Rio Tinto Ltd (ASX: RIO) shares are on the move on Tuesday morning.

At the time of writing, the ASX 200 mining giant’s shares are up 2.5% to $158.45.

Why are Rio Tinto shares rising today?

The mining giant’s shares are trading higher following the release of an update on one of its key copper growth projects.

In addition, a rebound in the ASX 200 index today after a positive start to the week on Wall Street may also be supporting sentiment.

The benchmark index is currently up 0.35% in early trade.

What was the update?

This morning, Rio Tinto revealed that Resolution Copper, a joint venture between Rio Tinto (55%) and BHP Group Ltd (ASX: BHP) (45%), has completed a long-awaited land exchange with the United States Forest Service.

It notes that the milestone clears the way for the next phase of development at the Resolution Copper project in Arizona, which is considered one of the world’s largest untapped copper deposits.

Completion of the land exchange follows a decision by the U.S. Court of Appeals for the Ninth Circuit on 13 March. The court ruled in favour of Resolution Copper and the federal government, denying requests from plaintiffs seeking to halt the exchange.

Under the agreement, Resolution Copper has transferred more than 5,400 acres of environmentally and culturally sensitive land into protected areas, including land containing special status species habitats, riparian areas, and Native American cultural sites. In return, the project has received over 2,400 acres of land near the historic Magma copper mine in Superior, Arizona.

The land exchange was originally authorised by legislation passed with bipartisan support in 2014. Since then, the project has undergone more than a decade of consultation and coordination with civil society organisations, local communities, and Native American Tribes.

Major investment planned

Resolution Copper also revealed plans to invest approximately US$500 million over the next two years to support enabling works at the project.

This funding will support activities including surface drilling to gather additional resource information, upgrades to existing infrastructure, initial underground development work, and programs to support Native American Tribes and local communities.

The work is also expected to create around 100 new jobs and will take place alongside ongoing engagement with communities and the state-level permitting process.

Commenting on the development, Rio Tinto’s Copper chief executive, Katie Jackson, said:

Rio Tinto is building a stronger copper business with a pipeline of large, long-life resources that can help meet growing global demand for the materials needed for electrification, infrastructure and modern technologies. Completing the land exchange is a significant milestone and another positive step forward for the Resolution Copper project, which has the potential to satisfy up to 25% of America’s copper demand for decades to come.

It’s expected to add $1 billion a year to Arizona’s economy and create thousands of local jobs in a region where mining has played an important role for more than a century. As demand for copper continues to grow, projects like Resolution can play an important role in strengthening domestic supply chains. We acknowledge the support of the U.S. Government and its growing recognition of the need for domestic sources of copper and other critical materials.

The post Rio Tinto shares charge higher on big copper news 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 recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

New Hope Corporation Ltd (ASX: NHC) shares are sinking on Tuesday morning.

At the time of writing, the coal miner’s shares are down 12% to $4.63.

This follows the release of New Hope’s half-year results before the market open.

New Hope shares sink on results day

For the six months ended 31 January, New Hope posted a 20.1% decline in revenue to $814.4 million.

This reflects a modest 0.4% increase in group saleable coal production to 5.5Mt, which was offset by weaker realised prices.

The company notes that its average realised sales price, excluding hedging, was $137.80 per tonne, which is down 20.4% from $173.30 per tonne in the prior corresponding period.

As well as lower realised coal pricing, New Hope was exposed to increased prime overburden movement and lower non-regular gains, including the derecognition of deferred tax assets in relation to the divestment of Bridgeport Energy.

This led to the company reporting underlying EBITDA of $214.8 million, which is down 58.5% from $517.3 million a year earlier.

On the bottom line, net profit after tax was down a massive 84% to $54.3 million.

Dividend cut

New Hope revealed that it recorded net cash flow from operating activities of $185 million, down from $316.9 million a year earlier.

In light of this, the New Hope board cut its interim dividend almost in half. It declared a fully franked 10 cents per share payout, which is down from 19 cents per share in the prior corresponding period.

Commenting on the results, New Hope’s CEO, Rob Bishop, said:

In a lower coal price environment, our assets remain resilient and continue to generate solid margins. As a result of our performance, we are able to reward shareholders with a fully franked interim dividend of 10.0 cents per ordinary share.

Looking ahead, Bengalla Mine is expected to return to the 13.4Mtpa ROM coal production rate (100 per cent basis) during the second half of the 2026 financial year. In addition, New Acland Mine will continue to ramp up production and is scheduled to begin mining activities in the Manning Vale West pit during the final quarter of the 2026 calendar year. We are focused on remaining a resilient, low-cost coal producer and continuing to execute our organic growth plans, which will enable us to continue delivering value to shareholders.

The post New Hope shares crash 12% on profit crunch and big dividend cut appeared first on The Motley Fool Australia.

More reading

• New Hope Corporation 1H FY26: Profit falls, interim dividend declared
• Here’s why ASX 200 energy shares were the only risers last week
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• Why are ASX 200 coal stocks like Whitehaven, Yancoal and New Hope shares smashing the benchmark today?
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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.

AML3D Ltd (ASX: AL3) shares are on the move on Tuesday morning.

In early trade, the ASX defence stock is up 22% to 16.5 cents.

Why is this ASX defence stock jumping today?

The company’s shares are charging higher following the release of an announcement from the metal additive manufacturing company.

According to the release, AML3D has secured an order worth approximately $9.9 million from the largest military shipbuilder in the United States.

The ASX defence stock notes that the order has been placed by Newport News Shipbuilding (NNS), which is a division of Huntington Ingalls Industries (NYSE: HII). It is the largest military shipbuilder in the United States and delivers ships, aircraft carriers, submarines, and defence technologies.

The order is for four custom large-scale ARCEMY X 6700 additive manufacturing systems.

Once delivered, the purchase will bring the total number of ARCEMY X systems deployed at Newport News Shipbuilding to six.

AML3D advised that the systems will be supplied from its U.S. Technology Center in Ohio. All four additional units are expected to be installed and operational during the third quarter of FY 2027.

What is ARCEMY?

The ARCEMY systems that have been ordered are custom systems based on the large scale ARCEMY X 6700 but using a ~11,000kg positioner to create a heavy capacity build capability.

They are used for advanced metal additive manufacturing and will support a variety of shipbuilding applications. This includes the fabrication and replacement of ship components for U.S. Navy contracts.

Management highlighted that increasing the use of ARCEMY technology in U.S. Navy programs is a key part of the company’s growth strategy. The ASX defence stock’s CEO, Sean Ebert, said:

The step change in the size and value of this HII ARCEMY order is very much reflective of the strong and growing demand signals that underpin AML3D’s continued expansion into the U.S. defense market. It is also a strong endorsement of our U.S. ‘Scale up’ strategy which included establishing our U.S. Technology Center in Stow Ohio and our plans to invest $12 million to expand our U.S. production capabilities.

Not only do we expect to see a continued growth in U.S. defense orders we are also looking to continue to expand into other sectors. We have already successfully supplied ARCEMY technology to the Tennessee Valley Authority, the largest public utility in the U.S., and are targeting growth across the U.S. Marine, Energy, Aerospace and Oil & Gas sectors. In addition, we are seeing the emergence of early-stage demand in our UK and European markets that is similar to the demand signals that are driving our success in the U.S.

The post Guess which ASX defence stock is jumping 22% on US military order 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.

There are very few ASX blue-chip shares that I think are better suited to the current environment than the owner of Bunnings and Kmart. Considering how far the Wesfarmers Ltd (ASX: WES) share price has dropped over the last few months, as the chart below shows, I think this is the right time to buy.

Without a crystal ball, there’s no knowing what’s going to happen next. It could bounce back, keep falling or tread water from here.

We can only judge the business based on the current valuation and its prospects. I’m optimistic at the current valuation because of a few different reasons.

Strong value credentials

At the moment it’s looking as though there’s going to be another bout of inflation in 2026, unfortunately.

In that environment, I think it’d be useful to look at which businesses succeeded.

The biggest profit generators inside Wesfarmers are Bunnings and Kmart, which pride themselves on giving consumers great value. They’ve captured market share since the start of COVID-19 and I expect they can continue to gain further market share in this environment.

Additionally, I believe the expansion of Anko products into overseas markets, such as the Philippines, opens up a much larger opportunity for Kmart Group to grow earnings in the long-term.

Great return on equity

One of the best measures of a company’s quality is its return on equity (ROE).

That metric tells us how much profit a business makes compared to how much shareholder money a business is retaining. Obviously, shareholders want the business to earn a strong return on money that isn’t being paid out as a dividend.

Wesfarmers reported in its FY26 half-year result that its ROE was 32.7%. That’s high for a retailer and it was higher than HY25’s ROE of 31.2%. Increases are a great sign of a rising quality of the Wesfarmers share price.

Earnings diversification

One of the best reasons to like the Wesfarmers share price is because of the chemicals, energy and fertiliser (WesCEF).

I think it’s possible that the chemicals and fertiliser segments could see rising earnings in the coming years.

I’m particularly excited by the company’s growing exposure to lithium mining which the company has with its exposure through the Mt Holland project. The mine and concentrator performed well during the FY26 first-half result, with production reaching nameplate capacity.

Excitingly, lithium pricing significantly improved in the second quarter of 2026, supported by strong demand for battery energy storage systems (BESS) and supply constraints.

I like how the business is diversifying its operations and adding to its earnings growth avenue. It’s a great time to own exposure to lithium mining.

According to the forecast on CMC Invest, at the time of writing, the Wesfarmers share price is valued at 27x FY27’s estimated earnings.

The post 3 reasons why the Wesfarmers share price is a buy 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 positions in and has recommended Wesfarmers. 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.

Several high-profile ASX shares have taken a beating in recent months. Technology and biotech names have been caught in the market sell-off, with some shares sliding 50% from recent highs.

But that weakness has also caught the attention of analysts. In fact, brokers believe several quality companies could rebound strongly, with some price targets suggesting the potential for 100% upside or more.

Here are three ASX shares that analysts believe could stage a major comeback.

WiseTech Global Ltd (ASX: WTC)

This ASX share has lost 52% of its value over 6 months at the time of writing. WiseTech is a logistics software company best known for its CargoWise platform, which helps freight forwarders manage global supply chains.

The tech company is widely regarded as one of Australia’s most successful software companies. CargoWise has become deeply embedded in the global logistics industry. It creates strong switching costs and a powerful competitive moat.

The ASX share also benefits from a highly scalable software model. Once the platform is built, additional customers can be added with relatively low incremental costs. This supports strong margins and long-term earnings growth.

However, WiseTech has faced governance concerns and investor worries about how artificial intelligence could disrupt traditional software businesses. The company has also announced a major restructuring involving significant job cuts as it pivots toward AI-driven operations.

Despite recent volatility, analysts still see major upside for the ASX share. The consensus rating on the tech stock remains buy with an average price target of $85.10, and the most bullish forecast at $122.64.

This points to upside between 80% and 165% from recent levels.

NextDC Ltd (ASX: NXT)

NextDC operates a network of high-performance data centres across Australia, providing critical infrastructure for cloud computing, artificial intelligence, and enterprise digital services.

Demand for data centre capacity is surging as businesses shift to cloud computing and AI workloads expand.

The $8.5 billion ASX share is well positioned to benefit from this trend. The company continues to build new facilities and expand capacity across major Australian cities, which could drive strong long-term revenue growth.

NextDC has also been steadily increasing contracted utilisation, suggesting customers are locking in long-term data centre capacity.

Data centre development is capital-intensive. Building new facilities requires significant upfront investment, which can pressure profits in the short term.

Interest rates are another risk. Higher borrowing costs can increase financing expenses for large infrastructure projects.

Analysts are bullish on the ASX share and expect it could hike up to $31.02. That’s a potential 133% increase over the next 12 months at the time of writing.

Telix Pharmaceuticals Ltd (ASX: TLX)

This ASX share has tumbled almost 60% in the past 12 months. Telix is a biotechnology company specialising in radiopharmaceutical treatments and imaging technologies for cancer.

The company is rapidly emerging as a major player in precision medicine. Its flagship prostate cancer imaging product, Illuccix, has already been commercialised and is generating strong revenue growth.

Telix also has a deep pipeline of cancer diagnostics and therapies in development across prostate, kidney, and brain cancers.

Biotech investing always carries risk. Clinical trials, regulatory approvals, and manufacturing processes can all affect a company’s timeline and profitability.

The ASX share has also been volatile following regulatory hurdles involving the US Food and Drug Administration, which have weighed on investor sentiment.

Despite these setbacks, analysts remain extremely bullish. The stock currently carries a strong buy consensus. Analysts have set an average 12-month price target of about $24, implying more than 118% potential upside from recent levels.

The most bullish broker sees the ASX share climb to $31.59, a potential 188% upside.

The post 3 ASX shares tipped to race up to 188% higher appeared first on The Motley Fool Australia.

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Motley Fool contributor Marc Van Dinther 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 Telix Pharmaceuticals and WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool Australia has recommended Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Shape Australia Corporation Ltd (ASX: SHA) share price has delivered strong returns for investors over the past year, although the share price of the small-cap has pulled back slightly from recent highs.

At the time of writing, shares in the fitout and construction services specialist were recently trading around $6.51, down from a high of $7.59 in mid-February following the release of its latest half-year results.

Despite that modest pullback, the company’s first-half FY26 result showed continued revenue growth, improving margins, and expanding opportunities in new markets.

Let’s take a closer look at what’s driving the company’s momentum.

Strong revenue and profit growth in 1H FY26

Shape reported revenue of $553.3 million for the six months to December, representing a 16% increase compared with the prior corresponding period.

Profitability also improved significantly during the half:

• Operating earnings (EBITDA) rose 45% to $21.4 million
• Net profit after tax (NPAT) climbed 49% to $14 million
• Earnings per share (EPS) increased to 16.8 cents

Management attributed the result to a diversified order book, disciplined cost management, and strong project execution.

Margins also improved during the period, with gross margin lifting to 9.8% from 9.1% in the prior corresponding period.

In addition, the company declared an interim dividend of 14 cents per share, which represented a 40% increase on the prior year’s payout.

Diversification strategy starting to pay off

A key theme in Shape’s strategy is diversification beyond its traditional office fitout market.

The company is increasingly targeting sectors such as education, industrial, data centres, aged care, and retail, which management believes can provide more stable demand and improved margins.

For example, project wins in the education sector surged 170% to $153.5 million during the half.

Meanwhile, emerging segments are also gaining traction. The industrial and data centre sectors delivered $137.4 million in project wins, compared with just $7 million a year earlier.

2A1654105_SHA

Another growth area is “Modular by SHAPE”, the company’s modular construction business. Revenue from this division reached $38.7 million in the first half, already exceeding the $16.4 million generated across the entire FY25 year.

Acquisition expands addressable market

Shape also completed the acquisition of Arden Group in December 2025, a national retail fitout and maintenance specialist.

Management believes this deal could open new opportunities, particularly in multi-site rollout projects across fuel and convenience retail networks.

The acquisition is also expected to provide recurring maintenance revenue and cross-selling opportunities, potentially improving the group’s overall margin profile over time.

A strong pipeline heading into the second half

Looking ahead, the company appears well-positioned for the remainder of FY26.

Shape reported a backlog of $686.1 million, which is 33% higher than the prior year, along with an identified project pipeline of around $3.8 billion.

Management also noted that the Arden acquisition only contributed one month of earnings in the first half, meaning the second half of the financial year should reflect a fuller contribution.

Combined with growing demand in areas such as modular construction and data centres, this could support further growth in revenue and earnings.

The Foolish bottom line

Shape’s recent results highlight a company that is expanding its capabilities, improving margins, and diversifying into new markets.

While the share price has eased from its February highs, the underlying business continues to show steady operational progress.

For investors watching the small-cap construction space, Shape Australia’s growing pipeline, expanding modular division, and new retail capabilities could make the company one to keep on the radar as FY26 unfolds.

The post This ASX small cap could be in a sweet spot for construction demand appeared first on The Motley Fool Australia.

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Motley Fool contributor Leigh Gant 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 Shape Australia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

After lying dormant for some time, two ASX shares rebounded significantly yesterday. 

On Monday, Reliance Worldwide Corp Ltd (ASX: RWC) lept nearly 7%, while AMP Ltd (ASX: AMP) rose 4.2%. 

These were two of the best performing stocks yesterday in a day the S&P/ASX 200 Index (ASX: XJO) fell 0.4%.

Both had hovered close to yearly lows for some time. 

However now could be the start of a long term rebound. 

Why did these ASX shares suddenly jump higher?

Yesterday, investors were gobbling up Reliance Worldwide shares after the company announced that it will undertake a further on-market share buy-back targeting $120 million.

The company said the new buyback was in addition to a US$15.3 million buyback announced on February 17. That buy back was part of its interim distribution, which included a US2 cents per share dividend.

The company’s chair, Russell Chenu, said: 

RWC has continued to generate strong cash flows over the past two years despite subdued end markets. This has enabled us to substantially reduce net debt. Consequently, RWC’s leverage ratio has fallen below the bottom end of our target range of 1.5 time to 2.5 times net debt to EBITDA. Undertaking this additional share buy-back will enable us to return excess capital to shareholders efficiently and is consistent with our previously articulated capital management strategy.

Meanwhile, AMP, a diversified financial services company, saw its share price rise more than 4% despite no price sensitive news from the company. 

This was the first sign of relief for the company in 2026 after falling more than 33% so far this year. 

Are these rebounding ASX shares a buy?

Reliance Worldwide shares closed yesterday at $3.12 each. 

Based on recent targets from brokers, it seems yesterday’s rebound could be a sign of things to come. 

In February, Morgans released a research note to its clients on Reliance and has a price target of $3.50 on Reliance Worldwide shares. 

Also in February, Macquarie had a price target of $4.75 on Reliance shares. 

From yesterday’s closing price, these targets indicate an upside between 12% and 52%. 

It’s a similar story for AMP shares. 

It closed yesterday at $1.22. 

Recent price targets suggest it could be undervalued after its rough start to the year. 

Morgan Stanley had a recent buy rating and $1.90 target price on the stock. 

Citi also has a buy rating and $1.80 target price.

Similarly, Jefferies has a buy rating with a price target of $1.75. 

Finally, Jarden and Ord Minnett have a buy rating and a $1.65 target price on the AMP share price.

These targets indicate an upside between 35% and 55%. 

The post Two ASX shares on the rebound appeared first on The Motley Fool Australia.

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• 3 ASX 200 shares at 52-week lows: Buy, hold, or sell?

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.

One of the emerging stories this year has been the negative sentiment around healthcare and technology shares. 

Global technology shares have suffered due to AI integration and replacement fears. 

Meanwhile, healthcare has also lagged, potentially due to investors shifting into sectors with clearer near-term growth catalysts.

However, this recent weakness may now mean these sectors trade at a valuation discount to the broader market. 

If you are optimistic on the long-term growth of technology or healthcare shares, here are some ASX ETFs to consider. 

Betashares S&P Asx Australian Technology ETF (ASX: ATEC)

Technology shares are largely underrepresented in Australia compared to dominant sectors like big banks and miners. 

Many Australian tech companies have endured heavy sell-offs due to fears that AI could cut into core products. 

This has led to many positive ratings from brokers, suggesting these companies have now been oversold. 

The Betashares ATEC fund combines many of these Aussie tech companies into one ASX ETF. 

It provides exposure to approximately 47 leading ASX-listed companies in a range of tech-related market segments such as information technology, consumer electronics, online retail and medical technology.

It is down 20% year to date. 

Etfs Morningstar Global Technology ETF (ASX: TECH)

For a more global exposure to technology shares, this fund offers exposure to companies based in the United States, Europe and Asia. 

It targets companies positioned to benefit from the increased adoption of technology, including companies whose principal business is in offering computing Software-as-a-Service (SaaS), Platform-as-a-Service (PaaS), Infrastructure-as-a-Service (IaaS), and/or cloud and edge computing infrastructure and hardware.

The fund has fallen almost 17% year to date. 

BetaShares Global Healthcare ETF – Currency Hedged (ASX: DRUG)

Global healthcare shares have also had a soft start to 2026. 

For investors looking to target a defensive sector, this ASX ETF provides exposure to the largest global healthcare companies (ex-Australia), hedged into Australian dollars.

At the time of writing it is made up of 60 underlying holdings, which could be set to benefit in the long term due to ageing populations, rising living standards and ongoing medical advancements. 

These are expected to support increasing ongoing demand for healthcare products and services.

The fund is down 2.5% since the start of the year. 

iShares Global Healthcare ETF (ASX: IXJ)

This fund aims to provide investors with the performance of the S&P Global 1200 Healthcare Sector Index. 

It offers a more diversified option for global healtchare stocks.

This index is designed to measure the performance of global biotechnology, healthcare, medical equipment and pharmaceuticals companies and may include large-, mid- or small-capitalisation stocks.

The fund has fallen more than 7% so far in 2026. 

The post ASX ETFs that target undervalued sectors 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 travel shares have been one sector that has failed to capture broader market growth in the past year. 

In the last 12 months, the S&P/ASX 200 Index (ASX: XJO) has risen a healthy 9%. 

Despite this, many ASX travel shares are hovering close to 12-month lows. 

Is there any value?

Here is what experts are saying. 

Web Travel Group Ltd (ASX: WEB)

Webjet provides online travel booking services. It is an online travel agency, which enables customers to search and book the domestic and international travel flight deals, travel insurance, car hire, and hotel accommodation worldwide.

In the last 12 months, its share price has fallen more than 40%. 

At the time of writing, shares are trading for approximately $2.68. 

Much of the negative sentiment around the travel stock has come from a Spanish tax audit into Web Travel Group. 

The audit is an investigation by Spain’s tax authorities into whether one of its local subsidiaries correctly reported and paid corporate and indirect taxes for several recent years. 

This sent its share price down 40% in a single day. 

Management reassured investors that only the company’s Spanish subsidiary is being audited and it did not expect any material earnings impact from the Spanish tax review.

It seems with sentiment at an all-time low, there could be upside for this ASX travel stock. 

Based on 9 analyst forecasts via TradingView, Webjet shares have a one year average price target of $5.93. 

This indicates a potential upside of approximately 121%. 

Helloworld Travel Ltd (ASX: HLO)

Helloworld Travel consists of a wide array of travel brands across three key pillars of its business: retail, wholesale, and inbound. 

Its stock price closed yesterday at $1.48, down 28% from yearly highs back in early February. 

However now could be a good time to buy according to recent broker recommendations. 

Following earnings results, Morgans placed a buy recommendation on this ASX travel stock. 

Similarly, Shaw & Partners placed a $2.80 price target on the company. 

From yesterday’s closing price, this indicates 89% upside. 

Flight Centre Travel Group Ltd (ASX: FLT)

Flight Centre operates a vast network of travel agencies, operating under various brands across the world, including Student Universe, Travel Money, Corporate Traveller, and Topdeck.

Its share price is sitting close to 52-week lows at $11.26 per share. 

It’s down more than 30% since early February. 

However, according to brokers, its now trading at compelling value.

The team at Canaccord Genuity recently placed a price target of $16 on Flight Centre shares

Meanwhile, Macquarie has a price target of $17.95. 

UBS’ recent target sits in the middle at $16.45. 

Morgan’s recent target is the highest at $18.05. 

These targets indicate upside of between 42% and 60%. 

The post ASX travel shares are hovering near yearly lows – time to buy? 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 recommended Flight Centre Travel Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

At first glance, the Australian share market doesn’t look particularly cheap.

Even after the recent pullback driven by escalating tensions in the Middle East, the S&P/ASX 200 Index (ASX: XJO) is still sitting not far from record highs. Many investors are also sitting on very healthy gains thanks to the strong performance of bank and mining shares over the past year.

But when I look beneath the surface of the market, I see something quite different.

In my view, a large part of the market has already experienced its own bear market. And that disconnect could be creating a rare opportunity for long-term investors.

The strength in banks and miners is masking the real picture

The ASX 200 is heavily concentrated in just a handful of sectors.

Banks and mining companies make up a very large portion of the index, and both groups have performed strongly. Iron ore, oil, copper, and gold producers have benefited from resilient commodity prices, while the major banks have rallied significantly as investors chased reliable dividends.

Because of their large weightings, that strength has helped keep the overall market relatively elevated.

But outside those sectors, the story has been very different.

Many high-quality Australian shares across healthcare, technology, consumer, and industrial sectors have fallen sharply over the past year.

Plenty of quality Australian shares are already down heavily

Some well-known businesses have been pushed down to 52-week lows or worse during the recent sell-off.

Companies such as CSL Ltd (ASX: CSL), Sigma Healthcare Ltd (ASX: SIG), Amcor plc (ASX: AMC), Treasury Wine Estates Ltd (ASX: TWE), and Flight Centre Travel Group Ltd (ASX: FLT) all saw their share prices fall to 52-week lows last week as investors reacted to market volatility and shifting sentiment.

At the same time, a number of well-known Australian shares are now trading more than 30% below their highs from the past year.

Businesses like Telix Pharmaceuticals Ltd (ASX: TLX), Xero Ltd (ASX: XRO), WiseTech Global Ltd (ASX: WTC), Pro Medicus Ltd (ASX: PME), James Hardie Industries plc (ASX: JHX), Cochlear Ltd (ASX: COH), Temple & Webster Group Ltd (ASX: TPW), and Aristocrat Leisure Ltd (ASX: ALL) have all experienced substantial declines despite still operating in industries with strong long-term growth prospects.

Personally, I think it’s important to recognise that many of these businesses haven’t suddenly become bad companies. In many cases, the share price weakness reflects changing sentiment, macroeconomic concerns, or broader market rotations rather than a collapse in the underlying businesses.

Market pullbacks can create powerful opportunities

History shows that periods of widespread pessimism can sometimes create the best opportunities for long-term investors.

When high-quality Australian shares fall sharply alongside the broader market, investors occasionally get the chance to buy great businesses at prices that simply weren’t available during more optimistic times.

Of course, not every falling stock is a bargain. Some companies decline for very good reasons, and careful analysis is always important.

But when large numbers of quality businesses are trading well below their previous highs at the same time, it can create an environment that favours patient investors.

A long-term perspective matters

One thing I always remind myself is that wealth in the share market is usually built over many years.

Trying to perfectly time the bottom is almost impossible. Instead, long-term investors often benefit from gradually building positions in strong businesses when sentiment is weak.

If the current pullback deepens, that opportunity could become even more attractive.

Foolish Takeaway

The ASX 200 might still look relatively strong on the surface, but the broader market tells a very different story.

Many high-quality Australian shares are already down 30% to 50% from their highs or sitting at multi-year lows. In my view, the strength in bank and mining shares has largely masked how difficult the past year has been for many other sectors.

That disconnect could mean something important. For long-term investors willing to look beyond the headline index level, this period may turn out to be one of the most attractive opportunities in years to start building wealth in Australian shares.

The post Australian shares: A once-in-a-decade chance to build wealth? appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in CSL. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL, Cochlear, Telix Pharmaceuticals, Temple & Webster Group, Treasury Wine Estates, WiseTech Global, and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has positions in and has recommended Amcor Plc, Treasury Wine Estates, WiseTech Global, and Xero. The Motley Fool Australia has recommended CSL, Cochlear, Flight Centre Travel Group, Pro Medicus, Telix Pharmaceuticals, 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.