Commonwealth Bank of Australia (ASX: CBA) shares can divide investors.

Some see the bank as too expensive. Others see it as one of the highest-quality businesses on the ASX.

I understand both views.

But for long-term investors, I still think CBA shares are worth buying.

Why CBA keeps attracting investors

CBA has built a very strong position in Australian banking.

That does not just come from size. It comes from customer relationships, trust, deposits, digital tools, and a brand that millions of Australians interact with regularly.

Banking can look simple from the outside. Customers borrow, save, spend, and invest. But the best banks become deeply embedded in those financial decisions.

That is where I think CBA stands apart from Westpac Banking Corp (ASX: WBC) and the rest of the big four.

The bank has invested heavily in technology, digital banking, fraud prevention, payments, and customer experience. Those areas can help improve retention, reduce friction, and support better decision-making.

I also think CBA’s deposit franchise is a major advantage. A strong deposit base can be valuable when funding costs, interest rates, and competition shift.

The valuation challenge

The main issue with CBA shares is valuation.

Investors usually have to pay a premium for the bank, and that can limit future returns if earnings growth slows or sentiment changes.

There are also normal banking risks to watch, including mortgage competition, bad debts, regulation, and pressure on margins.

CBA is a high-quality bank, but it is still a bank. Its profits are tied to the health of households, businesses, property markets, and the wider economy.

That means investors need to be sensible with their expectations.

I would be more excited about buying during a market pullback. But I do not think long-term investors need to wait for a perfect entry point before starting a position.

Why I would still buy

My view is that CBA shares remain a buy because quality can compound for a long time.

The bank has one of the strongest retail franchises in the country. It has a leading digital position. It has scale. It has a trusted brand. And it has the financial strength to keep investing through different cycles.

Those advantages are hard to build quickly.

I also like that CBA can provide a source of dividends. For investors who want a core ASX blue-chip holding with a side of income, its shares remain attractive.

Foolish Takeaway

CBA shares are rarely the cheapest bank shares on the market.

I think the bank’s premium reflects a stronger franchise, better digital capabilities, and a level of customer trust that is hard to replicate.

There will be times when the valuation feels stretched, but for patient investors looking beyond the next year or two, I think CBA shares remain a high-quality ASX buy.

The post Are CBA shares still worth buying for the long term? appeared first on The Motley Fool Australia.

More reading

• How to build a successful ASX dividend portfolio
• What did the market look like 10 years ago? Here’s what’s changed for the ASX 200
• How much could the CBA share price rise in the next year?
• Do you want to earn passive income from your superannuation? Here’s a guide to get you started
• If I invest $10,000 in CBA shares, how much passive income will I receive in 2027?

Motley Fool contributor Grace Alvino has positions in Commonwealth Bank Of Australia. 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 biggest dividend yield on the ASX can look tempting.

A higher yield means more income today, which can appeal to retirees, passive income investors, and anyone trying to make their portfolio work harder.

But a successful ASX dividend portfolio needs more than a big headline yield.

I think the goal is to own businesses that can keep paying income through different conditions, while still having enough growth to protect purchasing power over time.

Start with dependable earnings

The first thing I would look for is dependable cash flow.

Coles Group Ltd (ASX: COL) is one example of the kind of ASX dividend share I think can play a role.

Grocery demand is not exciting, but it doesn’t need to be. Households still need food, household essentials, and everyday products through good times and tougher periods.

Coles still faces competition, cost inflation, and pressure from value-conscious shoppers. Even so, the defensive nature of its sales can help support earnings and dividends.

Telstra Group Ltd (ASX: TLS) is another ASX share I would consider for a dividend portfolio.

Connectivity sits behind so much of daily life now. Mobile data, internet access, streaming, work, payments, and communication all depend on reliable networks.

Telstra still needs to keep investing in its network, and competition is always a factor. But I think its essential role in the economy gives it a solid place in an income-focused portfolio.

Add assets with different income drivers

I would also want income that comes from different parts of the economy.

Transurban Group (ASX: TCL) is one ASX share I think can fit that idea. Its toll road assets are used by millions of drivers, and traffic volumes can support long-term distributions.

The appeal here is different from a supermarket or telecommunications business. Transurban is more about infrastructure, urban growth, pricing, and long-life assets.

Property income can also have a place, as long as investors stay selective.

Charter Hall Long WALE REIT (ASX: CLW) gives exposure to a portfolio of long-leased properties. Long leases can provide more visibility over rental income, although investors still need to watch debt costs, property valuations, and tenant quality.

I would not want a dividend portfolio to depend too heavily on one sector. Mixing supermarkets, telecommunications, infrastructure, and property can reduce the pressure on any single income source.

Leave room for dividend growth

A dividend portfolio also needs businesses that can grow over time.

Commonwealth Bank of Australia (ASX: CBA) is rarely the cheapest bank, but it has one of the strongest franchises on the ASX. Its customer base, deposit strength, digital position, and brand can support long-term earnings and fully franked dividends.

Wesfarmers Ltd (ASX: WES) is another share I would consider, even though its yield is not usually the highest on the market.

I like the company’s ability to reinvest, improve its businesses, and allocate capital across different opportunities. Over time, that kind of growth can help dividends become much more rewarding.

This is where I think some income investors can go wrong. A lower yield today can still be attractive if the business has a better chance of increasing its payout over the next decade.

Foolish takeaway

I think a successful ASX dividend portfolio should be built around more than yield.

The best approach, in my view, is to combine defensive earners, infrastructure or property income, and companies that can grow their dividends over time.

That kind of mix can help investors collect income today without giving up on long-term growth.

The post How to build a successful ASX dividend portfolio appeared first on The Motley Fool Australia.

More reading

• Are CBA shares still worth buying for the long term?
• How I’d invest $10,000 in ASX shares for the next decade
• What did the market look like 10 years ago? Here’s what’s changed for the ASX 200
• 3 of the best ASX dividend stocks to supplement your superannuation
• Buy, hold, sell: L1 Long Short Fund, REA, Wesfarmers shares

Motley Fool contributor Grace Alvino has positions in Commonwealth Bank Of Australia, Transurban Group, and Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Transurban Group and Wesfarmers. The Motley Fool Australia has positions in and has recommended Telstra Group and Transurban Group. 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.

A $10,000 investment can feel like a big decision.

That is why I think it helps to focus on businesses that can still look relevant many years from now.

Share prices will move around. Market sentiment will change. But over a decade, I want to own companies with strong positions, good leadership, and the ability to keep reinvesting for growth.

Three ASX shares I would consider buying with $10,000 are named below.

Wesfarmers Ltd (ASX: WES)

Wesfarmers is one of the ASX shares I would be comfortable owning for the long term.

The company is often described as the owner of Bunnings and Kmart, which is true, but I think the bigger story is its culture and capital allocation.

Wesfarmers has a long record of building strong retail businesses, improving them over time, and moving capital into areas where it sees attractive returns.

Bunnings remains a dominant home improvement business, and Kmart has become a powerful value retailer. The company also has exposure to office products, health, data, digital initiatives, loyalty, and other growth options. That mix gives Wesfarmers more than one way to create value.

The valuation can look expensive at times, and I would always prefer to buy during a pullback. But with a decade-long mindset, I think quality deserves a premium.

ResMed Inc (ASX: RMD)

ResMed is another ASX share I would want in a long-term portfolio.

The company operates in sleep health and respiratory care, areas supported by significant global healthcare needs.

I like that ResMed is connected to both devices and ongoing patient support. Machines are important, but masks, accessories, software, data, and connected care can help create recurring revenue over time.

Sleep apnoea also remains underdiagnosed in many markets. If more people are tested and treated, ResMed has a long runway for growth.

Healthcare shares can go through difficult periods, and ResMed has faced investor concerns around competition and changing treatment options. But I think the long-term demand for better sleep and breathing care remains attractive.

Macquarie Group Ltd (ASX: MQG)

Macquarie is a very different kind of business. It is exposed to global financial markets, infrastructure, commodities, energy transition, asset management, and private markets. That means earnings can be lumpy from year to year.

I like that Macquarie has shown an ability to adapt as markets change. It has built a global platform across areas where expertise, relationships, and capital matter.

The world needs ongoing investment in infrastructure, energy systems, data centres, transport, and other real assets. Macquarie is positioned to play a role in many of those areas.

I would not expect smooth returns every year. But over a decade, I think Macquarie has the potential to keep finding attractive opportunities.

Foolish Takeaway

If I were investing $10,000 for the next decade, I would focus on businesses that can keep compounding through different conditions.

Wesfarmers brings retail discipline and capital allocation; ResMed provides exposure to global healthcare demand; and Macquarie adds a more flexible financial and infrastructure growth angle.

Together, I think they would give me a mix of quality, resilience, and long-term opportunity, which is what I believe a 10-year ASX portfolio needs.

The post How I’d invest $10,000 in ASX shares for the next decade appeared first on The Motley Fool Australia.

More reading

• How to build a successful ASX dividend portfolio
• 3 of the best ASX dividend stocks to supplement your superannuation
• Buy, hold, sell: L1 Long Short Fund, REA, Wesfarmers shares
• How much superannuation do you need to earn $5,000 a month in passive income?
• Here are the top 10 ASX 200 shares today

Motley Fool contributor Grace Alvino has positions in Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group, ResMed, and Wesfarmers. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended Macquarie Group and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Exchange-traded funds (ETFs) can take a lot of the guesswork out of investing, allowing investors to pick a theme or index they’d like to track, then trusting in the ETF manager to build a portfolio which fits the bill.

Index tracking ETFs, such as those that seek to replicate the performance of the S&P/ASX 200 Index (ASX: XJO), for example, are popular; however, if you’re looking for outsized gains, it can pay to look further afield into sectors that have strong economic tailwinds behind them.

While past performance is no guarantee of future performance, let’s have a look at three such funds that have done well over the past year.

Global X Hydrogen ETF (ASX: HGEN)

This ETF is a relatively small one, with just $45 million in assets under management.

The fund aims to invest in companies that stand to benefit from the advancement of the global hydrogen industry.

The fund’s website adds:

This includes companies involved in hydrogen production; the integration of hydrogen into energy systems; and the development/manufacturing of hydrogen fuel cells, electrolysers, and other technologies related to the utilisation of hydrogen as an energy source.

The fund has returned 98.5% over the past year after falling back 5.2% over the past month.

Global X Semiconductor ETF (ASX: SEMI)

This fund “seeks to invest in companies that stand to potentially benefit from the broader adoption of tech-enabled devices that require semiconductors”.

This is a much larger fund, with $1.1 billion in funds under management.

Some of the fund’s top holdings include Micron Technolog, SK Hynix, Nvidia, and Intel.

This fund has returned 136.4% over the past year and 83.5% year to date.

Betashares Energy Transition Metals ETF (ASX: XMET)

This fund aims to track an index providing exposure to global companies in the energy transition metals field – think metals such as lithium, copper, nickel, and graphite.

The fund’s website says:

The transition from fossil fuels to clean energy solutions is driving growth in a range of disruptive products and processes such as renewable energy generation, battery storage solutions, and electric vehicles, all of which are critically dependent on the select group of energy transition metals that XMET provides exposure to.

The fund’s top holdings include PLS Group Ltd (ASX: PLS), BHP Group Ltd (ASX: BHP), and Lynas Rare Earths Ltd (ASX: LYC).

This fund has returned 83.9% over the past year.

The post 3 ASX ETFs that have returned better than 80% over the past year appeared first on The Motley Fool Australia.

More reading

• What did the market look like 10 years ago? Here’s what’s changed for the ASX 200
• SK Hynix IPOs in the US. Here’s what that means for ASX investors
• How much superannuation do you need to earn $5,000 a month in passive income?
• Lithium prices are cooling. Here’s what that means for these ASX lithium shares
• Experts name 3 big-name ASX 200 shares to sell

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 Lynas Rare Earths Ltd. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Look at the S&P/ASX 200 (ASX: XJO) today, and it appears reassuringly familiar.

Banks and miners still dominate.

Commonwealth Bank of Australia (ASX: CBA), BHP Group Ltd (ASX: BHP), and CSL Ltd (ASX: CSL) still sit near the top of the index, exactly as they did a decade ago.

Yet almost every force that actually drives those companies has inverted since 2016.

That contrast is worth exploring further

The ASX 200 index has climbed, but not spectacularly

In mid-2016 the ASX 200 sat around 5,200 points.

Today it trades near 8,800.

That is a capital gain of roughly 69% over ten years, or approximately 5.4% per annum before dividends.

Including dividends and franking credits, the total return has been meaningfully better.

Since inception, the index has returned approximately 8.53% per annum including dividends, compared to 4.17% excluding them.

The interest rate environment has completely reversed

This is the biggest change, and it explains most of the others.

In 2016 the RBA was cutting.

The cash rate sat at 1.75% in July that year before falling to 1.50%, a record low at the time.

Money was cheap, and investors were being pushed out of cash and into shares in search of any yield at all.

Today the RBA has hiked three times in 2026 alone, taking the cash rate to 4.35%, its highest level since 2011.

Furthermore, Governor Michele Bullock told reporters after the June decision:

Today’s decision does not rule out further tightening in monetary policy if that is what is required to bring inflation down.

A decade ago, low rates inflated the valuations of anything with growth attached to it.

Today, high rates are systematically deflating them.

The commodities that move the market have changed

In 2016 the market’s obsession was Chinese steel demand and the iron ore price, which had collapsed from above US$100 per tonne to below US$50.

BHP had just slashed its dividend by nearly 75%, cutting it from US62 cents per share to US16 cents and abandoning its progressive dividend policy.

The mood around the miners was bleak.

Today the story is completely different.

For the first time in BHP’s 136-year history, copper earnings exceeded iron ore contributions in the first half of FY26. This is driven by AI data centre construction, electric vehicles, and grid infrastructure investment.

Moreover, BHP plans to grow copper-equivalent production at 3% to 4% per year through 2035.

The commodity cycle did not necessarily recover, but rather it was replaced by a different one.

Entire sectors did not exist

Perhaps the most striking change is what was absent in 2016.

The S&P/ASX All Technology Index (ASX: XTX) did not launch until February 2020.

Artificial intelligence did not exist as an investable theme in any form. Lithium was a curiosity rather than an industry. Lastly, data centres were basic infrastructure, not a growth story.

Every one of those has since become a defining feature of the market, and in several cases a source of both enormous gains and brutal losses.

What has not changed for the ASX 200

Financials and materials remain the two largest sectors on the ASX, exactly as they were in 2016.

The big four banks still anchor the index.

Australia is still, fundamentally, a market of banks and miners with a healthcare giant attached.

For all the disruption of the past decade, the structural shape of the ASX has proven remarkably durable.

Foolish takeaway

The lesson from ten years of ASX 200 history is not that everything changes.

It is that the drivers change while the names stay the same.

An investor who bought BHP in 2016 was buying an iron ore business in a rate-cutting world. An investor buying BHP today is buying a copper business in a rate-hiking world.

Same ticker, but an entirely different investment.

The post What did the market look like 10 years ago? Here’s what’s changed for the ASX 200 appeared first on The Motley Fool Australia.

More reading

• 3 ASX ETFs that have returned better than 80% over the past year
• Would Warren Buffett buy CSL shares?
• How much superannuation do you need to earn $5,000 a month in passive income?
• CSL shares are up 35% since early June. Is the recovery here to stay?
• How much could the CBA share price rise in the next year?

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

The AI memory boom just produced one of the largest IPOs in stock market history.

SK Hynix, the South Korean chipmaker that supplies the high-bandwidth memory sitting inside almost every Nvidia processor, sold 177.9 million American depositary shares at US$149 each on 9 July. The company raised approximately US$26.5 billion.

The securities began trading on the Nasdaq on 10 July under the ticker SKHY, closing their first session up approximately 13% at US$168.

That makes it the largest US listing ever by a foreign company, surpassing Alibaba’s US$25 billion debut in 2014.

It is also the second-largest globally after SpaceX’s US$85.7 billion Nasdaq listing in June.

Is this technically speaking a SK Hynix IPO?

Despite the headlines, this was not technically an IPO.

SK Hynix’s common shares have traded on the Korea Exchange for decades, and the company was already valued above US$1 trillion before the US listing.

What happened last Friday was an American depositary share offering, creating a new US-traded security tied to an already-public business rather than floating a previously private company.

SK Hynix did not become a public company through this offering. However, it made itself far easier for American and international investors to own.

Why the AI memory story is important for ASX investors

SK Hynix reported revenue of 97.1 trillion won, approximately US$64.1 billion, in 2025, a company record.

Net income reached 42.9 trillion won, or approximately US$28.3 billion, implying a net profit margin of 44%.

Its Korea-listed shares have risen more than 515% over the past twelve months as high-bandwidth memory became a critical bottleneck in AI infrastructure.

The company captures approximately 56% of the global HBM market, according to its SEC filing.

For ASX investors, that AI memory demand story connects directly to two ASX-listed funds and one Australian company.

Global X Semiconductor ETF

The most direct ASX exposure to SK Hynix is through the Global X Semiconductor ETF (ASX: SEMI).

SK Hynix is already one of SEMI’s largest holdings, sitting alongside Micron, AMD, TSMC, and Nvidia.

SEMI holds just 30 companies tracking the Solactive Global Semiconductor 30 Index, making it a concentrated, high-conviction way to own the semiconductor supply chain from the ASX.

That concentration cuts both ways.

The fund is heavily exposed to the memory cycle, which has historically been one of the most volatile in technology. The sector has periods of shortage-driven price surges followed by oversupply and collapsing margins.

SK Hynix’s own capital expenditure plans, including two new fabrication complexes in South Korea, are examples of capacity expansion that have triggered previous downturns.

Betashares Nasdaq 100 ETF

The Betashares Nasdaq 100 ETF (ASX: NDQ) is the other route, though the connection is less immediate.

SK Hynix’s Nasdaq listing raises the prospect of eventual Nasdaq-100 index inclusion. This would force every fund tracking that index, including NDQ, to buy SKHY.

That is the same dynamic that played out with SpaceX’s fast-track inclusion earlier this month.

NDQ holders should understand that index inclusion is not automatic and would depend on SK Hynix meeting the exchange’s eligibility criteria for foreign-domiciled ADRs.

NextDC Ltd

NextDC Ltd (ASX: NXT) is the Australian company most directly connected to the same underlying trend.

The AI memory shortage driving SK Hynix’s extraordinary revenue growth exists because AI data centres are consuming HBM faster than manufacturers can produce it.

NextDC builds and operates those data centres in Australia.

Contracted utilisation surged 60% to 667MW in the March 2026 quarter alone, and the company’s forward order book is expected to generate contracted EBITDA in excess of A$1 billion.

Every dollar of SK Hynix’s memory revenue reflects AI compute demand that must be housed somewhere, and in Australia, that increasingly means NextDC.

Foolish takeaway for the SK Hynix IPO

SK Hynix’s IPO is a landmark moment for the AI memory trade.

For ASX investors, SEMI provides the most direct exposure, NDQ offers a potential future index-inclusion angle, and NextDC captures the same underlying AI infrastructure demand from the Australian side.

But investors should remember that memory is a famously cyclical industry.

A wave of AI companies rushing to IPO at peak valuations has historically been a signal worth treating with caution rather than enthusiasm.

The post SK Hynix IPOs in the US. Here’s what that means for ASX investors appeared first on The Motley Fool Australia.

More reading

• 3 ASX ETFs that have returned better than 80% over the past year
• Analysts are still bullish on SpaceX shares after Nasdaq inclusion. Here is what that means for ASX investors
• 2 ASX shares tipped to grow 45% or more in the next 12 months
• NEXTDC boosts funding with $2.3 billion senior debt facility upsize
• Your FY27 tax return will look different. Here’s what changed and how to prepare

Motley Fool contributor Mark Verhoeven 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 BetaShares Nasdaq 100 ETF. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Now that the initial public offering (IPO) of Elon Musk’s Space Exploration Technologies Corp (NASDAQ: SPCX) is complete and bedded down, investors all over the world have a myriad of options at their disposal if they wish to invest in this ambitious company. Yes, SpaceX stock has, at least as of the time of writing, come off the boil a little. Even so, this company remains a behemoth on the world stage, commanding a market capitalisation of US$1.91 trillion.

For an investor wishing to get themselves a slice of this company, the most direct way remains buying SpaceX stock themselves. Yes, SpaceX is listed on the American NASDAQ exchange and is thus not available for purchase on the ASX. However, it has arguably never been easier to open a US brokerage account from Australia and put some shares against a name.

Even if an investor isn’t comfortable with owning a US stock directly, there are locally-based options. These essentially boil down to owning an exchange-traded fund (ETF) that, in turn, owns SpaceX shares. That allows ASX investors to indirectly invest in SpaceX without having to buy US dollars or open an international brokerage account.

But which ASX ETF to pick? Well, SpaceX shares haven’t qualified for many international index funds just yet. For instance, the company hasn’t yet made the cut for either the iShares S&P 500 ETF (ASX: IVV) or the BetaShares Nasdaq 100 ETF (ASX: NDQ). It probably will with time, albeit as one relatively small holding among many.

Two ASX ETFs to buy for SpaceX stock

However, some ASX ETFs of the thematic persuasion haven’t wasted any time in buying SpaceX stock. These ETFs are giving the company a lot of real estate.

If that sounds appealing to investors, the first port of call may be the BetaShares Space Industry ETF (ASX: RCKT). This ETF was launched back in May. Although it didn’t invest in SpaceX until the IPO, today, the company commands a whopping 26.8% of RCKT’s entire portfolio. That means more than one in every four dollars invested in this fund finds its way to SpaceX stock.

The other option for ASX investors seeking a substantial but local SpaceX investment is the Global X Space Tech ETF (ASX: MOON). This ETF has just over a month of ASX life to its name. Saying that, MOON’s portfolio is dominated by SpaceX stock as well. Space Exploration Technologies Corp makes up 26.7% of the ETF’s entire weighted portfolio.

Thus, there are a few options for ASX investors who may like to own some SpaceX stock today.

The post SpaceX stock: Which ASX ETF buys you the most? appeared first on The Motley Fool Australia.

More reading

• Analysts are still bullish on SpaceX shares after Nasdaq inclusion. Here is what that means for ASX investors
• SpaceX will be included in the Nasdaq index this week. Here’s what that means for ASX investors
• SpaceX climbs nearly 20% after its IPO. Here’s why that is good news for these ASX shares
• After SpaceX, the Anthropic and OpenAI IPOs are next. Here is what ASX AI investors need to know
• SpaceX shares are rocketing – how can Aussie investors get exposure?

Motley Fool contributor Sebastian Bowen 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 BetaShares Nasdaq 100 ETF and iShares S&P 500 ETF. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Genesis Minerals Ltd (ASX: GMD) share price is in focus after the company announced it will merge with Vault Minerals Ltd (ASX: VAU) to create a new Australian gold major, boasting a pro-forma market capitalisation of $12.6 billion and combined gold production of 600–700koz per year.

What did Genesis Minerals report?

• Genesis and Vault to merge via a scheme of arrangement, forming one of Australia’s top three gold miners
• Pro-forma market capitalisation of around $12.6 billion, with $611 million net cash
• Combined Ore Reserves of 9.4 million ounces and Mineral Resources of 33.6 million ounces
• Expected annual gold production of 600–700 thousand ounces, all in Western Australia
• Vault shareholders to receive 0.7629 Genesis shares and $0.475 cash for every Vault share

What else do investors need to know?

The merged group will consolidate a range of complementary assets, giving it dominant scale in the Leonora-Laverton gold district. Both Genesis and Vault boards fully back the proposal, which offers Vault shareholders an immediate premium and access to the larger group’s growth pipeline.

Operationally, the merger aims to unlock around $2.0 billion in post-tax cost synergies and capital savings over 10 years. These savings are mainly driven by optimising milling, mining, and processing facilities between the two companies’ regional assets.

The deal is expected to reach implementation by November 2026, pending customary court, regulatory, and shareholder approvals.

What did Genesis Minerals management say?

We’re bringing together two high quality gold businesses, delivering strong shareholder alignment, operational flexibility and the scale required to compete globally.

What’s next for Genesis Minerals?

After the merger, Genesis and Vault will operate as a single entity led by an experienced team, with Genesis shareholders holding about 60% ownership and Vault shareholders about 40%. The group plans to focus on production growth, exploration, and accelerating the development of high-potential assets in its expanded portfolio.

A key priority will be completing the integration and pursuing identified cost synergies, especially in the Leonora-Laverton region. Management also expects to provide a group-wide updated production and growth outlook in the second half of 2027.

Genesis Minerals share price snapshot

Over the past 12 months, Genesis Minerals shares have risen 43%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has risen 3% over the same period.

View Original Announcement

The post Genesis Minerals and Vault to merge, forming new Australian gold major appeared first on The Motley Fool Australia.

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• Here are the top 10 ASX 200 shares today
• Regis Resources steps back from Vault Minerals bid, secures break fee
• 7 ASX 200 shares given buy ratings this week
• Leading brokers name 3 ASX shares to buy today
• This ASX gold stock could soar 60% thanks to a big announcement

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.

Space Exploration Technologies Corp (NASDAQ: SPCX) shares have had an extraordinary first month.

Shares were issued at US$135 before listing on 12 June, and the stock climbed well above US$200, pushing the valuation above US$2 trillion.

Since then, SpaceX shares have come back down to earth. Although, the company was then fast-tracked into the NASDAQ-100 Index (NASDAQ: NDX) in early July, approximately 15 trading days after listing.

Analysts remain bullish.

For ASX investors, that matters more than most realise, because a large number of Australians now own a piece of SpaceX without having made any decision to buy it.

Reasons to remain bullish on SpaceX shares

The core of the bull case is Starlink.

According to SpaceX’s S-1 filing with the SEC, the Starlink connectivity segment generated US$11.4 billion in revenue in 2025. The segment delivered US$4.4 billion in operating income, representing year-on-year growth of 49.8% and 120.4%, respectively.

Starlink served 10.3 million subscribers across 164 countries as at 31 March 2026, up from just 2.3 million in 2023.

This is a business growing at extraordinary speed with a defensible moat. Launching a satellite constellation of that scale requires launch capability that almost no competitor possesses.

The Nasdaq-100 inclusion added a further mechanical tailwind. This will force index-tracking funds worldwide to buy SpaceX regardless of any individual portfolio manager’s view on valuation.

Betashares Space Industry ETF

The Betashares Space Industry ETF (ASX: RCKT) is the most direct ASX exposure.

SpaceX has already been included in RCKT following the fund’s fast-track inclusion feature. This allowed it to enter the Solactive Space Industry Index far more quickly than standard timelines would permit.

SpaceX now accounts for approximately 27% of the RCKT portfolio, making it the fund’s single-largest holding by a wide margin.

That concentration deserves a closer look. RCKT is no longer a diversified space economy fund in any meaningful sense.

It is now, in effect, a SpaceX fund with 28 other holdings attached, and its performance will be dominated by what SPCX does from here.

Betashares Nasdaq 100 ETF

The Betashares Nasdaq 100 ETF (ASX: NDQ) is where most Australians now own SpaceX without having chosen to.

NDQ is one of the most widely held ETFs in Australia, and SpaceX’s Nasdaq-100 inclusion means every NDQ holder automatically gained SpaceX exposure when the index inclusion took effect.

The same applies to holders of the Vanguard MSCI International Shares ETF (ASX: VGS) and the iShares S&P 500 ETF (ASX: IVV). What’s more, the millions of Australians whose superannuation funds hold international shares benchmarked against major US indices have also gained exposure.

For most investors, that exposure will be small relative to the overall portfolio.

But it exists, automatically, without any further action required.

The risk worth understanding for SpaceX shares

SpaceX is not a conventionally profitable company.

The company posted a GAAP net loss of US$4.94 billion in 2025, driven by losses in the xAI and Space divisions that offset Starlink’s profitability.

A company trading above US$2 trillion with significant GAAP losses is a demanding proposition, even for investors genuinely excited by the long-term opportunity.

The mechanical index buying that has supported the share price since listing was a one-time event, not a permanent support mechanism.

Furthermore, SpaceX bonds issued shortly after the IPO have reportedly sold off to levels comparable with junk-rated borrowers.

This is despite investment-grade ratings, a warning sign that the debt market is less enthusiastic than the equity market.

Foolish Takeaway for SpaceX shares

Analysts remain bullish on SpaceX shares, and Starlink’s growth justifies significant optimism.

But for ASX investors, the more important point is that ownership of SpaceX is now largely automatic rather than chosen.

RCKT holders own it heavily, at around 26% of the fund.

NDQ, VGS, and IVV holders own it passively.

Understanding how much exposure you actually have to SpaceX is perhaps a more useful exercise than debating whether to buy it.

The post Analysts are still bullish on SpaceX shares after Nasdaq inclusion. Here is what that means for ASX investors appeared first on The Motley Fool Australia.

More reading

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• SpaceX stock: Which ASX ETF buys you the most?
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• Where to invest $50,000 in ASX ETFs this month

Motley Fool contributor Mark Verhoeven 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 BetaShares Nasdaq 100 ETF and iShares S&P 500 ETF. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Vanguard Msci Index International Shares ETF and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

There are so many ASX shares Aussies can buy, as share prices fluctuate constantly. Some can end up being significantly undervalued, based on analyst opinions.

Company updates can change investor confidence , while sell-offs can unlock ideas for opportunistic Aussies.

Analysts regularly tells investors about price targets, which explains to us where the share price could be in 12 months from the time of that investment call.

Let’s look at two ASX shares with a potentially exciting future.

Judo Capital Holdings Ltd (ASX: JDO)

Judo is a financial institution that provides loans to small and medium enterprises (SMEs), with term deposits being a key source of funding. Term deposit customers include SMSFs, individuals and businesses.

The company recently said its FY26 cost-to-risk is expected to be in the range of between $116 million to $122 million because of three exposures across different sectors as a result of customer-specific developments.

Even so, Judo still expects its FY26 profit before tax (PBT) to be between $163 million to $169 million, or approximately 30% growth compared to FY25.

The company also expects FY27 PBT to be between $210 million to $220 million, which would be a 30% rise as a result of growth and operating leverage despite this period of uncertainty.

According to CMC Invest, there have been 10 ratings on the business within the last three months, with eight of those being a buy and two being a hold. Of those 10 ratings, the average price target is $1.63, which implies a possible rise of 77% from where it is at the time of writing.                                                                         

Nextdc Ltd (ASX: NXT)

Another ASX share that has attracted a lot of positive attention is Nextdc, a business that builds, owns and operates data centres in a number of Australian cities. It also has a growing number of locations overseas, including Japan, Malaysia and New Zealand.

The business is investing heavily in data centres to provide the computing infrastructure feeding global demand for AI.

Nextdc is seeing this period as a great time to heavily invest, and it’s also seeing a rapid increase in the contracted utilisation. In mid-April, the company upgraded its contracted utilisation by 60% to 667MW and it also upgraded its FY26 capital expenditure guidance range to between $2.7 billion to $3 billion.

According to CMC Invest, there have been eight broker ratings on the business in the last three months, with all of those being a buy. The average price target of those eight analysts is $20.41, which implies a possible rise of 46%.

These are both businesses growing profit rapidly, though there are other ASX shares that could be even better buys.

The post 2 ASX shares tipped to grow 45% or more in the next 12 months appeared first on The Motley Fool Australia.

More reading

• SK Hynix IPOs in the US. Here’s what that means for ASX investors
• NEXTDC boosts funding with $2.3 billion senior debt facility upsize
• 9 ASX 200 shares downgraded by analysts this week
• 3 ASX 200 shares with 50% to 100% upside in FY27
• Buy, hold, sell: CAR Group, Judo Capital, and Worley shares

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.