It’s fair to say the S&P/ASX 200 Index (ASX: XJO) is off to a strong start in 2026. 

Australia’s benchmark index is up approximately 2% already in January. 

This has been led by resources and materials sectors that have both risen by roughly 10%. 

Two strong performing individual ASX 200 stocks have been Alcoa Corp (ASX: AAI) and Lynas Rare Earths Ltd (ASX: LYC). 

However, yesterday both companies endured a heavy sell-off, with share price drops of 9% and 5% respectively. 

The question investors might now be asking is if this is a buy the dip situation or if these stocks have already peaked.

Let’s find out. 

Alcoa Corp (ASX: AAI)

Alcoa is a vertically integrated aluminum company whose operations include bauxite mining, alumina refining, and manufacturing primary aluminum. 

It is the world’s largest bauxite miner and alumina refiner by production volume, and the eighth-largest aluminum producer. Profits are closely tied to prevailing commodity prices along the aluminum supply chain.

Its share price is up roughly 50% in the last 12 months, and remains up 5% in 2026 even including yesterday’s heavy fall. 

It has benefited from tailwinds over the last year including rising commodities, strategic decisions, and new capital flows into hard assets. 

There was no price sensitive news out of the company yesterday, however the stock price tumbled almost 9%. 

After hitting 52 week highs prior to releasing its full-year FY25 earnings, it appears this ASX 200 stock is now coming back down closer to fair value. 

So should investors buy the dip?

Analyst ratings via TradingView suggest fair value for Alcoa Corp shares is around $87.86. 

This is just 3% higher than yesterday’s closing price. 

Based on this price target, it seems there is limited upside potential for this ASX 200 stock. 

Lynas Rare Earths Ltd (ASX: LYC)

Lynas Rare Earths have been another mining stock that has enjoyed a bull run in the last 12 months. 

Its stock price is up almost 150% in the last 12 months, including 31% just in January 2026. 

However yesterday it appears investors were profit taking as the stock price fell 5%. 

The company is primarily involved in the exploration, development, and processing of rare earth minerals in Australia and Malaysia. It is one of few rare earth producers outside of China.

Expert ratings of this ASX 200 stock are mixed. 

Morgan Stanley is the most optimistic, with a price target of $19.45 suggesting an upside of 21.49%. 

However, Bell Potter believes that this ASX 200 stock has peaked. 

The broker has a price target of $11.15, which indicates a downside of 30%. 

The post Should you buy the dip on these red hot ASX 200 stocks? appeared first on The Motley Fool Australia.

More reading

• Alcoa shares dip despite 25% earnings boost in FY25
• Why Lynas shares could crash 33%
• Lynas, South32, Liontown: Can these surging shares go higher?
• 5 things to watch on the ASX 200 on Friday
• Why is this ASX 200 mining share up 93% in six months?

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

S&P/ASX 200 Index (ASX: XJO) shares closed higher on Tuesday, up 0.92% to 8,941.6 points.

In this article, three experts provide their views on three big names in the marketplace today.

South32 Ltd (ASX: S32)

The South32 share price closed at $4.50 on Tuesday, up 2.51%, after hitting a 52-week high of $4.54.

Morgans has a buy rating on this diversified ASX 200 mining share with a 12-month price target of $5.

The broker increased its price target from $4.50 after South32 released its 2Q FY26 update last week.

Morgans said South32 achieved a modest beat on consensus expectations for operations, supported by strong alumina and silver output.

The broker commented:

FY26 guidance on operated assets unchanged, Brazil Aluminium under review.

We have applied updated house precious metal forecasts to our estimates.

Post-Illawarra divestment, S32 is ~90% base metal producer with limited execution risk (ex-Hermosa) and enjoying a healthy (and material) upgrade cycle from copper, aluminium and silver prices.

Positioned to benefit from the upcycle, we maintain our BUY rating with a A$5.00 Target Price (was A$4.30).

Sigma Healthcare Ltd (ASX: SIG)

The Sigma Healthcare share price closed at $3.09 on Tuesday, up 0.98%.

On The Bull this week, Remo Greco from Sanlam Private Wealth revealed a hold rating on this ASX 200 healthcare share.

Greco explained:

At its recent annual general meeting, this retail pharmacy franchisor and pharmaceutical wholesaler announced it would continue to roll out new stores domestically and internationally. It would revitalise the Amcal and Discount Drug Store brands.

Chemist Warehouse network sales were up 17.9 per cent in the first quarter of 2026 and like-for-like sales were up 14.7 per cent.

So far, SIG appears to be delivering on its lofty expectations.

Technology One Ltd (ASX: TNE)

The Technology One share price closed at $27.11, down 0.26% today.

Stuart Bromley from Medallion Financial Group has a hold rating on this ASX 200 tech share.

Bromley described the company as a high quality, recurring revenue software business with product depth and customer loyalty.

However, he noted the share price pullback, with Technology One losing 31% of its value over six months.

Bromley commented:

Near term momentum has been lacklustre, with growth rates moderating.

The share price pull-back leaves TNE as a hold, or even presents an opportunity to accumulate a longer term powerhouse during a period of sector- wide re-pricing.

TNE remains a structural leader in enterprise applications and we don’t see this market strength ceasing any time soon.

The post Sigma Healthcare, TechnologyOne, South32 shares: Buy, hold, or sell? appeared first on The Motley Fool Australia.

More reading

• Brokers rate these 3 top ASX shares as buys for February
• The ASX blue chip shares I’d happily build a portfolio around
• ASX All Ords shares smashing 52-week highs today
• Morgans names 3 ASX shares to buy
• 3 unstoppable ASX 200 shares to buy and hold forever

Motley Fool contributor Bronwyn Allen has positions in South32. 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.

ASX ETFs are a great investment tool for instant diversification.

Many investors see ETFs as a way to reduce risk/overexposure. 

However many investors also assume this limits upside. 

It’s true that an ASX ETF isn’t going to double in a day of trading like a speculative penny stock. 

But thematic funds can still post market beating gains. 

As a benchmark, the S&P/ASX 200 Index (ASX: XJO) is up 2.45% year to date. 

The S&P 500 Index (SP: .INX) is up 1.72%. 

Here are three ASX ETFs that are off to a red hot start to the year – bringing investors big returns compared to these benchmark indexes. 

BetaShares Global Gold Miners ETF – Currency Hedged (ASX: MNRS)

Gold shares and gold mining companies were one of the headline stories of 2025 as investors looked towards the safe-haven asset. 

This investment trend has continued into 2026. 

The Betashares Global Gold Miners ETF has already risen 22.92% since the start of the year. 

According to Betashares, the fund aims to track the performance of an index (before fees and expenses) that comprises the largest global gold mining companies (ex-Australia), hedged into Australian dollars.

The fund is up 191% over the last 12 months. 

At the time of writing, it is made up of 49 holdings, with its largest geographical exposure being to: 

• Canada (44.0%)
• United States (14.3%)
• South Africa (13.4%)

Global X Copper Miners ETF (ASX: WIRE)

This ASX ETF soared more than 7% higher yesterday. 

After yesterday’s surge, the fund is now up approximately 19% year to date and 112% over the last 12 months. 

According to Global X, it provides access to a global basket of copper miners which stand to benefit from being a key part of the value chain facilitating growth in major areas of innovation such as technology, infrastructure and clean energy.

It is currently made up of 39 Australian and international holdings all operating in the metals and mining sector.

Global X Semiconductor ETF (ASX: SEMI)

Another fund off to a hot start in 2026 is the Global X Semiconductor ETF. 

It has risen by more than 11% year to date and 54% over the last 12 months. 

According to Global X, it seeks to invest in companies that stand to potentially benefit from the broader adoption of tech-enabled devices that require semiconductors. 

This includes the development and manufacturing of semiconductors.

These companies are primarily located in United States (62.25%), Taiwan (11.85%) and Netherlands (11.75%).

The post 3 ASX ETFs off to a hot start in 2026 appeared first on The Motley Fool Australia.

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• ASX gold shares go crazy as gold price rips toward US$5,000 on Friday
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• Own MNRS or ARMR ETFs? Here’s why it’s a big day for you

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

I’m sure if investors had a time machine, they would go back to this time last year and buy DroneShield Ltd (ASX: DRO) shares.

Since then, this popular ASX defence stock has risen an incredible 575%.

But perhaps you don’t need a time machine after all. That’s because Bell Potter believes there is a small cap ASX defence stock which has the potential to deliver incredible returns over the next 12 months.

Though, it is a high risk, high reward play, which means it would only be suitable for investors with a high tolerance for risk.

Which ASX defence stock?

The stock that Bell Potter is tipping as a speculative buy is AML3D Ltd (ASX: AL3).

It is a $97 million welding, metallurgical science, robotics, and software business, which produces automated 3D printing systems that utilise wire additive manufacturing (WAM) technology to produce metal components and structures.

Bell Potter highlights that WAM is particularly useful for the printing of large scale complex industrial parts for the defence, oil & gas, and aerospace sectors.

What is the Bell Potter saying?

The broker highlights that there are growing demand signals from the UK and European defence sectors for AML3D’s offering, with its order book increasing strongly. It said:

AL3’s December 2025 quarterly report points to increased system orders in the US, emerging demand signals from the UK and European defence sectors and ongoing R&D in Australia to support the next generation of ARCEMY systems. AL3’s order book is now $16.5m, which includes $9m of orders on hand at the opening of FY26 plus more recently announced orders including $1.7m from FasTech (US contract printer), $4.5m from HII (Newport News Shipbuilding ordering two ARCEMY systems) and $1.2m from Austal (for a rapid deployment system).

Bell Potter also highlights that the ASX defence stock’s US expansion strategy is gathering momentum, adding:

AL3 continues to advance its US expansion strategy and while the key orders in this quarterly had previously been reported, the report highlights that the revenues are expected to be forthcoming in the current financial year. Delivery into the July 2025 US Navy LOI is yet to reach critical mass (only the HII order so far) and is the key opportunity for sales growth through HII and other defence sector prime contractors.

UK/Europe is also a key opportunity where system sales should commence and accelerate in the coming quarters. AL3’s sales model (upfront payments from customers) has again enabled maintenance of a strong balance sheet.

Big potential returns

According to the note, the broker has retained its speculative buy rating and 40 cents price target on the ASX defence stock.

Based on its current share price of 18 cents, this implies potential upside of 120% for investors over the next 12 months.

Commenting on its recommendation, Bell Potter concludes:

AL3’s technology is particularly suited to maritime applications, giving it strong leverage into demand growth from the US Navy’s Maritime Industrial Base and the US SHIPS Act. Over FY26-27, we expect AL3 to increase deployment of ARCEMY systems to the US and Europe, increase prototyping activity and ultimately commence commercial scale production of components.

There is potential for the Navy LOI to expand beyond the Maritime Industrial Base to land-based assets. AL3 will also look to deploy its technology into non-defence sector industrial manufacturing.

The post Is this ASX defence stock the next DroneShield? Broker tips 120% upside appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Wednesday
• Why DroneShield, Life360, Nova Minerals, and Santana shares are falling today
• DroneShield shares fall after reporting revenue of $216m
• DroneShield posts record Q4 revenue and positive cashflow
• DroneShield hits $200m milestone as 9.2m options vest and 2025 expense revealed

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 DroneShield. 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.

Consumer staples stock Ricegrowers Ltd (ASX: SGLLV) has been gaining some serious momentum over the last year. 

Recent performance saw it added to the S&P/ASX 300 Index (ASX: XKO) during 2025. 

The company offers rice and related products. 

Business activities of the company are operated under Rice Pool, International Rice, Rice Food, Riviana, CopRice, and Corporate segments. 

The principal activities of the company and its entities consist of the purchase and storage of paddy rice, the milling, processing, manufacturing, procurement, distribution, and marketing of rice and related products, animal feed and nutrition products, groceries, and others.

Recent performance

This consumer staples stock closed trading yesterday at $16.17 per share. 

That’s a 53% increase over the past year. 

For context, the S&P/ASX 200 Consumer Staples Index (ASX: XSJ) is up just 0.82% over that same period. 

The consumer staples sector in general has been one of the poorest performing in the last year. 

This growth from Ricegrowers isn’t just exclusive to the last 12 months. 

According to Bell Potter, since transitioning its listing to the ASX in 2019, Ricegrowers has achieved compound revenue growth of +11% p.a., compound EBITDA growth of +17% p.a. and compound EPS growth of +15% p.a. 

Initiated coverage from Bell Potter

The team at Bell Potter has initiated coverage on this ASX consumer staples stock with a buy recommendation. 

The broker says it expects FY27e to be a year of earnings consolidation given the materially reduced NSW rice crop (to a 7-year low). 

Bell Potter also highlighted the 2030 targets from the company. 

At the heart of the strategy SGLLV has a stated aspirational targets of reaching $3.0Bn in revenues, improving profitability margins and delivering consistent paddy prices >$500/t to create a more stable rice pool in the Riverina (@~500kt). 

Central to the strategy is doubling the revenue base in ANZ, USA and the Middle East, continuing to develop the rice based snacking business and enhancing growth in the consumer and pet food portfolios.

Attractive valuation 

The team at Bell Potter said the current valuation is relatively attractive compared to similar businesses. 

The broker said parts of its rice business are comparable to dairy processors, its stockfeed operations are similar to other listed feed companies, and its cropping exposure is in line with agricultural peers. 

Even though grain processors usually trade at lower valuations than dairy or FMCG companies, SGLLV’s current valuation of about 8–9x future EBITDA looks cheap versus a more reasonable long-term blended valuation of around 10–11x.

Bell Potter currently has a price target of $18.75. 

This indicates a potential upside of almost 16% from yesterday’s closing price. 

The post Up 50% in 6 months, this ASX consumer staples stock is tipped to keep rising appeared first on The Motley Fool Australia.

More reading

• 3 Australian ETFS to buy and hold forever
• West African Resources posts strong December quarter cash inflows
• Should you buy the dip on these red hot ASX 200 stocks?
• Sigma Healthcare, TechnologyOne, South32 shares: Buy, hold, or sell?
• 3 ASX ETFs off to a hot start in 2026

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

The Australian share market has delivered wealth-building returns for decades. As we covered last year, long-term investors would have been far better off investing (through an ASX exchange-traded fund (ETF)) in the S&P/ASX 200 Index (ASX XJO) than if they had bought government bonds, or even worse, left their money in the bank.

Most investors who buy individual ASX stocks have beating ‘the market’, represented by an ASX 200 index fund, as one of their goals. But this is easier said than done. Even professional investors can struggle to outperform the ASX 200 over long stretches of time.

But there might be a shortcut that investors wanting the best returns can exploit. So today, let’s look at two ASX ETFs that have historically delivered returns that have well-exceeded the Australian share market.

For some context, the iShares Core S&P/ASX 200 ETF (ASX: IOZ), the largest ASX 200 index fund on the ASX, returned 10.36% over the 12 months to 31 December 2025 (including dividend distributions). It has averaged 11.31% per annum over the past three years, 9.83% per annum over the past five, and 9.2% over the past ten.

2 market-beating ASX ETFs to consider

First up, we have the BetaShares Global Cash Flow Kings ETF (ASX: CFLO). This fund holds a portfolio of global companies that are selected based on levels of free cash flow that they consistently generate. These stocks, according to the provider, “have historically tended to outperform broad global equity benchmarks over the medium to long term”.

Some of CFLO’s current holdings include Alphabet Inc (NASDAQ: GOOG)(NASDAQ: GOOGL), Costco Wholesale Corp (NASDAQ: COST), Visa Inc (NYSE: V) and Johnson and Johnson (NYSE: JNJ).

This ETF has only been around since November 2023. However, the index that it tracks has been around a lot longer, meaning we can still analyse its performance against the ASX 200. Over the three years to 31 December, this index has returned an average of 10.14% per annum, extending 0 14.68% per annum over the past five years, and 13.61% over ten. Those metrics handily beat out the Australian share market.

Next, let’s check out the BetaShares Global Royalties ETF (ASX: ROYL). This is a rather unique ASX ETF in that it holds a portfolio of global companies that earn a substantial portion of their revenues from royalty payments. Depending on the stock, those royalties could come from mines, intellectual property like music streaming, or financial deals.

Some of ROYL’s current largest holdings include Wheaton Precious Metals Corp (NYSE: WPM), Texas Pacific Land Corp (NYSE: TPL)  and Universal Music Group N.V.

This ASX ETF has returned an average of 15.38% over the three years to 31 December 2025. The index that it tracks has delivered a return of 19.81% per annum over the past five years, making it another ASX 200 market beater.

The post Want to beat the market? Try these 2 ASX ETFs appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen has positions in Alphabet, Costco Wholesale, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Costco Wholesale, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Johnson & Johnson. The Motley Fool Australia has recommended Alphabet and Visa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

CSL Ltd (ASX: CSL) shares closed 1.49% higher on Tuesday afternoon, at $182.29 a piece. That means the ASX-listed biotechnology company’s share price is now 6.01% higher for the year-to-date, but it’s still 33.1% below levels seen this time last year.

The global company researches, develops, manufactures, and markets products to treat and prevent serious human medical conditions. It’s well-known that the company faced several strong headwinds in 2025 which sent its share price tumbling. 

The company’s shares suffered a brutal sell-off in mid-August after its FY25 result and surprise restructure announcement. Two and a half months later, the company’s share price dropped another 19.2% to a new low of $170.77 in late-October when it downgraded its FY26 revenue and profit growth guidance. 

Have CSL shares finally reached the bottom?

In early-January, the share price dropped even further to an all-time low of $168.29. But it is currently on the strongest upward trajectory seen in months. It looks like we could finally be past the worst for CSL and instead be beginning to see green shoots of recovery.

The company has great growth potential and a strong core business too. Demand for its biotherapies and vaccines has continued to grow globally. Meanwhile, its plasma business operates one of the largest plasma collection networks in the world. 

CSL is entering a key investment phase which could help boost its financials. I’d expect that investor confidence will pick up as the company’s financials start to accelerate.

Could the shares climb as high as $300 this year?

CSL shares last passed the $300 per share barrier back in October 2024. While I’m optimistic that we’ll see a robust upside for CSL shares in 2026, I’m not sure the recovery will be strong and fast enough to return to the same level just yet.

Analysts don’t think it’ll be far off though.

TradingView data, 14 out of 18 analysts have a buy or strong buy rating on CSL shares. The average target price is $227.08, which implies a potential 24.57% upside at the time of writing.

But some analysts think the shares could climb as high as $263.35 in 2026. This suggests a potential 44.47% upside from the share price at the close of the ASX on Tuesday afternoon.

Morgan Stanley is very positive on its outlook and expects a recovery this year. Meanwhile, the team at UBS think that CSL shares are materially undervalued at current levels. 

If everything travels in the right direction and CSL shares reach that broker expectations this year, then I think $300 per share could be possible in 2027. That is unless we see stronger-than-expected company growth, powerful catalysts or a wave of broker re-ratings which propel the biotech’s stock higher than expected.

The post Could CSL shares reach $300 in 2026? appeared first on The Motley Fool Australia.

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• Leading brokers name 3 ASX shares to buy today
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• Here are the latest growth forecasts for the CSL share price
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• The best Australian shares to buy in 2026

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

The idea of buying and holding something forever might sound ambitious, but it is often the mindset that produces the best long-term outcomes.

Rather than trying to predict short-term winners, many investors look for assets that can adapt, evolve, and stay relevant through multiple market cycles. That is where exchange traded funds (ETFs) can help, especially when they provide exposure to long-lasting themes rather than narrow trends.

With that in mind, here are three ASX ETFs that could make sense as long-term, buy-and-hold investments:

Betashares Asia Technology Tigers ETF (ASX: ASIA)

The first ASX ETF that could be a long-term hold is the Betashares Asia Technology Tigers ETF.

Rather than focusing on the US tech giants everyone already knows, this fund gives investors exposure to the technology leaders shaping Asia’s digital future. This includes companies such as Tencent Holdings (SEHK: 700), PDD Holdings (NASDAQ: PDD), Baidu (NASDAQ: BIDU), Alibaba Group (NYSE: BABA), and Taiwan Semiconductor Manufacturing (NYSE: TSM).

The appeal here is demographic and economic momentum. Asia’s middle class continues to expand, internet penetration is still rising in several key markets, and digital services are becoming more deeply embedded in everyday life. The Betashares Asia Technology Tigers ETF provides a way to participate in that long-term shift without needing to pick individual winners across different countries and regulatory environments.

iShares S&P 500 AUD ETF (ASX: IVV)

Another ASX ETF that could suit a forever-style approach is the iShares S&P 500 AUD ETF.

This popular fund tracks Wall Street’s S&P 500 Index, giving investors exposure to 500 of the largest and most influential stocks in the United States. Its holdings include businesses like Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), and Amazon (NASDAQ: AMZN).

What makes the iShares S&P 500 AUD ETF particularly powerful as a long-term holding is not just growth, but self-renewal. The index naturally evolves over time, removing stocks that lose relevance and adding those that become more important to the US economy. This built-in refresh mechanism allows investors to stay exposed to innovation without constantly making changes themselves.

Betashares Global Cash Flow Kings ETF (ASX: CFLO)

A final ASX ETF to consider is the Betashares Global Cash Flow Kings ETF, which approaches long-term investing from a different angle.

Rather than chasing fast growth, this fund focuses on global stocks with strong and consistent free cash flow. Its portfolio includes businesses such as Alphabet (NASDAQ: GOOGL), Costco Wholesale (NASDAQ: COST), and Visa (NYSE: V).

Free cash flow matters because it gives companies options. It allows them to reinvest, reduce debt, buy back shares, or return capital to shareholders. Over long periods, businesses that consistently generate cash tend to be more resilient during downturns and better positioned to take advantage of opportunities when conditions improve. This fund was recently recommended by analysts at Betashares.

The post Why these ASX ETFs could be perfect to buy and hold forever appeared first on The Motley Fool Australia.

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• IVV, VGS, VAS: Which ASX ETF produced the better returns in 2025?

Motley Fool contributor James Mickleboro has positions in Betashares Capital – Asia Technology Tigers Etf. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Apple, Baidu, Costco Wholesale, Microsoft, Taiwan Semiconductor Manufacturing, Tencent, Visa, and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Alibaba Group. The Motley Fool Australia has recommended Alphabet, Amazon, Apple, Microsoft, Visa, and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Are you on the lookout for some new ASX dividend shares to buy?

If you are, it could be worth checking out the two named below that Bell Potter is tipping as buys right now.

Here’s what it is recommending to clients:

Harvey Norman Holdings Ltd (ASX: HVN)

The team at Bell Potter remains very positive on this leading household goods retailer and sees it as one of the best ASX dividend shares to buy now.

The broker points out that Harvey Norman is one of the most diversified retailers in terms of both categories and regions. In addition, something that is often overlooked by investors is its significant property portfolio. It explains:

Despite the strong re-rate in the name, HVN trades at ~2.0x market capitalisation to freehold property value as Australia’s single largest owner in large format retail with a global portfolio surpassing $4.5b and collectively owning ~40% of their stores (franchised in Australia and company operated offshore). This sees our view that of the 1-year forward ~19x P/E multiple as justified considering the multiple catalysts near/mid-term.

As for income, the broker is forecasting fully franked dividends of 30.9 cents per share in FY 2026 and then 35.3 cents per share in FY 2027. Based on its current share price of $6.68, this would mean dividend yields of 4.6% and 5.3%, respectively.

Bell Potter has a buy rating and $8.30 price target on its shares.

Rural Funds Group (ASX: RFF)

Another ASX dividend share that Bell Potter is recommending to clients is Rural Funds.

It is an Australian agricultural property company with a total of 63 assets across five sectors. This includes vineyards, orchards, and cattle farms. At the last count, it boasted a weighted average lease expiry of 13.9 years, which gives it great visibility on its future earnings and ultimately distributions.

Bell Potter notes that its shares are trading at a significant discount to their net asset value of $3.08. It said:

Our Buy rating is unchanged. The -~35% discount to market NAV remain higher than average (~6% premium since listing) and likely reflects the proportion of assets that are underearning as operating farms. With a continued improvement in most counterparty profitability indicators in recent months (i.e. cattle, almond and macadamia nut prices), resilience in farming asset values and the progress made in creating headroom in funding lines to complete the macadamia development we see this as excessive.

Bell Potter believes the company is positioned to pay dividends per share of 11.7 cents in both FY 2026 and FY 2027. Based on its current share price of $2.02, this would mean dividend yields of 5.8% for both years.

The broker currently has a buy rating and $2.45 price target on its shares.

The post The best ASX dividend shares to buy now appeared first on The Motley Fool Australia.

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• Here’s how you could turn the stock market into a $1,000 monthly passive income machine
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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 no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Harvey Norman and Rural Funds Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ANZ Group Holdings Ltd (ASX: ANZ) shares have delivered the best 12-month gains of any of the big four S&P/ASX 200 Index (ASX: XJO) bank stocks.

On Tuesday, ANZ stock closed up 1.05%, trading for $36.59 a share.

That sees shares in the ASX 200 bank stock up 21.24% since this time last year.

Atop those capital gains, ANZ shares also trade on a 4.5% trailing dividend yield, franked at 70%.

That sees ANZ surpassing the second-best-performing big four bank, Westpac Banking Corp (ASX: WBC). Westpac shares have gained 18% over 12 months. And on the passive income front, Westpac shares trade on a fully-franked trailing dividend yield of 3.9%.

National Australia Bank Ltd (ASX: NAB) shares come in a distant third, up 8.83% over 12 months. NAB shares trade on a fully-franked trailing dividend yield of 4%.

Which brings us to the laggard, Commonwealth Bank of Australia (ASX: CBA). After leading the pack in 2024 and the first half of 2025, shares in Australia’s biggest bank have come under pressure. CBA shares are now down 5.41% since this time last year. CBA shares trade on a fully-franked trailing dividend yield of 3.2%.

But with ANZ shares having delivered the best 12-month gains among the big four Aussie banks, and trading at the highest dividend yield, Sanlam Private Wealth’s Remo Greco believes now is an opportune time to take some profits off the table (courtesy of The Bull).

Time to sell ANZ shares?

“Investors responded positively after the bank unveiled its 2030 strategy in late 2025,” said Greco, who has a sell rating on ANZ shares. “The shares rose from $32.67 on September 24, 2025 to close at $38.85 on November 12.”

ANZ released its 2030 strategy update on 13 October.

“Under our new strategy, customers are at the centre of everything we do – whether it’s improving their experiences, offering them leading technologies and platforms, or keeping them safe,” ANZ CEO Nuno Matos said on the day.

“Given ANZ was the cheapest major bank in the sector with the highest yield, the bounce was understandable. The shares were trading at $36.34 on January 22, 2026,” Greco noted.

According to Greco:

The 2030 strategy included ceasing the $800 million share buy-back and accelerating delivery of the ANZ Plus digital front end to all retail and business customers. Reducing duplication and simplifying the bank is part of the plan.

Explaining his sell rating on ANZ shares, Greco concluded, “We believe the ANZ is trading at a premium given the early stages of an ambitious strategy. We would be inclined to lock in some profits at these levels.”

The post Sell alert! Why this analyst is calling time on ANZ shares appeared first on The Motley Fool Australia.

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• Is the ANZ share price a buy today?

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.