Category: Stock Market

Whitehaven Coal Ltd (ASX: WHC) shares fell significantly last week after the company released half-year FY26 results. 

The softer result was largely due to lower coal prices, which weighed on earnings.

The company reported an average coal price of $189 per tonne, down 19%. 

It also reported a $69 million statutory profit for H1 FY26, with a fully franked interim dividend of 4 cents per share declared.

Whitehaven Coal shares fell 7.3% late last week following the release. 

Its share price is now down 18% since the start of February. 

Following the release, Bell Potter released updated guidance on Whitehaven Coal shares. 

Here’s what the broker had to say. 

QLD costs revised higher

Whitehaven Coal is a large Australian based coal producer. 

The company produces metallurgical coal (~50% of group production) from two assets located in the Queensland Bowen Basin (Blackwater and Daunia), and thermal coal (~50% of group production) from four assets located in the New South Wales Gunnedah Basin (Maules Creek, Narrabri, Tarrawonga and Vickery Early Mining).

Bell Potter said that Whitehaven has increased its expected average mining costs for FY24–FY28 at Blackwater and Daunia to about A$140–145 per tonne. 

That’s roughly $20–25 higher than what it expected when it bought the assets. The increase is mainly due to inflation and operational factors.

However, the company has identified ways to improve costs, such as:

• Better use of draglines at Blackwater
• Improved autonomous haulage system (AHS) productivity at Daunia

The broker also warned permanent cost impacts include higher labour (i.e. same job same pay laws) and demurrage costs.

EPS changes in this report are: -1% in FY26; -2% in FY27; and -3% in FY28.

Hold recommendation from Bell Potter

Based on this guidance, Bell Potter has upgraded its recommendation to a hold (previously sell). 

However, the broker has lowered its price target to $8.10 (previously $8.40). 

Yesterday, Whitehaven Coal shares closed at $7.81. 

Bell Potter’s updated price target indicates 3.7% upside. 

In the medium term, WHC are positioned to capitalise when coal markets sustainably improve with a diversified portfolio of assets in Queensland and New South Wales and strong organic growth optionality. We have a positive long term met coal outlook, driven by constrained supply and increased demand from steel producers reliant on seaborne met coal (i.e. India).

Elsewhere, Ord Minnett recently put a share price target of $9.90 on Whitehaven Coal shares.

It’s worth noting this target was released before the recent half-year earnings.

The post How does Bell Potter view Whitehaven Coal shares after its earnings result? appeared first on The Motley Fool Australia.

More reading

• Whitehaven shares tumble 5% after results. Here’s what investors need to know about its dividend
• Whitehaven Coal posts H1 FY26 profit, declares 4c dividend as guidance maintained
• Mining Mammoths: Are Whitehaven Coal, Rio Tinto or BHP shares a buy ahead of earnings results?
• Is there any more upside for Whitehaven Coal shares according to Ord Minnett?
• Here are the top 10 ASX 200 shares today

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.

If you’ve got $10,000 ready to invest and want to stick with established businesses, ASX 200 blue chip shares are a sensible place to start.

These companies tend to have strong balance sheets, recognisable brands, and proven business models. While no share is immune to volatility, blue chips often have the scale and resilience to navigate different economic environments.

Here are three ASX 200 names to consider for a $10,000 investment today.

Breville Group Ltd (ASX: BRG)

The first ASX 200 blue chip share to consider is Breville Group.

Breville has quietly transformed itself into a global premium appliance brand. While many investors still think of it as a domestic appliance company, the bulk of its growth now comes from overseas markets, particularly North America and Europe.

What stands out is its positioning at the higher end of the market. Rather than competing on price, Breville focuses on product innovation and design, especially in the coffee category. As at-home coffee culture continues to expand globally, Breville’s premium machines give it exposure to a lifestyle trend rather than just discretionary spending.

For investors seeking a blue chip with international growth potential, Breville offers a blend of brand strength and expanding global footprint. Morgans currently rates this blue chip as a buy with a $40.65 price target.

Goodman Group (ASX: GMG)

Another ASX 200 blue chip share worth considering is Goodman Group.

Goodman operates in industrial property and logistics, but its strategy goes far beyond owning warehouses. The company specialises in high-demand urban infill sites, positioning itself close to population centres and major transport infrastructure.

This location strategy supports tenants involved in e-commerce, supply chain optimisation, and increasingly, data centres. As digital infrastructure and automation expand, the need for well-located industrial property is unlikely to disappear.

Goodman’s development pipeline and global partnerships give it exposure to long-term structural trends rather than short-term property cycles alone.

Bell Potter is a fan and has a buy rating and $36.45 price target on its shares.

Woolworths Group Ltd (ASX: WOW)

A final ASX 200 blue chip share to consider is Woolworths.

Woolworths is deeply embedded in the daily lives of Australian consumers. Grocery spending may fluctuate slightly with economic conditions, but food remains a necessity.

Beyond supermarkets, Woolworths has been investing in supply chain technology and digital capabilities, strengthening its online and fulfilment networks. That ongoing evolution helps it defend market share and improve efficiency.

Overall, Woolworths offers steady cash generation and exposure to defensive consumer demand, making it a reliable counterbalance to more cyclical sectors.

Ord Minnett currently has a buy rating and $33.00 price target on the blue chip.

The post Where to invest $10,000 in ASX 200 blue chip shares today appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: Goodman, Hub24, and Telstra shares
• Brokers name 3 ASX shares to buy today
• Why Goodman shares could be heading 20%+ higher
• Are these 3 popular ASX 200 stocks a buy, hold or sell ahead of earnings results next week?
• 3 ASX dividend shares with business models built for uncertain times

Motley Fool contributor James Mickleboro has positions in Goodman Group and Woolworths Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goodman Group. The Motley Fool Australia has positions in and has recommended Woolworths 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.

When a high-quality ASX growth stock falls 50%, investors face a choice.

Is it broken? Or is it simply out of favour?

One ASX growth stock that has suffered a brutal pullback over the past year is WiseTech Global Ltd (ASX: WTC). The logistics software giant is trading at $47.10, roughly half the level it was this time last year.

The big question now is whether this is a warning sign or an opportunity.

Why have WiseTech shares fallen?

The selloff hasn’t happened in a vacuum. Bell Potter highlights:

WiseTech has also had a large pullback in its share price but this has been more driven by company specific issues like slowing growth in the core business, management and board upheaval and insider trading allegations against CEO and founder Richard White.

The good news is that the broker believes that the ASX growth stock is now moving on from these issues. It adds:

These issues, however, are starting to subside and focus is returning to the outlook for the core business which is improving with the launch of new products, a new commercial model and the integration of a large acquisition (e2open). These initiatives are all expected to help drive a much stronger 2HFY26 result relative to 1HFY26 and then the first full year of benefits will be evident in FY27.

All in all, sentiment has been hit by governance noise and growth concerns. But Bell Potter believes the underlying business momentum could reassert itself.

Why its outlook could improve

WiseTech’s CargoWise platform remains deeply embedded in global supply chains. Switching costs are high, integration is complex, and the customer base includes many of the world’s largest logistics providers.

The integration of e2open expands WiseTech’s footprint further across the global trade ecosystem. If executed well, it could enhance product breadth and strengthen cross-selling opportunities. Bell Potter adds:

All of these changes/initiatives are not without risk and there is still some risk of a soft downgrade to revenue guidance in FY26 at the half year result but the 12-month outlook is positive in our view.

Major potential upside for this ASX growth stock

According to a recent note, Bell Potter has a buy rating and a $87.50 price target on WiseTech shares. Based on current share price of $47.10, this implies potential upside of 86% for investors over the next 12 months.

If this ASX growth stock can stabilise growth, execute on product launches, demonstrate progress with the e2open integration, and show that AI is not a threat, sentiment could shift quickly.

Overall, WiseTech’s share price collapse reflects uncertainty, not necessarily a broken business model. This could make it worth considering at current levels.

The post 1 ASX growth stock down 50% to buy right now appeared first on The Motley Fool Australia.

More reading

• ASX 200 tech shares lead market sectors with a 7% bounce back
• Are these 3 popular ASX 200 stocks a buy, hold or sell ahead of earnings results next week?
• 3 ASX ETFs to target if you anticipate a tech turnaround 
• 3 ASX growth shares that could rebound hard in 2026
• Why are ASX 200 tech shares down 43% in six months?

Motley Fool contributor James Mickleboro has positions in WiseTech Global. 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.

Long-term investing does not have to be complicated, especially when it comes to self-managed super funds (SMSFs).

Instead of trying to predict which individual company will outperform next year, many investors prefer to back broad themes and structural trends through exchange traded funds (ETFs). With the right mix, you can build an SMSF portfolio that evolves with the market.

Here are three different ASX ETFs to consider buying and holding for the long haul.

Vanguard Total Stock Market ETF (ASX: VTS)

The first ASX ETF to consider is the Vanguard Total Stock Market ETF.

Unlike funds that track just the largest stocks, this one provides exposure to the entire US share market. This includes mega-cap giants down to smaller growth businesses. That means investors are not just backing today’s leaders, but also tomorrow’s potential disruptors.

Over time, some of the strongest returns in the US market have come from stocks that started small and grew into household names. The Vanguard Total Stock Market ETF captures that full lifecycle.

For long-term investors who believe in the depth and dynamism of the US economy, this broad exposure can be a powerful core holding.

Betashares Global Cash Flow Kings ETF (ASX: CFLO)

Another ASX ETF that could be worth holding for years is the Betashares Global Cash Flow Kings ETF.

This fund focuses on stocks that are generating strong free cash flow. In simple terms, it tilts toward businesses that convert revenue into real, usable money after expenses and investment.

Cash flow matters. It supports dividends, share buybacks, debt reduction, and reinvestment into growth. Companies with strong cash generation often prove more resilient during economic slowdowns.

Rather than chasing hype, the Betashares Global Cash Flow Kings ETF leans into financial strength. That can make it a steady long-term complement to broader market exposure. It was recently recommended by analysts at Betashares.

VanEck China New Economy ETF (ASX: CNEW)

For investors willing to look beyond developed markets, the VanEck China New Economy ETF adds a different dimension.

It focuses on China’s new economy sectors. These are areas such as technology, healthcare, advanced manufacturing, and consumer upgrades. Instead of traditional state-owned enterprises, the ETF tilts toward businesses aligned with structural growth and rising domestic demand.

China remains one of the world’s largest economies, and its consumption patterns are evolving rapidly. While volatility can be higher, long-term structural exposure can enhance portfolio diversification. It was also recently recommended by analysts at Betashares.

The post 3 top ASX ETFs to buy and hold in an SMSF appeared first on The Motley Fool Australia.

More reading

• 5 ASX ETFs for new investors to buy and hold
• 3 exciting ASX ETFs to buy with $3,000 this month
• Why these ASX ETFs could be perfect for buy and hold investors
• 3 ASX ETFs to buy and hold for 25 years
• 3 super ASX ETFs to add to your SMSF

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.

Warren Buffett has shared countless investing insights over the decades.

But one simple rule stands above the rest: buy wonderful ASX shares at fair prices.

It sounds straightforward. Yet most investors do the opposite. They chase cheap ASX shares, trade frequently, or panic during market pullbacks. Buffett’s edge hasn’t come from complexity. It has come from discipline.

Here’s how that rule could transform an ASX share portfolio.

Focus on wonderful ASX shares, not cheap

Warren Buffett doesn’t look for the lowest price-to-earnings ratio in the market. He looks for sustainable competitive advantages.

On the ASX, that might include companies like ResMed Inc. (ASX: RMD), which operates in sleep disorder treatment with high barriers to entry. Or REA Group Ltd (ASX: REA), which dominates online property listings with powerful network effects.

These shares are rarely the cheapest on traditional valuation metrics. But their competitive positions allow them to grow earnings consistently over long periods.

Buffett would argue that paying a fair price for quality beats buying average businesses at bargain prices.

Think in decades, not quarters

Another part of Warren Buffett’s rule is time horizon.

If you buy a wonderful business, the intention should be to hold it. That long-term mindset changes behaviour. You become less concerned about short-term volatility and more focused on whether the company is strengthening its competitive position.

Take ResMed. Demand for sleep and respiratory care is supported by demographic trends that will likely persist for decades. Over a long horizon, those drivers matter far more than short-term share price swings.

Let compounding work quietly

The real power of Buffett’s rule lies in compounding.

When a business consistently reinvests profits at high returns on capital, earnings grow. When earnings grow, the share price tends to follow over time.

That’s how Berkshire Hathaway (NYSE: BRK.B) became one of the world’s most successful investment vehicles. Not through constant trading, but through owning great businesses and letting time amplify returns.

An ASX share portfolio built around high-quality compounders can operate the same way.

The transformation

Applying Buffett’s rule doesn’t require outlandish strategies.

It just means being selective. It means resisting the urge to constantly rotate. And it means prioritising business quality over short-term price movements.

Over time, that shift in mindset, from trading to owning, can be the difference between average returns and truly transformative wealth creation.

The post The Warren Buffett rule that could transform your ASX share portfolio appeared first on The Motley Fool Australia.

More reading

• Where to invest $10,000 in ASX 200 shares next week
• How to build an ASX share portfolio you can stick with long term
• Why these buy-rated ASX shares stand out to me
• What happens if you invest $10,000 in ASX shares and leave it alone for 20 years?
• Why this top fundie is doubling down on ASX 200 tech stocks like TechnologyOne and Xero shares

Motley Fool contributor James Mickleboro has positions in REA Group and ResMed. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Berkshire Hathaway and ResMed. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended Berkshire Hathaway. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Owners of Telstra Group Ltd (ASX: TLS) shares can be happy with the FY26 first-half result considering the ASX telco share delivered investors a pleasing amount of profit and dividend growth.

For the six months to 31 December 2025, Telstra reported that total income grew 0.2% to $11.8 billion, operating profit (EBIT) climbed 9.2% to $2 billion and earnings per share (EPS) grew 11.2% to 9.9 cents.

The cash measure of profitability saw even stronger growth, with cash EBIT rising 14% to $2.5 billion and cash EPS climbing 19.7% to 14 cents.

The dividend payment was increased by 10.5% to 10.5 cents per share, though it wasn’t fully franked. Let’s take a look at where analysts think the payout could go from here.

FY26

After seeing the numbers, UBS said that the result continued to demonstrate the strength of its mobile division, which delivered 4% revenue and EBITDA growth. Cost control was another highlight for the business.

UBS said it remains “constructive on the growth outlook” for Telstra and is forecasting that cash EBIT can grow at a compound annual growth rate (CAGR) of 5% over the next four years, driven by capturing CPI inflation-linked mobile price rises and continued cost control through AI productivity savings. The broker expects this to support dividend growth in the years ahead.

The broker is expecting Telstra to deliver average revenue per user (ARPU) growth in FY26 and FY27, alongside “solid” subscriber net additions across postpaid, prepaid and wholesale users. This gave UBS “comfort on the sustainability of continued price rises across the various customer segments over the medium term.”

UBS also thinks Telstra’s profit margins can rise for the foreseeable future, with cost growth limited to a CAGR of 1.5% over the next four years. There are three reasons for that. First, up to 650 redundancies (1.5% of Telstra’s workforce) were indicated by Telstra. Second, the benefits of the consolidation of software and IT providers. Third, a joint venture with Accenture to help with costs and deliver faster product-to-market times.

The broker predicts Telstra’s EBITDA margin could expand by an average of 60 basis points between FY26 and FY30 with ongoing efficiencies as AI adoption increases.

UBS forecasts that the Telstra annual dividend per share could rise to 21 cents in FY26. That’d be a cash dividend yield of 4.1%, excluding any potential franking credits.

FY27

The payout is projected to increase in the 2027 financial year for owners of Telstra shares.

UBS suggests the ASX telco share could declare an annual dividend per share of 22 cents in the 2027 financial year.

FY28

The 2028 financial year could see yet another increased payout for investors.

UBS forecasts the business could decide on an annual dividend per share of 23 cents.

FY29

The 2029 financial year could see a big increase of the annual payout to 26 cents per share, according to the UBS forecast.

FY30

The 2030 financial year could see the biggest payout since FY17. UBS forecasts the business could pay an annual dividend per share of 29 cents. That’s a potential cash yield of 5.7%, excluding franking credits. It would also represent an increase of 38% between FY26 and FY30.

The post Here’s the dividend forecast out to 2030 for Telstra shares appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: Goodman, Hub24, and Telstra shares
• 2 more ASX 200 blue chip stocks that increased dividends this week
• How to build an ASX share portfolio you can stick with long term
• These 2 ASX 200 blue-chip shares just raised their dividends
• Why isn’t the new Telstra dividend fully franked?

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

Investments rarely fall by as much as the Zip Co Ltd (ASX: ZIP) share price did last week in a single day. After the buy now, pay later business reported its result, it dropped 34%!

The numbers weren’t quite as strong as some investors may have hoped, but broker UBS saw plenty of positives, and believes the ASX share could be a big opportunity at this price.

Let’s see why UBS thinks the Zip share price reaction “presents [an] attractive entry point as growth remains intact”.

Attractive time to buy

UBS acknowledged that the FY26 first-half result was a “slight miss” compared to analyst expectations, but the 34% decline seemed like “an overreaction” because US growth remains strong.

The market has seemingly focused on an increase in the net bad debts, but UBS suggested this was “not unexpected” because Zip is now focusing on customer growth in the region and it’s still within the comfort range of between 1.5% to 2%.

UBS said that it remains comfortable on the growth outlook for the company in the US as structural tailwinds continue and it sees “benefits longer term to net bad debts as Zip’s pay-in-8 volumes continue to season”.

Even so, after seeing the report, UBS decided to somewhat lower its projections between FY26 to FY28 due to lower customer additions in the US (to an average of 0.4 million per year from 0.45 million), an increase in net bad debts from 1.67% to 1.8%, and foreign currency headwinds from a stronger Australian dollar.

However, those negatives are somewhat offset, in UBS’ eyes, by stronger expected US total transaction value (TTV)/customer growth in the second half, improvements in interest cost tailwinds and general operating expenditure efficiencies.

It’s expecting Zip’s US TTV to grow by 38% in the second half of FY26, then grow 30% in FY27 and 22% in FY28. It thinks BNPL can gain more market share and focus on predominantly non-discretionary sectors that are more resilient through the economic cycle.

What is the Zip share price valuation?

UBS thinks the company could deliver an EPS compound annual growth rate (CAGR) of 30% for over the next three years. The broker thinks that’s attractive compared to other BNPL and banking peers considering the Zip share price is trading at around 15x FY27’s estimated earnings.

The broker has a price target of $4.50 on the buy now, pay later company. That suggests a possible one-year rise of around 140% from where it is at the time of writing.

The post This expert thinks the Zip share price is a buy and could rise 140%! appeared first on The Motley Fool Australia.

More reading

• Down 45% in 2026, could you double your money buying the dip in Zip shares now?
• Why PWR, QBE, Telix, and Zip shares are storming higher today
• Why are Zip shares rebounding 5% today?
• Recap: Winners and losers from earnings season week 3
• Buy, hold, or sell? Goodman Group, Wesfarmers, Zip shares

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’ve got $10,000 ready to put to work next week, focusing on established ASX 200 shares with clear long-term drivers could be a smart move.

But which shares could be worth considering? Let’s take a look at three ASX 200 shares that brokers currently rate as buys. They are as follows:

Aristocrat Leisure Ltd (ASX: ALL)

The first ASX 200 share to consider is Aristocrat Leisure. It is no longer just a poker machine manufacturer. In recent years, it has evolved into a diversified gaming technology company with exposure to land-based machines, online real-money gaming, and mobile social casino titles.

That mix gives it multiple revenue streams. Its content pipeline, research and development investment, and intellectual property are central to its success, with new game releases driving recurring performance across venues and digital platforms.

Gaming demand can fluctuate, but strong franchises and global scale give Aristocrat resilience. Over time, its combination of hardware, digital content, and expanding international footprint could support steady growth.

Bell Potter is a big fan and currently has a buy rating and $70.00 price target on its shares.

NextDC Ltd (ASX: NXT)

Another ASX 200 share worth considering according to analysts is NextDC.

It operates critical data centre infrastructure that supports cloud providers, enterprises, and government agencies. As digital workloads expand and artificial intelligence (AI) adoption accelerates, the need for secure, high-performance data centres continues to rise.

The company has a growing development pipeline and long-term customer contracts that provide visibility into future revenue. While its share price can be volatile in periods of tech weakness, the underlying demand drivers remain structural rather than cyclical.

For investors seeking exposure to digital infrastructure rather than pure software, NextDC offers a different angle on the technology theme.

Morgans is bullish on this one and has a buy rating and $19.00 price target on its shares.

REA Group Ltd (ASX: REA)

A final ASX 200 share to consider next week is REA Group.

REA operates Australia’s leading online property marketplace. Its dominant position gives it pricing power and strong network effects, as agents and buyers naturally gravitate toward the platform with the most listings and audience engagement.

Property cycles may ebb and flow, but digital advertising in real estate is now deeply embedded. Over the long term, population growth and housing turnover support ongoing activity.

REA’s ability to monetise listings, premium placement, and data services makes it more than just a classifieds site. It is a platform business with strong competitive barriers.

Bell Potter is positive on the company and has a buy rating and $211.00 price target on its shares.

The post Where to invest $10,000 in ASX 200 shares next week appeared first on The Motley Fool Australia.

More reading

• ASX 200 tech shares lead market sectors with a 7% bounce back
• These ASX 200 shares could rise 20% to 40%
• 3 out of favour ASX 200 shares that could be worth a look today
• Why these buy-rated ASX shares stand out to me
• What happens if you invest $10,000 in ASX shares and leave it alone for 20 years?

Motley Fool contributor James Mickleboro has positions in Nextdc and 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.

Owning Wesfarmers Ltd (ASX: WES) shares has come with a lot of earnings growth over the last five years. Analysts reckon there’s plenty more to come over the next five years.

The parent business of Bunnings, Kmart, Officeworks, WesCEF (chemicals, energy and fertilisers) and many more has given investors plenty to smile about.

The latest result was pleasing, with high single-digit net profit growth, even if the market wasn’t satisfied (it fell more than 5% on the day of the report). Let’s see what analysts from UBS thought of the result and how bullish they are regarding earnings growth.

FY26

After looking at the financials, UBS said that Wesfarmers’ earnings before tax (EBT) and net profit after tax (NPAT) both beat analyst expectations because of a stronger performance by WesCEF thanks to ammonium nitrate, fertiliser and lithium (both the Mt Holland performance and a higher lithium price).

UBS noted that Bunnings achieved revenue growth in both consumer and commercial, with the consumer segment being stronger. The commercial segment continues to endure a “challenged backdrop”.

The broker thinks that Bunnings continues to have strong revenue growth options based on its categories (with market share gains in existing ones and entry into new ones), channel (with digital growth, boosted by the new marketplace) and type of customer (namely commercial ones) – these growth channels are capital-light options.

UBS also believes that Kmart can grow its market share by capturing more dollars from existing customers, including by developing new products to expand its reach into new categories.

Officeworks is looking to reset its cost base, implement new software systems and more. But, UBS thinks there is potential execution risk by changing the product range, store format, selling team, skills and incentives and brand marketing.  

Taking all of that into account, UBS forecasts that Wesfarmers could achieve $2.86 billion of net profit in FY26.

FY27

Earnings are expected to continue rising in the 2027 financial year and beyond, according to UBS.

The broker suggests that the business could generate $3.07 billion of net profit in FY27.

FY28

Net profit could get even better for owners of Wesfarmers shares in 2028, with a forecast rise to $3.41 billion, according to UBS.

FY29

Wesfarmers’ net profit is expected to rise again by another $400 million in the 2029 financial year, which is a solid level of growth.

The broker suggests the retail giant could make net profit of $3.8 billion in FY29.

FY30

The best year of this series of projections is expected to be the 2030 financial year.

Wesfarmers is forecast to make $4 billion of net profit, which would mean its earnings could jump 40% between FY26 to FY30. That’d be a useful tailwind for rising earnings.

In terms of whether the Wesfarmers share price is a good buy today, UBS has neutral rating on the business, with a price target of $90. The broker wrote:

We see a balanced risk reward as WES’ resilient earnings and strong EBT & ROC growth outlook for Bunnings & Kmart are reflected in its elevated multiple; Retain Neutral.

The post Here’s the earnings forecast out to 2030 for Wesfarmers shares appeared first on The Motley Fool Australia.

More reading

• 2 more ASX 200 blue chip stocks that increased dividends this week
• 5 low-cost ASX ETFs for a global diversified portfolio
• Buy, hold, sell: Lovisa, Wesfarmers, and Rio Tinto shares
• How to build an ASX share portfolio you can stick with long term
• These 2 ASX 200 blue-chip shares just raised their dividends

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 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.

When I think about buying shares to hold for a decade, I want businesses that are scaling and building competitive advantages that strengthen over time.

Right now, three ASX 200 names stand out to me for exactly those reasons.

Megaport Ltd (ASX: MP1)

Megaport has just delivered one of its strongest half-year performances on record.

Group annual recurring revenue surged 49% year-on-year to $338 million, supported by both organic growth and acquisitions. Even stripping out acquisitions, Megaport Network annual recurring revenue (ARR) grew 19% in constant currency and net revenue retention lifted to 111%. That tells me customers are not just sticking around, they are spending more.

Customer lifetime has extended from 10 to 13 years, and lifetime value jumped 57% in constant currency to $2.5 billion. Those are powerful unit economics.

What excites me most is the Latitude.sh acquisition, which added US$45 million of ARR and expands Megaport into compute and GPU-as-a-service. Management describes this as the convergence of network and compute, positioning the platform for cloud, AI, and data centre growth.

I believe this combination of strong recurring revenue, improving retention, and expansion into AI infrastructure gives Megaport genuine 10-year potential.

Life360 Inc. (ASX: 360)

Life360 continues to prove that its growth story is far from over. In the fourth quarter of 2025, monthly active users (MAU) reached 95.8 million, with full-year net additions of 16.2 million, representing 20% year-on-year growth. Paying Circles climbed to 2.8 million, with 576,000 net additions for the year, the highest annual increase on record.

Revenue for FY25 is expected to land between US$486 million and US$489 million, up roughly 31% to 32%, with adjusted EBITDA of US$87 million to US$92 million. Importantly, management expects MAU growth of approximately 20% again in 2026.

What I like here is the combination of scale and monetisation. The user base is enormous, conversion rates are improving, and margins are expanding. Life360 is becoming a global safety platform with strong brand recognition and network effects.

Over a 10-year horizon, I see significant room for further penetration, higher subscription uptake, and new product layers across safety, insurance, and hardware.

HUB24 Ltd (ASX: HUB)

I think HUB24 is one of the most consistent growth stories on the ASX, and its latest half-year result only strengthens my conviction.

Underlying EBITDA rose 35% to $104.9 million, while underlying NPAT jumped 60% to $68.3 million. Platform net inflows hit a record $10.7 billion for the half, and total funds under administration reached $152.3 billion.

The company was ranked first for quarterly and annual net inflows and upgraded its FY27 platform FUA target to $160 billion to $170 billion. That kind of upgrade signals confidence in its pipeline and competitive positioning.

I believe HUB24 benefits from a powerful structural tailwind: the ongoing shift to independent financial advice and modern platform technology. Its scale advantages, margin expansion, and adviser adoption trends suggest this is still a business in growth mode, not maturity.

For a 10-year hold, I want a company taking share in a large market with strong recurring revenue. HUB24 ticks those boxes for me.

Foolish takeaway

If I am building a portfolio to hold for the next decade, I want exposure to businesses that are expanding rapidly and compounding their advantages.

Megaport is building the backbone for network and AI infrastructure. Life360 is scaling a global safety ecosystem. HUB24 is consolidating leadership in wealth platforms.

All three are growing strongly today, and I believe they have the runway to grow much larger over the next 10 years.

The post 3 rapidly growing ASX 200 shares I would buy and hold for 10 years appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in Hub24. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Hub24, Life360, and Megaport. The Motley Fool Australia has positions in and has recommended Life360. The Motley Fool Australia has recommended Hub24. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.