Category: Stock Market

Many of Australia’s top brokers have been busy adjusting their financial models and recommendations again. This has led to the release of a number of broker notes this week.

Three ASX shares that brokers have named as buys this week are listed below. Here’s why their analysts are feeling bullish on them right now:

Capstone Copper Corp (ASX: CSC)

According to a note out of Morgans, its analysts have retained their buy rating on this copper miner’s shares with a trimmed price target of $16.00. This follows the release of a fourth quarter update which was a touch short of expectations, as well as soft production guidance for 2026. However, the broker isn’t concerned by this. Instead, it is urging investors to focus on the medium term and believes strong production growth is still coming through to the end of the decade. As a result, it feels that the company’s shares are undervalued at current levels based on its copper price forecasts. The Capstone Copper share price is trading at $13.05 this afternoon.

Life360 Inc (ASX: 360)

A note out of Bell Potter reveals that its analysts have retained their buy rating on this family safety technology company’s shares with a trimmed price target of $40.00. This follows the release of FY 2025 results that were a touch ahead of forecasts. In addition, the broker was pleased with Life360’s guidance for FY 2026, highlighting that it was in line with both the broker’s and consensus estimates. In light of this and the significant share price weakness recently, Bell Potter appears to see now as an opportune time for investors to pick up this rapidly growing company’s shares. The Life360 share price is fetching $20.54 at the time of writing.

Newmont Corporation (ASX: NEM)

Another note out of Morgans reveals that its analysts have upgraded this gold miner’s shares to a buy rating with an improved price target of $214.00. With the spot gold price trading near record highs, it highlights that gold miners are generating significant cash, which is strengthening their balance sheets. And with the broker upgrading its gold price assumptions for the coming years, it sees potential for a further re-rating of gold miners like Newmont in the near term. The Newmont share price is trading at $172.60 on Wednesday afternoon.

The post Top brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

More reading

• Three stocks to buy for double-digit returns, according to Macquarie
• Why EOS, GenusPlus, Life360, and WIA Gold shares are rising today
• 3 ASX growth shares you’ll wish you’d bought at these cheap prices
• Why Life360 shares could rise 100%
• 5 things to watch on the ASX 200 on Wednesday

Motley Fool contributor James Mickleboro has positions in Life360. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Life360. The Motley Fool Australia has positions in and has recommended Life360. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Having some exposure to the small side of the Australian share market can be a good thing for a balanced investment portfolio.

After all, if you can identify a small-cap ASX share with the potential to become a mid-cap or even a blue-chip one day, the returns can be significant.

But which small caps could be in the buy zone right now? Let’s take a look at two that analysts at Morgans are recommending to clients with a higher than average tolerance for risk. They are as follows:

Camplify Holdings Ltd (ASX: CHL)

Morgans thinks that Camplify could be a small-cap ASX share to buy.

It operates one of the world’s leading peer-to-peer digital marketplace platforms, connecting recreational vehicle (RV) owners to hirers. The company has operations in Australia, New Zealand, Spain, the UK, Germany, Austria, and the Netherlands.

Morgans was pleased with Camplify’s performance during the first half, highlighting its lower operating costs and stronger unit economics. It said:

CHL’s 1H26 result highlighted the ongoing transition underway within the business, with lower opex and stronger unit economics from the MyWay mutual and membership-led strategy. Whilst GTV decline (-17%) was a result negative, we acknowledge some of the contraction was due to CHL deliberately pulling back low-margin volume. CHL Revenue of ~A$19m was ~5% down on the pcp, With the seasonally stronger period now underway, a deeper ANZ partnership funnel (JB Group) and future bookings of ~A$32m at period-end, we expect the business to have an improved half-on-half performance.

In response, the broker has retained its buy rating with a reduced price target of 78 cents. This implies potential upside of over 100% for investors.

Readytech Holdings Ltd (ASX: RDY)

Another small-cap ASX share that has caught the broker’s eye is Readytech.

It is a leading provider of mission-critical SaaS for the education, employment services, workforce management, government and justice sectors.

Morgans remains positive despite Readytech’s half-year results coming in softer than expected. It said:

RDY’s 1H26 result and revised outlook came in softer than expected, with Underlying EBITDA of $17.5m / Cash EBITDA of $7.5m ~6% behind MorgF. Whilst RDY’s enterprise strategy remains on track, the group indicated that increased churn in 1H26 along with more protracted implementation/sale conversion have led to an FY26 guidance downgrade and the withdrawal of its longer-term targets. Whilst we downgrade our FY26-17 EBITDA forecasts by 10-20% reflecting revised guidance, given RDY’s robust pipeline, potential catalysts (VIC TAFE decision and likely increased corporate appeal), we move to a SPECULATIVE BUY rating, with a revised price target of $2.20/sh (previously $3.00/sh).

As mentioned above, Morgans has put a speculative buy rating and $2.20 price target on its shares. This suggests that upside of 80% is possible between now and this time next year.

The post Morgans names 2 small-cap ASX shares to buy now appeared first on The Motley Fool Australia.

More reading

• These ASX 200 shares have sunk to 6-month lows. Time to buy?
• Why Brightstar, Endeavour, Evolution Mining, and Woolworths shares are falling today
• New Hope shares soar 24% in 2026 so far: Buy, sell or hold?
• Three stocks to buy for double-digit returns, according to Macquarie
• Why EOS, GenusPlus, Life360, and WIA Gold shares are rising today

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

The S&P/ASX 200 Index (ASX: XJO) has fallen lower in early-afternoon trade on Wednesday. At the time of writing, the index has dropped another 1.81% as conflict in the Middle East continues to put pressure on Australian shares.

At the time of writing, less than one quarter of the index is trading in the green. And some ASX 200 shares have dropped to a six-month low.

Is this a buying opportunity? Or will the declines keep coming?

Here are two ASX 200 shares to keep an eye on.

Harvey Norman Holdings Ltd (ASX: HVN)

Harvey Norman shares are one of the ASX 200 shares trading in the red today. At the time of writing, the stock is down 0.63% to $5.52. This is the lowest level seen since July last year. The stock is now down 24.86% over the past six months, and is just 3.57% higher over the year.

Late last month, the retailer posted a double-digit uplift in profit before tax and raised its interim dividend for the half-year ended 31 December 2025. While the result looks strong on paper, it was a touch short of consensus expectations, and investors weren’t impressed. 

Meanwhile, a hike in the cost-of-living has seen households cut their budgets for spending. But it’s important to note that the ASX 200 retail share is a long-term performer on the ASX and has navigated cycles like this before. Usually, when investor confidence rebounds and spending picks back up, retail business will benefit from an uplift.

Analysts are mostly bullish that there will be a big turnaround in its shares this year. Out of 13 analysts, six have a buy or strong buy rating, and another six have a hold rating. The final one has a sell rating on the stock. The average target price is $6.55, which implies a potential 18.18% upside at the time of writing. Looks like it could be a great opportunity to buy this ASX 200 share.

Seek Ltd (ASX: SEK)

Seek shares are bucking the trend and are one of the few ASX 200 shares trading in the green at the time of writing. The stock is 1.4% higher for the day at $15.99 a piece. The uplift is welcome news after the shares crashed 40.24% over the past six months. They’re now only marginally above the six-year low of $15.77 recorded at the close of the ASX yesterday. 

The company reported double-digit revenue growth for the first half of FY26, but it didn’t do enough to reignite confidence in investors. There are still concerns about the outlook for the job ad market after the recent softening. 

But analysts are incredibly optimistic about the outlook for Seek shares. All 15 have a consensus buy rating, and the average target price is $25.51 a piece. That implies a potential 60.06% upside at the time of writing. It looks like the latest price crash has created a window for investors to buy the stock cheaply.

The post These ASX 200 shares have sunk to 6-month lows. Time to buy? appeared first on The Motley Fool Australia.

More reading

• Can this $7 billion ASX retail stock stage a comeback?
• Why Bapcor, Brainchip, Coles, and Harvey Norman shares are dropping today
• Harvey Norman posts 1H26 result
• Experts say IAG shares and 2 other stocks are buys at 52-week lows this week
• 2 ASX dividend shares to buy for passive income

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

The S&P/ASX 200 Index (ASX: XJO) is out of form and sinking into the red on Wednesday. In afternoon trade, the benchmark index is down 1.8% to 8,915.1 points.

Four ASX shares that are falling more than most today are listed below. Here’s why they are sinking:

Brightstar Resources Ltd (ASX: BTR)

The Brightstar Resources share price is down 3.5% to 53 cents. This morning, this gold developer announced the successful completion of a fully subscribed US$120 million bond issue to support the development of its Goldfields Project in Western Australia. Brightstar’s managing director, Alex Rovira, said: “We are extremely pleased to have secured this US$120 million Bond, which is a strong endorsement of the Goldfields Project, the robust Feasibility Study outcomes and Brightstar’s broader Target200 production strategy of becoming a Western Australia +200,000oz per annum gold producer.”

Endeavour Group Ltd (ASX: EDV)

The Endeavour share price is down 5% to $3.78. This has been driven by the release of the drinks giant’s half-year results. The Dan Murphy’s owner posted a 0.9% increase in group sales to $6.7 billion but a 6.7% decline in underlying net profit after tax to $278 million and a 17.1% decline in statutory net profit after tax to $247 million. Nevertheless, Endeavour’s managing director and CEO, Jayne Hrdlicka, was pleased. She said: “We are pleased to report that the Group has delivered a first half earnings result that demonstrates the strength in our customer franchise as we restart top line growth in Retail. In a challenging market, our increased focus on value and price leadership has been embraced by our customers and is delivering both sales growth and market share gains.”

Evolution Mining Ltd (ASX: EVN)

The Evolution Mining share price is down 3.5% to $16.26. Investors have been selling Evolution Mining and other gold miners today following a pullback in the gold price overnight. The precious metal tumbled amid concerns that the war in the Middle East could cause inflation to spike and send interest rates higher again. This would reduce demand for the safe haven asset. The S&P/ASX All Ordinaries Gold index is down 3.3% at the time of writing.

Woolworths Group Ltd (ASX: WOW)

The Woolworths share price is down 3.5% to $35.55. This has been driven by the supermarket giant’s shares going ex-dividend this morning for its interim dividend. Last month, Woolworths released its half-year results and declared a fully franked 45 cents per share dividend. Eligible shareholders can now look forward to receiving this next month on 2 April.

The post Why Brightstar, Endeavour, Evolution Mining, and Woolworths shares are falling today appeared first on The Motley Fool Australia.

More reading

• Dan Murphy’s owner Endeavour tumbles on results day
• Can these red hot ASX 200 stocks keep rising?
• Endeavour Group earnings: NPAT drops as sales rise; interim dividend declared
• 5 things to watch on the ASX 200 on Wednesday
• Can these 2 ASX mining stocks keep soaring in 2026?

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

New Hope Corporation Ltd (ASX: NHC) shares are down 1.76% in lunchtime trade on Wednesday. At the time of writing, the ASX coal stock’s shares are changing hands at $5.01 a piece. But today’s decline comes off the back of a string of daily share price gains.

At the time of writing, New Hope shares are now 23.58% higher for the year to date and 24.81% higher over the year. 

What has driven New Hope shares higher this year?

New Hope shares have climbed this year thanks to a combination of improving coal prices, solid production figures, and news of new capital-market buybacks. Analysts’ ratings also helped drive the share price higher.

Coal prices jumped 8% in late January and have then surged another 16% over the past five days. At US$138 per tonne, coal is currently sitting at its highest level since December 2024. It’s also 18.86% higher over the month and 35.96% higher than a year ago. And these types of increases have been great news for coal stocks like New Hope.

The coal price isn’t the only thing supporting New Hope shares. The company also posted a solid quarterly update in mid-February. At the time, it announced that its group coal sales were up 8.2% over the quarter and production was 4.8% higher. Underlying EBITDA of $106.9 million was steady.

Meanwhile, just yesterday, New Hope extended its on‑market share buyback program through to March 2027. This is part of the company’s ongoing capital management strategy.

Following the flurry of company updates and the shift in the coal price, many analysts have updated their ratings on New Hope shares. 

What do analysts expect from New Hope shares now?

TradingView data shows that analysts are relatively bearish about the outlook for New Hope shares this year. Out of seven analysts, four have a hold rating, and three have a strong sell rating. The average target price is $4.27, which implies a potential 15.09% downside at the time of writing. 

Morgans said it thinks the company is positioned to achieve the top end of its New Acland 3 guidance range. The broker has a hold rating and $5 target on the stock.

Meanwhile, the team at Bell Potter are bearish on New Hope shares. The broker has a sell recommendation, along with an updated price target of $4.10, citing a subdued thermal coal price outlook.

But not everyone is pessimistic about the company’s outlook. Analysts at Baker Young recommended New Hope shares as a buy to investors in early February. The broker said that the extension of Origin Energy’s Eraring coal-fired power station is a reminder that demand for thermal coal is likely to remain robust for longer than many investors believe. Analysts added that New Hope has a strong balance sheet, and the market is undervaluing the company’s growth potential.

The post New Hope shares soar 24% in 2026 so far: Buy, sell or hold? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Why Boss Energy, Lindian, Magellan, and New Hope shares are rising today
• ASX 200 coal shares surge as commodity price lifts to 14-month high
• New Hope extends share buy-back program to March 2027
• 3 ASX dividend stocks I think every Aussie should own

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 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.

As the dust settles on reporting season, the analyst team at Macquarie has been publishing their thoughts on stocks to buy, hold, and avoid.

We’ve picked three of these that stand out from the pack as providing potential large returns for shareholders.

So let’s see what they are.

AUB Group Ltd (ASX: AUB)

This is an ASX 200 company that operates retail and wholesale insurance brokers and underwriting agencies globally.

The company’s shares are currently trading at $23.45, not far off their 12-month lows of $22.72 and a long way from the highs of $40.28 reached over the past year.

AUB last month reported a 14% increase in net profit and raised its FY26 profit guidance to $220 to $230 million, representing 9.9% to 14.9% growth over FY25.

The Macquarie team said the result beat consensus forecasts across all segments except New Zealand, with the other segments outperforming.

They added that the company “offers attractive growth at a valuation discount”, and they have a price target of $35.81 on AUB shares, while also forecasting a 4% dividend yield.

Cleanaway Waste Management Ltd (ASX: CWY)

This ASX 200 waste management company reported first-half results ahead of expectations, Macquarie said, while also tightening its full-year earnings expectations from $470 to $500 million to $480 to $500 million.

The Macquarie team said they think that “earnings momentum should inflect”, with Cleanaway Management commenting on a favourable backdrop from project work and favourable price dynamics.

The Macquarie team added:

Margin improvement in Solid Waste is a key indicator of the better operating efficiencies resulting from improvement interventions. Health Services was a key disappointment, which is expected to see a 2H improvement. Contract Resources is bedding down well. Cost-out is progressing.

Macquarie has a price target of $3.40 on Cleanaway shares, compared with a price of $2.54 currently, and is forecasting a full-year dividend yield of 2.8%.

Capstone Copper Corp (ASX: CSC)

Capstone Copper’s recently-released EBITDA of US$308 million was in line with consensus estimates, Macquarie said, but the net profit of US$79 million was 28% lower than expected due to higher tax expenses.  

Macquarie said they saw value in the company because its shares were trading at an implied copper price that was well below the spot price.

After running the ruler over Capstone’s first-half results, Macquarie downgraded its price target on Capstone shares by only 1% to $15.40, which compares to $13.20 currently.

Macquarie said the current valuation was “not demanding”.

The post Three stocks to buy for double-digit returns, according to Macquarie appeared first on The Motley Fool Australia.

More reading

• Why Capstone Copper, Life360, Neuren, and St George Mining shares are falling today
• ASX copper producer falls after record Q4 performance
• ASX 200 materials sector leads as earnings season ends with a record high
• Here are the top 10 ASX 200 shares today
• This waste management company should deliver double-digit returns according to three brokers

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 Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended Aub Group. 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 record a disappointing decline. At the time of writing, the benchmark index is down 1.7% to 8,921.7 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 $9.92. Earlier this week, the defence and space company announced that it secured new remote weapon system (RWS) orders valued at approximately $17 million. The largest component is a US$12 million order for R400 RWS units from an established Middle Eastern government customer. EOS also advised that it has finalised a $100 million two-year secured term loan facility. This will support growth across the business, provide additional working capital, and help fund payments related to the acquisition of MARS.

GenusPlus Group Ltd (ASX: GNP)

The GenusPlus share price is up 1% to $8.07. This morning, this essential power and telecommunications infrastructure services provider agreed to acquire Railtrain Holdings. The two parties have agreed upfront consideration of $36.5 million, which is payable in cash. Genus’ managing director, David Riches, said: “I am pleased to announce the signing of binding documentation for our acquisition of Railtrain which is another step forward in our strategy to expand into the rail infrastructure sector. Railtrain is a highly logical acquisition which will add critical scale, and expands the geographical and service capability of our existing MGC rail business.”

Life360 Inc (ASX: 360)

The Life360 share price is up 2% to $20.76. This morning, analysts at Bell Potter responded positively to its full-year results release from yesterday. It has retained its buy rating with a slightly trimmed price target of $40.00. The broker was impressed with Life360’s performance in FY 2025. It said: “2025 revenue of US$489m was slightly above our forecast of US$488m and VA consensus of US$486m and was top end of the US$486-489m guidance range. Adjusted EBITDA of $93m, however, was a beat versus our forecast of US$90m and VA consensus of US$88m and was also above the US$87-92m guidance range. Cash at year end was US$495m which was ahead of our forecast of US$476m.”

WIA Gold Ltd (ASX: WIA)

The WIA Gold share price is up 4% to 57.7 cents. This follows the release of additional significant assay results from recent drilling at its Kokoseb Gold Project in Namibia. The company revealed that results from 18 diamond drill holes targeting mineralised depth extensions beyond the current open-pit mineral resource estimate further confirm the continuity, scale, and robustness of high-grade plunging shoots. WIA Gold’s managing director and CEO, Henk Diederichs, said: “These drilling results continue to confirm the continuity and scale of the high‑grade gold system at depth, further enhancing the prospectivity of an underground mining operation beyond the open pit shell.”

The post Why EOS, GenusPlus, Life360, and WIA Gold shares are rising today appeared first on The Motley Fool Australia.

More reading

• 3 ASX growth shares you’ll wish you’d bought at these cheap prices
• Why Life360 shares could rise 100%
• 5 things to watch on the ASX 200 on Wednesday
• Why Capstone Copper, Life360, Neuren, and St George Mining shares are falling today
• Why are Life360 shares jumping 15% today?

Motley Fool contributor James Mickleboro has positions in Life360. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Electro Optic Systems, GenusPlus Group, and Life360. The Motley Fool Australia has positions in and has recommended Life360. The Motley Fool Australia has recommended GenusPlus Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Exchange-traded funds giant Vanguard has launched two new ETFs and a fund to give Australian investors access to the American market.

Like many ETFs, the new vehicles are designed as an easy way to access offshore markets and provide diversification, in this case across the world’s largest share market.

Invest in global leaders

The S&P 500 Index (SP: .INX) is one of the main benchmarks in the US market and, similar to the All Ordinaries Index in Australia, provides exposure to the top 500 companies listed in the US.

This, by its very nature, means it provides exposure to the major technology companies, with Nvidia currently the largest company by value in the S&P 500, followed by Apple, Microsoft, Amazon, Alphabet, and Meta Platforms.

Asia-Pacific head of investment management for Vanguard Capital Markets, Duncan Burns, said the new ETFs were an efficient way to gain exposure to the US market.

These new Australian‑based S&P 500 funds offer investors a straightforward, low-cost entry point to the world’s largest economy. An S&P 500 allocation can also serve as a tactical satellite position within a broadly diversified portfolio, offering targeted exposure to the U.S. stock market.

The new products include the Vanguard S&P 500 US Shares Index ETF (ASX: V500), an unhedged ETF, and the Vanguard S&P 500 US Shares Index (Hedged) ETF (ASX: V5AH), which is currency hedged to reduce the impact of foreign exchange movements.

New fund also available

There is also a new unlisted fund, the Vanguard S&P 500 US Shares Index Fund, which investors can access through the Vanguard platform.

Mr Burns said investors’ risk appetites would determine which fund was best for them.

By offering both hedged and unhedged options, as well as ETF and unlisted fund structures, we’re giving investors greater choice in how they access that exposure in a way that suits their goals and preferences.

V500 and V5AH have management fees of 0.07% per annum and 0.09% per annum, respectively, while the unlisted managed fund has a management fee of 0.16% per annum.

The ETFs are available to be traded from today.

Vanguard said it is currently Australia’s largest ETF manager with more than $90 billion in ETF funds under management at the end of January.

Other popular choices from Vanguard include Vanguard Australia Shares ETF (ASX: VAS) and Vanguard MSCI Index International Shares ETF (ASX: VGS), which provides diversification across about 1500 international companies from more than 20 countries.

The post Vanguard launches new US-focused ETFs appeared first on The Motley Fool Australia.

More reading

• The easy way to invest globally is with these ASX ETFs
• New to investing: 3 ASX ETFs to set and forget until 2036
• 5 fantastic ASX ETFs to buy and hold for 10 years
• Why these ASX ETFs could be strong buys for investors in their 40s
• The $10,000 ASX share portfolio I’d build for a 25-year-old today

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 Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Paladin Energy Ltd (ASX: PDN) share price is under heavy pressure on Wednesday.

At the time of writing, shares are down 9.55% to $8.31, making it one of the weaker performers on the ASX today.

While this pullback is significant, the uranium miner’s shares are still up around 80% over the past 12 months.

So, what is behind the move today?

Uranium is lagging the broader commodity rally

One key reason for the sharp fall in Paladin shares appears to be the uranium price.

Right now, uranium is trading at about US$86.20 per pound. While that remains well above levels seen a few years ago, it has not been moving higher in line with the rest of the commodity market.

Oil, copper, and gold have all strengthened in recent weeks, supported in part by rising geopolitical tensions in the Middle East. Investors have rotated into energy and traditional safe-haven assets, while uranium has largely moved sideways.

There has also been fresh news in the uranium market, including a multi-billion-dollar supply agreement between India and Canada. While the deal highlights ongoing nuclear demand, it also reinforces that additional supply is entering the market.

Increased supply can place pressure on prices, which may be contributing to the softer tone in uranium stocks.

Key levels on the chart

From a technical standpoint, Paladin had been in a clear uptrend for most of the past year.

However, that trend has slowed in recent weeks.

The relative strength index (RSI) has eased back toward neutral levels, which suggests buying momentum has cooled. It is no longer in overbought territory.

The share price is also trading near its lower Bollinger Band, reflecting the recent increase in selling pressure.

In terms of key levels, the $8 area now stands out as important support. If shares hold above that level, the weakness may be contained. If it breaks lower, the next support zone appears closer to the mid $7 range.

On the upside, resistance is likely to emerge between $9 and $9.50, where the stock has previously struggled to move higher.

Foolish Takeaway

It is important to remember that Paladin is a uranium producer. Its earnings outlook is closely tied to uranium prices.

If uranium remains around US$86 per pound or drifts lower, sentiment toward uranium stocks may stay subdued in the short term.

That said, the broader outlook supporting nuclear power, energy security, and rising electricity demand remains firmly in place.

Today’s weakness appears to reflect profit taking following a strong 12-month run, rather than a change in Paladin’s fundamentals.

The post Why the Paladin share price is sinking 9% today appeared first on The Motley Fool Australia.

More reading

• Which ASX uranium stock is the smarter buy: Nexgen Energy or Paladin Energy?
• Here are the top 10 ASX 200 shares today
• Paladin share price jumps after major Canadian project approval
• Paladin share price on ice pending major announcement
• 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.

The BHP Group Ltd (ASX: BHP) share price has tumbled further in early-morning trade on Wednesday as conflict in the Middle East continues to put pressure on energy and commodity markets, and investor sentiment softens.

At the time of writing, the shares are down 4.33% to $5.20 a piece. It’s the second consecutive loss. The shares closed 2.62% lower yesterday afternoon.

Despite the drop, the BHP share price is still 20.59% higher for the year to date and 39.79% above where it was a year ago.

What has happened?

The miner reported impressive half-year earnings last month, prompting investors to flock to the stock. On the bottom line, the ASX 200 miner achieved a 22% increase in underlying profit to US$6.20 billion. This saw management declare a fully-franked interim dividend of 73 US cents (AU$1.03) a share, up 30% in Aussie dollar terms and up 46% in US dollar terms.

The company’s share price hiked nearly 18% between the announcement and the close of the ASX on Friday last week. It’s likely that some softening in the share price this week is due to cooling investor interest following the sharp uptick.

At the same time, soaring geopolitical uncertainty as the US and Israeli war against Iran continues to intensify, is also frightening investors. The Middle East Conflict has boosted the US dollar and dampened demand expectations for commodities. Generally, a stronger US dollar tends to make US-dollar-priced commodities less attractive, which can dent the share prices of miners, such as BHP.

Meanwhile, to add to this week’s headwinds, there have been recent reports that BHP Queensland mines can no longer compete for investment and that the company is receiving no returns from the projects. The update will raise more concern for investors about the company’s outlook.

What’s next for the BHP share price?

TradingView data shows that the majority of analysts still have a hold rating on BHP shares. Of 20 analysts, 11 rate the mining giant’s stock as a hold, and 7 have a buy or strong buy rating. Another two have a sell or strong sell rating on BHP shares. This is an improvement from last month, when three analysts had a sell rating on the stock.

The average target price is currently $52.74 per share, which, after the latest rally, implies a 4.74% downside at the time of writing. 

Although some analysts are bullish that the shares could climb 22.73% to $67.95 a piece this year. And others think the stock could shed 35.95% and tumble to $35.46.

Many of the target prices have been raised over the past week. Late last month, Jason Fairclough of Bank of America put a 12-month price target of $68 on BHP shares, up from $57 previously.

Citi also updated its price target, lifting it from $49.60 to $53.41 while keeping a hold rating. As did Barclays, which lifted its target to $52.84 and maintained its hold rating.

The post What’s next for the BHP share price? appeared first on The Motley Fool Australia.

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Citigroup is an advertising partner of Motley Fool Money. Bank of America is an advertising partner of Motley Fool Money. 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 recommended Barclays Plc. 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.