A new report from Global X has provided an overview of the recent US earnings season. One key takeaway is that artificial intelligence focussed ETFs could be a winner. 

The key takeaway from the latest US reporting season is simple: company earnings are coming in stronger than investors expected. Most US companies have now reported, and earnings growth has been notably higher than last quarter, and importantly, it hasn’t been driven by just a handful of big tech names.

Why this is good news for ETF investors

According to the report, earlier concerns around the Middle East pushed oil prices higher and increased volatility, but markets have since settled and refocused on fundamentals.

For long-term investors, broad earnings strength is reassuring. It suggests the market is being supported by real business growth, not just hype or speculation.

This matters for three reasons:

• Broader earnings reduce reliance on any single company or sector
• It supports diversification – a core reason many investors use ETFs
• It lowers the risk that one weak area can derail overall portfolio outcomes

AI development 

The report also reinforced that artificial intelligence continues to attract attention, but what’s changed is where the evidence is showing up.

Large global technology companies are now spending real money on AI infrastructure including data centres, cloud capacity, chips and power. Capital spending plans across the biggest US tech firms have been revised higher, and cloud revenue growth is accelerating rather than slowing.

This confirms that  AI demand is real, not theoretical and the benefits are spreading beyond software into hardware, infrastructure and materials. 

Why artificial intelligence ETFs are a strategic play

The appeal of AI ETFs is the opportunity to diversify across the whole artificial intelligence landscape. 

AI is more than just chatbots and headline-grabbing software. 

The sector spans semiconductor manufacturers, cloud infrastructure providers, cybersecurity firms, robotics companies, data center operators, and businesses developing machine learning applications across industries such as healthcare, finance, and transportation.

How to target artificial intelligence ETFs

There are several options for investors to consider who are aiming to target this emerging sector. 

One option is the Global X Ai Infrastructure ETF (ASX: AINF). 

It focuses on the physical and operational backbone enabling AI’s global expansion. While most AI investments focus on chips or platforms, AINF ETF looks underneath the surface at the energy, data, and materials infrastructure powering this transformation.

This fund has risen more than 60% in the last 12 months. 

Another option to consider is the Global X Artificial Intelligence ETF (ASX: GXAI). 

It seeks to invest in companies that potentially stand to benefit from the further development and utilisation of artificial intelligence (AI) technology in their products and services, as well as in companies that provide hardware facilitating the use of AI for the analysis of big data.

The post Why US earnings is good news for artificial intelligence ETFs: Expert appeared first on The Motley Fool Australia.

More reading

• These ASX ETFs are smashing record highs 
• The best way to invest in AI on the ASX
• These ASX ETFs just hit 52-week highs but I’d still buy them
• 3 exciting ASX ETFs for growth investors to watch in May
• All-weather ASX ETFs to buy if the market crashes 20%

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.

The S&P/ASX 200 Index (ASX: XJO) has been volatile so far in 2026, and has shed over 6% since peaking at an all-time high in early March.

Many companies on the index are facing significant headwinds and issuing profit warnings or downgrading guidance. But there are a few ASX 200 shares going from strength to strength, and brokers tip they could fly up to 126% higher over the next 12 months. 

Resolute Mining Ltd (ASX: RSG)

Resolute shares have enjoyed a fantastic rally over the past 12 months. At the time of writing, the shares are up 137% over the past year, and they’re 13% higher for the year to date. As an ASX 200 gold stock, Resolute’s shares have benefited from an uptick in gold over the past year. The miner has also reached some impressive feasibility milestones and posted a significant uptick in its gold production figures. The company expects production to keep climbing this year, too, to around 250,000 to 275,000 ounces at an all-in sustaining cost of $2,000 to $2,200. Brokers are very bullish on the shares and expect they could jump another 75% to $2.46 a piece, at the time of writing.

Life360 Inc (ASX: 360)

Life360 shares have faced a plethora of headwinds recently. From a tech-sector-wide sell-off, a rotation away from AI-related stocks, and concerns that prices had become overvalued. Slumping sentiment means the shares have now slumped 67% from an all-time high of $55.87 recorded in October last year. They’re also down 43% for the year to date. But the ASX 200 company recently reported a 38% increase in revenue for the latest quarter, and upgraded its FY26 adjusted EBITDA and revenue guidance. Brokers are very bullish about the outlook for Life360 shares over the next 12 months, with consensus of a strong upside ahead. They tip the shares to climb another 83% to $34.01.

Cochlear Ltd (ASX: COH)

Cochlear shares crashed in April after the ASX healthcare company downgraded its FY26 earnings guidance, citing weaker conditions across developed markets and softer demand. At the time of writing, the shares are trading at the lowest level seen in over a decade. The guidance downgrade came off the back of a softer-than-expected half-year result earlier this year, and a sector-wide rotation away from ASX healthcare shares, as global volatility, a weaker US dollar, higher US tariffs, and increased labour costs prompted investors to sell up their holdings. Brokers aren’t deterred, though. They still rate the stock as a buy and are tipping a potential 126% upside to $219.06, at the time of writing.

WiseTech Global Ltd (ASX: WTC)

WiseTech shares have been beaten down over the past 10 months, with the tech company hit by multiple and consecutive headwinds, including a tech-sector sell-off, AI concerns, and conflict in the Middle East, which sent its share price tumbling. The downturn has accelerated in 2026, and even after some promising upticks, the share price keeps on tumbling. At the time of writing, the shares have hit a four-year low. But the company maintains its FY26 guidance figures and expects a healthy EBITDA margin of around 40% to 41%. Brokers think the stock could stage a turnaround. They rate the ASX 200 share a strong buy and see 114% upside to $78.86 at the time of writing. 

The post 4 ASX 200 shares tipped to climb 75% to 126% higher appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Why Alkane Resources, Bapcor, PLS, and Resolute Mining shares are sinking today
• 3 ASX shares down over 60% that could be bargain buys
• WiseTech shares crash 65% — is the bottom near?
• ASX tech shares vs. ATEC ETF: How they fared during sector downturn

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

Building passive income from ASX shares is easier than you might think.

I believe the best approach is to keep things simple, focus on quality, and give the income stream time to grow.

Dividends can never be taken for granted, of course. Companies can cut or suspend payouts if earnings come under pressure. But with a sensible strategy, ASX shares can still be a powerful way to build income over time.

Here is how I would approach it.

Step one: choose quality dividend shares

The first step is to focus on businesses that can actually support their dividends.

A high dividend yield can look attractive, but it is not always a sign of value. Sometimes a yield is high because the share price has fallen and the market is worried that the dividend may not be sustainable.

That is why I would start with quality.

For me, that means looking for ASX shares with strong market positions, solid balance sheets, reliable cash generation, and a history of paying shareholders.

The big banks can play a role in an income portfolio because of their profitability and franked dividends. Miners such as BHP Group Ltd (ASX: BHP) can also provide large dividends when commodity markets are favourable, though investors need to remember that mining payouts can move around with earnings.

I would also consider defensive businesses such as Telstra Group Ltd (ASX: TLS), Woolworths Group Ltd (ASX: WOW), and Transurban Group (ASX: TCL). These companies operate in areas where demand can be more resilient than many parts of the economy.

The goal is not to find the highest yield possible. It is to build an income stream that has a better chance of lasting.

Step two: diversify the income stream

The second step is diversification.

I would not want my passive income to depend too heavily on one company or one sector.

The ASX is known for dividends, but it is also heavily weighted toward banks and miners. That can be useful, but it can also create concentration risk.

If an investor owns only bank shares, their income may be vulnerable to credit losses, mortgage competition, regulation, and the housing cycle. If they own only miners, their dividends may depend too much on commodity prices.

That is why I think a stronger income portfolio should include different types of businesses.

Banks can provide franked dividends. Retailers can add exposure to consumer spending. Infrastructure shares can provide more defensive cash flows. REITs can offer property-backed distributions. Telcos can add another layer of essential-service income.

A portfolio might include a mix of names such as Commonwealth Bank of Australia (ASX: CBA), Wesfarmers Ltd (ASX: WES), Transurban, Telstra, and HomeCo Daily Needs REIT (ASX: HDN).

The exact mix will depend on the investor, but the principle is the same. A wider spread can help reduce the damage if one dividend disappoints.

Step three: reinvest and let the passive income grow

The third step is to think long term.

Passive income can start small. A $10,000 portfolio yielding 4% would generate around $400 a year. That is useful, but it will not change someone’s financial life overnight.

The real power comes from building the portfolio over time.

While still working, I would reinvest dividends where possible. That allows the income to buy more shares, which can then generate more dividends in future years.

I would also keep adding fresh savings regularly.

Over time, the income stream can become much more meaningful. A $100,000 portfolio yielding 4% could generate around $4,000 a year. A $500,000 portfolio at the same yield could generate around $20,000 a year.

Those figures are not guaranteed, but they show why patience matters.

Foolish takeaway

Building passive income with ASX shares can be simple, but it still requires discipline.

I would start with quality dividend shares, spread the income across different sectors, and reinvest dividends while the portfolio is growing.

There will be market downturns, dividend cuts, and periods when cash feels more comfortable than shares.

But for investors with patience, I think ASX dividend shares can be a useful way to build an income stream that may support them for many years.

The post How to build passive income with ASX shares in 3 easy steps appeared first on The Motley Fool Australia.

More reading

• How high does Morgan Stanley think BHP shares will go?
• Buying BHP shares today? Here’s the dividend yield you’ll get
• Why CBA, Paladin Energy and CSL shares crashed  9% to 17% this week
• Are Telstra shares a top buy for passive income?
• CSL shares vs CBA shares: Which is the better buy?

Motley Fool contributor Grace Alvino has positions in Commonwealth Bank Of Australia, Transurban Group, and Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Transurban Group and Wesfarmers. The Motley Fool Australia has positions in and has recommended Telstra Group, Transurban Group, and Woolworths Group. The Motley Fool Australia has recommended BHP Group, HomeCo Daily Needs REIT, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

It’s sobering to think that a year ago CSL Ltd (ASX: CSL) shares were changing hands for $235 and were on an upwards trajectory.

The stock chart since August last year highlights the story of a series of downgrades and earnings disappointments, culminating in this week’s downgrade which pushed the shares past the psychologically important $100 barrier.

The question now is, will the stock recover any time soon, or is there more pain to come?

The analyst team at Macquarie has run the ruler over the company’s latest announcementys and come up with an answer, which we’ll get to shortly.

Plenty of bad news

Firstly, let’s have a look at the bad news CSL dumped on its shareholders this week.

Flagged as a 90 day review from the interim Chief Executive Officer Gordon Naylor, CSL announced that its FY26 revenue was now expected to come in at about US$15.2 billion, lower than the US$15.6 billion posted last year.

Profit is also expected to fall from US$3.3 billion to US$3.1 billion.

The company is also expecting to make write-downs worth about US$5 billion across FY26 and FY27 in addition to write-downs already announced at the half year results.

On the upside, the company’s Behring division expects to grow revenue in the second half, “supported by underlying demand, ongoing commercial execution and benefits from operational and transformation initiatives”.

Mr Naylor said the company has turnaround plans in place, they just haven’t borne fruit as yet.

As he said:

Our growth initiatives are working, but the financial benefits will take longer than previously anticipated to materialise. As a result, we have now revised down our 2026 financial year guidance. CSL’s culture and people continue to be first class, the industry is stable and growing and the company has evident strengths in plasma collections and influenza vaccines. I am confident that the company can be returned to profitable growth and my work is to position the business and the next CEO for success.

The company’s global search for a permanent Chief Executive is ongoing.

Analysts unimpressed

Macquarie’s research note on CSL, issued this week, was titled “A bloody mess”.

The analyst team went on to say:

We have applied a 20% discount to our target price to reflect earnings uncertainty. This incorporates risks around the scale/duration of immunoglobulin inventory issues, greater volume decline in the China albumin market, and ongoing management uncertainty. We would expect to partially or fully unwind this discount as these risks diminish, either through improved operational delivery or as further analysis provides us with a higher level of comfort that these risks have subsided.

Macquarie has a price target of $111 on CSL shares.

CSL is valued at $46.58 billion.

The post Where to from here for CSL shares according to Macquarie appeared first on The Motley Fool Australia.

More reading

• 5 ASX shares downgraded by brokers this week
• Why CBA, Paladin Energy and CSL shares crashed  9% to 17% this week
• CSL shares vs CBA shares: Which is the better buy?
• Why CSL shares could be one of the best buys on the ASX right now
• Is the worst over for CSL shares after this week’s sell-off?

Motley Fool contributor Cameron England has positions in CSL. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL and Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool Australia has recommended CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

There are a lot of ASX 200 shares to choose from on the local market.

To narrow things down, let’s see if Morgans rates these shares as buys, holds, or sells this week.

Here’s what the broker is saying about them:

Graincorp Ltd (ASX: GNC)

This grain exporter’s half-year results disappointed due to a weak performance from the Nutrition & Energy business.

And with concerns over its outlook, Morgans has downgraded GrainCorp’s shares to a hold rating with a $5.62 price target. It explains:

GNC’s 1H26 result was weak but broadly in line with consensus at the NPAT level. Business unit performance was stronger for Agribusiness but materially weaker for Nutrition & Energy given a one-off derivate [sic] timing issue. GNC reported a significantly larger than expected cash outflow and its core cash position was also lower than expected. The era of special dividends now appears to be over. GNC reiterated its FY26 earnings guidance.

The outlook for the FY27 winter crop is one of caution given grain grower’s cost pressures and the BOM’s dry outlook. We have downgraded our forecasts for a much smaller crop. GNC’s strategic assets are worth materially more than its current share price. However, given earnings look set to decline again in FY27, the stock is lacking share price catalysts, and we move to a HOLD recommendation.

Treasury Wine Estates Ltd (ASX: TWE)

This wine giant’s shares could be undervalued according to Morgans.

In response to significant share price weakness and an improving outlook, the broker has upgraded Treasury Wine shares to a buy rating. It commented:

We see TWE’s Investor Day on 4 June as a key share price catalyst. At this event, the company intends to share its detailed plans and targets for its portfolio and operating model to support a future state TWE. TWE’s recent trading update was positive with strong depletion growth, highlighting the strength of its brands. It also has the support of its banks with new debt commitments secured.

2H26 EBITS is on track to be higher than the 1H26. Following material share price weakness, given its low trading multiples and our belief that new management can deliver more acceptable returns overtime, we upgrade to a BUY recommendation.

Xero Ltd (ASX: XRO)

Finally, Morgans was impressed with Xero’s FY 2026 results and its outlook for FY 2027.

It notes that the company’s earnings momentum continues to improve relative to consensus expectations.

As a result, it has retained its buy rating on Xero shares with an $111.00 price target. It said:

XRO reported a better-than-expected FY26 result and FY27 outlook. Earnings momentum continues to improve relative to consensus expectations. Management were confident enough to announce a buy-back and hint at potential capital management in FY28. However, investors didn’t take comfort with commentary around AI disruption risk versus reward.

Management has a plan to maximise the opportunity set (TAM) ahead of a path to AI monetisation. It’s early days in AI and the path to AI driven value creation will become clearer, over time. We retain our BUY recommendation and $111 Target Price.

The post Buy, hold, sell: GrainCorp, Treasury Wine, and Xero shares appeared first on The Motley Fool Australia.

More reading

• Brokers name 3 ASX shares to buy right now
• Here are the top 10 ASX 200 shares today
• Xero shares rip 9% as investors buy the dip amid fifth day of outages
• Why are Xero shares turning heads today?
• Why EOS, Megaport, Racura, and Xero shares are racing higher today

Motley Fool contributor James Mickleboro has positions in Treasury Wine Estates and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Treasury Wine Estates and Xero. The Motley Fool Australia has positions in and has recommended Treasury Wine Estates and Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

It has been another busy week for many of Australia’s top brokers. This has led to a number of broker notes being released.

Three broker buy ratings that you might want to know more about are summarised below. Here’s why brokers think these ASX shares are in the buy zone right now:

Catapult Sports Ltd (ASX: CAT)

According to a note out of Bell Potter, its analysts have retained their buy rating on this sports technology company’s shares with a trimmed price target of $4.50. Bell Potter is feeling positive about Catapult’s upcoming FY 2026 results. In fact, the broker suspects that Catapult could outperform EBITDA guidance and consensus estimates slightly. It then expects guidance for FY 2027 to be positive. In light of this, the broker continues to rate Catapult as its key pick in the tech sector amongst mid cap stocks. It also sees little risk of AI disruption for the stock given its extensive proprietary data, multiple product platform, and the hardware component to its solutions. The Catapult share price ended the week at $2.94.

Treasury Wine Estates Ltd (ASX: TWE)

A note out of Morgans reveals that its analysts have upgraded this wine giant’s shares to a buy rating with a $5.30 price target. The broker has been looking ahead to the Penfolds owner’s investor day event next month. It believes this event could be a key share price catalyst, with management detailing plans and targets for its portfolio and operating model. Combined with an encouraging trading update last month, Morgans is feeling more positive on the company’s outlook. So, with its shares trading on low trading multiples, the broker thinks now could be a good time to invest. The Treasury Wine share price is fetching $4.25 at the time of writing.

Xero Ltd (ASX: XRO)

Analysts at Macquarie have retained their buy rating on this cloud accounting platform provider’s shares with an improved price target of $235.80. According to the note, the broker was pleased with Xero’s performance in FY 2026 and particularly its accelerating growth in the key US market. Looking ahead, Macquarie sees potential for significant operating leverage as revenue scales across a largely fixed cost base. And while AI disruption concerns are lingering, the broker believes Xero’s proprietary customer data and ecosystem integration positions it well for the future. The Xero share price last traded at $79.67.

The post Brokers name 3 ASX shares to buy right now appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Xero shares rip 9% as investors buy the dip amid fifth day of outages
• Why are Xero shares turning heads today?
• Why EOS, Megaport, Racura, and Xero shares are racing higher today
• Billionaire buying sends this ASX 200 stock higher

Motley Fool contributor James Mickleboro has positions in Treasury Wine Estates and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Catapult Sports, Macquarie Group, Treasury Wine Estates, and Xero. The Motley Fool Australia has positions in and has recommended Catapult Sports, Macquarie Group, Treasury Wine Estates, and Xero. 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) ended the trading week on a sour note this Friday, with many ASX shares drifting lower over the session. After an early burst of optimism in morning trading, investors’ feet grew colder over the rest of the day, with the ASX 200 finishing up with a loss of 0.11%.

That leaves the index at 8,630.8 points as we head into the weekend.

This disappointing end to the Australian trading week comes after a far more optimistic trading day on Wall Street last night.

The Dow Jones Industrial Average Index (DJX: .DJI) was in a jolly mood, gaining a healthy 0.75% and once again cruising over 50,000 points.

The tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) was even more bullish, rising 0.88%.

Let’s get back to ASX shares now and dig a little deeper into what was going on with the different ASX sectors this Friday.

Winners and losers

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

More reading

• Xero shares rip 9% as investors buy the dip amid fifth day of outages
• Why are Xero shares turning heads today?
• The ASX 200 rebound has already faded. Here’s why
• Why EOS, Megaport, Racura, and Xero shares are racing higher today
• 3 ASX shares down over 60% that could be bargain buys

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

Australian technology shares have had a tough time recently.

The BetaShares S&P/ASX Australian Technology ETF (ASX: ATEC) remains down around 36% from its 52-week high, which tells us just how much sentiment has shifted.

But for long-term investors, I think that weakness could be an opportunity.

This BetaShares ETF gives investors exposure to a basket of ASX technology shares rather than asking them to pick just one winner. That can be useful in a sector where share prices can move sharply and individual company risks can be high.

What does this BetaShares ETF own?

This ETF is designed to provide exposure to Australian technology shares across software, data centres, digital platforms, cloud technology, and other tech-related industries.

One of the key holdings is Xero Ltd (ASX: XRO).

Xero provides cloud accounting software for small businesses, accountants, and bookkeepers. I like the long-term opportunity because small businesses are becoming more digital, and Xero can help them manage invoicing, payroll, payments, reporting, and cash flow in one place.

Another major holding is NextDC Ltd (ASX: NXT).

NextDC develops and operates data centres. That gives investors exposure to the infrastructure behind cloud computing, artificial intelligence, cybersecurity, and the broader growth in data usage. I think this is an attractive area because the digital economy needs more capacity, not less.

TechnologyOne Ltd (ASX: TNE) is another important name in the portfolio.

It provides enterprise software to customers such as government, education, and large organisations. These customers often need dependable systems for essential operations, which can make revenue sticky. TechnologyOne has also been expanding in the UK, giving it another long-term growth opportunity.

Exposure beyond the obvious names

This BetaShares ETF also gives investors exposure to smaller technology shares that could add useful growth potential.

Codan Ltd (ASX: CDA) is one example. It has exposure to communications, metal detection, and defence-related technology.

SiteMinder Ltd (ASX: SDR) is another. It provides hotel commerce software, helping accommodation providers manage bookings, distribution, and revenue opportunities across digital channels.

Megaport Ltd (ASX: MP1) also brings something different. Its network-as-a-service platform helps businesses connect to cloud providers and data centres more flexibly.

Why I like it after the fall

The 36% decline from the BetaShares S&P/ASX Australian Technology ETF’s 52-week high shows the risk of investing in tech shares.

Higher interest rates, weaker sentiment toward growth stocks, and concerns about valuations can all weigh heavily on this part of the market.

But I think the long-term themes remain attractive.

Businesses are still moving more operations to the cloud. Data demand is still growing. Software is still becoming more important. And Australian companies still need better digital tools to operate efficiently.

This BetaShares ETF gives investors a simple way to access those themes without having to decide whether Xero, NextDC, TechnologyOne, or another holding will be the best performer.

Foolish takeaway

The BetaShares S&P/ASX Australian Technology ETF will not suit every investor.

It is more concentrated and higher risk than a broad Australian share market ETF, and technology shares can remain volatile when interest rates and valuations are in focus.

But after a 36% fall from its 52-week high, I think the risk-reward looks more interesting.

For Aussie investors who want exposure to local technology leaders and emerging growth names, the BetaShares S&P/ASX Australian Technology ETF could be a strong buy for the long term.

The post Why this BetaShares ETF could be a strong buy for Aussie investors appeared first on The Motley Fool Australia.

More reading

• ASX tech shares vs. ATEC ETF: How they fared during sector downturn
• Where to invest $2,000 in ASX ETFs
• Here’s why I think ASX growth investors should embrace index investing in 2026
• Why these ASX ETFs could be top picks in May
• After 7 straight days in the red, where is the value for ASX 200 stocks?

Motley Fool contributor Grace Alvino has positions in Codan. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Megaport, SiteMinder, Technology One, and Xero. The Motley Fool Australia has positions in and has recommended SiteMinder and Xero. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Catalyst Metals Ltd (ASX: CYL) has had a rough month, and Friday is not giving shareholders much relief.

The ASX gold stock is trading 2.99% lower at $5.685 at the time of writing, despite the company releasing new drilling results from its Plutonic Gold Belt.

The latest fall means Catalyst shares are now down around 15% over the past month and 22% in 2026.

That pullback has taken some heat out of a stock that had previously attracted plenty of interest from gold investors.

Here are the details of the announcement.

More drilling at Old Highway

In its ASX release, Catalyst reported new drilling results from Old Highway, an undeveloped gold project near its Plutonic processing plant in Western Australia.

Old Highway sits about 40 kilometres south-west of the plant and already has a resource of 206,000 ounces at 3 grams per tonne gold.

It also has a reserve of 140,000 ounces at 3.2 grams per tonne gold. This supports an initial 4-year mine life at 35,000 ounces a year from the Zone 400 deposit.

The latest drilling was aimed at testing extensions outside the current resource envelope.

Results included 6 metres at 4.1 grams per tonne gold, 5 metres at 4.7 grams per tonne gold, and 2 metres at 17.4 grams per tonne gold.

Catalyst also reported other hits, including 12 metres at 3.7 grams per tonne gold, 5 metres at 3.7 grams per tonne gold, and 2 metres at 9.1 grams per tonne gold.

The company said some of these results fill the gap between deeper drilling and the shallower hits reported in February.

What Catalyst is trying to build

Old Highway is part of the company’s broader plan to grow production from the Plutonic Gold Belt.

Catalyst currently produces about 100,000 ounces of gold a year from the belt. Its longer-term plan is to lift that to around 200,000 ounces a year by adding new sources of ore.

Management said the Old Highway development plan will mirror Trident, starting with a small, self-funded open pit before moving into a longer-life underground mine.

These deposits also sit close to an existing processing plant, which could help lower development costs compared with building a new operation from scratch.

Foolish Takeaway

The drilling update looks solid, but it hasn’t been enough to change the direction of the share price today.

Nonetheless, the business still has plenty working in its favour. It is producing gold, generating cash, and trying to build a larger mine plan around the Plutonic Gold Belt.

After a 15% fall in a month, I think the selling looks a bit harsh. Catalyst is still drilling around deposits that could feed an existing processing plant.

The post This ASX gold stock is down 15% in a month. Here’s what just happened appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• 3 ASX 200 shares predicted to double over 12 months
• This ASX gold stock is climbing today after a big drilling update
• This ASX 200 gold miner is rising on big news
• 2 ASX mining shares to buy: experts

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.

The S&P/ASX 200 Index (ASX: XJO) is having a subdued finish to the week. In afternoon trade, the benchmark index is down 0.15% to 8,627.3 points.

Four ASX shares that are falling more than most today are listed below. Here’s why they are dropping:

Alkane Resources Ltd (ASX: ALK)

The Alkane Resources share price is down 4% to $1.51. Investors have been selling this gold miner’s shares following the release of its third-quarter result. Alkane delivered record revenue of $274.4 million for the three months ended 31 March 2026. Net profit increased to a record $93 million, which is up materially on the $8.1 million it reported in the prior corresponding period. The company’s managing director, Nic Earner, said: “Alkane has just delivered the strongest quarter in its history. During a period of high gold and antimony prices, the power of our three mine portfolio delivered exceptional operating results as they produced a record 44,669 ounces of gold and 377 tonnes of antimony, which generated record profit after taxes of $93 million.” This has been overshadowed by broad weakness in the gold industry today.

Bapcor Ltd (ASX: BAP)

The Bapcor share price is down a further 5.5% to 39.7 cents. This auto parts retailer’s shares have been sold off this week following the release of another disappointing update. Bapcor revealed that its performance in the second half of FY 2026 has been negatively impacted by the Middle East conflict. This means that it now expects underlying EBITDA in the range of $144 million to $150 million, which is down from its previous guidance of $150 million to $160 million. Bapcor’s CEO, Chris Wilesmith, commented: “We are pleased with the positive momentum of the turnaround, which has been delivered through decisive actions we’ve taken to improve pricing, stock availability and team engagement. This is despite the challenging external environment which was not contemplated when we began this turnaround, and which has slowed the rate of improvement contemplated in our previous guidance.”

PLS Group Ltd (ASX: PLS)

The PLS share price is down 6.5% to $5.97. This is despite there being no news out of the lithium miner on Friday. However, it is worth noting that lithium stocks on Wall Street tumbled overnight. This appears to have led to ASX lithium stocks following suit today. Despite this decline, PLS shares are still up around 270% since this time last year.

Resolute Mining Ltd (ASX: RSG)

The Resolute Mining share price is down almost 7% to $1.30. Investors have been selling this gold miner’s shares after it was forced to retract an announcement from earlier this week relating to a scoping study. It said: “Following consultation with ASX, the Company has been advised that it did not have a reasonable basis for those forward-looking statements due to the reliance on inferred resources in the production targets, resulting in the published production targets and forecast financial information being inconsistent with the requirements of the ASX Listing Rule 5.16 6.”

The post Why Alkane Resources, Bapcor, PLS, and Resolute Mining shares are sinking today 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.