Tag: Stock pick

Macquarie Technology Group Ltd (ASX: MAQ) put out a fairly technical release to the market this week, but it’s made the analysts at Canaccord Genuity take notice, and their price target on the company predicts some serious upside.

So what did the company announce this week?

Major government investment

Macquarie Technology said that it had secured a $200 million hybrid investment from the National Reconstruction Fund Corporation, which it said was “established by the Australian Government to support nationally significant technological innovation, digital infrastructure, defence and national security”.

The investment would be in the form of unsecured and non-convertible securities, and would be issued in two tranches, on or before June 1, 2026 and March 1, 2027.

The company said regarding the investment:

The proceeds of the issue will be used by the company and its subsidiaries for the development of sovereign secure digital infrastructure and cyber security services with strategic product development initiatives focused on its Cloud Services and Government business segment supporting accelerated use of sovereign cloud services and AI by Australian government agencies, the Department of Defence, defence industry, critical infrastructure sectors, and Australian businesses. This investment by NRFC as a long-term, strategic partner, provides an efficient, non-dilutive form of capital that significantly enhances the group’s balance sheet flexibility and an initial financing initiative to obtaining incremental funding to support strategic growth initiatives.  

Shares looking cheap

The team at Cannaccord Genuity said it sounded like the investment, which would sit on the balance sheet as non-dilutive equity, would be used for future capital investments into sovereign cloud infrastructure and the use of AI by government agencies.

They said the investment was “a strong endorsement of Macquarie Technology Group’s business generally and the quality of its Cloud Services & Government (CS&G) offering more particularly, in our view”.

Canaccord has estimated that, calculated at the end of December last year, the instrument would reduce Macquarie Technology’s gearing position from 27% net debt to equity to 20%.

They added:

We read this announcement as a positive for MAQ because (1) attracting an investor like NRF, whose due diligence we believe to be very extensive, is a significant endorsement of MAQ’s business generally and CS&G’s capabilities in particular, and (2) the funds are to be deployed to grow areas of the business outside the Data Centre segment, and specifically CS&G. We noted in our update following the 1H FY26 results that the CS&G segment has been in a growth lull for some time and that the business as a whole seemed to perform much better when CS&G was growing at a solid rate. In addition, we view the use of this instrument leaves a wide array of funding options available for MAQ’s future growth requirements in other areas.

Canaccord has a price target of $95 on Macquarie Technology Group shares compared with just $65.21 currently.

The company was valued at $1.73 billion at Wednesday’s close.

The post This All Ords technology stock could shoot the lights out: broker appeared first on The Motley Fool Australia.

More reading

• Why Brazilian Rare Earths, Lynas, Macquarie Technology, and Ora Banda shares are pushing higher today
• Macquarie Technology Group secures $200m NRFC investment for digital infrastructure
• ASX 200 tech shares lead market sectors with a 7% bounce back

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 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.

Growth investors are spoiled for choice on the Australian share market.

But with so much to choose from, it can be hard to decide which shares to buy above others.

To help you on your way, let’s take a look at two ASX growth shares that Morgans thinks are top buys this month.

Here’s what it is recommending to clients:

Breville Group Ltd (ASX: BRG)

Morgans is a fan of this appliance manufacturer and has named it as an ASX growth share to buy.

The broker has been impressed with Breville’s operational execution and believes it is well-positioned to benefit from a number of powerful medium-term tailwinds. It expects this to lead to a resumption in sustainable earnings growth from next year. It explains:

1H26 was better-than-feared, with double-digit sales growth (+10%) largely offset by tariff costs (~130bp GM impact) to deliver a flat NPAT outcome (+1% on pcp). Crucially, FY26 EBIT growth guidance provides much-needed earnings visibility, alleviating some concerns for an extended transition year and improving our confidence for a resumption of sustainable EPS growth from FY27+.

We continue to be impressed by BRG’s strong operational execution, green shoots in Food Prep, and powerful medium-term tailwinds (geographic expansion, espresso tailwinds, NPD, Best Buy developments).

Morgans has a buy rating and $40.65 price target on the company’s shares. Based on its current share price of $27.69, this suggests that upside of 47% is possible for investors from current levels.

NextDC Ltd (ASX: NXT)

Another ASX growth share that is highly rated by analysts at Morgans is data centre operator NextDC.

Morgans was very impressed with the company’s strong finish to the first half, highlighting its significant contract wins. The broker said:

NXT sold more MWs in the month of December 2025 than in the preceding 36 months combined. It was a record sales period for enterprise and hyperscale. The 416MW now contracted underpins FY29 underlying EBITDA of >$700m (without new contract wins) and sees NXT trading on an undemanding ~22x EV/Contracted EBITDA, with upside potential. BUY retained and target price lifted to $20.50 from $19.00 following our upgrades.

As mentioned above, in response to its results release, Morgans retained its buy rating on NextDC’s shares with an improved price target of $20.50. Based on its current share price of $12.65, this implies potential upside of 62% for investors over the next 12 months.

The post 2 of the best ASX growth shares to buy now appeared first on The Motley Fool Australia.

More reading

• 5 ASX shares I’d buy with $5,000 today
• Why Breville, Forrestania Resources, GQG Partners, and WiseTech shares are falling today
• 4 ASX tech shares tipped to jump up to 140% higher
• These cheap ASX growth shares could rise 60% to 100%
• 5 things to watch on the ASX 200 on Wednesday

Motley Fool contributor James Mickleboro has positions in Nextdc. 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.

S&P/ASX 200 Index (ASX: XJO) coal stocks are burning bright on Thursday.

In late morning trade on Thursday, the ASX 200 is down 1.3%.

But that’s not keeping investors from sending the New Hope Corp Ltd (ASX: NHC) share price up 3% to $5.20.

Whitehaven Coal Ltd (ASX: WHC) shares are enjoying an even stronger run, up 3.9% at $9.05 apiece. And the Yancoal Australia Ltd (ASX: YAL) share price is up 5.6% at this same time, with shares changing hands for $7.37 apiece.

We’ll also give a shout-out to Stanmore Resources Ltd (ASX: SMR), which isn’t technically an ASX 200 coal stock, but it is part of the S&P/ASX 300 Index (ASX: XKO). In either case, Stanmore Resources shares are up 2.5% at $2.87 each.

Why are ASX 200 coal stocks charging higher?

The big Aussie coal miners look to be catching tailwinds on several fronts.

First, the ongoing conflict in the oil-rich Middle East has not only sent oil prices soaring, but global coal prices have also surged. Part of that rise is due to expectations that nations, especially in Europe, may turn to coal-fired power generation amid potential looming gas shortages.

Earlier this week, thermal coal was fetching US$150 per tonne, according to data from Trading Economics. The coal price has since retreated to around US$135 per tonne, which is still up some 25% since the beginning of 2026.

As you’d expect, that’s been a boon for investors in ASX 200 coal stocks (and Stanmore). Here’s how they’ve been tracking year to date:

• Whitehaven shares are up 15.8%
• New Hope shares are up 28.9%
• Yancoal shares are up 48.1%
• Stanmore shares are up 20.4%

That performance is exceptionally good, taking into account that the ASX 200 is now down 1.1% in 2026.

What else could be boosting the Aussie coal miners?

Atop the price pressures on oil, gas, and coal amid the ongoing US and Israeli war with Iran, ASX 200 coal stocks also look to be getting a boost with Matt Canavan taking the helm of the National Party yesterday.

Canavan is well known for his pro-coal positions, which include supporting the construction of new coal-fired power stations in Australia.

ASX 200 coal stock gets credit rating boost

Whitehaven is the only one of the coal miners to release any price-sensitive news today.

The ASX 200 coal stock revealed that it had received public credit ratings from S&P, Fitch, and Moody’s.

As The Motley Fool reported earlier this morning:

Whitehaven’s new credit ratings come as the company looks to refinance its US$1.1 billion acquisition facility. The investment grade ratings on the senior secured debt, in particular, are expected to support better access to global debt capital markets.

The post Why are ASX 200 coal stocks like Whitehaven, Yancoal and New Hope shares smashing the benchmark today? appeared first on The Motley Fool Australia.

More reading

• Whitehaven Coal earns credit ratings boost, paving way for refinancing
• 5 high-yield ASX dividend shares paying 6% to 10%
• Why are ASX 200 energy shares getting smashed on Tuesday?
• Here are the top 10 ASX 200 shares today
• Buy, hold, sell: Whitehaven Coal, Goodman, and Xero shares

Motley Fool contributor Bernd Struben 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.

If you are looking to add some new positions to your portfolio, it can sometimes be helpful to think about ASX stocks through different investing styles.

Some companies offer strong long-term growth potential, others appear undervalued relative to their earnings, and some provide reliable dividend income.

With that in mind, here is one ASX stock in each category that could be worth considering right now.

Pro Medicus Ltd (ASX: PME)

One ASX growth stock that could be a buy is Pro Medicus.

The medical imaging technology company has been one of the market’s standout performers over the past decade thanks to its Visage platform, which allows hospitals and radiology groups to view large imaging files quickly through the cloud.

Demand for advanced imaging technology continues to grow as healthcare providers shift toward digital workflows and higher-resolution scans. This has helped Pro Medicus win a steady stream of large contracts with major healthcare organisations, particularly in the United States.

Importantly, the company also enjoys extremely high margins and a capital-light business model. As more customers adopt its software, earnings can scale quickly without the same level of cost growth.

Given its strong competitive position and growing global footprint, Pro Medicus could remain a compelling long-term growth story.

Treasury Wine Estates Ltd (ASX: TWE)

Another ASX stock that could be worth considering is Treasury Wine Estates.

The global wine company has experienced a difficult period over the past year. Its share price has been under pressure amid weaker demand for luxury wines, partly due to cost of living pressures affecting consumers. In addition, the company has been dealing with distributor challenges in the United States.

However, these headwinds may already be reflected in the valuation. Based on current estimates, Treasury Wine Estates is trading at roughly 12 times forecast FY 2026 earnings, which is well below the multiples the business has historically commanded.

If trading conditions improve and its US distribution issues are resolved, sentiment towards the Penfolds owner could recover.

HomeCo Daily Needs REIT (ASX: HDN)

For income investors, HomeCo Daily Needs REIT could be worth a look.

The real estate investment trust focuses on large format retail and convenience-based assets that are anchored by tenants providing everyday services. These include supermarkets, healthcare providers, childcare centres, and other essential retail.

Because these tenants tend to be less sensitive to economic cycles, the portfolio can generate relatively stable rental income. This helps support the REIT’s attractive distribution profile.

At present, HomeCo Daily Needs REIT offers a dividend yield of more than 6%, which could make it appealing for investors looking to generate passive income from their portfolio.

The post Growth, value, dividends: 1 ASX stock in each category to buy immediately appeared first on The Motley Fool Australia.

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• Where I’d invest $10,000 in ASX growth shares right now
• What I’d do as a beginner with $50,000 to invest in ASX shares
• Here are the top 10 ASX 200 shares today
• After the ASX 200’s latest slide, I spy bargain shares!
• Is this one of the best ASX 200 stocks money can buy?

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

Africa-focused gold miner Resolute Mining Ltd (ASX: RSG) has made a final investment decision on its Doropo gold project in Côte d’Ivoire, further advancing its plans to become a leading multi-asset gold producer.

Milestones ticked off

The company said the decision had followed extensive technical, economic, environmental, and social evaluations, as well as receipt of the mining permit from the Côte d’Ivoire government.

The company went on to say:

This milestone underpins the company’s strategy to grow annual gold production above 500,000 ounces by the end of 2028 and validates the company’s commitment to disciplined growth and generating shareholder value. The development of Doropo supports production over an initial mine life of approximately 13 years, with potential opportunities for expansion and value creation throughout the region.

Resolute released an updated definitive feasibility study (DFS) for Doropo in December, which showed that the mine would produce an average of 170,000 ounces of gold per year over 13 years, for a total of about 2.5 million ounces of gold.

The project is expected to produce gold at an all-in sustaining cost of US$1,406 per ounce, compared with the current spot price of gold, which is US$5,166.60.

The project is expected to cost US$516 million to construct, up from an earlier estimate of US$373 million, reflecting a larger-scale operation processing 4.9 million tonnes of ore per year, up from 4 million.

Resolute said in the DFS that in the first five years, Doropo was expected to generate EBITDA of US$364 million, and it was expected to pay itself back in 1.7 years.

Resolute Managing Director Chris Eger said regarding today’s announcement:

This Final Investment Decision represents an important growth milestone for Resolute that advances our strategy to become a diversified gold producer, on track to achieve annual production of over 500 koz by the end of 2028. This decision reflects the quality of the Doropo Gold Project, the robustness of our technical work, and our confidence in the operating environment. We expect the Project to generate significant shareholder value whilst delivering enduring benefits to host communities and national partners.

Mr Eger said in December that, as well as benefiting shareholders, the Doropo project would generate more than US$420 million in royalties and create substantial employment opportunities for the local community.

Shares in the ASX 200 gold stock were 2.6% lower on Thursday at $1.42.

The company was valued at $3.12 billion at Wednesday’s close.

The post This ASX 200 gold company has just signed off on a new mine appeared first on The Motley Fool Australia.

More reading

• 3 ASX 200 mining stocks tipped to jump over 60% in the next 12 months
• Here are the top 10 ASX 200 shares today
• 2 Australian growth stocks supercharged to surge in 2026

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 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.

Electro Optic Systems Holdings Ltd (ASX: EOS) shares are having a tough session on Thursday.

In early trade, the defence and space technology company’s shares are down a sizeable 10% to $9.65.

This compares to a 1.2% decline by the ASX 200 index this morning.

Why are EOS shares crashing today?

The catalyst for today’s sizeable decline has been the release of an announcement before the market open relating to an Australian Securities Exchange (ASX) review of its continuous disclosure practices.

According to the release, the ASX has formed the view that a previous announcement by EOS on 15 December 2025 regarding a conditional US$80 million high-energy laser contract failed to adequately describe market sensitive information.

The contract relates to a counterparty named Goldrone. EOS advised that the counterparty was not identified in the original announcement at Goldrone’s request.

As we covered here last month, US-based short seller Grizzly Research had major issues with this contract announcement. It said:

A closer look at Goldrone makes us believe that the contract announcement is intentionally misleading and utterly unrealistic. Goldrone is a tiny agricultural drone company that seems to lack the resources to buy US$80 million worth of products and services from EOS. Our research into Goldrone shows that: Revenue peaked at US$476,000 in 2018 while incurring a US$400,000 net loss.

In response, EOS acknowledged that Goldrone “is a legal entity with modest financial capacity” but believed that key personnel “potentially [have] strong capability to secure market access and sales contracts with government customers in Korea.”

Not sufficient

Today, explaining why it was not named in the original announcement, management said that, as an entity operating in the defence and security industry, there are circumstances where ASX may accept that a counterparty to a material contract is not named, provided there is a sufficiently detailed description to allow the market to assess the counterparty’s standing and creditworthiness.

EOS stated that it sought to address this expectation in the December announcement by noting that completion of the contract was subject to conditions. These included the payment of an initial US$18 million deposit and the customer procuring a letter of credit for the remaining value of the contract.

However, the ASX has advised the company that it considers the information in that announcement was not sufficiently detailed to meet its expectations under Listing Rule 3.1.

In response to these concerns, ASX directed EOS under Listing Rule 18.8(k) to review its continuous disclosure policy governing compliance with Listing Rule 3.1.

EOS said it has acted promptly and, with the assistance of an external law firm, has completed this review. The company’s updated continuous disclosure policy has now been published on its website.

Despite today’s sharp pullback, it is worth noting that EOS shares remain up by approximately 750% since this time last year.

The post Why are EOS shares crashing 10% today? appeared first on The Motley Fool Australia.

More reading

• What are experts saying about EOS and DroneShield shares after yesterday’s recovery?
• Got $5,000? 2 top ASX growth stocks to buy that could double your money
• These 2 ASX shares have the booster power to rocket higher in 2026
• Why EOS, GenusPlus, Life360, and WIA Gold shares are rising today
• These ASX defence stocks are rallying. Is it too late to buy?

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 positions in and has recommended Electro Optic Systems. 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.

Metallium Ltd (ASX: MTM) has this week announced major progress at its Gator Point Technology Campus, where it is proving up its technology which extracts critical minerals from e-waste.

The update has caught the eye of the analyst team at Canaccord Genuity, which has a very bullish share price target on Metallium shares, which we’ll get to later.

Firstly, let’s look at what Metallium announced.

Technology advancing well

The company is in the process of commercialising its proprietary “flash joule heating” technology, which allows it to extract the metals from e-waste such as printed circuit boards (PCBs).

Metallium said it had made good progress at Gator Point, and went on to say:

Since acquiring the site less than twelve months ago, Metallium has undertaken substantial site rehabilitation, infrastructure upgrades and installation of processing equipment, transforming the facility into the company’s primary U.S. technology demonstration and early commercial processing hub. Commissioning activities are now progressing across the integrated flowsheet as the Company advances the industrial scale-up of Flash Joule Heating technology. The development of Gator Point positions Metallium within the emerging U.S. domestic supply chain for critical metals, where there is currently limited capability to process complex electronic waste streams into refined metals. This represents a significant opportunity for new industrial processing platforms capable of recovering critical metals from PCBs.

Managing Director Michal Walshe said the next major milestone for the company would be operating three FJH reactors in parallel.

He added:

This milestone will validate the scalability of the technology and represents an important step toward our Stage-1 commercial configuration targeting approximately 8,000 tonnes of PCB feedstock per year.

The company said PCBs represented one of the highest grade “urban metal” resources available, containing significant concentrations of precious and base metals, typically at grades better than mined ores.

Metallium is targeting feedstocks that contain several thousand dollars per tonne of metal, or a gold equivalent of an ore containing 200 grams per tonne.

Once stage one is operating, the company is aiming to double capacity to 16,000 tonnes per annum.

Shares looking cheap

The team at Canaccord Genuity said the company’s wet commissioning of the first FJH line was a major de-risking of the technology, and noted that Metallium is fully funded through to the end of stage two works.

They estimate that once stage two is operating, scheduled for late 2027, Metallium could produce 90,000 ounces per year of gold equivalent, generating $330 million in EBITDA.

Canaccord Genuity has a price target of $1.60 on Metallium shares, compared with just 72 cents currently.

Metallium was valued at $530.5 million at the close of trade on Wednesday.

The post This innovative ASX metals company could deliver more than 100% upside: broker appeared first on The Motley Fool Australia.

More reading

• Why are EOS shares crashing 10% today?
• Up 22% yesterday, Ora Banda shares leaping higher again today on ‘outstanding’ gold results
• Westgold Resources secures $600m syndicated facility in balance sheet boost
• Buy this ASX 200 stock for an 11% dividend yield in 2026 and 2027: Morgans
• Whitehaven Coal earns credit ratings boost, paving way for refinancing

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 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.

Ora Banda Mining Ltd (ASX: OBM) shares are charging higher today.

Shares in the S&P/ASX 200 Index (ASX: XJO) gold stock closed yesterday trading for $1.415. In morning trade on Thursday, shares are changing hands for $1.480 apiece, up 4.6%.

For some context, the ASX 200 is down 1% at this same time.

This outperformance follows the release of a fresh batch of promising drilling results at the miner’s Western Australian holdings.

And it comes after Ora Banda shares closed up a blistering 21.5% yesterday.

Investors piled into the stock on Wednesday after the company reported a 964% Mineral Resource increase at its Round Dam gold deposit to 25.6Mt at 1.6g/t [25.6 million tonnes at 1.6 grams of gold per tonne] for 1.330 million ounces.

Now, here’s what’s catching investor interest today.

Ora Banda shares jump on drill results

This morning, the ASX 200 gold stock reported further exploration success at its high-grade Little Gem Prospect, located some 30 kilometres from Round Dam.

Ora Banda shares are charging higher after the miner revealed that the latest drilling has expanded the Little Gem Prospect’s mineralised envelope to more than 1,500 metres of strike and 750 metres vertically below surface. And mineralisation is open in all directions

The miner said it is expanding its exploration window for further drilling and potential mineralisation following the recent discovery of the Sapphire Trend, just 200 metres east of Little Gem. Management said Sapphire presents a new potential lode system.

Ora Banda is aiming for a maiden Mineral Resource Estimate for Little Gem in the second half of calendar year 2026. Drilling remains ongoing.

Among the top drill results from the Little Gem Trend, the miner reported 10.0 metres at 6.9 g/t, including 2.0 metres at 26.9 g/t from one hole; and 6.0 metres at 11.3 g/t, including 1.0 metres at 60.0 g/t from another hole.

What did management say?

Commenting on the results helping lift Ora Banda shares today, managing director Luke Creagh said:

These outstanding drill results continue to confirm the scale and quality of the Little Gem system with recent gains from exploration step-outs at the Sapphire Trend and Sunraysia Prospect demonstrating the outstanding potential of this area.

The work we’ve been doing is a reminder of the enormous organic growth potential of our ground, and as part of this, we very much look forward to delivering a maiden Mineral Resource Estimate for Little Gem in the second half of CY26.

With today’s intraday moves factored in, the Ora Banda share price is up 54% since this time last year.

The post Up 22% yesterday, Ora Banda shares leaping higher again today on ‘outstanding’ gold results appeared first on The Motley Fool Australia.

More reading

• Why Brazilian Rare Earths, Lynas, Macquarie Technology, and Ora Banda shares are pushing higher today
• Guess which ASX 200 gold stock is rocketing 14% today on ‘fantastic results’
• If gold is a safe haven, why are ASX 200 gold stocks like Northern Star and Evolution Mining getting smashed this week?
• Why are ASX 200 gold stocks like Evolution Mining and Northern Star shares going gangbusters on Tuesday?

Motley Fool contributor Bernd Struben 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 Westgold Resources Ltd (ASX: WGX) share price is in focus as the company announces the establishment of $600 million in new unsecured syndicated revolving credit facilities, significantly boosting its available liquidity and financial flexibility.

What did Westgold Resources report?

• Secured $600 million in new unsecured syndicated revolving credit facilities
• Facilities provided by a syndicate of five Australian and international lenders
• Three facility tranches maturing in 2029 ($300M), 2030 ($200M), and 2031 ($100M)
• No mandatory hedging, amortisation, or cash sweep requirements
• Replaces previous facilities to support general corporate purposes

What else do investors need to know?

The new facilities increase Westgold’s available liquidity to over $1.2 billion, supported by an existing treasury position of $600 million as at 31 December 2025. The flexible structure of the arrangement ensures the company has ready access to funds for investment and growth, with no immediate need for additional capital.

The five-member lender syndicate includes major institutions: CBA, OCBC, RBC Capital Markets, Société Generale, and Westpac. The facility’s unsecured nature, paired with no mandatory hedging or cash sweep, gives Westgold considerable operational freedom and reduces financial constraints.

What did Westgold Resources management say?

Managing Director and CEO Wayne Bramwell said:

While Westgold does not require additional funding today, securing long-dated, unsecured and cost-effective liquidity now is strategic and ensures we can continue to invest and expand our business with confidence. These new facilities are a prudent step that enhances our financial flexibility at a time when the business is in a position of real financial strength. They provide us with additional balance sheet resilience and most critically, optionality as to how we bring value forward in our 3-Year Outlook. With our treasury at over $600M at the end of 2025, these facilities will boost our available liquidity to over $1.2B. Westgold thanks CBA, OCBC, RBC, Société Generale and WBC for their support and look forward to working with this syndicate as we advance our growth strategy.

What’s next for Westgold Resources?

With the new facilities in place, Westgold signals a focus on maintaining a strong balance sheet and investing in growth opportunities over the next three years. The increased liquidity provides scope for both organic growth and potential expansion initiatives, while keeping a conservative approach to financial risk.

Westgold’s strategy remains centred on strengthening its operations and advancing its 3-year outlook, leveraging the flexibility this new facility provides to respond nimbly to market opportunities and challenges.

Westgold Resources share price snapshot

Over the past 12 months, Westgold resources shares have risen 161%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 11% over the same period.

View Original Announcement

The post Westgold Resources secures $600m syndicated facility in balance sheet boost appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Thursday

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.

If you are wanting to boost your passive income, then it could be worth considering the ASX 200 stock featured in this article.

That’s the view of analysts at Morgans, who believe that this stock could provide investors with one of the biggest dividend yields around.

Which ASX 200 stock?

The stock that Morgans is bullish on is GQG Partners Inc (ASX: GQG).

It is a global investment boutique headquartered in the United States and focused on managing active equity portfolios for investors that include many large pension funds, sovereign funds, wealth management firms, and other financial institutions around the world.

This week, the ASX 200 stock released its latest funds under management (FUM) update and reported a 4.3% increase in FUM to US$172.9 billion during the month of February.

However, this was entirely driven by investment performance, with the company continuing to experience fund outflows.

The company revealed net outflows of US$3.2 billion for the month. These were recorded across all strategies, with emerging markets leading the way. GQG reported net outflows of US$1.3 billion for emerging markets, followed by US$0.9 billion of net outflows from international strategies.

Time to buy

While the net outflows were not pretty, Morgans thinks investors should be focusing on its strong investment performance. That’s because it is likely to be supportive of future FUM inflows.

In light of this and recent share price weakness, the broker has upgraded the ASX 200 stock to a buy rating (from accumulate) with an improved price target of $2.03 (from $1.89).

Based on its current share price of $1.81, this implies potential upside of 12% for investors over the next 12 months.

But the returns won’t stop there, according to the broker. Morgans expects a stunning dividend yield of 11% in 2026 and then the same again in 2027. It commented:

GQG has provided a February FUM update.  Whilst monthly net flows remained negative (-US$3.2bn), strong February investment performance (+US$10.5bn), which drove +4.5% FUM growth, made this a positive update in our view. We lift our GQG FY26F/FY27F EPS by +1%-+2%, driven by increased FUM forecasts based on better investment performance than we expected. Our PT rises to A$2.03 (previously A$1.89).

We acknowledge it remains early, but the improved January and February investment performance for GQG might mark the start of a business turnaround. We continue to see the stock as undervalued trading on 8x FY1 PE and an ~11% dividend yield. With >20% TSR upside, we move to a BUY rating, previously Accumulate.

The post Buy this ASX 200 stock for an 11% dividend yield in 2026 and 2027: Morgans appeared first on The Motley Fool Australia.

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• GQG Partners lifts FUM to US$172.9bn in February 2026
• 5 ASX dividend shares to buy for income in 2026

Motley Fool contributor James Mickleboro has positions in Gqg Partners. 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 Gqg Partners. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.