Amid the volatility hitting ASX tech shares, it can be easy to forget that there are a number of attractive ASX growth shares in the S&P/ASX 200 Index (ASX: XJO) outside of the technology industry.

I’m going to talk about two stocks that have already expanded significantly in Australia and are tapping into growth markets in the northern hemisphere.

The two names below are ones I’ve added to my own portfolio.

Pinnacle Investment Management Group Ltd (ASX: PNI)

Pinnacle is a business involved in the investment world. It invests in a range of funds management businesses, taking a minority stake and helping them grow.

The ASX 200 share offers services like compliance, legal, finance, seed funds under management (FUM), working capital, client distribution, technology and more, so that the fund manager can focus on investing, which is what clients are ultimately wanting to pay for.

Pinnacle recently revealed its FY26 half-year result, which included impressive growth numbers. Although lower performance fees in this result led to a lower reported profit, its net profit excluding performance fees jumped 37% year-over-year.

The business revealed that its total affiliate FUM reached $202.5 billion, an increase of 13% in just six months from 30 June 2025. Net inflows for the half came to $17.2 billion.

I like that Pinnacle is looking to expand its portfolio, adding growth potential in other markets. For example, Langdon is a global and small Canadian small-cap focused fund manager, while Pacific Asset Management is a UK-based multi-asset platform business.

Breville Group Ltd (ASX: BRG)

Breville is one of the world’s leading coffee machine businesses with brands that include Breville, Sage, Lelit and Baratza. It also owns a coffee bean business called Beanz.

The company has been disrupted in FY26 by the US tariffs, but it has worked hard at diversifying its manufacturing for the US to other countries such as Mexico, which I think bodes well for the company’s success in FY27 onwards.

In FY25, the business delivered double-digit revenue, profit and dividend growth.

The ASX 200 share continues to expand in new growth markets such as China, South Korea and the Middle East.

This can help the business deliver shareholder returns for investors as it benefits from a growing global coffee culture. New products can also help drive demand.

At the time of writing, the Breville share price is valued at 33x FY26’s estimated earnings and 30x FY27’s estimated earnings.

The post 2 ASX 200 shares that could be top buys for growth appeared first on The Motley Fool Australia.

More reading

• Scentre Group announces February 2026 distribution
• Argo Investments reports record profit and dividend
• West African Resources delivers major drilling results at Sanbrado
• Challenger flags talks on Pepper Money acquisition
• CAR Group delivers strong H1 FY26 earnings and reaffirms outlook

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

WiseTech Global Ltd (ASX: WTC) shares have been smashed to a 52-week low in the past five trading days. During that time, WiseTech shares lost another 19% to $47.60 at the time of writing.

The sell-off has has wiped tens of billions of dollars off the ASX company’s market value in a matter of months and WiseTech shares are back to levels last seen years ago.

For long-term investors, that kind of capitulation often marks the moment when opportunity starts to outweigh fear.

Governance and leadership concerns

The collapse of WiseTech shares has far more to do with sentiment than a sudden breakdown in the business. Software stocks globally have been under pressure, and WiseTech has also been dealing with governance concerns and heightened scrutiny of its leadership.

The market has responded by aggressively de-rating WiseTech shares, even though the core earnings engine remains intact.

Sticky clients, predictable earnings

At the heart of the investment case is CargoWise, WiseTech’s flagship logistics platform. It is deeply embedded in the daily operations of freight forwarders and customs brokers around the world.

Once customers are onboarded, switching costs are extremely high. That translates into sticky clients, recurring revenue, and exceptional visibility over future earnings. Global supply chains are only becoming more complex, and WiseTech sits right in the middle of that complexity, charging customers to make sense of it.

Growth drivers have not disappeared for WiseTech shares. The company continues to expand organically by adding new modules and customers, while acquisitions have historically allowed it to scale quickly across regions.

Analysts still expect revenue and earnings to grow strongly through FY26 as global trade volumes normalise and digital adoption across logistics continues.

Priced for disappointment

Valuation is where the story gets interesting. WiseTech shares are now trading well below its historical multiples. This is a stock that was once priced for perfection and is now priced for disappointment.

Long-term growth investors are often rewarded for buying dominant businesses when confidence is at its lowest, not when headlines are glowing.

That said, the risks are real and should not be ignored. Governance concerns have damaged trust and placed a cloud over the ASX share price. Any further missteps could delay a re-rating.

The company also carries execution risk from its acquisition strategy, as integrating large and complex businesses can strain management and margins. On top of that, technology stocks remain vulnerable to macro shifts in interest rates and investor appetite for growth.

What next for WiseTech shares?

Looking ahead, analyst expectations remain surprisingly resilient. Most forecasts still point to solid earnings growth over the next two years, and many brokers believe the share price has overshot on the downside. The market is clearly pricing in a worst-case scenario.

If WiseTech merely proves it can keep growing and restore confidence, today’s share price could look like a rare opportunity. TradingView data shows that most brokers see WiseTech shares as a strong buy. The 12-month price targets range from $60.23 to $105.40, pointing to a potential gain of 26% to a whopping 260%.

The post Why now could be the time to buy WiseTech shares appeared first on The Motley Fool Australia.

More reading

• Why I’m planning to act this week and buy ASX shares
• 5 things to watch on the ASX 200 on Monday
• What the stronger Australian dollar means for your shares
• Why are ASX 200 tech shares diving 13% this week?
• 2 ASX shares that could turn $100,000 into $1 million

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

ASX shares haven’t had an easy run. Even quality businesses have been sold off, leaving some strong operators trading at prices that look more like value stocks than growth stocks.

Quality ASX shares such as Aristocrat Leisure Ltd (ASX: ALL), The Lottery Corporation Ltd (ASX: TLC) and GQG Partners Inc (ASX: GQG) are trading at levels that could deliver attractive long-term upside.

Let’s have a closer look.

Aristocrat Leisure Ltd (ASX: ALL)

The shine on this ASX share has dulled. Valuation pressure and rising uncertainty has pushed Aristocrat into cheap screens relative to its long-term growth track record.

Recent sales and revenue were mixed. Some softness spooked the market. That’s happened despite record machine deployments and strong recurring earnings from digital gaming. The result? Shaken confidence and a weaker share price.

The business itself remains high quality. The $31 billion ASX share operates across land-based gaming machines and digital and mobile gaming. That diversification is a big advantage as player behaviour evolves. Few competitors can match its scale or depth of content.

But risks are real. Gaming spend is cyclical. Regulation can bite without warning. Currency moves can swing earnings. All of that makes short-term results uneven.

On the plus side, capital management is disciplined. Buybacks and debt reduction support earnings quality. Optionality from mergers and acquisitions and expansion of the online portfolio could drive a re-rating if growth steadies.

For investors seeking growth with some defensive characteristics, the current price range looks interesting. Analysts seem to think so. They see a potential upside of 41% with an average 12-month target set at $71.61.

The Lottery Corporation Ltd (ASX: TLC)

If you’re chasing quality with defensive earnings, The Lottery Corporation could be worth a closer look.

This $11 billion ASX share operates Australia’s leading lottery brands, including Oz Lotto, Powerball, Set for Life and instant scratch-its. Since demerging from Tabcorp, the business has become a pure-play lotteries operator with a simple, high-margin model built on recurring demand.

Its biggest strength is predictability. Lottery ticket sales tend to hold up well regardless of economic conditions. Cash flow is strong, margins are attractive, and capital requirements are low.

That supports reliable dividends and steady earnings growth. Digital ticket sales are another tailwind, lifting customer engagement and efficiency.

There are weaknesses to note. Growth is incremental rather than explosive. The business is also tightly regulated, limiting flexibility. Jackpot cycles can cause short-term earnings volatility.

From an analyst perspective, sentiment on the ASX share is broadly positive. Many see TLC as a defensive compounder with dependable dividends and modest share price upside.

Analysts have set the average 12-month price target at $5.68, a potential gain of 8% compared to the current share price.

GQG Partners Inc (ASX: GQG)

This ASX share has been left for dead by the market. Shares are down close to 25% over the past year as fund flows slowed and performance lagged benchmarks.

That’s weighed heavily on sentiment. Net inflows declined. Investors headed for the exits.

Yet the underlying numbers tell a different story. Revenue and net profit still grew at double-digit rates. Margins remain high. Dividends are generous and among the strongest in the sector, with a dividend yield of 12% at the current levels.

The risk is flows. GQG is highly sensitive to investor behaviour. Periods of underperformance can quickly shrink assets under management and fee income.

Still, valuation has reset. Brokers see potential catalysts ahead. If flows stabilise or performance improves, the rebound could be sharp.

For value-focused investors willing to ride the volatility, GQG’s risk-reward profile is starting to look compelling. Most brokers have a buy-rating on the ASX share. They set a price target for the next 12 months of $2.10, a 24% upside.

The post 3 quality ASX shares to buy with $10,000 appeared first on The Motley Fool Australia.

More reading

• These beaten down ASX growth shares could rise 50% to 75%
• Why these battered ASX shares deserve a second look
• ASX 200 financials flew but tech and mining shares faltered last week
• What the stronger Australian dollar means for your shares
• 3 ASX 200 stocks jumping higher in this week’s falling market

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

The West African Resources Ltd (ASX: WAF) share price is in focus today as the company announced fresh diamond drilling results from its Sanbrado Gold Operations, highlighting an extension of high-grade mineralisation and continued progress towards extending the mine life.

What did West African Resources report?

• Drilling at M5 South confirmed high-grade gold mineralisation extends 400 metres below the current resource, with a highlight intercept of 28 metres at 6.1 grams per tonne (g/t) gold.
• Significant diamond drilling returns at M5 South include: 12m at 4.9 g/t Au, 8m at 4.7 g/t Au, and 5m at 7.2 g/t Au.
• Infill drilling of inferred resources at M5 South returned: 22m at 13 g/t Au, 44m at 5 g/t Au, and 20m at 3.5 g/t Au, among others.
• M5 North drilling continues to deliver consistent results, including 45m at 0.9 g/t Au and 16m at 11.2 g/t Au (previously reported).
• At M1 North, recent drilling returned up to 18m at 3.8 g/t Au and 13m at 5.2 g/t Au, supporting the potential for further pit cutback.

What else do investors need to know?

West African Resources’ exploration teams have been busy managing multiple drilling programs at Sanbrado, aiming to convert resources and extend mine life. Current results will feed into an updated Mineral Resource, Ore Reserve, and a revised 10-year production plan to be released in the June 2026 quarter.

The company flagged that its resource conversion and extension efforts continue on schedule, with additional rigs set to join underground drilling as new drill positions become available later this year. Developments at both M5 South underground and M5 North open pit remain focal points.

What did West African Resources management say?

Executive Chairman and CEO Richard Hyde said:

WAF’s exploration teams have been very active over the last 6 months managing drilling programs at M5 South underground and beneath the M5 North open-pit.

Drilling to 400m below the M5 South underground resource has successfully extended the depth of mineralisation returning 28m at 6.1 g/t gold and 12m at 4.9 g/t gold.

Drilling 200 to 400m beneath the M5 North open-pit reserve has confirmed potential for WAF to extend open-pit mining at Sanbrado. Thick zones of gold mineralisation have been returned from the current drilling program including 45m at 0.9 g/t gold supporting the previously released 16m at 11.2 g/t gold.

WAF is aiming to incorporate an extension to the M5 South underground and M5 North open-pit in the upcoming Mineral Resource and Ore Reserve update and 10-year production outlook which is planned for release in Q2 2026. We strive to have a robust and sustainable future and to continue making a positive difference to our stakeholders in Burkina Faso.

What’s next for West African Resources?

The company is planning further drilling throughout 2026, with a focus on both resource infill and extension. The updated Mineral Resource and Ore Reserve estimates, along with a refreshed production outlook, are expected to incorporate these latest results and drive future mine development.

West African Resources aims to secure a longer mine life and steady production profile at Sanbrado, positioning the business for ongoing sustainability and potential growth in the region.

West African Resources share price snapshot

Over the past 12 months, West African Resources shares have risen 82%, significantly outperforming the S&P/ASX 200 Index (ASX: XJO) which was risen 3% over the same period.

View Original Announcement

The post West African Resources delivers major drilling results at Sanbrado appeared first on The Motley Fool Australia.

More reading

• Scentre Group announces February 2026 distribution
• Argo Investments reports record profit and dividend
• 2 ASX 200 shares that could be top buys for growth
• Challenger flags talks on Pepper Money acquisition
• CAR Group delivers strong H1 FY26 earnings and reaffirms outlook

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.

Recent market volatility has been very disappointing, but every cloud has a silver lining.

On this occasion, the silver lining is that many ASX growth shares are trading at a deep discount to what investors were willing to pay in 2025.

With that in mind, here are three ASX growth shares that analysts believe are buys with significant upside potential. Let’s see what they are recommending:

Aristocrat Leisure Ltd (ASX: ALL)

Aristocrat Leisure could be an ASX growth share to buy according to analysts at Bell Potter.

It is a gaming technology company with a leadership position covering poker machines, real money gaming, and mobile games.

The broker likes Aristocrat due to its belief that “ALL’s leading R&D investment will drive market share gains” over the medium term.

It recently put a buy rating and $80.00 price target on its shares. Based on its current share price, this implies potential upside of approximately 55% for investors.

NextDC Ltd (ASX: NXT)

The team at Morgans sees potential for NextDC shares to rise strongly from current levels.

It is one of the leading data centre-as-a-service providers in the Asia-Pacific region. From these centres, it delivers critical power, security, and connectivity for the global cloud platform, enterprise, and government markets.

Demand has been incredibly strong for capacity in its centres due to the shift to the cloud and the artificial intelligence boom. The good news is that Morgans thinks this trend can continue for some time to come.

The broker has a buy rating with a $19.00 price target. Based on its current share price, this implies potential upside of approximately 50% for investors between now and this time next year.

TechnologyOne Ltd (ASX: TNE)

A third ASX growth share that could deliver big returns for investors after recent market volatility is TechnologyOne.

It is a leader in the enterprise software space, providing mission-critical systems to governments, universities, and corporates.

The company’s shift to a software-as-a-service model has been a huge success, locking in sticky recurring revenue and improving profitability and earnings visibility. It has also underpinned consistently strong revenue and earnings growth, and management believes it can continue. It has stated its ambition of doubling in size every five years, which bodes well for shareholder returns over the remainder of the 2020s.

In the meantime, the team at UBS is positive on the tech stock. It currently has a buy rating and $38.70 price target on its shares. Based on its current share price, this implies potential upside of 75% for investors over the next 12 months.

The post These beaten down ASX growth shares could rise 50% to 75% appeared first on The Motley Fool Australia.

More reading

• 3 quality ASX shares to buy with $10,000
• Why these battered ASX shares deserve a second look
• Top brokers name 3 ASX shares to buy next week
• What the stronger Australian dollar means for your shares
• Brokers name 3 ASX shares to buy today

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

The owners of Zip Co Ltd (ASX: ZIP) shares have seen their investment dive 50% since October 2025, as the chart below shows. This could be a good time to consider the attractiveness of the business and look at interesting projections of dividend payments in the years ahead.

The buy now, pay later (BNPL) business has been caught up in the sell-off of ASX growth shares, which has been particularly painful for businesses in the technology sector.

But, the more a company is beaten up, the bigger the rebound can be if it regains investor confidence.

Let’s take a look at what’s expected of Zip shares when it comes to dividends.

FY26

Broker UBS recently noted some negatives that the business has faced over the last few months, which has caused share price volatile.

First, seven US state attorneys general launched an inquiry into BNPL.

President Trump also suggested there be a 10% interest rate cap on credit cards. But, the broker’s analysts think this could be a positive for BNPL as reduced credit availability could drive consumers to BNPL. However, if BNPL fees are treated as interest, then the effective interest rate would be around 24%. But, UBS’ US team think rate caps are unlikely to be implemented.

UBS said that, assuming rate caps are not implemented, it sees the fundamentals at Zip as “continuing to remain strong, presenting an attractive opportunity in the stock”.

The broker forecasts that Zip’s total transaction value (TTV) may have grown by 34% in the second quarter of 2025, with 46% growth in the US.

Zip’s net bad debt is projected to be 1.63% in the first half of FY26, up from 1.34% in the fourth quarter of FY25.

For the first half of FY26, UBS is projecting that the business could generate cash EBTDA of $128 million, with forecast active customers of 4.77 million in the US and 2.03 million in ANZ.

FY26 as a whole is expected to see $1.38 million of revenue and $118 million of net profit. However, no dividend is expected.

FY27

Owners of Zip shares are expected to see the net profit of the business climb substantially in the 2027 financial year to $167 million. But, still no dividend is projected.

FY28

Excitingly, the 2028 financial year could be the first year that shareholders see a dividend per share paid out, which would be its first passive income payment. The broker is forecasting that the business could make $220 million of net profit in this year.

UBS forecasts that the BNPL business could deliver an annual dividend per share of 9 cents. At the current Zip share price, that translates into a dividend yield of 3.8% at the current Zip share price. If it were fully franked, the grossed-up dividend yield would be 5.4%, including the franking credits.

FY29

Analysts are expecting the company’s net profit to continue climbing in FY29 to $274 million, which would be pleasing ongoing growth.

However, the company is projected to deliver another dividend of the same level of 9 cents per share, which would translate into the same dividend yields I calculated in FY28.

FY30

The BNPL business could have the best year of this series of projections in FY30, according to UBS’ forecasts.

The broker currently suggests that the business could pay an annual dividend per share of 20 cents. A lot could happen between now and then – UBS is forecasting the business could generate $350 million of net profit in FY30.

At the current Zip share price, that potential payout could be a cash dividend yield of 8.4%, or 12% grossed-up for franking credits.

UBS has a buy rating on the business, with a price target of $5.20, suggesting it could more than double within the next year.

The post Here’s the dividend forecast out to 2030 for Zip shares appeared first on The Motley Fool Australia.

More reading

• Forget this ASX 200 share and buy Telstra and Zip shares: Experts
• ASX 200 financials flew but tech and mining shares faltered last week
• I would invest $50,000 in these ASX 200 shares if I were aiming to beat the market in 2026
• How could I turn $500 a month into $50,000 with ASX shares?
• Forget Zip shares, I’d buy this fintech stock instead

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 Challenger Ltd (ASX: CGF) share price is in focus today after the company confirmed it’s in advanced talks to jointly acquire Pepper Money Ltd (ASX: PPM) alongside the Pepper Group. Challenger emphasised the potential acquisition would provide long-term access to fixed income assets and support its strategic growth plans.

What did Challenger report?

• Challenger confirmed discussions to potentially acquire up to 25% of Pepper Money Limited shares via a scheme of arrangement.
• No intention to raise common equity for the transaction; Challenger cites significant capital flexibility.
• The proposed deal is intended to be accretive to Challenger’s earnings per share if completed.
• Discussions remain incomplete, with no certainty that the transaction will proceed.

What else do investors need to know?

Challenger believes a stake in Pepper Money would give it valuable, ongoing access to fixed income assets. This aligns with Challenger’s strategy of supporting growth and generating strong returns for shareholders.

The company stresses its disciplined approach to capital allocation, reiterating there are no plans for a capital raising to fund the deal. Challenger’s management notes the offer remains subject to ongoing negotiations and market disclosure obligations.

What’s next for Challenger?

Looking ahead, Challenger says it will continue to update the market as talks with Pepper Group and Pepper Money progress. Any agreement reached is likely to be structured so that Challenger holds up to a 25% stake, supporting its earnings and growth strategy, without diluting shareholders.

Long term, Challenger sees strategic investments like this as a way to boost client offerings and enhance returns, but the company remains committed to a careful, measured approach.

Challenger share price snapshot

Over the past 12 months, Challenger shares have risen 46%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 3% over the same period.

View Original Announcement

The post Challenger flags talks on Pepper Money acquisition appeared first on The Motley Fool Australia.

More reading

• Scentre Group announces February 2026 distribution
• Argo Investments reports record profit and dividend
• 2 ASX 200 shares that could be top buys for growth
• West African Resources delivers major drilling results at Sanbrado
• CAR Group delivers strong H1 FY26 earnings and reaffirms outlook

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 recommended Challenger. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

The CAR Group Ltd (ASX: CAR) share price is in focus today after the company announced H1 FY26 results showing reported revenue up 8% to $626 million and net profit after tax rising 16% to $143 million.

What did CAR Group report?

• Reported revenue: $626m, up 8% on prior corresponding period (pcp)
• Reported EBITDA: $324m, up 11%
• Reported NPAT: $143m, up 16%
• EBITDA to operating cash flow conversion: 95%
• Interim dividend: 42.5 cents per share, up 10%, 30% franked
• Proforma results: Revenue up 13% (constant currency), EBITDA up 12%

What else do investors need to know?

CAR Group’s diversified business model helped drive growth across all key geographies, with double-digit increases in revenue and earnings. In Australia, carsales maintained strong market leadership, benefitting from high-quality user experiences, while newly launched payment products gained traction with over $268 million in vehicle transactions since launch.

Strong results in North America were fuelled by higher demand for premium dealer offerings, and Latin America delivered standout financial results led by webmotors’ expanded leadership and new products. In Asia, Encar grew strongly, launching Guarantee 2.0 and expanding premium services for dealers.

What did CAR Group management say?

Managing Director and CEO William Elliott said:

CAR Group has delivered a strong first half, achieving excellent financial results with double-digit growth across our key financial metrics. This is a great outcome and reflects the strength of the business model and the continued execution of our strategy.

Customer experience is our core focus and I am proud of our teams across the globe who continue to make buying and selling vehicles easier for consumers. Supported by our leading brands and our continued investment in AI, we are well positioned to enhance the vehicle buying and selling journey.

What’s next for CAR Group?

CAR Group reaffirmed its FY26 outlook, expecting proforma revenue growth of 12–14% and EBITDA growth of 10–13% in constant currency. The company anticipates continued strong performance across Australia, North America, Latin America and Asia, with each region poised for further yield and product penetration.

Strategic priorities include expanding AI-driven features, particularly via the new global CG/lab hub in Brazil, and growing consumer payments, premium dealer products, media, finance, and data offerings across all markets.

CAR Group share price snapshot

Over the past 12 months, CAR Group shares have declined 36%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 3% over the same period.

View Original Announcement

The post CAR Group delivers strong H1 FY26 earnings and reaffirms outlook appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Monday
• ASX 200 financials flew but tech and mining shares faltered last week
• Here’s the average Australian superannuation balance at age 45 in 2026
• What the stronger Australian dollar means for your shares
• Neuren Pharmaceuticals kicks off Phase 3 trial in rare syndrome

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 recommended CAR Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

The global stock market and the ASX share market are both experiencing significant volatility, particularly in the technology and wider ‘growth’ segments. It’s at times like this that ASX defensive shares may be viewed as attractive.

Large declines don’t happen without a reason. They are usually sparked because the market thinks the company’s future earnings power is being reduced.

In this case, it seems that many investors believe future earnings may not be as strong as previously expected.

In this case, there are heightened fears that artificial intelligence (AI) may be able to challenge existing business models, particularly ones that utilise technology to deliver their service.

So, in this circumstance, it could be an idea to look at ASX defensive shares.

Why ASX defensive shares could make sense right now

If fast-growing businesses aren’t expected to see as much profit generation, then perhaps it could be a good idea to look at names that could deliver reliable earnings. If profit can grow as expected, then this could help provide support for the share price and perhaps even enable a higher share price if investors are looking for a safe haven.

Additionally, some ASX defensive shares may be viewed as ideas for passive income. The stable earnings can also help provide stable and growing dividends from those sorts of businesses.

Which reliable businesses I’d look at

There are a few different areas of the market that I think could provide investors with underlying earnings stability over the long-term. Of course, there can be no guarantee share prices won’t be volatile in the short-term – that is just what happens with the share market occasionally.

Real estate investment trusts (REITs) are a good sector because of how they can generate resilient defensive rental income and pay distributions to investors. I’d invest in businesses like Centuria Industrial REIT (ASX: CIP), Charter Hall Long WALE REIT (ASX: CLW) and Rural Funds Group (ASX: RFF).

Businesses involved in providing essential services to their customers could be useful ASX defensive share buys. I’m thinking of names like Telstra Group Ltd (ASX: TLS), APA Group (ASX: APA) and Propel Funeral Partners Ltd (ASX: PFP).

Defensive food businesses could be smart buys – we all need to eat. I’m thinking of names like Coles Group Ltd (ASX: COL) and Rivco Australia Ltd (ASX: RIV).

Finally, diversified businesses with defensive cash flow generation could also be smart long-term choices, such as Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) and Wesfarmers Ltd (ASX: WES).

I think most, if not all, of the above businesses are capable of growing their earnings over the long-term, even if AI affects the tech sector.

The post Is this the right time to invest in ASX defensive shares? appeared first on The Motley Fool Australia.

More reading

• Experts name NAB and these ASX 200 shares as sells
• These buy-rated ASX dividend stocks offer 4% to 6% yields
• Forget this ASX 200 share and buy Telstra and Zip shares: Experts
• ASX 200 financials flew but tech and mining shares faltered last week
• How could I turn $500 a month into $50,000 with ASX shares?

Motley Fool contributor Tristan Harrison has positions in Propel Funeral Partners, Rural Funds Group, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Washington H. Soul Pattinson and Company Limited and Wesfarmers. The Motley Fool Australia has positions in and has recommended Apa Group, Rural Funds Group, Telstra Group, and Washington H. Soul Pattinson and Company Limited. 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.

Certain ASX-listed exchange-traded funds (ETFs) could be great buys today because of everything that’s happening in the global share market amid worries about how AI could impact various businesses.

How are we supposed to invest during times like this? Well, it could be a compelling idea to look at businesses that have been heavily sold off, and consider whether the decline has been overdone.

It may also be a smart idea to look at investments that are high-quality and can continue delivering good returns over time.

Betashares Global Quality Leaders ETF (ASX: QLTY)

This portfolio aims to give investors exposure to a portfolio of 150 global stocks.

For a business to be chosen for this portfolio, there are four elements that decide how high-quality it is.

First, there’s the return on equity (ROE) – how much profit it generates compared to how much shareholder money is retained within the business.

Second, the debt-to-capital ratio. Is the balance sheet healthy in terms of how much debt it has?

Third, does it have good cash flow generation ability? It’s important for profit to translate into money hitting the bank account.

Fourth, are earnings stable? If profit doesn’t typically fall, that’s good downside protection and a tailwind for capital gains.

These 150 businesses come from a variety of countries and sectors, giving the business diversification – it’s not just a tech fund.

Returns have been solid over the long-term – it returned an average of 13.8% per year between November 2018 and January 2026.

Global X S&P World Ex Australia GARP ETF (ASX: GARP)

This ASX ETF aims to give investors exposure to a high-quality portfolio of great businesses that are trading at great prices. GARP stands for growth at a reasonable price.

The portfolio has 250 names in it, which come from multiple countries and sectors, so this fund can also provide pleasing diversification.

There are multiple elements that go into deciding which businesses can make it into this portfolio.

For starters, potential businesses need to have a good level of growth. So, the 3-year sales per share and earnings per share (EPS) growth are considered.

They need to be trading at good value, so the ASX ETF looks at the earnings to price ratio, which is another way of evaluating the price/earnings (P/E) ratio.

Finally, the companies must be high-quality. So, the fund looks at the financial leverage (meaning debt levels) and return on equity of the businesses involved.

The GARP ETF has returned an average of 18% since inception in September 2024, so the strategy is working. But, past performance is not a guarantee of future performance. Even so, I’m optimistic about this ASX ETF’s future.

The post I think these 2 ASX ETFs are unmissable buys in this sell-off appeared first on The Motley Fool Australia.

More reading

• Want to invest in the best stocks in the world? Try these ASX ETFs
• 3 of the best ASX ETFs to buy in February with $3,000
• 2 excellent ASX ETFs I rate as buys in February
• 3 of the best ASX ETFs for Australian investors to buy now
• Where I’d invest $20,000 into ASX shares right now

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.