Mineral Resources Ltd (ASX: MIN) shares are back on the radar for passive-income investors.

The lithium miner declared a surprise return of shareholder dividends as part of its FY26 earnings announcement last month. The company last paid shareholders an interim payment back in March 2024.

Mineral Resources posted its strongest financial results in its 20-year history in August. The company said the improvement was driven by Mining Services growth, the ramp-up of its Onslow Iron, and improved lithium performance and prices.

The miner’s annual performance saw its finances return to profit after a difficult FY25, helped by stronger operating performance across the business in FY26. Mineral Resources revenue jumped 44% and underlying EBITDA surged 183%. Meanwhile, underlying NPAT came in at $822 million, versus a $112 million loss a year earlier.

The news puts the miner’s shares firmly back in the spotlight.

But what exactly would it take to earn the passive income you want from Mineral Resources shares?

Let’s investigate, using a $500 monthly passive income as an example.

What passive income does Mineral Resources pay its shareholders?

Mineral Resources has declared a fully-franked final dividend of 83 cents per share for FY26. This represents a 20% payout of underlying NPAT and was much higher than the market expected.

At the Mineral Resources share price of $64.20 at the time of writing, the dividend translates to a yield of around 1.3% before franking credits.

Mineral Resources shares are scheduled to trade ex-dividend on 8 September, with the record date falling on 9 September.

The company will then pay the dividend on 30 September.

So, how many Mineral Resources shares do I need to own to generate $500 per month of passive income?

Using the FY26 total dividend payment of 83 cents per share, investors would need to own around 7,229 Mineral Resources shares in order to earn $500 per month (equivalent to $6,000 per year) in passive income.

What would that cost me?

Using the $64.20 share price at the time of writing, investors would need to invest roughly $464,101 into Mineral Resources shares in order to earn $500 per month in passive income in FY26.

It’s not a small amount, but it could be worth it in the long run.

And remember, you don’t need to invest the entire amount in one go. Start off small and let compound growth do some of the work for you.

Could the Mineral Resources dividend payout keep climbing higher in FY27 and beyond?

Mineral Resources said the reinstated dividend reflects the company’s confidence that its balance sheet is healthy and that it is generating cash to sustain returns through the cycle.

Management expects volumes to continue growing across its mining services business, as well as iron ore, lithium, and other commodities in FY27.

If that growth comes to fruition and the company’s debt continues to fall, management could be in a strong position to reward shareholders with higher dividends going forward.

The post How many Mineral Resources shares do I need to buy for $500 per month of passive income? appeared first on The Motley Fool Australia.

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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 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.

These two very different companies have brokers excited, with Macquarie and Morgans recently releasing research notes with bullish share prices on each.

Let’s see who they like

Alpha HPA Ltd (ASX: A4N)

Alpha HPA is commercialising a process to manufacture ultra-high purity aluminium for use in high-tech applications.

Stage one of the company’s operations has been operational since late 2022, with the output being used for customer qualification, product validation and process optimisation.

A second stage is under construction, with first production expected for late 2027, and annual production targeted at 10,000 tonnes per year.

The company said in its recent annual report:

Using its proprietary Smart SX Technology, Alpha HPA has pioneered the world’s first application of solvent extraction to aluminium purification, enabling the production of a growing portfolio of ultra-high purity alumina, aluminium nitrate, aluminium hydroxide and synthetic sapphire material. The Company’s products are supplied to global markets including advanced semiconductors, Direct Lithium Extraction (DLE), lithium-ion batteries, pharmaceutical, LED lighting and synthetic sapphire, where exceptional purity and performance are critical.

Macquarie said in its research note that the company’s net loss of $42.7 million for FY26 was ahead of their estimates due to better stage one operating performance and higher grant income.

The broker said data centre construction was driving HPA demand in the semiconductor sector, and Alpha HPA was well-placed to take advantage of this.

Macquarie added:

Alpha is a compelling opportunity for long-term investors giving exposure to the AI theme along with attractive financial metrics at full ramp-up.

The broker has a share price target of $1 on Alpha HPA shares compared to 59.5 cents currently.

ReadyTech Holdings Ltd (ASX: RDY)

This company is a software as a service provider of cloud and AI software used in the education, workforce, government and justice sectors.

The company reported full year revenue of $125 million, at the lower end of revised guidance of $125-$127 million, with underlying EBITDA coming in at $35 million.

The company’s Chief Executive Officer Marc Washbourne said of the result:

FY26 was a year in which we strengthened the foundations for growth, transformed for an AI world and took decisive action on cost and capital allocation. Our result finished within revised guidance, with cash margin reaching what we believe is a low point. Our flagship products continue to compound. That was offset by elevated churn in parts of the mature portfolio, and enterprise customers where contracts are signed but subscription revenue is yet to commence as implementations progress.

The company is guiding to improved revenue of $128-$132 million this financial year.

Broker Morgans said the company was well-placed with its investment cycle having largely peaked.

They added:

Despite having seen more protracted implementation/sales cycles and churn in recent times, we still see RDY in a solid position to deliver growth over coming years as customers seek to modernise their enterprise software and convert from legacy systems. We have a speculative buy rating on the stock.

Morgans has a price target of $2.25 on ReadyTech compared to $1.51 currently.

The post 2 ASX shares tipped by brokers to return 49% to 68% appeared first on The Motley Fool Australia.

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Motley Fool contributor Cameron England 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 Macquarie Group and ReadyTech. The Motley Fool Australia has recommended Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Warren Buffett is famous for buying great businesses and holding them for years, sometimes decades. But “buy and hold” doesn’t mean “buy and never sell” your ASX shares.

Buffett has demonstrated that investors should be prepared to change their minds when the facts change. For ASX investors, there are three particularly important reasons to consider selling.

Something better comes along

One of Buffett’s most useful ideas is opportunity cost.

You don’t necessarily need to think a company is bad to sell it. If you own a decent business but another high-quality blue chip offers substantially better growth prospects, stronger economics or a much more attractive valuation, switching can make sense.

Buffett has done exactly this over the years, exiting businesses when he concluded his capital could be deployed more effectively elsewhere.

The same principle applies to ASX shares. If you own a mature company growing earnings at 4% a year on an expensive valuation, while another excellent business offers significantly better prospects at a similar price, it may be time to reconsider where your money is working hardest.

The economics or business proposition changes

This is arguably the most important reason to sell one of your ASX shares. Buffett doesn’t fall in love with a stock ticker. He focuses on the underlying business.

If the competitive advantage disappears, management changes direction, industry economics deteriorate or the company’s prospects are fundamentally different from when you bought it, the original investment thesis may no longer apply.

ASX investors have plenty to consider right now. Banks, for example, remain some of Australia’s most important companies, but changing mortgage demand, competition and interest-rate expectations can alter the earnings outlook of say Commonwealth Bank of Australia (ASX: CBA).

Energy companies like Woodside Energy Group Ltd (ASX: WDS) provide another example. A company can dramatically change its strategy as commodity prices, capital requirements or the global energy landscape shifts.

The lesson is simple: don’t hold a share just because you once loved the story.

When your position size becomes too big

Sometimes the company hasn’t done anything wrong — you’ve simply won too much.

Imagine buying an ASX share that doubles or triples and suddenly represents 35% of your portfolio. The business may still be fantastic, but your portfolio is now heavily dependent on one company.

Buffett has allowed Berkshire Hathaway’s biggest investments to become enormous, but individual investors don’t have Berkshire’s capital base, diversification or financial resources.

Taking some profits from a runaway winner can therefore be sensible risk management. Remember, you can sell a portion without abandoning the investment altogether.

Foolish Takeaway

The Buffett approach isn’t really “never sell”. It’s “know why you own something”.

If a better opportunity emerges, the business proposition changes, or one holding becomes too dominant, selling your ASX shares can be just as rational as buying them in the first place.

The post When to sell your ASX shares? Warren Buffett has 3 answers appeared first on The Motley Fool Australia.

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• Buy, hold, sell: Mineral Resources, Ansell, CBA shares

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 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.