The S&P/ASX 200 Index (ASX: XJO) closed up 3.7% in February, but these five ASX 200 stocks went sharply the other way.

From market close on 30 January through to the closing bell on 27 February investors sent these five stocks tumbling 26% to 32%.

Here’s what put these companies under heavy selling pressure.

Austal Ltd (ASX: ASB)

The Austal share price tumbled 25.9% in February.

Shares in the Aussie ship builder crashed 22.8% on 13 February after management revealed they had inadvertently overstated the ASX 200 stock’s potential earnings.

Ahead of Austal’s half-year results release, the company reported that a US$17.1 million “overstatement had been included in the Company’s FY2026 EBIT guidance”.

EBIT guidance for FY 2026 was subsequently lowered to approximately AU$110 million.

Austal shares closed down another 11.0% on 23 February following the release of the ship builder’s half-year results.

Cochlear Ltd (ASX: COH)

The Cochlear share price also had a month to forget, closing down 26.1% in February.

Shares in the ASX 200 stock, which manufactures and sells cochlear implantable devices,

Much of that pain was delivered on 13 February. Cochlear shares slumped 18.9% on the day following the release of the company’s half year results.

While sales revenue was up 1% year-on-year to $1.18 billion, revenue was down 2% in constant currency.

And investors were favouring their sell button’s, with Cochlear reporting a 9% decline in underlying net profit to $194.8 million.

Zip Co Ltd (ASX: ZIP)

The third ASX 200 stock investors would have done well to avoid buying and holding in February is buy now, pay later (BNPL) company Zip.

Zip shares fell 27.9% over the month just past.

All of that pain, and then some, was delivered on 19 February. The Zip share price closed down 34.4% on the day after the company released its – you guessed it – half year results.

Investors punished the stock despite Zip achieved an 85.6% year-on-year increase in cash EBTDA to $124.3 million. As the Motley Fool’s James Mickleboro pointed out on the day, that looked to be fuelled by concerns of moderating profit growth, with management flagging that H2 cash EBTDA is likely to be broadly in line with the first half earnings.

Pro Medicus Ltd (ASX: PME)

Pro Medicus shares also took a beating in February, shedding 29.4% of their value over the month.

Shares in the health imaging company tumbled 23.9% on 12 February after the company reported its own half-year results.

That sharp selloff came despite the ASX 200 stock reporting a 28.4% year-on-year increase in half year revenue to $124.8 million. And underlying profit before tax of $90.7 million was up 29.7%.

But investors look to have gotten swept up with rising concerns about the potential for AI to disrupt the global software industry.

Temple & Webster Group Ltd (ASX: TPW)

Rounding off the list with the biggest monthly loss is online furniture and homewares retailer Temple & Webster.

Temple & Webster shares crashed 31.6% in February, with the share price plunging 32.6% on 12 February.

I’m sure I don’t need to tell you why.

Yep, the company reported its half-year results on the day.

The ASX 200 stock came under intense selling pressure despite achieving 20% year-on-year revenue growth to $376 million.

But investors were clearly not pleased with depreciation and amortisation costs, which saw Temple & Webster’s net profit before tax for the six months decline 28% to $7.4 million.

The post The five worst performing ASX 200 stocks bought and held in February unmasked appeared first on The Motley Fool Australia.

More reading

• 3 ASX 200 shares to buy and hold for a decade or more
• ASX 200 shares to buy on the cheap right now
• 2 ASX 200 shares tipped to more than double in value
• Where to invest $20,000 in ASX growth shares this month
• 2 battered ASX shares that look too cheap to ignore

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 positions in and has recommended Cochlear and Temple & Webster Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended Cochlear, Pro Medicus, and Temple & Webster Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

French billionaire Olivier Goudet has increased his stake in Treasury Wine Estates Ltd (ASX: TWE) to 7.13% after tipping another $41.7 million into the company since mid-January.

Treasury shares jumped when it first emerged that Mr Goudet had spent about $226 million buying into the struggling wine company, with the stock adding 10% in the couple of days after the news was announced in late December.

Treasury Wine shares have continued to slide since then however, falling from $5.39 on December 24 to be changing hands for $4.55 currently.

A new announcement to the ASX on Tuesday shows Mr Goudet’s company has been buying up stock since January 19.

Wheeler and dealer

Mr Goudet’s interest is of note, given his background in Europe as a buyer and seller of high-profile brands.

He is well known in European business circles as the former head of JAB Holding, which managed the wealth of Germany’s Reimann family.

While in that role, Mr Goudet spearheaded the takeover of companies including Krispy Kreme and Pret a Manger, and according to a report in The Australian, he also personally bought a chateau in Bordeaux with his wife in 2021.

Mr Goudet, who was also the former Chief Financial Officer at Mars, stepped down from JAB Holding in 2023.

Mr Goudet is getting his new shares at a relative bargain, with Treasury Wine shares well down on their highs of $10.88 over the past year.

Tough times in the wine trade

Treasury in mid-February announced half-year EBITS of $236.4 million, which was a 39.6% decline on the previous corresponding period, and a net loss of $649.4 million, including $751 million in non-cash write-downs of its US assets.

The company suspended its interim dividend to preserve capital, and reiterated that it had started strategic actions “to maintain brand strength and healthy sales channels across key markets, with reducing customer inventory holdings in the US and China a priority”.

Treasury Chief Executive Officer Sam Fischer said at the time:

Today’s results come at a time when we are already making meaningful progress with the decisive actions required to return TWE to a path of sustainable, profitable growth. Our focus is firmly on the future to strengthen execution and ensure we build a stronger, more resilient business for the long term. TWE Ascent is the key enabler of this reset. It is a disciplined, multi-year transformation program designed to sharpen our portfolio, simplify the organisation and optimise our cost base, and I am pleased with the progress we have made to date. Encouragingly, we are seeing our key brands continue to perform in the marketplace and resonate strongly with consumers, reinforcing confidence in the strength of our portfolio and our ability to deliver improved performance as we execute the transformation of the business.  

The post Which billionaire has upped his stake in Treasury Wine Estates? appeared first on The Motley Fool Australia.

More reading

• 2 battered ASX shares that look too cheap to ignore
• These are the 10 most shorted ASX shares
• This ASX 200 premium stock crashes 58% – bargain or value trap?
• 3 ASX All Ords shares at 52-week lows: Are they a buy?
• I’m listening to Warren Buffett and buying cheap ASX shares

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

The New Hope Corporation Ltd (ASX: NHC) share price is in focus after the company announced the extension of its on-market share buy-back program to 2 March 2027, aiming to enhance shareholder value through active capital management.

What did New Hope report?

• Extension of current on-market share buy-back program until 2 March 2027
• Buy-back conducted in ordinary course of trading on the ASX
• No specified limit on number of shares to be repurchased within legal thresholds
• Any shares acquired under the buy-back will be immediately cancelled
• No shareholder approval required for the extension

What else do investors need to know?

The extension continues New Hope’s focus on improving shareholder returns via flexible capital management. The buy-back will proceed at the company’s discretion, subject to share price, market conditions, and future capital needs.

The company has lodged a related Appendix 3C with the ASX and will provide daily notifications of any shares purchased, in line with ASX Listing Rules. The board may suspend or terminate the buy-back anytime if circumstances change.

What’s next for New Hope?

Looking ahead, the buy-back will remain part of New Hope’s ongoing capital management strategy. The company will weigh market factors, prevailing share price, and capital requirements before making any future buy-back decisions.

Shareholders should note there is no guarantee any shares will be repurchased, and the program may be altered or ended early if necessary.

New Hope share price snapshot

Over the past 12 months, New Hope shares have risen 23%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 11% over the same period.

View Original Announcement

The post New Hope extends share buy-back program to March 2027 appeared first on The Motley Fool Australia.

More reading

• Stockland shares in focus after unveiling EdgeConneX data centre partnership
• Life360 FY25 earnings: revenue jumps, positive outlook for FY26
• 5 things to watch on the ASX 200 on Tuesday
• Here are the top 10 ASX 200 shares today
• Ampol updates investors as ACCC narrows focus on EG Australia deal

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 Magellan Financial Group Ltd (ASX: MFG) share price is skyrocketing as investors show their support for the proposed merger with Barrenjoey Capital Partners.

Magellan announced today that it had completed a $130 million institutional capital raise to help fund the merger, which was announced yesterday.

Magellan shares came out of a trading halt this morning and are currently the biggest risers on the S&P/ASX 200 Index (ASX: XJO).

The Magellan share price opened at $9.91 on Tuesday, up 17%, and rose to an intraday high of $11.11, up 31%.

Magellan shares are now $10.52, up 24.4%.

On Friday, the Magellan share price closed at $8.46 prior to the merger news on Monday.

The investment manager said the institutional placement attracted very strong demand from current shareholders and new investors.

Magellan intends to raise a further $20 million from retail investors via a Share Purchase Plan (SPP) at the same price of $8.45 per share.

Magellan was a founding shareholder in Barrenjoey and already owns a 36% stake.

The investment manager will acquire the remaining shares in Barrenjoey for $903 million.

Barrenjoey launched in 2020 under the leadership of CEO Brian Benari, who had been CEO of Challenger Ltd (ASX: CGF) for 7 years.

The institutional placement and SPP will fund an initial increased stake in Barrenjoey.

The rest of the consideration will be funded through the issue of new Magellan shares to Barrenjoey shareholders.

What did management say?

Magellan chair Andrew Formica said:

We are very pleased to welcome a number of new highly respected investors to the register and view their participation as an endorsement of the merger and future prospects for the group.

We are also pleased with the outcome and thank our shareholders and new investors for their strong support for the Placement and the proposed merger with Barrenjoey.

We view the merger as transformative for MFG and are excited about the potential to create long-term value for our clients and
shareholders.

Share Purchase Plan for Magellan investors

Magellan investors on the register as of 7pm last Friday will be eligible to participate in the SPP.

Shareholders can apply for a maximum of $30,000 worth of new Magellan shares at $8.45 apiece, subject to a scale-back if necessary.

Magellan expects to launch the SPP next Thursday, 12 March, and close it at 5pm (Sydney time) on Wednesday, 25 March.

Magellan will issue an SPP booklet on or around next Wednesday.

More details on the deal

The merger will combine Magellan’s investment management business with Barrenjoey’s strengths in corporate finance, equities, fixed income, and capital markets.

The deal is subject to conditions, including shareholder approval at an Extraordinary General Meeting to be held next month.

Magellan said the combined group would benefit from a broader client offering and a stronger balance sheet to support growth.

Magellan released a presentation on the deal yesterday.

Barrenjoey Independent Non-Executive Chair, David Gonski AC, said:

Joining forces provides an ideal platform for our next phase of growth together as a top tier financial services group, while ensuring our clients and our people remain at the centre of everything we do.

The merger deal gives Barrenjoey an implied value of $1.62 billion on a 100% equity basis.

In CY25, Barrenjoey took in revenue of $522 million and reported adjusted NPATA of $108 million.

The merger is valued at 15x P/E based on the past 12-month result, prior to expected synergies.

Upon completion, Magellan will own 100% of the issued capital of Barrenjoey. Magellan shareholders will take 58.2%, institutional placement shareholders will own 5.3%, Barrenjoey parties will own 31.7%, and Barclays will own about 4.9%.

Who will run the new company?

Barrenjoey CEO, Brian Benari, will be Group CEO, and Gonski will be board chair.

Andrew Formica will be Deputy Chair, and Paul Compton, Chair of Investment Banking at Barclays, will join the Magellan board.

Matthew Grounds and Guy Fowler will continue as Co-Executive Chairs of Barrenjoey Capital Partners.

Sophia Rahmani will continue as Magellan’s CEO.

Magellan Non-Executive Director, David Dixon, will retire on completion of the merger.

Magellan share price snapshot

The Magellan share price is now up 24% over the past year but down 73% over the past five years.

The post Magellan share price soars 31% on completed capital raise for Barrenjoey merger appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Tuesday
• Magellan Financial Group unveils merger with Barrenjoey
• Magellan requests trading halt ahead of major announcement
• Should you buy Digico, Magellan, and Ramelius shares?
• 16 ASX shares going ex-dividend next week

Motley Fool contributor Bronwyn Allen has positions in Magellan Financial Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Barclays Plc. 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.

Jewellery retailer Michael Hill International Ltd (ASX: MHJ) recently delivered a solid profit result for the first half, sending its shares to a fresh 12-month high.

But the team at Jarden has run the ruler over the results and thinks that if the company continues to execute well, the shares could lock in even more gains.

Solid earnings increase

Firstly, let’s look at the profit result. Michael Hill reported group sales of $371 million, up 3% on the previous corresponding period, but comparable EBIT was up 28.6% to $31 million. Net profit was up 32% to $22.3 million.

The company’s gross margin was steady at 61.2%, with increases in the gold and silver price offset by “overall product mix and focused promotional activity”.

And the company’s net cash position was $20.7 million, $30.5 million better than for the previous period.

Michael Hill did not declare a dividend but indicated that the board did intend to pay a full-year dividend, “subject to current trading conditions continuing and in line with the company’s dividend policy”.

And, encouragingly, same-store sales for the group for the first eight weeks of the current half were up 6% on the previous corresponding period.

Michael Hill Chief Executive Officer Jonathan Wecker said regarding the results:

Since joining the business in August, I have spent most of my time in stores and with our teams and customers. The feedback was consistent, that when we simplify how we operate, stay close to the customer and focus on retail fundamentals, performance improves. Over the half, we acted on that by tightening our product focus, improving our go-to-market, clarifying expectations in stores, and improving how we communicate across our teams. Momentum built through the Christmas trading period, and we saw that come through in stronger sales and improved comparable EBIT. This consistent customer-centric focus has also delivered organic growth across the network, resulting in a broader customer base choosing Michael Hill. Pleasingly, positive sales performance has continued into the first eight weeks of the second half, with group same store sales up 6%.

Shares looking cheap

The Jarden team analysed the first-half results for the ASX retail company and said the uptick in same-store sales was a sign of a shift in momentum.

They added:

The improvement in sales momentum is now evident across multiple periods in all markets and is an encouraging sign of: 1) a healthier operating backdrop; and 2) the brand refresh ⁄ product innovations resonating with customers.

Jarden said they had increased their forecast for full-year earnings at Michael Hill by 21%, “driven by better-than-expected contributions in Canada and Australia”.

Jarden has lifted its 12-month price target on the shares from NZ$0.70 to NZ$0.80, which would be a 50.3% return including expected dividends.

Michael Hill’s Australian shares were last trading at 46 cents, not far off their 12-month high of 47.5 cents.

The post This ASX retailer, trading near its 12-month highs, could add another 50% Jarden says appeared first on The Motley Fool Australia.

More reading

• Michael Hill shares hit 12-month high after first-half profit jump
• 35 ASX All Ords shares with ex-dividend dates next week

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

Neuren Pharmaceuticals Ltd (ASX: NEU) shares are under pressure on Tuesday.

In morning trade, the ASX 200 stock is down over 6% to $12.89.

Why is this ASX 200 stock under pressure?

This morning, Neuren advised that its partner, Acadia Pharmaceuticals (NASDAQ: ACAD), has confirmed that it plans to request re-examination of the opinion adopted by the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA).

This is in relation to the marketing authorisation application for trofinetide for the treatment of Rett syndrome in patients two years of age and older.

Neuren also confirmed that, as was anticipated, the previously announced CHMP trend vote was confirmed in a formal vote, blocking its immediate approval.

Trofinetide is approved in the United States, Canada and Israel, where it represents the first and only treatment approved for Rett syndrome.

Acadia’s CEO, Catherine Owen Adams, commented:

While we are disappointed by the CHMP’s recommendation to refuse approval, we continue to be encouraged by the meaningful benefits trofinetide has demonstrated for people living with Rett syndrome. The strong engagement and positive feedback we have seen from patients, caregivers, and clinicians in the Rett community reinforce our belief in the treatment’s clinical value. We remain committed to working constructively with EU regulators to explore next steps and to bring this therapy to patients.

Why was approval denied?

The ASX 200 stock highlights that while the pivotal LAVENDER clinical trial successfully met its co-primary and key secondary endpoints, the CHMP issued a refusal based on perceived deficits.

This includes the treatment effect observed with trofinetide after 12 weeks, while measurable, was viewed as limited in magnitude. It also notes that the study did not capture all core symptoms of Rett syndrome and that assessment of longer‑term outcomes was influenced by patient discontinuations over time.

Acadia believes this feedback provides important information as it considers the intended re-examination.

Commenting on the news, the ASX 200 stock’s CEO, Jon Pilcher, said:

Neuren fully supports a re-examination of the CHMP opinion. Trofinetide has been making a difference for patients for nearly three years in approved markets and the unmet medical need in Europe remains substantial and urgent.

Following today’s weakness, the Neuren share price is now down by a disappointing 30% since the start of the year. However, it is trading relatively flat on an annual basis.

The post Why is this ASX 200 stock sinking 6% today? appeared first on The Motley Fool Australia.

More reading

• Neuren shares dip after FY25 result. Here’s what stood out
• Neuren Pharmaceuticals earnings: Profits up, pipeline builds in 2025
• Why Neuren shares are jumping more than 6% today
• Neuren Pharmaceuticals shares paused ahead of company announcement
• These 2 ASX healthcare shares could jump well over 80%

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

Investigator Silver Ltd (ASX: IVR) will raise $55 million via the issuance of new equity to accelerate work on its Paris silver project in western South Australia.

The company said in a statement to the ASX on Tuesday that it was in a “very strong” position, with a clear development pathway for Paris, and that it released a definitive feasibility study (DFS) for Paris last week.

Investigator said it had received firm commitments to raise the money at 8.6 cents per share, with its largest shareholder, Jupiter Asset Management, taking part in the raise.

Work to forge ahead

The ASX silver company said following the release of the DFS, its priority was to maintain momentum “and transition immediately from study phase into execution”.

Investigator added:

With an estimated development funding requirement of approximately $260 million for Paris, the company considered it important to secure funding at this stage to remove near-term financing uncertainty and enable an accelerated execution program. The placement strengthens Investigator’s balance sheet and supports early, schedule-critical activities that position Paris for a construction decision and accelerate the pathway to first silver.

The DFS indicated that the project would pay itself back in just 11 months, generating strong cash flow from an open-pit mine using contract mining operators.

The 11-month payback was calculated using a spot price for silver of US$80 per ounce, while the current spot price is US$93.48.

Investigator said every US$1 increase in the spot price would translate into a $42 million increase in life of mine cash flows.

Strong silver price a boon

Investigator Managing Director Lachlan Wallace said the DFS confirmed the project as a “financeable and buildable project”, bolstered by high margins, impressive economics, and a rapid payback period.

He added:

Since the DFS release, silver has traded above the $US80 per ounce spot case used in the study, reinforcing the strength of the silver price at a time when international demand continues to strengthen and the lack of near-term silver mines coming online demonstrates the need for high-quality projects like Paris to fill the growing gap in supply. Securing this $55 million placement allows us to keep momentum at Paris and along with the completion of the DFS, marks a key step change in focus as Investigator move straight into execution phase.

Mr Wallace said the company would now strengthen its delivery team, focus on early execution activities, and progress long lead time procurement planning.

There would also be more targeted drilling in the initial mining areas “to strengthen lender confidence through the debt repayment period and support more attractive financing terms”, he said.

Investigator shares were 19.2% lower at 9.7 cents in early trade.

The post Which ASX silver company is raising $55 million to progress its mining plans? appeared first on The Motley Fool Australia.

More reading

• This major new silver project will pay itself back in under a year its proponents say
• What’s the outlook for the silver price?

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

ASX All Ords gold stock Ausgold Ltd (ASX: AUC) is slipping today.

Ausgold shares closed yesterday trading for $1.160. In early morning trade on Tuesday, shares are swapping hands for $1.155 apiece, down 0.4%.

For some context, the All Ordinaries Index (ASX: XAO) is down 0.3% at this same time.

Despite today’s modest dip, the Ausgold share price is up a whopping 145.7% over 12 months, racing ahead of the 10.8% one-year gains posted by the All Ords.

Now, here’s what’s grabbing investor interest today.

ASX All Ords gold stock expanding its drill campaign

This morning, Ausgold reported on a promising new batch of exploratory drill results.

The ASX All Ords gold stock has been actively drilling at its 100%-owned Katanning Gold Project, located in Western Australia.

The latest assay results from the ongoing drilling program stem from another 79 reverse circulation (RC) drill holes totalling 11,369 metres from the Central and Southern Zones of the project.

Ausgold said it hit broad and high-grade intercepts from the resource extension and infill drilling campaign.

Top results included 14 metres at 3.91 grams of gold per tonne from 41 metres, including 9 metres at 5.42g/t from 45 metres.

The ASX All Ords gold stock also revealed that metallurgical diamond drilling within the early mine schedule confirmed locally higher grades than previously interpreted.

Among those top results, Ausgold reported 8.0 metres at 9.54g/t from 90 metres, including 5.8 metres at 13.15g/t from 90 metres.

Ausgold has now completed 33,588 metres of drilling at Katanning, encompassing 232 holes. The miner is still waiting for the results from around 12,000 metres of that program. On the heels of this success, management said the program has been expanded to 54,000 metres.

The company currently has four rigs (three RC and one diamond) operating at the project. An additional diamond rig is expected to arrive on site shortly.

What did management say?

Commenting on the results reported by the ASX All Ords gold stock today, Ausgold executive chairman John Dorward said, “These latest results from the Central and Southern Zones continue to reinforce the scale and continuity of the mineralised system at the Katanning Gold Project.”

Dorward added:

The decision to expand the program to 54,000 metres reflects our confidence in the opportunity in front of us. With an additional diamond rig now mobilising to site – increasing the total to five rigs – and multiple growth fronts now active across Jinkas, Jackson, White Dam and Datatine, we are deliberately accelerating drilling to unlock further Resource growth.

The post Up 146% in a year, ASX All Ords gold stock reports new ‘high grade intercepts’ appeared first on The Motley Fool Australia.

More reading

• Up 123% in a year, ASX All Ords gold stock lifting off again today on ‘landmark’ agreement

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.

If retirees are looking for an ASX blue-chip share to own in their portfolio for stability and strength, then Wesfarmers Ltd (ASX: WES) shares are a great pick for a few different reasons.

Wesfarmers is the name behind a number of leading retailers, including Bunnings, Kmart, Officeworks, and Priceline.

The business recently reported its FY26 half-year result, which included multiple positives that should be very appealing to retirees.

Ongoing dividend growth

One of the things retirees may be most interested in is the passive income the business pays. That’s what may pay for life’s expenses, after all.

Wesfarmers’ board of directors decided to increase the interim dividend per share by 7.4% with the HY26 report, which is considerably stronger than inflation and Wesfarmers’ revenue growth.

The company generally tries to increase its payout alongside the net profit growth. Wesfarmers mentioned that its dividend is determined by available franking credits, current earnings, cash flows, future cash flow requirements, and targeted credit metrics.

Of course, there’s much more to the appeal of a business than just the passive income for retirees. But the company’s dividend growth looks positive. The forecast on CommSec suggests it could deliver an annual dividend per share of $2.16 in FY26, which would be a grossed-up dividend yield of 3.9%, including franking credits.

I’m expecting passive income growth to continue over the rest of the decade.

Strength of the retail businesses

The most important thing, in my eyes, is the financial performance of the business.

By some distance, the two most important divisions for the company are Bunnings Group and Kmart Group. While neither delivered huge growth, the numbers reported by both were very solid.

Bunnings Group revenue rose 4% and earnings increased 5%. Kmart Group revenue increased 3.2%, with earnings climbing 6.1% to $683 million.

Both businesses are benefiting from their leadership in their respective retail market segments, giving them pricing power and scale advantages to offer customers the lowest-cost items.

For Bunnings, it said sales grew across all product categories, regions, and customer segments. Kmart was “disciplined” with its pricing and inventory management in a competitive environment.

I’m also excited about the potential for Anko – Kmart’s own brand of great-value products – to expand the store network in the Philippines from the single digits to something much bigger.

Rising profit margins

Not only is Wesfarmers’ revenue climbing, but its earnings are growing faster thanks to steady improvements in its profit margins.

While revenue increased by 3.1% to $24.2 billion, the business also saw operating profit (EBIT) grow 8.4% to $2.5 billion and net profit after tax (NPAT) grow 9.3% to $1.6 billion.

When margins improve like that, it can lead to the bottom line growing faster than the top line (revenue). Usually, it’s the net profit that investors value a business on. So, you can see how the rising profit margins can play an important role in shareholder returns.

Another sign of the company’s improving quality for (retiree) shareholders was that the underlying return on equity (ROE) improved by 1.5 percentage points to 32.7%. This shows that the business is making a high level of profit on the shareholder money retained within the business. And the metric continues to improve.

With the Wesfarmers share price down 10% since 18 February (at the time of writing), this seems like a good time to invest.

The post Why Wesfarmers shares are a retiree’s dream in 2026 appeared first on The Motley Fool Australia.

More reading

• 5 top ASX 200 shares I’d buy in March
• What are analysts saying about CAR, Wesfarmers, and Xero shares?
• 3 of the best blue chip ASX shares I’d buy in March
• 3 ASX ETFs for a stress-free start to investing
• The one question I always ask before buying an ASX share

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

Life360 Inc (ASX: 360) shares are on the move on Tuesday morning.

At the time of writing, the family safety technology company’s shares are up 15% to $28.45.

Why are Life360 shares jumping?

Investors have been buying the company’s shares this morning after it released its fourth quarter and full-year results.

According to the release, Life360 delivered a 26% increase in revenue to US$146 million for the three months. This reflects a 30% jump in total subscription revenue to US$102.5 million.

This led to Life360 ending the period with record annualised monthly revenue (AMR) of US$478 million, which is up 30% on the prior corresponding period.

Also growing strongly was its adjusted EBITDA, which lifted 53% to US$32.4 million in the fourth quarter. For FY 2025, adjusted EBITDA was up 19% to a record of US$93.2 million.

What were the drivers of this strong result?

Management advised that this was driven by record-breaking results across key metrics, including monthly active users (MAU), paying circles, and global net additions.

MAUs reached approximately 95.8 million in FY 2025, up 20% year-on-year. Paying circles increased by 576,000 to reach a total of 2.8 million.

Commenting on the year, Life360’s CEO, Lauren Antonoff, said:

2025 was a landmark year for Life360. For the first time in company history, we achieved annual net income, reflecting both the fundamental strength of our freemium model and the operating discipline we’ve built over the past several years. We exited the year with 95.8 million monthly active users, 2.8 million Paying Circles with record annual net additions, full-year revenue growth of 32%, and 105% growth of Adjusted EBITDA.

AI adoption

Antonoff also revealed how artificial intelligence (AI) is changing Life360 for the better. She shared:

We are deep into the transition to become an AI-first company. Organization-wide active AI adoption has grown to over 95%, accelerating our execution and expanding what’s possible for families on our platform. We see AI as an opportunity to accelerate our path and deepen our moat. Our core use case is durable because it is anchored in real people moving through the physical world, generating data that further deepens our advantage.

Outlook

Life360 has reiterated its guidance for FY 2026. It continues to expect MAU growth of 20% and consolidated revenue of US$640 million to US$680 million, which represents 31% to 39% growth, and adjusted EBITDA of US$128 million to US$138 million.

Antonoff also spoke about Life360’s longer term aspirations. She said:

These accomplishments bring us closer to achieving our strategic goals of surpassing 150 million MAU and $1 billion in annual revenue, delivering consistent Adjusted EBITDA margin expansion on our path to above 35%.

The post Why are Life360 shares jumping 15% today? appeared first on The Motley Fool Australia.

More reading

• Buy this ASX tech share now and hold it for 10 years
• Life360 FY25 earnings: revenue jumps, positive outlook for FY26
• Where to invest $20,000 in ASX growth shares this month
• Fund manager reveals views on Life360, Catapult, and Xero shares amid tech turmoil
• 3 unmissable Aussie stocks to buy before they pop

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