Category: Stock Market

ASX wine stock Treasury Wine Estates Ltd (ASX: TWE) has endured a difficult period. It is down almost 40% over the past 12 months, as investors have grappled with uneven consumer demand, a slower-than-expected recovery in China, and broader concerns about discretionary spending.

However, sentiment appears to be improving. Treasury Wine shares have climbed approximately 14% over the past month, suggesting some investors may be starting to look beyond the current challenges.

While conditions remain far from perfect, Treasury Wine doesn’t need everything to go right immediately. It simply needs its premium brands, distribution network, and key markets to strengthen over time. If that happens, some market experts believe today’s share price could prove attractive in hindsight.

Why Treasury Wine could bounce back

Treasury Wine owns some of the world’s most recognised wine brands, including Penfolds, 19 Crimes, Wolf Blass, Lindeman’s, and Squealing Pig.

The company’s strategy is increasingly focused on premium and luxury wines, which generally deliver stronger margins and are less exposed to volume fluctuations than lower-priced products.

China also remains an important long-term opportunity for the ASX wine stock. The removal of Chinese tariffs on Australian wine reopened a major export market, though demand has taken time to rebuild. If sales momentum improves, it could provide a meaningful earnings tailwind in the coming years for the ASX wine stock.

In addition, Treasury Wine’s global distribution footprint gives it exposure to multiple markets, reducing reliance on any single region.

Uneven consumer demand

Of course, risks still surround the ASX wine stock.

Consumer demand remains uneven across several markets as households contend with cost-of-living pressures. Premium wine sales can also be sensitive to changes in consumer confidence and spending habits.

Competition across the global wine industry remains intense, and Treasury Wine must continue to execute successfully on its premiumisation strategy.

Investors will also be watching closely to see whether the recovery in China gathers pace. A slower-than-expected rebound could weigh on earnings growth and investor sentiment.

What analysts think

Analysts remain optimistic despite the challenges.

Citi continues to rate Treasury Wine as a buy. The broker recently retained its buy rating and $5.50 price target on the company’s shares.

Based on the current share price of $4.83, this implies potential upside of approximately 14%.

The team at Morgans is also bullish on the premium ASX wine stock following its recent investor day update.

Morgans reiterated its buy rating and lifted its price target to $5.95 per share. That valuation suggests upside potential of around 23% over the next 12 months.

While Treasury Wine still faces near-term headwinds, analysts appear to believe the market may be underestimating the long-term value of its premium brand portfolio and growth opportunities.

The post This crushed ASX wine stock could surprise investors appeared first on The Motley Fool Australia.

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• Buy, hold, sell: G50, Lottery Corp, and Treasury Wine shares
• Here are the 10 most shorted ASX shares

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 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.

Buying into resources companies as they’re progressing their projects towards production can be a solid strategy for impressive share price gains, as long as the execution is a success.

The analyst team at Macquarie has this week published research notes on two companies, both in the critical minerals sector, which they believe have the potential for strong gains based around this very thesis.

Let’s have a look at who they like.

Meteoric Resources Ltd (ASX: MEI)

This rare earths project developer recently provided an update on its Caldeira project pilot plant, saying it was delivering “exceptional performance” with magnetic rare earth oxide (MREO) recoveries of 80% during May.

The pilot plant was commissioned in late 2025 the company said, and MREO recoveries had been improving over that time.

The company added:

Recoveries to mixed rare earth carbonate (MREC) for the lite MREO – neodymium and praseodymium (NdPr) and heavy MREO – dysprosium and terbium (DyTb) have averaged 71% over the operational period. This is in line with the May 2025 Pre-Feasibility Study estimate which was based on detailed testwork and piloting completed at the Australian Nuclear Science and Technology Organisation (ANSTO). Total rare earth oxide (TREO) recovery of 61% is materially above the PFS estimate. Exceptional recoveries of 80% for MREO and 74% for TREO were achieved over the last month, reflecting ongoing process optimisation, iterative flowsheet improvements and ore quality.

The company said that bulk MREC samples had been supplied to a range of groups for separation test work including existing partners Neo Performance Materials in Europe, and Ucore and MTM in the United States.

The Macquarie team said in their report to clients this week that the performance of the pilot plant was at better than nameplate capacity, and the rare earth recoveries were above their forecasts.

They added:

MEI continues to execute its development plan with steady progress. We see value in the company, which is currently trading at an implied NdPr price of US$70/kg, 36% below our base-case assumption of US$110/kg and 31% below spot price of US$103/kg.

Macquarie has a target price of 45 cents on Meteoric Resources shares compared to 17.5 cents currently. If achieved this would be a 157.1% return.

Wildcat Resources Ltd (ASX: WC8)

Shares in Wildcat Resources have appreciated about 310% over the past 12 months, but the Macquarie team thinks they still have a way to go.

The company is currently working on a definitive feasibility study for its Tabba Tabba lithium project in Western Australia’s Pilbara region, and said in May there was strong interest in offtake agreements for the mine’s products.

Wildcat Project Director James Dornan said at the time:

We are close to finalising the Definitive Feasibility Study for the Tabba Tabba Project. Mine planning and metallurgical test work is being progressed across the entire life of mine, with material from Years 1-2 of open pit operations achieving a spodumene concentrate grade of 5.65% Li2O with low iron and excellent recoveries, providing confidence for the commissioning and ramp up phases of the Project.

The Macquarie team said the company stands out because of its large resource base and favourable mining geometry.

They added:

Beyond Tabba Tabba, the Bolt Cutter discovery provides incremental upside, in our view, with drilling supporting an expanding spodumene footprint proximal to existing infrastructure. This has the potential to enhance overall project scale, improve development flexibility and extend mine life over time.

Macquarie has a price target of 90 cents on Wildcat shares compared to 55.5 cents currently. If achieved this would be a return of 62.2%.

The post These 2 ASX resources companies could deliver better than 60% returns, Macquarie says appeared first on The Motley Fool Australia.

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• Which ASX lithium shares to buy as the market recovers: 2 brokers weigh in

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

Accent Group Ltd (ASX: AX1) shares have been on fire this week.

Since this time last week, the ASX share has risen 17%.

The catalyst for this has been a low-ball takeover offer from one of the footwear retailer’s shareholders.

Is it too late to invest? Let’s see what analysts at Bell Potter are saying.

Is this ASX takeover target a buy?

Commenting on the takeover offer, Bell Potter said:

Accent Group (AX1)’s major shareholder with a 22.9% holding (as last reported), UK based Frasers Group (FRAS) made an on-market takeover bid on Monday morning. The current takeover bid represents no premium to the last close of $0.65 at the time and below the levels FRAS last acquired AX1 shares in Jan/Feb-26 at $0.90- 0.95/share. We see this as an opportunistic bid at a time when AX1 navigates cyclical low macroeconomic conditions especially in its key lifestyle footwear market (~60% of the group) with the broader category trending flat to negative in Australia and multiple earnings downgrades resulted from weak market conditions & poor performance from non-core businesses.

The broker has been looking into how much it thinks Accent shares are worth and has concluded that fair value is 80 cents per share. It explains:

Our previous 12-month based price target was A$0.60/share. We now utilise a terminal value-based price target for AX1, based on a terminal earnings base (historically last seen in FY23), in addition to cost cuts needed to achieve this level of earnings from our current low level of earnings base in FY27e. Thereafter we factor in a discount for the potential removal of certain brands within the poor performing lifestyle footwear division in reaching a fair value for AX1 shares. Our valuation of A$0.80/share sees ~23% upside from the present bid from FRAS.

Should you invest?

According to the note, Bell Potter has retained its hold rating on the ASX takeover target with an improved price target of 80 cents. This implies potential upside of 6.7% for investors from current levels.

In addition, it is forecasting fully franked dividend yields of 5.3% in FY 2026 and then 4.6% in FY 2027.

Commenting on its recommendation, the broker said:

There are no changes in our forecasts as we’ve recently downgraded our estimates (published on 20-May-26), however we revise down our expectations on forward dividend payments (BPe forward dividend payout of 62-64% vs prev. 72-74%). Our PT increases by ~33% to $0.80/share (prev. $0.60/share) as we consider a terminal valuation for the stock. Maintain HOLD.

The post Is the ASX takeover target a buy? appeared first on The Motley Fool Australia.

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

Yesterday afternoon, Mirvac Group (ASX: MGR) announced a distribution of 4.8 cents per stapled security for the six months ending 30 June 2026, to be paid at the end of August.

What did Mirvac Group report?

• Distribution of 4.8 cents per stapled security
• Distribution relates solely to Mirvac Property Trust; no dividend from Mirvac Limited
• Distribution is fully unfranked
• Record date: 30 June 2026; ex-date: 29 June 2026
• Payment date: 31 August 2026
• Distribution Reinvestment Plan (DRP) is available

What else do investors need to know?

The distribution for this period applies only to Mirvac Property Trust, and not to Mirvac Limited. Securityholders can choose to receive their payments in either Australian or New Zealand dollars, depending on their nominated bank account and registered address.

Detailed tax component information for the distribution will be made available on the Mirvac website around the payment date. Investors may contact the share registry for further assistance regarding payment options or to update their details.

What’s next for Mirvac Group?

Mirvac is set to pay the announced distribution by the end of August, with the final amount and currency exchange rates for New Zealand holders to be confirmed closer to the payment date. The company will release full tax component details online, helping investors manage tax requirements.

Looking ahead, eligible securityholders can reinvest their distribution through the DRP, which may appeal to those seeking to grow their investment in Mirvac over time.

Mirvac Group share price snapshot

Over the past 12 months, Mirvac Group shares have declined 22%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 5% over the same period.

View Original Announcement

The post Mirvac Group announces June 2026 distribution appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

BHP Group Ltd (ASX: BHP) shares have been on a tear in 2026.

The mining giant surged to a 52-week high of $65.59 on Wednesday, extending its remarkable run. BHP shares are now up 44% year to date and an impressive 72% over the past 12 months.

That’s great news for shareholders — myself included.

Back in late 2020, I made one of my first investments in the Australian share market, buying BHP shares during a period of enormous uncertainty. Nearly six years later, the results offer a fascinating lesson in patience, dividends, and the power of compounding.

Here’s how the investment has performed.

A volatile but rewarding journey

At the end of 2020, I invested $24,987 to purchase 682 BHP shares at $36.63 each.

It didn’t take long for volatility to arrive.

The world was still grappling with the pandemic, commodity markets were swinging wildly, and BHP shares briefly traded back into the low $30s as investors worried about global growth.

Then came one of the strongest commodity booms in recent history. Iron ore prices soared, profits surged, and BHP shares powered beyond $50 during the 2021 and 2022 mining rally.

The cycle eventually turned. China’s property downturn weighed on sentiment, iron ore prices retreated, and the share price drifted back towards the high $30s before finding its footing.

Today, BHP shares sit at $65.59, well above my original purchase price.

Capital growth and dividends

Based on Wednesday’s closing price, my original 682-share holding is now worth approximately $44,732.

That alone represents a capital gain of around $19,745.

But BHP’s appeal has never been limited to share price appreciation.

Over the past five and a half years, the miner has distributed enormous dividends, particularly during the peak profit years when commodity prices were booming.

Assuming total dividends of roughly $24 per share over the period, those 682 BHP shares would have generated around $16,368 in cash income.

Add that to the capital gain and the total value created exceeds $60,000 — more than double the original investment.

The power of reinvestment

The story becomes even more interesting when dividends are reinvested.

Assuming participation in BHP’s dividend reinvestment plan (DRP) and an average share price of $51 over the period, those dividend payments could have steadily increased the holding from 682 shares to approximately 806 shares.

That’s where compounding starts to shine.

At today’s share price of $65.59, the 806 BHP shares would be worth roughly $52,866.

Importantly, those extra shares also generate larger future dividend payments, creating a snowball effect over time.

Foolish Takeaway

The past five and a half years have highlighted both sides of investing in BHP shares.

The stock is undeniably cyclical, with returns heavily influenced by commodity markets and global economic conditions.

But it has also demonstrated the wealth-building power of combining capital growth with substantial dividend income.

Whether those dividends were spent or reinvested, patient shareholders who stayed the course through the ups and downs have been richly rewarded.

The post I bought 682 BHP shares in 2020. Here’s how they’ve performed appeared first on The Motley Fool Australia.

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

Some of the ASX 200’s best-known technology shares have been hit hard.

That does not automatically make them buys. A falling share price can sometimes signal a broken growth story.

But when the company still has a strong product, a large market, and a clear reason to keep growing, a major pullback can also create an opportunity for investors.

With that in mind, here are two ASX 200 tech shares that I think could be worth buying before they rebound.

Life360 Inc (ASX: 360)

The first ASX 200 tech share to look at is Life360. Its shares are down almost 60% from their high, which is a sharp fall for a company that continues to deliver strong recurring revenue growth and an ever-expanding global user base.

Life360 is sometimes described as a family tracking app, but that arguably undersells what the company is trying to become. It is building a digital safety layer for households, combining location sharing, driving alerts, crash detection, emergency support, and connected services.

The product works because it solves a simple human problem: families want to know that the people they care about are safe.

That can make the platform highly engaging. Once families start relying on it, the app can become part of daily life rather than something used occasionally.

If Life360 can keep growing paid subscriptions and expanding its services carefully, the recent share price weakness may prove to be an incredible buying opportunity.

Pro Medicus Ltd (ASX: PME)

Another ASX 200 tech share that could rebound strongly over the next 12 months is Pro Medicus.

The medical imaging software company’s shares are down around 50% from their high. Once again, this is despite Pro Medicus continuing to deliver stellar earnings growth and report major contract wins.

Pro Medicus sits inside a part of healthcare where speed and accuracy matter. Hospitals and radiology groups are producing enormous volumes of scans, and doctors need systems that can move large images quickly, display them clearly, and fit into busy clinical workflows.

Its Visage platform does this in a way that has helped the company win large contracts from some of the most important healthcare institutions in the world.

While Pro Medicus’ valuation has often looked demanding, I think its strong growth, world-class technology, and positive long-term growth outlook justifies this.

And if the company keeps winning contracts and expanding across large health networks, the pullback could prove to be a compelling long-term buying opportunity.

The post 2 of the best ASX 200 tech shares to buy before they rebound appeared first on The Motley Fool Australia.

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

At the current Fortescue Ltd (ASX: FMG) share price, investors may find an ASX mining share with an incredibly attractive dividend yield.

The iron ore miner has been one of the biggest dividend payers on the ASX over the last 10 years.

Fortescue’s dividend in FY26 could be another year of a large payout for shareholders. Let’s look at how large the payment could be for the 2026 financial year.

Dividend projection for the ASX mining share

Despite all of the global economic disruption during FY26, the iron ore price has held up fairly well above US$100 per tonne through most of the 2026 financial year.

According to Trading Economics, the iron ore price was trading above US$110 per tonne a few weeks ago. While it has dropped quite a bit since that peak in mid-May, it’s still above US$100 per tonne, which is still high enough for Fortescue to generate very pleasing net profit.

Looking at the projection on Commsec, the business is forecast to pay an annual dividend per share of $1.20 in FY26, though investors have already received the FY26 interim dividend. At the time of writing, the annual payout translates into a dividend yield of 5.8% excluding franking credits and 8.25% including franking credits.

That’s a high dividend yield compared to the overall dividend yield of the ASX share market. But, is it good enough to buy the ASX mining share just for the passive income?

The passive income may reduce

While the dividend for FY2026 may be exceptionally attractive, it’s important to consider what may happen with future dividends and if the Fortescue share price is attractive.

The dividend and profit this year may be strong, but future years may not be as good. One of the factors is that iron ore production from Africa could increase in the coming years – increased supply is likely to be a headwind for the iron ore price and therefore Fortescue’s financials.

The current projection on Commsec suggests the business could pay an annual dividend per Fortescue share of 95 cents in FY27 (down 21%) and 67.5 cents per share in FY28 (down another 29%). Therefore, the Fortescue dividend yield is estimated to reduce in the next two financial years.

I wouldn’t particularly want to invest in a business for passive income if the dividends are expected to fall substantially relatively soon.

Is the Fortescue share price a buy?

In terms of the attractiveness of the Fortescue share price, analysts are not feeling positive about the ASX mining share.

According to Commsec’s collation of analyst opinions on the company, there are currently eight sell ratings, eight hold ratings and one buy rating regarding Fortescue shares.

It seems there are better opportunities out there than Fortescue shares.

The post Is the Fortescue share price a buy for its 8% dividend yield? appeared first on The Motley Fool Australia.

More reading

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Motley Fool contributor Tristan Harrison 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.

If you have $10,000 to invest and want passive income, then it could be worth considering the three ASX dividend shares in this article.

Here’s what you need to know about these names:

Harvey Norman Holdings Ltd (ASX: HVN)

The first ASX dividend share to look at is Harvey Norman.

It is often viewed simply as a retailer, but there is more to the story than televisions, sofas, fridges, and laptops.

Harvey Norman is really a way to gain exposure to the household replacement cycle. People may delay big-ticket purchases when conditions are tough, but over time homes still need appliances, furniture, technology, bedding, and renovation-related products.

That gives the company exposure to spending that can recover when consumer confidence improves.

It also owns a substantial property portfolio, which gives the business a different shape from many other retailers. This property backing can add support to the investment case and gives Harvey Norman another source of value beyond store trading alone.

Harvey Norman trades with a forecast fully franked FY 2027 dividend yield of 6.4%.

Rural Funds Group (ASX: RFF)

Another ASX dividend share that could be worth a look is Rural Funds.

It gives investors a way to own part of Australia’s agricultural infrastructure without having to directly operate a farm.

The group owns agricultural assets and leases them to operators, which means its investment case is more about rental income than trying to pick the next commodity price move.

That is a useful distinction for income investors. Agriculture is essential, but farming can be volatile. Weather, water availability, commodity prices, and operating costs can all affect returns. Rural Funds sits in a different position by owning the underlying assets and collecting rent from tenants.

It is forecast to provide a 5.7% dividend yield in FY 2026 and FY 2027.

Transurban Group (ASX: TCL)

A final ASX dividend share to look at is Transurban.

It owns toll roads in major cities across Australia and North America. These roads form part of the daily movement of commuters, freight operators, airport travellers, and businesses.

That gives the company a practical role in urban life. It is not selling something people buy on impulse. It owns infrastructure that many drivers use because it saves time or provides access to important routes.

This can support steady cash generation over the long term, which is what most income investors are looking for.

The market expects a 4.6% dividend yield from Transurban shares in FY 2027.

The post Where to invest $10,000 in ASX dividend shares appeared first on The Motley Fool Australia.

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

ASX tech shares have endured a rough 12 months, but two former market favourites are starting to show signs of life.

Both TechnologyOne Ltd (ASX: TNE) and Catapult Sports Ltd (ASX: CAT) have posted solid gains over the past month despite remaining well below their levels of a year ago.

So, are investors witnessing the start of a recovery, or is this simply a temporary bounce in a beaten-down sector?

TechnologyOne: Quality business, battered share price

TechnologyOne shares have been swept up in the broader tech-sector sell-off over the past nine months.

While the software company’s shares have climbed 8% over the past month, they remain down 23% over the last year.

The pullback of the ASX tech share is somewhat surprising given the company’s operational performance.

In mid-May, TechnologyOne reported its 17th consecutive first-half profit result and reaffirmed its FY2026 guidance, demonstrating the resilience of its software-as-a-service business model.

The company provides enterprise software solutions to government, education, healthcare, and other large organisations. Its sticky customer relationships and recurring revenue base have helped underpin years of consistent growth.

Of course, no investment is without risks. A prolonged slowdown in technology spending, increased competition, or a failure to execute on growth initiatives could weigh on future earnings.

However, analysts at Canaccord Genuity remain upbeat on the ASX tech share.

They describe TechnologyOne as a high-quality software company “with a deeply embedded customer base across key verticals including government and education”.

The broker added:

The company’s operational momentum is strong, with FY26 tracking towards the top end of guidance and FY27 is shaping up as another ~20% profit before tax growth year. We remain confident in TNE’s resilience against AI disruption, runway for growth, supported by earnings upgrades from its AI tool Plus.

Catapult Sports: A global sports-tech leader

Catapult Sports has also endured a difficult year.

The ASX tech share has gained 6% over the past month but remains down 43% over the past 12 months.

The company develops performance analytics and athlete monitoring technology used by professional sporting teams around the world. Its wearable devices and software platforms help teams track player performance, manage workloads, and reduce injury risks.

Catapult’s biggest strength is its global footprint and leadership position in a niche market with significant barriers to entry. As professional sports become increasingly data-driven, demand for its products could continue growing.

The risks largely revolve around execution. Investors are expecting strong revenue growth and expanding profitability, meaning any slowdown could pressure the share price.

Despite those risks, analysts remain optimistic on the $1 billion ASX tech share. Bell Potter has a buy rating and $4.65 price target on Catapult shares. Based on the current share price of $3.16, that implies upside of approximately 47%.

Morgans is even more bullish. It has a buy rating and a $5.40 price target, suggesting potential upside of around 70%.

The post Why these 2 battered ASX tech shares look ready to surge appeared first on The Motley Fool Australia.

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Motley Fool contributor Marc Van Dinther has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Catapult Sports and Technology One. The Motley Fool Australia has positions in and has recommended Catapult Sports. 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.

If income is the goal, I think it can make sense to look for ASX dividend shares backed by assets and products that people rely on.

I would want to own businesses with cash flows that are supported by essential infrastructure, repeat demand, and long customer relationships.

Two ASX dividend shares I would consider buying this month for an income portfolio are named below.

APA Group (ASX: APA)

APA Group is one dividend share I think looks attractive for income-focused investors.

The business owns and operates a large portfolio of energy infrastructure assets, including gas transmission, processing, compression, storage, power generation, battery storage, and electricity transmission infrastructure.

That gives APA a very different profile to many ordinary dividend shares. The company’s assets help move energy around the country. It delivers around half of Australia’s domestic gas through more than 15,000 kilometres of pipelines that it owns, operates, and maintains. That kind of infrastructure is hard to replicate and remains important even as the energy system changes.

I also like that APA is not just sitting still as an old-world gas pipeline business. It has exposure to gas-powered electricity, renewables, batteries, and electricity transmission. Australia’s energy transition will be messy and expensive, and I think infrastructure owners can play an important role in keeping the system reliable.

The income appeal is also very clear. According to CommSec, APA is expected to pay dividends per share of 58 cents in FY26, 59 cents in FY27, and 69 cents in FY28. Based on the current share price of around $10.42, that implies dividend yields of approximately 5.6%, 5.7%, and 6.6%, respectively.

Of course, investors still need to watch debt, interest rates, regulation, and capital spending. Infrastructure businesses are not immune from risk. But I think APA’s asset base and role in Australia’s energy system make it a strong candidate for investors seeking dependable income.

Amcor plc (ASX: AMC)

Amcor is another ASX dividend share I would consider buying this month.

This is not a business that needs a booming economy to remain useful. Amcor makes packaging and dispensing solutions used across nutrition, health, beauty, wellness, and other consumer categories.

That may sound simple, but packaging sits inside a huge number of everyday products. Food needs to be protected, medicines need safe and reliable packaging, and beauty and personal care products need containers, closures, cartons, and flexible packaging that work well for brands and consumers.

Amcor operates across more than 400 locations in more than 40 countries, which gives it a global footprint and exposure to many different customers and markets. I think that global spread is important.

Amcor is not relying on one country, one retailer, or one product category. It is supplying packaging solutions across a wide range of consumer staples and healthcare-related markets. That can help make its earnings more resilient than many cyclical businesses.

The dividend also looks sizeable.

CommSec consensus estimates predict that Amcor will pay dividends per share of $3.66 in FY26, $3.27 in FY27, and $3.34 in FY28. Based on a share price of around $58.78, that implies dividend yields of about 6.2%, 5.6%, and 5.7%, respectively.

I think that is a strong income profile for a global packaging business.

There are still risks, including input costs, currency movements, customer demand, debt, and the need to keep investing in more sustainable packaging. But I think Amcor’s scale, customer relationships, and exposure to repeat-use consumer categories make it a dividend share worth considering.

Foolish takeaway

I do not think income investing needs to be exciting. In fact, some of the most useful dividend shares are attached to assets and products people keep relying on through different conditions.

APA and Amcor both carry risks, particularly around debt, costs, regulation, and capital spending. But for investors seeking income, I think their forecast yields and underlying business roles make them worth considering.

If the goal is dependable cash flow rather than market excitement, boring can be beautiful.

The post 2 rock-solid ASX dividend shares to buy this month appeared first on The Motley Fool Australia.

More reading

• How to make $2,000 of monthly passive income from ASX shares
• These ASX dividend shares keep giving investors a pay rise
• How to build a passive income stream for life with ASX shares
• 3 safe ASX dividend shares to buy for income
• How I’d aim to build $10,000 a year in passive income from ASX shares

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