Rio Tinto Group (ASX: RIO) and BHP Group (ASX: BHP) have been two of the best performing blue-chip companies shares in 2026.

While much of the ASX 200 has been flat this year, these two mining giants have soared 28% and 42% respectively. 

This trend continued yesterday when both Rio Tinto and BHP shares climbed significantly. 

Why are Rio Tinto and BHP shares rising?

Rio Tinto and BHP have long been held by investors due to their market dominance in production of iron ore and coal. 

However the main reason both BHP and Rio Tinto have been strong performers in 2026 is that investors are increasingly valuing them as copper growth companies, not just iron ore miners.

Copper has been one of the best-performing major commodities in 2026, supported by demand from AI infrastructure, data centres, electric vehicles, power grids and the energy transition. 

Copper prices are near record levels and have risen roughly 40% over the past year.

This has pushed BHP and Rio Tinto shares to new record highs. 

Holders will be pleased with positive returns, however those watching the stocks closely may be concerned about how much further they can grow. 

Here is the latest analysis from experts on Rio Tinto and BHP shares. 

Rio Tinto outlook 

Rio Tinto shares closed yesterday trading just under $190 each. 

The miner recently posted solid results for the three months to March 2026.

Experts’ opinions on the blue-chip stock appear to be mixed. 

The team at WAM Leaders Ltd (ASX: WLE) are optimistic about Rio Tinto shares.

Meanwhile, JP Morgan renewed its buy rating on Rio Tinto shares earlier this month. 

The broker lifted its 12-month price target from $203 to $207.

This indicates roughly 9% upside. 

However, the team at Morgans see the stock as a hold. 

The broker said the near term earnings outlook appears “balanced” rather than clearly positive. 

BHP shares outlook 

Meanwhile, BHP shares closed trading yesterday at just over $65 per share, close to an all-time high. 

Some experts are leaning towards taking profits after this year’s gains. 

Alto Capital’s Tony Locantro (via The Bull) believes investors would do well to take profits

Elsewhere, EnviroInvest’s Elio D’Amato has a hold rating on the BHP shares. 

Meanwhile, Morgan’s most recent analysis also included a hold rating, seeing the mining giant’s shares as close to fully valued. 

The broker said:

The global miner offers broad diversification across iron ore, copper and potash, underpinned by a fortress balance sheet and a disciplined approach to capital returns. Copper provides meaningful long term exposure to the global electrification and energy transition theme, while iron ore remains the dominant near term earnings driver.

However, the macro backdrop remains uncertain, with Chinese steel demand facing structural headwinds and global growth indicators sending mixed signals. The valuation at current levels appears broadly fair, with commodity price assumptions already reflecting a reasonable medium term outlook. BHP remains a core holding for resource oriented portfolios, but with limited near term re-rating catalysts, we retain a hold recommendation.

The post Are Rio Tinto or BHP shares a better buy right now? appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Bell has positions in BHP Group. 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.

The oil market has rarely moved this fast in either direction.

Crude oil fell to US$79 per barrel on Tuesday. This comes as officials from the US and Iran said they have reached a deal to reopen the Strait of Hormuz, potentially in time for the upcoming G7 meeting.

That is a fall of approximately 37% from Brent’s intraday peak of above US$126 earlier in the conflict.

For Woodside Energy Group Ltd (ASX: WDS), Santos Ltd (ASX: STO), and Beach Energy Ltd (ASX: BPT), that move has immediate and significant implications.

What the oil price retreat means for ASX energy shares

The link between oil prices and ASX energy shares is quite clear and direct.

When oil fell 20% in May on the first ceasefire talks, energy shares led the ASX 200 sectors down.

Woodside, Santos, and Beach all gave back significant portions of their earlier gains.

The EIA’s June 2026 Short-Term Energy Outlook forecasts Brent prices averaging $105 per barrel in June and July, based on the assumption that the Strait of Hormuz remains closed.

Should the Strait reopen, that forecast would be revised sharply downward.

However, traders remain cautious. Prices briefly recovered after President Trump cast doubt on the reported draft agreement, saying the published terms did not reflect the agreement discussed.

Woodside Energy

Woodside has been the biggest beneficiary of elevated oil prices in 2026, rising 25% year to date.

A sustained fall to US$80 per barrel would reverse a significant portion of that gain.

However, Woodside’s longer-term investment case is not solely dependent on the oil price.

The company’s breakthrough Scarborough LNG project is now 94% complete with first cargo targeted for Q4 2026. Furthermore, Woodside’s decade-long LNG contracts provide a significant floor for cash generation even in a softer oil price environment.

Santos Ltd

Santos is up approximately 20% year to date, making it one of the best-performing energy stocks on the ASX in 2026.

A deal to reopen the Strait of Hormuz would partially reverse those gains, with an 8% decline on Monday.

However, like Woodside, the investment case for Santos is also not just about the oil price.

The company’s Barossa LNG project is already producing at 75% of its planned 2026 production rates, with plateau production targeted before year end. First oil from Pikka Phase 1 in Alaska provides an additional production stream.

These operational milestones should provide the company with greater protection and diversification against external oil price movements.

Beach Energy

Beach Energy is the most leveraged of the three to oil price movements, given its smaller size and higher sensitivity to oil and gas price changes.

Shares have fallen in recent weeks even as the broader energy sector surged, reflecting ongoing concerns about its production guidance downgrade in Q3 FY2026.

A sustained fall in oil prices to US$80 per barrel would add further near-term pressure to Beach’s earnings outlook.

However, Beach has strengthened its balance sheet significantly, with available liquidity rising to $974 million and net gearing falling to just 11%.

This financial resilience means it can navigate the oil price volatility without the balance sheet stress that may concern investors in a more leveraged company.

Foolish takeaway

Oil at US$80 per barrel is materially lower than the levels that drove ASX energy shares to their recent highs.

If a sustained peace deal materialises and the Strait reopens, Woodside, Santos, and Beach may face further near-term price pressure.

But all three are operating businesses with diversified cash flows and long-term contracts that do not disappear when the oil price falls.

For long-term investors, the near-term volatility may be creating a more attractive entry point than was available a fortnight ago.

The post Oil retreats as Iran tensions ease. Here’s what that means for ASX energy shares appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Tuesday
• Why Aussie Broadband, Coles, EOS, and Santos shares are falling on Monday
• Buying Woodside shares? Here’s why everyone’s talking about the Exxon takeover
• 5 things to watch on the ASX 200 on Monday
• Why EOS, Karoon Energy, REA Group, and Woodside shares are falling today

Motley Fool contributor Mark Verhoeven 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.

ortunately for income investors, there are lots of options to build a passive income with on the Australian share market.

But which ones are buys?

Here are three ASX dividend shares that brokers are recommending to their clients.

ANZ Group Holdings Ltd (ASX: ANZ)

The first ASX dividend share to look at is ANZ.

The banking giant gives investors exposure to home loans, business banking, institutional banking, and customer deposits across Australia and New Zealand.

Banks are not without risks. Credit growth can slow, bad debts can rise, and margins can come under pressure when competition is intense.

But ANZ remains a major player in the Australian financial system and continues to generate large profits and dividends.

Citi is positive on the bank and currently has a buy rating and $39.25 price target on its shares. Based on the current share price of $34.51, that implies potential upside of almost 14%.

The broker expects dividends per share of 166 cents in FY 2026 and 175 cents in FY 2027. This equates to dividend yields of 4.8% and 5.1%, respectively.

Centuria Industrial REIT (ASX: CIP)

Another ASX dividend share that brokers think could be a top pick for income investors is Centuria Industrial REIT.

This property trust owns industrial assets across Australia. These properties can include warehouses, logistics facilities, and other industrial sites that support supply chains, storage, and distribution.

Industrial property has become an important part of the real estate market as businesses look for efficient logistics networks and well-located facilities.

Like all property trusts, Centuria Industrial is exposed to interest rates, borrowing costs, and asset valuations. But its focus on industrial property gives it exposure to a sector with solid long-term demand drivers.

Bell Potter is bullish and has a buy rating and $3.60 price target on its shares. Based on the current share price of $3.05, this suggests potential upside of approximately 18%.

As for income, the broker expects dividends per share of 16.8 cents in FY 2026 and 17.3 cents in FY 2027. This represents yields of 5.5% and 5.7%, respectively.

Harvey Norman Holdings Ltd (ASX: HVN)

A third ASX dividend share brokers are tipping as a buy is Harvey Norman.

The retailer is best known for furniture, electronics, appliances, bedding, and home-related products. It also has a substantial property portfolio, which adds another element to the investment case.

Retail conditions can be uneven when households are under pressure. But Harvey Norman has been through many consumer cycles before and remains one of Australia’s most recognisable retail brands.

Bell Potter currently has a buy rating and $6.70 price target on the shares. Based on the current Harvey Norman share price of $4.82, this implies potential upside of approximately 39%.

The broker is forecasting fully franked dividends of 29.8 cents per share in FY 2026 and 33.5 cents per share in FY 2027. This equates to dividend yields of 6.2% and 7%, respectively.

The post 3 excellent ASX dividend shares for income investors to buy now appeared first on The Motley Fool Australia.

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Citigroup is an advertising partner of Motley Fool Money. 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 positions in and has recommended Harvey Norman. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The ASX share market is a great place to find ideas and experts can help identify those opportunities.

When one expert is excited about a business, that’s interesting. When there are numerous buy ratings on a business, it implies there could be a compelling opportunity.

Let’s look at two of the most appealing opportunities according to analysts.

Eagers Automotive Ltd (ASX: APE)

Eagers describes itself as the leading automotive group in Australia and New Zealand with its ownership and operation of car dealerships with new and used vehicles, service, parts and the facilitation of allied consumer finance. It has been operating for more than 110 years.

Its operations are usually provided through strategically clustered dealerships, many of which are situated on properties owned by Eagers Automotive in high-profile, main road locations.

In May, the business reported how it had performed in the four months to April 2026 – its financial year follows the calendar year.

Across Australia and New Zealand in 2026 to April, turnover was up 5% year over year, with order intake at record levels. Order intake was at record levels, with orders taken exceeding deliveries by more than 29% because of supply restraints impacting and deferring delivery timing. Its order book climbed by 70% since December 2025.

The company also noted that its independent used segment, comprising easyauto123 and Carlins, continues to grow and delivered a record start to the year, with profit before tax up 40% year over year.

Another growth avenue for the business is CanadaOne Auto, which it recently acquired. This gives the ASX share earnings diversification and geographic growth potential.

According to CMC Invest, there have been eight buy ratings on Eagers Automotive shares within the last three months.

Cleanaway Waste Management Ltd (ASX: CWY)

Cleanaway describes itself as Australia’s largest provider of total waste and resource recovery solutions.

It has a national footprint of more than 330 sites. Cleanaway provides end-to-end waste solutions, including collection, processing, recycling, treatment and safe disposal. Impressively, it has more than 6,400 vehicles in the fleet.

Customers include commercial, industrial and government customers across Australia.

The company points to a number of areas of potential growth, including GDP and favourable trends (namely recycling) trends. It’s also targeting expanding profit margins by more than 260 basis points and growing its cash flow by utilising its branch network, leveraging the scale and utilising its assets.

According to CMC Invest, there have also been eight buy ratings on Cleanaway shares within the last three months. It’s now valued at 24x FY26’s estimated earnings, according to the CMC Invest forecast.

The post 2 ASX shares highly recommended to buy: Experts 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 recommended Eagers Automotive Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Life360 Inc. (ASX: 360) has been one of the more frustrating ASX growth shares to own recently.

The share price is trading around $22.12, which is roughly 60% below its 52-week high of $55.87.

That kind of fall can create opportunity if the business underneath is still moving in the right direction.

But is that the case? Here’s my take.

The valuation looks interesting

According to CommSec, consensus earnings per share estimates are 90.4 cents in FY26, $1.23 in FY27, and $2.13 in FY28.

Based on the current share price, that puts the stock on roughly 24 times FY26 earnings, 18 times FY27 earnings, and just over 10 times FY28 earnings.

For a slow-growth business, that would not be enough to excite me. But Life360 is still expected to grow earnings strongly over the next few years.

If those forecasts prove close to the mark, the FY28 multiple looks very undemanding for a global consumer technology company with a large user base and several ways to monetise it.

There are no guarantees, of course. Management still has to deliver, but I am comfortable with the direction of travel.

A bigger opportunity than location sharing

The reason I like Life360 is that it has already earned a place in the daily routine of many households.

The app helps families stay connected, check locations, receive safety alerts, and feel more comfortable about where loved ones are. That practical, emotional use case is hard to replicate.

But the bigger opportunity is what Life360 can build around that relationship. The company recently reported monthly active users of approximately 97.8 million, up 17% year-on-year. Paying Circles increased 27% year-on-year to 3.0 million, while total revenue rose 38% to US$143.1 million.

Those numbers suggest the business is still growing across both scale and monetisation. In fact, management is forecasting MAU growth of 17% to 20% in 2026.

But it isn’t just user growth driving higher revenue. Another thing I find especially interesting is the advertising opportunity. Life360 reported advertising revenue of US$19.7 million for the quarter, up 329% year-on-year. That could become a meaningful second growth engine alongside subscriptions.

A large, engaged user base can be valuable in several ways. Subscriptions, advertising, driving features, roadside support, Tile integration, and future AI tools could all add layers to the platform over time.

Why the fall may be overdone

A 60% fall from the high tells me the market has become far more cautious.

Some of that caution is understandable. ASX growth shares can be punished quickly when expectations change, and Life360 still needs to prove it can keep expanding while also growing earnings.

The threat of artificial intelligence (AI) disruption has also caused concerns. But I think Life360 has advantages that are not easy for an AI tool to copy, including a large installed user base, trusted family circles, location history, safety features, and habits built around daily use.

Foolish takeaway

Life360 shares are not risk-free, and I would expect volatility to continue. But I think the current setup is attractive.

The company has a large global audience, growing paid users, improving revenue streams, and a valuation that becomes far more appealing when looking out to FY27 and FY28.

If management can deliver on the earnings growth now expected by the market, I think this beaten-down ASX growth share could prove too cheap to ignore.

The post Down 60%: Is this beaten-down ASX growth share too cheap to ignore? appeared first on The Motley Fool Australia.

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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 Life360. The Motley Fool Australia has positions in and has recommended Life360. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week with the smallest of declines. The benchmark index edged a fraction lower to 8,729.4 points.

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

ASX 200 to sink

The Australian share market looks set to tumble on Tuesday despite a strong night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 123 points or 1.4% lower. In the United States, the Dow Jones rose 0.9%, the S&P 500 climbed 1.65%, and the Nasdaq stormed 3.1% higher.

PLS shares given hold rating

PLS Group Ltd (ASX: PLS) shares are fully valued according to analysts at Bell Potter. This morning, the broker has retained its hold rating with an improved price target of $6.15 (from $5.50). It said: “We maintain our Hold recommendation. At current lithium market prices, PLS will generate substantial earnings and cash flow with the restart of the 200ktpa Ngungaju processing plant. P2000 and Colina development studies are being progressed, providing substantial organic growth optionality in markets with strong underlying EV and BESS-led long term demand fundamentals.”

Oil prices sink

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a tough session after oil prices sank overnight. According to Bloomberg, the WTI crude oil price is down 4.1% to US$81.42 a barrel and the Brent crude oil price is down 4.1% to US$83.73 a barrel. This follows news that the US and Iran have signed a peace deal.

Gold price storms higher

ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a good session after the gold price stormed higher overnight. According to CNBC, the gold futures price is up 2.3% to US$4,337.7 an ounce. Traders were buying gold amid easing interest rate hike fears after oil prices pulled back.

Buy Mineral Resources shares

Mineral Resources Ltd (ASX: MIN) shares are good value according to Bell Potter. This morning, the broker has retained its buy rating with an improved price target of $83.00. This implies potential upside of approximately 16% from current levels. It said: “Completion of the US$765m MIN-POSCO lithium transaction will accelerate balance sheet deleveraging paired with cash flows from persistent iron ore and lithium market prices. MIN’s mining services platform delivers a stable earnings stream that is expected to expand with internal and third-party volume growth. The company is well positioned to execute its next phase of growth with potential to reinstate fully franked dividends.”

The post 5 things to watch on the ASX 200 on Tuesday 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.

The S&P/ASX 200 Index (ASX: XJO) has enjoyed two consecutive strong days of trading. Investors have piled back in on positive news out of the Iran/US conflict. 

Australia’s benchmark index has now leapt 3% higher since last Friday. 

As optimism returns for many Australian equities, one ASX materials stock to watch is Wildcat Resources Ltd (ASX: WC8). 

Company overview

Wildcat Resources is a Perth based lithium exploration and development company. It is focused on advancing its 100% owned Tabba Tabba project, located 80km from Port Hedland in Western Australia. 

A July 2025 Pre-Feasibility Study outlined a two-stage development scenario to reach production of 565ktpa spodumene concentrate 5.5% at an upfront capital cost of $687m.

Additionally, a Definitive Feasibility Study is scheduled for 3Q 2026.

Funding discussions and permitting activities are advancing. Bell Potter said it expects first production could commence in late 2028.

It has already generated plenty of excitement amongst investors, as its share price has risen more than 200% in the last 12 months. 

This includes a 26% rise year to date.

Why investors should be excited 

This ASX materials stock is positioned to benefit from an improving lithium market and leverage it through its Tabba Tabba project.

It offers high leverage to a recovering lithium cycle, backed by a large, advanced Pilbara asset and ongoing exploration success. 

If lithium remains strong through 2026-2027, developers such as Wildcat could see outsized valuation gains relative to established producers. 

If lithium demand from EVs and battery storage keeps rising, this stock could be well positioned for a major rerating.

Bell Potter tips big upside

A new report from Bell Potter has tipped this ASX materials stock could rise by 106% in the next 12 months. 

The broker noted that the Tabba Tabba project is one of the only near-term Australian hard rock lithium developments. 

Additionally, it is also the only large scale near-term development positioned to commence production during the current lithium price cycle. 

The project is strategically located 80km from Port Hedland and WC8 enters financing discussions with 100% of offtake uncommitted. The company trades on undemanding EV/Resource multiples compared with Western Australian spodumene producers. We expect its share price will re-rate as Tabba Tabba reaches key feasibility and permitting milestones and transitions into development.

The broker also has a speculative buy recommendation and $1.00 price target on this ASX materials stock, making it an intriguing option for investors. 

The post This ASX materials stock could rise 100% in the next 12 months according to top broker appeared first on The Motley Fool Australia.

More reading

• Which ASX lithium shares to buy as the market recovers: 2 brokers weigh in
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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.

Zip Co Ltd (ASX: ZIP) shares have had a wild ride over the past few years.

The buy now, pay later sector went from market darling to market warning sign in a short period of time.

Rising interest rates, funding concerns, credit losses, and questions about long-term profitability all weighed heavily on investor confidence.

But Zip today looks very different to the business many investors remember from the boom years.

It is more focused, more disciplined, and now being judged on earnings rather than only transaction growth. That makes the current valuation worth a closer look.

The numbers look interesting

Zip shares are currently trading around $2.78.

Based on consensus forecasts from CommSec, the company is expected to generate earnings per share of 9.2 cents in FY26, 10.9 cents in FY27, and 17 cents in FY28.

That means Zip is trading on roughly 30 times FY26 earnings, 26 times FY27 earnings, and 16 times FY28 earnings.

For a lower-growth business, that would not look especially cheap. But Zip is expected to grow earnings strongly over the next few years. If those forecasts prove accurate, the valuation starts to look much more reasonable as investors look further out.

The FY28 number is the one that stands out to me. A price-to-earnings ratio of around 16 times does not look demanding for a business that is still expected to be growing quickly.

That is why I think Zip shares could be undervalued based on the current forecasts.

Could Zip double?

Could Zip shares double by 2030?

That is hard to predict with confidence. A lot needs to go right between now and then, and Zip remains a higher-risk ASX 200 share.

But I do not think the idea is outlandish.

Zip’s 52-week high is $4.93. A return to that level would already be close to a double from the current share price. Reaching that point again by 2030 would require stronger investor confidence, continued earnings growth, and evidence that the company can keep building a sustainable, profitable business.

The key point is that Zip does not need to reach some distant, never-seen-before valuation to make the idea possible. The shares have traded much higher within the past year.

Of course, a previous high is not a target or a guarantee. The market will need a reason to re-rate the stock. That reason would likely have to come from earnings momentum, better margins, credit discipline, and stronger confidence in the US opportunity.

Brokers are positive

Another factor worth noting is broker sentiment.

According to CommSec, the consensus rating on Zip is a strong buy. That includes 10 strong buy ratings, 2 moderate buy ratings, and no hold, moderate sell, or strong sell ratings.

I would never buy a share only because brokers are positive. Analysts can be wrong, and ratings can change quickly if the numbers disappoint.

But that level of support does suggest the market’s professional watchers see more upside than downside from here.

What needs to happen

For Zip shares to double by 2030, the company will need to keep executing.

It needs to grow strongly beyond FY28, maintain sensible credit settings, manage funding costs, and keep attracting customers without chasing poor-quality growth.

That last point is important. The buy now, pay later boom showed that growth without discipline can destroy value. The more attractive version of Zip is a company that grows transactions, but also protects margins, controls losses, and keeps improving earnings per share.

If management can do that, I think the share price has room to move a lot higher over the next few years.

Foolish takeaway

Zip shares are still risky, and I would not treat a potential double as a simple base case.

But I do think the setup is interesting. The shares are trading well below their 52-week high, the forward valuation looks much more attractive, and brokers are strongly positive on the stock.

If Zip keeps growing earnings, proves the quality of its customer base, and shows that its profit momentum can continue beyond the next few years, I think a much higher share price by 2030 is possible.

The post Could this ASX 200 share double by 2030? appeared first on The Motley Fool Australia.

More reading

• 3 amazing ASX growth shares to buy and hold forever
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• 3 reasons to buy Zip shares today
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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 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 rising tide lifts all ships and that’s exactly what’s been happening with global lithium prices and ASX lithium stocks.

In the last 12 months: 

• Liontown Ltd (ASX: LTR) shares have risen over 230%
• Mineral Resources Ltd (ASX: MIN) have climbed over 200%. 

Liontown and Mineral Resources both focus on the development of high-quality lithium projects in Western Australia.

Lithium lift off

According to Trading Economics, the lithium price has risen by more than 180% in the last 12 months. 

The main reason lithium prices have risen sharply over the past year is that the market has swung from oversupply toward a much tighter balance between supply and demand.

A few years ago, lithium prices collapsed because mines expanded rapidly while EV growth slowed. By mid-2025, prices had fallen roughly 90% from their 2022 peak. 

While electric vehicle growth has moderated compared with the boom years, lithium demand continues to expand because of:

• EV production
• Grid-scale battery storage systems
• Renewable energy deployment
• Growing electricity-storage needs for power grids and data centers. 

The rise can continue for Mineral Resources

New analysis from Bell Potter has pointed towards a continued rise for these ASX lithium stocks. 

Both have received buy recommendations from the broker. 

The broker has increased its price target on Mineral Resources shares to $83.00 (previously $80.50). 

Bell Potter expects the company to deliver a solid quarter, driven primarily by much higher lithium prices.

Lithium production guidance implies lower sales volumes at Wodgina and Mt Marion versus the previous quarter.

However, Bell Potter believes actual production and sales could exceed guidance due to strong operating momentum and favourable market conditions.

Iron ore sales from Onslow are expected to rebound after cyclone disruptions affected the previous quarter.

Although diesel costs have increased, Bell Potter expects higher commodity prices to more than offset the cost pressure.

MIN’s mining services platform delivers a stable earnings stream that is expected to expand with internal and third-party volume growth. The company is well positioned to execute its next phase of growth with potential to reinstate fully franked dividends.

From yesterday’s closing price, the updated target from Bell Potter indicates a 16% upside for this ASX lithium stock. 

Liontown also set to continue

Bell Potter has also increased its price target on Liontown shares to $2.90 (previously $2.65). 

The broker said its Kathleen Valley lithium operations exited the last quarter with strong momentum as increased underground clean ore production led to improving recoveries. 

This trend should continue as the underground mine incrementally scales to mid-2027.

Over FY26-27, LTR will continue to ramp up and de-risk Kathleen Valley. With current lithium price strength, LTR can rapidly generate cash to support incremental production expansions and shareholder returns. Kathleen Valley is highly strategic in terms of scale, long project life and location in a tier-one mining jurisdiction.

From yesterday’s closing price, the updated target from Bell Potter indicates a 29% upside for this ASX lithium stock. 

The post Bell Potter just raised its price targets on these 2 ASX lithium stocks appeared first on The Motley Fool Australia.

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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 lithium stock PLS Group (ASX: PLS) has brought investors massive returns over the last 12 months. 

Since June last year, the stock price has risen nearly 400%.

Formerly Pilbara Minerals, PLS Group is an Australian lithium-tantalum producer positioning itself at the forefront of the rapidly growing global lithium industry. Its flagship development, the 100%-owned Pilgangoora Lithium-Tantalum Project, is located in the Pilbara region of Western Australia.

Lithium rebound

This rise has been driven by a strong recovery in lithium prices and renewed optimism in the sector. 

The market has become more optimistic about demand from:

• Electric vehicles
• Grid-scale battery storage
• Residential energy storage systems. 

PLS also significantly increased production at its Pilgangoora operation. 

Record output and stronger recovery rates showed the company could generate more tonnes when the market improved. This higher production gives more leverage to rising lithium prices. 

With PLS shares now sitting close to all-time highs, investors may be wondering if the strong run can continue. 

A new report from Bell Potter has provided an updated outlook on what could be to come over the next 12 months. 

Long-term fundamentals strong

According to Bell Potter, after reviewing future supply and demand, it believes new mine supply is unlikely to grow fast enough to meet expected demand growth from EVs and battery storage.

At current lithium market prices, PLS will generate substantial earnings and cash flow with the restart of the 200ktpa Ngungaju processing plant. P2000 and Colina development studies are being progressed, providing substantial organic growth optionality in markets with strong underlying EV and BESS-led long term demand fundamentals.

The higher lithium price outlook flows directly into higher profits, leading Bell Potter to increase its earnings forecasts for PLS by 12% for FY26, 14% for FY27, and 34% for FY28.

The broker also said FY26 production guidance looks cautious. Management’s guidance implies lithium concentrate production could fall in the final quarter. 

However Bell Potter expects production to be stronger than guidance suggests and forecasts 872kt for FY26, above what the market may be assuming.

Costs are likely to rise modestly due to restarting the Ngungaju plant and higher diesel prices, but operating costs remain under control and are tracking near the lower end of guidance.

Hold recommendation 

Despite the positive outlook, Bell Potter has retained its hold recommendation on this ASX lithium stock. 

The broker has increased its price target to $6.15 (previously $5.50). 

However, this target is 5% below current levels, suggesting the ASX lithium stock could slide from here.

The post This ASX lithium stock is close to an all time high – can it keep rising? appeared first on The Motley Fool Australia.

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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.