Category: Stock Market

The Xero Ltd (ASX: XRO) share price is the fastest riser on the S&P/ASX 200 Index (ASX: XJO) on Friday.

Xero shares are up 9.2% to $80.49 as investors buy the dip after an 11.6% smashing yesterday.

The accounting software-as-a-service (SaaS) provider has had a turbulent week.

There has been volatile post-results trading and continuing intermittent outages on its platform.

Xero shares fell dramatically yesterday after the company released its full-year FY26 results.

Investors were displeased with the 27% fall in net profit after tax (NPAT), which was largely due to the acquisition costs for US payments platform, Melio.

The profit was NZD$167.4 million, supported by a 31% increase in operating revenue to NZD$2.75 billion.

Also, top broker Morgans said investors did not take comfort “with commentary around AI disruption risk versus reward“.

Xero’s FY26 results came one day after a changing of the guard for ASX 200 tech shares.

Xero overtook logistics SaaS provider Wisetech Global Ltd (ASX: WTC) as the No. 1 tech company by market cap on Wednesday.

Today, Xero has a market cap of AU$12.56 billion, while Wisetech shares are worth AU$12.32 billion.

What’s happening with Xero shares on Friday?

Xero shares are also being supported today by a strong lead from Wall Street overnight.

The Nasdaq Composite Index (NASDAQ: .IXIC) hit a new record high, largely due to advances in AI-related stocks.

Meanwhile, Xero customers have been frustrated by several intermittent platform outages since last Thursday.

According to the Xero website, another outage occurred at 11.20am today but only lasted for a few minutes.

On its System Status page, Xero said:

We’re aware of an outage affecting customers between 12:21 and 12:24 AM UTC. Xero is now stable and operating normally.

We’re sorry for the disruption, particularly given the recent outages.

Our engineering team is monitoring closely and will update this page if anything changes.

Xero also told customers that one of its recent outages was caused by a third-party hardware incident.

What’s next for Xero?

Xero is focusing on expansion in the United States, with the Melio acquisition a core part of this strategy.

The company says the US is its fastest-growing market, with revenue up 240%, or 30% on a pro-forma basis, in FY26.

In an interview with Dow Jones Newswires, Xero CEO Sukhinder Singh Cassidy said the company would target accountants and bookkeepers in more US cities in FY27.

She said:

It needs to step up to more city coverage so we can approximate something that looks like more national coverage versus just select cities.

Xero announced an additional US$50 million investment in its brand in the US for FY27.

Broker reaction to FY26 results

Morgan Stanley, Ord Minnett, Morgans, and UBS all reiterated their buy ratings on Xero shares after reviewing the FY26 report.

Their 12-month price targets are $130, $110, $111, and 127 per share, respectively.

Morgans commented:

XRO reported a better-than-expected FY26 result and FY27 outlook. Earnings momentum continues to improve relative to consensus expectations. Management were confident enough to announce a buy-back and hint at potential capital management in FY28.

However, investors didn’t take comfort with commentary around AI disruption risk versus reward.

Management has a plan to maximise the opportunity set (TAM) ahead of a path to AI monetisation. It’s early days in AI and the path to AI driven value creation will become clearer, over time.

The post Xero shares rip 9% as investors buy the dip amid fifth day of outages appeared first on The Motley Fool Australia.

More reading

• Why are Xero shares turning heads today?
• Why EOS, Megaport, Racura, and Xero shares are racing higher today
• 3 amazing ASX growth shares to buy and hold forever
• ASX tech shares vs. ATEC ETF: How they fared during sector downturn
• 3 reasons I would buy Xero shares following its results

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

Shaw and Partners recently hosted its TechRise Conference where emerging ASX technology companies presented on their outlook.

I’ve had a look at a couple of the companies which the broker has flagged as having high potential for solid share price gains.

Let’s have a look at what they’re saying.

Readytech Holdings Ltd (ASX: RDY)

This company provides cloud-based software-as-a-service products to the education, workforce, government and justice sectors.

The $170 million company posted first half revenues of $61.6 million, up 5.6%, with 84% of this coming in the form of subscription revenues.

Shaw and Partners said in their research note that Chief Executive Officer Marc Washbourne provided a “confident” update at the TechRise conference.

They added:

Management reaffirmed FY26 guidance, noting improving H2 pipeline conversion, stabilising churn and growing confidence margins have bottomed out. Incrementally, management became more explicit around portfolio rationalisation, while also positioning AI-driven engineering productivity and Orqestra’s orchestration layer as potential step change enablers of faster development, lower costs and structurally improved margins over time.

Orqestra is an AI product which customers can use to, “access trusted insights through natural language prompts within their existing workflows, reducing reliance on traditional reporting and enhancing decision velocity” according to Readytech.

Shaw and Partners has a buy recommendation on Readytech shares and a $2.80 price target, compared with $1.34 currently.

Readytech shares have traded as high as $2.80 over the past 12 months.

Kinatico Ltd (ASX: KYP)

Kinatico shares are trading towards the lower end of their range over the past 12 months, but if the Shaw and Partners team are on the money, this is a buying opportunity.

The company provides software which businesses use to stay compliant across workforce management, and is also a software-as-a-service provider.

A key point from the company’s TechRise presentation, Shaw said, was that the business had done the hard work building their platform, and could now reap the benefits.

As they said:

Commentary … reinforced the significant operating leverage potential of the platform, with management stating the business could ‘double revenue and not change operating headcount,’ while pushing back on ‘SaaSpocalypse’ concerns by positioning AI as a structural benefit underpinned by KYP’s trusted compliance data and AI native architecture. AI-driven productivity gains are increasingly framed as a medium-term “step change” opportunity rather than theoretical upside

Shaw and Partners has a price target on Kinatico shares of 38 cents compared with 16 cents currently.

Kinatico is valued at $72.2 million.

The post These 2 ASX technology stocks could jump more than 100%: Expert appeared first on The Motley Fool Australia.

More reading

• 2 ASX small-cap stocks tipped to double in the next year

Motley Fool contributor Cameron England has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ReadyTech. 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.

A major contract renewal is giving investors another reason to buy this infrastructure services stock on Friday.

Ventia Services Group Ltd (ASX: VNT) shares are up 2.03% to $6.02 at the time of writing.

The move adds to a strong recent run for shareholders. Ventia shares are now up around 20% over the past month and 30% over the past year.

The stock is also back above $6, leaving it closer to its January highs of $6.41 after a choppy few months.

So, what was announced?

$405 million contract renewal

In its ASX release, Ventia announced the renewal of its maintenance services contract with Yarra Valley Water.

The 9-year contract is worth $405 million and covers a range of essential water infrastructure services.

This includes consolidated sewerage service contracts, sewerage and water network reactive maintenance, and mechanical and electrical planned and reactive maintenance.

Under Yarra Valley Water’s new delivery model, two strategic partners will manage maintenance services across the north and south regions.

Ventia has secured the south region, which keeps the company involved in a key part of Yarra Valley Water’s network.

The new partnership arrangements are expected to begin in October 2026.

Another long-term deal locked in

The sizeable contract gives Ventia another reliable stream of contracted work in an essential services market.

The work also sits in water and sewerage maintenance, where spending is not easy to delay or cut.

The customer relationship is also worth noting. Ventia has been working with Yarra Valley Water since 2015, so this renewal keeps an existing contract running for many more years.

Managing Director and Group CEO Dean Banks said the renewal reflected the company’s proven record as a strategic partner.

He also pointed to asset management and service delivery as areas where Ventia has built experience.

Momentum has been building

The contract renewal lands at a good time for Ventia.

The share price has already been moving higher, with the stock up around 20% in a month and 30% over the past year.

That tells us investors were already warming to the business before today’s announcement.

Ventia provides services across defence, social infrastructure, water, electricity and gas, resources, telecommunications, and transport.

That gives the company exposure to several large end markets across Australia and New Zealand.

Many of those areas are tied to essential infrastructure, which is part of the reason the stock has been getting more attention.

The post A long-term contract win is lifting this ASX 200 stock today appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• This ASX 200 stock just jumped 13% in a week. Here’s why
• Ventia Services secures $340m Victorian road maintenance contracts
• Here are the top 10 ASX 200 shares today

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

Shares in Xero Ltd (ASX: XRO) are roaring back to life on Friday.

During afternoon trade, the ASX tech stock surged 9.5% to $80.69 as investors piled back into the beaten-down software giant following Thursday’s brutal sell-off.

Even after today’s strong rebound, Xero shares remain down around 29% year to date and roughly 53% over the past 12 months at the time of writing. That is a dramatic underperformance compared to the benchmark S&P/ASX 200 Index (ASX: XJO), which has gained about 5% over the same period.

So, why are investors suddenly warming to the tech stock again?

Classic relief rally

The biggest driver for Xero shares today appears to be a classic relief rally.

On Thursday, investors aggressively dumped Xero shares. They reacted negatively to concerns around profitability and falling margins tied to the company’s major US expansion push and integration costs associated with its acquisition of Melio.

But after the initial panic selling faded, the market seems to have refocused on the stronger parts of Xero’s latest result — and there were plenty of positives hiding beneath the surface.

Revenue for the year surged 31% to NZ$2.75 billion. It shows that customer demand for the company’s accounting software platform remains very strong.

Cracking the US market

Subscriber growth also continued accelerating, particularly in the US, where organic growth reportedly climbed 30%. That is significant because cracking the massive US small-business market has long been seen as one of Xero’s biggest long-term growth opportunities.

The company also delivered strong recurring revenue growth, with annualised recurring revenue jumping 37%.

Importantly, management’s FY27 outlook also appears to have reassured investors. Xero’s guidance points toward another year of roughly 34% revenue growth. It suggests the company still sees substantial momentum ahead despite ongoing macroeconomic uncertainty.

Artificial intelligence also seems to become a bigger part of the investment story. Management highlighted growing adoption of AI-powered tools including its “Just Ask Xero” assistant, alongside partnerships with OpenAI and Anthropic.

Those initiatives should improve automation, boost productivity, and deepen customer engagement across the platform.

What next for Xero shares?

Another factor likely supporting today’s rally was Xero’s announcement of a NZ$550 million share buyback. Buybacks are often interpreted as a sign management believes the market has become overly pessimistic about the company’s valuation.

And after a 53% share price collapse over the past year, investors may finally be starting to view Xero shares as oversold.

Of course, risks still remain. The company continues investing heavily in growth, particularly in the US. Investors will want evidence that margins can eventually stabilise and recover. Tech sector volatility also remains elevated more broadly.

Still, today’s powerful rebound suggests many investors believe the market may have overreacted to Thursday’s sell-off. And that Xero’s long-term growth story remains very much intact.

The post Why are Xero shares turning heads today? appeared first on The Motley Fool Australia.

More reading

• The ASX 200 rebound has already faded. Here’s why
• Why EOS, Megaport, Racura, and Xero shares are racing higher today
• Vicinity Centres: $400m Sydney acquisition expands Outlet network
• Meridian Energy’s April retail sales and hydro storage climb in 2026
• 3 amazing ASX growth shares to buy and hold forever

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

After starting Friday with a decent lift, the S&P/ASX 200 Index (ASX: XJO) has given back its early gains during afternoon trade.

At the time of writing, the ASX 200 is down 0.09% to 8,633 points.

The index is only down slightly, but it has moved around a lot today. It climbed as high as 8,691.9 points earlier in the day before falling as low as 8,610.3 points.

That leaves the ASX 200 tracking another soft finish in what has already been a difficult stretch for local shares.

Over the past month, the index has recorded just 5 sessions in the green, with the remaining days ending in the red.

So, what has caused the early buying to fade again?

Oil keeps investors nervous

Oil has been one of the main pressure points for the market today.

Brent crude futures pushed above US$106 a barrel as investors continued to watch the Strait of Hormuz and the risk of supply disruption.

Reuters reported that oil prices rose as concerns continued around security threats to shipping in the key waterway.

Trading Economics also showed Brent crude up more than 1%, with the oil price heading for a weekly gain of around 5%.

After a choppy month for the ASX 200, another jump in oil gives investors less reason to chase the early rebound.

Bank gains offset mining weakness

Commonwealth Bank of Australia (ASX: CBA) is up 2.64% to $160.55, which is giving the index some support after a rough week for the banks.

Westpac Banking Corp (ASX: WBC) is up 0.76% to $35.99, while National Australia Bank Ltd (ASX: NAB) is 0.14% higher at $36.47.

ANZ Group Holdings Ltd (ASX: ANZ) is also up 1.12% to $35.23, and Macquarie Group Ltd (ASX: MQG) is 0.15% higher at $244.89.

Those gains are helping cushion the index, but the big miners are pulling in the other direction.

BHP Group Ltd (ASX: BHP) is down 2.59% to $60.45, Rio Tinto Ltd (ASX: RIO) is dipping 2.71% to $186.77, and Fortescue Ltd (ASX: FMG) is sliding 2.20% to $22.49.

The market is still fragile

The ASX 200 is now down 0.93% in 2026 and 3.76% over the past month.

It is still up 4.05% over the past year, but that longer-term gain does not hide the recent weakness.

There have been a few rebounds along the way, but the market has struggled to hold them.

Today’s early lift has yet again followed the same path, with buyers unable to hold the index higher by afternoon trade.

With oil, inflation worries, and heavyweight stocks still driving the daily moves, the market doesn’t look settled yet.

The post The ASX 200 rebound has already faded. Here’s why appeared first on The Motley Fool Australia.

More reading

• Why are Xero shares turning heads today?
• Vicinity Centres: $400m Sydney acquisition expands Outlet network
• Meridian Energy’s April retail sales and hydro storage climb in 2026
• 5 things to watch on the ASX 200 on Friday
• Here are the top 10 ASX 200 shares today

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

ASX industrial stock Civmec Ltd (ASX: CVL) is racing higher on Friday.

During afternoon trade, the ASX industrial stock jumped 6.5% to $1.64 after releasing a powerful quarterly update for the period ended 31 March 2026.

The strong reaction from investors is hardly surprising. Civmec not only delivered surging revenue and profit growth, but also unveiled a massive $1.3 billion order book that significantly strengthens earnings visibility heading into FY27 and beyond.

The rally continues what has already been a stellar run for shareholders. The ASX industrial stock is now up roughly 68% over the past 12 months. Civmec shares are dramatically outperforming the benchmark S&P/ASX 200 Index (ASX: XJO), which has gained just 5% over the same period.

So, what exactly impressed the market?

Surging revenue, impressive profit growth

The biggest takeaway from the Q3 result was simple: momentum across the business remains extremely strong.

The ASX industrial stock increased revenue 54.1% year on year to $244.2 million. It’s highlighting the continued strength across Civmec’s engineering, construction, manufacturing, and maintenance operations. For the first nine months of FY26, total revenue climbed to $624.7 million.

Profit growth was equally impressive. EBITDA jumped 44.4% to $27.8 million for the quarter, while net profit after tax surged 68% to $13.5 million. Importantly, margins also remained resilient despite ongoing cost pressures across the industrial sector. Civmec maintained an EBITDA margin of 11.8% across the first nine months of FY26, a sign that the company continues executing projects efficiently while protecting profitability.

Broad exposure growth sectors

But the real headline-grabber was the order book. Management revealed a record $1.3 billion pipeline of secured work, up sharply from the prior year.

That matters because it gives investors far greater confidence about future revenue generation and earnings stability. Large industrial contractors often trade heavily on forward visibility, and Civmec now appears to have one of the strongest work pipelines in years.

The ASX industrial stock also continues to benefit from broad exposure across multiple growth sectors, including resources, energy, infrastructure, and, increasingly, defence. And that defence exposure is becoming a major talking point for investors.

Civmec has strong ties to Western Australia’s Henderson defence precinct, which is expected to play a major role in Australia’s long-term naval shipbuilding and sustainment programs. As government spending on defence infrastructure ramps up, the company could become an increasingly important beneficiary.

What next for the ASX industrial stock?

Management sounded confident about the outlook ahead, pointing to strong tendering activity and a healthy pipeline of additional opportunities.

For investors, the latest update reinforced three key themes. First, revenue and earnings momentum remain very strong. Second, the record order book significantly improves long-term earnings visibility. And third, defence work is rapidly emerging as a potentially powerful long-term growth driver for the business.

With operational momentum building and investors increasingly attracted to infrastructure and defence-linked industrials, it is easy to see why the ASX industrial stock is charging higher today.

The post Why is this ASX industrial stock charging higher today? appeared first on The Motley Fool Australia.

More reading

• Why are Xero shares turning heads today?
• The ASX 200 rebound has already faded. Here’s why
• Why EOS, Megaport, Racura, and Xero shares are racing higher today
• Buy, hold, sell: Superloop, Hansen Technologies, Select Harvests shares
• How high does Morgan Stanley think BHP shares will go?

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 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.

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to end the week with a small decline. At the time of writing, the benchmark index is down 0.1% to 8,633.8 points.

Four ASX shares that are not letting that hold them back are listed below. Here’s why they are rising:

Electro Optic Systems Holdings Ltd (ASX: EOS)

The EOS share price is up 5% to $8.92. Investors have been buying the ASX defence stock today after it released an update on its proposed MARSS acquisition. EOS revealed that MARSS recently entered into a GBP85 million (~A$160 million) contract with an existing Middle Eastern military customer. EOS notes that MARSS’ NiDAR Command and Control (C2) systems are used to detect, track and defeat drone attacks. And due to the performance of the NiDAR system in an active conflict zone, it is seeing accelerated customer enquiry and interest in its integrated and turn-key counter-drone capabilities. Subject to transaction completion, the addition of MARSS’ $217 million order book would increase EOS’ total order book to $726 million.

Megaport Ltd (ASX: MP1)

The Megaport share price is up a further 4% to $13.07. Investors have been buying the network solutions company’s shares this week after it announced another major contract win for its Latitude.sh business. Megaport advised that it has secured three major GPU, CPU, network, and storage contracts across two customers with a combined total contract value of approximately US$182.9 million (A$254 million). Commenting on the news, Megaport’s CEO, Michael Reid, said: “We are at the forefront of an accelerating inflection point across the industry. As use cases shift from AI foundation models to inference and the edge, Megaport is becoming an essential platform for powering the applications of tomorrow with globally distributed, automated infrastructure.”

Racura Oncology Ltd (ASX: RAC)

The Racura Oncology share price is up 7.5% to $2.73. This morning, the oncology company announced that it has received clearance from the Safety Review Committee to escalate the RC220 dose in the Phase 1 Cardioprotection and Anticancer Synergy (CPACS) trial. Racura Oncology’s CEO, Dr Daniel Tillett, commented: “I am extremely proud of the Racura team and our clinical collaborators for reaching this important milestone. The safety seen to date with RC220 in advanced cancer patients, including the absence of dose limiting toxicities even when combined with a standard of care doxorubicin dose, is highly encouraging. Finally, we wish to thank the patients and their families for their courage and generosity shown by participating in the CPACS trial.”

Xero Ltd (ASX: XRO)

The Xero share price is up 9% to $80.33. This cloud accounting platform provider’s shares are rebounding strongly after sinking yesterday following the release of its FY 2026 results. The team at Morgans saw this as a buying opportunity. This morning, the broker retained its buy rating with an $111.00 price target. It said: “XRO reported a better-than-expected FY26 result and FY27 outlook. Earnings momentum continues to improve relative to consensus expectations. Management were confident enough to announce a buy-back and hint at potential capital management in FY28.”

The post Why EOS, Megaport, Racura, and Xero shares are racing higher today appeared first on The Motley Fool Australia.

More reading

• Why are Xero shares turning heads today?
• 3 ASX 200 stocks storming higher in this week’s slumping market
• Macquarie says these two ASX 200 companies will benefit from AI, in very different ways
• EOS shares rocket as $726 million order book turns heads
• This ASX tech stock has exploded 75% in a month, but can it climb higher?

Motley Fool contributor James Mickleboro has positions in Megaport and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Electro Optic Systems, Megaport, and Xero. The Motley Fool Australia has positions in and has recommended Xero. 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 are down 0.1% to 8,629.2 points on Friday.

Among the 11 market sectors, technology is the fastest riser, up 3.7%, after a strong lead from Wall Street.

The Nasdaq Composite Index (NASDAQ: .IXIC) has been on a tear, up 11% in a month, and hit a new record overnight.

The materials sector is the laggard, down 2.7%, due to falling gold, silver, copper, iron ore, and lithium prices today.

Let’s check out some new ratings from the experts.

Hansen Technologies Ltd (ASX: HSN)

The Hansen Technologies share price is $4.80, up 1.6% today and down 19% over six months.

Hansen is a global provider of software and services to the energy, water, and communications industries.

Shaw and Partners reiterated its buy rating on this ASX tech share after the company presented at its TechRise Conference.

The broker said:

Management reiterated FY26 remains weighted to a stronger 2H, with DigiTalk contributing ~$10–11m revenue and FX remaining a top-line headwind.

Margin commentary was incrementally more confident, with management suggesting “30% plus” margins are realistic over the medium term, supported by AI-driven productivity gains.

Large telco opportunities and proof-of-concepts continue progressing positively, while AI discussion was materially more commercially focused and increasingly framed as an opportunity.

HSN also expects to be net cash positive later this calendar year, supporting further disciplined M&A. Reiterate Buy. 

Superloop Ltd (ASX: SLC)

The Superloop share price is $3.51, up 0.3% today and up 38% in the calendar year to date.

Nathan Lodge from Securities Vault has a hold rating on this ASX telecommunications share.

Lodge explained his rating on The Bull this week:

This internet service provider is a strong performer, benefiting from increasing data demand and network utilisation. The company is executing well on its fibre and broadband strategy, and earnings momentum has improved.

However, much of the near term upside appears priced in. The market is recognising its infrastructure value and, accordingly, valuation multiples have expanded.

While structural demand for connectivity remains intact, the competitive telecommunications environment in Australia limits pricing power. Growth is likely to continue, but at a more measured pace.

Investors already positioned in SLC should hold, but fresh capital may find better risk-reward opportunities elsewhere.

Select Harvests Ltd (ASX: SHV)

The Select Harvests share price is $3.62, up 1.4% today and down 27% in 2026 so far.

Shaw and Partners reiterated its buy rating on this ASX agriculture share this week.

The broker said Select Harvests is the world’s No. 5 almond producer and exports more than 80% of its almonds.

It noted favourable supply and demand dynamics, including growing almond prices, up 7% over the four weeks to 6 May alone.

Shaw and Partners said:

The confirmation of high demand and tight Californian (and Australian) supply, alongside yesterday’s Blue Diamond’s detailed report on the higher Californian cost base (up to US$3.00/lb) should push almond price up at least 7% to US$3.41/lb.

We rate Select Harvests Limited (ASX:SHV) and Buy for the 64% return over the next 12-24 months from a 57% lift in EBITDA in FY’26F, re-start of dividend in 2HFY’26F, and cash flow platform.

The post Buy, hold, sell: Superloop, Hansen Technologies, Select Harvests shares appeared first on The Motley Fool Australia.

More reading

• Here’s 3 ASX technology companies Shaw and Partners has flagged as a buy
• Superloop lifts revenue and customer base
• Nervous investors turn to ASX 200 defensives as global energy shock drags on
• ASX 200 tech shares rocket 13% as long-awaited sector rebound accelerates

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 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 BHP Group Ltd (ASX: BHP) have been trading strongly recently, aided in part by a surging copper price.

The shares are up strongly from 12-month lows of $35.52, to be changing hands for $60.38 on Friday.

The question is have they topped out, or is there more share price strength to come?

BHP in the box seat

The analyst team at Morgan Stanley has published a new research note this week, suggesting BHP is well-placed to benefit from what they say is a structural uplift in copper demand, while the company’s iron ore operations are also performing well.

Morgan Stanley has a bullish share price target on BHP shares, which we’ll get to shortly. Firstly, let’s look at why they like the company.

One reason BHP is in favour is surging copper demand, which it has specifically targeted as a growth driver over the past decade or so.

A lot of this demand has been coming from the so-called green transition, but Morgan Stanley said a new factor is the boom in data centre construction.

As they say:

Copper is the main materials beneficiary of data centre growth. Power distribution equipment accounts for the bulk of copper use in data centres, with industry estimates suggesting that around 75% of copper demand in data centres is tied to power infrastructure (cables, busbars, connectors, and grounding). Against a backdrop of already constrained supply, rising AI and data centre build‑out adds another layer of support to an otherwise tight copper market.

Morgan Stanley said it estimates copper demand from data centre construction will rise to about 760,000 tonnes in 2026, growing to 1.1 million tonnes by 2027.

They added:

On a growth basis, data centres are already material: the ~250kt year on year increase in 2026 alone would contribute roughly 26% to total copper demand growth. In a higher‑case scenario, data centre copper demand could reach ~4.9% of global demand by 2027, comparable with EVs at ~5.1%.   

Morgan Stanley notes that disruptions to copper supply this year have pushed prices higher.

The analyst team also said BHP’s expansion plans at Copper South Australia were positive.

They said:

We see Copper SA as a clear medium-term source of upside in BHP’s copper portfolio. The smelter and refinery expansion (SRE) reconfigures Olympic Dam’s smelting and refining system to support a province-scale model, allowing Olympic Dam to process its own expanded concentrate production, import and blend feed from Prominent Hill and Carrapateena, and potentially process future Oak Dam or third-party concentrate. The SRE supports a path from ~320ktpa Cu today to >500ktpa in Phase 1 and ~650ktpa longer term, while improving the quality of that growth through feed blending, better furnace stability, higher acid capture, expanded refining capacity and precious metals recovery.

Shares looking like a good buy

Morgan Stanley has a price target of $67.50 on BHP shares. The company also pays a dividend yield of 3.15%.

BHP is valued at $315.4 billion.

The post How high does Morgan Stanley think BHP shares will go? appeared first on The Motley Fool Australia.

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• Buying BHP shares today? Here’s the dividend yield you’ll get
• This ASX mining stock tipped to rise 50% could make a profit of $250m in 2028
• 3 ASX mining stocks positioned to benefit from the green transition
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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 BHP Group. 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 finding some support on Friday after a tough run for the Penfolds owner.

At the time of writing, the Treasury Wine share price is up 3.11% to $4.30.

Even with today’s gain, the stock remains under heavy pressure. Treasury Wine shares are still down around 20% in 2026 and have lost about 50% over the past year.

The latest buying comes after billionaire investor Olivier Goudet increased his stake again, while one broker also upgraded the stock to a buy rating.

Billionaire investor keeps buying

The main catalyst appears to be another move from French billionaire Olivier Goudet.

According to a substantial holder notice, Goudet now has a 9.04% stake in Treasury Wine Estates.

The notice shows he holds about 73 million shares after his latest $31 million purchase of 7.3 million shares.

The latest purchase adds to a string of recent buys and leaves Goudet as one of the company’s largest shareholders.

And with Treasury Wine shares down 50% over the past year, it is not hard to see why the buying has caught the market’s eye.

Morgans sees more upside

The buying has also been helped by a more positive broker call.

Morgans has reportedly upgraded Treasury Wine shares to a buy rating, with a price target of $5.30.

Based on the current share price, that suggests potential upside of more than 20%.

While a broker upgrade does not fix the business, it does give investors another reason to revisit a heavily sold-down stock.

The business still has work to do

Treasury Wine has been dealing with weak demand, pressure in key markets, and investor frustration.

In October, the company withdrew its FY26 earnings guidance and paused its buyback after problems in China and the US.

It also posted a large first-half loss, with impairments weighing heavily on the result.

However, its latest operating update gave the market a few better numbers to consider.

In the March quarter, China depletions rose 40% on a seasonally adjusted basis. ANZ depletions grew 11%, Asia ex-China rose 14%, and US market depletions improved 9.1%.

Foolish Takeaway

With Goudet building a sizeable stake in Treasury Wine, some investors may see this as the turnaround signal they have been waiting for.

The company still has plenty to fix, especially after a difficult year in its key markets.

But it is a positive sign when a billionaire investor is willing to put more of his own money into an embattled stock.

Still, with Treasury Wine shares down 50% over the past year, there is still a long way back.

The company now needs to show that better sales trends can turn into stronger earnings.

The post Billionaire buying sends this ASX 200 stock higher appeared first on The Motley Fool Australia.

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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 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.