Last week, ASX materials stock Champion Iron Ltd (ASX: CIA) released its third quarter FY2026 result.

The miner delivered record quarterly sales and income for the three months to 31 December 2025.

It reported: 

• Quarterly revenue of $472 million, up 30% year-over-year
• Net income of $65 million; earnings per share of $0.12
• EBITDA of $152 million, up 73% from the prior-year period
• Record iron ore sales of 3.9 million dry tonnes, an 18% increase
• C1 cash cost per tonne lowered to $73.9, down 6% from a year ago
• Cash balance (excluding restricted funds) of $245 million at quarter-end

However following these results, investors exited their positions, with Champion Iron losing 3.13% on Friday. 

ASX materials stocks have been firing over the last year.

The S&P/ASX 200 Materials (ASX: XMJ) is up 40% in that span. 

However Champion Iron has largely missed out on this bull market, rising just 5.95% in that same period. 

Fresh analysis from Bell Potter

The team at Bell Potter released a new report on this ASX materials stock on Friday. 

Key takeaways from the previous quarter from the broker included: 

• Production & sales: Strong quarterly production and record sales, with higher plant recoveries offsetting harder ore; improved rail performance drove a material reduction in site and port inventories.
• Pricing: Realised prices broadly stable vs index, though still impacted by higher exposure to discounted spot iron ore sales ahead of DRPF term contracts.
• Costs: Unit costs improved quarter-on-quarter, reflecting lower maintenance subcontractor costs and fixed-cost leverage from higher volumes.
• Cash flow: Cash declined C$80m QoQ to C$245m; operationally near breakeven pre-growth capex and dividends, with working capital a drag due to higher receivables and lower payables.

The broker also said a critical decision during the previous quarter was the announcement of a US$289m transaction agreement to acquire Rana Gruber ASA. 

Rana Gruber is a producer of high-grade iron ore operating in Norway’s Dunderland Valley with production of over 1.8Mtpa and five year average trailing EBITDA of US$80m (US$50m in 2024). 

The transaction is expected to close by mid-2026 and will be funded via a US$100m private placement to investment group Caisse de dépôt et placement du Québec and a fully committed US$150m term loan with Scotiabank. 

Bell Potter said transaction benefits include increased scale, diversification, blending capabilities, and EBITDA and cash flow per share accretion.

Hold recommendation

This ASX materials stock closed trading last week at $5.88 per share. 

In Friday’s report, Bell Potter maintained its hold recommendation. 

The broker also lowered its price target to $5.55. 

Based on this rating it appears Friday’s sell-off was justified as this stock is trading slightly above fair value. 

The price target from the broker indicates a downside of approximately 5.6%. 

The post Why did this ASX materials stock tumble after reporting record profits? appeared first on The Motley Fool Australia.

More reading

• Champion Iron posts record iron ore sales and profits in Q3 FY26
• Here are the top 10 ASX 200 shares today

Motley Fool contributor Aaron Bell 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.

Next week is looking like it could be a big one for Aussie mortgage holders, with the Reserve Bank of Australia (RBA) making its latest interest rate decision.

Due to recent economic data, there is speculation that the central bank will increase rates on Tuesday. But is that the case? Let’s find out.

What will the RBA do with interest rates next week?

Unfortunately for borrowers, the market believes there is more chance of a rate hike next week than not.

According to the latest ASX 30 Day Interbank Cash Rate Futures February 2026 contract, the market is pricing in a 67% probability of a 25 basis point increase to 3.85%.

The team at Westpac Banking Corp (ASX: WBC) agrees with the market and believes that recent economic data points to a rate hike at next week’s meeting.

Commenting in the bank’s weekly economic report, Westpac’s chief economist, Luci Ellis, who used to work as assistant governor at the RBA, said:

When the economy is close to full employment and full capacity utilisation, it is hard to know which side of the line it is on. Inflation outcomes are the best guide in this situation. This is one reason why inflation gets the ‘casting vote’ at the RBA’s February meeting. With trimmed mean as the clearest signal of the underlying inflation trend, the 0.9%qtr, 3.4%yr quarterly result in the December quarter implies that the RBA is likely to raise rates at the February meeting.

However, Ellis notes that there is still a small chance that interest rates could be kept on hold. She adds:

There is still a small chance they hold (though it would be a split decision), and we expect the Board to debate the merits of holding versus raising the cash rate at the meeting. We are mindful of the messaging via the media that the RBA would hike if trimmed mean inflation remained above its 2–3% target and was drifting further away from the desired midpoint (our emphasis).

The run of quarterly data might not quite meet the second part of that test, though the case can be made that it does. There are also arguments to be cautious given that the new monthly collection has made the inflation data harder to interpret. But with market and public expectations already primed, the Board is likely to see little reason to wait.

What’s next for rates?

The good news is that Westpac believes this is where the rate hikes stop.

It is forecasting interest rates to stay on hold at 3.85% through to late 2027, before starting to retreat to 3.35% by early 2028.

The post Here’s what Westpac says the RBA will do with interest rates next week appeared first on The Motley Fool Australia.

More reading

• Buying Westpac shares today? Here’s the dividend yield you’ll get
• 5 ASX dividend shares paying 4% a year on average in 2026!
• Here’s the dividend forecast out to 2028 for Westpac shares
• ASX Sectors to target and avoid in 2026: Expert
• Here are the 3 ASX ETFs I use for my super fund

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

I think ASX growth shares that are delivering rising earnings and increasing payouts can be very attractive investments.

It’s wonderful to own businesses where the share price rises, but if the company doesn’t pay dividends, then our bank account doesn’t benefit until we sell.

I like that we can own growing companies that send some of their profits to shareholders each year in the form of dividends. In five years, the dividend payouts from these businesses could have grown dramatically, combined with potentially exciting capital growth.

Let’s dive in.

Lovisa Holdings Ltd (ASX: LOV)

Lovisa describes itself as a fashion-forward jewellery brand that caters to everyone.

It has at least 10 stores in numerous countries including Australia, the USA, Canada, the UK, France, Germany, Belgium, the Netherlands, Poland, Italy, Ireland, Singapore, Malaysia and South Africa.

The company’s addressable market is huge. It has close to 1,100 stores in total, but Australia (over 180 stores) and the USA (around 230 stores) are the only two locations that have more than 100. It can expand for many years in existing countries (such as Canada, the UK, China and Germany) as well as entering new markets.

While the growth rate in total sales won’t directly match net profit growth or dividend growth, I think the outlook for all financial metrics is very promising.

The projections on Commsec suggest the business could decide on a dividend payout ratio that’s close to 100%, as it has done in the last few years, unlocking a powerful dividend yield for investors.

The FY26 projection on Commsec suggests the ASX growth share is trading (at the time of writing) at 29x FY26’s estimated earnings with a possible dividend yield of 3.1%, excluding any franking credits benefits. The FY28 forecasts suggest the business is trading at under 23x FY28’s estimated earnings, with a possible dividend yield of 3.7%, excluding franking credits.

Pinnacle Investment Management Group Ltd (ASX: PNI)

I think Pinnacle is one of the most underrated businesses on the ASX in terms of its dividend potential.

When it comes to dividend potential, I think investors should evaluate both the current yield and the potential for regular dividend growth.

Before we get to the possible dividends, I’ll mention what it does. It invests in promising funds management businesses, taking a minority stake and helping them grow. There are numerous services it can provide to help the fund manager focus on investing, which includes compliance, legal, client distribution, seed funds under management (FUM), working capital and more.

You may recognise some of the fund managers in the ASX growth share’s portfolio, such as Spheria, Solaris, Resolution Capital, Plato, Palisade, Pacific Asset Management, Metrics, Firetrail, Five V, Coolabah Capital, Antipodes and Aikya.

According to the forecast on Commsec, it’s expected to deliver a grossed-up dividend yield of around 5.75%, including franking credits. By FY28, the grossed-up dividend yield could be 8.4%, including franking credits.

One of the key reasons the business has strong growth potential is because of the ongoing FUM growth of the fund managers.

In the three months to 30 September 2025, its FUM grew to $197.4 billion, an increase of $18 billion (or 10%) from $179.4 billion at 30 June 2025.

Of that increase over the three months, $13.3 billion of the rise related to net inflows over the period. Within that total, $4 billion were Australian retail net inflows, $2.9 billion was international net inflows and $6.4 billion was Australian institutional net inflows. This shows broad success for the company.

If Pinnacle’s total FUM continues rising in the double-digits in percentage terms, then the ASX growth share has a very promising future for dividends and profit growth.

The post 2 ASX growth shares I’d buy today for growth and income appeared first on The Motley Fool Australia.

More reading

• 3 ASX growth shares to buy now while they’re on sale
• My 3 best ASX dividend-focused stocks to buy in February
• Why these ASX growth stocks could be much bigger in 5 years
• Here’s how you could turn the stock market into a $1,000 monthly passive income machine
• How to turn ASX dividends into long-term wealth

Motley Fool contributor Tristan Harrison has positions in Pinnacle Investment Management Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Lovisa and Pinnacle Investment Management Group. The Motley Fool Australia has positions in and has recommended Pinnacle Investment Management Group. The Motley Fool Australia has recommended Lovisa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The S&P/ASX 200 Index (ASX: XJO) was on form in January and pushed higher. The benchmark index rose 1.8% over the month.

While this was positive, some ASX 200 shares rose significantly more. Here’s why these were the best performers on the index in January:

Deep Yellow Ltd (ASX: DYL)

The Deep Yellow share price was the best performer in January with a gain of 54%. This was driven by the release of a solid quarterly update and improving sentiment in the uranium sector. For similar reasons, fellow uranium producers Paladin Energy Ltd (ASX: PDN) and Boss Energy Ltd (ASX: BOE) rallied strongly in January. They recorded gains of 44% and 33%, respectively.

Codan Ltd (ASX: CDA)

The Codan share price was on form and raced 34% higher in January. This metal detector and communications products company’s shares jumped following the release of a trading update. Codan revealed that it expects to report a 29% increase in revenue to $394 million for the first half of FY 2026. And thanks to margin expansion, its profit after tax is expected to grow at the even quicker rate of 52% to at least $70 million. This strong growth was underpinned by “outstanding results achieved by the metal detection business and ongoing strong performance in the communications segment.”

Iperionx Ltd (ASX: IPX)

The Iperionx share price wasn’t far behind with a gain of 31% during the month. A catalyst for this was news that the titanium metal and critical materials company received a prototype purchase order valued at US$300,000 from American Rheinmetall. The order is for 700 lightweight titanium components for US Army heavy ground combat systems. IperionX’s CEO, Taso Arima, said: “This purchase order demonstrates the practical application of IperionX’s recycled titanium technologies on important U.S. ground combat platforms. As the only domestic producer of commercial primary titanium, IperionX is uniquely positioned to support domestic defense priorities with secure, low-carbon, and cost-competitive titanium products manufactured entirely in the United States.”

South32 Ltd (ASX: S32)

The South32 share price was on form and raced 30% higher in January. This was driven by the release of the mining giant’s first half update. South32 revealed a 3% increase in alumina production, a 2% lift in aluminium production, and a 58% jump in manganese production. The miner’s CEO, Graham Kerr, said: “We continued to deliver consistent operating results, with FY26 production guidance maintained across our operated assets and first half operating unit costs tracking in line with guidance.”

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

More reading

• Here are the top 10 ASX 200 shares today
• $2,000 invested in Boss Energy shares at the start of 2026 is already worth…
• IperionX ramps up titanium production, secures US government support
• Nickel Industries cements leadership in ENC, welcomes Sphere as strategic partner
• Emerald Resources delivers strong December quarter with growth across Australia and Cambodia

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

Choosing the right ASX shares can be key to unlocking a large dividend yield that’s much more appealing for passive income than money in the bank. Some businesses offer yields of more than 9%!

But I wouldn’t buy any business for passive income just because it has a good yield. Dividends can be cut, so it’s important to consider what will help the business continue that dividend streak.

I’d also want to see that the business has a history of not cutting the dividend. Past reliability is not a guarantee, but it’s a useful indicator of what can happen during different economic conditions.

WAM Microcap Ltd (ASX: WMI)

This is a listed investment company (LIC) that’s operated by the team at Wilson Asset Management (WAM). It’s focused on finding the best opportunities in the ASX small-cap share end of the market.

The ASX share’s FY25 payout translates into a grossed-up dividend yield of just over 9% (at the time of writing), including franking credits, which was a slightly higher payout than the FY24 dividend.

It has been very consistent: it increased its regular annual payout each year between FY18 and FY23, maintained it in FY24, and then hiked it again in FY25. In other words, there have been no dividend cuts in its existence.

WAM Microcap has managed to fund its dividend thanks to the investment returns its portfolio has generated. At the end of December 2025, its portfolio had returned an average return per year of 16.7% since inception in June 2017, before fees, expenses, and taxes.

It already has a profit reserve of around five years of dividends at the current level, and I think it can continue funding slightly bigger payouts. The small end of the share market is compelling for finding investment opportunities due to its growth potential.  

Shaver Shop Group Ltd (ASX: SSG)

Shaver Shop is one of Australia’s underrated ASX dividend shares, in my opinion.

It retails a wide array of hair removal products in Australia and New Zealand, with both male and female products across its store network and website.

Shaver Shop increased its payout each year from 2017 to 2023, maintained the dividend in FY24, and then increased it slightly in FY25. Its FY25 grossed-up dividend yield is around 9.5% at the time of writing, including franking credits.

I think the business has quite defensive earnings – hair grows in all economic conditions. That makes for consistent demand for its products, in my view.

Shaver Shop is one of the leaders in hair removal retailing, which is why multiple shaving brands have agreed to exclusive products with the business. This helps the ASX share provide unique products and deliver a stronger gross profit margin.

Shaver Shop is also working hard at expanding its own brand called Transform-U, helping it fill in different products across its overall range, which means a stronger gross profit margin on those sales.

It can grow earnings as it expands its store network, sells more online, and expands its Transform-U range.

The post 2 ASX shares to buy with dividend yields above 9% appeared first on The Motley Fool Australia.

More reading

• Here’s how you could turn the stock market into a $1,000 monthly passive income machine
• This 9% yield is one I’m comfortable holding for the long term
• If a 25-year-old invests $1,250 a month in ASX stocks, here’s what they could have by retirement
• 3 great ASX dividend shares to buy in 2026
• Get paid huge amounts of cash to own these ASX dividend stocks

Motley Fool contributor Tristan Harrison has positions in Wam Microcap. 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 Shaver Shop Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Whenever I think about long-term investing, I always come back to Warren Buffett. Not because I’m trying to copy his stock picks, but because his story shows what really matters.

Buffett didn’t get rich quickly. In fact, most of his wealth was built later in life. The secret wasn’t some hidden formula. It was owning good businesses, reinvesting returns, and giving compounding decades to do its thing.

That same approach can work for everyday investors, even if you’re starting with something as modest as $250 a month.

Why I think consistency wins

I don’t believe you need to be a genius to build wealth in ASX shares. What matters far more is showing up consistently.

Putting $250 a month into ASX shares won’t feel exciting in the early years. I know that because I’ve watched how slowly portfolios grow at the start. Most of the progress comes from your own contributions, not market returns.

But that’s fine. The real goal early on isn’t performance. It’s building the habit.

Regular investing also takes a lot of stress out of the process. You’re not trying to time the market. You’re not guessing when to buy. You just keep investing through the ups and downs, which quietly works in your favour over time.

How I think about compounding

Compounding is one of those concepts that sounds technical but is actually very simple.

Early on, you are doing all the work. Your monthly investments matter far more than what the market does.

Later on, something shifts. Your portfolio gets big enough that your returns add more value than your annual contributions and growth starts to feel faster, even though you’re doing the same thing as before.

This is exactly what happened with Buffett’s long-term holdings like Coca-Cola and American Express. The real wealth wasn’t created in the first decade. It came much later, after years of steady compounding.

How I’d apply this to ASX investing

If I were starting from scratch today, I wouldn’t overcomplicate it. I’d focus on building a diversified ASX portfolio, reinvesting, and sticking with the plan.

I would buy quality ASX shares like CSL Ltd (ASX: CSL), Hub24 Ltd (ASX: HUB), and Wesfarmers Ltd (ASX: WES), and hold them for the long-term.

Long-term results tend to come from a few simple behaviours: investing every month no matter what markets are doing, staying invested during downturns, reinvesting income, and not constantly changing strategy. Trying to be too clever usually just gets in the way.

What could $250 a month turn into?

If someone invested $250 a month and achieved an average return of 9% per year, over roughly 32 years they would contribute about $96,000 in total.

Thanks to compounding, that ASX share portfolio could grow to $500,000.

What stands out to me is that the majority of that final balance doesn’t come from the money invested. It comes from time. Time in the market really does the heavy lifting.

Foolish takeaway

Turning $250 a month into a $500,000 ASX share portfolio isn’t about chasing the next big winner. It’s about adopting the same mindset that’s worked for investors like Warren Buffett for decades.

Start early enough. Be consistent. Focus on quality. Let time do the rest.

The post How to turn $250 a month into a $500,000 ASX share portfolio appeared first on The Motley Fool Australia.

More reading

• I think the market is wrong about CSL shares
• Where I would invest $50,000 in ASX 200 shares in February
• Why I think these buy-rated ASX shares could be top picks
• 3 no-brainer ASX shares to consider buying now with just $100
• I’d buy 328 shares of this ASX 200 stock to aim for $1,000 a year

American Express is an advertising partner of Motley Fool Money. Motley Fool contributor Grace Alvino has positions in CSL, Hub24, and Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL, Hub24, and Wesfarmers. The Motley Fool Australia has recommended CSL, Hub24, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

These 3 ASX ETFs offer a diversified spread across various global markets and investment styles. They balance regular income with participation in global earnings growth.

Past performance is not a guarantee of future results, but these ASX ETFs are practical building blocks for income-aware, globally diversified portfolios.

Vanguard Australian Shares High Yield ETF (ASX: VHY)

Income and stability start at home. Vanguard Australian Shares High Yield ETF is the ASX’s go-to high dividend yield ETF. This ASX ETF targets the FTSE Australia High Dividend Yield Index. The ETF backs it with some of the biggest names on the local market like BHP and Commonwealth Bank of Australie.

Its trailing dividend yield sits well above the ASX 200 average, appealing to income-hungry investors. The ASX fund pays quarterly distributions. Over the longer term it has delivered respectable total returns by blending dividends with capital growth.

While precise six-month figures aren’t always front-and-centre, the ASX ETF’s broader performance has outpaced many local benchmarks. As a result VHY is underscoring its role as an Australian income anchor in diversified portfolios.

Global X S&P 500 High Yield Low Volatility ETF (ASX: ZYUS)

Global X S&P 500 High Yield Low Volatility ETF gives you direct US dividend exposure with a growth tilt. This ASX ETF plays on the power of high-yielding, lower-volatility US large caps like Pfizer and UPS.

ZYUS tracks the S&P 500 Low Volatility High Dividend Index, aiming to smooth market swings while putting cash in your pocket. Its trailing dividend yield is around mid-single digits, which is solid compared to broader US ETFs.

Its six-month total return to the end of December 2025 registered just over 1%. This reflected a modest rebound in markets over that horizon. US dividends and selective stock quality help this ETF balance yield and growth within global portfolios.

iShares Asia 50 ETF (ASX: IAA)

To capture growth and dividends from Asia’s corporate engine, this ASX ETF delivers exposure to 50 of the region’s largest companies. iShares Asia 50 ETF spans technology champions like Taiwan Semiconductor, Alibaba, Samsung and Tencent.

Its current dividend yield hovers around the mid-2% range. It’s not as high as dedicated income funds but meaningful for regional equities. However, its six-month total return is impressive at over 23%.

That blend of solid recent performance with recurring income makes this Asia focussed ETF a compelling Asian component alongside more income-centric Aussie and US holdings.

How they fit together

Vanguard Australian Shares High Yield ETF anchors your portfolio with strong local, franked income and defensive Aussie exposure. Global X S&P 500 High Yield Low Volatility ETF brings US dividend payers and downside cushioning traits into the mix. On the other hand, iShares Asia 50 ETF turbocharges your Asia exposure, leaning into growth markets without abandoning distributions entirely.

The post 3 ASX ETFs for global growth and income appeared first on The Motley Fool Australia.

More reading

• 5 ASX ETFs to buy for passive income
• How I’d invest monthly savings to generate over $50,000 passive income
• How to build an ASX share portfolio for income and growth
• These ASX ETFs could be top passive income picks
• Vanguard will pay ASX ETF dividends today

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 no position in any of the stocks mentioned. The Motley Fool Australia has recommended Vanguard Australian Shares High Yield ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

With exchange traded funds (ETFs) growing in popularity, there’s no shortage of options out there for investors.

Three amazing ASX ETFs that could be worth getting better acquainted with are named below. Here’s what they offer investors:

Betashares Asia Technology Tigers ETF (ASX: ASIA)

The first ASX ETF that could be a buy is the Betashares Asia Technology Tigers ETF.

This fund provides investors with access to the leading technology stocks across Asia, which is a region where digital adoption is still evolving rather than fully mature. Its holdings include companies such as Tencent Holdings (SEHK: 700), Alibaba (NYSE: BABA), and Taiwan Semiconductor Manufacturing (NYSE: TSM), which sit at the heart of gaming, digital services, and advanced chip manufacturing.

What makes the Betashares Asia Technology Tigers ETF attractive is not necessarily its short-term performance, but its structural momentum. Asia’s middle class continues to expand, digital payments are becoming more embedded, and regional tech champions are increasingly shaping global supply chains. Despite this, sentiment toward Asian equities has been volatile in recent years, which has kept valuations in check.

For investors willing to think long term, this fund offers exposure to innovation outside the US at a point where the story still feels underappreciated.

BetaShares S&P/ASX Australian Technology ETF (ASX: ATEC)

Another ASX ETF to consider is the BetaShares S&P/ASX Australian Technology ETF.

This fund tracks Australia’s listed technology sector, providing exposure to local software, payments, and digital platform companies. This includes businesses such as WiseTech Global Ltd (ASX: WTC) and Xero Ltd (ASX: XRO), which play critical roles in global logistics and accounting ecosystems.

With the ETF is down close to 25% from its 52-week high amid broad weakness across global tech shares, now could be an opportune time to consider a position. Especially given that the pullback reflects sentiment rather than a collapse in long-term demand for technology.

For investors who believe digital transformation will continue to shape how businesses operate, this ASX ETF offers a way to gain diversified exposure to Australian tech at a time when confidence is subdued.

It was recently recommended to investors by Betashares.

Betashares Global Robotics and Artificial Intelligence ETF (ASX: RBTZ)

A final ASX ETF that could be worth looking at is the Betashares Global Robotics and Artificial Intelligence ETF.

This fund invests in global stocks involved in robotics, automation, and artificial intelligence. Its holdings include businesses such as NVIDIA (NASDAQ: NVDA) and Intuitive Surgical (NASDAQ: ISRG), which enable everything from AI computing to robotic-assisted surgery.

Rather than focusing on consumer-facing AI applications, this ETF leans into the infrastructure and tools that make automation possible. This means its opportunity is tied to productivity gains, labour shortages, and efficiency improvements across industries.

As AI and automation become more embedded in manufacturing, healthcare, and logistics, demand for these technologies is likely to grow regardless of short-term economic conditions.

This fund was also recently recommended by the fund manager.

The post 3 amazing ASX ETFs to buy before it’s too late appeared first on The Motley Fool Australia.

More reading

• 3 Australian ETFS to buy and hold forever
• Why these ASX ETFs could be perfect to buy and hold forever
• Why I think these ASX ETFs are best buys for 2026
• 3 super ASX ETFs for easy investing in AI
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Motley Fool contributor James Mickleboro has positions in Betashares Capital – Asia Technology Tigers Etf, WiseTech Global, and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Intuitive Surgical, Nvidia, Taiwan Semiconductor Manufacturing, Tencent, WiseTech Global, and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Alibaba Group. The Motley Fool Australia has positions in and has recommended WiseTech Global and Xero. The Motley Fool Australia has recommended Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Do you want some exposure to the small side of the market? If you do, then it could be worth listening to what Morgans is saying about the two small-cap ASX shares named below.

Here’s why the broker thinks they could be buys for investors with a high tolerance for risk:

Mach7 Technologies Ltd (ASX: M7T)

The first small-cap ASX share that could be a buy according to Morgans is Mach7. It is a provider of medical imaging software, delivering advanced data management and diagnostic viewing solutions to healthcare organisations worldwide.

Morgans was pleased with its quarterly update and the achievement of operating cashflow breakeven. It said:

M7T posted its 2Q26 cashflow report, reporting a breakeven operating cashflow following marked improvements in cash collection and a streamlined expense position through normalised billing and lower staff costs. ARR remained stable at A$23.0m, while CARR declined to A$26.1m following the known VHA and Trinity headwinds, partially offset by the first Flamingo Architecture customer win and growth from existing clients.

Execution momentum strengthened, including positive RSNA-generated leads, improved eUnity KLAS scores, and cost-outs across the organisation. Positive update and M7T appears seeded for good growth opportunities into FY27. No changes to forecasts or target price and our Buy recommendation remains.

Morgans has a buy rating and 76 cents price target on its shares.

Micro-X Ltd (ASX: MX1)

Another small-cap ASX share that has been given the thumbs up is Micro-X. It is a technology company developing and commercialising a range of innovative products for global health and security markets. These are based on proprietary cold cathode, carbon nanotube (CNT) emitter technology.

Morgans was pleased with Micro-X’s quarterly update and believes there is more to come, with 2026 looking like a transformational year. It said:

MX1 posted a solid 2Q26 cash flow report. Highlights included a capital raise which has taken the funding question off the table and receipt of the largest Rover Plus order to date. Key catalysts to focus on include: receipt of additional Rover sales orders; commencement of Head CT human imaging trial; and monetisation of non-core security assets. We have made no changes to our forecasts or valuation. We maintain our SPECULATIVE BUY recommendation and believe 2026 will be a transformational year for MX1.

Morgans has a speculative buy rating and 16 cents price target on its shares.

The post Morgans names 2 small cap ASX shares to buy appeared first on The Motley Fool Australia.

More reading

• 3 amazing ASX ETFs to buy before it’s too late
• Here are the top 10 ASX 200 shares today
• Buy, hold, sell: Life360, Liontown, and Mineral Resources shares
• What is driving today’s sell-off in ASX defence tech stocks?
• $2,000 invested in Boss Energy shares at the start of 2026 is already worth…

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Mach7 Technologies. 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 post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

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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 Cochlear and ResMed. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended Cochlear, Flight Centre Travel Group, and Nine Entertainment. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.