Spring has arrived, which can be a good excuse to take another look at a portfolio and consider what might be worth adding.

If I had $20,000 ready to invest today, I would put it behind three businesses I think have plenty of room to grow over the years ahead.

Here’s what I would buy.

Pro Medicus Ltd (ASX: PME)

Pro Medicus would probably receive the largest portion of my money.

Its Visage software is already used by some of the largest healthcare systems in the US, yet the company estimates it still has only around 11% of that market.

I think that is a powerful combination. Pro Medicus has proved its technology can handle the demands of major hospital networks, while most of the potential US market remains available.

The opportunity is also expanding beyond radiology. Cardiology and enterprise imaging could allow Visage to handle more of the medical images produced across a healthcare organisation. Artificial intelligence may create further opportunities as hospitals look for faster and better ways to work with growing volumes of imaging data.

Over a long timeframe, I think Pro Medicus can win many more customers while becoming increasingly valuable to those it already serves.

James Hardie Industries plc (ASX: JHX)

James Hardie gives me exposure to a very different type of long-term opportunity.

This ASX share is best known for fibre cement building products, particularly in North America, where its products are used across housing construction and renovation.

What interests me is the amount of existing housing that will need to be repaired, renovated, or upgraded over the coming decades.

Homeowners do not need a housing boom for that spending to happen. Ageing properties eventually need work, and James Hardie’s products can benefit when owners replace siding or invest in improving their homes.

The company’s acquisition of AZEK also expands its presence across outdoor living products such as decking and railing. I think that gives James Hardie more ways to participate when homeowners spend money improving the outside of their properties.

Sigma Healthcare Ltd (ASX: SIG)

My final investment would go into Sigma Healthcare.

Following its merger with Chemist Warehouse, investors now have exposure to one of Australia’s best-known pharmacy and retail businesses.

I think the next stage of the story could increasingly happen overseas. Chemist Warehouse already has a growing presence in New Zealand and has started testing the UK market. If its value-focused retail model travels successfully, the addressable opportunity becomes far larger than Australia alone.

There is still room to grow domestically through stores, online sales, pharmacy services, and the wider distribution business.

I think Sigma now has several avenues to become a much larger healthcare and retail company over time.

Foolish takeaway

With $20,000 to invest this spring, I would be comfortable putting the entire amount to work across these three ASX shares.

Most importantly, I would be buying with several years in mind and giving each business time to pursue the opportunities already in front of it.

The post Where I’d invest $20,000 in ASX shares this spring appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Gold shares delivered the standout month of the Australian reporting season.

Morgan Stanley calculates that the sector rose 34% across August.

The gold price then fell 2.9% on Friday night to US$4,529.90 an ounce.

Traders were reacting to rising expectations of United States interest rate hikes, so the question that remains is whether September can continue August’s good momentum.

Why gold shares ran so hard

Gold spent most of August trading around US$4,500 an ounce.

At that level, the economics of an Australian gold mine look extraordinary.

My colleagues noted that the conversation has shifted away from the gold price itself and toward cash flow, balance sheets and dividends.

That is what a maturing sector looks like, however, any future gains may be harder to come by.

Northern Star: a record year with a warning attached

Northern Star Resources Ltd (ASX: NST) is the largest of the ASX gold shares and the clearest illustration of the problem at hand.

The company’s FY26 result delivered revenue of $7.6 billion, underlying EBITDA of $4.3 billion and underlying net profit after tax of $1.8 billion.

The company sold 1.54 million ounces at an all-in sustaining cost of $2,698 an ounce.

Lastly, the full-year dividend rose to 55 cents per share.

Then you reach the cash flow statement.

Underlying free cash flow was just $190 million, because capital spending at KCGM has hit its peak.

FY27 guidance sharpens the point further, with production of 1.5 million to 1.65 million ounces expected at an all-in sustaining cost of $3,050 to $3,450 an ounce.

That is a rise of several hundred dollars an ounce in a single year.

There is a leadership change to absorb as well.

Stuart Tonkin stepped down as managing director on 28 August, with Ryan Gurner serving as interim chief executive until Suresh Vadnagra takes over on 5 October.

Capricorn Metals: the low-cost alternative

Capricorn Metals Ltd (ASX: CMM) is a fraction of Northern Star’s size. The company produced a record 123,589 ounces in FY26 at an all-in sustaining cost of $1,629 an ounce.

Cash costs before royalties were only $1,251 an ounce.

Cash and gold holdings stood at $507 million, and the company declared a fully franked final dividend of 5 cents per share in late August.

FY27 should be bigger.

Capricorn is guiding to 137,000 to 147,000 ounces as the Karlawinda expansion is commissioned, heading toward a 150,000 ounce annual run rate.

Costs are expected to rise to between $1,900 and $2,100 an ounce, which is still well below Northern Star’s guidance.

Behind that is Mt Gibson, where reserves now stand at 5.2 million ounces and federal environmental approval has been granted.

What could end the run in gold shares

Two things would do it.

The first is a sustained fall in the gold price, and the rate hike expectations driving Friday’s move are a genuine risk.

Higher real interest rates make a non-yielding asset less attractive, and gold has always been sensitive to that.

The second is cost inflation, which the FY27 guidance from both companies already flags clearly.

Foolish takeaway

A 34% month is most likely not repeatable, and I would not buy this sector expecting one.

What has changed is that the better operators are now generating real cash and paying real dividends.

Capricorn looks like the more disciplined business on cost, while Northern Star offers scale and a much larger production base.

Both need the gold price to hold somewhere near current levels to justify their FY27 spending plans.

For investors who want exposure, gold shares are worth owning as a portfolio hedge.

The post ASX gold shares soared 34% in August. Is the run over? appeared first on The Motley Fool Australia.

More reading

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• Northern Star shares slide 5% as investors digest another surprise
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• 5 things to watch on the ASX 200 on Monday

Motley Fool contributor Mark Verhoeven has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The ANZ Group Holdings Ltd (ASX: ANZ) share price is trading around $37.20 on Tuesday.

At that level, I would not describe the big four bank as obviously cheap.

But I think there is enough on offer to make the shares attractive, particularly for investors looking for income.

A fair price for a major bank

According to CommSec, consensus estimates put ANZ’s earnings per share at $2.57 in FY26 and $2.55 in FY27.

That means the shares are trading on a PE ratio of around 14.5 times forecast earnings.

For me, that sits closer to fair value than bargain territory.

The earnings forecasts are also essentially flat, so I would not buy ANZ expecting rapid profit growth over the next couple of years.

But that does not make the investment unattractive.

ANZ remains one of Australia’s largest banks, with substantial operations across retail, business, and institutional banking. Its scale gives it access to a large customer and deposit base, while its business mix provides several sources of earnings.

I think paying a reasonable multiple for that kind of established banking franchise can still produce a worthwhile result over time.

Income is a bigger part of the case

The dividend is where ANZ becomes more interesting to me.

Consensus forecasts are for dividends of $1.66 per share in both FY26 and FY27.

At the current ANZ share price, that equates to a forward dividend yield of around 4.5%.

These payments are expected to be partially franked, rather than fully franked, so investors should keep that in mind when comparing ANZ with other Australian banks.

Still, I think the cash yield itself is attractive.

Further, the expected payment is comfortably below projected earnings per share. That gives me more confidence in the sustainability of its dividend than I would have if the bank were distributing nearly everything it earned.

Risks

There are risks to consider, of course. Competition remains intense in the banking sector, credit losses can rise if economic conditions deteriorate, and bank margins can move as interest rates and funding costs change.

Those considerations are another reason I would not call ANZ shares cheap at $37.20.

Foolish takeaway

I think the current ANZ share price offers fair value rather than an obvious bargain.

That is still enough for me to consider the shares a buy.

The near-term earnings outlook is subdued, but investors are getting exposure to a large banking franchise alongside a forecast dividend yield of around 4.5%.

For income-focused investors who are comfortable with relatively modest growth expectations, I think ANZ looks like a worthwhile option in September.

The post Is the ANZ share price good value in September? appeared first on The Motley Fool Australia.

More reading

• 3 top ASX dividend shares to target in September 
• How much must I invest in ANZ shares to earn $1,000 in passive income in 2027?
• The 2 top yielding ASX 200 bank stocks revealed (Hint: Not CBA shares)
• Are ASX bank shares a buy in September?
• How much passive income can I earn off a $1 million superannuation balance?

Motley Fool contributor Grace Alvino has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.