Category: Stock Market

On Thursday, the S&P/ASX 200 Index (ASX: XJO) had a disappointing session and sank deep into the red. The benchmark index fell 1.3% to 8,629 points.

Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:

ASX 200 expected to fall

The Australian share market looks set to fall again on Friday following a poor night in the United States. According to the latest SPI futures, the ASX 200 is expected to open 21 points or 0.25% lower this morning. In late trade on Wall Street, the Dow Jones is down 1.5%, the S&P 500 is down 1.45% and the Nasdaq is down 1.7%.

Oil prices jump

It could be a strong finish to the week for ASX 200 energy shares such as Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) after oil prices jumped. According to Bloomberg, the WTI crude oil price is up 9.6% to US$95.61 a barrel and the Brent crude oil price is up 9.45% to US$100.62 a barrel. Oil prices surged after Iran’s supreme leader said that the Strait of Hormuz must remain closed.

ASX 200 shares going ex-dividend

A number of ASX 200 shares will be going ex-dividend this morning and could trade lower. This includes auto listings company CAR Group Limited (ASX: CAR), quick service restaurant operator Guzman Y Gomez Ltd (ASX: GYG), and logistic solutions company WiseTech Global Ltd (ASX: WTC). CAR Group will be paying a partially franked 42.5 cents per share dividend next month on 13 April.

Gold price falls

ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Newmont Corporation (ASX: NEM) could have a subdued finish to the week after the gold price fell overnight. According to CNBC, the gold futures price is down 1.5% to US$5,100.3 an ounce. A stronger US dollar weighed on the precious metal.

Buy Liontown shares

Liontown Ltd (ASX: LTR) shares are good value according to analysts at Bell Potter. This morning, the broker has retained its buy rating on the lithium miner’s shares with a $2.42 price target. It said: “LTR is now in a net cash position. Over FY26-27, LTR will continue to ramp up and de-risk Kathleen Valley. With current lithium price strength, LTR can rapidly generate cash to support incremental production expansions and shareholder returns. Kathleen Valley is highly strategic in terms of scale, long project life and location in a tier-one mining jurisdiction. LTR has offtake contracts with top-tier EV and battery OEMs. The company has a strong balance sheet with long tenor debt finance.”

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

More reading

• $10,000 invested in Droneshield and Woodside shares just 1 week ago is now worth…
• Here are the top 10 ASX 200 shares today
• 3 ASX tech shares to buy amid ongoing tech wreck
• Why are Ampol, Beach Energy shares jumping higher again today?
• Down 44% in a year, why Guzman Y Gomez shares may have further to fall

Motley Fool contributor James Mickleboro has positions in WiseTech Global and Woodside Energy Group Ltd. 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 Australia has recommended CAR Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

It has been a brutal stretch for shareholders of this ASX tech share.

The share price of Catapult Sports Ltd (ASX: CAT) slid roughly 8% in the latest trading session, leaving the stock down about 18% in 2026 so far and nearly 50% over the past 6 months.

Such a sharp fall naturally raises questions for investors. Has something fundamentally changed with the ASX tech share, or is the market reacting to short-term factors?

The ASX 200 exit

One key reason behind the latest weakness appears to be index changes rather than company performance.

Recently, index provider S&P/ASX 200 Index (ASX: XJO) announced its quarterly rebalance, and the ASX tech share was among the companies removed from the benchmark index.

While this might sound like a technical change, it can have a real impact on share prices. Many index funds and institutional investors track the ASX 200. When a company is removed, those funds may be forced to sell their holdings to keep their portfolios aligned with the index.

But the bigger question for investors is whether the broader sell-off in Catapult shares is actually justified.

The bull case for Catapult

Despite the share price weakness, Catapult still operates in a fast-growing global sports technology market.

The company develops wearable devices, video analytics platforms, and data tools used by professional sports teams to monitor athlete performance and reduce injury risk. Its technology is used by more than 4,200 teams across 40 sports worldwide, and it reportedly holds around 80% market share in outdoor team sports analytics.

Encouragingly, the company has also made progress toward profitability. Free cash flow improved significantly in recent results, a development investors have been waiting for.

The risks investors should watch

That said, there are several reasons the market may still be cautious.

First, Catapult remains a growth company that has yet to consistently deliver net profits. Analysts have pushed back expectations for breakeven in the past, highlighting execution risks as the business scales.

Second, sentiment toward smaller technology stocks on the ASX has been volatile, with investors rotating toward larger and more profitable companies.

Finally, the company operates in an emerging sports analytics market where competition and technological disruption could intensify over time.

What next for the ASX tech share?

Despite the sharp share price decline, analyst forecasts remain relatively optimistic.

Consensus estimates suggest revenue could grow around 15% per year and earnings could grow by more than 50% annually as the business scales.

Broker Morgans previously said it believes Catapult is well placed to grow revenue by around 20% per year over the next three years. This would potentially reach US$180 million by FY2028.

The team at Morgans has retained its buy rating and $6.25 price target on this sports technology company’s shares. This points to an 82% upside at the current price level of $3.43.

The post What’s going on with this ASX tech share? appeared first on The Motley Fool Australia.

More reading

• Why Catapult Sports, CBA, Dyno Nobel, and Qantas shares are sinking today
• Leading brokers name 3 ASX shares to buy today
• Bell Potter names more of the best ASX shares to buy in March
• 3 shares dumped from the ASX 200 index (and 3 new additions)
• 5 things to watch on the ASX 200 on Monday

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

Retail remains a challenging sector with Australian consumer sentiment falling in February 2026, largely driven by interest rate rises. With another rate rise potentially looming, how are these retailers faring?

JB Hi-Fi Limited (ASX: JBH)

JB Hi-Fi delivered some solid 1H26 results, including:

• Sales revenue up 7.3% to $6.1 billion
• Net profit after tax up 7.1% to $305.8 million
• Earnings per share up 7.1%

While it experienced a slowdown in sales momentum in January, JB Hi Fi continues to thrive overall. And for me, its relative success in a difficult consumer spending climate comes down to the power of its brand. Its core value proposition has never wavered.

Customers know what to expect from JB Hi-Fi, and it continually delivers, with discounted prices, easy price matching and an interactive in-store experience. Its casual staff culture appeals to younger generations who typically spend more on technology than their older counterparts. Gen Z and Millennials drop a combined $9.2 billion a year on smart home tech alone, according to 2025 Pure Profile research conducted for Samsung.

And while this demographic is also much more likely to buy online, I believe JB Hi-Fi’s in-store experience and the broader societal trend towards instant gratification position it well in this landscape.

JB Hi-Fi has indicated that it expects some further softening in consumer spending in the next quarter. But I believe the retailer is well-positioned to weather any potential challenges. Its balance sheet should provide enough cover, with low debt and cash reserves of $489.5 million as of 1H26.

From a share price perspective, it remains fair value, with a small upside for investors, in my opinion. It has dropped around 13% in the last year, perhaps driven by broader market weakness and investor concern about a consumer spending crunch.

Harvey Norman Holdings Limited (ASX: HVN)

Harvey Norman also delivered robust results for the half, including:

• Sales revenue up 6.9% to $5.16 billion
• Net profit after tax up 15.2% to $321.9 million
• Earnings per share up 20.8%

Regardless, its share price has fallen around 20% over the last month, most likely due to concerns about a consumer spending squeeze.

Harvey Norman is a decent business as it stands today. With a solid supplier network and the backing of its strong property portfolio, it’s in a good position to stare down the immediate challenges of any contraction in consumer spending.

However, the value proposition for this retailer changes for me based on the time horizon.

According to Roy Morgan Research, almost 60% of Harvey Norman’s customers were aged over 50 in 2019, highlighting its popularity amongst Baby Boomers and older Gen Xers. Given that its marketing appears to target the same audience in 2026, I think it’s reasonable to assume that this hasn’t materially changed. 

In a spending crunch, we tend to see older generations spending more than Millennials, who are in the thick of one of life’s most expensive stages, from school fees to mortgages.

So, in the short term, an older customer base combined with a strong balance sheet will likely be an advantage for Harvey Norman.

Over the longer term, however, I don’t love its brand positioning. There is a risk that it may compete solely on price to attract Millennial and Gen Z consumers. Harvey Norman will need to deliver a consistent, high-quality in-store experience to compete with lean online players and with competitors like JB Hi-Fi, which has already successfully attracted younger shoppers.

Would I buy it right now? Probably. I think there is some upside at current prices, and its recent results and balance sheet look good. Long-term, I think it may face challenges if it continues with its current brand positioning.

The bottom line

Both are reasonably good retail buys right now. In the short term, I think Harvey Norman has a slight edge. Its results are strong, its higher dividend yield is appealing, and I think there may be a little more upside at current prices. However, looking longer term, I think JB Hi-Fi will prove the stronger business, gaining real momentum from the investment it has made in its brand.

The post JB Hi-Fi vs. Harvey Norman: Which is the better retail buy? appeared first on The Motley Fool Australia.

More reading

• My 3 best ASX dividend-focused stocks to buy in March
• A once-in-a-decade chance to earn a supersized passive income from ASX shares?
• 3 top ASX dividend share buys for passive income in March
• Sell alert! Why this expert is calling time on Harvey Norman shares
• Expert gives its verdict on 3 popular ASX 200 shares

Motley Fool contributor Melissa Maddison 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 Harvey Norman. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The S&P/ASX 200 Index (ASX: XJO) closed in the red on Thursday afternoon as the ongoing conflict in the Middle East continues to put pressure on shares across global markets. 

Investors are nervous about the repercussions of surging oil prices, and inflation concerns are seeing markets beginning to price in another cash rate hike ahead of the next Reserve Bank meeting.

The majority of stocks on the ASX 200 index closed lower for the day, with the exception of some shares, most of which are in the energy sector. 

While investor confidence has dropped across most sectors, some ASX shares are thriving in the current market. Droneshield Ltd (ASX: DRO) and Woodside Energy Ltd (ASX: WDS) shares are two that spring to mind.

If I invested $10,000 in Droneshield shares one week ago, what are they worth now?

At the close of the ASX on Thursday afternoon, Droneshield shares are 3.92% lower at $3.92 a piece. But despite the decline, they’re still 7.4% higher than just one week ago.

That means that $10,000 invested in Droneshield shares just one week ago is already worth an impressive $10,740.

And the great news is that analysts think the stock will keep soaring, too. TradingView data shows a strong consensus buy rating for Droneshield shares and a maximum target price of $5. That implies the stock could jump another 27.55%, at the time of writing.

The counter drone technology company was one of the fastest-growing stocks on the planet last year. 

The company has faced a few headwinds over the past 12 months, but has also won some impressive contracts valued at $21.7 million. 

And as geopolitical tensions keep rising, demand for defence assets around the world is climbing higher. I think Droneshield is well-positioned to absorb much of the demand.

If I invested $10,000 in Woodside shares one week ago, what are they worth now?

Woodside shares have rallied over the past six months. The stock is now worth 28.24% more than it was back in September. 

At the close of the ASX on Thursday afternoon, Woodside shares were 2.07% higher at $31.05. They’re now 2.14% higher over the past week.

That means that $10,000 invested in Woodside shares just one week ago is already worth $10,214.

TradingView data shows analysts are relatively divided about the stock. Of 15 analysts, seven have a hold rating, and another six have a buy or strong buy rating on Woodside shares. 

The maximum target price is $33.60, which implies a potential 8.2% upside over the next 12 months.

As Australia’s largest oil operator and producer, Woodside shares are being boosted by global oil supply concerns arising from the ongoing conflict in the Middle East. 

Given there is no sign of how long volatility will last, it’s unclear whether we can expect demand for shares in the sector to keep climbing or taper off. Some analysts warn that oil prices could keep climbing higher for a while.

The ASX energy sector is the only area that ended in the green on Thursday afternoon.

The post $10,000 invested in Droneshield and Woodside shares just 1 week ago is now worth… appeared first on The Motley Fool Australia.

More reading

• Why are Ampol, Beach Energy shares jumping higher again today?
• Why Collins Foods, St George Mining, Whitehaven Coal, and Woodside shares are pushing higher today
• How much do I need to invest in Woodside and BHP shares for $10,000 a year in passive income?
• 5 ASX shares I’d buy with $5,000 today
• BHP and Woodside linked in CEO race as top executive emerges as contender

Motley Fool contributor Samantha Menzies has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DroneShield and is short shares of DroneShield. 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.

When people talk about building wealth in the share market, the conversation often revolves around picking the right stocks.

But I believe that the biggest driver of long-term investment success isn’t necessarily stock selection. It is consistency.

A simple habit of regularly investing in the share market, even relatively modest amounts, can compound into surprisingly large sums over time.

The power of steady ASX investing

The Australian share market has historically delivered returns of roughly 9% per year over long periods. Some years are much better, others much worse, but over time that has been a useful long-term average.

Now imagine investing $500 per month into a balanced portfolio of ASX shares.

At first, the results might feel underwhelming. In the early years, most of the portfolio growth comes from your own contributions rather than investment returns. It can feel like progress is slow and pointless.

But compounding has a way of accelerating over time.

If someone invested $500 per month and achieved a long-term return of around 9% per year, after 20 years they could have a portfolio worth roughly $320,000.

Stretch that time horizon to 30 years and the ASX share portfolio could grow to more than $850,000.

That’s without needing to pick a single perfect stock.

Making the process easier

One reason this strategy works so well is that it removes a lot of the pressure that investors place on themselves.

Instead of trying to predict market movements, you simply keep investing through different conditions.

Sometimes you’ll buy when markets are expensive. Other times you’ll invest during corrections or bear markets. Over time, those purchases average out. This is called dollar-cost averaging or DCA.

Many investors achieve this by building positions in diversified exchange-traded funds (ETFs) such as Vanguard Australian Shares Index ETF (ASX: VAS) or global funds like Vanguard MSCI Index International Shares ETF (ASX: VGS).

Others prefer to combine ETFs with a handful of high-quality Australian blue-chip shares such as Wesfarmers Ltd (ASX: WES) or ResMed Inc (ASX: RMD).

The exact mix matters less than the consistency of the habit.

Time is the real advantage

For younger investors especially, time is one of the most powerful advantages they have.

Someone in their 20s or 30s has decades for compounding to do its work. That means even small amounts invested regularly can grow into substantial portfolios.

But the same principle still applies later in life. Even investors who start in their 40s or 50s can benefit from steady investing and reinvesting dividends.

The key is simply staying invested in ASX shares long enough for compounding to take hold.

Foolish Takeaway

Building wealth in the share market doesn’t have to be complicated.

I think one of the simplest and most effective strategies is just developing the habit of investing regularly and sticking with it over the long term.

It might not feel exciting in the early years. But over time, that quiet consistency can turn into something surprisingly significant.

The post The simple ASX investing habit that can quietly build serious wealth appeared first on The Motley Fool Australia.

More reading

• 2 exciting ASX small-cap shares this fund manager thinks are buys
• The best ASX ETFs to buy for building wealth in 2026 and beyond
• Here are the top 10 ASX 200 shares today
• Should you buy Magellan shares before the Barrenjoey merger?
• Ord Minnett names 2 ASX 200 shares to accumulate with 10% and 20% upside

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

The funds management team from Wilson Asset Management have outlined why they see a few ASX small-cap shares as compelling opportunities right now.

The two names in this article that WAM highlighted were among the top 20 holdings of the WAM Active Ltd (ASX: WAA) portfolio, a listed investment company (LIC) that seeks to identify mispricing opportunities in the Australian market.

Let’s look at why the following businesses appealed to WAM.

Forrestania Resources Ltd (ASX: FRS)

The first business WAM mentioned was Forrestania Resources, a Perth-based resource exploration company that’s targeting gold, lithium, nickel and copper deposits. It’s searching for these resources largely in Western Australia’s Eastern Goldfields, Forrestania and Southern Cross greenstone belts.

WAM noted that the company is led by executive chair David Geraghty, who has spent 30 years in the resources sector, including 21 years at Mineral Resources Ltd (ASX: MIN), where he played a key role in its breakout success.

Last month, Forrestania Resources executed a binding purchase agreement with Westgold Resources Ltd (ASX: WGX) to monetise ore stockpiles of up to $38 million in gross revenue, with first funds expected in the third quarter of 2026.

The fund manager said the agreement effectively transitions the ASX small-cap share from a developer to a producer, which is typically a major valuation catalyst.

WAM noted that the Lake Johnston mill project is fully funded and, based on current resources, is expected to support several years of production at a low cost. At the current resource prices, this is expected to generate “significant free cash flow relative to the company’s current market capitalisation of over $600 million”.

The fund manager also noted that the company is assessing additional tenement opportunities, having flagged interest in the Edna Gold Mine, owned by Ramelius Resources Ltd (ASX: RMS).

EchoIQ Ltd (ASX: EIQ)

The other ASX small-cap share that WAM highlighted was EchoIQ, which the fund manager described as an Australian medical technology company focused on improving decision-making in cardiology. It operates an AI-driven software platform.

Its flagship EchoSolv platform harnesses proprietary AI to scan echocardiogram reports and dramatically improve detection of structural heart disease, starting with severe aortic stenosis (AS) and now expanding into heart failure (HF) and beyond.

In December, Echo IQ formally lodged its US Food and Drug Administration (FDA) submission for EchoSolv HF after a standout clinical validation study with Mayo Clinic, with a decision expected in March or April.

WAM said that clearance would significantly expand the ASX small-cap share’s US addressable market, with heart failure as the leading cause of rehospitalisation and accounting for 17% of total US healthcare spending.

The fund manager said that industry sources confirm Echo IQ’s technology is market-leading, positioning the company for rapid US penetration.

Strategic partnerships remain a near-term catalyst, according to WAM, with active interest from multiple parties, while there is also potential to improve existing reimbursement rates for severe aortic stenosis.

The post 2 exciting ASX small-cap shares this fund manager thinks are buys appeared first on The Motley Fool Australia.

More reading

• The best ASX ETFs to buy for building wealth in 2026 and beyond
• Here are the top 10 ASX 200 shares today
• Should you buy Magellan shares before the Barrenjoey merger?
• Ord Minnett names 2 ASX 200 shares to accumulate with 10% and 20% upside
• 2 ASX mining shares with 60% to 100% potential upside: experts

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.

Exchange traded funds (ETFs) can be a simple way to build long-term wealth.

That’s because they allow investors to gain exposure to a diversified portfolio of stocks through a single investment. This can help reduce risk while still capturing the growth of global markets and major industries.

But which funds could be worth considering?

Listed below are three ASX ETFs that could be worth considering to help build wealth in 2026 and over the long term.

iShares S&P 500 ETF (ASX: IVV)

One of the most popular ETFs for long-term investors is the iShares S&P 500 ETF.

This fund tracks the performance of the S&P 500 index, giving investors exposure to 500 of the largest companies listed in the United States. Many of these businesses dominate their industries and generate significant global revenue.

For example, one major holding is Apple (NASDAQ: AAPL), the technology giant behind the iPhone, MacBook, and a rapidly growing services ecosystem. Another key constituent is Microsoft (NASDAQ: MSFT), which earns billions from its Windows software, cloud computing platform Azure, and productivity tools like Office.

The ETF also holds NVIDIA (NASDAQ: NVDA), a semiconductor company whose chips are widely used in artificial intelligence, data centres, and high-performance computing.

With exposure to many of the world’s most powerful companies, this fund could be a strong core building block for a long-term portfolio.

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

Another ETF that could be worth considering is the BetaShares Asia Technology Tigers ETF.

This fund focuses on leading technology companies across Asia, providing exposure to fast-growing digital economies such as China, South Korea, and Taiwan.

One of its largest holdings is Taiwan Semiconductor Manufacturing Company (NYSE: TSM). The company manufactures advanced semiconductors that power everything from smartphones to artificial intelligence systems and is a critical supplier to many global technology firms.

Another major position is Tencent Holdings (SEHK: 700), a Chinese technology giant with businesses spanning gaming, social media, digital payments, and cloud services.

The ETF also includes Alibaba Group (NYSE: BABA), one of the world’s largest ecommerce platforms, which also operates a rapidly expanding cloud computing division.

By focusing on Asia’s leading technology businesses, the fund offers exposure to companies benefiting from rising digital adoption across the region.

BetaShares Global Cash Flow Kings ETF (ASX: CFLO)

A final ETF to look at is the BetaShares Global Cash Flow Kings ETF.

This fund invests in global companies that generate strong free cash flow. Businesses with high cash generation often have greater financial flexibility, which can support reinvestment, dividends, and share buybacks.

One of its holdings is Johnson & Johnson (NYSE: JNJ), a global healthcare company that sells pharmaceuticals, medical devices, and consumer health products.

Another example is ASML Holding (NASDAQ: ASML), a semiconductor equipment leader supplying advanced chipmaking machines.

The ETF also includes Alphabet (NASDAQ: GOOG). It is the parent company of Google, which generates most of its revenue from digital advertising and cloud services.

By focusing on companies with strong and reliable cash generation, this ASX ETF aims to provide exposure to businesses with durable and profitable operations. This fund was recently recommended by analysts at Betashares.

The post The best ASX ETFs to buy for building wealth in 2026 and beyond appeared first on The Motley Fool Australia.

More reading

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• Where to invest $10,000 into ASX ETFs in March
• How much do you need to invest in US stocks to earn a $2,000 monthly passive income?
• Should I buy ASX shares or look to conserve cash right now?

Motley Fool contributor James Mickleboro has positions in Betashares Capital – Asia Technology Tigers Etf. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ASML, Alphabet, Apple, Microsoft, Nvidia, Taiwan Semiconductor Manufacturing, Tencent, and iShares S&P 500 ETF and is short shares of Apple. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Alibaba Group and Johnson & Johnson. The Motley Fool Australia has recommended ASML, Alphabet, Apple, Microsoft, Nvidia, and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The S&P/ASX 200 Index (ASX: XJO) was thrust back into negative territory this Thursday, and decisively so, throwing off the optimistic recovery we had been witnessing for much of this week.

By the time the markets closed today, the ASX 200 had dropped a nasty 1.31%, leaving the index at a flat 8,629 points.

This rather horrid day for Australian shares follows a more temperate morning up on Wall Street.

The Dow Jones Industrial Average Index (DJX: .DJI) was punished, but by a relatively tamer 0.61%.

The tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) fared far better, recording a modest rise of 0.084%.

But let’s return to the local markets now for an analysis of how the different ASX sectors fared amid today’s tough trading conditions.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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• Why this broker just boosted its Lynas share price valuation by 60%
• Why are Ampol, Beach Energy shares jumping higher again today?
• Why Collins Foods, St George Mining, Whitehaven Coal, and Woodside shares are pushing higher today
• Why the Whitehaven share price is on the move today
• 2 ASX stocks to buy and 1 to sell

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

The Magellan Financial Group Ltd (ASX: MFG) share price closed at $9.79, down 3.45%, on Thursday.

Magellan shares have surged since the investment manager announced its proposed merger with Barrenjoey Capital Partners.

The deal values the young investment bank at $1.62 billion.

Magellan was an early backer of Barrenjoey, which launched in 2020 under former UBS bankers Matthew Grounds and Guy Fowler OAM.

Barrenjoey’s current and founding CEO, Brian Benari, was CEO of Challenger Ltd (ASX: CGF) for seven years before joining the start-up.

Magellan owns 36% of Barrenjoey and will pay $903 million for the rest of the company through the issuance of new Magellan shares.

Last week, Magellan completed a $130 million institutional capital raise to help fund the merger.

As we reported, one of Australia’s most successful families was among the participants.

The Lowy family, founder of the Westfield retail empire, invested just over $79 million to take a 5.1% stake in the new entity.

Steven Lowy told the Australian Financial Review (AFR) that they viewed the merged company as “a sound long-term investment”.

Should you buy Magellan shares?

Magellan opened a $20 million Share Purchase Plan (SPP) for ordinary investors today.

Magellan shareholders can apply for up to $30,000 worth of new Magellan shares at $8.45 apiece.

That’s a 13% discount on today’s closing Magellan share price, but bear in mind it has risen 15% since the merger was announced.

The SPP will close at 5pm (Sydney time) on Wednesday, 25 March. Shareholders will vote on the merger on 10 April.

The Magellan board unanimously recommends that investors vote in favour of the deal.

If you don’t already own Magellan shares, you are not eligible to participate in the SPP.

What do the experts think of the deal?

If you are considering buying Magellan shares, via the SPP or on-market, you might be interested in some expert opinions.

Since the merger was announced, CLSA has upgraded its rating on Magellan shares to outperform.

The broker has also increased its 12-month share price target on Magellan from $9.60 to $12.

CLSA analyst Richard Amland said (courtesy AFR):

We think [the transaction] could compare favourably with a young Macquarie Bank.

Amland is not the only analyst to compare Barrenjoey with Australia’s largest listed investment bank.

In a note to clients, Morgan Stanley analyst Andrei Stadnik said the merger set Magellan up “to create a Macquarie-like growth story”.

Morgan Stanley has upgraded Magellan shares to a hold rating and increased its target from $8.10 to $9.20.

Stadnik discussed Barrenjoey’s sharply rising revenue and said he forecasts earnings growth of 92% in FY26 and 24% in FY27.

The analyst commented:

While growth has been broad-based, opportunities in fixed income from US swap dealing and the opening of its Abu Dhabi office to service European Union clients will continue to support growth.

JP Morgan also upgraded Magellan to a hold rating with a $9 share price target.

Macquarie itself maintained a hold rating on Magellan and increased its target from $8.30 to $8.65.

UBS was critical of the deal and reiterated its hold rating on Magellan shares with a 12-month target of $9.90.

In a note to clients, UBS analysts said:

We are surprised the board is supportive of what appear to be relatively unattractive deal terms for Magellan Financial Group.

They added:

The strategic rationale appears limited.

The post Should you buy Magellan shares before the Barrenjoey merger? appeared first on The Motley Fool Australia.

More reading

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JPMorgan Chase is an advertising partner of Motley Fool Money. Motley Fool contributor Bronwyn Allen has positions in Magellan Financial Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended JPMorgan Chase and Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended Challenger. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The team at Ord Minnett has been busy running the rule over a number of ASX 200 shares.

Two that have been given accumulate ratings and price targets offering plenty of upside are named below. Here’s what you need to know:

Tabcorp Holdings Ltd (ASX: TAH)

Ord Minnett was pleased with this gambling company’s half-year results, highlighting that its EBITDA was “comfortably ahead of market and Ord Minnett expectations.”

It notes that this was spurred by “strong revenue growth and lower-than-forecast operating costs that drove wider earnings margins than anticipated.”

In response, the broker has put an accumulate rating and $1.17 price target on its shares. Based on its current share price, this implies potential upside of approximately 22%.

Commenting on the ASX 200 share, the broker said:

The tight rein on costs positions has provided Tabcorp with plenty of operational leverage, and we now model a 3% increase in EBITDA for every 1% increase in wagering revenue. Post the result, we have cut our EPS estimates by 3.6%, 6.3% and 8.2% for FY26, FY27 and FY28, respectively.

We highlight the scale of these changes are exaggerated by the law of small numbers, with our forecasts still implying a compound annual growth rate (CAGR) in EPS of more than 20% over the forecast horizon. ‍ We raise our target price on Tabcorp to $1.17 from $1.02, while we trim our recommendation to Accumulate from Buy on valuation grounds.

Woolworths Group Ltd (ASX: WOW)

Another ASX 200 share that Ord Minnett has been looking at is supermarket giant Woolworths.

Like Tabcorp, it delivered a result that was stronger than expected during the first half. It notes that Woolworths’ “earnings and an interim dividend [were] ahead of Ord Minnett and market expectations and lifted guidance for full-year earnings growth from its dominant Australian food business.”

Ord Minnett responded by putting an accumulate rating and $39.00 price target on its shares. Based on the current Woolworths share price, this implies potential upside of 10% for investors over the next 12 months.

The broker commented:

Group cost control over the period impressed – growth in operating expenses was just 2% in the half, down from the mid-to-high single-digit rates seen in recent years. Post the result, we have raised our EPS estimates by 6.3%, 5.1% and 6.1% for FY26, FY27 and FY28, respectively, to incorporate actuals and our view that Woolworths will maintain its market share versus arch-rival Coles (COL), which has made the running for several years now. This outlook leads us to raise our target price on Woolworths to $39.00 from $33.00, although valuation means we trim our recommendation to Accumulate from Buy.

The post Ord Minnett names 2 ASX 200 shares to accumulate with 10% and 20% upside appeared first on The Motley Fool Australia.

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