Category: Stock Market

Santos Ltd (ASX: STO) shares are in the red today.

Shares in the S&P/ASX 200 Index (ASX: XJO) energy stock closed yesterday trading for $6.11. In morning trade on Thursday, shares are swapping hands for $6.04 apiece, down 1.2%.

For some context, the ASX 200 is down 0.2%, while the S&P/ASX 200 Energy Index (ASX: XEJ) is down a steeper 1.3% at this same time.

Now, here’s why the Aussie oil and gas company is grabbing investor attention today.

Plunging oil price pressures Santos shares

The first reason Santos shares are under the microscope, and slipping, today is the sharp overnight fall in global oil prices.

West Texas Intermediate (WTI) oil is trading at its lowest levels since February 2021, currently fetching $US$55.27 per barrel.

The Brent crude oil price is also trading at near five-year lows, with Brent crude oil falling 2.7% overnight to US$58.92 per barrel.

As you’d expect, this isn’t just throwing up headwinds for Santos. Woodside Energy Group Ltd (ASX: WDS) shares, for example, are down 1.8% today while Beach Energy Ltd (ASX: BPT) share have slipped 0.9%.

Goodbye to $363 million of debt

The second reasons Santos shares are on ASX investors’ radars today is the company’s early debt repayment.

This morning, Santos announced it has accelerated the final repayment under the PNG LNG project finance facility, bringing the facility to a close. Santos made its final $363 million payment six months ahead of the June 2026 repayment deadline.

Commenting on the early debt repayment, Santos CEO Kevin Gallagher said:

Final payment of the PNG LNG project financing facility strengthens Santos’ balance sheet at a time when our major development projects enter production, positioning us to deliver sustainable long-term value for shareholders.

Santos has no further scheduled debt maturities in 2026.

Santos shares cashing up on divestments

Which brings us to the third reason Santos shares are grabbing ASX investor interest today.

This morning the company also reported that it has executed a conditional sale and purchase agreement to divest its 42.86% operated interest in the Mahalo Joint Venture, located in Queensland’s Bowen Basin, to Comet Ridge Ltd (ASX: COI).

The divestment will see Santos receive $40 million up front with up to $20 million in contingent payments linked to production milestones.

Santos noted that it also recently completed the divestment to Eni Australia of its 42.71% interest in the Petrel fields and 100% in the Tern fields in the Bonaparte Basin offshore Northern Australia.

“I am pleased to agree commercial terms with our existing partners that will allow them to progress the development of these assets, unlocking future supply for the Australian domestic gas market,” Gallagher said.

He added:

These two transactions reflect our commitment to capital discipline to deliver sustainable and competitive shareholder returns.

Santos’ near-term priorities are to deliver Barossa and Pikka, and to progress the next phase of growth opportunities that leverage our existing operating footprint.

With today’s intraday dip factored in, Santos shares are down 6.1% since this time last year.

The post 3 reasons everyone is talking about Santos shares today appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben 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.

Shares in Elsight Ltd (ASX: ELS) were trading higher on Wednesday after the company, which has increased in value 10-fold over the past year, said it had won new contracts worth more than US$20 million.

The company said in a statement to the ASX on Wednesday that it had secured a new contract worth US$21.2 million ($32.1 million) for delivery across January to April next year, “reflecting strong beginning and forward demand for the Halo platform across multiple defence and uncrewed programs”.

Innovative communications technology

The company’s Halo platform is a communications technology for “beyond visual line of sight” drone operations, according to the Elsight website.

As the company says:

Elsight’s Halo beyond visual line of sight communication module ensures uncrewed aerial and ground systems (UAVs/UGVs) remain securely connected to their command centres, across any terrain, spectrum disruptions, or network limitations. Powered by proprietary multilink bonding technology, Halo seamlessly aggregates cellular, SATCOM, and other RF networks into a virtual pipeline with built-in redundancy, enabling continuous transmission of video, telemetry, and control data. Proven across hundreds of thousands of operational hours in the most demanding environments, Halo delivers the connection confidence that military, commercial, and public safety operators demand.

The company said for the calendar year to date, it had delivered a record 1000% year-on-year revenue growth, and the new order “accelerates the company’s move to sustained profitability”.

The company said the new order was with a European customer, and “consistent with prior engagements, the contract includes up-front payments to support working capital, with the remaining balance payable prior to delivery”.

Company building credibility

Elsight Chief Executive Officer Yoav Amitai said it was a major win for the company.

This contract further strengthens our visibility heading into 2026 and reflects the depth of engagement we are now seeing across defence and commercial markets. This, in addition to advancing to the next phase of the DIU Project G.I. program, together with the maturing opportunities across our global pipeline, demonstrates the trust being placed in Halo as a mission critical connectivity layer. We enter 2026 with strong momentum, expanding demand, and a clear foundation for continued growth.

The “DIU” project refers to a US Defense Innovation Unit project, which Elsight is taking part in, having performed successfully in two phases of the project to date.

As part of the Phase 3 program, “Elsight will further demonstrate and validate its HALO system’s operational readiness across real-world scenarios”, the company’s website says.

Elsight shares were 6.3% higher at $3.05 in early trade on Wednesday. The company’s shares have increased more than 10-fold over the past year from lows of 29 cents.

Elsight was valued at $630 million at the close of trade on Tuesday.

Bell Potter recently tipped Elsight as a defence company to watch; however, its share price target on the stock was only $2.

The post This 10-bagger drone technology company has just won a lucrative new defence contract appeared first on The Motley Fool Australia.

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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 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.

GPT Group (ASX: GPT) is in focus after the company announced a half-year distribution of 12 cents per security, fully unfranked, for the period ending 31 December 2025.

What did GPT Group report?

• Declared distribution of 12 cents per security for the six months to 31 December 2025
• Distribution will be paid on 27 February 2026
• Record date set as 31 December 2025; ex-date is 30 December 2025
• The distribution is 100% unfranked
• Tax component details to be included in the Annual Tax Statement for 2025

What else do investors need to know?

GPT Group’s latest announcement provides key dates for its upcoming distribution, helping investors plan for the payment and associated tax reporting. The payment, while unfranked, gives consistent income to security holders during the period.

Further tax detail will be made available on GPT’s website and in investor Annual Tax Statements in 2026, ensuring transparency on the tax effective nature of the income received.

What’s next for GPT Group?

GPT Group will finalise the distribution amount and confirm all tax components before the payment date. Investors can expect the annual tax statement in 2026 to outline all relevant breakdowns for their tax affairs.

As the group continues its property operations, market watchers will be interested to see how consistent distributions contribute to investor confidence over the next reporting period.

GPT Group share price snapshot

Over the past 12 months, GPT Group shares have risen 23% over the past 12 months, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 3% over the same period.

View Original Announcement

The post GPT Group declares 12 cent distribution for HY25 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 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.

Shares in Cedar Woods Properties Ltd (ASX: CWP) were trading almost 10% higher on Wednesday after the company announced its second profit outlook upgrade so far this financial year.

The property development company in October upgraded the guidance for its FY26 profits to be 15% better than last year’s net profit, up from the previous guidance of 10%.

The company has now upgraded this once again, and says FY26 full-year profit is likely to come in “at least” 20% higher than the full-year result for FY25, which was a net profit of $48.1 million, itself up 18.9% on the previous year.

Tailwinds for the business

The company said on Wednesday that its second upgrade of the year was due to “strong sales and price growth, as well as faster project delivery which is occurring at some projects”.

The company said this stronger result would also likely flow into more dividend payments to investors; however, it did not specify a potential dividend increase.

As the company said:

A record FY26 profit is expected for the company, which will in turn support increased dividend distributions. Earnings will be weighted to the first half.

The company said overall the business was travelling well, with growth targets being hit early.

Full year sales price growth expectations have been achieved in the first half of the year at many of the company’s projects, especially in Western Australia and Queensland which continue to experience very favourable conditions. South Australia’s conditions are steady, and Victoria is experiencing improved enquiry and sales levels. Overall, enquiry and sales volumes are at historically elevated levels for the company.

The company said there were structural tailwinds for its business, including housing supply shortfalls, low unemployment, and government support for homebuyers.

Cedar Woods added that recent speculation that interest rates might soon be heading higher did not seem to be deterring buyers, “with the national housing supply shortfall expected to continue to support sales volumes and pricing”.

The company added that it had a strong balance sheet, a diversified and high-quality development pipeline, significant presales, and “the board remains confident in the company’s ability to continue to deliver strong returns for shareholders”.

Cedar Woods said more detail on its outlook would be provided when it reported its half-year results on February 24.

Cedar Woods shares were 9.3% higher at $8.74 in early trade on Wednesday. The company was valued at $680.6 million at the close of trade on Tuesday.

The post Which property group has just upgraded its profit outlook for the second time this year? appeared first on The Motley Fool Australia.

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

The Growthpoint Properties Australia (ASX: GOZ) share price is in focus after the company announced a fully unfranked interim distribution of 9.2 cents per stapled security for the six months ending 31 December 2025.

What did Growthpoint Properties Australia report?

• Interim distribution of 9.2 cents per stapled security, unfranked
• Record date set for 31 December 2025
• Ex-dividend date is 30 December 2025
• Payment date scheduled for 27 February 2026
• Distribution relates to the half-year period ending 31 December 2025
• Dividend Reinvestment Plan (DRP) is in place for this distribution

What else do investors need to know?

This dividend will be paid entirely unfranked, meaning shareholders will not receive franking credits with this payment. The company has confirmed there is no conduit foreign income attached to this distribution.

Details on the tax components of the distribution will be provided on or around the payment date at Growthpoint’s website, helping investors with their tax obligations. Shareholders can also choose to participate in the Dividend Reinvestment Plan if they wish to increase their holdings automatically.

What’s next for Growthpoint Properties Australia?

Growthpoint Properties Australia continues to offer regular distributions to its investors, supported by its property portfolio. The company’s ongoing focus is on stable income generation and providing flexibility for investors through its DRP.

Looking ahead, investors will be watching for the full-year results and updates on the property market, which could impact future distributions and portfolio performance.

Growthpoint Properties Australia share price snapshot

Over the past 12 months, Growthpoint Properties Australia shares have risen 1%, trailing the S&P/ASX 200 Index (ASX: XJO) which as risen 3% over the same period.

View Original Announcement

The post Growthpoint Properties Australia declares 9.2c interim distribution 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 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.

S&P/ASX 300 Index (ASX: XKO) gold stock Southern Cross Gold Consolidated (ASX: SX2) is sliding today.

Southern Cross Gold shares closed yesterday trading for $8.69. In early morning trade on Wednesday, shares are changing hands for $8.51 apiece, down 2.1%.

For some context, the ASX 300 is down 0.3% at this same time.

If you’re unfamiliar with the miner, it’s a relative newcomer to the ASX in its current expanded structure. The new company was formed on 15 January 2025 following the merger of Canadian-listed Mawson Gold and ASX-listed Southern Cross Gold Ltd.

Southern Cross Gold Consolidated then started trading on the ASX on 17 January.

With the gold price then surging to new record highs and the miner achieving its own operational successes, shares in the ASX 300 gold stock have leapt 124% since 17 January.

And investors who bought the miner at the 28 February close will be sitting on gains of 149.6%.

Here’s what’s happening today.

ASX 300 gold stock hits high-grade intersections

Southern Cross Gold shares are slipping despite the miner reporting on the latest promising exploration results at its 100%-owned Sunday Creek Gold-Antimony Project, located in Victoria.

The results come from 12 drill holes.

The ASX 300 gold stock highlighted drillhole SDDSC192, which it said is the deepest east west oriented hole drilled into the Apollo prospect to date. That hole returned a top result of 3.6 metres at 14.7 grams of gold equivalent per tonne from 708.6 metres down.

The miner said that these high-grade results confirm the system continues to deliver exceptional gold values in the deepest holes into the system.

What did management say?

Commenting on the results that have yet to lift the ASX 300 gold stock today, Southern Cross CEO Michael Hudson said, “SDDSC192 is our deepest east-west hole into Apollo and delivered 3.6 m @ 14.7 g/t AuEq, including a high-grade hit of 0.21 m @ 236 g/t Au, proving the system remains robust and open at depth.”

Hudson added:

Stepping down 80 metres at Apollo Deeps, we intersected 11 vein sets across Apollo East and Apollo Deeps, demonstrating exceptional continuity of this large-scale, high-grade gold antimony system. We’ve also uncovered a new mineralised zone between the Gladys and Golden Orb Faults that returned 0.3 m @ 45.9 g/t AuEq, opening up 70 metres of untested ground to the south.

Individual samples returned exceptional antimony [Sb] grades of 25.1% and 17.4% Sb alongside high-grade gold values, reinforcing Sunday Creek’s significance as a critical antimony project. Apollo continues to grow in every direction we drill, and with mineralisation open at depth and along strike, we’re only starting to see system’s potential to the east.

The post Up 150% since February, ASX 300 gold stock reports ‘robust’ high-grade results appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben 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.

GrainCorp Ltd (ASX: GNC) shares are having a day to forget on Wednesday.

In morning trade, the ASX 200 stock crashed as much as 20% to $6.70.

The grain exporter’s shares have since recovered a touch but remain down 12% at the time of writing.

Why is this ASX 200 stock crashing?

Investors have been hitting the sell button today after it announced the sale of a non-core asset and released a weaker than expected trading update.

According to the release, GrainCorp has agreed to sell GrainsConnect Canada to Parrish & Heimbecker.

The release notes that the decision to sell the Canadian grain handling joint venture followed a strategic review triggered by the challenging financial performance at the business.

GrainCorp and its joint venture partner assessed recent results, global grain and oilseed market conditions, and structural changes in the Canadian market before determining that a sale was the most value-accretive option available

The transaction values GrainsConnect at C$150 million on a cash-free, debt-free basis, with an additional payment to be made for net working capital at completion.

GrainCorp expects to recognise a loss on sale of approximately $5 million to $10 million, though it noted that the transaction does not affect its through-the-cycle EBITDA target of $320 million

Importantly, GrainCorp will retain its Canadian marketing offices in Winnipeg, which will continue to support customers and provide market intelligence to the broader group. Completion of the sale is expected in the first half of 2026

The ASX 200 stock’s managing director and CEO, Robert Spurway, commented:

This transaction reflects GrainCorp’s ongoing commitment to portfolio optimisation and our readiness to rationalise assets where necessary to improve returns. Divestment of GrainsConnect allows GrainCorp to focus on alternative value-creating opportunities that are in the best interests of our shareholders

Softer outlook

Alongside the divestment, GrainCorp provided a trading update on the 2025–26 east coast Australian winter harvest, which appears to have weighed heavily on investor sentiment.

The company said harvest activity is largely complete in Queensland and northern New South Wales, but ongoing weather interruptions continue to affect southern New South Wales and Victoria. As a result, GrainCorp expects lower receival volumes year on year

Preliminary estimates suggest total FY 2026 receivals of 11 to 12 million tonnes, down from 13.3 million tonnes in FY 2025. GrainCorp also highlighted that prevailing commodity prices have reduced grain coming to market and, when combined with near-record global grain and oilseed production, are placing continued pressure on margins for grain handlers

An update on its earnings guidance will be provided at its annual general meeting in February.

The post Guess which ASX 200 stock is crashing 20% today appeared first on The Motley Fool Australia.

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

The sharp about-face with regard to Australian interest rates means a key tailwind for domestic cyclical stocks has been removed, according to the analysts at Wilsons Advisory.

With that in mind, they’ve examined which stocks have healthy offshore earnings and identified two that they see as providing good value at the moment.

In terms of Australian stocks, the Wilsons team notes that companies in the retail, media, consumer services, building materials, and capital goods sectors tend to underperform in the lead-up to interest rate rises, which some experts suggest may occur as soon as February.

The Wilsons team go on to say:

As such, we recommend steering clear of domestic cyclicals at this juncture. In this environment, our preference within the industrial (non-resources) cyclicals category is towards offshore earners – particularly companies with material US-based earnings – where macro dynamics are more supportive of cyclicals.

With the US Federal Reserve still likely to cut rates, rather than increase them as our central bank is likely to, “the US economy provides a broadly supportive backdrop for US-exposed cyclicals”.

Wilsons said they put a filter on ASX-listed companies looking for strong market positions, high returns on invested capital, and genuine structural growth stories, and came up with two stock picks which they say “offer attractive double-digit earnings growth prospects and trade at compelling valuations following recent share price weakness”.

Aristocrat Leisure Ltd (ASX: ALL)

With Aristocrat shares falling about 30% since early this year after two “underwhelming” profit results, Wilsons says the stock is looking like good value at the moment.

And despite being sold off after the most recent full year results in November, Wilsons said there was still “plenty to like” in the numbers.

As they said:

Headline EBITA was 2% ahead of consensus, the group returned to double-digit earnings growth in the second half, and game performance continues to track well. We view the recent share price weakness as overdone given our thesis remains intact and we remain confident the business is well placed to deliver double digit earnings growth over the medium and long-term.

Wilsons does not have a price target on the shares, but says Aristocrat’s valuation at current levels is looking cheap compared with its historical performance against the ASX All Industrials Index.

In our view, at current levels the market undervalues Aristocrat, given its above-market (mid-teens) medium term earnings per share growth outlook and the quality of the business as a global market leader with a top-quartile return on invested capital and a durable competitive moat. Accordingly, with our investment thesis intact and the US macro-backdrop increasingly supportive, recent share price weakness presents an attractive buying opportunity.

CAR Group Ltd (ASX: CAR)

Shares in CAR Group have fallen about 25% since the company reported its full-year result in August, Wilsons said, “despite delivering a solid outcome featuring double-digit EBITDA growth in line with expectations”.

The Wilsons team say the share price falls largely reflect a broad de-rating across technology shares, and there are also some concerns about AI-disruption, “specifically the risk that AI agent-led discovery could reduce site traffic – have weighed on the online classifieds sector more broadly”.

We view these concerns as largely sentiment-driven and overblown given CAR’s firmly entrenched competitive moat. Importantly, our investment thesis remains intact, with CAR Group remaining in a fundamentally strong position. We remain confident the group will deliver mid-teens earnings per share growth over the medium-term.

The Wilsons team says the company’s Australian Carsales business provides “a steady ballast” for the group,  while its international businesses were key to the growth outlook.

These businesses operate in large, structurally growing online classifieds markets that are significantly underpenetrated relative to Carsales, with penetration rates in the low to mid-single digits, supporting a long runway for growth.

Wilsons says CAR Group’s valuation on a price-to-earnings (P/E) basis is currently below its five and 10-year averages, and “accordingly, with its earnings growth outlook remaining attractive, CAR’s undemanding valuation offers an attractive buying opportunity”.

The post Wilsons Advisory names two quality cyclicals with good offshore earnings appeared first on The Motley Fool Australia.

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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 no position in any of the stocks mentioned. 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.

Treasury Wine Estates Ltd (ASX: TWE) shares are on the slide on Wednesday.

In morning trade, the wine giant’s shares are down 17% to $4.57.

Why are Treasury Wine shares crashing?

Investors have been selling the company’s shares after the wine giant released an investor update and outlook for the first half of FY 2026.

That update revealed how trading conditions in key markets are faring and outlines a series of strategic actions being taken by the board and new CEO to protect its brand and position the Treasury Wine for longer-term growth

Softer conditions in key markets

According to the release, trading conditions have weakened in recent months, particularly in the US and China. As a result, near term improvement is now considered unlikely, and expectations for sales volume growth have been moderated

The company noted that customer inventory levels in both markets are currently above optimal levels. In China, parallel import activity has also been disrupting pricing for its flagship Penfolds brand, prompting management to take decisive action.

Strategic actions to protect Penfolds

To address these issues, Treasury Wine plans to reduce customer inventory holdings in the US and China over a two-year period and significantly restrict shipments that are contributing to parallel imports in China.

Management believes that these steps will protect brand equity and support healthier sales channels over time

Despite the near-term headwinds, Penfolds continues to deliver depletions growth in several markets, led by products such as Bin 389 and Bin 407. Depletions in China rose 21% in the three months to October, although growth is now expected to slow from earlier plans

Outlook

Treasury Wine now expects its earnings before interest and tax (EBITS) to be between $225 million and $235 million in the first half of FY 2026, with a stronger performance anticipated in the second half of the year

Leverage is expected to rise above the company’s target range in the near term as inventory is rebalanced, peaking at around 2.5x at the half year.  However, management confirmed it has a range of options available to support its balance sheet. This includes reviewing dividends, capital expenditure, and non-core assets.

Transformation program underway

Following the commencement of its new CEO, Sam Fischer, Treasury Wine has launched a company-wide transformation program known as TWE Ascent.

This initiative targets portfolio optimisation, operating model improvements, and cost reductions of approximately $100 million per year. The benefits from TWE Ascent are expected to begin flowing from FY 2027

Commenting on the update, Fischer said the company is navigating near-term challenges while remaining confident in its long-term foundations. He said:

We are currently experiencing category weakness in the US and China, two of our key growth markets, which will impact our business performance in the near-term. Maintaining the strength of our brands and the health of their respective sales channels is of critical importance to our Management team and our Board as we navigate through the current environment.

TWE is a high-quality business with strong foundations in place for sustainable, profitable growth. Our powerful portfolio of brands, leading market positions in attractive growth markets, unparalleled supply chain and highly engaged, capable team are all considerable strengths that position us strongly to deliver sustainable, profitable growth over the long-term.

The post Why are Treasury Wine shares crashing 17% today? appeared first on The Motley Fool Australia.

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

The GrainCorp Ltd (ASX: GNC) share price could be in focus today after the company announced the sale of its GrainsConnect Canada joint venture and provided a trading update, highlighting an expected drop in receival volumes for FY26 compared to last year.

What did GrainCorp report?

• Sale of GrainsConnect Canada JV to Parrish & Heimbecker for C$150 million (cash-free, debt-free basis)
• GrainCorp expects to recognise a loss on sale of approximately A$5–10 million
• Preliminary FY26 receival volumes estimated at 11.0–12.0 million tonnes (FY25: 13.3 million tonnes)
• No impact to through-the-cycle EBITDA of A$320 million
• Full earnings guidance to be provided at AGM on 18 February 2026

What else do investors need to know?

The GrainsConnect sale follows a strategic review after a period of challenging financial performance for the joint venture. GrainCorp and its partner considered several alternatives before deciding on the sale as the most value-positive option.

GrainCorp’s Canadian marketing offices in Winnipeg are not part of the transaction and will continue operations, maintaining support for customers and delivering market insights to the wider team.

Harvest activity for the 2025–26 winter crop is mostly complete in Queensland and northern NSW, but weather disruptions continue in other regions. The company is focusing on cost management due to lower expected crop volumes and ongoing margin pressure.

What did GrainCorp management say?

Robert Spurway, Managing Director and CEO said:

This transaction reflects GrainCorp’s ongoing commitment to portfolio optimisation and our readiness to rationalise assets where necessary to improve returns. Divestment of GrainsConnect allows GrainCorp to focus on alternative value-creating opportunities that are in the best interests of our shareholders.

What’s next for GrainCorp?

Completion of the GrainsConnect transaction is anticipated in the first half of 2026, pending standard conditions. GrainCorp says it remains focused on cost control and supporting customers, with further clarity on earnings to be announced at the February AGM.

While crop receival volumes are down due to market and weather pressures, the company’s core EBITDA guidance is unchanged. GrainCorp’s strategy includes ongoing optimisation of its portfolio and supporting its Australian and global agribusiness operations.

GrainCorp share price snapshot

Over the past 12 months, GrainCorp shares have risen 12%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 3% over the same period.

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The post GrainCorp sells GrainsConnect Canada and updates on FY26 crop volumes 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 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.