Commonwealth Bank of Australia (ASX: CBA) shares have long been a favourite with passive income investors.

And it is easy to see why. The banking giant generates billions of dollars in profit each year from mortgages, business lending, credit cards, deposits, and other financial services.

But rather than keeping all those profits inside the business, CBA returns a large portion to shareholders through dividends.

Better still, those dividends are fully franked, which can make them particularly attractive to Australian investors.

So, how much would you need to invest in CBA shares to generate $10,000 of passive income each year?

Let’s take a look.

CBA’s dividend outlook

The market is currently expecting the company to deliver earnings per share of $6.67 in FY 2027, followed by $6.86 in FY 2028.

These earnings are expected to support fully franked dividends of $5.15 per share in FY 2027 and $5.30 per share in FY 2028.

At the current CBA share price of $155.25. this represents dividend yields of approximately 3.3% and 3.4%, respectively.

Those are admittedly not the biggest yields available on the Australian share market, but they are no doubt attractive in the current environment.

How many CBA shares would I need?

Let’s use the FY 2027 dividend forecast of $5.15 per share.

To receive $10,000 in cash dividends, an investor would need approximately 1,942 CBA shares.

At the current share price of $155.25, buying that many CBA shares would set you back approximately $301,496.

The fully franked nature of those dividends is worth remembering as well. Assuming an investor can make full use of the franking credits, $10,000 of cash dividends would come with approximately $4,286 of franking credits.

That would give the income a grossed-up value of roughly $14,286 before personal tax. Not bad!

What about in FY 2028?

The numbers improve slightly if CBA’s dividend grows as expected.

Using the forecast FY 2028 dividend of $5.30 per share, an investor would need around 1,887 shares to generate $10,000 of annual cash income.

That would require an investment of approximately $292,957.

Of course, CBA’s share price will almost certainly be different by then and dividends are never guaranteed. But based on current forecasts, the numbers give us a good indication of the scale required.

All in all, for someone wanting $10,000 a year in passive income from CBA shares alone, they will need roughly $300,000 invested at current levels.

The post How much do I need to invest in CBA shares for $10,000 of passive income? appeared first on The Motley Fool Australia.

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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 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.

BHP Group Ltd (ASX: BHP) shares have had a stellar year.

As have the miner’s shareholders.

In Wednesday afternoon trade, shares in the S&P/ASX 200 Index (ASX: XJO) mining giant were changing hands for $64.13 apiece.

That sees the share price up 56.5% over 12 months, smashing the 1.0% gains posted by the benchmark index over this same period.

And if you’re wondering why that figure doesn’t match up with the headline number, that’s because we haven’t factored in the BHP dividends yet.

Over the last 12 months BHP has paid – or shortly will pay – two fully franked dividends totalling (a rounded) $2.42 a share. The stock traded ex-dividend last Thursday.

So, if we add that back into the recent share price, then the accumulated value of BHP shares has gained an impressive 62.4% since market close on 9 September 2025.

That remarkable run saw BHP retake the crown of biggest ASX stock from Commonwealth Bank of Australia (ASX: CBA) earlier this year.

At the recent share price, BHP has a market cap of around $327 billion.

But after that kind of strong run, is the Aussie mining giant still a good buy today?

Should I buy BHP shares today?

Gray Perry Wealth Advisers’ Blake Halligan recently ran his slide rule over the ASX miner (courtesy of The Bull).

“BHP remains a high-quality diversified miner with large, low-cost assets and increasing exposure to copper,” he said.

Commenting on BHP’s FY 2026 results, reported on 18 August, Halligan said:

The company’s fiscal year 2026 result was strong, with it generating attributable profit of $US9.8 billion, up 9 per cent on the prior corresponding period. Revenue of $US58.8 billion was up 15 per cent. Rising copper demand from electrification and data centres support the longer-term outlook, while iron ore operations remain highly competitive.

Explaining his hold recommendation on BHP shares, Halligan concluded, “Commodity-price sensitivity and project execution risks support retaining BHP rather than increasing exposure.”

One ASX 200 stock to buy now

While Hannigan issued a hold recommendation on BHP shares, he had a more bullish outlook on Seek Ltd (ASX: SEK).

“Seek operates a leading online employment marketplace, with a dominant position in Australia and established operations across Asia,” he said.

Summarising his buy recommendation on Seek shares, Halligan said:

Its scalable model, strong margins and international expansion provide attractive long-term growth potential. Despite softer job-ad volumes, fiscal year 2026 net revenue rose 10 per cent and EBITDA increased 15 per cent, demonstrating pricing power and operational resilience. We’re forecasting earnings to grow about 9.5 per cent annually in the next two years.

An improving return on equity and a healthy dividend further support the investment case.

The post Up 62% in a year are BHP shares now a buy, hold or sell? appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben 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.

On Wednesday, the S&P/ASX 200 Index (ASX: XJO) had a subdued session and dropped into the red. The benchmark index fell 0.1% to 8,911.4 points.

Will the market be able to bounce back from this on Thursday? Here are five things to watch:

ASX 200 expected to tumble

It looks set to be a poor session for Australian investors on Thursday following a tough night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 88 points or 1% lower this morning. In the United States, the Dow Jones fell 0.75%, the S&P 500 dropped 0.5%, and the Nasdaq was 0.65% lower.

ASX 200 shares going ex-dividend

A number of ASX 200 shares are going ex-dividend this morning and could trade lower. This includes appliance manufacturer Breville Group Ltd (ASX: BRG), fund manager Perpetual Ltd (ASX: PPT), copper producer Sandfire Resources Ltd (ASX: SFR), and telco Spark New Zealand Ltd (ASX: SPK).

Oil prices jump again

ASX 200 energy shares Woodside Energy Group Ltd (ASX: WDS) and Santos Ltd (ASX: STO) could have another positive session after oil prices jumped again overnight. According to Bloomberg, the WTI crude oil price is up 3.9% to US$96.67 a barrel and the Brent crude oil price is up 3.8% to US$101.67 a barrel. Traders bid oil prices to a four-month high after fighting escalated in the Persian Gulf.

Elders downgraded

Elders Ltd (ASX: ELD) shares are close to being fully valued according to analysts at Bell Potter. This morning, the broker downgraded the agribusiness company’s shares to a hold rating (from buy) with an improved price target of $6.70. It said: “Following the recent recovery in the share price we are moving our rating from Buy to Hold. Investments in Delta and SYSMOD are the largest drivers of near term growth, however, we see the large livestock tailwinds the agency business has benefited from the past two years facing more difficult comparisons moving forward.”

Gold price rises

It could be a decent day for ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) on Thursday after the gold price edged higher overnight. According to CNBC, the gold futures price is up 0.2% to US$4,447.2 an ounce. This was driven by a softening US dollar.

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

More reading

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Motley Fool contributor James Mickleboro has positions in Woodside Energy Group Ltd. 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 Elders. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.