At the start of each week, I like to look at ASIC’s short position report to find out which shares are being targeted by short sellers.

This is because I believe it is well worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, here are the 10 most shorted shares on the ASX this week according to ASIC:

• Boss Energy Ltd (ASX: BOE) continues its long run as the most shorted ASX share with short interest of 19.7%, which is down week on week. Short sellers continue to target this uranium producer after it released a disappointing update on the Honeymoon Project.
• Domino’s Pizza Enterprises Ltd (ASX: DMP) has seen its short interest ease slightly to 17.7%. This pizza chain operator is undertaking a major turnaround strategy but short sellers don’t appear to believe it will be a success.
• Guzman Y Gomez Ltd (ASX: GYG) has short interest of 13.7%, which is down slightly week on week. This is likely to be due to valuation concerns, with the burrito seller’s shares trading on premium multiples. Its US expansion has been disappointing also.
• Paladin Energy Ltd (ASX: PDN) has short interest of 12.9%, which is down week on week again. This may be due to potential operational challenges and uranium pricing doubts.
• IDP Education Ltd (ASX: IEL) has 12.4% of its shares held short, which is down week on week. This language testing and student placement company’s shares have been crushed over the past 12 months due to concerns over student visa changes.
• PWR Holdings Ltd (ASX: PWH) has short interest of 11.9%, which is up since last week. This motorsport products company’s shares have been under pressure as it goes through a transitional period.
• Polynovo Ltd (ASX: PNV) has short interest of 11.6%, which is up since last week. This may be due to concerns over the valuation of this medical device company’s shares.
• Telix Pharmaceuticals Ltd (ASX: TLX) has short interest of 11.3%, which is up week on week. This radiopharmaceuticals company has been battling delays to FDA approvals and increased regulatory scrutiny.
• DroneShield Ltd (ASX: DRO) has short interest of 11.1%. Short sellers appear to believe that this counter drone technology company’s shares are overvalued following impressive gains in 2025.
• Flight Centre Travel Group Ltd (ASX: FLT) has short interest of 10.2%, which is down week on week again. Short sellers appear to be slowly closing positions after the travel agent reported a positive start to FY 2026 and a new cruise acquisition.

The post These are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

More reading

• Brokers rate 3 ASX All Ords shares that more than tripled in value in 2025
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• Here are my top 10 ASX stocks for 2026
• Are Guzman Y Gomez or Dominos shares a better buy in 2026?
• Buy, hold, sell: CBA, CSL, and DroneShield shares

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

The Cochlear Ltd (ASX: COH) share price has struggled to regain momentum after a difficult year.

The ASX healthcare stock finished Friday down 0.3% at $263.24. That is above its late-December low, but the shares are still about 13% lower than a year ago. By comparison, the S&P/ASX 200 Index (ASX: XJO) has climbed almost 5% over the same period.

That gap highlights how much Cochlear has underperformed the market, despite remaining one of Australia’s most respected healthcare businesses.

A high-quality business, but returns have disappointed

Cochlear remains one of the world’s leading hearing implant companies. It has a strong brand, proven technology, and a large base of existing patients who return for follow-up services over time.

That has delivered steady revenue and solid margins for many years. The long-term outlook also remains solid, supported by ongoing demand for hearing implants and regular product development.

Over the past year, however, investors have become less willing to pay a premium for slower-moving growth companies. With earnings momentum moderating, Cochlear shares have struggled to keep pace with faster-growing or more cyclical stocks.

Valuation is holding the shares back

One key reason Cochlear shares have lagged is because of its valuation.

The stock trades on a price-to-earnings ratio (P/E) of about 44. That means investors are paying $44 for every $1 the company earns, which is much higher than most other ASX healthcare stocks.

That premium was easier to justify when growth was stronger. With profit growth slowing and investors becoming more selective, interest has shifted toward cheaper stocks or companies delivering faster earnings growth.

What management is saying

At its recent AGM, management said the business continues to grow and invest for the future.

In FY25, Cochlear reported revenue of $2.36 billion and underlying net profit of $392 million. The total dividend for the year rose by 5% to $4.30 per share.

Looking ahead, management expects underlying net profit in FY26 to come in between $435 million and $460 million, implying growth of roughly 11% to 17%. That outlook is being driven by demand for new implants, new product launches, and continued investment in research and development.

Foolish bottom line

Cochlear shares have lifted from their December low, but remain well below last year’s levels.

That reflects more cautious investor sentiment rather than any major issue with the business. Growth has slowed, the valuation remains high, and the market is waiting for stronger earnings momentum before becoming more positive again.

I’d prefer to wait until the company releases its interim results next month before jumping in.

The post Cochlear shares lag the ASX 200 after a tough year. Is it time to buy? appeared first on The Motley Fool Australia.

More reading

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• Here are the top 10 ASX 200 shares today
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• Aristocrat Leisure extends buy-back program

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

This ASX mining stock has experienced a punishing 12 months. The share price of New Hope Corporation Ltd (ASX: NHC) is down almost 16% over 12 months, tracking a sharp slide in global coal prices.

Even so, New Hope is still offering an eye-catching dividend yield of roughly 8.5% fully franked at current levels of $4.07. That’s likely to grab the attention of income investors.

The key question is whether it’s a genuine opportunity or simply compensation for elevated commodity risk.

Diversifying coal exposure

New Hope is a well-established Australian coal producer, anchored by Bengalla in NSW and New Acland in Queensland. In FY25, stronger output particularly from New Acland lifted saleable coal production to 10.7Mt.

The ASX mining stock has also lifted its equity stake in Malabar Resources to about 23%, increasing its exposure to metallurgical coal and reducing reliance on thermal coal pricing alone.

Management continues to point to low-cost operations, diversified coal types and disciplined execution as strengths, even in a weaker pricing environment.

Dividends doing the heavy lifting

The ASX mining stock closed last week at $4.07, up 1.5% on the week. However, the share remains down 16% over the 12 months. Over five years, it’s still up 197%.

Dividend-wise, shareholders received a fully franked $0.19 interim dividend in April and a fully franked $0.15 final dividend, paid in October. That totals $0.34 for the year, equivalent to an 8.5% fully franked trailing yield, which helps cushion recent capital declines.

The ASX mining stock has also introduced a dividend reinvestment plan active, allowing eligible holders to reinvest dividends into additional shares. Management says dividends will remain the primary shareholder return lever, supported by a healthy franking credit balance.

What brokers are saying

The setup – weak share price plus high yield – may suit income investors comfortable with commodity exposure. But total returns still hinge heavily on coal prices, which remain unpredictable. A rebound could quickly improve sentiment and returns.

Broker views are mixed on the ASX mining stock. Only a small number rate New Hope a buy with targets above $4.50, which points to a potential 12% upside.

However, most analysts recommend a hold, with an average 12‑month target at $3.96, a loss of 2.8% at the time of writing.  

Analysts at Macquarie Group Ltd (ASX: MQG) have turned more cautious. The broker is citing a weaker coal price outlook and softer production expectations.

Macquarie has downgraded the stock to underperform and cut the 12‑month target to $3.80, a possible fall of almost 7%.

The post Down 16%: Is this 8% yield ASX mining stock a buy? appeared first on The Motley Fool Australia.

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

Shares in Codan Ltd (ASX: CDA) surged to a fresh all-time high on Friday. This came after the company delivered a standout first-half FY26 trading update.

At one point, Codan shares touched a record $39.20 before easing slightly into the close. Even so, the stock still finished the session up a hefty 16.89% at $36.89.

That move caps off a remarkable run. Codan shares are now up 133% over the past 12 months, making it one of the ASX’s strongest technology performers.

So, what is driving the rally, and is there more upside from here?

Strong first-half numbers impress investors

The catalyst for Friday’s surge was Codan’s FY26 first-half trading update, released before market open.

The company expects group revenue of approximately $394 million for the half, representing growth of around 29% compared to the prior corresponding period. Underlying net profit after tax (NPAT) is expected to be at least $70 million, up roughly 52% year-on-year.

Both operating divisions contributed to the strong result.

The metal detection business delivered revenue of about $168 million, up 46% on the prior period, supported by strong gold detector sales in Africa and solid demand across recreational markets globally.

Meanwhile, the communications segment generated revenue of approximately $222 million, growing 19% year-on-year. Management noted this was at the upper end of its previously stated growth target range.

Overall, the update reinforced investor confidence that Codan is executing well across both divisions.

What the Codan chart is telling us

From a technical standpoint, Codan’s move into uncharted price territory is significant.

The stock has broken above prior resistance around the $33 to $34 level, supported by strong trading volume. That zone now looks like an important area of support if the shares pull back.

Momentum indicators also show how stretched the move has become. Codan’s relative strength index (RSI)is now sitting at 78, which typically signals overbought conditions in the short term. While this does not mean the rally is over, it does increase the risk of near-term consolidation after such a sharp move.

Codan’s beta is sitting around 1.2, indicating the stock tends to be more volatile than the broader market. That higher beta helps explain both the speed of the recent rally and the likelihood of sharper swings along the way.

Can the rally continue?

Any further gains will likely depend on Codan delivering solid margins and cash flow when it reports first-half results on 19 February. That will be the next key test for the stock.

After such a sharp move higher, a period of consolidation or a modest pullback would not be surprising.

The post Codan shares hit another all-time high. Can the rally keep going? appeared first on The Motley Fool Australia.

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• Codan posts strong first-half FY26 revenue and profit growth

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

Vanguard has announced the final distribution (dividend) amounts for scores of its ASX exchange-traded funds (ETFs).

The ETF provider will pay investors next Monday, 19 January.

Let’s take a look.

Next round of dividends for Vanguard ASX ETF investors

Here is a summary of the dividends that Vanguard will pay to investors holding some of its most popular products on 19 January.

The Vanguard Australian Shares Index ETF (ASX: VAS), which seeks to track the performance of the S&P/ASX 300 Index (ASX: XKO) before fees, will pay a dividend of 82.08 AU cents per unit.

The Vanguard Australian Shares High Yield ETF (ASX: VHY) tracks the FTSE Australia High Dividend Yield Index. The ASX VHY will pay 65.83 AU cents per unit.

The Vanguard MSCI Index International Shares ETF (ASX: VGS) provides exposure to about 1,500 businesses in developed nations outside Australia. This ETF will pay a dividend of 47.36 AU cents per unit.

The Vanguard MSCI Australian Small Companies Index ETF (ASX: VSO) will pay 129.60 AU cents per unit. The VSO tracks the MSCI Australian Shares Small Cap Index.

The Vanguard FTSE Europe Shares ETF (ASX: VEQ) provides exposure to about 1,300 companies listed in major European markets. It tracks the FTSE Developed Europe All Cap Index (with net dividends reinvested) in Australian dollars before fees. It will pay 61.60 AU cents per unit.

The Vanguard Australian Fixed Interest Index ETF (ASX: VAF) tracks the Bloomberg AusBond Composite 0+ Yr Index before fees. It will pay a dividend of 42.44 AU cents per unit.

The Vanguard Australian Property Securities Index ETF (ASX: VAP) tracks the performance of the S&P/ASX 300 A-REIT Index before fees. It will pay 45.61 AU cents per unit.

The Vanguard FTSE Emerging Markets Shares ETF (ASX: VGE), which tracks the FTSE Emerging Markets All Cap China A Inclusion Index (with net dividends reinvested) in Australian dollars before fees, will pay 132.88 AU cents per unit.

The Vanguard Ethically Conscious Australian Shares ETF (ASX: VETH) tracks the FTSE Australia 300 Choice Index before fees. It will pay 55.39 AU cents per unit.

The Vanguard MSCI International Small Companies Index ETF (ASX: VISM) will pay a dividend of 85.44 AU cents per unit. The VISM ETF tracks the MSCI World ex-Australia Small Cap Index (with net dividends reinvested) in Australian dollars before fees.

Vanguard MSCI Australian Large Companies Index ETF (ASX: VLC), which tracks the MSCI Australian Shares Large Cap Index, will pay a dividend of 63.34 AU cents per unit.

The post Vanguard reveals next lot of dividends for VAS and other ASX ETFs appeared first on The Motley Fool Australia.

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Motley Fool contributor Bronwyn Allen has positions in Vanguard Msci Index International Shares ETF. 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 Vanguard Australian Shares High Yield ETF and Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The lagged impact of higher prices, along with resurgent inflation killing the chances of further rate cuts, hit ASX 200 retail shares in 2025.

The Consumer Discretionary Index (ASX: XDJ) rose by just 1.77% and produced a total return, including dividends, of 4.09% last year.

That was a decidedly different performance than 2024, when ASX 200 retail shares delivered extraordinary capital growth of 20.71%.

At the start of last year, annual inflation was within the Reserve Bank’s target of 2% to 3% and interest rates were cut three times.

The consumer discretionary index reached its 52-week peak in August amid the third rate cut, and the economic picture looked healthy.

However, all bets were off when the annual inflation rate jumped from 2.1% in the June 2025 quarter to 3.2% in the September quarter.

The consumer discretionary index began a sharp ongoing decline immediately after the data was released in late October.

Hopes of further rate cuts were dashed, and more data to follow led to the RBA openly flagging the possibility of a rate hike in 2026.

By 31 December, the index was barely in the green, up just 1.77%.

This meant ASX 200 retail shares underperformed the benchmark S&P/ASX 200 Index (ASX: XJO) last year.

The ASX 200 lifted 6.8% and provided total gross returns of 10.32%.

Of course, some retail stocks survived the volatility better than others.

Here are the five best ASX retail shares for price growth in 2025.

5 best ASX 200 retail shares of 2025

Eagers Automotive Ltd (ASX: APE)

The Eagers Automotive share price ripped 113% in 2025.

Stock in the Australian and New Zealand car retailer closed at $24.64 on 31 December.

The stock’s 52-week high was $35.64.

Tabcorp Holdings Ltd (ASX: TAH)

The Tabcorp share price rocketed 75% to close the year at 99 cents per share.

The ASX 200 retail gaming share’s 52-week high was $1.10.

Nick Scali Ltd (ASX: NCK)

The Nick Scali share price soared by 57% in 2025.

The ASX furniture retailer finished the year at $23.57 per share.

Nick Scali’s 52-week high was $25.98 — a record for the company.

Harvey Norman Holdings Ltd (ASX: HVN)

The Harvey Norman share price lifted 49% to close out the year at $6.94.

The fellow furniture retailer also reached an all-time high last year at $7.70.

Light & Wonder Inc (ASX: LNW)

The Light & Wonder share price rose 15% to close at $157.57 on 31 December.

The ASX 200 retail gaming share also hit an all-time high of $181.25 last year.

The post Top 5 ASX 200 retail shares of 2025 appeared first on The Motley Fool Australia.

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Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group, Temple & Webster Group, and Wesfarmers. The Motley Fool Australia has positions in and has recommended Eagers Automotive Ltd and Macquarie Group. The Motley Fool Australia has recommended Jb Hi-Fi, Temple & Webster Group, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

James Hardie Industries plc (ASX: JHX) shares are showing early signs of stabilising after a tough year.

The building materials group hit a 5-year low of $24.41 on 17 November, capping off months of heavy selling. Since then, the share price has clawed back some ground. On Friday, James Hardie shares jumped 5.12% to close at $32.42.

Even after that rebound, the stock remains around 35% lower than this time last year, highlighting just how far sentiment has fallen. The recent price action suggests investors may now be reassessing whether the pessimism has gone too far.

Let’s take a closer look.

A rough year for a quality business

James Hardie is a global leader in fibre cement products, with strong brands and exposure to long-term housing demand in the US and other key markets.

However, 2025 was a difficult year. Higher interest rates slowed construction activity, while rising costs pressured margins. On top of that, the company’s large AZEK acquisition added complexity, integration costs, and uncertainty around near-term earnings.

As a result, investors steadily downgraded their expectations, driving the share price lower towards the back end of the year.

By the time the stock hit its 5-year low in November, much of the bad news appeared to be priced in.

Recent results offered some relief

In its Q2 FY26 results, James Hardie delivered a mixed but improving update.

Net sales rose 34% to around US$1.29 billion, supported by contributions from AZEK and steady demand across core regions. Adjusted EBITDA increased 25% to approximately US$330 million, leading management to lift full-year EBITDA guidance.

That guidance upgrade helped stabilise sentiment, even though statutory profit remained under pressure due to acquisition-related costs.

Insider activity sends mixed signals

One factor that caught investors’ attention was director Jesse Singh selling a large number of shares at the start of 2026.

While insider selling can occur for many personal reasons, it often makes investors cautious, particularly when a stock has already fallen heavily.

That said, there has also been director buying late in 2025, suggesting views within the board are mixed rather than outright negative.

What the chart is telling us

From a technical perspective, James Hardie shares appear to be forming a short-term uptrend.

Recent price action suggests buyers are gradually stepping back in. However, the broader trend remains weak, and the shares still face resistance in the mid $30 range.

Foolish takeaway

James Hardie’s share price collapse has reset expectations significantly.

The recent rebound suggests investors may be starting to re-rate the stock as earnings stabilise and uncertainty fades. However, a sustained recovery will likely depend on improved margins and smoother execution through 2026.

The post James Hardie shares rebound from 5-year low. Is the worst finally over? 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 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 ASX tech stock has delivered more twists and turns than a last-minute finals thriller this past year.

Between January and October, Catapult Sports Ltd (ASX: CAT) rocketed more than 110%, only decline 45% from its peak. At the time of writing, the shares sit at $4.14, down 11% for the month.

The wild ride reflects both the promise and the growing pains of a business still learning how to turn global reach into reliable profits. But beneath the share price noise, Catapult is quietly building something substantial.

Growing international footprint

The Melbourne-based ASX tech stock is best known for its wearable GPS trackers and performance analytics. Its footprint in the US and Europe is growing rapidly. More elite teams in the NBA, the Premier League, and top-tier rugby competitions are using Catapult’s tech.

Catapult has also been busy on the acquisition trail. It snapped up strength-training specialist Perch and recently acquired German analytics firm Impect GmbH. The last takeover is to sharpen its edge in elite soccer scouting and data analysis. These deals fit neatly into the ambition of the ASX tech stock to become the global operating system for professional sports.

Fundamentally, things look solid. Annualised contract value jumped 19% to US$115.8 million, contract sizes are rising, and customers now stick around for almost eight years. Still, fears of dilution, integration risk, and a broader tech sell-off spooked some investors.

Small player, exploding arena

What really makes Catapult pop over the long haul is just how big the prize is compared to where it’s sitting today. The ASX tech share is still a small player in a very large arena and that arena is getting bigger fast.

The global professional sports tech market is tipped to surge through the rest of the decade. Data, analytics, and performance tracking is shifting from “nice to have” to absolute must-haves across more sports, leagues, and competitions.

As mentioned here, Bell Potter highlights that “the pro sports technology market is currently valued at US$36 billion in 2025 and is forecast to double to US$72 billion by 2030.” This is great news for the ASX tech stock, especially since being a market leader.

Buy, hold or sell?

Analysts remain upbeat on the ASX tech stock. Their average 12-month target of $6.74 implies a juicy 63% upside from here. The most bullish prediction sees the share price go to $7.73, a potential surge of 87%.

The team at Morgans thinks that this sports technology company’s shares could be one of the strong performers in 2026.

Analysts of the broker have put a buy rating and $6.25 price target on the ASX share. Based on its current share price of $4.14, this implies potential upside of 50% for investors over the next 12 months.

The post Buy this ASX tech stock now for the long run appeared first on The Motley Fool Australia.

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

An exciting thing about the ASX share market is that there are opportunities everywhere.

There are some large winners that are well-known and grow profit virtually every year. But, small companies and cyclical businesses can also be exciting ideas if we buy them at the right time.

Experts from the funds management business Wilson Asset Management (WAM) have outlined two ASX shares in the WAM Capital Ltd (ASX: WAM) portfolio that could be exciting opportunities.

WAM could be well worth listening to because it has outperformed the S&P/ASX All Ordinaries Accumulation Index (ASX: XAOA) over the past three years, five years, ten years, and since inception in August 1999. Before fees, expenses and taxes, the WAM Capital portfolio has returned an average of 15.3% per year since 1999.

Maas Group Holdings Ltd (ASX: MGH)

WAM describes Maas Group as a diversified Australian construction materials, equipment and services provider with exposure across civil infrastructure, renewables, mining and real estate markets.

The fund manager pointed out that the Maas share price rose in December after the company announced a major project worth approximately $200 million for its electrical infrastructure subsidiary called JLE Group.

This project aims to supply, deliver and install modular electrical infrastructure for an artificial intelligence (AI) factory builder and operator with the delivery expected throughout the 2026 calendar year.

Excitingly, the project has enabled the ASX share to expand its addressable market into the fast-growing digital infrastructure market. WAM said that if the initial contract value awarded is extrapolated across the remaining pipeline, it “implies a substantial runway exists with JLE Group”.

Tasmea Ltd (ASX: TEA)

The other ASX share that the fund manager highlighted from the WAM Capital portfolio was Tasmea, which operates a portfolio of trade-skilled services businesses, including electrical, mechanical, civil and water (and fluids) services.

In December, the company announced that it had completed the acquisition of WorkPac Group, a leading provider of workforce solutions in Australia.

WAM noted the deal adds to the ASX share’s earnings in the high single digits, with a number of long-term benefits including revenue and cost synergies that will “support multi-year earnings growth”.

Despite that positive, the Tasmea share price fell alongside the broader market – the ASX share declined 12%. WAM believes this drop was because of some concerns that this acquisition was “off strategy”.

The fund manager thinks that the market is underestimating emerging pressures within the east coast labour market, with the WorkPac Group acquisition “positioning the company strongly to capitalise on an expected surge in activity associated with the Brisbane Olympics. WAM also said that the broader commodity price backdrop remains “supportive for demand” within its core verticals.

The post 2 ASX shares these experts rate as a buy right now appeared first on The Motley Fool Australia.

More reading

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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 S&P/ASX 200 Index (ASX: XJO) rose 6.8% in 2025 and gave investors a total return, including dividends, of 10.32%.

These three ASX 200 shares delivered the best capital growth among their sector peers last year.

Do the experts see them as good buys for 2026, or is their phenomenal run done?

Let’s take a look.

Eagers Automotive Ltd (ASX: APE)

Eagers Automotive had the best price growth among ASX 200 consumer discretionary shares in 2025.

The Eagers Automotive share price ripped 113% in 2025.

Stock in the Australian and New Zealand car retailer closed at $24.64 on 31 December.

On Friday, this ASX 200 retail share closed at $26.64, up 4.8%.

Jefferies upgraded Eagers Automotive shares to a buy rating last week with a 12-month price target of $29.50.

Canaccord Genuity also has a buy rating with a target of $33.60.

These targets imply potential upside of between 11% to 26% over the coming 12 months.

Evolution Mining Ltd (ASX: EVN)

ASX 200 gold miner Evolution Mining had the best capital growth of the ASX 200 large-cap shares last year.

Large caps have a market capitalisation of $10 billion or more.

The Evolution Mining share price rose by 164% to $12.68 apiece on 31 December.

The strong running gold price pushed the stock higher in 2025. Gold rallied an incredible 65%, building on a 27% gain in 2024.

On Friday, Evolution Mining shares closed at $12.82, up 0.6%.

Morgans has a sell rating on Evolution Mining shares with a price target of $11.10.

This implies a potential downside of almost 15% in 2026.

Citi sees Evolution Mining shares as fully valued given its hold rating and 12-month target of $12.70.

DroneShield Ltd (ASX: DRO)

ASX 200 defence share Droneshield was the No. 1 stock in the industrials sector for 2025.

The Droneshield share price skyrocketed 300% to close at $3.08 on 31 December.

Droneshield is benefitting from a worldwide lift in global defence spending.

However, investors were alarmed in November when CEO Oleg Vornik sold more than $49 million worth of shares.

In response, DroneShield announced a mandatory minimum shareholding policy for all directors and senior managers. 

On Friday, Droneshield shares closed at $4.02, up 4.4%.

Bell Potter reiterated its buy rating on Droneshield shares last month.

However, the broker reduced its 12-month price target from $5.30 to $4.40.

This still implies a potential upside of almost 10% in the new year ahead.

The post Experts rate 3 ASX 200 stars of 2025: Is there more growth ahead? appeared first on The Motley Fool Australia.

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Citigroup is an advertising partner of Motley Fool Money. Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DroneShield. The Motley Fool Australia has recommended Eagers Automotive Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.