Defence stocks are in focus at the moment for a number of reasons.

There’s the obvious with the US and Israel launching strikes on Iran over the weekend, but there’s also a longer-term trend for countries around the world to increase the share of spending they are attributing to defence, all of which bodes well for Australian defence stocks.

One company which arguably stands to benefit is AML3D Ltd (ASX: AL3), which is focused on the manufacture and sale or lease of its Arcemy 3D printing modules.

The company recently released its first half results, with revenue slipping 30% to $3.3 million, and the net loss increasing 65% to $4.9 million.

Order book looking strong

This might not sound amazing on the face of it, but the company also said it had an order book of $16.5 million, with $3.25 million of that recognised as revenue in the first half, with delays around raw materials and the extension of timelines pushing revenues into the second half of the year.

The company said in its first half report it was making good inroads in the defence sector.

AML3D is continuing to diversify its customer base to include core U.S. Defence contracts and expanding into new industrial manufacturing markets. The 1H26 ARCEMY contract with FasTech, a supplier to the Defense and civil industry, is a good example of leveraging AML3D’s success supporting the U.S. Navy Maritime Industrial Base (MIB) to broaden into additional markets. This contract builds on the delivery of a custom ARCEMY X system to the Tennessee Valley Authority, the largest federally owned Utility in the US, during 1H26.

AML3D said it also had ambitions to grow in Europe, “to build on the momentum generated by an initial order for materials testing from BAE Systems in the UK”.

The company added:

The expansion into additional Defence and industrial manufacturing markets in the U.S. and entry into Europe represent the next phase of AML3D’s growth strategy. They will be underpinned by AML3D’s plans to invest in a more than doubling of the capacity in our U.S. operations and the establishment of a European Technology Centre.

AML3D shares looking cheap

The team at Shaw and Partners had a look at the first half result and they like what they see.

They have a price target of 40 cents per share on AML3D shares and say near term earnings are not that important, as their valuation, “is driven by long-term sales exceeding A$100 million”.

AML3D shares are currently changing hands for just 17.7 cents.

The company was valued at $82.9 million at the close of trade on Friday.

The post This under the radar ASX defence company could more than double in value, a broker says appeared first on The Motley Fool Australia.

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• The PLS Group share price has soared 150% in a year. Is it still a buy in March?
• Santos and Woodside shares surging higher on Monday as oil price in focus amid Iran strikes

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.

Shares in Electro Optic Systems Holdings Ltd (ASX: EOS) are charging higher on Monday after the defence technology company delivered two significant updates to the market.

In late morning trade, the EOS share price is up 13.03% to $10.15. Earlier in the session, the stock climbed as high as $10.49.

The rally continues a powerful rebound. EOS shares are now up around 40% in the past week and have doubled from the $5.05 level reached just weeks ago after a short-seller report from Grizzly rattled sentiment.

Here is what the company announced.

Fresh orders add to revenue visibility

In its first release, EOS revealed it has secured new remote weapon system (RWS) orders valued at approximately $17 million.

The largest component is a US$12 million order for R400 RWS units from an established Middle Eastern government customer. Delivery of these systems and related support is expected across 2026 and 2027.

EOS also confirmed an initial R800 RWS order for India, valued at between $1 million and $2 million. The order includes engineering services and trial support.

Importantly, the Indian contract marks EOS’ first sale into India’s defence sector. The company noted that its prime contractor is competing to supply more than 130 systems. While there is no guarantee of follow-on work, management sees potential for additional orders following platform integration and trials in 2026 and 2027.

Alongside the contract wins, EOS provided a broader market update. It highlighted a recently announced US$35 billion defence industry co-operation agreement between the UAE and South Korea.

EOS has been engaged in discussions during 2025 and early 2026 to support UAE-based manufacturing of its RWS products for counter-drone requirements across the UAE and Korea.

The company also reiterated that ongoing military conflict in the Middle East may accelerate demand for advanced defence systems, including counter-drone capabilities and high-energy laser products such as its Apollo platform.

$100 million funding facility finalised

In a second announcement, EOS confirmed the finalisation of a $100 million 2-year secured term loan facility.

The facility has been provided by Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) and ranks equally with EOS’ existing Export Finance Australia loan.

Key terms include a maturity date of 28 February 2028 and an interest rate that steps up over the life of the loan. The average all-in interest rate across the 24-month term is 14.75%.

EOS said the funding will support growth across the business, provide additional working capital, and help fund payments related to the acquisition of MARS, which was announced in January.

Management added that EOS had no borrowings prior to any drawdown under the new facility.

A volatile but improving share price

Today’s gains add to an already strong short-term performance.

EOS shares are up more than 40% over the past week and have delivered extraordinary gains over the past 12 months. The company has approximately 193 million shares on issue, giving it a market capitalisation of around $1.9 billion at current prices.

The rebound follows a sharp sell-off in recent weeks, triggered by a short-seller report from Grizzly questioning aspects of the business. While that report weighed heavily on sentiment at the time, the latest contract wins and funding update appear to have restored investor confidence.

The post EOS shares leap 13% as investor confidence returns appeared first on The Motley Fool Australia.

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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 positions in and has recommended Electro Optic Systems and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Star Entertainment Group Ltd (ASX: SGR) has reported a modest loss amid “challenging” trading conditions, as the company’s turnaround plan continues to evolve.

The company said in a statement to the ASX on Monday that revenue for the first half was $585 million, down from $650 million for the previous corresponding period, while the company posted an EBITDA loss of $8 million compared with a $26 million loss previously.

The net loss including one-off items came in at $110 million compared with $302 million.

Difficult times continue

Star said that revenue was lower primarily due to an 18% fall in gaming revenue, “which was impacted by continued challenging trading conditions (casino industry reforms) and loss of market share”.

The company’s funding costs increased by $18 million, reflecting higher debt balances and interest on bank loans.

Star said that since Managing Director Bruce Mathieson Jr had taken on his role in mid-December, “The Star, in consultation with its major shareholders and by leveraging their expertise, has been reviewing the resourcing structure and strategy of The Star’s operations, and has commenced a process of restructuring the Group’s operations and marketing strategy”.

Mr Mathieson Jr said regarding the result:

Our corporate office is being streamlined, and essential support functions will be managed at the property level in Sydney, Gold Coast and Brisbane. To support long-term success, these changes will strengthen our financial position. We continue to pursue appropriate cost out initiatives and are exploring and implementing initiatives to attract customers to our properties. We are committed to pursuing a transparent, practical and sustainable pathway that ensures our remediation plan is delivered to the standard expected, while supporting consistency, embedment and demonstrable maturity across the group. We have immense potential in our properties, and we are committed to transforming The Star into premier entertainment destinations.

Breaking the result down by state, Sydney generated $323.8 million in revenue, down 10.6%, while Gold Coast generated $212.3 million, down 2.7%.

The Star is now majority-owned by Bally’s Corporation after a takeover bid was accepted by shareholders last year, without which there was a high risk the company would have failed.

Independent expert Grant Samuels said at the time that the takeover terms were “not fair”, but ultimately the “only lifeline” left for Star Entertainment.

Star Entertainment Group shares were trading 4% lower at 12 cents on Monday morning.

The company was valued at $830 million at the close of trade on Friday.

The post Star Entertainment Group reports a loss but says improvements are in the wings appeared first on The Motley Fool Australia.

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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.

Analysts have been busy running the rule over a number of blue-chip ASX 200 shares this week.

Let’s see what they are saying about three popular names, courtesy of The Bull. Here’s what you need to know:

CAR Group Limited (ASX: CAR)

The team at Morgans thinks this auto listings company could be worth considering. The broker has named the carsales.com.au owner as a buy this week.

It feels that recent share price weakness has created an attractive entry point for long term investors. The broker said:

Car Group is Australia’s leading online automotive marketplace, benefiting from a strong network and steady demand for new and used cars. Its diversified revenue streams, including listings, data services and finance, provide consistent growth and help cushion softer economic periods. Recent share price weakness has improved the valuation, while the company’s dominant position and scalable marketplace model support attractive long term returns. We view the current share price as an attractive entry point for long term investors.

Wesfarmers Ltd (ASX: WES)

Morgans isn’t as positive on the investment opportunity with this one. It has named the Bunnings and Kmart owner as a sell this week.

While the broker is a fan of the company, it isn’t a fan of its valuation and feels that the risk-reward profile is unfavourable. It explains:

This industrial conglomerate is a well managed and diversified group, but market pricing has become demanding after a strong run. Bunnings and Kmart continue to perform well, but the retail environment is softening. The current valuation appears to assume sustained strength across all divisions, leaving little margin for error should consumer spending weaken or emerging businesses take longer to deliver meaningful returns. While Wesfarmers remains a high quality operator, its risk‑reward profile looks unfavourable relative to other opportunities, supporting a cautious sell for now.

Xero Ltd (ASX: XRO)

Over at Fairmont Equities, its analysts have named this cloud accounting platform provider’s shares as a sell this week.

While it thinks Xero is a great business, it notes that it has been caught up in a major sector rotation. And until its shares find a bottom, it is staying clear of them. It explains:

Xero is a global accounting software provider. XRO is a great business, but it’s caught up in a major sector rotation, where investor funds have been moving out of technology stocks with high price/earnings ratios and into hard assets. The downtrend in the share price indicates sellers were recently still in control and any price bounces are struggling to gain traction. We believe the shares will remain under pressure until the market stops trying to pick the bottom. The shares have fallen from $194.21 on June 24, 2025 to trade at $81.525 on February 26, 2026.

The post What are analysts saying about CAR, Wesfarmers, and Xero shares? appeared first on The Motley Fool Australia.

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

The PLS Group Ltd (ASX: PLS) share price has soared 150% in the past year, as the chart below shows. Excitingly for shareholders, it has been one of the top-performing S&P/ASX 200 Index (ASX: XJO) shares in the last 12 months.

The ASX lithium share recently reported its FY26 first-half result which included strong growth in a number of important metrics.

PLS Group reported that sales volume increased by 7% to 446kt and the realised price soared 40% to US$965 per tonne. Its unit operating cost (CIF) reduced by 6% to A$682 per tonne.

On the profitability side of things, PLS Group revenue grew 47% to $624 million, underlying operating profit (EBITDA) jumped 241% to $253 million and net profit jumped 147% to $33 million.

Is the PLS Group a buy in March?

We’re going to look at what analysts think of the ASX lithium share.

According to CMC Invest, of the analysts monitored, there have been 13 analyst ratings on PLS Group shares in the last three months.

Of those ratings, six of them are buy ratings, six are hold ratings and there is one sell rating.

However, the price targets are not as optimistic as the ratings themselves, which may make sense considering the PLS Group share price has risen by 24% since 20 February 2026.

A price target is where analysts think the share price will be in 12 months from the time of the investment call.

According to CMC Invest, the average price target on the ASX lithium share is $4.62, suggesting it could decline by 11% over the next year.

On the optimistic side of things, the highest price target is $5.60, which translates into a possible rise of 8% in the next year, if that positive view turns into reality.

However, on the negative side of things, the most pessimistic price target is $2.50. That suggests a possible decline of 52% over the next year. But, the other 12 analysts aren’t suggesting that outcome will happen.

Why buy the ASX lithium share?

UBS has a buy rating on the PLS Group share price, with a price target of $4.95. The broker explained why it rated the business as a buy (soon after seeing the result) because it was bullish on the lithium cycle and the production growth outlook for the ASX lithium share:

FY26 guidance for 820-870kt was retained (UBSe 875kt) and we forecast FY27 at ~1.1mt with the addition of Ngangaju. Our NPV-based Price Target is trimmed marginally (-1%) to A$4.95/sh, after including slightly higher growth capex but we retain our Buy rating as we remain bullish on the lithium cycle and the production growth outlook for PLS.

While spodumene pricing has recovered to ~US$2,000/t already, we are bullish [on] demand (BESS) and agree with PLS that the supply response takes time. We can see prices moving even higher from here and model a price 2x consensus a year from now. Continued strength in the price could see attention focus once again on long term assumptions which may have been cut too hard during [the] last down cycle.

The post The PLS Group share price has soared 150% in a year. Is it still a buy in March? appeared first on The Motley Fool Australia.

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

Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) shares are charging higher today.

In early morning trade on Monday, Santos shares are up 7.8%, changing hands for $7.29 each.

And Woodside shares are coming in a close second, up 7.7% at $30.50 apiece.

For some context, the ASX 200 is down 0.5% at this same time.

Investors are bidding up the S&P/ASX 200 Index (ASX: XJO) energy stocks today following the United States and Israel’s attack on Iran.

The attack, which killed Iran’s autocratic leader Ali Khamenei along with many of his top officials, has seen Iran respond with missile attacks of its own; not just on Israel, but on many of its Arab neighbours as well.

And, for the moment, the conflict sees the Strait of Hormuz – a narrow shipping route responsible for the transit of some 20% of the world’s oil and gas supplies – shuttered.

At market close on Friday, Brent crude oil prices were up 3% on the prior day, trading for US$73 per barrel.

But investors piling into Santos and Woodside shares today could well see a much larger oil price spike when futures trading reopens later this morning in Australia (Sunday evening, US time).

Indeed, many analysts expect oil prices to leap another 10% to 15% as traders weigh the potential supply disruptions from the Middle East conflict.

Uncertainty reigns in global oil markets

As for what investors can expect from global energy prices next – and by connection Santos and Woodside shares – uncertainty is the name of the game for now.

“How this ends is extremely uncertain at this point,” Barclays analyst Amarpreet Singh said (quoted by Bloomberg). “But in the meantime, oil markets will have to face their worst fears.”

Rob Thummel, a portfolio manager at Tortoise Capital, added, “It’s just a matter of what impact will Iran’s response have on the global oil supply, at least temporarily, and then maybe longer term.”

Medium-term uncertainty aside, Jorge Leon, head of geopolitical analysis at consultant Rystad Energy, does forecast a material increase in oil prices this week.

According to Leon:

Iran has retaliated in a far more aggressive and expansive manner than in prior exchanges. Unless de-escalation signals emerge swiftly, we expect a significant upward repricing of oil at the start of the week.

Should de-escalation not eventuate, and should the Strait of Hormuz remain closed to tanker traffic (hampering any efforts by OPEC to increase supplies), Wood Mackenzie expects we’ll see oil prices top US$100 per barrel.

Wood Mackenzie senior vice president Alan Gelder said (quoted by The Australian Financial Review), “The most recent comparison is during the early days of the Russia-Ukraine conflict, when the fear of loss of Russian supplies drove the oil price to over US$125.”

How have Santos and Woodside shares been tracking?

With today’s big intraday gains factored in, Santos shares are up 9.5% since this time last year.

And Woodside shares have gained 20.8% over this same period.

Neither figure includes the dividends paid out by the ASX 200 energy giants over the past 12 months.

The post Santos and Woodside shares surging higher on Monday as oil price in focus amid Iran strikes appeared first on The Motley Fool Australia.

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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.

There are plenty of ASX shares out there for investors to choose from.

To narrow things down, let’s see what analysts are saying about three popular shares, courtesy of The Bull. Here’s what they are recommending:

CSL Ltd (ASX: CSL)

The team at Fairmont Equities is bearish on this biotechnology company. It sees further downside risk for CSL shares and has named them as a sell. The equities firm thinks investors should wait until there is more confidence in its earnings growth outlook. It said:

This biotechnology giant was a market darling for a long time, but it’s now failing to command a premium as uncertainty surrounding the company’s US vaccine business is making it more difficult for investors to forecast future earnings. The recent departure of its chief executive also adds to the uncertainty.

From a technical perspective, the stock has topped out and is trending lower. In my view, this leaves further downside risk in the share price until investors feel more confident that CSL can lift earnings. The shares have fallen from $271.32 on August 18, 2025 to trade at $145.68 on February 26, 2026.

TechnologyOne Ltd (ASX: TNE)

Over at Morgans, its analysts are positive on this enterprise software provider and have named it as a buy this week.

The broker thinks it is one of the highest quality software companies and highlights its significant growth runway as a reason to buy. It explains:

TechnologyOne continues to stand out as one of Australia’s highest quality software businesses, driven by loyal customers, recurring revenue and consistent expanding margins. Its cloud transition remains a major value driver, improving profitability from customers across government, education and the corporate sector.

TNE’s reliable growth profile and strong balance sheet support its premium valuation, particularly given the company’s long history of meeting or exceeding expectations. Given ongoing demand for mission critical software amid a significant runway for cloud migrations, we see TNE as a high conviction, long duration compounder.

Woodside Energy Group Ltd (ASX: WDS)

Fairmont Equities is more positive on Woodside and has named the energy giant as a buy this week.

It was pleased with its performance in FY 2025 and believes increasing demand for oil and gas leaves it well-positioned in 2026. The equities firm said:

Expected increasing demand for oil and gas in 2026 leaves me bullish about the energy sector. The company posted record annual production of 198.8 million barrels of oil equivalent in full year 2025, exceeding the guidance range. Record production offset lower realised prices.

The company’s full year results met expectations, and the share price recently moved above a major resistance level. I expect the shares to trend higher and re-test previous peaks around $38 as calendar year 2026 unfolds. The shares have risen from $22.95 on January 8, 2026 to trade at $28.075 on February 26.

The post Buy, hold, sell: CSL, TechnologyOne, and Woodside shares appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in CSL, Technology One, and Woodside Energy Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL and Technology One. The Motley Fool Australia has recommended CSL and Technology One. 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) blue-chip shares can deliver strong and resilient earnings thanks to their market position, margins, and brand power.

I’m not particularly attracted to ASX mining or bank shares, but there are other industry-leading businesses that could be compelling to own.

The two businesses below have a good growth outlook.

Sigma Healthcare Ltd (ASX: SIG)

Sigma is best known as the owner of a few different brands, including Chemist Warehouse, Amcal, and Discount Drug Stores. It also has significant wholesale operations.

The ASX 200 blue-chip share delivered a strong result in its FY26 half-year result. Revenue grew by 14.9% to $5.5 billion, normalised operating profit (EBIT) increased 18.7% to $582.9 million and normalised net profit after tax (NPAT) climbed 19.2% to $392 million. It’s pleasing to see the company’s profit margins are rising.

Sigma Healthcare’s performance was driven by Australian Chemist Warehouse-branded store sales increased 17.2%, with like-for-like sales growth of 15%. It continues to grow its core Chemist Warehouse earnings by expanding its Australian network – this grew by 13 locations to 550 stores during the period.

One area of the business that I’m particularly interested in is the international segment because of how much growth potential there is with other countries.

International retail network sales grew by 24.5% to $807 million, with like for like sales growth of 11.1%. It plans to open 12 new international stores in the second half and it expects this “growth profile” to continue. The Chemist Warehouse model is resonating in both New Zealand and Ireland, with 70 and 17 stores, respectively.

The trading update in the first seven weeks of the second half of FY26 was strong too for the ASX 200 blue-chip share – Australian Chemist Warehouse-branded store sales rose 16.6% and growth in the international retail network “continues”.

According to the earnings projection from UBS, the business is predicted to generate net profit of $711 million in FY26 and $846 million in FY27. That puts the Sigma Healthcare share price at 40x FY27’s estimated earnings.

Qantas Airways Ltd (ASX: QAN)

Qantas is Australia’s leading airline and it continues to deliver strong profits.

In the FY26 half-year result, the business delivered $1.46 billion of underlying profit before tax rose $71 million to $1.46 billion. Statutory net profit rose $2 million to $925 million.

The business also saw an increase of the on-time performance and customer satisfaction for both Qantas and Jetstar.

The ASX 200 blue-chip share also decided on $450 million of shareholder returns, with a $300 million base dividend and a share buyback of $150 million.

Impressively, the Qantas loyalty division continues to deliver strong results with underlying operating profit (EBIT) climbing 12% to $286 million.

Another positive is that the business continues to invest in renewing its fleet, with nine new aircraft being delivered. The new planes can give customers a better experience and help with costs.

Qantas expects strong travel demand to continue and that group domestic unit revenue is expected to increase by approximately 3% in the second half of FY26 compared to the previous year. Group international unit revenue is expected to increase by between 1% to 3%.

The broker UBS projects that the business could make net profit of $1.75 billion in FY26 and $1.93 billion in FY27. This would put the Qantas share price at less than 9x FY26’s estimated earnings.

The post 2 great ASX 200 blue-chip shares I’d buy right now appeared first on The Motley Fool Australia.

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

The Ampol Ltd (ASX: ALD) share price is in focus today after the company provided an update on the ACCC’s examination of its proposed acquisition of EG Australia, highlighting that the ACCC has narrowed its competition concerns and a final decision is due by 5 June 2026.

What did Ampol report?

• The ACCC has released a Notice of Competition Concerns on Ampol’s proposed $1.1 billion acquisition of EG Australia.
• Initial concerns dropped from 115 site overlaps to 54 specific sites within 51 local areas.
• The ACCC is still reviewing an additional 20 local areas for potential competition concerns.
• Post-transaction, Ampol’s fuel retail market share by site would be 21% in Brisbane, 19% in Melbourne, 20% in Sydney, and 31% in Canberra.
• Ampol and EG have until 8 April 2026 to respond to the ACCC’s preliminary concerns.

What else do investors need to know?

The ACCC’s summary indicates progress in its review since January, trimming the number of sites under scrutiny, which may ease investor concerns about regulatory roadblocks. However, the regulator still sees possible competition issues in certain regions and continues to evaluate effects in key metropolitan markets, including Sydney, Melbourne, Brisbane, and Canberra.

Ampol has already offered to divest 19 retail sites as part of its original remedy proposal and may propose further remedies. The ACCC will consider these as part of its final decision, which remains scheduled for early June.

What’s next for Ampol?

Looking ahead, Ampol’s ability to complete the EG Australia acquisition will depend on successfully addressing the ACCC’s outstanding concerns. If approved, the deal would expand Ampol’s network to over 1,100 sites and accelerate its strategy in low-cost fuel offerings and convenience retail. Management has voiced confidence in resolving the remaining issues, and investors will be watching closely as the regulatory process nears conclusion.

Ampol share price snapshot

Over the past 12 months, Ampol shares have risen 5%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 12% over the same period.

View Original Announcement

The post Ampol updates investors as ACCC narrows focus on EG Australia deal appeared first on The Motley Fool Australia.

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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.

It’s exciting when numerous experts rate an ASX share as a buy. It could be a compelling signal that a company could outperform the S&P/ASX 200 Index (ASX: XJO) in the medium-term.

The two business I’m going to highlight are both rated as buys by numerous analysts, with both of them having among the largest number of positive ratings on the ASX.

So, let’s dive into why analysts are so positive.

Aristocrat Leisure Ltd (ASX: ALL)

According to the Commsec collation of analyst ratings, there are currently 15 buys on the business.

Broker UBS describes this ASX share as a company that develops and manufactures slot machines globally which are sold and operated in more than 90 countries. The business has a large presence in the North American market, providing systems to around 300 casinos. Other core markets include Australia, Asia and Latin America.

Aristocrat Leisure gave an update at its annual general meeting (AGM). According to UBS, it was “modestly” negative to forecasts. But, Aristocrat is still expected to see a growing installed base, content launches and new lottery contracts through the year.

UBS didn’t think the update was as bad as how the Aristocrat Leisure share price has been treated – it’s down around 30% in the last six months.

The broker suggested that the Aristocrat Leisure share price has been caught up with the wider sell-off of technology and growth.

UBS thinks that the ASX share’s underlying net profit (NPATA) is expected to grow by 10% in constant currency terms. Gaming operation installs are expected to be between 4,000 to 5,000. The operations fee per day is expected to grow by 2% year-over-year.

Finally, UBS noted that the Product Madness direct-to-consumer mix is “tracking above 20% in early FY26 with further upside potential”.

The broker forecasts that Aristocrat Leisure is going to make net profit of $1.6 billion in FY26, putting it at 18x FY26’s estimated earnings.

Flight Centre Travel Group Ltd (ASX: FLT)

Flight Centre is an ASX travel share that has both leisure and corporate travel segments. It has operations in markets like Australia, New Zealand, the UK, Canada, South Africa, the US, Hong Kong, China, Singapore, India and the UAE.

According to the Commsec collation of analyst ratings, there are currently 15 buys on the business.

UBS is one of the brokers that rates the business as a buy after seeing its FY26 half-year report.

The broker noted that Flight Centre’s profit before tax (PBT) was 5% better than what UBS and other market analysts were expecting, though it was in line with expectations after adjusting for a $4 million provision release.

UBS pointed out there were a number of positives within the result:

1) Asia losses in pcp are expected to deliver a small u/lying profit in FY26 (exc. provision recovery), reinforcing our view that only 1% growth ex Asia losses / Iglu contribution is required in 2H26 to hit UBSe / mid-point guidance.

2) Jan trading saw a strong turnaround in Leisure PBT (-4% 1H26 / +4% 7mths YTD) and sets the business up well for 2H26.

3) Corporate has a solid pipeline of potential business wins, delivered solid productivity improvements (h/count -6%, productivity / staff +13%) and has ongoing AI projects to extract further benefits.

The broker thinks the Flight Centre share price is trading very cheaply, valued at around 12x FY26’s estimated earnings. The business has seen a strong start to January for both leisure and corporate with both segments on track for year over year profit growth.

The post 2 ASX shares highly recommended to buy: Experts appeared first on The Motley Fool Australia.

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