The Meridian Energy Ltd (ASX: MEZ) share price is in focus after the company reported national hydro storage rising to 155% of average and total August generation up 21.1% on last year.

What did Meridian Energy report?

• National hydro storage at 155% of historical average by 7 September 2026 (from 128% a month prior)
• South Island storage reached 178% of average; North Island storage fell to 79% of average
• August 2026 generation was 1,432 GWh, up 21.1% year on year
• Meridian’s August inflows were 145% of average, supported by wet conditions in the South Island
• Retail sales volumes in August dropped 4.7% compared to the same month last year
• Average generation price received fell 62.3% year on year in August

What else do investors need to know?

August saw record peak electricity demand in New Zealand, with Meridian and its peers supporting the grid through strong renewable generation and battery systems. Despite the headline drop in retail volumes, large business segment sales climbed by 5.1% compared to August 2025.

The company’s hydro catchments remain healthy, with Waitaki storage at 161% of historical levels and Waiau at 172% by month’s end. El Niño conditions are strengthening, which may mean drier conditions overall, but could also bring extra rainfall to the hydro catchments.

What did Meridian Energy management say?

Chief Executive Mike Roan said:

We and the sector comfortably met that demand peak in early August, through high renewable generation and the system benefits of North Island batteries. It was another sign of a system that’s performing extremely well.

El Niño conditions continued to strengthen through August, and are building further, supporting Meridian’s high winter-end storage levels. While El Niño may bring dry conditions, particularly in eastern regions, it can also bring increased rainfall to our hydro catchments, so we’re optimistic of maintaining strong hydro storage through the summer.

What’s next for Meridian Energy?

Looking ahead, Meridian expects its high hydro storage to provide flexibility heading into summer, even as El Niño weather patterns develop. The company continues to monitor regional rainfall closely while keeping an eye on electricity demand and market pricing.

Ongoing investments in hydro and wind capacity, as well as battery infrastructure, should help Meridian stay resilient and adaptable in New Zealand’s changing energy landscape.

Meridian Energy share price snapshot

Over the past 12 months, Meridian Energy shares have declined 14%, trailing the S&P/ASX 200 Index (ASX: XJO), which has declined 1% over the same period.

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The post Meridian Energy reports record hydro storage and August generation growth appeared first on The Motley Fool Australia.

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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.

National Australia Bank Ltd (ASX: NAB) shares may be a compelling pick for dividends for the foreseeable future.

Banks can be useful for passive income because they often offer a generous dividend payout ratio and trade at a relatively low price-to-earnings (P/E) ratio compared to other sectors.

NAB’s dividend yield is typically materially higher than that of Commonwealth Bank of Australia (ASX: CBA), making NAB more appealing.

We’re going to take a look at how big the NAB dividend could be in the coming period and what it would take to generate $9,000 of passive income.

NAB dividend projection

The ASX bank share has provided investors with a steady, slightly growing dividend over the last few years. The bank’s consistent dividends have been pleasing, and analysts expect further solid payouts.

According to Commsec’s projection, the business is expected to pay an annual dividend of $1.72 per share in FY27, a 1.2% year-over-year increase from FY26.

Dividend growth isn’t guaranteed, but I think any growth is attractive in the current economic climate. Credit growth looks more challenging amid the Australian taxation changes and higher interest rates.

The biggest portion of NAB’s earnings comes from lending to businesses. However, a weaker economic environment can be challenging for that segment.

If NAB does pay an annual dividend per share of $1.72 in FY27, that would be a dividend yield of 4.5% excluding franking credits and 6.3% including franking credits.

That’s more passive income than what an Australian could get from a term deposit.

Let’s take a look at what it would take to unlock $9,000 of annual passive income by owning NAB shares throughout FY27.

$9,000 passive income from the ASX bank shares

If investors are willing to own enough NAB shares, it could lead to significant passive income from the ASX bank share.

To generate $9,000 of passive income from NAB, if it pays $1.72 per share, an investor would need to own 5,233 NAB shares for that level of passive income cash.

However, if we also include franking credits in the income goal, an investor would need to own only 3,663 NAB shares.

NAB is certainly a potential option for dividends, but is the NAB share price actually an attractive opportunity?

According to the Commsec collation of analyst recommendations, there are currently 16 ratings. Four of them are a sell, nine of them are a hold and three are a buy rating.

Therefore, it seems like there are better ASX share opportunities out there worth choosing first.

The post How many NAB shares do I need to buy for $9,000 of passive income? appeared first on The Motley Fool Australia.

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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.

Oil prices have already had a huge year in 2026.

But Goldman Sachs reckons they could still go a fair bit higher.

The investment bank says Brent crude could rise above US$120 a barrel in early 2027 if problems across the Middle East continue.

Brent is trading at around US$106 a barrel on Tuesday morning, up roughly 57% over the past year.

A big part of that rise has come as attacks around the Strait of Hormuz and Red Sea continue to make it harder to get oil out of the region.

And Goldman Sachs thinks prices could stay high for quite some time.

Why could oil reach US$120?

A lot comes down to how quickly Gulf oil supply can recover.

Goldman Sachs believes Brent could rise above US$120 if production stays well below pre-conflict levels.

The bank estimates average output next year could still be around 4 million barrels per day below pre-war levels.

Goldman Sachs global commodities co-head Daan Struyven said:

Markets are increasingly pricing a prolonged Mideast conflict.

The intensity and geographical breadth of tanker attacks … will remain a key driver of whether Gulf oil exports recover and how quickly.

And we’re already not that far away.

Crude reached US$109 a barrel last week, its highest level in around 5 months.

China could have a big say in what happens next too.

The country has cut crude imports by around a third while drawing more heavily on its large strategic petroleum reserves.

Goldman Sachs said how long China keeps dipping into those reserves could play a big role in how tight the global oil market becomes.

Why investors should care

Goldman Sachs said LNG markets across Asia and Europe are still tight, with only around 25% to 30% of pre-war Gulf energy exports restored.

If Middle East exports don’t improve, the bank believes global LNG prices could rise by around 55%.

Coal demand is holding up too.

The International Energy Agency (IEA) recently forecast that global coal demand would rise 1.2% in 2026 to a record 8.94 billion tonnes.

Goldman Sachs said US coal-fired power plants are also closing more slowly than expected, as electricity demand continues to grow.

Where to from here?

If oil stays above US$100 a barrel, Woodside Energy Group Ltd (ASX: WDS), and Santos Ltd (ASX: STO) could benefit from higher realised prices.

But there is another side to it.

Fuel is a major cost for transport, manufacturing and plenty of other businesses.

If those costs keep rising, some of them will eventually find their way through to consumers.

That could make inflation even harder to bring down, especially if energy costs continue to stay high.

The post Goldman Sachs says oil could surge past US$120. Could this be the next big market shock? appeared first on The Motley Fool Australia.

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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.