Category: Stock Market

Telstra Group Ltd (ASX: TLS) shares have been hovering near record highs since the start of April. At the time of writing they’re trading around $5.34, just shy of a nine-year peak.

Telstra shares have experienced a solid run. The telco is up almost 10% year to date and 22% over the past 12 months. That comfortably outpaces the broader S&P/ASX 200 Index (ASX: XJO), which has gained 3% in 2026 and 15% over the same period.

So, has Telstra already done the heavy lifting, or is there still more upside ahead?

Unmatched mobile scale

Start with the positives. Telstra remains Australia’s dominant telecommunications provider, with unmatched scale across mobile networks and infrastructure. That leadership translates into real pricing power and the company is actively using it.

Recent price increases on mobile plans are a key driver. Thanks to relatively sticky customers, those higher prices are expected to flow through to both revenue and margins. In a high-cost environment, that ability to pass on increases is a major advantage.

Telstra also benefits from operating in a defensive sector. Connectivity is no longer discretionary. Whether economic conditions are strong or weak, consumers and businesses continue to pay for mobile and internet services. That makes the company a reliable option during periods of market volatility.

Longtime dividend favourite

Income is another major part of the appeal. Telstra shares have long been a favourite among dividend investors, supported by consistent cash flow and a mature operating model. Its payout ratio sits close to 100% of earnings, highlighting its focus on returning capital to shareholders.

The company pays two dividends annually. Its most recent interim dividend came in at 10.5 cents per share, largely franked, and management is guiding for a full-year dividend of 20 cents for FY26. That combination of yield and reliability continues to attract income-focused investors.

Slow steady expansion

But there are limits to the story of Telstra shares.

Telstra is not a high-growth business. As a mature operator, its earnings expansion tends to be gradual rather than explosive. Investors shouldn’t expect rapid capital appreciation, this is more about steady compounding.

Competition also remains a constant pressure. Rivals continue to target market share across both mobile and broadband. While Telstra’s network advantage is significant, it isn’t unassailable. Any misstep could give competitors an opening.

There’s also a ceiling to pricing power. Push prices too aggressively, and even loyal customers may start to reassess their options. Managing that balance will be critical.

So, what’s the verdict?

Telstra shares have already delivered strong gains, and while the outlook remains stable, upside from here could be more modest. Most brokers currently sit on a hold rating, with an average price target of $5.26, slightly below the current share price.

That said, Macquarie Group Ltd (ASX: MQG) analysts take a more optimistic view. They rate Telstra as an outperform, expecting recent price increases to support both earnings and dividends. Their 12-month price target of $5.64 implies modest upside of around 5.5% and could bring the total earning, including a yield of roughly 3.7, to over 9%.

In short, Telstra remains what it has always been: a dependable, income-generating stock with defensive qualities. Just don’t expect it to turn into a rocket ship anytime soon.

The post Up 22%, are Telstra shares still worth a buy? appeared first on The Motley Fool Australia.

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• Why I think ‘boring’ ASX shares could make you richer over time

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

Time can be one of the most powerful advantages an investor has. The longer you stay invested, the longer you can benefit from compounding.

I focus on ASX shares that have strong foundations and the ability to grow alongside the markets they serve. These are the kinds of businesses that can justify a long-term place in a portfolio.

Here are three ASX shares I’d feel comfortable holding for the next decade.

Goodman Group (ASX: GMG)

Goodman Group is a property company that sits at the centre of a powerful structural trend.

Its portfolio is closely tied to logistics, warehousing, and increasingly data centres, which are essential to how goods and data move around the world.

What stands out to me is how its assets connect to long-term demand.

E-commerce continues to reshape supply chains, while the growth of cloud computing and artificial intelligence (AI) is driving demand for data infrastructure. Goodman has positioned itself to support both.

The company’s integrated model also adds another layer.

It develops, owns, and manages assets, which allows it to capture value across multiple parts of the lifecycle. Over time, that can support both earnings growth and asset expansion.

TechnologyOne Ltd (ASX: TNE)

TechnologyOne is a business built on consistency.

It provides enterprise software to government, education, and large organisations, with a model that centres on recurring revenue and long-term customer relationships.

What I find attractive is the predictability of that model. As more customers move onto its platform and remain there, revenue builds steadily. That creates a strong foundation for growth.

There is also a clear pathway for expansion.

The company continues to deepen its presence with existing customers while growing internationally. Over a long period, that combination can support compounding earnings.

Macquarie Group Ltd (ASX: MQG)

Macquarie brings a different type of exposure. It operates across asset management, infrastructure, renewable energy, and financial services, with a global footprint that continues to evolve.

What I think stands out is its ability to allocate capital. The company has a long history of identifying emerging opportunities and building businesses around them. That adaptability allows it to grow across different cycles.

Macquarie also provides exposure to real assets and long-term investment themes, which can add a different dimension to a portfolio.

Foolish takeaway

When I think about holding ASX shares for a long time, I look for businesses that can keep progressing without needing constant reinvention.

I think Goodman, TechnologyOne, and Macquarie fit that mindset.

The post 3 ASX shares I’d feel comfortable holding for the next decade appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino 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 Goodman Group, Macquarie Group, and Technology One. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended Goodman Group and Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

I believe one of the best investment strategies when it comes to ASX share investing is to buy and hold, and then let the magic of compounding run its course.

Compounding is powerful because it means the numbers can deliver growth on growth as the years go by. After several years, the business could be generating dramatically bigger revenue and earnings.

The two ASX share below have significant growth plans, and I’m excited by what they could achieve.

L1 Group Ltd (ASX: L1G)

L1 Group describes itself as an alternative investment manager that is “committed to providing best-in-class investment products that deliver exceptional risk-adjusted returns” for investors.

Two of its most well-known investment products are listed investment companies (LICs) which provide L1 Group with locked-in funds under management (FUM). Those LICs are L1 Long Short Fund Ltd (ASX: LSF) and L1 Global Long Short Fund Ltd (ASX: GLS).

I’m expecting the ASX share to generate revenue growth due to attracting new FUM into existing strategies, launching new funds and delivering investment growth with its existing funds.

Fund managers can be very scalable because it doesn’t take 10% more staff and a 10% bigger office to manage 10% more FUM. Therefore, I’m expecting profit margins to increase.

L1 notes that its client base is extremely diversified, with 91% of revenue coming from non-institutional clients, which I think makes it less vulnerable if short-term fund performance were disappointing.

The fund manager has also talked about launching joint ventures and acquiring existing investment managers, which add further growth potential.

According to the projection on Commsec, the L1 Group share price is valued at 20x FY27’s estimated earnings.

Sigma Healthcare Ltd (ASX: SIG)

Sigma is best known as the owner of pharmacy giant Chemist Warehouse, which is growing rapidly and has international ambitions.

In the FY26 first-half, Australian Chemist Warehouse-branded store sales grew 17.2%, with like-for-like sales growth of 15%. This shows that the business is delivering excellent levels of organic growth considering it’s a physical store retailer.

Chemist Warehouse is growing its own brands (including Wagner) and expanding its Australian store network, which are pleasing tailwinds for the business in its core markets, which could help it deliver profit improvement for many years ahead.

Internationally, the ASX share is expanding in New Zealand and Ireland at a fast pace. In the first half of FY26, it opened 12 new stores and expects to open another 11 in the second half of FY26. In HY26, Ireland sales rose 49.6% and New Zealand sales increased 22.4%.

I’m not sure what its local and global store network will look like in 10 years from now, but I’m optimistic it will be significantly larger.

According to the projection on Commsec, the Sigma share price is valued at 33x FY28’s estimated earnings.

The post 2 top ASX shares to buy and hold for the next decade appeared first on The Motley Fool Australia.

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

Building long-term wealth on the share market doesn’t require constant trading or chasing the latest trend.

In many cases, it comes down to identifying high-quality businesses with lasting advantages and holding them as they grow over time.

With that in mind, here are three ASX 300 shares that could be worth considering for the next decade.

Breville Group Ltd (ASX: BRG)

Breville has quietly built one of the most impressive global consumer brands to come out of Australia.

At the centre of its success is coffee, and more specifically, its premium at-home coffee machines. As more consumers look to recreate cafe-quality coffee in their own kitchens, Breville has been a major beneficiary of this shift.

This isn’t just a short-term trend either. The company’s half-year results in February showed that coffee continues to be a key growth driver, with strong double-digit growth helping push revenue to a record $1.1 billion for the half.

What makes Breville particularly attractive is how it has turned a simple appliance into an ecosystem. From machines to grinders and even its Beanz coffee subscription platform, it is embedding itself deeper into the daily routines of its customers.

Combined with global expansion into markets like China, Korea, and the Middle East, Breville appears to have a long runway for growth.

REA Group Ltd (ASX: REA)

Another ASX 300 share that could be worth considering as a buy and hold investment is REA Group.

As the owner of realestate.com.au, it holds a leading position in Australian property listings, which is a market where scale and network effects are incredibly difficult to disrupt.

Even during periods of softer housing activity, REA has shown an ability to grow earnings through pricing power and premium products for agents. Over time, this combination of market leadership and monetisation strength has underpinned consistent and robust earnings growth.

Looking ahead, its expansion into adjacent services such as data, financing, and developer tools provides additional avenues for growth beyond simple listings.

For a long-term investor, REA Group offers exposure to a high-quality digital marketplace with strong competitive advantages and a track record of execution.

Temple & Webster Group Ltd (ASX: TPW)

A third ASX 300 share that could be a top buy and hold option is Temple & Webster.

It has established itself as a leading online-only furniture and homewares retailer in Australia. While the category has historically been dominated by physical stores, consumer behaviour is gradually shifting.

Temple & Webster’s asset-light model gives it flexibility that traditional retailers often lack. It can scale its product range quickly, respond to trends, and operate without the cost burden of a large store network.

Although earnings can be more cyclical due to housing and consumer spending trends, the long-term direction of travel appears favourable. As online penetration in furniture continues to increase, Temple & Webster is well positioned to capture a growing share of the market.

The post 3 ASX 300 shares to buy and hold for the next decade appeared first on The Motley Fool Australia.

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

S&P/ASX 200 Index (ASX: XJO) shares closed at 8,953.3 points on Monday, up 0.07%.

On The Bull this week, three experts provide their assessment of three sector giants in their respective market sectors.  

Here’s what they think of these ASX 200 large-cap shares in the technology, consumer staples, and finance sectors.

Xero Ltd (ASX: XRO)

The Xero share price closed at $82.15 yesterday, up 0.21% for the day and down 46% over the past 12 months.

Xero has been caught up in the prolonged tech sector sell-off between August 2025 and March this year.

And it was big.

The S&P/ASX 200 Information Technology Index (ASX: XIJ) lost 48% of its value between 29 August 29 and 30 March.

Investors sold their tech stocks on fears that artificial intelligence (AI) may do lasting damage to many companies.

The Xero share price fell 56.5% between 29 August and 30 March.

However, things appear to be turning around.

ASX 200 tech shares stormed 13% higher last week, with Xero shares soaring almost 15%.

Christopher Watt from Bell Potter says Xero is a high quality business that he expects to deliver sustained double-digit earnings growth.

Watt explains his buy rating on Xero shares:

We believe concerns related to the impact of artificial intelligence are overblown, and the share price sell-off presents a compelling buying opportunity.

Watt says Xero is experiencing strong subscriber growth and increasing average revenue per user through its product expansion.

Xero continues to improve operating leverage as the business scales up globally, with margins expected to expand in response to cost discipline.

Importantly, Xero is transitioning from a growth-at-all-costs model to one focused on profitability and cash generation, which should support a re-rating in valuation.

Woolworths Group Ltd (ASX: WOW)

The Woolworths share price rose 1.9% to $37.49 yesterday.

The ASX 200 consumer staples giant has risen 40% over six months.

John Athanasiou from Red Leaf Securities has a hold rating on Woolworths shares.

He explains:

Australia’s largest supermarket operator offers stable defensive earnings and a strong balance sheet.

However, margin pressure from cost inflation and competitive discounting limits growth prospects.

WOW is a reliable long term holding, but lacks significant upside catalysts in the absence of operational improvements or digital expansion initiatives.

Commonwealth Bank of Australia (ASX: CBA)

The CBA share price rose 1.1% to $180.15 on Monday.

CBA shares experienced a dramatic drop last year after hitting a record high of $192 in June.

They’ve been fighting back this year, rising 12% in the year to date.

Dylan Evans from Catapult Wealth thinks CBA shares are overvalued.

Evans has a sell rating on the ASX 200 bank stock, explaining:

CBA is a high quality company, with a strong management team and consistent track record.

However, in our view, the bank was recently trading on a lofty price-earnings ratio well above its long term average and that of its competitors. This multiple expansion has driven much of CBA’s share price outperformance in the past five years.

However, the company’s high multiple is supported by only single digit growth and a recent modest dividend yield below 3 per cent on April 16.

The post Buy, hold, sell: Xero, Woolworths, CBA shares appeared first on The Motley Fool Australia.

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

If I had to pick one ASX dividend share to own through every market cycle, it would be Transurban Group (ASX: TCL).

This is not a high-flying growth story or a market darling chasing headlines. It’s something far more valuable for long-term investors: predictability.

When you’re building a portfolio designed to last decades, boring can be beautiful. And Transurban is about as close as it gets to “set and forget” on the ASX.

Operator of city’s arteries

At its core, this $42 billion ASX dividend share is a major toll road operator, owning and running critical motorways across Australia and North America.

These are not optional assets. They are the arteries of modern cities, used every day by commuters, freight operators, and essential services. That level of necessity creates a powerful foundation of recurring demand. Because drivers don’t simply stop using roads in a downturn, the company’s cash flows tend to be remarkably resilient.

On top of that, many of its toll roads operate under long-term concession agreements, with pricing often linked to inflation. That means revenue doesn’t just stay stable, it can gradually grow even when economic conditions are uncertain.

Strong payout record

This is exactly what income investors look for in an ASX dividend share: durability first, growth second.

Transurban has also built a strong track record of returning capital to shareholders through consistent distributions. While the yield moves with the share price and investment cycle, the underlying focus remains the same—sustainable payouts supported by real, tangible infrastructure assets rather than financial engineering.

For FY26, the company has guided to a distribution of 69 cents per security, implying a forward yield of around 4.9%. It recently paid an interim distribution of 34 cents per security, unfranked, reinforcing its steady payout rhythm.

Importantly, this is not a static business. Transurban continues to reinvest heavily in expanding and upgrading its road networks. As cities grow, congestion worsens, and infrastructure demands increase, its assets become even more valuable. That creates a long-term growth engine layered on top of its defensive earnings base.

Foolish Takeaway

Of course, no investment is without risk. Transurban carries significant debt, which is typical for infrastructure operators but does make it sensitive to interest rate changes. Higher borrowing costs can weigh on returns and investor sentiment.

Regulatory risk is also ever-present, as toll pricing and concession terms ultimately depend on government agreements. And while traffic volumes are generally stable, they are not immune to economic slowdowns or major disruptions.

Even so, the long-term case for the ASX dividend share remains compelling. This is a business built on essential infrastructure, supported by population growth, urbanisation, and inflation-linked revenue streams. It doesn’t require perfect conditions to perform. It simply requires people to keep moving.

The post Which ASX dividend share could you buy and hold forever? appeared first on The Motley Fool Australia.

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

On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week with a small gain. The benchmark index rose 0.1% to 8,953.3 points.

Will the market be able to build on this on Tuesday? Here are five things to watch:

ASX 200 set to rise

The Australian share market looks set for a positive session on Tuesday despite a poor start to the week in the US. According to the latest SPI futures, the ASX 200 is poised to open the day 28 points or 0.3% higher. On Wall Street, the Dow Jones was down slightly, the S&P 500 fell 0.25%, and the Nasdaq dropped 0.25%.

Oil prices rise

It could be a good session for ASX 200 energy shares Karoon Energy Ltd (ASX: KAR) and Santos Ltd (ASX: STO) after oil prices stormed higher overnight. According to Bloomberg, the WTI crude oil price is up 5.8% to US$88.73 a barrel and the Brent crude oil price is up 5.3% to US$86.95 a barrel. Rising tensions in the Strait of Hormuz sent oil prices charging higher.

Buy WiseTech shares

The team at Bell Potter remains bullish on WiseTech Global Ltd (ASX: WTC) shares. This morning, the broker has retained its buy rating on the logistics solutions technology company’s shares with a trimmed price target of $78.85 (from $83.75). It said: “We note that WiseTech is currently trading at >30% discount to Technology One on an EV/EBITDA basis in both FY26 and FY27. While we believe some sort of discount is now warranted, we believe the current discount is excessive given WiseTech has greater forecast earnings growth over the medium term and also a similar strong competitive moat due to 30 years of proprietary data, deeply embedded software and high switching costs.”

Gold price falls

ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Ramelius Resources Ltd (ASX: RMS) could have a subdued session on Tuesday after the gold price pulled back overnight. According to CNBC, the gold futures price is down 0.9% to US$4,835.2 an ounce. US-Iran tensions and a stronger US dollar put pressure on the gold price.

Rio Tinto Q1 update

Rio Tinto Ltd (ASX: RIO) shares will be on watch on the ASX 200 on Tuesday when the mining giant releases its first-quarter update. According to a note out of Morgans, its analysts are expecting Pilbara iron ore shipments of approximately 71.3Mt. This will be down 20% quarter on quarter and short of the consensus estimate of 77.8Mt. Elsewhere, a mixed result is expected for Rio Tinto’s copper operations.

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

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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.

Finding stocks that can realistically double in a year is not easy. Most of the time, those kinds of returns come with higher risk or rely on a big change in sentiment.

Right now, that shift is starting to show up in parts of the ASX tech sector.

After a sharp sell-off through late 2025 and early 2026, several high-quality names have fallen well below previous highs. In some cases, the underlying business has kept improving while the share price moved the other way.

That gap is what stands out.

If I were looking for positions with strong re-rating potential from current levels, these are the three ASX stocks I would focus on.

WiseTech Global Ltd (ASX: WTC)

WiseTech is a clear example of sentiment disconnecting from business performance.

The company continues to expand its CargoWise platform globally, with revenue lifting strongly following the e2open acquisition. In its latest result, revenue rose 76% to $672 million, while EBITDA increased 31%.

At the same time, the share price has been under heavy pressure. The stock is still well below its 2025 highs after falling rapidly over the past year.

Some of that reflects margin compression tied to acquisitions and governance concerns. But those are not structural issues with the core platform.

CargoWise remains deeply embedded across global logistics networks. Once in place, it is difficult to replace, which supports recurring revenue and pricing power.

If sentiment stabilises, this is the type of stock that can move quickly.

Pro Medicus Ltd (ASX: PME)

Pro Medicus sits at the premium end of the ASX tech space, but the business model continues to justify that position.

The company delivers medical imaging software to major hospital networks, mainly in the United States. Its contracts are long-dated, high-margin, and often include minimum usage volumes.

That creates strong revenue visibility.

Recent results showed revenue up 28.4% and EBIT up 29.7%, with more than $1 billion in forward contracted revenue.

The key point here is consistency. Growth has remained strong even as the share price pulled back over the past year.

It is a high-quality operator that has been repriced with the sector.

Xero Ltd (ASX: XRO)

Xero offers a different angle, but the same setup.

The company continues to grow its global subscriber base, with users reaching 4.59 million in the latest half. Revenue increased 20% to $1.19 billion, with improving EBITDA margins.

At the same time, the share price has fallen heavily alongside the broader tech sell-off.

There are still execution risks, particularly around US expansion and competition. But the core model remains strong.

Xero generates recurring subscription revenue and continues to lift pricing through product improvements.

If growth holds and sentiment shifts, there is room for the multiple to expand again.

Foolish takeaway

All three of these companies have seen large drawdowns despite continuing to grow.

This is not about finding unknown ASX small-caps. These are established businesses that have already proven their models at scale.

The risk is that sentiment stays weak or growth slows.

But if the market continues rotating back into tech, these are the types of companies that are likely move the most.

Personally, I see this more as a sentiment reset than a change in fundamentals. That is why I would be looking here first.

The post Want to double your money in 2026? This is what I’d buy appeared first on The Motley Fool Australia.

More reading

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Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended WiseTech Global and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has positions in and has recommended WiseTech Global and Xero. The Motley Fool Australia has recommended Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Over the past six or seven weeks, I have begun to reassess my ASX share portfolio and stress-test it for the worst possible scenario when it comes to the ongoing conflict between Israel, the United States, and Iran. After all, I’m a ‘hope for the best, prepare for the worst’ kind of guy when it comes to these situations. And this latest Middle East conflict is throwing up some pretty nasty potential consequences.

After a comprehensive reevaluation of my portfolio, I have realised that a mistake I made years ago when building it is still haunting it. This mistake is one that I have decided to dedicate 2026 to correcting.

A personal note here, one of my weaknesses is a love of a good collection. I am a collector at heart, and have been my entire life. There are few things I can resist less than a full collection, whether it be a book series or a set of trading cards. Or stocks.

When I first began building my stock portfolio, I couldn’t help but try to own shares of every high-quality company I could find. If an item was in the supermarket, or contributed even a few stitches to the fabric of popular culture, I had to own shares of the company that made it.

A few years ago, I realised that this strategy perhaps wasn’t the most prudent one. That revelation came when auditing my portfolio revealed that I owned more than a hundred different positions, all rather small. That is a ludicrous amount that prohibited the kind of dedication that is necessary for stock market success.

My 2026 ASX share portfolio goal

Over subsequent years, I sold down many of those positions that, while I thought were decent companies, I lacked a deep knowledge of. These ranged from Nike, PepsiCo, and Unilever, to Kraft Heinz, Adobe, and Hasbro.

Most of these names are high-quality companies whose products can be found all over the world. But I simply had too many of them to keep track of. My love of collecting had become a burden on my finances.

Today, my portfolio is simpler, more nimble and easier to keep an eye on. However, even though I have sold off many holdings over the past few years, it is still too large. Here at the Fool, we usually tell investors that they should aim for somewhere between 15 and 25 companies in a typical individual stock portfolio. Unfortunately, I still don’t have my money where our mouths are, and I currently own a lot more than 25 positions. But it is far less than the triple-digit figure I had a few years ago, so progress is being made.

One of my goals over the rest of 2026 is to reduce this portfolio further. Boiling it down, as it were. One of the things I have learned over my years in the market is that the best way to harness the power of compounding is to find the rare companies that can consistently compound their own revenues and earnings over time and buy as many shares as one can. There are only a handful of companies in my portfolio that I have faith in this endeavour. I’ll be spending this year adding to them, and perhaps selling down the rest. In investing, as with many things, often less is more.

The post My ASX share portfolio: Overcoming a common investing mistake appeared first on The Motley Fool Australia.

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If you are on the lookout for ASX shares, then it could be worth hearing what Bell Potter is saying.

It recently named a number of smaller companies that it believes offer attractive upside.

Here are three ASX shares that have been given the thumbs up:

AMA Group Ltd (ASX: AMA)

This accident repair business is one of Bell Potter’s preferred smaller ASX shares.

The broker sees value in AMA Group as the company continues to improve following a difficult period, with its scale and integration capability giving it leverage to better conditions.

Commenting on AMA Group, Bell Potter said:

AMA Group is the largest accident repair group in Australia with approximately 138 vehicle panel repair shops. The company also has a presence in New Zealand with 5 vehicle panel repair shops. AMA sold its manufacturing business in 1HFY21 and its remanufacturer of automatic transmissions – called Fluid Drive – in 1HFY23 so is now almost a pure play accident repair group. The only part of the company outside of panel repair is the Supply business – called ACM parts – which sells a range of new, aftermarket and recycled parts and consumables.

This business now, however, is flagged for sale. The company has a strong track record of successful integrations, and any announcements could trigger a rerating from where it currently trades at a discount to its long-term valuation average.

Nick Scali Ltd (ASX: NCK)

This furniture retailer is another ASX share that Bell Potter is positive on.

It likes Nick Scali due to its store rollout plans and expansion opportunities, particularly in the UK. Bell Potter explains:

Nick Scali is an Australian retailer specialising in household furniture and related accessories, operating under the core Nick Scali brand as well as the Plush banner. >90% of sales are completed in-store, with the company maintaining a substantial physical presence with over 100 showrooms across Australia and New Zealand, and has recently expanded into the UK, which now contributes around 8% of total revenue.

Looking ahead, the key growth drivers include the continued roll-out of Nick Scali stores in the UK, supported by the refurbishment of acquired Fabb locations, and the ability to leverage the group’s established supply base to drive scale efficiencies and margin expansion.

Universal Store Holdings Ltd (ASX: UNI)

This youth fashion retailer is also rated positively by the broker. Bell Potter sees appeal in Universal Store’s rollout strategy, quality metrics, and valuation. The broker said:

Universal Store Holdings is a leading youth focused apparel, footwear and accessories retailer in Australia. UNI will continue to increase store numbers over the next few years, supporting earnings growth of 11% p.a. Valuation looks attractive, trading on a forward P/E of ~13.4x. UNI is a quality small cap (ROE ~26%) that is executing on its rollout strategy.

The post 3 ASX shares Bell Potter rates as top buys appeared first on The Motley Fool Australia.

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