The S&P/ASX 200 Index (ASX: XJO) had a relatively positive 12 months in 2025. During the year, the benchmark index rose 6.8% to finish at 8,714.3 points.

And if you throw in dividends, the total return stretches to over 10%.

While this is good, it pales in comparison to the returns that some ASX 200 shares recorded for the year.

Here are the best-performers during the 12 months:

DroneShield Ltd (ASX: DRO)

The DroneShield share price was the best performer on the ASX 200 index by some distance with a gain of 300%.

Investors were fighting to get hold of the counter drone technology company’s shares after it reported explosive sales growth. This was underpinned by increasing demand for its technology in response to modern warfare trends.

Incredibly, DroneShield’s shares were up over 750% year to date at one stage before pulling back.

The good news is that demand remains strong, which bodes well for 2026. In December, DroneShield announced an $8.2 million contract from an in-country reseller for delivery to a western military end-customer and a $49.6 million contract with an in-region European reseller that is contractually required to distribute the products to a European military end-customer.

Liontown Resources Ltd (ASX: LTR)

The Liontown Resources share price was the next best performer with a gain of 198%.

This was driven by improving sentiment in the lithium industry and the release of a solid quarterly update from the miner.

In addition, investors appear optimistic about the company’s outlook now that it has transitioned to 100% underground mining at the Kathleen Valley Lithium Project.

Regis Resources Ltd (ASX: RRL)

The Regis Resources share price wasn’t far behind with a 196% gain in 2025.

Investors were buying this gold miner’s shares following a sharp rise in the gold price over the 12 months.

This supported record EBITDA of $780 million in FY 2025, which was more than double the $297 million it posted in FY 2024.

And with the gold price continuing to rise since then and production potentially increasing in FY 2026, the next 12 months could be very positive for Regis Resources.

Genesis Minerals Ltd (ASX: GMD)

The Genesis Minerals share price was an impressive performer with a gain of 192% for the 12 months.

This gold miner also benefitted greatly from the booming gold price. So much so, in FY 2025 it recorded a 127% increase in net profit after tax to $221.2 million.

Looking ahead, management is guiding to strong production growth in FY 2026.

The post These were the best performing ASX 200 shares in 2025 appeared first on The Motley Fool Australia.

More reading

• These were the best-performing ASX 200 shares in December
• 10 ASX shares I would buy in 2026
• 6 most traded ASX shares of 2025
• Down over 50%, is this the ASX 200’s greatest recovery share for 2026?
• 5 things to watch on the ASX 200 on Wednesday

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.

Happy New Year! With the turning of the calendar, what better time to look ahead and discuss the ASX shares one would most like to buy, or buy more of, in 2026?

So today, let’s get into five ASX shares I would love to pick up this year. Some I don’t yet own, and some I already own but would love to buy more.

5 ASX shares I want to buy in 2026

Washington H. Soul Pattinson and Co Ltd (ASX: SOL)

This first pick will come as no surprise to some readers. I’ve long written about my love of this company, and 2026 is a year that I’m hoping to add even more shares of Soul Patts to my portfolio.

This investing house has a long track record of delivering market-beating returns. As of 23 September, shareholders have enjoyed a total return of 13.7% per annum over the previous 25 years. Soul Patts also has the ASX’s best dividend growth streak, having raised its annual payouts every year since 1998. What more could one ask for from an ASX share?

REA Group Ltd (ASX: REA)

I’ve long wanted to own REA Group shares, but the timing, and pricing, has never quite lined up for me. REA is the most dominant player in Australia’s property advertising market.

Although REA’s flagship realestate.com.au platform is facing some reinvigorated competition from the Co-Star-owned Domain, I think its supremacy is safe. As such, I would love to add this cash-generating machine to my portfolio this year. Australia’s love affair with property looks likely to continue well into the future, and this is the perfect ASX share to play that trend.

MFF Capital Investments Ltd (ASX: MFF)

Listed investment company (LIC) MFF Capital is next. MFF has been a portfolio staple of mine for years now. I love the management’s focus on buying high-quality US stocks and letting them compound in its portfolio. Those US stocks include the likes of Amazon, American Express, Mastercard, Alphabet and Visa.

MFF is also a formidable dividend growth stock, having raised its annual dividend from 2 cents per share in 2017 to the 17 cents per share that investors enjoyed in 2025.

Despite a blowout performance in 2025, MFF Capital shares are still trading below their intrinsic value today. As such, I am hoping to add more to my portfolio in 2026.

Wesfarmers Ltd (ASX: WES)

Wesfarmers is another company that I already own, but would love to buy even more of. This industrial and retail conglomerate is an ASX share that always seems to trade with an expensive price tag. That’s understandable, given Wesfarmers owns some of the best businesses in the country. These include Kmart, Bunnings and OfficeWorks, as well as WesCEF and Priceline.

Wesfarmers has a long track record of delivering both capital growth and rising dividend income to its investors.

As such, I’ll be watching Wesfarmers stock like a hawk in 2026. If the company goes back under $70 a share this year, I’ll seriously be considering adding some more to my portfolio.

TechnologyOne Ltd (ASX: TNE)

Our final stock is tech darling TechnologyOne. I’ve long been impressed by this enterprise software company’s growth and dividend scaling. TechnologyOne can seemingly do no wrong, with 2025 delivering another bumper set of results for the company and its investors.

The company’s share price did have a bit of a tough year. But despite this, it is still looking pretty pricey as we start 2025, at least from my point of view. However, hope springs eternal, and I’m looking forward to seeing whether TechnologyOne gets down to a bargain price at some point this year. I’m very much hoping to have this stock happily in my portfolio by 31 December 2026.

The post 5 ASX shares I want to buy in 2026 appeared first on The Motley Fool Australia.

More reading

• 3 ASX 200 bargain buys heading into the new year
• The Australian stocks I’d trust for the next 10 years
• 10 ASX shares I would buy in 2026
• My blueprint for monthly income starting with $40,000
• The best ASX 200 stocks to own in 2026

American Express is an advertising partner of Motley Fool Money. Motley Fool contributor Sebastian Bowen has positions in Alphabet, Amazon, American Express, Mastercard, Mff Capital Investments, Visa, Washington H. Soul Pattinson and Company Limited, and Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Mastercard, Technology One, Visa, Washington H. Soul Pattinson and Company Limited, and Wesfarmers. The Motley Fool Australia has positions in and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Alphabet, Amazon, Mastercard, Mff Capital Investments, Technology One, Visa, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The “Magnificent Seven” grouping of stocks represents seven of the biggest and most influential companies in the world that make up roughly one-third of the market cap-weighted S&P 500. Its members have a significant impact on whether the overall stock market rises or falls in a given day, so they are closely watched by both analysts and retail investors.

In a series of articles, I’ve been looking at each of these companies to predict which is the best Magnificent Seven stock to buy for 2026. And while I’ll reveal the full rankings later in this piece, it’s time to unveil the legendary company that tops the rankings and appears to be in the best position as we head into the new year.

Let’s pull the curtain back on my No. 1 pick: Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL). 

About Alphabet stock

Alphabet is probably still better known as Google, and for good reason. Google has an unshakable lead in global internet search, with 89.9% of the market share. The search engine in second place, Bing, has just 4.2%. And Alphabet’s Chrome browser is nearly as dominant with 71.2% of the market, topping second-place Safari with 14.3%.

This means that Alphabet is unquestionably the most consequential internet company in the world. And it gives it a massive advantage, both in selling advertising and pushing content to prime locations on the web.

Alphabet brought in $74.18 billion in revenue during the third quarter from advertising, which includes Google Search, its Google network, and YouTube. That’s a 12.6% increase from a year ago, made possible by Alphabet’s use of powerful AI tools. For instance, Alphabet uses AI to provide more relevant answers to search queries and also launched an AI Overviews feature that appears at the top of a search result. It also uses AI to optimize the creation and placement of advertising, and even has AI tools to help users answer their email.

In all, advertising made up 72% of Alphabet’s $102.34 billion in revenue for the third quarter, helping it achieve an incredible $73.55 billion in free cash flow over the last 12 months.

Alphabet is making huge strides in cloud computing

As dynamic as Alphabet’s advertising business is, I think the cloud computing opportunity is even greater. Google Cloud is only third by market share with 13%, trailing Amazon Web Services and Microsoft Azure, but it’s seeing substantial growth. Google Cloud generated $15.15 billion in revenue in the third quarter, up 33% from a year ago. It was also responsible for $3.59 billion in operating income, up from $1.94 billion a year ago.

Finally, Alphabet has a big opportunity with its Tensor Processing Units (TPUs), which are its in-house alternative to Nvidia‘s vaunted (and expensive) graphics processing units (GPUs). Alphabet’s TPUs aren’t as versatile as GPUs, but they are effective in training its AI models. Now Alphabet is reportedly discussing a deal that would sell billions of TPUs to Meta Platforms and it has a deal with Anthropic, which announced it will expand its use of Google Cloud to include up to 1 million TPUs.

Coupled with Google’s massive advertising business, the fast-growing cloud opportunity makes Alphabet even more formidable — and attractive for investors as we head into 2026.

Why Alphabet is No. 1

Alphabet shares are up more than 60%, but the company is still reasonably priced. Its forward price-to-earnings ratio of 29.7 remains one of the lowest in the Magnificent Seven.

Revenue estimates for next year of $454.8 billion have climbed steadily over the last six months, as the market begins to realize the massive potential of Alphabet stock.

While this company may not be the flashiest in the Magnificent Seven — I would give that crown to either Nvidia or Tesla — I think it’s a no-brainer for any investor to buy right now.

The list in review

Now we finally have the full list, in order:

• No. 1 Alphabet is the dominant internet company on the planet and is starting to market its alternative to Nvidia GPUs.
• No. 2 Nvidia is the largest company in the world by market capitalization and has taken the leading role in providing high-powered GPUs to data centers, powering the AI revolution.
• No. 3 Meta Platforms shifted its attention away from the metaverse and is now focused on developing “personal superintelligence” through AI.
• No. 4 Microsoft has powerful revenue streams through its cloud computing division and its profitable suite of software, including Word, Excel, and PowerPoint.
• No. 5 Tesla aims to make breathtaking advancements in autonomous driving, which, if successful, will enable hundreds of thousands of Teslas to be used as robotaxis.
• No. 6 Amazon is the globe’s biggest provider of cloud computing, but is hampered by the comparatively low margins of its legacy e-commerce business.
• No. 7 Apple isn’t monetizing AI like its Magnificent Seven peers, but it’s developing advanced chips to run large AI models on its products.

You really can’t go wrong with any of these companies. However, I believe Alphabet is the clear winner for investors seeking to purchase a Magnificent Seven stock for 2026.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Ranking the best “Magnificent Seven” stocks to buy for 2026. Here’s my no. 1. appeared first on The Motley Fool Australia.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

More reading

• Warren Buffett has 23% of Berkshire Hathaway’s portfolio invested in 3 artificial intelligence (AI) stocks heading into 2026
• Alphabet near $300: Your last chance to buy?
• Alphabet vs. Amazon: Which stock will outperform in 2026?
• 1 Magnificent 7 stock to buy in 2026 (and 1 to avoid)
• The best artificial intelligence (AI) stock to buy in 2026 (Hint: It’s not Nvidia)

Patrick Sanders has positions in Nvidia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has recommended Alphabet, Amazon, Apple, Meta Platforms, Microsoft, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Artificial intelligence (AI) and the increased demand for GPUs has driven massive growth in Nvidia (NASDAQ: NVDA) stock. The chipmaker is currently up an astounding 23,020% over the last 10 years (as of Dec. 26).

If you’ve been thinking about starting or adding to a position in Nvidia, there’s one great reason to do so before Feb. 25, 2026. 

Nvidia’s next earnings report is coming up

Feb. 25 is when Nvidia will announce the financial results for the fourth quarter and its full 2026 fiscal year. The company’s 2026 fiscal year ends on Jan. 31.

Nvidia’s earnings reports have become more like victory laps. It has delivered 11 consecutive quarters of revenue growth, often in double- or triple-digit percentages. Most recently, its third-quarter revenue reached a record $57 billion, a 62% year-over-year increase. Fourth-quarter revenue expectations are $65 billion, which would mean sales of $213 billion on the year.

Taking a long-term per[spective, Nvidia is also set up for future earnings growth. It has a $500 billion order backlog through the end of 2026, and earlier this month, the Trump administration authorized Nvidia to begin selling its H200 chips in China.

Nvidia is on the expensive side, trading at 47 times trailing earnings and 41 times forward earnings expectations. However, its sales have consistently grown, and the company’s GPUs remain in high demand with other AI companies. Considering its next earnings report will most likely bring positive news, if you’re going to invest in Nvidia, you might not want to wait too long. 

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post 1 incredible reason to buy Nvidia stock before Feb. 25 appeared first on The Motley Fool Australia.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

More reading

• 5 most traded US stocks by Aussie investors this year
• If you’d invested $1,000 in Nvidia 10 years ago, here’s how much you’d have today
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• Will Nvidia stock crash in 2026?
• Which AI chip stock is the better buy for 2026: Nvidia or Alphabet?

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

The S&P/ASX 200 Index (ASX: XJO) was back on form in December and pushed higher.

During the month, the benchmark index managed to record a gain of 1.15% to end at 8,714.3 points.

While that was positive for investors, there were many ASX 200 shares that vastly outperformed the market in December.

Here are the best performers on the index during the period:

DroneShield Ltd (ASX: DRO)

The DroneShield share price was the best performer on the ASX 200 index in December with a gain of approximately 56%. Investors were scrambling to buy the counter drone technology company’s shares after it announced a series of contract wins. This includes an $8.2 million contract from an in-country reseller for delivery to a western military end-customer and a $49.6 million contract with an in-region European reseller that is contractually required to distribute the products to a European military end-customer. In addition, DroneShield announced plans to establish a mandatory minimum shareholding policy (MSP) for all directors and members of senior management. This was in response to heavy insider selling which caused significant share price weakness in November.

Bellevue Gold Ltd (ASX: BGL)

The Bellevue Gold share price wasn’t too far behind with a gain of 30% for the month. This was driven by the gold miner’s exposure to the booming gold price. Speaking of which, the precious metal climbed to several record highs during the period on the back of US rate cut optimism. In addition, early in the month, Macquarie Group Ltd (ASX: MQG) put an outperform rating and $1.80 price target on its shares.

Greatland Resources Ltd (ASX: GGP)

The Greatland Resources share price was on form and raced 26% higher in December. Investors were buying this gold and copper producer’s shares thanks to favourable moves in commodity prices. Another positive was the release of the feasibility study for its Havieron project. It noted that the study confirms a pathway to a world-class, long-life, lowest quartile cost Australian gold-copper mine, leveraging existing infrastructure. The company’s managing director, Shaun Day, commented: “Today, we are delighted to deliver our Feasibility Study which confirms Havieron’s world-class quality and sets the pathway for its development into a long-life, low cost, leading Australian gold-copper mine that will integrate efficiently with the existing infrastructure at Telfer.”

IGO Ltd (ASX: IGO)

The IGO share price was a strong performer and rose 23% during the month. This appears to have been driven by improving sentiment in the battery materials space. In addition, the ASX 200 share announced that Chemical Grade Plant 3 (CGP3) at the Greenbushes lithium mining and processing operation in Western Australia commenced commissioning on schedule. CGP3 has a capacity of approximately 500ktpa of spodumene concentrate. It will be an integral part of Greenbushes growth strategy, helping to take total capacity of the site to approximately 2.1mt of spodumene concentrate.

The post These were the best-performing ASX 200 shares in December appeared first on The Motley Fool Australia.

More reading

• The top ASX growth stocks that could rebound in 2026 after a brutal year
• Where to invest $10,000 into ASX 200 shares in January 2026
• 10 ASX shares I would buy in 2026
• 6 most traded ASX shares of 2025
• Down over 50%, is this the ASX 200’s greatest recovery share for 2026?

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

Looking to strengthen your income portfolio in 2026?

If you are, then take a look at the two ASX dividend shares listed below that Bell Potter rates as best buys for next year.

Here’s what the broker is recommending to clients:

Elders Ltd (ASX: ELD)

The first ASX dividend share that could be a best buy according to Bell Potter is Elders.

It is an agribusiness company that provides rural and livestock services, agricultural inputs, and real estate services to Australia’s farming sector.

Bell Potter thinks its shares are cheap at current levels, especially given its positive growth outlook. It explains:

We see encouraging signs for FY26e, with livestock turnoff values up ~35% YOY through 1Q26TD, stable to rising crop protection active ingredient values and modestly higher fertiliser price indicators. A more normal selling pattern in FY26e, delivery on SYSMOD and backward integration initiatives, sector activity tailwinds and consolidation of Delta are expected to drive high double-digit EPS growth in FY26-27e. This view does not look reflected in the current share price, with ELD trading at ~11x FY26e EPS.

With respect to income, the broker is forecasting 43 cents per share in FY 2026 and then 45 cents per share in FY 2027. Based on its current share price of $6.86, this would mean dividend yields of 6.3% and 6.55%, respectively.

Bell Potter has a buy rating and $9.45 price target on its shares.

Regal Partners Ltd (ASX: RPL)

Another ASX dividend share that Bell Potter rates highly is specialist alternatives investment manager Regal Partners.

Bell Potter has been pleased with its performance in 2025 and believes the market is undervaluing its shares. It said:

Regal Partners continues to grow its FUM through inflows, acquisitions, and strong fund performance. The recent quarter was the strongest on record, with FUM reaching $20.0bn, up 13.1% over the quarter, with inflows of 4.1% and investment performance of 9.9%. Revenue is underpinned as 85% of funds ($13.7bn) were at or close to generating performance fees in FY25. The funds continue to see strong performance from: PM Capital funds, Tactical Opportunities and Resources Royalties. Despite record results, the shares have been de-rated since the start of the year. We do not believe the improvement in operational performance is reflected in the current share price.

As for dividends, the broker is forecasting fully franked payouts of 15.2 cents per share in FY 2026 and 20 cents per share in FY 2027. Based on its current share price of $3.20, this would mean dividend yields of 4.75% and 6.25%, respectively.

Bell Potter has a buy rating and $4.40 price target on its shares.

The post Bell Potter names the best ASX dividend shares to buy in 2026 appeared first on The Motley Fool Australia.

More reading

• These agricultural stocks are fundamentally undervalued, Bell Potter says
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• Two undervalued agriculture ASX shares to add to your Christmas stocking

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

2025 has been a humbling year for growth investors.

Valuation resets, AI bubble fears, and concerns about global economic momentum have weighed heavily on once-popular ASX growth stocks.

As a result, a number of high-quality stocks have seen their share prices fall sharply.

History suggests this is often where opportunity begins. Markets tend to look forward, and when sentiment turns, beaten-down ASX growth stocks could rebound strongly.

With that in mind, here are two growth stocks that analysts think could be well placed to bounce back in 2026 after a painful year.

Domino’s Pizza Enterprises Ltd (ASX: DMP)

Domino’s shares have fallen approximately 30% in 2025 as investors reacted to its poor operating performance.

Morgans thinks that it is worth sticking with the pizza chain operator. Especially given how there are signs that the worst is now over. It said:

DMP’s FY26 AGM update was positive, in our view, given the company is on track to exceed FY26 consensus NPAT, cost out was quantified, and its gearing metrics are improving. The trading update was weak, with Same-Store Sales (SSS) growth still negative; however, we think this is somewhat irrelevant while the business transitions to its new pricing strategy to drive higher margin sales for franchisees given the noise around the short-term volume impact of less discounting (i.e. lost sales were unprofitable anyway).

While DMP’s share price has recently increased ~55% off its lows on the back of potential corporate activity, the stock is still only trading on a FY26F PE of 16x which is a ~30% discount to CKF. With improving confidence in the turnaround, we continue to think the risk reward looks attractive from here. Maintain BUY.

Morgans has a buy rating and $25.00 price target on its shares. This implies potential upside of almost 20% for investors.

Xero Ltd (ASX: XRO)

Xero has also endured a tough year, with its shares down roughly 30% in 2025.

Cautious sentiment toward software valuations and doubts over a major acquisition have overshadowed the company’s strong subscriber growth and expanding ecosystem.

Macquarie sees this as a great opportunity for investors to snap up this ASX growth stock. It said:

Mgmt is walking the walk, making data-driven decisions that invariably lead to better capital allocation outcomes. We have high conviction in >12mo story, driven by the US opportunity. Gusto and Melio are the platform for US growth and mgmt is executing quickly. Reiterate Outperform.

The broker has an outperform rating and $230.30 price target on Xero’s shares. This suggests that its shares could more than double in value in 2026.

The post The top ASX growth stocks that could rebound in 2026 after a brutal year appeared first on The Motley Fool Australia.

More reading

• Where to invest $10,000 into ASX 200 shares in January 2026
• 10 ASX shares I would buy in 2026
• Buying ASX shares? Why, and how, you should prepare for higher interest rates in 2026
• My top 10 ASX stocks to buy for 2026
• The ASX blue chip shares I’d buy during the next correction

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

The Qantas Airways Ltd (ASX: QAN) share price has been one of the stronger ASX travel stocks in 2025.

After several difficult years following COVID, the airline has rebuilt profits, repaired its balance sheet, and restarted dividends. The result is a share price that is up almost 15% in 2025, with Qantas shares now trading around $10.30.

With a yield sitting near 5%, is Qantas worth buying for dividends heading into 2026?

Let’s take a closer look.

How much is Qantas paying in dividends?

Qantas made a big move in FY25 by finally restarting its dividends.

For the year, the company paid:

• Interim base dividend: 16.5 cents per share
• Interim special dividend: 9.9 cents per share
• Final base dividend: 16.5 cents per share
• Final special dividend: 9.9 cents per share

That adds up to 52.8 cents per share, with all dividends fully franked.

At a share price around $10.30, that works out to a dividend yield of just over 5%, which is attractive compared with many other large ASX shares.

It is also worth noting that Qantas did not pay dividends for several years after COVID. The return to regular payments shows the business is now in a much stronger position.

What are brokers saying?

Broker views on Qantas are mostly positive.

The general analyst consensus rating is buy, with average price targets sitting around $12.30. That suggests brokers see further upside on top of the dividend income.

Some brokers have trimmed targets in recent months as travel demand normalises, but few have turned negative.

The view across the market is that Qantas is now a profitable, cash-generating business again.

What is happening in the business?

In its recent market update and AGM address, Qantas said travel demand remains solid across both domestic and international routes.

The company highlighted:

• Strong performance from the Qantas Loyalty division
• Healthy demand for leisure travel
• Stable capacity management to protect margins

Management also acknowledged challenges, including higher costs and softer corporate travel demand, but overall earnings remain well above pre-COVID levels.

Should you buy Qantas shares for income?

Qantas shares look appealing for investors seeking income plus steady growth.

The dividend yield is attractive, dividends are fully franked, and the business is in much better shape than it was a few years ago.

That said, airline stocks can be volatile. Changes in fuel costs, economic conditions, or travel demand could impact future earnings and dividends.

For investors comfortable taking on some risk, Qantas could have a place in a diversified income portfolio.

The post Should you buy Qantas shares for its 5% dividend yield in 2026? appeared first on The Motley Fool Australia.

More reading

• 9 ASX All Ords shares upgraded to strong buy ratings for the new year
• Here are the top 10 ASX 200 shares today
• Virgin Australia versus Qantas shares: One I’d buy and one I’d sell
• Has the Qantas share price flown too close to the sun?
• Is the Qantas share price a buy today?

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

Starting a new year with a fresh investment plan doesn’t need to be complicated.

For investors with $2,500 to put to work, ASX exchange-traded funds (ETFs) can be a smart and simple choice.

But which funds could be top picks for investors in January? Let’s take a look at five ASX ETFs to consider buying:

Betashares Global Cash Flow Kings ETF (ASX: CFLO)

The Betashares Global Cash Flow Kings ETF focuses on stocks that generate strong and sustainable free cash flow. Its holdings include global heavyweights such as Alphabet (NASDAQ: GOOGL), NVIDIA (NASDAQ: NVDA), Visa (NYSE: V), Intuit (NASDAQ: INTU), and Costco Wholesale (NASDAQ: COST). By targeting cash-generative leaders across multiple sectors, CFLO offers a quality tilt that can appeal to investors looking for resilience and long-term compounding.

Betashares Global Shares ex-US ETF (ASX: EXUS)

The Betashares Global Shares ex-US ETF is another ASX ETF for investors to consider. It provides access to developed markets outside the US and Australia. This includes Europe, Japan, and Canada.

Top holdings include ASML Holding (NASDAQ: ASML), Nestlé (SWX: NESN), Roche (SWX: ROG), SAP (ETR: SAP), and AstraZeneca (LSE: AZN).

This means that the Betashares Global Shares ex-US ETF can play an important role in diversifying a portfolio across regions and sectors that behave differently to US tech-heavy markets. It was recently recommended by analysts at Betashares.

Betashares India Quality ETF (ASX: IIND)

India is one of the fastest-growing major economies in the world, supported by favourable demographics, rising incomes, and accelerating digital adoption. The Betashares India Quality ETF gives investors exposure to this long-term growth story in a single trade.

Holdings include high-quality companies such as Reliance Industries (NSEI: RELIANCE), Infosys (NYSE: INFY), ICICI Bank, and Tata Consultancy Services (NSEI: TCS). For investors with a long time horizon, this fund offers access to an emerging market with significant structural tailwinds. It was also recently recommended by Betashares.

Betashares MSCI Emerging Markets Complex ETF (ASX: BEMG)

The Betashares MSCI Emerging Markets Complex ETF could be worth a closer look. It provides broad exposure to emerging markets across Asia, Latin America, Eastern Europe, and Africa. These regions are driven by trends such as urbanisation, digital transformation, and a growing middle class.

Key holdings include Taiwan Semiconductor Manufacturing Company (NYSE: TSM), Tencent Holdings (SEHK: 700), and Alibaba Group (NYSE: BABA). This ASX ETF was also recommended by Betashares recently.

VanEck MSCI International Value ETF (ASX: VLUE)

Finally, the VanEck MSCI International Value ETF targets international stocks that are trading at attractive valuations relative to their fundamentals. The fund uses a rules-based approach to identify stocks with strong value characteristics.

Its portfolio currently includes names such as Micron Technology (NASDAQ: MU), Cisco Systems (NASDAQ: CSCO), and Western Digital (NASDAQ: WDC). It was recently recommended to investors by VanEck.

The post 5 ASX ETFs to buy with $2,500 in January appeared first on The Motley Fool Australia.

More reading

• The ASX ETFs to buy now and not look at until next Christmas
• Guess how much $10,000 invested in these VanEck ASX ETFs a year ago is worth today?
• 3 ASX ETFs that could be perfect for beginners
• The ASX ETFs to buy in 2026 and then never sell
• 3 strong ASX ETFs to buy and hold for 10 years

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 ASML, Alphabet, AstraZeneca Plc, Cisco Systems, Costco Wholesale, Intuit, Nvidia, Taiwan Semiconductor Manufacturing, Tencent, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Alibaba Group, Nestlé, Roche Holding AG, and SAP. The Motley Fool Australia has recommended ASML, Alphabet, Nvidia, and Visa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

US stocks are on track to outperform the S&P/ASX 200 Index (ASX: XJO) again this year.

At the time of writing, the S&P 500 Index (SP: .INX) is up 17% and the Nasdaq Composite Index (NASDAQ: .IXIC) is up 21% for 2025.

Meanwhile, the ASX 200 is up 6%.

Many Australian investors, particularly younger generations, own US stocks via broad-based exchange-traded funds (ETFs).

However, some investors still prefer to buy US shares directly in the hope of outsized returns.

Investment platform Stake has revealed the top five most traded US stocks by its Australian customers in calendar year 2025.

Let’s take a look.

Most traded US stocks of the year

1. NVIDIA Corp (NASDAQ: NVDA)

The Nvidia share price closed at $187.54 overnight and has risen 40% in 2025.

According to Stake’s 2025 Retail Investor Report Card:

Nvidia officially became the world’s largest company this year – its market cap reaching a peak US$4.93T in November.

Despite landing in the short-seller crosshairs of Michael Burry, the firm proved AI demand isn’t going anywhere.

It beat revenue estimates every quarter in 2025 by an average of 8.9% and is on track to generate US$212B in FY26.

Its earnings have become a global market catalyst: Nvidia’s results serve as a directional signal for traders worldwide.

For Stake investors, the biggest ‘buy-the-dip’ moment came during the DeepSeek moment in January, when Nvidia lost US$260B in market cap but buy orders surged 460%.

2. Tesla Inc (NASDAQ: TSLA) 

The Tesla share price closed at $454.24, up 12.5% over the year.

Stake analysts summed up Tesla’s performance in 2025:

Tesla shares managed a [12.5%] YTD gain despite declining sales, margin compression, and intensifying competition from Chinese EV makers like BYD. It was the only member of the elite Mag7 group to not hit a record high this year.

Investors who are still bullish are banking on Tesla’s autonomous driving or ‘robotaxi’ tech and future-oriented business lines.

Another bright spot for its balance sheet was its energy and storage revenue, which hit US$3.41B in Q3 with a 31.4% gross margin.

The biggest day of $TSLA buying on Stake was 5 June, amid a very public feud between CEO Elon Musk and President Trump over a Republican budget bill eliminating EV tax credits.

3. Palantir Technologies Inc (NASDAQ: PLTR)

This US artificial intelligence stock rode the wave of rising global defence spending in 2025.

The defence software developer closed at $180.84 per share overnight, up 139% in 2025.

Stake analysts said:

Palantir has been one of the best performing stocks in 2025, recording a 140% YTD gain on the back of record earnings and major government contracts. It landed a US$10B software contract with the U.S. Army alongside multi-year deals with AI enterprise clients.

CEO Alax Karp swiped at critics who called him ‘batshit crazy’ in an earnings call where the firm raised full-year guidance.

But the short sellers are circling: on 18 Aug, Citron Research said a US$40 share price would be generous for $PLTR, effectively implying its trading 80% higher than fair value.

It was also the day Stake traders bought the most $PLTR this year.

4. Amazon.com Inc (NASDAQ: AMZN)

The Amazon share price closed at $232.53 overnight, up 6% this year.

Stake analysts commented:

Amazon hasn’t seen the most significant share price growth in 2025, trailing the S&P 500 and the Nasdaq. That didn’t stop investors from trading large volumes of this stock, particularly during moments of turbulence following the Liberation Day tariff announcements.

Despite the high capex spend on AI infrastructure, its high-margin AWS segment grew 20% YoY to US$33B in Q3.

AWS and advertising growth make Amazon’s future less dependent on traditional retail cycles, but more reliant on cloud and AI demand.

5. Advanced Micro Devices Inc (NASDAQ: AMD)

US semiconductor stock, Advanced Micro Devices, closed at $215.34 apiece overnight, up 78% this year.

According to Stake’s report:

AMD saw multiple re-ratings from analysts this year as it transitioned from being seen as a CPU/GPU maker for PCs to a major player in AI and data centre infrastructure.

The turning point might have been its multi-year strategic partnership with OpenAI, leading to a 30% rally – its best day since 2016.

Stake investors took the opportunity to lock in profits, with the 6 October seeing the largest sell volume on record.

AMD has also been eating away at Intel‘s x86-based chip market share. It accounts for 30% of that market, providing demand for its CPUs is still strong in a year where CEO Lisa Su claimed its AI chips can match Nvidia’s performance.

The post 5 most traded US stocks by Aussie investors this year appeared first on The Motley Fool Australia.

More reading

• Warren Buffett has 23% of Berkshire Hathaway’s portfolio invested in 3 artificial intelligence (AI) stocks heading into 2026
• 1 unstoppable stock that could join Nvidia, Alphabet, Apple, and Microsoft in the $3 trillion club in 2026
• Is Tesla stock a buy before 2026?
• If you’d invested $1,000 in Nvidia 10 years ago, here’s how much you’d have today
• The ASX ETFs that have stood the test of time

Motley Fool contributor Bronwyn Allen 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 Advanced Micro Devices, Amazon, Intel, Nvidia, Palantir Technologies, and Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended BYD Company. The Motley Fool Australia has recommended Advanced Micro Devices, Amazon, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.