Category: Stock Market

Warren Buffett has been one of the greatest investors the world has ever seen as he (and Charlie Munger) built Berkshire Hathaway into an incredible, globally recognised company. Though, he didn’t accomplish that by investing in S&P/ASX 200 Index (ASX: XJO) shares because he’s American.

Buffett famously wanted to stay inside his ‘circle of competence’. In other words, he only wanted to stick to industries that he understands.

That meant he avoided some sectors like technology, even if that meant missing out on some of the returns.

When looking at the list of businesses that Berkshire Hathaway has invested in and owned over the years, there are a few industries that stick out, with one being furniture. In my view, one of the ASX 200 shares that Warren Buffett would consider if he were Australian is Nick Scali Ltd (ASX: NCK).

Numerous positives about Nick Scali shares

Nick Scali is one of the larger furniture businesses in Australia, with its Nick Scali and Plush brands. It also has a small Nick Scali UK division which was originally called Fabb Furniture when it was first acquired.

There are a number of things that I’m sure Warren Buffett would want to see.

Growth in the gross profit margin is a pleasing factor because it shows that increasing scale (or another positive factor) is helping. In the FY26 half-year result, the gross profit margin increased from 62.3% last year to 65.4%.

Other profit margins improving are also a great positive. HY26 revenue rose 7.2% to $269.3 million, the operating profit (EBITDA) grew 18.1% to $96.6 million and net profit rose 23.1% to $41 million. As you can see, EBITDA and net profit both increased a lot faster than revenue.

As a bonus, the business is generous when it comes to the passive income. In HY26, the business hiked its interim dividend by 30%.

I think the ASX 200 share would be particularly compelling to Warren Buffett because of how much room for growth the business still has. It could add dozens of stores in Australia (and New Zealand), as well as the UK.

Increased scale could play a significant part in the company’s profitability in the coming years.

The valuation numbers are also appealing. According to the projection on Commsec, the Nick Scali share price is valued at 16x FY26’s estimated earnings, at the time of writing.

Passive income is expected to increase year-over-year in the 2026 financial year. According to the projection on Commsec, the business is forecast to pay an annual dividend per share of 78.1 cents.

That estimate on Commsec implies a potential grossed-up dividend yield of 7.1%, including franking credits, at the time of writing.

The post Would Warren Buffett buy this ASX 200 share? appeared first on The Motley Fool Australia.

More reading

• Lynas Rare Earths shares in focus after record revenue and new supply deals
• Challenger plans 2026 redemption of Capital Notes 3 with final distribution
• Rio Tinto Q1 FY26: Production growth and steady guidance drive optimism
• HUB24 grows Q3 inflows and funds under administration
• Cleanaway Waste Management shares in focus as strategy refresh targets margin growth

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

The Lynas Rare Earths Ltd (ASX: XJO) share price is in focus today after the company delivered its highest quarterly sales revenue since 2022 and reported a sharp lift in rare earth oxide (REO) production.

What did Lynas Rare Earths report?

• Quarterly gross sales revenue of A$265.0 million, up 115% from Q3 FY25
• Sales receipts of A$234.0 million
• Closing cash and short-term deposits at A$1,070.0 million
• Total REO production of 3,233 tonnes, including 1,996 tonnes of NdPr
• First-ever production of Samarium oxide, ahead of schedule
• CAPEX, exploration, and development payments reduced to A$32.6 million for the quarter

What else do investors need to know?

Lynas recorded its strongest revenue in almost four years, driven by a 25% increase in the average NdPr selling price and higher volumes of rare earth sales. The sales mix was further enhanced with the introduction of Samarium oxide, making Lynas the only commercial producer and supplier of both light and heavy rare earths outside China.

The company renewed its Malaysian operating licence for 10 years, offering stability for further investment. Lynas also announced two new agreements with Japanese partners JARE, including a 12-year NdPr supply contract at minimum pricing, and a framework to boost rare earths cooperation. In March, Lynas inked a framework agreement with LS Eco Energy for a new rare earth metal facility in Vietnam, supporting their strategy to expand the metal and magnet supply chain outside China.

What did Lynas Rare Earths management say?

Chief Executive Officer and Managing Director Amanda Lacaze said:

Our ramp up has delivered strong production and sales outcomes, with key initiatives positioning Lynas for the future and strengthening business resilience.

What’s next for Lynas Rare Earths?

Looking ahead, Lynas aims to further develop its global supply chains with new partnerships in Japan, the US, and Asia. The company’s Towards 2030 strategy focuses on securing new feedstock sources, expanding rare earth separation capability, and adding value-add processing facilities such as the planned magnet plant in Malaysia.

Investment in renewable energy is already paying off, with higher operational efficiency and cost savings at Mt Weld. Lynas remains committed to safety, sustainability, and innovation as it continues to grow its rare earths business in evolving global markets.

Lynas Rare Earths share price snapshot

Over the past 12 months, Lynas Rare Earths shares have risen 130%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post Lynas Rare Earths shares in focus after record revenue and new supply deals appeared first on The Motley Fool Australia.

More reading

• Would Warren Buffett buy this ASX 200 share?
• Challenger plans 2026 redemption of Capital Notes 3 with final distribution
• Rio Tinto Q1 FY26: Production growth and steady guidance drive optimism
• HUB24 grows Q3 inflows and funds under administration
• Cleanaway Waste Management shares in focus as strategy refresh targets margin growth

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 recommended Lynas Rare Earths Ltd. 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.

When it comes to long-term investing, quality ASX shares tend to rise to the top. Businesses with strong competitive advantages, consistent earnings, and the ability to reinvest for growth often deliver the best returns over time.

While markets can be unpredictable in the short term, high-quality companies can keep compounding for years.

Here are two ASX shares that could be worth considering for long-term investors.

REA Group Ltd (ASX: REA)

REA Group is a prime example of an ASX share that could consistently compound over years. It operates Australia’s leading online property marketplace and has built a dominant position that is incredibly difficult to disrupt. Its platform is deeply embedded in the real estate ecosystem, making it the go-to destination for buyers, sellers, and agents.

That dominance translates into pricing power. Even during softer property cycles, REA has historically grown revenue through premium listings and value-added services. This ASX share is not just exposed to housing activity; it actively monetises it.

The business has also continued to evolve. By adding new tools, data insights, and digital services, REA is strengthening its offering and deepening customer engagement. This reinforces its competitive moat and supports long-term growth.

With high margins, a leading market position, and structural exposure to housing demand, REA appears well placed to keep delivering over the next decade. Analysts at Bell Potter Securities recently placed a buy rating on the stock with a $211 price target, implying potential upside of around 21% from current levels.

TechnologyOne Ltd (ASX: TNE)

Another high-quality name to watch is TechnologyOne. The enterprise software company has been a standout performer over the years, even after experiencing a pullback through late 2025 and early 2026.

The $10 billion ASX tech share provides software solutions to government agencies, universities, and large organisations. Its transition to a cloud-based software-as-a-service (SaaS) model has transformed the business, driving predictable and growing recurring revenue.

Its latest financial performance highlights that strength. The company delivered 18% revenue growth to $554.6 million and a 19% increase in profit before tax to $181.5 million. Consistency at that level is a key reason investors have been drawn to the stock.

One of its biggest advantages is customer stickiness. Once its software is embedded into an organisation’s operations, switching providers becomes costly and complex. That leads to high retention rates and supports long-term earnings growth.

There’s also an international growth angle. TechnologyOne has been expanding in the UK, which could provide an additional runway for growth in the years ahead.

With strong margins, recurring revenue, and a scalable platform, TechnologyOne has the characteristics of a business that can continue compounding over the long term.

Most analysts see the ASX share as a buy or strong buy. The average 12-month price target sits around $32, which points to a 6% upside. The most bullish price target is $38.70, 27% above the current share price.

The post 2 elite ASX shares to buy in April and hold for the next decade appeared first on The Motley Fool Australia.

More reading

• 3 ASX shares I’d feel comfortable holding for the next decade
• 3 ASX 300 shares to buy and hold for the next decade
• 5 things to watch on the ASX 200 on Monday
• ASX 200 tech shares rocket 13% as long-awaited sector rebound accelerates
• Which ASX 200 tech stock has Bell Potter just downgraded?

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

The Challenger Ltd (ASX: CGF) share price is in focus today after the company announced it will redeem all outstanding Challenger Capital Notes 3 on 25 May 2026, returning $100 per note in cash to holders. Investors will also receive a final fully franked distribution of $1.47 per note, expected to be paid on the same date.

What did Challenger report?

• All outstanding Challenger Capital Notes 3 to be redeemed for $100 per note on 25 May 2026
• Final fully franked distribution of $1.47 per note to be paid on 25 May 2026
• Record date for final distribution set as 15 May 2026
• Redemption approved by Australian Prudential Regulation Authority (APRA)
• Last trading day for Challenger Capital Notes 3 expected to be 13 May 2026

What else do investors need to know?

Challenger’s decision to redeem the Capital Notes 3 has been approved by APRA, with the company emphasising that this does not signal a future intent to redeem other capital instruments. Any similar future decisions would also require separate APRA approval.

The payment of the final distribution and redemption proceeds is subject to standard conditions, specifically that no payment condition exists on the date. If these conditions are met, holders on the record date will receive their payment on 25 May 2026.

What’s next for Challenger?

With this redemption, Challenger is simplifying its capital structure and returning funds to noteholders. The company has stated this move is in line with established terms and current capital management plans.

Challenger’s ongoing focus remains on providing financial security for clients in retirement, through its Funds Management and Life divisions. There is no indication of further redemptions planned for other capital instruments at this time.

Challenger share price snapshot

Over the past 12 months, Challenger shares have risen 22%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post Challenger plans 2026 redemption of Capital Notes 3 with final distribution appeared first on The Motley Fool Australia.

More reading

• Would Warren Buffett buy this ASX 200 share?
• Lynas Rare Earths shares in focus after record revenue and new supply deals
• Rio Tinto Q1 FY26: Production growth and steady guidance drive optimism
• HUB24 grows Q3 inflows and funds under administration
• Cleanaway Waste Management shares in focus as strategy refresh targets margin growth

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 recommended Challenger. 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.

Regardless of one’s feelings towards the current occupant of the White House, it’s fair to say that the United States’ historic role as the leader of the free world is at its lowest ebb since at least the end of the Second World War. With faith in the United States as a global leader waning, could investing in Chinese shares be a prudent move for ASX investors? If so, the iShares China Large- Cap ETF (ASX: IZZ) might be an easy way to do it.

For more than 70 years, the US has been at the centre of the global financial system. Even after the US-dictated ‘Bretton-Woods’ gold standard collapsed in the 1970s, the vast majority of world trade has, and continues to occur, in US dollars.

However, many investors are asking how long American dominance of the financial system will continue. US President Donald Trump has made no secret of his disdain for multilateral forums like NATO, the United Nations (UN), and the International Monetary Fund (IMF), viewing them through his ‘America First’ ideology as unnecessary drains on American resources.

If American power and influence on the international stage does decline, the logical heir, at least in many minds, is China.

China is the world’s second-largest economy and has made no effort to hide its own superpower ambitions. China already dominates several future-facing industries, including electric vehicles, rare earths processing, and renewable energy.

So, is now the time to invest in China?

One of the easiest ways to do so from the ASX is through the iShares China Large-Cap ETF. This exchange-traded fund (ETF) holds a basket of 50 of the largest Chinese stocks. These stocks are dominated by China’s largest tech titans, including Alibaba, Tencent, and Xiaomi. These companies currently make up 9.01%, 8.16%, and 7.97% of IZZ’s portfolio, respectively. Other names that might be familiar to readers include carmaker BYD and food delivery giant Meituan.

If an ASX investor wishes to invest in China, this ETF provides one of the simplest paths.

Is IZZ a buy today?

This ASX ETF might prove to be a long-term winner for ASX investors, particularly if the US does continue to bleed power and influence to China.

However, I won’t be buying it.

I happen to take Warren Buffett at his word when he tells us to ‘never bet against America’. Sure, the America of 2026 is not the same America that most of us grew up with. However, I think this country’s long history of innovation and open markets will continue to enable it to produce the best companies in the world. Plus, for all we know, the US could elect a very different President in 2028.

Right now, that is certainly the case. China may have some impressive companies. But none, at least in my view, can rival Apple, Microsoft, Nvidia, Amazon, Alphabet, Coca-Cola, Tesla, Netflix, and many, many others in terms of global reach and dominance.

China does not have the political polarisation of America. But it is also a country that coerces its companies to place loyalty to the Chinese state above its shareholders’ interests, and to obey the central government’s every whim. That’s not something that many investors in Australia would welcome, I’d wager. It does not technically even allow non-citizens to directly own shares of Chinese companies (look it up).

As such, I would rather put my money in a country that values financial transparency and has always been the home of the world’s best businesses. Its politics might be volatile. But the American financial system remains the central pillar of the global economy. As such, I’m listening to Uncle Warren on this one.

The iShares China Large- Cap ETF charges a management fee of 0.6% per annum. As of 31 March, it has returned an average of 5.63% per annum since its 2004 inception.

The post With the US flailing, is it time to buy the iShares China Large-Cap ETF (IZZ)? appeared first on The Motley Fool Australia.

More reading

• The unexpected global market showing resilience – 3 ASX ETFs to target

Motley Fool contributor Sebastian Bowen has positions in Alphabet, Amazon, Apple, Berkshire Hathaway, Coca-Cola, Microsoft, and Netflix. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Apple, Berkshire Hathaway, Microsoft, Netflix, Nvidia, Tencent, and Tesla and is short shares of Apple. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Alibaba Group and BYD Company. The Motley Fool Australia has recommended Alphabet, Amazon, Apple, Berkshire Hathaway, Microsoft, Netflix, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The ASX-listed exchange-traded fund (ETF) VanEck Morningstar Wide Moat ETF (ASX: MOAT) has been a great investment to own for the long-term and there are still plenty of reasons to believe it can deliver good returns from here.

For starters, I should mention that the fund is invested in US-listed businesses. So, for Australian investors who have little exposure to overseas share markets, I think this is a good option to consider for international diversification purposes.

Its portfolio – which is regularly shifting its holdings – has delivered an average return per year of 14.7% over the last decade.

I reckon many Aussie investors would be happy if their portfolio delivered an average return per year of more than 14% over the prior decade.

There are a couple of aspects that help this ASX ETF deliver such strong returns.

Strong economic moats

The fund says it focuses on quality US companies that Morningstar (an investment research outfit) believes possess sustainable competitive advantages, or wide economic moats.

Competitive advantages can come in a variety of different forms such as cost advantages, intangible assets (patents, brands or regulatory licenses) that keep competitors at bay, switching costs, network effects, efficient scale and so on.

It’s good to have a competitive advantage because that may be what wins a customer.

But, the ASX ETF wants to find businesses that have sustainable competitive advantages. In other words, it wants to see that these advantages will endure for a long time rather than having an economic moat they may not last that long.

VanEck and Morningstar explain how a business can claim to have a wide economic moat:

For a company to earn a wide economic moat, excess normalised returns must, with near certainty, be positive 10 years from now. In addition, excess normalised returns must, more likely than not, be positive 20 years from now.

In other words, these businesses could generate good profits and margins for many years to come.

Great value

The MOAT ETF only invests in these great businesses when they’re at a good price.

It targets companies that are trading at attractive prices compared to what Morningstar’s estimate of fair value.

At the moment, the ASX ETF’s biggest positions currently include Constellation Brands, Brown-Forman, Airbnb, Nvidia and Bristol-Myers Squibb.

That combination of buying great businesses at good prices is a winning formula and it has clearly generated good returns over the long-term as it picks great ideas from a variety of sectors.

The post This ASX ETF has generated returns of almost 15% per year! appeared first on The Motley Fool Australia.

More reading

• 3 amazing ASX ETFs that are beginner-friendly
• 3 ASX ETFs to buy and hold for the next decade
• How to build a resilient ASX portfolio that can handle any market
• I’m planning to buy loads of these ASX ETFs for my retirement
• How to turn $20,000 into $100,000 with ASX ETFs

Motley Fool contributor Tristan Harrison has positions in VanEck Morningstar Wide Moat ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Airbnb, Bristol Myers Squibb, and Nvidia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Constellation Brands. The Motley Fool Australia has recommended Airbnb, Nvidia, and VanEck Morningstar Wide Moat ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Rio Tinto Ltd (ASX: RIO share price is in focus today after the company posted a 9% year-on-year lift in copper equivalent production for Q1 FY26, powered by copper and iron ore growth and a resilient aluminium performance.

What did Rio Tinto report?

• Copper equivalent production up 9% year-on-year across the portfolio
• Pilbara iron ore production jumped 13% YoY to 78.8 million tonnes (100% basis); sales up 2%
• Group copper production rose 9% to 229,000 tonnes; Oyu Tolgoi ramp-up on track
• Aluminium output increased 1%, with 835,000 tonnes produced
• Bauxite production was down 11% due to weather impacts
• 2026 production and unit cost guidance unchanged across key divisions

What else do investors need to know?

Rio Tinto maintained full-year production and cost guidance for 2026 across all major commodities, despite some weather-related disruptions. The Pilbara iron ore mines delivered their second-best Q1 production since 2018, even as two cyclones reduced shipments by around 8 million tonnes, with about half of the losses expected to be recovered later in the year.

The company reported strong progress on key capital projects. Mechanical completion was achieved at both Fenix 1B and Sal de Vida lithium projects, positioning Rio Tinto for first production in the second half of 2026. Investment in productivity initiatives has already yielded $650 million in annualised benefits, with further improvements underway.

What did Rio Tinto management say?

Rio Tinto Chief Executive Simon Trott said:

Operating excellence drove 9% YoY copper equivalent production growth across our portfolio as the Oyu Tolgoi copper mine continues to ramp up as planned and our integrated aluminium business, again, delivered a strong performance. Our Pilbara iron ore mines performed strongly, while shipments were impacted by two cyclones in the quarter.

What’s next for Rio Tinto?

Looking ahead, Rio Tinto is focused on extending mine life and expanding production across its core commodity assets. Major development projects in iron ore, copper, lithium and aluminium remain on track, with the company’s unique global portfolio providing supply chain resilience. The business is monitoring global geopolitical and commodity market developments closely, particularly in light of the Middle East conflict and its potential impacts in the second half of 2026.

Future-facing growth is supported by new projects in Guinea (Simandou iron ore) and Argentina (lithium), while sustainability and operational productivity remain key priorities. Guidance for 2026 output and costs remains unchanged at this stage.

Rio Tinto share price snapshot

Over the pat 12 months, Rio Tinto shares have risen 55%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post Rio Tinto Q1 FY26: Production growth and steady guidance drive optimism appeared first on The Motley Fool Australia.

More reading

• HUB24 grows Q3 inflows and funds under administration
• Cleanaway Waste Management shares in focus as strategy refresh targets margin growth
• RBA’s ‘worst nightmare’: What exactly is stagflation?
• 5 things to watch on the ASX 200 on Tuesday
• Worley flags $30–40m EBITA hit from Middle East conflict in FY26 outlook

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.

The HUB24 Ltd (ASX: HUB) share price is under the spotlight after the company delivered $4.0 billion in platform net inflows for Q3 FY26 and lifted total funds under administration (FUA) to $151.7 billion, up 22% on the prior corresponding period.

What did HUB24 report?

• Platform net inflows of $4.0 billion in Q3 FY26 (up 9% on pcp, excluding large migrations)
• Total FUA reached $151.7 billion as at 31 March 2026 (up 22% on pcp)
• Platform FUA of $127.8 billion (up 25% on pcp), PARS FUA of $23.9 billion (up 11% on pcp)
• Active advisers on the platform rose to 5,549 (up 11% on pcp)
• Awarded Best Platform Overall and Best in Platform Managed Accounts Functionality in industry reports
• Call option exercised to acquire HTFS Nominees Pty Ltd, trustee for the HUB24 Super Fund

What else do investors need to know?

HUB24’s momentum continued into Q3, despite challenging market conditions. Record net inflows were achieved, led by a strong rise in retail and adviser numbers, although there was a one-off outflow from an institutional client in March.

The company continued to innovate, launching new digital adviser solutions and enhancing its high-net-worth and managed portfolio offerings. HUB24’s Class and NowInfinity platforms also saw growth, with active account and document order numbers rising. Notably, NowInfinity has embarked on a multi-year enhancement program to improve user experience and compliance support for finance professionals.

Additionally, the transaction to acquire trustee HTFS Nominees Pty Ltd is progressing, with integration expected by the end of 2026 pending regulatory approvals. This is anticipated to have no material financial impact on earnings.

What’s next for HUB24?

HUB24 is focused on maintaining momentum in its structurally growing markets, supported by demographic trends and compulsory superannuation. The business plans to further invest in product features and technology, deepen adviser relationships, and complete its acquisition of HTFS Nominees.

The company remains confident in its ability to deliver sustained growth over the longer term, with a strong pipeline of opportunities from both new and existing clients.

HUB24 share price snapshot

Over the past 12 months, HUB24 shares have risen 47%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post HUB24 grows Q3 inflows and funds under administration appeared first on The Motley Fool Australia.

More reading

• Rio Tinto Q1 FY26: Production growth and steady guidance drive optimism
• Cleanaway Waste Management shares in focus as strategy refresh targets margin growth
• RBA’s ‘worst nightmare’: What exactly is stagflation?
• 5 things to watch on the ASX 200 on Tuesday
• I think these are some of the best ASX 200 shares to buy now

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 positions in and has recommended Hub24. The Motley Fool Australia has recommended Hub24. 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.

ASX shares are a wonderful tool to unlock a significant dividend yield because of a combination of a generous dividend payout ratio and an attractive valuation.

Investors wanting to grow wealth relatively quickly may not necessarily want high levels of passive income because that could mean paying more of the return to the Australian Taxation Office. Capital gains aren’t taxed until an asset is sold.

However, for investors in retirement or who have a low tax rate, ASX dividend shares with a large dividend yield could be a rewarding pick.

Hearts and Minds Investments Ltd (ASX: HM1)

This is one of the high-yield ASX shares that I’ve added to my own portfolio because of the investment exposure and high levels of passive income.

It’s a listed investment company (LIC), meaning it doesn’t sell products or services. Instead, the business has an investment portfolio that it aims to make investment returns with.

Dividends are paid from the positive investment returns, which allows it to pay steadily growing passive income. The company is aiming to increase its payout every six months by 0.5 cents per share.

The next two dividends to be declared should come to a total of 20.5 cents per share, which would translate into a grossed-up dividend yield of 10.3%, including franking credits.

Hearts & Minds donates 1.5% of its portfolio to medical research, it’s able to do that because all of the investment picks are contributed for free by investment experts.

Some of the portfolio is decided by a core group of portfolio managers, while the rest is contributed at an annual investment conference, where some experts pick their best stock idea.

This process results in a largely global portfolio and the recent volatility could mean it’s a compelling time to invest.

Shaver Shop Group Ltd (ASX: SSG)

Shaver Shop is a leading ASX retail share that sells a variety of hair removal products. Considering how important hair removal is for many Australians, I think the business has relatively defensive earnings for a retailer.

The business has benefited from the steady growth of its store network, as well as the expansion of its own brand called Transform-U. Building its own brand can come with higher gross profit margin and stronger control of what products it sells.

But, the ASX dividend share also has a number of exclusive products from quality shaving brands, giving it a unique selling point (USP) for customers.

Pleasingly, the business has grown or maintained its dividend every year since 2017, so we’re almost at a decade of dividend reliability.

The last two half-year dividends come to a grossed-up dividend yield of close to 11%, including franking credits.

The post 2 ASX shares with dividend yields above 8% appeared first on The Motley Fool Australia.

More reading

• With a 10.7% yield, could this be the ASX’s best passive income stock?
• 2 ASX shares with dividend yields above 8%
• I’d buy 11,651 shares of this ASX stock to aim for $100 a month of passive income
• 2 ASX dividend shares with yields above 7%
• These ASX dividend shares pay 7% and could jump 25%

Motley Fool contributor Tristan Harrison has positions in Hearts And Minds Investments. 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 Shaver Shop Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ASX All Ords gold stock Aurum Resources Ltd (ASX: AUE) has delivered some outsized gains this past year.

Aurum Resources shares closed on Monday trading for 64 cents apiece. That sees shares in the African-focused gold miner up 67% in 12 months, smashing the 14.5% one-year gains delivered by the All Ordinaries Index (ASX: XAO).

Part of those gains have been spurred by the fast-rising gold price. On Monday, gold was fetching US$4,796 per ounce, up 40% since this time last year.

But the ASX All Ords gold stock has hardly been sitting idle over this time.

And following a significant resource upgrade at one of its core gold mines earlier this month, the team at Canaccord Genuity believe Aurum Resources shares are well-placed to deliver more outsized gains.

Here’s why.

ASX All Ords gold stock growing its resources

On 10 April, Aurum Resources reported a 34% increase in the mineral resource estimate (MRE) at its Napie Gold Project, located in Cote d’Ivoire.

This brought the ASX All Ords gold stock’s total resource base to 4.2 million ounces across its two Cote d’Ivoire gold projects, with 3.03 million ounces at its Boundiali project and 1.16 million ounces at Napie.

Encouragingly, the miner noted that only 13% of the 30-kilometre Napie Shear has been systematically drilled to date. And Aurum is well-funded to continue drilling, with a cash balance of $61 million as at 31 March.

Commenting on the upgraded MRE, Canaccord said:

In our initiation of coverage, our expectation was that AUE could deliver an unrisked addition of 279koz at Napie in the near term. To come within 4% at this juncture is very pleasing and bodes well for further updates

Looking to potential catalysts ahead, Canaccord noted:

Ongoing drilling programs, including 30,000m at Napie and 100,000m at Boundiali, are expected to drive further resource growth, with additional updates planned through 2026. A PFS [pre-feasibility study] for Boundiali is expected later this month.

As for what investors might expect from that PFS, Canaccord said, “We expect the 40.8Mt at 1.0g/t Au for 1.37Moz Indicated resource to underpin 10 years of production at a 6Mtpa run rate. At this scale, Boundiali could sustain 175kozpa.”

On the cost front, the broker estimates that Aurum Resources’ all-in sustaining cost (AISC) could be around US$1,500 per ounce at the current gold price.

Connecting the dots, Canaccord has a speculative buy rating on the ASX All Ords gold stock with a price target of $1.55 a share.

That’s more than 142% above Monday’s closing price.

The post Why this surging ASX All Ords stock is forecast to rocket another 142% appeared first on The Motley Fool Australia.

More reading

• Rio Tinto Q1 FY26: Production growth and steady guidance drive optimism
• HUB24 grows Q3 inflows and funds under administration
• 2 ASX shares with dividend yields above 8%
• Cleanaway Waste Management shares in focus as strategy refresh targets margin growth
• Experts say this ASX financials stock could soar up to 40%

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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.