If you are on the hunt for big returns for your portfolio, then it could be worth checking out the two S&P/ASX 200 Index (ASX: XJO) shares listed below.

That’s because they have been named as buys and tipped to rise up to 45%. Here’s what is being recommended:

Megaport Ltd (ASX: MP1)

This network services company could be an ASX 200 share with significant upside potential according to Morgans.

It was impressed with its performance in FY 2026 and its guidance for the year ahead. As a result, it recently put a buy rating and $25.00 price target on Megaport’s shares. This implies potential upside of approximately 45% from current levels.

Commenting on its recommendation, the broker said:

MP1’s FY26 underlying EBITDA and FY27 EBITDA guidance were above market expectations. Both Network and Compute delivered record growth. At first glance, simple maths suggests MP1’s funding position looks tight. However, there is nearly $500m of additional funding that got lost in translation. We think MP1 ends FY27 with nearly $600m of surplus liquidity (assuming no new deals get signed).

Deals already contracted deliver $620m of annualised contracted EBITDA which means after EBITDA lifts 3x YoY in FY27, it will more than double into FY28, based on deals already signed. We upgrade to a Buy recommendation and $25 target price.

Monadelphous Group Ltd (ASX: MND)

Morgans also sees potential for this ASX 200 share to deliver market-beating returns over the next 12 months.

In response to its results last month, the broker retained its buy rating and $35.80 price target on Monadelphous shares. Based on its current share price of $29.01, this implies potential upside of 23% for investors. It commented:

FY26 was strong with EBITDA +49% YoY and NPAT +60%. Management seemed comfortable talking up the outlook more generally – across iron ore, energy, gold, rare earths and lithium – however expectations for FY27 were tempered by framing it as a consolidation year. While we acknowledge that the 1H27 comp will be difficult (1H26 revenue +45% YoY), the key lead indicators suggest that strong growth will continue into FY27 and beyond, as the E&C order book has more than doubled YoY to nearly $1.2bn (from $570m at FY25). 

MND’s E&C business has never been better positioned to start the year and can capture more of the value chain during this development cycle (civils, NPI, fabrication), with the mega-projects still to be awarded (Nolans, P2000, Hemi and Mt Holland). We maintain our BUY recommendation. Target price unchanged at $35.80.

The post 2 top ASX 200 shares tipped to return 23% to 45% appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in Megaport. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Megaport. 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 Westgold Resources Ltd (ASX: WGX) share price is in focus as the company released its FY27 guidance and updated Three-Year Outlook, aiming to lift gold production to around 500,000 ounces by FY29 while lowering costs.

What did Westgold Resources report?

• FY27 gold production guidance: 385,000–425,000 ounces at an All-In Sustaining Cost (AISC) of $2,980–$3,380 per ounce
• Growth capital investment planned at $450 million–$480 million in FY27
• Exploration and resource definition spend: $50 million–$75 million in FY27
• Three-year outlook (3YO): FY29 production targeted at 460,000–510,000 ounces at a reduced AISC of $2,640–$3,000/oz
• Group processing capacity expected to rise above 7 million tonnes per annum by FY29 through brownfield expansions
• Over $150 million planned investment into exploration and resource definition across the outlook period

What else do investors need to know?

Westgold’s growth plan is fully funded and mainly driven by increased ore availability from the Murchison, brownfield expansions at the Cue and Meekatharra hubs, and development at the company’s largest mines. The plan assumes higher production and improved mill utilisation, resulting in lower unit costs and stronger cash flows by FY29.

Importantly, the Fletcher Zone at Beta Hunt, seen as Westgold’s largest organic growth opportunity, is excluded from this three-year base case while studies continue. Management indicates Fletcher could add around 140,000 ounces per year once developed, potentially pushing group production past 600,000 ounces annually.

The company’s strategy also includes maintaining shareholder capital returns, with support for its dividends and broader capital return policy even through periods of elevated investment.

What did Westgold Resources management say?

Wayne Bramwell, Managing Director & CEO said:

Westgold’s updated 3YO is a high confidence, executable organic growth plan lifting Group production towards 500,000 oz in FY29. This plan is fully funded with Group All-In Sustaining costs forecast to fall as the benefits of higher-grade ore availability and expansion of key Murchison mines and processing capacity to >7Mtpa are realised, delivering enhanced Group cashflow… Importantly, Westgold’s growth is organic and not coming at the expense of shareholder returns. Our business is now more resilient and has the capacity to internally fund growth while continuing to support our Shareholder Capital Returns Policy, dividends and ongoing capital returns.

What’s next for Westgold Resources?

Westgold plans to focus capital investment in the Murchison region, rolling out processing hub expansions at Cue and Meekatharra through FY27 and FY28. The group is aiming for steady production growth, improved mill utilisation and flexible production driven by higher confidence in ore reserves and enhanced mining fronts.

Looking further ahead, Westgold’s ongoing exploration and development studies, especially in the Fletcher Zone at Beta Hunt, remain watch points for potential upside beyond the current outlook. The company expects 3YO capital spend to decline after the initial peak, with benefits flowing through higher production and free cash flow.

Westgold Resources share price snapshot

Over the past 12 months, Westgold Resources shares have risen 73%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has risen 1% over the same period.

View Original Announcement

The post Westgold Resources outlines three-year growth plan and FY27 guidance 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.

Dividend income may seem increasingly attractive these days following the Australian Federal budget tax changes. Dividend yields above 8% could be particularly attractive.

Some investors may want a lot of passive income, with capital growth now seeming less appealing than it used to be.

I’m going to talk about two names with particularly high dividend yields that could be compelling long-term buys.

WAM Leaders Ltd (ASX: WLE)

WAM Leaders is a listed investment companies (LICs) that targets ASX blue-chip shares. It is one of the leading LICs on the ASX, in my view.

The Wilson Asset Management investment team actively look for undervalued businesses at the larger end of the ASX’s market capitalisation list.

Some of the businesses it has actively invested in include Stockland Corporation Ltd (ASX: SGP), Rio Tinto Ltd (ASX: RIO), James Hardie Industries plc (ASX: JHX), Mirvac Group (ASX: MGR) and South32 Ltd (ASX: S32).

The portfolio has performed solidly over the long-term – since inception in May 2016 it has returned an average of 12.2% per year to August 2026, before fees and expenses and taxes. That return has been almost 3% better per annum than the S&P/ASX 200 Accumulation Index (ASX: XJOA).

By generating good investment returns, a LIC like WAM Leaders can pay dividends in both good years and tough years.

WAM Leaders has increased its annual payout per share each year since FY17, meaning it has delivered around a decade of ongoing dividend growth for shareholders.  

Its FY26 payout was 9.6 cents per share, which translates into a grossed-up dividend yield of 10.4%, including franking credits, at the time of writing.

Future Generation Australia Ltd (ASX: FGX)

Future Generation Australia is another LIC. I think that structure is very effective for being able to pay regular dividends to investors from investment returns generated over the long-term.

While many fund managers charge sizeable investment fees (and performance fees), there are no management costs in relation to this particular LIC.

Future Generation Australia is invested in the funds of more than a dozen fund managers who all work for free so that the LIC can donate 1% of its net assets each year to youth-focused charities.

By having such a diversified portfolio, giving exposure to hundreds of underlying ASX shares, I think Future Generation Australia can be a great addition to Aussies who don’t want such a focus on ASX mining shares and ASX bank shares. The S&P/ASX 200 Index (ASX: XJO) is dominated by banking and miners, whereas the Future Generation Australia portfolio is significantly invested in smaller ASX shares (with more growth potential).

The ASX share has increased its annual dividend per share each year since 2015 – that’s more than a decade of consistent payout growth. It plans to pay an annual dividend per share of 7.6 cents for 2026, which translates into a grossed-up dividend yield of 8.04%, including franking credits, at the time of writing.

I think these are two of the most compelling ASX share ideas for passive income.

The post 2 ASX shares with dividend yields above 8% appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Wednesday
• Could this exciting growth stock be set to triple? Morgans thinks it can
• How much do I need to retire on $80,000 a year at 50?
• Here are the top 10 ASX 200 shares today
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Motley Fool contributor Tristan Harrison has positions in Future Generation Australia. 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.