Reliance Worldwide Corporation Ltd (ASX: RWC) shares are having another strong session on Wednesday.

The stock is up 4.39% to $4.52 at the time of writing after trading as high as $4.65 earlier this morning.

That’s a new 52-week high, taking Reliance shares up more than 23% over the past month and around 17% in 2026.

The latest rise comes after another major development in the company’s takeover talks.

But there could still be more to come over the next few weeks.

Let’s dive right in.

Brookfield locks in the deal

According to the release, Reliance has signed a scheme implementation deed with Brookfield.

Under the deal, Brookfield plans to acquire all Reliance shares for US$3.38 each in cash, or around $4.75 per share.

On an enterprise value basis, that values the company at roughly $4.1 billion.

Notably, Brookfield has had to increase its offer a few times to get here.

Its first approach came in at $4.15 per share, followed by offers of $4.25 and then $4.50.

Reliance then gave Brookfield access to non-public information while it carried out due diligence.

After several weeks of that process, Brookfield came back with the higher offer.

The Reliance board is now unanimously backing the deal, provided there is no better proposal and the independent expert gives it the tick.

Chair Russell Chenu said the board had “carefully assessed” the offer, including Reliance’s outlook, growth opportunities and cash generation.

Could another buyer still emerge?

Now, this is where things get a little more interesting.

Reliance has agreed to the Brookfield deal, but it still has the chance to see if someone else is willing to pay more.

The agreement includes a 30-day “go-shop” period, which runs until 15 October.

During that time, Reliance can approach other potential buyers, share due diligence information and negotiate another proposal.

AustralianSuper is also worth keeping an eye on.

According to The Australian, the super fund recently increased its stake in Reliance to 14.68%.

This means it could have a decent say in how things play out when shareholders eventually vote.

What happens next?

At $4.52, Reliance shares are still trading below the $4.75 value of Brookfield’s offer.

And there are a few reasons for that.

The deal still needs shareholder, court and regulatory approval, while completion isn’t expected until the first quarter of 2027.

The final value could also move around because the offer is being paid in US dollars.

So, clearly there’s still a few hurdles to get through.

The post Reliance shares surge to a 52-week high on $4.1 billion takeover deal appeared first on The Motley Fool Australia.

More reading

• Brookfield moves to acquire Reliance Worldwide Corporation at a 43% premium
• 10 ASX 200 shares downgraded by analysts this week
• Here are the top 10 ASX 200 shares today
• Reliance Worldwide FY26 profit falls but receives Brookfield takeover offer

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.

Netwealth Group Ltd (ASX: NWL) shares have had a difficult 12 months.

The wealth management platform company’s shares are down around 40% over that period and fell to a fresh 52-week low of $18.29 on Wednesday.

Here’s why I think the lower share price has created an opportunity for investors with this S&P/ASX 200 Index (ASX: XJO) share.

This ASX 200 share is still growing

The first thing I would look at is whether Netwealth’s weaker share price reflects a weaker business.

I do not think that is the case.

Netwealth finished FY26 with $135.7 billion of funds under administration, up more than 20% over the year. It also continued attracting strong net inflows and gaining market share.

That tells me financial advisers and their clients are still putting more money onto the platform.

As those assets grow, Netwealth has more opportunities to earn administration and investment-related revenue from the same expanding customer base.

I think that remains a strong long-term foundation.

AI has added a concern

Artificial intelligence (AI) has recently given investors something else to think about.

Anthropic launched Claude for Financial Advisors on 14 September, providing wealth managers with specialised data connectors and workflow tools. That followed OpenAI launching its own financial industry offering just days earlier.

I can understand why that has caused some concern.

If powerful AI tools can automate more of the research, administration, and client work carried out by financial advisers, investors may question how much value traditional wealth technology platforms can continue adding.

I think it is too early to assume AI will simply replace platforms such as Netwealth.

Financial advisers still need to administer client assets, meet regulatory requirements, execute investments, and keep large amounts of sensitive financial information organised. AI could change how that work is done, but I think established platforms can also use the technology themselves.

The latest acquisition makes more sense in that context

Netwealth’s acquisition announced this week is particularly interesting for that reason.

The company has agreed to buy Paradino, which operates an AI-enabled workflow and automation platform for financial advisers.

Its technology can assist with areas such as documents, meeting notes, client communications, and other administrative work.

The acquisition itself is not large enough to transform Netwealth overnight.

But I like what it says about the direction of the business.

Rather than watching AI develop from the sidelines, Netwealth is bringing more of that capability into its own adviser technology offering.

If AI can help advisers save time and manage more clients efficiently, I think it could ultimately strengthen the value of the wider Netwealth ecosystem rather than undermine it.

Why I would buy before sentiment improves

There are still risks.

Netwealth is investing heavily, margins could face some near-term pressure, and AI could reshape parts of the financial advice industry faster than expected.

But this ASX 200 share is still growing assets, attracting inflows, and investing in technology that could keep its platform relevant as adviser workflows change.

At $18.29, I think the 40% decline has created a much more attractive entry point.

Foolish takeaway

I would be comfortable buying Netwealth shares at current levels.

AI has added a new source of uncertainty, but I do not think it removes the need for wealth platforms or the long-term opportunity in financial advice technology.

If the ASX 200 share can combine its existing platform with better AI tools while continuing to attract client assets, I think today’s weaker sentiment could eventually look like a good buying opportunity.

The post Down 40%: Why I’d buy this ASX 200 share before sentiment improves appeared first on The Motley Fool Australia.

More reading

• Netwealth shares could be set to rise 60% in the next 12 months – Expert
• 5 things to watch on the ASX 200 on Wednesday
• Netwealth to acquire AI platform Paradino, boosting adviser automation
• ASX 200 bank shares led a financial sector rebound last week
• Where I’d invest $15,000 in ASX shares now

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

Wesfarmers vs Telstra shares: which dividend stock is better?

Looking to boost your passive income with ASX blue chips? Wesfarmers Ltd (ASX: WES) and Telstra Group Ltd (ASX: TLS) are two of the market’s giants. Each is a household name, popular with Australian investors for their steady dividends and defensive businesses. If you’re weighing up Wesfarmers vs Telstra shares for your dividend portfolio, here’s how the two compare in 2026.

The case for Wesfarmers

Wesfarmers is one of Australia’s oldest and largest companies. From its 1914 beginnings as a WA farmers’ cooperative, it’s grown into a diversified conglomerate spanning retail, office supplies, pharmaceuticals, and chemicals. Its subsidiaries include iconic names like Bunnings, Kmart, Officeworks, and Priceline. That means revenue is underpinned by everyday essentials, from hardware to health.

For fundamentals, Wesfarmers carries a hefty market cap of $82.64 billion, making it an ASX heavyweight. Its P/E ratio currently sits at 28.64, reflecting a market willing to pay a premium for its brand portfolio and reliability. The company’s dividend yield is 3.06%, fully franked, with a dividend per share of $2.22. Notably, Wesfarmers has a well-established record of regular, fully franked dividends extending back decades, including occasional special payouts. However, its shares are down -7.77% year to date as of mid-September 2026.

The case for Telstra

Telstra is Australia’s dominant telecommunications provider, with roots stretching back to the country’s telecommunications beginnings. Today, Telstra runs core infrastructure and consumer businesses including ServeCo, InfraCo Fixed, Amplitel and Telstra International, all part of a 2022 corporate restructure. The company not only serves millions of Aussies but also has a global presence in 20 countries.

Telstra clocks in with a market capitalisation of $53.91 billion—smaller than Wesfarmers but still a major player by any measure. Its P/E ratio is 24.27, which is noticeably cheaper than Wesfarmers on current earnings. For income investors, Telstra is offering a higher dividend yield: 4.35%, mostly franked (90%+ in recent years). Its dividend per share stands at $0.21 and, pleasingly, Telstra’s dividend growth has resumed after a long flat patch. Its shares are up a solid 3.49% year to date as of the latest data.

Valuation comparison

Here’s how the numbers stack up side by side:

Metric	Wesfarmers	Telstra
Market Cap	$82.64 billion	$53.91 billion
P/E Ratio	28.64	24.27
Dividend Yield	3.06% (100% franked)	4.35% (90% franked)
Dividend per Share	$2.22	$0.21
Year-to-date Return	-7.77%	+3.49%

Wesfarmers is bigger and arguably more diversified, but you’re paying a higher price for it, both in terms of P/E and a lower yield. Telstra, on the other hand, currently offers a much more generous dividend yield and is trading at a lower earnings multiple.

Recent share price performance

Share prices for both companies, as at mid-September 2026, tell an interesting story.

Wesfarmers shares have retreated from above $83 to $72.83 over the past three weeks. That translates to a loss of about 12% in less than a month. The broader 2026 year-to-date figure is also negative at -7.77%.

Telstra, by contrast, has been stable or slightly positive. In September, its price has hovered around the $4.70–$4.85 level, with occasional dips and rebounds. Telstra shares are up 3.49% for the year to date, showing relative resilience and steady investor support.

All prices and returns are as per the data provided, current to 15 September 2026.

Which is the better buy?

If I’m choosing for dividend income right now, my pick would be Telstra. The numbers are pretty clear: Telstra’s dividend yield of 4.35% is comfortably ahead of Wesfarmers’ 3.06%, and while franking isn’t quite 100%, it’s still generous for most Australian shareholders. Add to that its lower P/E ratio, indicating better value, and its positive share price momentum so far in 2026.

Wesfarmers is a quality blue-chip and has one of the best dividend records on the ASX, but you’re currently paying a premium for its diversification and brand power. The lower yield and negative short-term return make it less attractive for pure income seekers. For yield-focused investors looking for relatively defensive income in 2026, I think Telstra is the more appealing buy out of the two right now.

The post Wesfarmers vs Telstra: Which ASX dividend stock comes out on top? appeared first on The Motley Fool Australia.

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• Buy, hold, sell: Domino’s Pizza, Telix Pharmaceuticals, Westfarmers shares

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 positions in and has recommended Wesfarmers. The Motley Fool Australia has positions in and has recommended Telstra Group. 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. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial draft. 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.