Category: Stock Market

The Vanguard Australian Shares Index ETF (ASX: VAS) is one of the most popular ways to invest in the ASX share market, because the exchange-traded fund (ETF) provides exposure to the S&P/ASX 300 Index (ASX: XKO).

A lot has happened in the last few weeks, with events in the Middle East, a rising oil price and the RBA move to increase interest rates by another 25 basis points to 4.1%.

While this isn’t identical to what happened a few years ago following the Russian invasion of Ukraine, there are a lot of similarities related to energy prices and the anticipation of higher inflation.

I think there two reasons why this could be a good time to invest and one why it isn’t.

Dollar cost averaging

Some Australian investors may have a strategy to regularly invest in the ASX stock market by using the VAS ETF to invest in 300 of the largest and most profitable businesses Aussies can invest in.

If someone regularly invests – regardless of whether the price is up or down – that can be called dollar cost averaging. It’s probably good to take emotion and guesswork out of making investment decisions. I’d happily continue with this investment strategy if that’s what I were doing.

There will be volatility along the way, but bull markets will happen too. We don’t know when those changes will happen, but it’s good to be invested for when conditions do eventually improve.

Bank earnings to increase?

Plenty of experienced investors may say not to make investment decisions based on macroeconomic (news) events.

The Middle East events are certainly troubling and it’s difficult to say how this is going to play out.

But, with the RBA increasing the interest rate – and who knows if there will be more rate rises in 2026 – it’s likely to have a net positive impact on the profitability of ASX bank shares.

According to the February 2026 update, around a third of the VAS ETF is allocated to financial shares such as Commonwealth Bank of Australia (ASX: CBA), National Australia Bank Ltd (ASX: NAB), Westpac Banking Corp (ASX: WBC), ANZ Group Holdings Ltd (ASX: ANZ), Macquarie Group Ltd (ASX: MQG) and Bendigo and Adelaide Bank Ltd (ASX: BEN).

A higher RBA rate means banks can lend out money that they aren’t paying (much) interest on, such as transaction accounts, for a higher loan rate. But, the banks will have to hope the higher RBA rate doesn’t lead to a noticeable increase in bad debts and arrears.

If it does lead to higher profits, that can help send the share prices of the banks higher, which would help the VAS ETF because of how large of an allocation in the portfolio they are.

Even better opportunities?

The VAS ETF is a good investment, but I think there are even better ideas out there for Aussies to look at.

There are plenty of investments that have fallen harder than the VAS ETF (it’s down 6% in recent weeks). Those other names could make excellent long-term buys today, producing stronger returns over time.

VAS ETF is a solid choice, but companies like Temple & Webster Group Ltd (ASX: TPW), Tuas Ltd (ASX: TUA), TechnologyOne Ltd (ASX: TNE) and Breville Group Ltd (ASX: BRG) have major growth ambitions. There are plenty of other appealing investments to consider.

The post Is this a good time to invest in the Vanguard Australian Shares Index (VAS) ETF? appeared first on The Motley Fool Australia.

More reading

• 3 ASX ETFs to weather market turmoil
• Should I invest $2,000 in the VAS ETF?
• What I’d do as a beginner with $50,000 to invest in ASX shares
• How investing $50 a day into ASX shares could become $1 million faster than you think
• 4 ASX ETFs to ride through recessions and market crashes

Motley Fool contributor Tristan Harrison has positions in Breville Group, Technology One, Temple & Webster Group, and Tuas. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group, Technology One, and Temple & Webster Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended Technology One and 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 are looking to boost your income portfolio, there are still some ASX dividend shares offering attractive dividend yields and valuations.

Here are two that could be worth a closer look.

GQG Partners Inc (ASX: GQG)

One Australian dividend share that could appeal to income investors is GQG Partners.

The fund manager has had a challenging period, with significant fund outflows over the past 12 months driven by a stretch of underperformance. This has largely been the result of its decision to avoid many of the high-flying AI-related stocks that powered markets higher.

However, that positioning now appears to be turning into a tailwind. As enthusiasm for the AI trade has cooled in recent months, GQG’s relative performance has improved, which could help rebuild investor confidence.

If this continues, it may act as a catalyst for funds inflows to resume, supporting earnings growth in the periods ahead.

In the meantime, GQG is offering very attractive income. Morgans, for example, is forecasting dividends of approximately 21 cents per share in FY 2026 and FY 2027. Based on its current share price of $1.65, this would mean dividend yields over 12% for both years.

In addition, the broker sees plenty of upside on offer from GQG’s shares. Last week, it upgraded them to a buy rating with a $2.03 price target. This implies potential upside of 23% for investors over the next 12 months.

Rural Funds Group (ASX: RFF)

Another Australian dividend share that could be worth considering is Rural Funds Group.

It is a real estate investment trust focused on agricultural assets, including cattle, almonds, macadamias, vineyards, and water rights. These assets are leased to experienced operators under long-term agreements, providing relatively stable and predictable income.

One of the key attractions of the business is its exposure to essential food production and agricultural supply chains. Demand for these assets is supported by long-term population growth and increasing global food consumption.

Rural Funds also benefits from inflation-linked rental increases across much of its portfolio, which can help protect income in a higher inflation environment.

But the main attraction is the income its shares offer. Bell Potter is forecasting dividends per share of 11.7 cents in FY 2026 and FY 2027. Based on its current share price of $2.10, this would mean dividend yields of 5.6% in both years.

Bell Potter has a buy rating and $2.50 price target on its shares. This suggests that upside of 19% is possible between now and this time next year.

The post 2 Australian dividend stars that still offer a good price appeared first on The Motley Fool Australia.

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• 71% chance of RBA hike? These ASX dividend shares still beat rising interest rates
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• Buy, hold, sell: DBI, GQG Partners, and Rio Tinto shares
• Why EOS, GQG, Liontown, and Temple & Webster shares are tumbling today
• Buy this ASX 200 stock for an 11% dividend yield in 2026 and 2027: Morgans

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

Owning BHP Group Ltd (ASX: BHP) stock has been a good move for the past six months, following its rise of approximately 20%. That compares to a decline of 3% for the S&P/ASX 200 Index (ASX: XJO), at the time of writing.

The huge ASX mining share has a massive presence for Aussie investors because of its huge market capitalisation and typically rewarding dividend yield.

After the company’s recent FY26 half-year result. A few things became clear and I think investors should be aware of them.

Copper is now a major part of the company’s earnings

For the first six months of FY26, copper contributed 51% of BHP’s underlying operating profit (EBITDA). In dollar terms, copper underlying EBITDA jumped 59% to US$8 billion. It’s becoming increasingly important for BHP stock.

In other words, iron ore became a minority contributor to the business in HY26. Time will tell what percentage of earnings iron ore will be in the coming years.

BHP reported that the average realised price increased by 32% to US$5.28 per pound, representing an increase of 32% year-over-year. The ASX mining share highlighted short-term large supply disruptions at major copper mines and the threat of tariffs providing “positive price momentum”.

The company expects a continued tight copper market over the next few years. BHP wrote:

Copper fundamentals remain attractive. Demand is expected to grow from ~34 Mt today to >50 Mt by CY50, with the key drivers being ‘Traditional’ economic growth (home building, electrical equipment and household appliances), ‘Energy Transition’ (renewables and electric vehicles) and ‘Digital’ (Artificial Intelligence and Data Centres). Growth potential for ‘Digital’ is promising – we believe that copper demand in Data Centres could grow sixfold to nearly 3Mtpa in CY50.

We anticipate that the cost curve for the mines needed to meet this demand is likely to steepen as both operational and development challenges progressively increase.

Strong demand expected for iron ore

There is a rising iron ore price at the moment, which is a positive for BHP’s potential iron ore earnings in the second half of FY26.

According to Trading  Economics, the iron ore price has bounced back to US$105 per tonne, which is at a level the business can make a pleasing level of profit.

BHP said:

In China, supportive policy measures in CY25 underpinned steel and metals-related manufacturing activity, particularly in transport and machinery, which helped to offset ongoing housing sector weakness and the slowdown in infrastructure investment.

China’s trade surplus surpassed US$1 Tn in CY25 for the first time, as strong exports to global markets offset weaker shipments to the United States. Steel exports provided support to China’s production and more than offset the slight decline in domestic steel demand.

Indian commodity demand continues to grow strongly, driven by broad-based sectoral growth and underpinned by the ongoing capacity additions in the steel and metals value chain (e.g. blast furnaces in steel, smelting and refining in copper).

For me, this suggests that BHP can continue delivering solid profit generation from its iron ore business, which is good news for BHP stock, despite the headwind of expected production from Africa, particularly Simandou (which is partly owned by Rio Tinto Ltd (ASX: RIO).

Positive potash conditions

On top of the good news for copper and iron ore, potash – a greener form of fertiliser – is also expected to benefit from growing demand over the long-term. Excitingly, in the six months to December 2025, the potash average price increased 30% year-over-year thanks to strong demand in Southeast Asia and China.

Stage 1 of the Jansen potash project was 75% complete as of December 2025 and stage 2 was 14% complete. Stage 1 production is targeted for mid-2027.

BHP wrote:            

Longer term, we believe potash benefits from attractive demand fundamentals from the intersection of several global megatrends: rising population, changing diets and the need for more sustainable and efficient use of arable land for agriculture.

The post 3 things about BHP stock every smart investor knows appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: BHP, CSL, and Woodside shares
• Should you buy the dip on ASX mining shares?
• Rio Tinto shares charge higher on big copper news
• Should I invest $2,000 in the VAS ETF?
• Should you buy BHP shares for passive income?

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

On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was back on form and pushed higher. The benchmark index rose 0.35% to 8,614.3 points.

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

ASX 200 set to rise

The Australian share market looks set to rise again on Wednesday following a good night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 9 points or 0.1% higher. In late trade in the United States, the Dow Jones is up 0.2%, the S&P 500 is up 0.3% and the Nasdaq is 0.5% higher.

Oil prices rise

ASX 200 energy shares including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a good session on Wednesday after oil prices pushed higher overnight. According to Bloomberg, the WTI crude oil price is up 2.5% to US$95.85 a barrel and the Brent crude oil price is up 3% to US$103.26 a barrel. This was driven by concerns over the lack of support for US plans to escort tankers through the Strait of Hormuz.

Buy Clarity shares

The team at Bell Potter thinks Clarity Pharmaceuticals Ltd (ASX: CU6) shares are good value at current levels. This morning, the broker has retained its speculative buy rating and $6.40 price target on the radiopharmaceuticals company’s shares. It said: “The stage is now set for a readout from the approval study for 64Cu-SAR-bisPSMA (AMPLIFY) which has now ceased accepting new patient consents and is practically fully enrolled (n=220). The Co-PSMA data along with data from COBRA and anticipated findings from AMPLIFY will form the basis of submission of a new drug application to be submitted to the FDA.”

Gold price flat

ASX 200 gold shares such as Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a subdued session on Wednesday after the gold price traded flat overnight. According to CNBC, the gold futures price is trading at US$5,003.8 an ounce. Traders appear undecided where gold is going next and are waiting for the upcoming US Federal Reserve meeting.

New Hope shares upgraded

New Hope Corporation Ltd (ASX: NHC) shares have been upgraded by analysts at Bell Potter. This morning, the broker has taken its sell rating off the coal miner’s shares after lifting them to a hold rating with a $4.50 price target. It said: “We upgrade to a Hold recommendation and apply a 5% premium to our sum of the parts valuation with energy security concerns exacerbated by recent geopolitical issues. NHC’s low-cost operations will continue to underpin margins through the coal price cycle, funding capital expenditure commitments and supporting shareholder returns. Beyond ramp-up of New Acland Stage 3, we see a limited organic production growth pipeline and believe NHC may participate in industry consolidation.”

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

More reading

• Here are the top 10 ASX 200 shares today
• ASX 200 resilient in face of latest RBA interest rate increase
• Why the New Hope share price is sliding today as coal debate heats up
• Should you buy the dip on ASX mining shares?
• Why New Hope, Pepper Money, Pro Medicus, and Reece shares are falling 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 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.

ASX ETFs can be a simple way to navigate market volatility.

When markets turn turbulent, many investors panic. But history shows downturns often create some of the best long-term opportunities.

Instead of trying to time the market or pick individual winners, exchange-traded funds (ETFs) offer a straightforward way to stay invested while spreading risk.

For Australian investors, a few well-chosen ASX ETFs can help ride out the bumps and position a portfolio for recovery.

Vanguard Australian Shares Index ETF (ASX: VAS)

First up is this popular Vanguard ASX ETF. It tracks the S&P/ASX 300 Index (ASX: XKO), giving investors exposure to around 300 of Australia’s largest companies in a single trade.

That diversification is powerful during market selloffs. Rather than relying on a handful of stocks, investors gain exposure across sectors like banking, mining, healthcare, and consumer goods. Major holdings include companies like BHP Group Ltd (ASX: BHP) and CSL Ltd (ASX: CSL).

Low fees are another advantage. Over time, keeping costs down can significantly boost returns. And when markets recover, a broad ASX ETF like VAS lets investors fully participate in the rebound.

VanEck Morningstar Wide Moat ETF (ASX: MOAT).

If volatility raises concerns about quality, this ASX ETF focuses on companies with strong competitive advantages. The strategy is built around the idea of economic moats, a concept made famous by Warren Buffett.

MOAT invests in US-listed companies that have durable advantages and attractive valuations. The portfolio often includes global leaders such as Microsoft Corp. (NASDAQ: MSFT) and Visa Inc. (NYSE: V).

These businesses tend to have strong balance sheets, dominant positions, and resilient earnings. During market downturns, companies like these often hold up better and recover faster.

SPDR S&P/ASX 200 High Dividend ETF (ASX: SYI).

Finally, investors seeking income might consider this ASX ETF. Market volatility can be unsettling, but dividends can help smooth returns. This fund focuses on higher-yielding Australian companies that return cash to shareholders.

The ETF typically includes banks, resource companies, and other mature businesses with strong cash flow. Holdings often feature names like Westpac Banking Corp (ASX: WBC) and Telstra Group Ltd (ASX: TLS).

While share prices may swing, dividend income can continue flowing. That gives investors the option to reinvest at lower prices or use the income as a buffer.

Foolish Takeaway

The bottom line is that market volatility doesn’t have to be a threat. For long-term investors, it can be an opportunity.

By combining broad market exposure like VAS, quality-focused strategies like MOAT, and income-generating ETFs like SYI, investors can build a portfolio designed not just to withstand volatility but potentially benefit from it.

The post 3 ASX ETFs to weather market turmoil appeared first on The Motley Fool Australia.

More reading

• Should I invest $2,000 in the VAS ETF?
• What I’d do as a beginner with $50,000 to invest in ASX shares
• 3 perfect ASX ETFs for beginner investors in 2026
• This ASX ETF is my stock portfolio’s shield
• Shift your focus to passive income with these dividend ASX ETFs

Motley Fool contributor Marc Van Dinther has positions in BHP Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL, Microsoft, and Visa. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended BHP Group, CSL, Microsoft, VanEck Morningstar Wide Moat ETF, and Visa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

As you would probably be aware of by now, the US-Iran war has resulted in a dramatic spike in oil prices. Thanks to the closure of the Strait of Hormuz, a vital shipping artery for the world’s energy supplies, oil prices have shot higher over March. This has had some serious effects for ASX shares.

Before the United States attacked Iran at the end of last month, crude oil was going for around US$72 a barrel. Today, that same barrel is just over US$100. That’s after getting pretty close to US$120 last week.

This spike, as well as supply fears in Australia, has resulted in a major dent in investor confidence. Over March thus far, the S&P/ASX 200 Index (ASX: XJO) has dropped by a nasty 6.5% or so. Last week, we discussed how US$100 oil affects almost every corner of the share market. And not in a good way, with the obvious exception of ASX energy stocks.

But today, let’s discuss two ASX blue chip stocks that I think are at the front of the firing line in terms of potential commercial damage if oil prices stay elevated going forward.

Two ASX blue chip stocks that will be hit hard by rising oil prices

First up we have Woolworths Group Ltd (ASX: WOW). Although it might not seem like it at first glance, this ASX 200 stock and supermarket operator is going to suffer if oil prices remain elevated. Woolworths runs an extensive nation-wide supply chain network. Goods have to be moved from suppliers to distribution centres, and then on to the supermarkets themselves. Woolies also runs a burgeoning home delivery service.

Unfortunately for Woolworths, this vast logistics network that moves huge volumes of groceries around our vast country is heavily reliant on diesel-powered trucking. As such, its fuel bill has probably already ballooned and could continue to do so as long as oil prices remain elevated.

Next up, let’s talk about Transurban Group (ASX: TCL). Transurban stock has long been a favourite of ASX income investors, who buy this company’s shares for the stable and reliable income stream they provide. Transurban enjoys a few advantages that help the company maintain these dividends. For one, Transurban’s tolled roads are some of our nation’s most popular road routes, with many vital economic arteries spanning major cities like Sydney and Melbourne. For another, this ASX stock is given the right to increase the tolls on these roads regularly, usually by at least the rate of inflation.

However, Transurban is also vulnerable to higher oil prices. Many road users can change to using alternative forms of transport, or increase their working-from-home hours, if the cost of driving spikes. Although driving is not optional for many motorists, others might opt for a train, bus, ferry or bicycle if fuel costs remain elevated. If we see US$100 oil over much of the rest of 2026, I wouldn’t be surprised if Transurban’s normally stable traffic volumes take a hit.

The post These 2 blue-chip ASX stocks will suffer from high oil prices appeared first on The Motley Fool Australia.

More reading

• 3 of the best ASX income stocks to buy now
• Looking to defend your portfolio from volatility? – 3 great ASX ETFs to consider
• 71% chance of RBA hike? These ASX dividend shares still beat rising interest rates
• Where I’d invest $10,000 in ASX 200 blue-chip shares right now
• How to assess company debt as a new ASX share investor

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

Telstra Group Ltd (ASX: TLS) shares pushed to fresh highs, finishing Tuesday’s session at $5.25 — a new 52-week high.

That caps off a strong run. The ASX telecom giant is now up around 28% over the past 12 months. By comparison, the S&P/ASX 200 Index (ASX: XJO) gained 9.7% over the same period.

So, what’s driving the rally? In part, it looks like investors are leaning into defensive names. In volatile markets, companies with stable earnings and reliable dividends often come back into favour. And Telstra shares fit that bill.

But after such a strong run, what comes next?

Australian dominance

Telstra’s biggest advantage is its dominant position in Australia’s telecommunications market. It has a vast mobile and broadband network, along with millions of customers, giving it scale that competitors struggle to match.

Earnings are also relatively resilient. Telecom services are essential, which means demand tends to hold up even during economic slowdowns.

The company is also benefiting from its ongoing strategy focused on improving margins and monetising its infrastructure. Investments in 5G and network quality are helping support pricing power and customer growth.

Importantly, Telstra generates strong and consistent cash flow — a key factor behind its appeal to investors.

Pressure pricing, large investments

Despite its strengths, Telstra is not without risks.

Competition remains intense, particularly in mobile and broadband. Rivals like Optus and TPG Telecom Ltd (ASX: TPG) can still pressure pricing, especially in value segments of the market.

The business also requires ongoing capital investment to maintain and upgrade its network. These costs can weigh on free cash flow at times.

Another risk is valuation of Telstra shares. After a strong rally, the share price may already reflect much of the good news. That could limit upside in the near term if earnings growth doesn’t keep pace.

Dividend appeal

One of the biggest drawcards of Telstra shares is its dividend.

The company is known for paying fully franked dividends, making it popular with income-focused investors. Its stable cash flow supports consistent payouts, and recent results have shown growth in dividends.

Last month, Telstra lifted its FY2026 interim dividend by 10.5% to 10.5 cents per share. If that momentum continues, it could deliver a fourth straight year of dividend growth.

That means that Telstra offers a solid dividend yield of around 4% at current price level.

What next for Telstra shares?

Broker views on Telstra are currently mixed.

The average 12-month price target sits around $5.20, which is slightly below the current share price. That suggests analysts see limited upside from here in the short term.

The most bullish broker has a price target of $5.60, implying about 7% upside. On the other hand, the most pessimistic view sits at $4.50, which would represent a potential 14% downside over 12 months.

In other words, while Telstra shares have delivered strong recent gains, analysts are divided on where it goes next.

The post Telstra shares hit new highs: what’s next? appeared first on The Motley Fool Australia.

More reading

• Forget term deposits! I’d buy these two ASX 200 shares instead
• Looking to defend your portfolio from volatility? – 3 great ASX ETFs to consider
• 3 legendary ASX dividend shares worth a closer look
• 3 ASX dividend shares I’d buy instead of Westpac
• How I’d start building an ASX retirement portfolio today

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

ASX dividend stocks are a perfect option for investors looking for passive income opportunities. 

You’ve got your high-yield income stocks and stable blue-chip companies. Choosing the right yield usually balancing potential for risk, income and growth 

But what about the high-yield ASX dividend shares which can offer both? 

Here’s one I’d pick.

Why I’d buy Accent Group Ltd (ASX: AX1) today

Accent is a footwear and clothing retailer, wholesaler, and distributor which owns and operates more than 800 retail stores and 35 online platforms across Australia and New Zealand. Its brands include The Athlete’s Foot and Saucony, which sell athletic footwear and general sportswear. Accent also distributes well-known brands like Vans, Timberland, and Sketchers.

The company has consistently expanded, hiked its sales volumes and has benefitted from solid cash generation. 

The company recently said that it is actively pursuing a growth strategy to expand its new and high-performing brands. In FY26 it plans to open over 40 new stores in Australia and New Zealand. The company is actively shifting its portfolio away from underperforming businesses to concentrate on operational efficiency and profitability.

It’s been a tricky 18 months for the business. At the time of writing, Accent shares closed nearly 5% higher yesterday, to 90 cents per share. But they’re currently a whopping 50% lower over the past 12 months. This is mostly due to overall weakness in the footwear sector of Australia’s retail sector.

Despite this, the company has continued to pay attractive dividend yields every six months dating back to 2016.

Ascent will pay its shareholders an interim dividend of 3.25 cents per share this week, which translates to a yield around 7% based on the current share price. And it includes franking credits too.

This is well above the average ASX dividend yield which is around 5%. 

And the best part is, analysts are tipping huge growth for the year ahead.

What are analysts predicting for the ASX dividend stock and its share price?

TradingView data shows that many analysts are bullish on Ascent shares. Out of 13 analysts, five have a buy or strong buy rating and another seven have a hold rating.

But they all agree that an upside is ahead.

The average target price is $1.21 a piece, which implies around 35% upside at the time of writing. Meanwhile others think the ASX dividend stock could jump nearly 100% to $1.75.

Analysts are tipping its dividends to increase over the next year or two too. The dividend per share is projected to increase to 4.3 cents in FY26, up to 6 cents in FY27 and 8 cents in FY28. 

The post 1 ASX dividend stock down 50% I’d buy today appeared first on The Motley Fool Australia.

More reading

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• Grab these ASX dividend stocks now, before their prices rise and yields drop
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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 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.

National Australia Bank Ltd (ASX: NAB) shares closed 0.85% higher on Tuesday afternoon, at $47.46 a piece. For the year-to-date the banking giant’s shares are 11.93% higher.

NAB has been the best-performing ASX bank stock over the past 12 months. It has outpaced its peers Commonwealth Bank of Australia (ASX: CBA), Westpac Banking Corporation Ltd (ASX: WBC) and ANZ Group Holdings Ltd (ASX: ANZ), and also other mid-tier regional bank stocks.

NAB, and the other big-four major banks, have been in the spotlight over the past 12 months after the sector soared in value in 2025 thanks to high interest rates and high-cost of living. 

NAB also reported stronger-than expected profits in its first quarter FY26 earnings result last month. The banking giant revealed a 15% hike in its cash earnings and a 6% increase in revenue. 

So, if I bought $5,000 worth of NAB shares 12 months ago, what are they worth today?

At the time of writing, NAB shares are a whopping 42.78% higher than 12 months ago.

For context, CBA shares are 21.75% higher, Westpac shares are up 38.81% and ANZ shares have hiked 30.81% over the same period.

The current share price means that an investor who bought $5,000 worth of NAB shares 12 months ago would now have $7,139!

Any investors who bought the same amount of shares 5 years ago would now be sitting on double those returns. A 83.03% five-year increase means $5,000 would now be worth a huge $9,154.

Can NAB shares keep climbing at the same rate?

Unfortunately, it’s probably unlikely.

Although some analysts haven’t given up hope just yet.

TradingView data shows that four out of 16 analysts still have a strong buy rating on NAB shares. Another six have a hold rating and six have a strong sell position on NAB’s stock.

The maximum target price is $50.64, which implies a potential 6.7% upside at the time of writing.

But some also think NAB shares could sink 11.71% to $41.90. Or worse, plummet 36.79% to just $30 a piece.

Is there any reason for investors to buy NAB shares?

Analyst forecasts are mixed, but there are other reasons that NAB shares are still a good investment option. 

The ASX bank stock is a good, stable option for investors seeking passive income. It’s a defensive stock which is able to remain stable in times of economic crisis. 

The NAB share price typically trades at a lower price-earnings (P/E) ratio than other sectors, which means investors are able to earn a higher dividend yield. The bank paid an annual dividend per share of $1.70 in FY25, which was 1 cent per share higher than FY24. This is forecast to be $1.705 per share in FY27 and $1.72 per share in FY28. 

The post $5,000 invested in NAB shares 12 months ago is already worth… appeared first on The Motley Fool Australia.

More reading

• Should I invest $2,000 in the VAS ETF?
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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 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 ASX growth stock has been smashed in recent months. Shares in Megaport Ltd (ASX: MP1) are down around 39% year to date and roughly 49% over the past 6 months, hovering near a 52-week low.

That kind of drop would normally scare investors away. But brokers are taking the opposite view on this ASX growth stock. Many see the sell-off as an opportunity — not a warning sign.

So, could now be the perfect time to jump in?

Key enabler cloud computing

Megaport is a network-as-a-service provider. In simple terms, it helps businesses connect to cloud services like AWS, Microsoft Azure, and Google Cloud through its global software-defined network.

Instead of building their own infrastructure, customers can quickly scale connectivity up or down. This makes the ASX growth stock a key enabler of cloud computing, data centres, and AI-driven workloads.

Rapid growth, relative low cost

Megaport is exposed to powerful long-term tailwinds. Demand for cloud computing, artificial intelligence, and data transfer continues to grow rapidly.

The company’s platform is also highly scalable. Once built, it can add customers with relatively low incremental cost — a key feature of successful tech businesses.

Importantly, analysts expect strong growth ahead. Forecasts suggest revenue could grow more than 20% annually, with earnings accelerating even faster as the business scales.

Megaport is also building out new services, including cloud and compute offerings, which could expand its addressable market further.

Fast-moving industry

Despite the growth story, there are real risks.

Megaport is still not consistently profitable. Its recent half-year result showed a statutory loss of about $19 million, which weighed on investor sentiment. This included acquisition costs of $15.8 million that were incurred.

The company also operates in a competitive and fast-moving sector. Larger players and evolving technology could pressure margins or market share over time.

And after years of hype, investor expectations remain high. When results don’t fully impress, the price of an ASX growth stock can fall sharply — as recent months have shown.

What next for the ASX growth stock?

Here’s where things get interesting.

Analysts remain overwhelmingly bullish on Megaport despite the heavy share price decline. The stock currently carries a consensus buy rating, with the majority of brokers recommending it as a strong buy.

The average 12-month price target sits around $15.58, implying roughly 111% upside from current levels.

And the most bullish analysts see even more potential for the ASX growth stock. The highest price target is $23.98, suggesting a massive 225% upside if the company delivers on its growth plans.

Foolish Takeaway

Megaport is not a low-risk investment. The company is still scaling, still investing, and still proving its long-term profitability.

But that’s exactly why the opportunity may exist.

With the share price near a 52-week low and analysts tipping triple-digit upside, Megaport could be one of the more compelling ASX growth stocks to watch in 2026 and beyond.

The post 1 ASX growth stock that could skyrocket in 2026 and beyond 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 Megaport. 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.