Author: openjargon

Australian shares are still under pressure overall this week from high oil prices, inflation concerns, and expectations of an impending interest rate hike.

Let’s find out how major S&P/ASX 200 Index (ASX: XJO) shares like AGL Energy Ltd (ASX: AGL), Telstra Group Ltd (ASX: TLS), and Zip Co Ltd (ASX: ZIP) are tracking, and which ones brokers rate as a buy, sell, and a hold.

Buy Zip shares

It’s been a volatile ride for Zip shares over the past 12 months, with its shares swinging between a low of $1.38 in March and a high of $4.93 in January.

Most recently, the sell-off picked up pace after the company posted its FY26 results late last month. Zip posted a record result, including a huge 57.9% increase in its cash EBTDA, a 24.7% increase in total revenue, and a 45.7% hike in its NPAT for FY26. 

The announcement was initially well received by investors, who rushed to snap up the BNPL provider’s shares. But gains were quickly reversed, and the shares are now down around 28% since the announcement.

While the result itself was positive, many investors were underwhelmed by the company’s outlook for future growth.

Zip said it is aiming to deliver a group cash EBTDA of $340 million in FY27, up 26% on FY26, and target an operating margin of 20% to 22%. That’s much lower than the 57.9% cash EBTDA growth the company experienced in FY26.

But it looks like brokers are confident that the shares can keep climbing higher over the next 12 months. Market Index data shows all brokers have a strong buy rating on the ASX tech shares. And the $3.95 average target price implies an upside of around 79% at the time of writing.

Sell AGL Energy shares

AGL shares rallied higher in mid-August after the ASX energy stock posted an impressive FY26 result. 

The energy supplier announced a 2% increase in both its underlying EBITDA and underlying NPAT for FY26. It also confirmed a 60% increase in its operating free cash flow. The company said that it has grown its customer base, invested $600 million in firming projects, achieved major milestones – including two long-term power purchase agreements – and completed divestment of its stake in Tilt Renewables.

For FY27, AGL is guiding underlying EBITDA between $1.9 to $2.2 billion and underlying NPAT between $470 to $670 million.

But quickly after the share price spike, many investors rushed to take their gains off the table. 

At the time of writing, the shares are down around 5% over the past month, to $8.33 a piece. AGL shares are now down around 11% for the year to date and 4% lower than a year ago.

There hasn’t been any price-sensitive news out of AGL since its results announcement, so it looks like the latest sell-off is led by lower investor sentiment.

It looks like there are concerns that the company’s earnings recovery is taking longer than expected. 

At the same time, softer power-price expectations, driven by a surge in renewable energy and lower wholesale costs, are expected to put electricity companies like AGL under pressure.

Market Index data shows the majority of brokers have a sell rating on AGL shares. However, after the latest share price decline, the $9.70 target price implies a potential 16% upside.

Hold Telstra shares

Telstra shares have rebounded around 7% from an annual low in late August. The ASX telco shares are now around 0.2% higher year to date but roughly 1% lower than 12 months ago.

The shares tumbled after the telco posted its FY26 results mid-month, with revenue down 0.8% and underlying earnings up 4.4%. However, not long after, investors swooped back in to snap them up at a lower valuation.

As a classic defensive business, Telstra shares are also likely benefiting from a recent flight to security amid renewed geopolitical volatility and inflation concerns.

Brokers aren’t convinced that there is much more room for growth going forward. Market Index data shows the majority have a hold rating on Telstra shares. But the $5.01 average target price implies an upside of around 3% at the time of writing.

The post Buy, hold, sell: AGL Energy, Telstra, Zip shares appeared first on The Motley Fool Australia.

More reading

• Wesfarmers vs Telstra: Which ASX dividend stock comes out on top?
• How much of my superannuation do I need to invest to earn $60,000 of passive income in 2027?
• How much superannuation do I need to earn $70,000 per year in passive income?
• $10,000 invested in Zip and New Hope shares 3 years ago is now worth…
• Are Telstra shares a good buy for passive income?

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 no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

A new report from Global X has shed light on the tricky market conditions facing investors today. Right now, investors are navigating high valuations and soft expectations in the Australian market. 

Marc Jocum, Senior ETF Strategist at Global X ETFs Australia, reinforced that investors are facing a challenging environment. 

With Australian equities trading near record highs but earnings expectations continuing to soften, as well as economic headwinds, investors may face a more challenging environment. In this backdrop, covered call strategies can offer an alternative way to participate in Australian equities while generating an additional source of income and potentially improving the risk-adjusted profile of a portfolio.

Economic headwinds

According to the report, the August reporting season was one of the most volatile on record. Almost half of the S&P/ASX 200 Index (ASX: XJO) companies moved more than 5% on their earnings day. 

While the ASX 200 reached record highs, the underlying earnings picture was less encouraging. 

Company guidance generally disappointed relative to consensus. Meanwhile, forward earnings per share (EPS) growth expectations have continued to be revised lower.

Against this backdrop, a subdued housing market, persistent inflation, fiscal uncertainty and the prospect of further RBA rate hikes could create additional headwinds for Australian equities. We don’t believe this is a reason to sell Australia. Rather, it highlights the potential value of changing the way investors access the market.

The team at Global X emphasised that a covered call strategy can be a viable option in this economic environment. 

What is a covered call strategy?

Covered call writing is an investment strategy where investors buy a stock, or a group of stocks, and sell call options on them. 

Selling call options on stocks investors already own generates income, without facing riskier margin calls. 

However, it requires investors to forego upside – as a covered call portfolio can be “called away” when markets move higher.

According to Global X, covered call ETFs have become an established part of the income market overseas. Australia appears to be following a similar trajectory. 

There is now close to $5 billion invested in covered call strategies in Australia. This is almost 10 times the level of five years ago.

A covered call strategy provides exposure to a broad basket of shares while systematically selling call options to generate additional income. The trade-off is that some upside is forgone when markets rise strongly, but the option premiums received can provide an additional return stream and a degree of downside cushioning when markets are flat or weaker.

Global X S&P/ASX 200 Covered Call Complex ETF (ASX: AYLD)

For investors looking to utilise this strategy, this ASX ETF could be an option to consider. 

The fund holds the constituents of the ASX 200 Index while selling at-the-money call options on the same index on a quarterly basis. 

It seeks to generate higher income by owning the ASX 200 and systematically selling at-the-money covered call options over the index. 

The strategy currently has a 9.2% trailing 12-month yield (as of August 2026), with option premiums providing an additional source of income alongside dividends and franking credits from the underlying Australian equities.

Importantly, the strategy is not simply about maximising yield. The option overlay can also alter the risk and return characteristics of the underlying equity exposure, historically resulting in lower volatility and a smoother return profile. In 2026, AYLD has outperformed the broader Australian share market by more than 2% to date with less bumps along the way.

The post With high valuations and pesky headwinds, this covered call ASX ETF could be a timely investment appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: AGL Energy, Telstra, Zip shares
• With oil back over $100 USD per barrel, this ASX ETF could be set to benefit
• The Fed just hiked rates for the first time in 3 years. What does it mean for ASX investors?
• This ASX biotech could jump more than 30%, one broker says
•  If I invest $10,000 in CBA shares, how much passive income will I receive in FY27?

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.

One of the most influential stories of 2026 has been surging oil prices.

Crude oil has gone past US$107 per barrel this week after Saudi Arabia closed its east-west oil pipeline following a drone attack. 

A new report from VanEck has reinforced that if oil stays near these levels, the consequences will reach much further than the energy sector.

What is going on with oil prices?

Oil prices are elevated in 2026 largely because the conflict in the Middle East has disrupted production and shipping. 

Tight inventories and limited spare capacity have amplified the impact of these disruptions. This is leaving the global market unusually sensitive to further supply shocks.

This has also influenced the RBA’s decision to hike interest rates throughout the year in an attempt to cool inflation. 

According to VanEck, if oil, which is already up more than 76% this year, remains at these levels and trimmed mean inflation stays above 3%, the case for further rate rises will be hard to dismiss. 

A prolonged oil shock could leave a second increase in play, adding pressure to household spending and growth-oriented equity valuations.

Higher oil prices can also support the earnings of energy producers and refiners, creating opportunities for portfolios positioned to benefit.

Where is the upside?

These economic factors have led to a surge in 2026 for ASX energy stocks.

In fact, the S&P/ASX 200 Energy Index (ASX: XEJ) is up 32% year to date. 

According to VanEck, while higher oil prices pose a challenge for the wider economy, investors are exposed to the other side of the story: favourable industry conditions can produce substantial returns.

From the beginning of 2026 to the end of August, global oil refiners returned around 50% and Australian oil refiner Ampol Ltd (ASX: ALD) gained close to 40%. 

International equities returned about 5% over the same period.

These gains do not mean every energy company will benefit to the same extent. However, they do show the size of the opportunity when stronger industry conditions flow through to company earnings.

An ASX ETF to consider

Higher oil prices remain a threat to inflation, interest rates, and household spending. 

But they could also create an earnings tailwind for selected Australian energy companies. 

One ASX ETF that could be a buy in this market is the VanEck Australian Resources ETF (ASX: MVR). 

It provides a strong resources and energy tilt. 

As of August 2026, oil and gas represented 19.2% of the fund. This is much higher compared with 11.4% of the S&P/ASX 200 Resources Index (ASX: XJR).

The structure of the fund also caps each company at 8% at rebalance, preventing one company, such as BHP Group Ltd (ASX: BHP), from dominating the portfolio. 

As a result of the cap, the weight released from BHP is spread across energy producers, gold miners, critical minerals companies, and other parts of the resources sector.

That gives investors more exposure to companies that may benefit from higher oil prices without making the entire allocation dependent on one commodity or company.

Foolish takeaway

Surging oil prices are putting upward pressure on inflation and interest rates, but they are also boosting energy-sector earnings. 

This potentially benefits resource-focused investments such as the VanEck Australian Resources ETF.

The post With oil back over $100 USD per barrel, this ASX ETF could be set to benefit appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: AGL Energy, Telstra, Zip shares
• With high valuations and pesky headwinds, this covered call ASX ETF could be a timely investment
• The Fed just hiked rates for the first time in 3 years. What does it mean for ASX investors?
• This ASX biotech could jump more than 30%, one broker says
•  If I invest $10,000 in CBA shares, how much passive income will I receive in FY27?

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

Aussie investors have another reason to keep a close eye on overseas markets on Thursday.

The US Federal Reserve has raised interest rates for the first time since July 2023, lifting its benchmark rate by 25 basis points to between 3.75% and 4%.

The hike itself wasn’t a huge surprise, but Wall Street didn’t exactly love what came next.

US shares started slipping as Fed chair Kevin Warsh spoke after the decision.

By the close, the Dow Jones Industrial Average Index (DJX: .DJI) had fallen 631 points, or 1.21%, while the S&P 500 Index (SP: .INX) dropped 0.45%. The Nasdaq Composite Index (NASDAQ: .IXIC) finished almost flat, down 0.01%.

And now some of that weakness looks set to follow us home.

The S&P/ASX 200 Index (ASX: XJO) futures are currently pointing around 0.7% lower ahead of today’s open.

Why did the Fed raise rates?

The Fed didn’t have much disagreement on this one, with all 12 voting members backing the increase.

According to the Fed, the US economy is still moving along at a “solid pace”, with domestic spending holding up, productivity growth remaining strong and unemployment little changed.

Inflation, though, is still sitting above the Fed’s 2% target.

Warsh made that pretty clear after the decision, saying inflation was still too high and had stayed there for too long.

That sent bond yields higher.

The US 10-year Treasury yield moved back above 5%, finishing around that level for the first time since 2007.

Why did Wall Street fall?

Once the first hike was out of the way, attention quickly moved to what the Fed might do next.

The Fed’s updated projections put the median federal funds rate at 4.1% by the end of 2026.

Reuters reported that 16 of 18 policymakers expect at least one more increase before the year is out.

The US dollar also strengthened after the decision, while the Australian dollar slipped below US 71 cents against the greenback overnight.

What does this mean for the ASX?

For me, today’s open probably isn’t the main thing to focus on.

A weaker start would be pretty understandable after Wall Street’s reaction overnight.

What I’d rather watch is whether the ASX can settle down once trading gets underway, or whether the selling keeps building through the session.

Another US rate hike is still possible before the end of the year, so the Fed could remain a factor for ASX investors over the coming months.

The post The Fed just hiked rates for the first time in 3 years. What does it mean for ASX investors? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Thursday
• How much superannuation is enough to retire with a $50,000 income?
• Want the age pension? Here’s the new asset limit you can’t exceed
• Here are the top 10 ASX 200 shares today
• The ASX 200 is finally rising. Is the sell-off running out of steam?

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 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.

Nanosonics Ltd (ASX: NAN) shares have fallen almost 30% over the past year, but according to the team at RBC Capital Markets, they could be primed for a recovery.

The broking house has just released a new research report on the company and has assigned it an outperform rating and a bullish share price target, which I’ll get to shortly.

First, let’s look at the company’s most recent news – its FY26 financial results and the announcement of a share buyback.

Steady year, with core business performing well

Nanosonics’ main revenue-generating business at the moment is its Trophon division, which placed 4230 new units during the year, up 9%.

The company’s revenue was up 3% to $203.9 million, while EBIT was $16 million, down 10%.

If the Trophon division is looked at on a stand-alone basis, its EBIT would be $50.6 million.

The company had no debt and cash on hand of $155.2 million at the end of the year, having completed a $20 million buyback.

Nanosonics also announced a new, $40 million buyback for FY27.

Chief Executive Officer Michael Kavanagh said:

Nanosonics is entering a defining period of growth. FY26 demonstrated the strength of the business we have built: a proven Trophon franchise, disciplined financial execution and in FY27 we will progress the CORIS System from CMR to commercialisation. Trophon remains the economic engine for Nanosonics and an important foundation for future value creation. We delivered 6% revenue growth and 21% EBIT growth in constant currency. We achieved our strongest annual placement volume in three years, record upgrades in North America and expanded the cumulative installed base. We also launched trophon3 and trophon2 Plus, and saw accelerating adoption of these next generation technologies in the second half.

Mr Kavanagh said the CORIS system had the potential to establish a new standard of care in endoscope reprocessing and build a recurring revenue business over time.

He said the company planned to launch CORIS across the UK, Ireland, and Australia in the first half of FY27, with the US launch to follow.

Shares looking cheap, broker says

RBC Capital Markets said in their research note that the current Nanosonics share price “is implying an overly bearish scenario”.

They added:

NAN’s Trophon business improved its profitability with EBIT increasing from $47m in FY25 to $50m in FY26. While we expect Trophon capital sales will be negatively impacted by tariffs in higher freight costs, we expect absolute profitability to continue increasing in FY27 and are forecasting Trophon only EBIT of $54m (+8%). We value the Trophon only business at $3.55/share.

RBC has revised its forecasts to assume CORIS hits breakeven over the horizon period.

Its price target for Nanosonics shares has increased from $3 to $3.75, compared with a share price of $2.88 at the time of writing.

Nanosonics is valued at $836.9 million.

The post This ASX biotech could jump more than 30%, one broker says appeared first on The Motley Fool Australia.

More reading

• CSL, Resmed, and more. See which ASX health stocks RBC Capital Markets has upgraded
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• Nanosonics posts FY26 revenue growth and prepares to launch CORIS

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

Commonwealth Bank of Australia (ASX: CBA) is typically considered a cyclical stock, but its shares also have strong defensive qualities.

The business is the second-largest company on the S&P/ASX 200 Index (ASX: XJO), with a market capitalisation of $254 billion at the time of writing.

The banking giant has a strong operation performance too. 

In mid-August, CBA posted a 7% increase in cash NPAT and an 8% increase in statutory NPAT. Operating income also increased by 6.2%. CBA said it is the first time it has reported growth at or above system in each of its five core domestic product categories: home lending, business lending, consumer finance, household deposits, and business deposits.

Its large scale and strong operational performance also mean the company can often remain resilient through times of economic volatility, and its cyclical nature also means it can outperform during times of recovery.

And the bonus for shareholders is that this means the bank can pay a regular passive income.

But what exactly does that passive income look like?

Let’s take a look.

Where are CBA shares trading now?

At the time of writing, CBA shares are $151.62 a piece. The bank shares have had a relatively choppy start to the year, driven by interest rate movements and inflation concerns, but after each decline, the shares manage to bounce back. 

For the year to date, they’re down around 6% and roughly 10% lower than 12 months ago at the time of writing.

How many CBA shares can I buy for $10,000?

At the current share price of $151.62, a $10,000 investment will buy around 65 shares.

What dividend does the banking giant pay?

CBA has a long history of paying its shareholders regular fully-franked dividends dating back to 1992. These are typically paid out every six months, in March and September.

Last month, as part of its FY26 results announcement, the bank declared a $2.70-per-share fully-franked final dividend and a fully-franked full-year dividend of $5.05, up 20 cents. This is payable to shareholders on the 29th of September. That translates to a yield of around 3.3%.

Forecasts suggest the bank will pay its shareholders closer to $5.45 per share in FY27, and $5.30 per share in FY28.

At the time of writing, this translates to a forward dividend yield of roughly 3.6% for FY27. For FY28, the forward dividend yield is around 3.5%.

So, what passive income can I earn off a $10,000 investment?

I’ve crunched the numbers, using the estimated dividend payout figures above, to work out roughly how much passive income investors can expect from a $10,000 investment in CBA shares in FY27 and even beyond.

If the banking giant pays the expected $5.45 per-share dividend in FY27, your 65 shares would generate around $354.25 in passive income.

Assuming CBA then pays the forecasted $5.30 dividend in FY28, those 65 shares would generate around $344.40 in passive income for the year.

The post  If I invest $10,000 in CBA shares, how much passive income will I receive in FY27? appeared first on The Motley Fool Australia.

More reading

• Sell alert! Why this expert is calling time on Woolworths and CBA shares
• ASX 200 drops again as selling continues
• Down 12%: Are CBA shares a buy, sell or hold now?
• Westpac, ANZ, NAB or CBA shares? Which ASX bank stock should I buy for $5,000 a year in passive income?
• Vanguard ETFs vs. Betashares ETFs: Who’s coming out on top?

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 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 lucky enough to have $2,500 to invest this month, but you’re not a fan of stock picking, then don’t worry.

That’s because exchange traded funds (ETFs) can make the job much simpler by allowing you to buy groups of shares in one fell swoop.

With that in mind, let’s look at three ASX ETFs that could be worth getting better acquainted with right now. Here’s what you need to know about them:

Betashares Australian Quality ETF (ASX: AQLT)

The first ASX ETF to look at is the Betashares Australian Quality ETF.

Instead of just buying only the biggest Australian stocks, the Betashares Australian Quality ETF invests in Australian shares that score highly on measures of quality.

That means it favours businesses with characteristics such as strong profitability, healthy balance sheets, and more reliable earnings. This includes CSL Ltd (ASX: CSL), Telstra Group Ltd (ASX: TLS), and Commonwealth Bank of Australia (ASX: CBA).

For investors who want Australian shares but would prefer a tilt towards stronger businesses, this ETF could be a good option.

VanEck MSCI International Quality ETF (ASX: QUAL)

Another ASX ETF to consider is the VanEck MSCI International Quality ETF.

It applies a similar idea internationally. It invests in stocks from developed markets that demonstrate strong profitability, low financial leverage, and relatively stable earnings.

This provides Australian investors with access to leading businesses from overseas while applying a quality filter before they make it into the portfolio.

I like that approach for long-term investing. Great businesses often have the financial strength to keep investing through difficult periods, take opportunities when competitors are struggling, and continue growing over many years.

The VanEck MSCI International Quality ETF also gives investors exposure to industries and companies that are difficult to access through the Australian market alone.

Betashares Asia Technology Tigers ETF (ASX: ASIA)

A final ASX ETF to look at is the Betashares Asia Technology Tigers ETF.

This is the more growth-focused option of the three.

The fund invests in major Asian technology companies across areas such as semiconductors, ecommerce, online platforms, gaming, hardware, and other digital businesses.

Asia is home to some of the world’s most important technology companies, as well as enormous consumer markets that are continuing to adopt digital services.

This gives the Betashares Asia Technology Tigers ETF exposure to both the infrastructure behind modern technology and the companies serving consumers across the region.

It can be volatile, particularly when sentiment towards Asian markets changes. But for investors with a long-term view, the growth opportunity across Asian technology remains significant.

The post Where to invest $2,500 in ASX ETFs now appeared first on The Motley Fool Australia.

More reading

• 5 ASX ETFs to buy and hold forever
• 3 very exciting ASX ETFs for investors to watch
• Why I’d buy these Betashares ETFs in September
• Why these ASX ETFs could be strong long-term picks
• 3 fantastic ASX ETFs for Aussie investors in September

Motley Fool contributor James Mickleboro has positions in Betashares Capital – Asia Technology Tigers Etf and CSL. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL. The Motley Fool Australia has positions in and has recommended Telstra Group. 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.

The Transurban Group (ASX: TCL) share price is in focus after releasing its August 2026 traffic update, showing groupwide average daily traffic (ADT) growth of 3.4% compared to last year, with particularly strong results in North America and continued momentum in Sydney and Melbourne.

What did Transurban Group report?

• Group average daily traffic (ADT) rose 3.4% year on year in August 2026
• Sydney ADT up 3.3%, supported by robust 11.8% growth on the M7 following the M7-M12 Integration Project
• Melbourne ADT increased 3.5%, boosted by West Gate Tunnel’s contribution; excluding WGT, Melbourne traffic fell 0.8%
• Brisbane traffic improved by 1.0%, led by large vehicle growth of 3.7%
• North America traffic surged 12.3%, with the 495 Express Lanes up 26.1% and average dynamic toll prices rising significantly

What else do investors need to know?

Transurban highlighted that, excluding the West Gate Tunnel in Melbourne, total group traffic increased at a slower pace of 1.9%. The M7-M12 Integration in Sydney and the opening of the 495 Northern Extension in North America both drove significant local gains.

The company recently completed the divestment of the A25 toll road in June 2026, so July and August North American figures now reflect only the 95 and 495 Express Lanes. Transurban also noted its defensive revenue profile, with over 90% of group revenue linked to inflation or fixed price escalators, offsetting some macroeconomic risks.

What’s next for Transurban Group?

Transurban will continue providing monthly traffic data through the rest of 2026, closely watching the shifting geopolitical and economic conditions. Management reaffirmed a focus on disciplined balance sheet management and operational efficiency to support customer value.

The group says its portfolio resilience is underpinned by the essential nature of its roads, with inflation-linked revenue streams generally flowing through with a lag. Investors will be watching for further updates on traffic performance as well as any impacts from international energy markets and macroeconomic policy.

Transurban Group share price snapshot

Over the past 12 months, Transurban shares have declined 7%, trailing the S&P/ASX 200 Index (ASX: XJO), which has declined 1% over the same period.

View Original Announcement

The post Transurban posts 3.4% August traffic growth appeared first on The Motley Fool Australia.

More reading

• How much do I need in superannuation to receive $1,000 passive income per week?
• How to make $26,000 of passive income from ASX shares
• My top ASX passive income stocks for the next 10 years
• Why I’d rather buy growing dividends than chase the highest ASX yields
• Top 3 ASX dividend shares to buy if interest rates go up

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 Transurban Group. The Motley Fool Australia has positions in and has recommended Transurban Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

Newmont Corp vs Northern Star Resources shares

Are you weighing up Newmont Corporation CDI (ASX: NEM) vs Northern Star Resources Ltd (ASX: NST) shares? Both are major names in gold, but they’re quite different in scale, yield, valuation, and market performance. Let’s break down the fundamentals and see which might shine brighter for investors, especially those looking for strong dividends and competitive P/E ratios.

The case for Newmont Corp

Newmont Corp is the largest gold miner in the world, operating across the Americas, Australia, Africa, and Papua New Guinea. After acquiring Australian miner Newcrest Mining in 2023, Newmont gained assets like Boddington, Cadia, Tanami, and Telfer, adding further depth to their mineral portfolio. Besides gold, Newmont also produces copper, silver, zinc, and lead.

A few things jump out about Newmont:

• It has a massive market cap of $179.37 billion, making it a goliath in the sector.
• Its P/E ratio is 15.88, lower than Northern Star’s, so you’re paying less per dollar of earnings.
• The dividend yield is 0.85%, which is relatively modest for a miner.
• Dividends are unfranked, so there’s no extra tax benefit for Australian shareholders.
• Year to date, Newmont shares have returned a solid 17.64%.

The case for Northern Star Resources

Northern Star Resources is a leading Australian gold producer with a global reach. Its flagship operations are in Western Australia’s Kalgoorlie and Yandal projects, as well as Alaska’s Pogo goldfields. Northern Star is known for its strategic acquisitions and commitment to ongoing exploration.

Some key facts about Northern Star:

• Market cap sits at $31.40 billion—a sizeable company, but much smaller than Newmont.
• P/E ratio is 19.56, higher than Newmont, which could suggest a more fully valued share.
• Dividend yield stands at 2.43%, nearly three times higher than Newmont.
• Importantly, its most recent dividends have been 100% franked, offering a big plus for Aussie tax residents.
• However, year-to-date return is -13.28%, showing recent underperformance.

Valuation comparison

Here’s how the numbers stack up between these two gold giants:

Metric	Newmont Corp (NEM)	Northern Star (NST)
Market Cap	$179.37 billion	$31.40 billion
P/E Ratio	15.88	19.56
Dividend Yield	0.85% (Unfranked)	2.43% (100% Franked)
Year to Date Return	17.64%	-13.28%
Earnings Per Share (EPS)	7.930	1.157

Newmont boasts a lower P/E, higher earnings per share, and stronger recent performance, while Northern Star offers a higher, fully franked dividend yield. Newmont’s size dwarfs Northern Star’s.

Recent share price performance

Share price figures as of 15 September 2026 show Newmont closed at $170.69, dropping 2.8% that session but still up 17.64% YTD. Northern Star finished at $22.04, down 2.61% on the day and showing a negative year-to-date return of -13.28%. Looking through recent weeks, Newmont has shown more resilience, while Northern Star has faced consistent pressure.

Which is the better buy?

If I had to choose between Newmont and Northern Star today, I’d lean toward Newmont. Here’s why: Newmont is trading at a lower P/E ratio—making it look better value—and it’s delivered a strong positive return this year. While its dividend yield is lower and those dividends are unfranked, the company’s massive scale, higher earnings per share, and positive momentum give me more confidence right now. Northern Star’s higher, fully franked yield is tempting, especially for income-seeking Australians, but with its higher valuation and recent negative performance, I’m not convinced the risk is worth the reward at this stage.

The post Newmont vs Northern Star: Which gold share is better for value and yield? appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial 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.

The ASX dividend stock Future Generation Global Ltd (ASX: FGX) could be one of the best options for reliable dividends on the ASX.

There are not many ASX shares that have increased their dividend payout every year over the past decade, which I think makes it clear that the board of directors wants to give investors reliable payouts.

The ASX dividend stock offers a winning combination of a high dividend yield and growth. Let’s run through why I think it’s a top option for passive income.

Diversification

Rather than getting exposure to a single business like Commonwealth Bank of Australia (ASX: CBA) and BHP Group Ltd (ASX: BHP), investing into this ASX dividend stock gives investors exposure to multiple portfolios.

Future Generation Australia is a listed investment company (LIC) which gives investors exposure to a portfolio of funds.

All of those fund managers work for free so that Future Generation Australia can donate 1% of its net assets each year to youth charities.

The funds are invested across both large and small ASX shares, providing exposure to more than 430 shares. I like this strategy because it gives more exposure by weighting to growing businesses than the overall ASX share market does.

Some of the fund managers that are involved here include Vinva, Firetrail, Smallco, Eley Griffiths, QVG, L1 Group Ltd (ASX: L1G) and Sandon Capital.

Large dividend yield

As I’ve already mentioned, this ASX dividend stock is providing investors with a very pleasing dividend yield.

Future Generation Australia has already provided guidance about what its upcoming 2026 financial year annual dividend will be.

The ASX dividend stock has said that FY26 payout will be 7.6 cents per share.

At the time of writing, that translates into a grossed-up dividend yield of 8.4%, including franking credits. I think the business is one of the best for large dividends for the foreseeable future.

Rising payouts

It’s not just the size of the dividend that’s impressive, but this business has regularly increased its payout. Few high-yielders can point to a record like Future Generation Australia’s.

The ASX dividend stock has increased its annual dividend per share every year since 2015 – that’s more than a decade of regular increases. I think plenty of ASX blue-chip shares would love to be able to say they’ve increased their payout every year for the past decade.

What a $3,000 investment could unlock

If someone were to invest $3,000 into Future Generation Australia shares today with an 8.4% dividend yield (including franking credits), it would unlock approximately $176.74 of dividend cash and around $252.49 of overall dividend income with an investment of 2,325 Future Generation Australia shares.

That’s a really impressive level of dividends, though I’m not expecting significant capital growth because it’s paying so much of its profit out as dividends.

The post $3,000 buys 2,325 shares in an impressively reliable ASX dividend stock appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Future Generation Australia and L1 Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.