The Fortescue Ltd (ASX: FMG) share price has risen close to 50% since the low point of June 2025, as the chart below shows. The business recently reported its FY26 second-quarter production update, so this is a good time to consider whether the business is a buy.

The ASX mining share told investors that its total shipments of 50.5 million tonnes (mt) in the second quarter of FY26 led to shipments of 100.2mt in the first half of FY26.

Fortescue said that its average revenue was US$93 per dry metric tonne (dmt) of hematite (iron ore) in the second quarter, while the production costs (C1 unit cost) were US$19.1 per wet metric tonne (wmt) in the quarter.

Was this a strong update?

The broker UBS said that Fortescue’s quarterly update was solid, with record iron ore shipments and strong realised prices for its iron ore. However, production costs rose more than expected because of “mine plan/strip ratio [waste material], and timing of production vs sales, but this is expected to reverse” in the second quarter, according to UBS.

The broker noted that Iron Bridge’s ramp-up is progressing, with the three months to December showing more than 1mt of production.

After seeing the update, UBS decided to change its earnings estimates for the next few financial years. The FY26 earnings per share (EPS) forecast was reduced by 1%, the FY27 EPS forecast was increased by 2% and the FY28 EPS projection was hiked by 3%.

Is the Fortescue share price a buy?

UBS said that in terms of the outlook, the iron ore price continues to surprise, but with port stocks supposedly at three-year highs, the Simandou project in Africa ramping up and the muted growth of the Chinese economy, it appears that risks are “tilted to [the] downside”.

The broker thinks that the Iron Bridge ramping up production and stabilising the strip ratio/cost will be important operations.

UBS also suggested that decarbonisation and emergent tailwinds will help lower production costs over the next year or two.  

The broker forecasts that Fortescue could generate US$4 billion of net profit and US$1.31 of earnings per share (EPS) in FY26 and pay an annual dividend of A$1.27 per share.

UBS has a neutral rating on Fortescue shares with a price target of $20.

I think it’s great to see that Fortescue’s earnings can rise in the 2026 financial year, along with a solid dividend. But, I don’t think this is the best time to invest. I’d prefer to buy when the conditions are weak with iron ore (which would likely mean a lower and more attractive Fortescue share price).

The post Is the Fortescue share price a buy right now? appeared first on The Motley Fool Australia.

More reading

• Why this ASX iron ore stock could outperform BHP and Fortescue shares
• Why Fortescue, Generation Development, Northern Star, and Pantoro shares are falling today
• Fortescue shares tumble as cost increase disappoints
• Fortescue: Record iron ore shipments and strong cash flow in H1 FY26
• ASX 200 materials was the best sector of 2025 but it’s time to sell these 3 shares: broker

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.

Gold has surged through the psychologically important US$5,000 per ounce level for the first time in history. The move marks a major milestone in what has already been a powerful rally for the precious metal.

Gold is now up more than 17% over the past month as investors seek safe-haven assets amid rising geopolitical and economic uncertainty.

At the time of writing, spot gold is trading at US$5,074 an ounce after accelerating sharply in recent sessions. While some profit-taking is possible after such a strong run, many analysts believe the underlying forces supporting the rally remain firmly in place.

Why has gold surged past $5,000?

One of the key catalysts has been a renewed flight to safety. Escalating geopolitical tensions, including friction between major global powers and ongoing conflict risks, have unsettled markets and boosted demand for defensive assets.

Central bank demand is another major pillar supporting prices. Over the past few years, central banks have been consistently increasing their gold reserves as part of a broader diversification strategy away from the US dollar.

Interest rate expectations are also playing a crucial role. Markets are increasingly pricing in the possibility of interest rate cuts later this year. Lower rates reduce the opportunity cost of holding non-yielding assets like gold, making bullion more attractive relative to cash and bonds.

On top of that, major investment banks have turned increasingly bullish. Goldman Sachs recently lifted its 2026 gold price target to US$5,400 an ounce, citing strong official sector buying and rising private investment demand. Bank of America has gone even further, suggesting gold could reach US$6,000 by spring 2026 if current trends persist.

What does this mean for ASX gold stocks?

The breakout above US$5,000 has put gold miners firmly back in focus on the ASX. Higher gold prices generally translate into stronger margins and cash flows, particularly for producers with disciplined cost structures.

Northern Star Resources Ltd (ASX: NST) remains one of the most closely watched names in the sector. While the company has faced recent operational challenges and higher costs, the stronger gold price provides an important buffer and improves earnings potential over time.

Evolution Mining Ltd (ASX: EVN) has also benefited from the rally. The miner has focused on balance sheet strength and cost control, positioning it well to take advantage of sustained higher bullion prices. Investor sentiment has improved as margins expand and cash generation strengthens.

That said, not all gold stocks will move in line with the commodity. Operational execution, production consistency, and cost management remain critical, even in a strong gold price environment.

Foolish bottom line

Gold moving above US$5,000 shows how strongly investors are responding to current risks. It reflects a powerful mix of geopolitical risk, central bank buying, and shifting interest rate expectations that could support prices through 2026.

The post Gold has smashed through $5,000. Why analysts think the rally may still have further to run appeared first on The Motley Fool Australia.

More reading

• ASX Sectors to target and avoid in 2026: Expert
• 5 things to watch on the ASX 200 on Tuesday
• Experts call time on these rip-snorting ASX 200 mining shares
• Here are the top 10 ASX 200 shares today
• Why Life360, Northern Star, Objective Corp, and Rox shares are charging higher today

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.

A new report from Canaccord Genuity/Wilsons Advisory has shed light on the ASX sectors to target and avoid this year. 

The 2026 Market Outlook report said S&P/ASX 200 Index (ASX: XJO) returns are somewhat constrained by the risk of RBA rate hikes. 

This is in addition to elevated valuations, with the index trading on a forward P/E of 18.2x – ~1 standard deviation above its five-year average.

Here were key sectors tipped to outperform and underperform in 2026. 

Remain overweight resources

According to the report, after a multi-year downturn, market sentiment towards the resources sector has improved materially over the past six months. This has been underpinned by broad-based strength in commodity prices. 

Greg Burke, Equity Strategist in the Investment Strategy team at Wilsons Advisory said the he sees scope for a continued metal pricing upgrade cycle. This is alongside a sustained rotation into the resources sector in 2026. 

This is for several key reasons: 

• While macro and geopolitical risks persist, generally positive ‘big picture’ macro trends support expectations of moderate global economic growth and further interest rate cuts from major central banks. 
• Expected USD depreciation relative to the AUD over the course of 2026, driven by a widening US-AU interest rate differential, alongside structural concerns over the US government’s fiscal position.
• Energy transition, re-armament, supply chain onshoring, and AI, driving an uplift in demand for a range of ‘future facing’ metals and minerals.
• Gold and Silver prices to remain supported by safe-haven buying amidst ongoing geopolitical risks. 
• Several key commodities – including Copper, Aluminium and Lithium – face increasingly tight supply/demand balances in 2026.  This should provide support to underlying commodity prices.

Consequently, we remain positive towards the resources sector and continue to advocate for an overweight exposure. Among the major commodities.

According to the report, the preferred exposures across base metals include:

• Sandfire Resources Ltd (ASX: SFR)
• Capstone Copper Corp (ASX: CSC). 

Within precious metals, the report said it remains positive towards:

• Evolution Mining Ltd (ASX: EVN)
• Northern Star Resources Ltd (ASX: NST). 

Canaccord Genuity Group remains cautious towards Iron Ore given expectations of widening oversupply in 2026. 

It does see value in BHP Group Ltd (ASX: BHP) as the lowest cost producer with significant copper exposure. It noted at spot prices BHP would generate more EBITDA from Copper than Iron Ore in FY26e.

Retain exposure to ‘AI Winners’

The report indicated that the AI revolution is a genuine megatrend that is closer to early than late cycle. 

However it did identify the risk of some ‘AI impatience.’

This comes as investors scrutinise the return on capital from the acceleration in Big Tech AI CAPEX in recent years.

The next wave of AI winners is likely to emerge through the adoption and implementation of AI within companies’ operations to improve productivity, alongside the embedding of AI into product suites to enhance functionality, strengthen customer value propositions and expand addressable markets. 

On the ASX, this opportunity is most evident among the major software providers.

The report listed Xero Ltd (ASX: XRO) and Technology One Ltd (ASX: TNE) as AI winners. 

Remain underweight banks

The report said investor interest in the banks is expected to fade. 

Accordingly, we continue to advocate an underweight portfolio exposure to the sector. We expect CommBank’s market leadership to erode over 2026.

Canaccord Genuity prefers ANZ Group Holdings Ltd (ASX: ANZ) and Westpac Banking Corp (ASX: WBC) out of the big four banks. 

According to the report, both have reasonable valuation support, benefit from sector-leading capital positions, and offer the most consensus earnings upside from internal ‘self-help’ initiatives such as technology upgrades, process simplification, and cost-out programs.

The post ASX Sectors to target and avoid in 2026: Expert appeared first on The Motley Fool Australia.

More reading

• Gold has smashed through $5,000. Why analysts think the rally may still have further to run
• 5 things to watch on the ASX 200 on Tuesday
• One ASX 200 giant to buy, one to hold, and one to sell
• Top brokers name 3 ASX shares to buy next week
• Which one of these popular ASX copper stocks is the smarter buy?

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

On Friday, the S&P/ASX 200 Index (ASX: XJO) ended the week with a small gain. The benchmark index rose 0.1% to 8,860.1 points.

Will the market be able to build on this on Tuesday? Here are five things to watch:

ASX 200 expected to jump

The Australian share market looks set to rise on Tuesday following a strong start to the week in the United States. According to the latest SPI futures, the ASX 200 is poised to open the day 61 points or 0.7% higher. In late trade on Wall Street, the Dow Jones is up 0.7%, the S&P 500 is up 0.7%, and the Nasdaq is also up 0.7%.

Oil prices fall

It could be a subdued session for ASX 200 energy shares Karoon Energy Ltd (ASX: KAR) and Santos Ltd (ASX: STO) after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 0.8% to US$60.61 a barrel and the Brent crude oil price is down 0.5% to US$65.55 a barrel. This follows a strong gain a day earlier amid output disruptions in U.S. crude-producing regions and tensions between the U.S. and Iran.

BHP and Rio Tinto on watch

BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO) shares could have a good session on Tuesday after their London-listed shares charged higher overnight. Both miners finished the session almost 2% higher on the London stock exchange in response to rising commodity prices. At the end of last week, copper rose above US$13,000 on supply worries.

Gold price reaches US$5,000

ASX 200 gold shares including Evolution Mining Ltd (ASX: EVN) and Ramelius Resources Ltd (ASX: RMS) could have a good session on Tuesday after the gold price rose again overnight. According to CNBC, the gold futures price is up 1% to US$5,029 an ounce. This was driven by safe haven demand.

Hold Pantoro shares

Pantoro Gold Ltd (ASX: PNR) shares are fully valued according to analysts at Bell Potter. This morning, the broker has retained its hold rating on the gold miner’s shares with an improved price target of $6.05. Bell Potter has concerns that Pantoro could fall short of its guidance. It said: “Heading into 2HFY26, pressure remains on guidance, which sits well outside both production and cost run-rates despite the improved December quarter performance. PNR had previously stated it was running ahead of planned production through the start of the December quarter, so the production miss has been a disappointment to the market.”

The post 5 things to watch on the ASX 200 on Tuesday appeared first on The Motley Fool Australia.

More reading

• Gold has smashed through $5,000. Why analysts think the rally may still have further to run
• ASX Sectors to target and avoid in 2026: Expert
• Morgans updates ratings on Pantoro Gold and Generation Development shares
• One ASX 200 giant to buy, one to hold, and one to sell
• Up 48% from its 2025 low. Here’s why the Rio Tinto share price could soar again this year

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

It’s fair to say that Australian and global equities look expensive right now. 

The S&P/ASX 200 Index (ASX: XJO) and the S&P 500 Index (SP: .INX) are trading close to all-time highs. 

This can make it feel difficult to identify individual stocks that are undervalued. 

When that’s the case, it can be a good opportunity to turn to income investing. 

Dividend or income investing focuses on owning assets that pay regular cash (like dividends). This means your returns don’t rely entirely on rising share prices. 

When equities look expensive, this strategy is attractive because income provides a steady return and downside cushion. This allows you to stay invested and get paid while waiting for better valuation-driven opportunities.

Here are 3 ASX ETFs income focussed investors might consider. 

Global X S&P/ASX 200 High Dividend ETF (ASX: ZYAU)

This ASX ETF invests in 50 high-dividend stocks from the S&P/ASX 200 Index.

This fund is designed to focus on forward-looking positive dividend yields while ensuring it does not deviate too much from the benchmark in terms of sector weights. 

To achieve this, Global X applies a momentum filter. The filter removes stocks experiencing sharp price falls, helping to reduce the risk of being exposed to dividend traps.

According to a recent report from Global X, the fund is a purely income-focused strategy with limited capital gain upside, making it well-suited to sideways or falling markets while helping investors supplement portfolio returns in a challenging environment.

The ASX ETF provider said it currently has a trailing annual distribution income of ~10% p.a., made up of dividends, franking credits, and options premium yield, and is currently the only index-based Australian share covered call ETF on the market.

Betashares S&P Australian Shares High Yield Etf (ASX: HYLD)

This fund aims to track the performance of an index (before fees and expenses) that provides exposure to a share portfolio of 50 high-yielding Australian companies.

It currently offers a dividend yield of approximately 4.5%. 

According to Betashares, it seeks to improve on traditional high-dividend strategies by aiming to screen out potential ‘dividend traps’ such as companies projected to pay unsustainably high dividend yields, as well as companies that exhibit high levels of volatility relative to their forecast dividend payout.

It includes a similar portfolio to the Global X fund above, with an exposure to some of Australia’s largest banking and mining companies. 

Russell Investments High Dividend Australian Shares ETF (ASX: RDV)

Another strong income ETF to consider is the Russell High Dividend Australian Shares ETF. 

This fund aims to track the Russell Australia High Dividend Index, which comprises Australian blue-chip companies with a bias towards those that have a high expected dividend yield. 

It combines this with companies that meet other characteristics including: 

• a history of paying dividends
• dividend growth
• consistent earnings.

It has a yield of just over 4.5%. 

The post 3 high yield ASX ETFs perfect for income investors appeared first on The Motley Fool Australia.

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• These ASX ETFs could be top passive income picks
• Own MNRS or ARMR ETFs? Here’s why it’s a big day for you
• Own DTEC or SEMI ETFs? Here’s why it’s a big day for you
• A monthly income ETF I like more than BHP shares
• Global X announces dividends for DTEC, WIRE and other ASX ETFs

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.

ASX 200 companies have begun releasing quarterly and half-yearly updates ahead of the official reporting season next month.

Among them last week were Pantoro Gold Ltd (ASX: PNR) and Generation Development Group Ltd (ASX: GDG).

Morgans took at a look at their reports and updated their ratings and 12-month share price targets on these ASX 200 shares.

Let’s take a look.

Broker recommends trimming Pantoro Gold shareholdings

ASX 200 gold miner Pantoro Gold released its quarterly production update last week.

Pantoro Gold reported 22,071 ounces of gold production during the December quarter.

Pantoro sold 22,473 ounces at an average realised price of A$6,077 per ounce and an all-in-sustaining-cost (AISC) of A$2,571 per ounce.

The gold miner reported earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $83.6 million for the three months.

Morgans said a 12% quarterly increase in production was not enough to inspire confidence that Pantoro would meet its FY26 guidance.

Pantoro said it expects production to improve and finish the year at the lower end of the guidance range of 100,000 to 110,000 ounces.

Morgans is sceptical, commenting:

On a half yearly basis, PNR have only delivered 39.6% of ounces using the guidance midpoint of 105koz, despite this guidance being reiterated, although is expected to be at the lower end.

We update our model for the result and reiterate our TRIM rating, price target A$5.00ps (previously A$5.02ps).

Amid a 65% rally in the gold price last year, Pantoro Gold was the best performing ASX 200 mining share for growth, rising 220% in 2025.

The Pantoro Gold share price closed at $5.40, up 4.85% on Friday.

Buy rating maintained on ASX 200 financial share

Generation Development Group also released its December quarter results last week.

Generation Development Group is a market leader in retirement and investment solutions, including bonds.

The company posted a record December quarter with total funds under management (FUM) up 36% year-over-year to $34.5 billion.

Morgans appreciated the record investment bond sales but noted that Evidentia FUM came in 2% below Visible Alpha consensus.

The broker said:

In our view, the IB performance made this a positive quarterly result overall, albeit the market clearly wants to see Evidentia FUM growth gain traction.

We lift our GDG FY26F/FY27F EPS by 1%-2% with increases in our IB sales and FUM growth targets offsetting slight downgrades to our Evidentia FUM growth levels.

Morgans lifted its price target on Generation Development shares slightly from $7.95 to $7.97.

The broker added:

We think GDG has a great story, and management has executed well over time.

With the stock trading at a >20% discount to our target price, we maintain our Buy recommendation.

Generation Development Group shares experienced the best capital growth of ASX 200 financial shares in 2025, rising 66%.

The Generation Development Group share price closed at $5.52, down 2.3%, on Friday.

The post Morgans updates ratings on Pantoro Gold and Generation Development shares appeared first on The Motley Fool Australia.

More reading

• ASX gold shares go crazy as gold price rips toward US$5,000 on Friday
• Two ASX 200 stocks to buy after crashing 6-9% yesterday
• Why Fortescue, Generation Development, Northern Star, and Pantoro shares are falling today
• Pantoro shares plunge 10% today. What just happened?
• Generation Development Group posts record December quarter earnings and inflows

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 no position in any of the stocks mentioned. The Motley Fool Australia has recommended Generation Development Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Getting started with investing can be difficult. New investors are often faced with thousands of shares, endless opinions, and the fear of making an early mistake that puts them off investing altogether.

That is why many people look for a reminder that investing does not need to be complicated to be effective.

For a lot of beginners, ASX exchange traded funds (ETFs) are a sensible place to start.

They reduce the pressure of stock picking

One of the biggest hurdles for new investors is stock selection. Choosing a single ASX share means deciding which business will outperform, which management team will execute best, and which industry will hold up over time.

That is a lot to ask when you are still learning how markets work.

ETFs remove much of that pressure by spreading your investment across many shares at once. Instead of betting on one outcome, you gain exposure to a broad group of businesses, which can make the experience far less stressful in the early stages.

Diversification

Diversification is one of the most important concepts in investing, but it is also one of the hardest to achieve with a small amount of money.

Buying a single ASX share, or even a handful of shares, can leave a portfolio heavily exposed to one sector or theme. ETFs solve this problem by offering instant diversification across industries, regions, or investment styles.

For new investors, this means fewer portfolio swings tied to one ASX share and a smoother introduction to how markets move over time.

ASX ETFs are simple to understand and manage

Complex strategies can make investing harder than it needs to be.

Most ASX ETFs have a clear purpose. Some track the broader market like the Betashares Nasdaq 100 ETF (ASX: NDQ), others focus on global shares like the Vanguard MSCI Index International Shares ETF (ASX: VGS), income, or specific themes. This transparency arguably makes it easier for beginners to understand what they own and why they own it.

And because ETFs trade like shares on the ASX, they are also easy to buy, hold, and track, without needing specialist knowledge or constant decision-making.

They can grow with you as an investor

Starting with ETFs does not mean you have to stick with them forever.

Many investors begin with ETFs to build confidence and understanding, then gradually add individual ASX shares as their knowledge grows. Others continue using ETFs as the core of their portfolio while selectively adding other investments around them.

Either way, ETFs provide a flexible foundation that can adapt as goals and experience change.

Foolish takeaway

Everyone has to start somewhere. ASX ETFs offer new investors a simple, diversified, and low-stress way to begin investing. By reducing the need for stock picking, encouraging long-term thinking, and making diversification accessible, they can help beginners focus on building good habits rather than chasing quick wins.

The post Why ASX ETFs are a good place to start for beginner investors appeared first on The Motley Fool Australia.

More reading

• How to make $24,000 in passive income a year
• 5 ASX ETFs for genuine global exposure
• If a 25-year-old invests $1,250 a month in ASX stocks, here’s what they could have by retirement
• Why I think beginners would love these Vanguard ETFs
• IVV, VGS, VAS: Which ASX ETF produced the better returns in 2025?

Motley Fool contributor James Mickleboro has positions in BetaShares Nasdaq 100 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended 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 Australian share market is home to a number of ASX growth stocks that could be destined to grow materially over the next five years.

But which ones could be buys right now? Here are five that analysts currently rate as buys:

Lovisa Holdings Ltd (ASX: LOV)

The first ASX growth stock that could be a buy is Lovisa. Lovisa has built one of the most repeatable growth models on the ASX. Its fast-fashion jewellery concept translates well across markets, allowing the company to roll out new stores using a proven format supported by centralised sourcing and disciplined inventory management.

While the company now has over 1,000 stores globally, with many markets still underpenetrated, it still has a significant expansion opportunity. So, if Lovisa continues executing its rollout strategy as it has to date, the business could be significantly larger in five years without needing to change its playbook.

Morgans is bullish and has a buy rating and $40.00 price target on its shares.

NextDC Ltd (ASX: NXT)

Another ASX growth stock that could be a buy according to analysts is NextDC. It operates behind the scenes of the digital economy, providing data centre infrastructure that supports cloud computing, artificial intelligence, enterprise IT, and increasingly data-intensive workloads. Demand for this infrastructure is driven by long-term digitisation trends rather than short-term economic conditions.

Looking five years ahead, the volume of data being created and processed is likely to be far higher than it is today. If NextDC continues expanding capacity in line with demand, the scale of the business could look very different by the end of the decade.

UBS is bullish on its outlook and has a buy rating and $21.85 price target on its shares.

Temple & Webster Group Ltd (ASX: TPW)

A final ASX growth share to consider is Temple & Webster.

As an online-only furniture and homewares retailer, Temple & Webster benefits from the gradual shift of consumer spending toward ecommerce. Australian furniture remains a category with relatively low online penetration compared to other western markets. This suggests that there’s still plenty of structural growth ahead.

The company’s asset-light model allows it to scale without the costs associated with physical stores or large inventories. As volumes grow, improvements in logistics, supplier relationships, and brand awareness can drive operating leverage.

Over a five-year timeframe, even steady gains in online adoption could see Temple & Webster operating at a much larger scale than it does today.

Bell Potter currently has a buy rating and $19.50 price target on its shares.

The post Why these ASX growth stocks could be much bigger in 5 years appeared first on The Motley Fool Australia.

More reading

• If a 25-year-old invests $1,250 a month in ASX stocks, here’s what they could have by retirement
• Here are the top 10 ASX 200 shares today
• Looking for double-digit returns? Check out RBC Capital Markets’ picks ahead of reporting season
• As reporting season looms, where will the market head next and what should you be buying?
• How to turn ASX dividends into long-term wealth

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

There are plenty of giants to choose from on the ASX 200 index, but which ones could be buys, holds, or sells?

Let’s take a look at three that analysts have just given their verdicts on, courtesy of The Bull. Here’s what they are saying about them:

ANZ Group Holdings Ltd (ASX: ANZ)

The team at Sanlam Private Wealth thinks that investors should be selling big four bank ANZ.

It notes that the ASX 200 giant’s shares have rebounded strongly since the release of its 2030 strategy. It feels this leaves ANZ’s shares trading at a premium with no guarantee that its strategy will be a success. It said:

Investors responded positively after the bank unveiled its 2030 strategy in late 2025. The shares rose from $32.67 on September 24, 2025 to close at $38.85 on November 12. Given ANZ was the cheapest major bank in the sector with the highest yield, the bounce was understandable. The shares were trading at $36.34 on January 22, 2026.

The 2030 strategy included ceasing the $800 million share buy-back and accelerating delivery of the ANZ Plus digital front end to all retail and business customers. Reducing duplication and simplifying the bank is part of the plan. We believe ANZ is trading at a premium given the early stages of an ambitious strategy. We would be inclined to lock in some profits at these levels.

BHP Group Ltd (ASX: BHP)

One ASX 200 giant that Sanlam Private Wealth is positive on is BHP. It has named the Big Australian as a buy this week.

The private wealth company thinks that BHP is well-placed to benefit from probable US interest rate cuts in 2026. It explains:

The resources upgrade cycle continues to unfold as global growth conditions strengthen into 2026. Expected US interest rate cuts should stimulate global growth and put downward pressure on the US dollar. Commodity markets are already tight in terms of adequate supply, and this is already pushing mining stocks higher. This is a global theme. BHP fits the bill as global investors are drawn to earnings upgrades driving share price gains. Also, investors are exposed to a currency gain if the Australian dollar strengthens during 2026.

Macquarie Group Ltd (ASX: MQG)

Finally, over at Red Leaf Securities, its analysts have put a hold rating on this investment bank’s shares.

It believes Macquarie is lacking any near term catalysts to justify buying its shares at current levels. Instead, Red Leaf thinks investors should wait for a more attractive entry point. It explains:

Macquarie continues to deliver strong diversified earnings across banking, asset management and commodities, but most of its quality is reflected in recent share prices. The balance sheet is robust and capital management is disciplined. But cyclical exposures, particularly in capital markets and commodity-linked divisions, leave limited upside in the near term, in our view.

For existing shareholders, Macquarie remains a high quality core holding, offering attractive dividends and resilient earnings through cycles. However, we can’t immediately identify any catalysts justifying aggressive accumulation. Maintaining positions while awaiting potentially more attractive entry points is the prudent strategy.

The post One ASX 200 giant to buy, one to hold, and one to sell appeared first on The Motley Fool Australia.

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• 5 fantastic ASX shares to buy for an SMSF
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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 Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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:

• Domino’s Pizza Enterprises Ltd (ASX: DMP) has become the most shorted ASX share with short interest of 17.3%. Though, this is down slightly week on week. Short sellers appear to be doubting that this pizza chain operator’s turnaround strategy will be a success.
• Boss Energy Ltd (ASX: BOE) has seen its short interest reduce materially to 16.3%. This uranium producer’s shares have rallied strongly since the start of the year amid optimism over uranium demand and prices.
• Guzman Y Gomez Ltd (ASX: GYG) has short interest of 13.8%, which is up week on week. This taco and burrito seller’s performance has been softer than expected, especially in the United States.
• Treasury Wine Estates Ltd (ASX: TWE) has seen its short interest jump to 13%. This wine giant is facing distributor uncertainty in the United States and unfavourable consumer trends.
• IDP Education Ltd (ASX: IEL) has 12.3% of its shares held short, which is up week on week. Student visa changes in key markets are negatively impacting the company’s performance and outlook.
• Paladin Energy Ltd (ASX: PDN) has short interest of 11.9%, which is down week on week again. This uranium producer’s shares hit a 52-week high last week, much to the dismay of short sellers.
• Polynovo Ltd (ASX: PNV) has short interest of 11.7%, which is up since last week. This may be due to concerns over this medical device company’s valuation.
• Telix Pharmaceuticals Ltd (ASX: TLX) has short interest of 11.3%, which is flat week on week. Short sellers may believe that this radiopharmaceuticals company could struggle with its FDA approvals and increased regulatory scrutiny.
• Flight Centre Travel Group Ltd (ASX: FLT) is back in the top ten with short interest of 11.1%. This may be due to concerns over the travel agent’s revenue margin outlook.
• PWR Holdings Ltd (ASX: PWH) has short interest of 10.7%, which is down week on week again. Short sellers have been closing positions after this advanced cooling products and solutions provider’s shares jumped to a 52-week high thanks to a defence contract win.

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

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Motley Fool contributor James Mickleboro has positions in Domino’s Pizza Enterprises and Treasury Wine Estates. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Domino’s Pizza Enterprises, PWR Holdings, PolyNovo, Telix Pharmaceuticals, and Treasury Wine Estates. The Motley Fool Australia has positions in and has recommended PWR Holdings and Treasury Wine Estates. 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.