There will still be market downturns, and returns are never guaranteed. But for investors who want a straightforward way to build wealth over time, I think this three-ETF approach is hard to ignore.

The post How I’d build a simple ASX portfolio with just 3 ETFs appeared first on The Motley Fool Australia.

More reading

• How to retire early at 57 with these 3 Vanguard ASX ETFs
• Building wealth with ASX ETFs? Don’t make these errors
• I love the BetaShares Nasdaq 100 ETF (NDQ). Here’s why I sold it.
• How to build a $1,000 a month passive income from the ASX
• The best way to invest in AI on the ASX

Motley Fool contributor Grace Alvino has positions in Vanguard Australian Shares Index ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Apple, BetaShares Nasdaq 100 ETF, and Nvidia. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Apple, Nvidia, and Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.