Category: Stock Market

Light & Wonder Inc (ASX: LNW) shares fell 7.46% yesterday in what was largely a positive day of trading for the S&P/ASX 200 Index (ASX: XJO).

Australia’s benchmark index crawled 0.32% higher on Thursday. 

However investors were jumping ship from Light & Wonder shares despite no price sensitive news out of the company. 

Light & Wonder is a global gaming and entertainment company that develops and distributes gaming machines, gaming content, and digital gaming platforms.

Its products and services include electronic gaming machines sold to casinos and clubs, digital games, and casual/social gaming through its SciPlay division.

So is yesterday’s sharp sell-off an opportunity for investors to buy the dip? 

Let’s find out. 

Litigation in the rear view mirror

Light & Wonder shares were on a steady decline through most of 2025.

This was in line with much of the consumer discretionary sector.

However the share price started climbing late in the year and flew 40% higher throughout November and December. 

Light & Wonder shares then spiked again following the announcement from Aristocrat Leisure Ltd (ASX: ALL), that the two gaming companies had agreed to settle an ongoing legal dispute.

For context, Aristocrat took legal action after alleging that Light & Wonder used its trade secrets and copyrighted materials to develop two games. 

Light & Wonder agreed to compensate Aristocrat US$127.5 million (approximately AU$190 million) for misappropriation and infringement of its intellectual property.

Investors gobbled up Light & Wonder shares following this announcement, seemingly optimistic with the legal troubles settled. 

This included a rise of 17% in one day of trading alone. 

Where to now?

More recently, the stock price has been on a steady decline. 

Including yesterday’s 7% fall, the share price has dropped more than 16% in the last month. 

The core business still looks rock solid, generating consistent revenue through its Gaming, SciPlay, and iGaming segments. 

Light & Wonder is set to report fourth quarter and full year 2025 results on Tuesday, 24 February. 

It’s unlikely this will generate a sharp rally. 

Consensus seems to point towards upside through steady execution rather than any surprising news. 

Strong upside

Based on recent guidance out of brokers, it seems now could be a buying opportunity for Light & Wonder shares. 

It she price closed yesterday at $151.95. 

Analysts at Morgan Stanley have an overweight rating and $220.00 price target due to the company’s growth prospects in the medium term. 

This target indicates a potential upside of 44.79%. 

Elsewhere, TradingView has an average 1 year price target of $194.89, which indicates 28% upside. 

The post Are Light & Wonder shares a buy after tumbling 7% yesterday? appeared first on The Motley Fool Australia.

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

Generating $1,000 a year in passive income might not sound life changing, but it can be a meaningful step toward financial independence.

At a 5% average dividend yield, a $20,000 portfolio can produce roughly $1,000 in annual income.

The key is selecting a mix of ASX shares that together deliver that yield while still offering business quality and the potential for future growth.

Here’s how that could look using four ASX dividend shares.

Dicker Data Ltd (ASX: DDR)

The first ASX dividend share to include is Dicker Data.

Dicker Data is one of Australia’s leading technology hardware and software distributors. While tech distributors are not always viewed as classic income stocks, Dicker Data has built a strong position supplying vendors and resellers across Australia and New Zealand.

The company currently offers a trailing dividend yield of around 4.3%. Its earnings can fluctuate with IT spending cycles, but long-term demand for technology infrastructure continues to underpin its business.

HomeCo Daily Needs REIT (ASX: HDN)

To lift the overall portfolio yield closer to 5%, adding a higher-yielding REIT can help.

HomeCo Daily Needs REIT focuses on neighbourhood retail centres anchored by essential services such as supermarkets, healthcare providers, and everyday convenience outlets. These tenants tend to generate stable foot traffic regardless of broader economic conditions.

This ASX share currently offers a trailing yield of approximately 6.6%, making it one of the stronger income contributors in this mix.

Transurban Group (ASX: TCL)

Another income anchor is Transurban. It owns and operates major toll roads across Australia and North America. These assets generate long-term, inflation-linked revenue streams based on traffic volumes.

The company’s shares currently provide a trailing dividend yield of around 4.8%. While traffic can fluctuate with economic conditions, long concession lives and population growth in key cities support the long-term case.

Universal Store Holdings Ltd (ASX: UNI)

The final ASX dividend share in this portfolio is Universal Store.

Universal Store operates youth-focused fashion brands and has continued to generate solid cash flow despite a challenging retail environment. With a trailing dividend yield of roughly 4.3%, it adds both income and potential growth exposure from its store rollout and private label strategy.

Retail earnings can be cyclical, but strong brand positioning and disciplined store expansion support the long-term outlook.

Bringing it together

By spreading $20,000 evenly across these ASX shares, the blended yield comes in at roughly 5%. That translates to about $1,000 per year in passive income, assuming dividends remain stable.

Importantly, this mix combines infrastructure, property, retail, and technology distribution, reducing reliance on a single sector.

The post Invest $20,000 in these 4 ASX shares and get $1,000 passive income 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 positions in and has recommended Transurban Group. The Motley Fool Australia has positions in and has recommended Dicker Data and Transurban Group. The Motley Fool Australia has recommended HomeCo Daily Needs REIT and Universal Store. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

CSL Ltd (ASX: CSL) shares are having a week to forget.

Shares in the S&P/ASX 200 Index (ASX: XJO) biotech stock have closed in the red every day this week so far, leading up to Friday’s opening bell.

The stock closed down 6.88% yesterday, trading for $152.19 a share.

That followed on the 4.6% losses suffered on Wednesday as investors pored over the company’s half-year earnings results. Investors also responded negatively to news, reported after market close on Tuesday, that Paul McKenzie was stepping down from his three-year stint as CEO.

The four consecutive days of losses see CSL shares down 15.68% since last Friday’s close.

Which, according to Family Financial Solutions’ Jabin Hallihan, could make today an opportune time to buy shares at a potential bargain (courtesy of The Bull).

Should you buy CSL shares today?

“CSL develops plasma therapies and vaccines for a global market,” Hallihan said late last week, prior to CSL’s results release and CEO departure news. “The company provides products to patients in more than 100 countries.”

Hallihan noted, “The share price has fallen from $271.32 on August 18, 2025 to trade at $181.48 on February 5, 2026. Our fair value is $295 a share.”

At Thursday’s close of $152.19 a share, this sees the ASX 200 biotech stock trading 94% below Hallihan’s fair value estimate.

Commenting on his buy recommendation on CSL shares, Hallihan concluded:

Short term earnings noise obscures a high-quality plasma franchise with structural demand growth. In a bull market, valuation normalisation and quality should deliver strong upside moving forward.

What’s been happening with the ASX 200 biotech stock?

As mentioned up top, it was a big news week for CSL shares.

On the leadership front, McKenzie abruptly retired as CEO and managing director effective on Tuesday. The board appointed Gordon Naylor, former CFO and president of CSL’s Seqirus business, as interim CEO and managing director. Naylor took over the reins on Wednesday.

As for the results for the six months to 31 December, the company reported revenue of US$8.3 billion, down 4% year on year on a constant currency basis.

On the bottom line, CSL saw a 7% decline in underlying net profit after tax and amortisation (NPATA) to US$1.9 billion.

Commenting on the half-year results that pressured CSL shares, CFO Ken Lim said, “We are clearly not satisfied with our performance and have implemented a number of initiatives to drive stronger growth going forward.”

Looking ahead, Lim added:

We continued to advance our broader transformation strategy, making strong progress on our cost efficiency initiatives and strengthening the foundations of the business.

We invested in growth opportunities including our strategic collaboration with VarmX. This will deliver enhanced growth, profitability and shareholder returns.

CSL also increased its share buyback program from US$500 million to US$750 million.

The post Why CSL shares could be trading at a 94% discount today appeared first on The Motley Fool Australia.

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• Here’s an ASX 200 share that I think could beat CSL in 2026
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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 positions in and has recommended CSL. The Motley Fool Australia has recommended CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ASX investors buy gold stocks for a number of reasons. Perhaps they might think a particular gold miner is undervalued. Perhaps they might be bullish on the price of gold itself and see gold miners as a potentially lucrative leverage play on further price increases. Or perhaps just wish to hedge against inflation, geopolitical tension, or economic uncertainty. But ASX investors rarely buy gold stocks for the dividends.

As we went through late last year, the economics of mining gold are strikingly different to other commodities that ASX investors might be used to investing in. Gold miners typically don’t enjoy the fat margins and bulk production that other commodities like oil or iron ore can facilitate.

That’s mainly why we are used to seeing dividend yields of 4%, 5%, or even 6% from big miners like BHP Group Ltd (ASX: BHP), Fortescue Ltd (ASX: FMG), or Rio Tinto Ltd (ASX: RIO). And why dividends of 2% or less are common to see with even the largest ASX gold stocks like Newmont Corporation (ASX: NEM) or Northern Star Resources Ltd (ASX: NST).

Well, that’s the conventional wisdom anyway. However, we are in a different world right now. Gold, as many investors would know, has just come off the back of one of the most significant price rallies we’ve ever seen in precious metals investing. It’s hard to even picture, but it was only 12 months ago that gold was asking under US$3,000 an ounce. Today, that same ounce will set investors back just over US$5,080. And that’s after the pullback we have seen over February. Gold hit a new record high of over US$5,500 an ounce late last month.

Evolution’s monster dividend changes the ASX gold stock game

This sharp surge in value has obviously been mana from heaven for ASX gold stocks. Consider Evolution Mining Ltd (ASX: EVN). Evolution dropped its latest earnings on Wednesday. And they were something special for a gold miner. First up, Evolution told investors that it achieved an all-in sustaining cost (cost of mining and processing in simpler terms) of US$1,063 ($1,493) per ounce over the six months to 31 December 2025.

If we assume Evolution had that cost base a year ago, this means the miner’s gross margin has surged from US$1,831 a year ago to US$4,017.

So even though gold itself has surged 75.5% over the past 12 months, Evolution’s profitability has exploded by almost 120%. This is probably why Evolution was able to declare a record 20-cent-per-share dividend on Wednesday. That dividend represents a whopping 185.7%, or a near-tripling, over the 7 cents per share interim dividend that investors received last year.

At the time of writing, Evolution shares are trading with a trailing dividend yield of 1.25%. However, the new internal dividend, together with last year’s final dividend of 13 cents per share, gives Evolution a forward yield of 2.07%. That might not look too significant. But remember, Evolution’s 154% gain over the past 12 months has blunted that dividend yield substantially.

If an investor bought this stock a year ago, they will soon be enjoying a yield on cost of 6.36%. Perhaps the gold-dividend game is changing.

The post ASX gold stocks never pay high dividends, but Evolution just changed the game appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen has positions in Newmont. 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.

S&P/ASX 200 Index (ASX: XJO) shares closed 0.32% higher at 9,043.5 points on Thursday as earnings season continues.

This is the second day that the ASX 200 has traded above the 9,000 threshold, with the benchmark now at a 14-week high.

Strong reports from ANZ Group Holdings Ltd (ASX: ANZ) and Northern Star Resources Ltd (ASX: NST) moved the market up today.

Here, we review the opinions of experts on three ASX 200 shares within the communications, technology, and financials sectors.

One is a buy, one is a hold, and one is a sell.

Let’s take a look.

Telstra Group Ltd (ASX: TLS)

The Telstra share price closed at $4.88, steady today and up 24.8% over the past 12 months.

On The Bull this week, Jabin Hallihan from Family Financial Solutions revealed a buy rating on Telstra shares.

Hallihan values this ASX 200 telecommunications stock at $5.40 per share.

He explains his view:

Reported net profit after tax of $2.3 billion in full year 2025 was up 31 per cent on the prior corresponding period.

Cash earnings per share of 22.4 cents were up 12 per cent.

Cost discipline, share buy-backs and resilient mobile earnings support steady upside in a market that still rewards defensiveness.

On top of this, Telstra pays reliable, fully franked dividends.

Its full year dividend of 19 cents a share in fiscal year 2025 was up 5.6 per cent on the prior corresponding period.

TLS was recently trading on a dividend yield of 3.85 per cent.  

Technology One Ltd (ASX: TNE)

The TechnologyOne share price closed at $21.70, down 6.9% today and down 32% over the past year.

Tony Paterno from Ord Minnett has a hold rating on this ASX 200 technology share.

Paterno explains:

TNE’s result in fiscal year 2025 disappointed the market with annual recurring revenue growth falling below consensus expectations. Offsetting the negative result was robust growth in the UK.

TNE’s core segments continue to perform well.

Early feedback on TNE’s recently launched artificial intelligence product Plus has been positive. 

TNE is one of the higher quality software businesses on the ASX and we remain positive about its outlook.   

National Australia Bank Ltd (ASX: NAB)

The NAB share price rose 3.9% to an all-time high of $47.25 on Thursday.

NAB had no news for the market today.

NAB shares closed at $46.54, up 2.3% today and up 13% over the past 12 months.

Hallihan has a sell rating on this ASX 200 bank share.

The analyst commented:

NAB is Australia’s largest business bank, benefiting from an oligopolistic market structure.

Statutory net profit of $6.759 billion in full year 2025 was down 2.9 per cent on the prior corresponding period.

A credit impairment charge of $833 million was up from $728 million in the previous year.

In our view, the shares are materially overvalued and leave little margin for error.

Capital is better redeployed into discounted quality.

The post Buy, hold, sell: Telstra, TechnologyOne, NAB 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 Technology One. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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

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

The S&P/ASX 200 Information Technology Index (ASX: XIJ) is trading 0.69% higher in afternoon trade on Thursday. The index is down 15.23% year-to-date and 36.66% over the year, after a crash in investor confidence sent ASX tech stocks plummeting in late-2025 and into early-2026.

Renewed concerns about artificial intelligence (AI) disruption have driven tech shares such as WiseTech Global Ltd (ASX: WTC), Megaport Ltd (ASX: MP1), and NextDC Ltd (ASX: NXT) sharply lower.

WiseTech shares are down 7.07% today to $47.34 a piece, and down 61.65% for the year. 

Megaport shares are 5.44% lower in Thursday afternoon trade, to $10.95. The stock is still 23.17% higher over the year. 

Meanwhile, NextDC shares are down 1.15% to $13.74, and down 8.75% for the year.

On paper, the plummeting share prices of these ASX tech stocks look concerning, but I think it’s a once-in-a-decade opportunity.

Here’s why.

Long-term drivers of growth haven’t gone away

Despite the recent volatility in the tech market, the fact is that AI isn’t going anywhere. AI, cloud computing, cybersecurity, automation, and digital payments are still front and centre. 

Technology is rapidly advancing, businesses are investing in AI more than ever before, and continued tech investment points to widespread, ongoing adoption rather than abandonment.

I think short-term investor concerns will likely be just that… short term. And short-term market concerns don’t change the fact that tech is the fastest-growing segment of the sharemarket over the long term.

Eventually, the market will correct itself, and the ASX tech stocks involved in AI could enjoy a share price recovery.

The upsides are huge for ASX tech stocks

Current valuations of tech stocks present a strong opportunity for investors to buy at a discount.

Analysts are hugely optimistic about the outlook for these tech stocks, with many tipping significant upside over the next 12 months when investor confidence returns and people start pressing the buy button once again.

Data shows that 14 out of 15 analysts have a buy or strong buy rating on WiseTech shares. And the maximum upside is $167.24 per share, implying an enormous 253.19% over the next 12 months at the time of writing.

It’s a similar story for Megaport shares too. Out of 14 analysts, 10 have a buy or strong buy rating on the ASX tech stock. The maximum target price is $22.27, which implies a 103.1% upside at the time of writing.

Analysts are even more bullish on NextDC shares. All 14 analysts have a buy or strong buy consensus on the shares. The maximum target price is $29.36 which implies a 114.46% upside at the time of writing.

The post A once-in-a-decade chance to buy ASX 200 tech stocks like WiseTech, Megaport and NextDC? appeared first on The Motley Fool Australia.

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

When high-quality software stocks sell off, long-term investors tend to start paying attention.

Over the past year, sentiment toward technology shares has deteriorated sharply. Rising rates, concerns about artificial intelligence disrupting traditional software models, and multiple compression have all weighed heavily on valuations.

Two of the ASX’s best-known software names, Xero Ltd (ASX: XRO) and TechnologyOne Ltd (ASX: TNE), have both been caught up in the pullback.

Xero shares are down roughly 58% over the past 12 months, while TechnologyOne has fallen around 32% over the same period.

So which one looks like the better buy right now?

The case for TechnologyOne shares

TechnologyOne has quietly become one of the most consistent software businesses on the ASX.

It provides mission-critical enterprise software to governments, universities, and large organisations. Over recent years, its transition to a software-as-a-service model has transformed the business. Recurring revenue has risen, cash generation has strengthened, and earnings visibility has improved materially.

Management has laid out an ambitious target to double the size of the business roughly every five years. With growing momentum in the UK and a highly sticky customer base, that goal does not look unrealistic.

For investors seeking stability and steady execution, TechnologyOne remains a compelling long-term compounder.

The case for Xero shares

Xero, meanwhile, operates in a larger and more competitive global market.

It provides cloud accounting software to small and medium-sized businesses and has built strong positions in Australia, New Zealand, and the UK. The long-term opportunity remains significant as more businesses transition from legacy accounting systems to cloud-based platforms.

The sharp share price decline reflects concerns that AI could lower barriers to entry in accounting software or pressure pricing. However, Xero’s platform is deeply embedded in customer workflows, with extensive integrations and ecosystem partnerships that are not easily replicated overnight.

Importantly, much of that risk now appears reflected in the valuation after the 58% sell-off.

Which one wins?

Both ASX stocks remain high-quality software businesses with strong recurring revenue models and long growth runways.

TechnologyOne arguably offers the smoother ride, with a more concentrated customer base and a long history of disciplined execution. But its smaller share price decline suggests investors are still willing to pay a premium for that consistency.

Xero, on the other hand, has seen far more valuation compression. While risk remains, the larger pullback means expectations are significantly lower. If the company can continue delivering subscriber growth and margin expansion, the rebound potential could be greater.

The post Best ASX stock to buy right now: Xero or TechnologyOne? appeared first on The Motley Fool Australia.

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

Reporting season is a great time for investors to find ASX share opportunities that are good value, with a very recent view on the company’s operational performance.

There have been some very volatile reactions to some results, and I think this has opened up a number of buying opportunities.

I’m planning to put money to work next week, with the following two names being the likely candidates.

Temple & Webster Group Ltd (ASX: TPW)

This business has suffered a huge sell-off – down 30% at the time of writing – following its FY26 half-year result.

Margins decreased as the business increased investment, with a focus on price, promotion and expansion into New Zealand. But I think this is the right move for the business’s long-term success.

The company reported that revenue rose 19.8% to $375.9 million, the delivered margin rose 12.8% and operating profit (EBITDA) grew 2.2%. However, excluding the New Zealand investment, EBITDA grew by 13%.

Its capital-light model remains attractive and cash generative, with a huge $161 million in cash (and no debt). This can allow the business to fund share buybacks, if it wants to.

Over the long term, the ASX share is expected to experience further adoption of online shopping and rising profit margins. The Australian homewares and furniture market has a 20% penetration rate in Australia, whereas it’s 29% in the UK and 35% in the US. I expect Australia’s figure to climb in the coming years towards 30%.

The New Zealand play has already generated more than $1 million in sales, and I’m expecting it to become a significant contributor by the end of the decade.

Revenue growth remains strong, particularly in home improvement products. Home improvement revenue during the six-month period grew 47% year over year to $30 million. If it continues to grow faster than the core business, it will become an increasingly material contributor to the company’s financials.

Finally, the trading update to 9 February 2026 was solid and suggests ongoing good growth – revenue was up 20% year over year. That’s a strong compounding growth rate.

Centuria Industrial REIT (ASX: CIP)

The other ASX share I’m looking at is a real estate investment trust (REIT) focused on industrial properties.

I don’t know whether rental income can grow strongly from office buildings or shopping centres, but industrial properties are experiencing growth from areas like e-commerce and data centres.

The ASX share experienced like-for-like net operating income (NOI) growth of 5.1% in its FY26 half-year result. The REIT said that 20% average under-renting across its portfolio provides future earnings growth potential, implying good potential for a rental boost in the next few years.

It’s expecting to grow funds from operations (FFO) per unit – the rental earnings – by up to 6% in FY26, which could fund a 3% rise in the distribution to 16.8 cents per unit. That translates into a forward distribution yield of 5.3%.

It looks good value after reporting its net tangible assets (NTA) climbed by around 1% over the six month period to $3.95. That means it’s trading at a discount of around 20%, which I think is very appealing for a growing business.

The post 2 great ASX shares I’m planning to buy next week appeared first on The Motley Fool Australia.

More reading

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Motley Fool contributor Tristan Harrison has positions in 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.

If you want good returns, you need to find ASX shares destined for continued long-term growth. After all, owning a slow or even mediocre-growing stock over a few years doesn’t guarantee returns. Here are three ASX shares I’d buy and hold this year.

IperionX Ltd (ASX: IPX)

Titanium metal and critical materials company, IperionX, recently said it plans to ramp up production with the goal of becoming America’s largest and lowest-cost titanium powder producer. 

The company recently received a prototype purchase order valued at US$300,000 from American Rheinmetall. The order is for the production of 700 lightweight titanium components destined for US Army heavy ground combat systems.

IperionX also recently received the final US$4.6 million tranche of funding under a previously announced US government award. The funding comes through the US Department of War’s Industrial Base Analysis and Sustainment program, which aims to strengthen domestic supply chains for critical materials.

Analysts are bullish on the company’s shares, with a strong buy consensus rating for IperionX. The maximum target price is $11.03, which implies a potential 84.69% upside at the time of writing.

South32 Ltd (ASX: S32) 

The prices of copper, silver and gold have reached all-time highs this year, and the momentum has driven South32’s shares toward a multi-year high earlier this month. The miner has also posted strong financial results over the past six months and solid production figures. 

Last month, the miner announced that it had exceeded expectations for first-half production. Overall, the results were ahead of consensus, and investors were thrilled.

I don’t think the good news will stop there either. In fact, I think South32 could outpace mining giant BHP this year.

South32 shares are tipped to rise up to 11.83% from the current share price, to $5.22 a piece.

Xero Ltd (ASX: XRO)

Xero’s “sticky” subscription-based model, high retention rate and active product expansion make it a great contender for growth this year.

The ASX business is still early in its global expansion, too. If it can crack the US market and become more dominant while maintaining its position and revenue in other markets, its earnings could surge as well.

Despite the company’s operating revenue, net profit and cash flow continuing to rise, its share price has dived recently as investor confidence struggles to pick back up. Concerns about AI and the company’s US Melio acquisition dented sentiment last year. But I think the latest share price decline is a fantastic opportunity for investors to buy the stock cheaply.

In fact, I’m quietly confident that Xero shares could double in value in 2026, or go even higher. Analysts are mostly bullish on the shares and expect an upside of up to 200.55% this year, at the time of writing, to $233.73.

The post The 3 ASX shares I’d buy and hold into 2026 appeared first on The Motley Fool Australia.

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