Tag: Stock pick

There are 11 recognised ASX sectors. 

Each sector has a benchmark index that tracks the performance of ASX-listed companies in that sector.

Healthcare and tech shares in focus

Recently, the two worst-performing sectors have been ASX healthcare and technology.

Year to date, the S&P/ASX 200 Information Technology (ASX:XIJ) index is down 16%. 

Meanwhile, the S&P/ASX 200 Health Care (ASX:XHJ) index is down 17%. 

This is relevant for investors to monitor because when sectors are heavily sold off, it creates buying opportunities. 

Quality, blue-chip stocks can be oversold and be scooped up as value plays by savvy investors. 

However in the last month, there has been a sharp difference between these two sectors. 

Many technology shares have begun to recover, experiencing sharp gains since the end of March. 

In fact, since March 30, the S&P/ASX 200 Information Technology (ASX:XIJ) index has rocketed 19%. 

Healthcare shares on the other hand, have remained relatively flat.

Why are healthcare shares still flat?

The Information Technology Index experienced an extraordinary 48% sell-off between August 29 and March 30, driven by investor fears about high valuations and the potential for AI tools to wipe out SaaS companies.

Sentiment has now shifted, driven by a combination of value investing and a belief that AI will enhance some of these platforms rather than destroy them. 

Meanwhile unlike tech, healthcare isn’t getting the same sentiment-driven bounce because its headwinds are more structural.

Upheaval at the US FDA under the Trump administration has created regulatory uncertainty for many Australian biotechs with US ambitions.

Additionally, healthcare companies tend to generate most of their profits well into the future. 

This means rising interest rates hit them harder than most. 

Higher rates make those future earnings worth less in today’s dollars, dragging on share prices even when the underlying businesses are performing fine.

Where is the opportunity for healthcare shares?

For investors focussed on long-term returns, many healthcare companies are priced at relative values right now due to these headwinds. 

Some of the ASX healthcare stocks that have fallen the furthest include: 

• Australia’s largest healthcare company, CSL Ltd (ASX: CSL) is down 42% in the last year
• Sleep technology company ResMed Inc (ASX: RMD) shares are down almost 13% year to date
• Medical imaging technology company Pro Medicus Ltd (ASX: PME) shares are down 36% year to date
• Cochlear Ltd (ASX: COH) is a cochlear implant device manufacturer. Its share price has fallen 35% year to date. 

Foolish takeaway 

The headwinds impacting healthcare stocks are unlikely to subside in the short term. 

However many of these companies are structurally sound, and are suffering from broader factors rather than structural issues. 

This leaves plenty of room for growth in the long term. 

The post Are ASX healthcare shares the next to rally? appeared first on The Motley Fool Australia.

More reading

• Where I’d invest $5,000 in ASX blue-chip shares
• How to start investing in ASX shares with $1,000
• Cochlear cuts FY26 earnings outlook amid softer sales
• 5 oversold ASX shares to buy before the end of April
• Buy, hold, sell: Collins Foods, Netwealth, and Pro Medicus shares

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 positions in and has recommended CSL, Cochlear, and ResMed. 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 ResMed. The Motley Fool Australia has recommended CSL, Cochlear, and Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Perpetual Ltd (ASX: PPT) share price is in focus today following the release of its third quarter FY26 update, highlighting total Assets Under Management (AUM) declining to A$219.2 billion and steady growth in Corporate Trust’s Funds Under Administration.

What did Perpetual report?

• Total AUM at 31 March 2026 was A$219.2 billion, down 3.6% from December 2025.
• Net outflows of A$2.8 billion (or A$4.9 billion excl. cash), mainly from global strategies.
• Corporate Trust Funds Under Administration rose 0.3% to A$1.32 trillion.
• Managed Funds Services FUA increased 1.3% to A$588.2 billion, with new client growth.
• Expense growth guidance for FY26 maintained at 1–2%.
• Wealth Management FUA fell 4% to A$21.1 billion, mainly due to negative market movements.

What else do investors need to know?

Perpetual’s Corporate Trust division continued to see growth even as market volatility persisted, particularly benefiting from new and existing clients in the Managed Funds Services and Digital & Markets areas. The robust non-bank client segment helped support Debt Market Services, although some segments faced declines.

Perpetual also announced the sale of its Wealth Management business to Bain Capital Private Equity. The transaction is expected to complete later in 2026, subject to conditions, and work is underway to ensure a smooth transition.

A stronger Australian dollar against the US and UK currencies, combined with market declines, particularly impacted Perpetual’s international AUMs.

What did Perpetual management say?

Chief Executive Officer and Managing Director Bernard Reilly said:

The business has been resilient through what continues to be a highly volatile period in global equity and economic markets. In the March quarter, our Corporate Trust business continued to deliver consistent growth for Perpetual, benefiting both from growth from existing clients and new client wins. … All our teams remain focused on delivering investment outperformance for our clients through these turbulent times. We believe we are well placed in this period of volatility to strengthen our investment performance, particularly in our value-style strategies.

What’s next for Perpetual?

Looking ahead, Perpetual is keeping operating expenses under tight control, reaffirming its FY26 guidance for expense growth of just 1% to 2%. The group’s focus remains on supporting clients and strengthening investment performance, particularly in value-style strategies amid ongoing market uncertainty.

With the pending sale of the Wealth Management business, the company is set for a more streamlined operating model and will continue to invest in growth areas, especially those benefiting from changing client and market dynamics.

Perpetual share price snapshot

Over the past 12 months, Perpetual shares have risen 11%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post Perpetual provides Q3 FY26 update: reveals AUM decline, Corporate Trust growth appeared first on The Motley Fool Australia.

More reading

• Iluka Resources quarterly earnings: revenue, production, and project updates
• Scentre Group earnings: sales rise and more visitors for Westfield in 2026
• Ampol Q1 2026 trading update: Refiner margins soar, production lifts
• NEXTDC completes $1bn institutional entitlement offer to fund growth
• Treasury Wine Estates improves depletions and unveils regional model

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.

The Ampol Ltd (ASX: ALD) share price is in focus today after delivering a strong first quarter for FY26, with total refinery production rising 10% and the Lytton Refiner Margin jumping to US$25.45 per barrel.

What did Ampol report?

• Lytton Refiner Margin increased to US$25.45 per barrel, up from US$6.07 in 1Q 2025
• Total refinery production rose by 10% to 1,434 million litres
• Australian fuel sales (Ex Net-sell) up 4.7% year on year to 3,464 million litres
• Group total sales volume stayed steady at 6,125 million litres
• Convenience retail volumes in Australia rose 3.5% to 898 million litres
• Australian wholesale volumes (Ex Net-sell) climbed 5.2% to 2,566 million litres

What else do investors need to know?

Ampol says it was well prepared for recent Middle East conflict disruptions, having secured crude and product supplies before tensions escalated. The company continues to work closely with Australian and New Zealand governments on measures to protect domestic fuel supply, including adjusting maintenance at its Lytton refinery and supporting changes to fuel standards.

The company has locked in supplies of diesel and jet fuel through to the end of May, and gasoline supplies to the end of June, despite rising landed crude costs. Demand from both consumers and commercial customers in Australia and New Zealand has remained stable despite recent price increases, and Ampol’s integrated supply chain has helped navigate ongoing global supply challenges.

What’s next for Ampol?

Looking ahead, Ampol is focused on maintaining reliable domestic fuel supplies amid continuing global uncertainty, especially following disruptions through the Strait of Hormuz. The company is proceeding with a major maintenance program at the Lytton refinery in August, after rescheduling it in response to current market conditions.

Management highlighted that elevated refiner margins may continue for the time being, but also flagged ongoing volatility in crude costs. Ampol plans to leverage its trading and shipping operations, aiming to keep supporting customers and ensure resilience throughout the supply chain.

Ampol share price snapshot

Over the past 12 months, Ampol shares have risen 45%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post Ampol Q1 2026 trading update: Refiner margins soar, production lifts appeared first on The Motley Fool Australia.

More reading

• Iluka Resources quarterly earnings: revenue, production, and project updates
• Scentre Group earnings: sales rise and more visitors for Westfield in 2026
• Perpetual provides Q3 FY26 update: reveals AUM decline, Corporate Trust growth
• NEXTDC completes $1bn institutional entitlement offer to fund growth
• Treasury Wine Estates improves depletions and unveils regional model

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.

When it comes to blue chips, I like businesses that already have scale and strong market positions but are also finding ways to improve their operations or expand into new areas. That combination can create a more interesting long-term setup.

That said, here are three ASX blue-chip shares I would look at right now if I had $5,000 to invest.

Telstra Group Ltd (ASX: TLS)

Telstra is often viewed as a steady income stock, but I think there is more going on beneath the surface.

The telco share is starting to show operating leverage across the business, with growth in earnings supported by cost control and efficiency gains. Its mobile division continues to benefit from higher average revenue per user and customer growth, which is helping drive overall performance.

What I like is how disciplined the business has become. Cost reductions, capital management, and targeted investment are all working together to improve returns.

There is also a clear focus on long-term infrastructure, including network investment and connectivity, which keeps Telstra central to Australia’s digital economy.

When I look at it this way, Telstra starts to feel less like a slow-moving incumbent and more like a business that is steadily improving its earnings profile.

Flight Centre Travel Group Ltd (ASX: FLT)

Flight Centre has gone through a full cycle over the past few years, and what is emerging now looks quite different from the pre-COVID business.

The travel agency company is becoming more efficient, with productivity gains showing up across the group. In the first half, total transaction value reached a record $12.5 billion, while cost margins improved to their lowest level for a first half.

What I find interesting is how the model is evolving. There is a growing contribution from corporate travel, new revenue streams from cruise markets, and a stronger focus on technology and AI to improve productivity and customer experience.

These changes are helping the business scale more effectively than before, which I think could support strong long-term returns.

Cochlear Ltd (ASX: COH)

Implantable hearing solutions company Cochlear is one of those businesses where the long-term story is tied to a very specific and growing need.

Hearing loss remains under-treated globally, and awareness continues to increase. That creates a steady expansion in the addressable market over time.

The recent launch of the Nucleus Nexa system, which includes upgradeable firmware, shows how the company continues to invest in innovation after decades in the industry.

There have been some short-term impacts as the product rolls out and contracts are renewed, but adoption is building, and the second half is expected to benefit from broader availability.

What gives me confidence here is the combination of a strong market position and ongoing product development. That tends to support growth over longer periods, even if results can move around in the near term.

Foolish Takeaway

I think these ASX blue-chip shares could be good options for investors this month.

Telstra is becoming more efficient while maintaining its core position; Flight Centre is evolving into a more productive, technology-enabled operator; and Cochlear continues to build on a long history of innovation.

That mix of scale and progression is what I look for when putting money to work in this part of the market.

The post Where I’d invest $5,000 in ASX blue-chip shares appeared first on The Motley Fool Australia.

More reading

• Are ASX healthcare shares the next to rally?
• Cochlear cuts FY26 earnings outlook amid softer sales
• Stagflation: How to position an ASX stock portfolio
• Why I don’t own Telstra shares (yet)
• How to build a second income from ASX shares without taking big risks

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 positions in and has recommended Cochlear. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended Cochlear and Flight Centre Travel Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The NextDC Ltd (ASX: NXT) share price is in focus after the company announced it has raised approximately A$1.0 billion from the successful completion of its institutional entitlement offer, with a strong 98% take-up by eligible institutional shareholders.

What did NEXTDC report?

• Raised about A$1.0 billion via a fully underwritten 1 for 5.4 pro-rata accelerated non-renounceable entitlement offer at A$12.70 per new share
• 98% of eligible institutional shareholders participated in the offer, with the remaining shares allocated to those applying for additional entitlements
• New shares issued under the offer will rank equally with existing shares and are expected to commence trading on 30 April 2026
• The subsequent retail entitlement offer aims to raise approximately A$0.5 billion and opens on 27 April 2026
• Strong liquidity position to help fund NEXTDC’s record 544MW pro forma forward order book as at 31 March 2026

What else do investors need to know?

The retail entitlement offer will be available to eligible retail shareholders at the same offer price and ratio as the institutional offer. Retail investors can take up all, some, or none of their entitlements, and have an opportunity to apply for additional shares through a Top Up Facility, subject to availability.

All new shares issued under both components—institutional and retail—will have the same rights as existing NEXTDC shares. The timetable for the offer includes key dates for settlement, allotment, and the commencement of normal trading for the new shares.

What’s next for NEXTDC?

NEXTDC plans to use the fresh capital, alongside other funding initiatives, to support its expansion and fulfil its strong pipeline of customer contracts. The record forward order book and increased liquidity position the company well for its ongoing growth strategy in the data centre sector.

Management has highlighted continued operational excellence, sustainability leadership, and strategic investments as key priorities going forward, with the intention of strengthening NEXTDC’s role in enabling Australia’s digital infrastructure.

NEXTDC share price snapshot

Over the past 12 months, NextDC shares have risen 35%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post NEXTDC completes $1bn institutional entitlement offer to fund growth appeared first on The Motley Fool Australia.

More reading

• Iluka Resources quarterly earnings: revenue, production, and project updates
• Scentre Group earnings: sales rise and more visitors for Westfield in 2026
• Perpetual provides Q3 FY26 update: reveals AUM decline, Corporate Trust growth
• Ampol Q1 2026 trading update: Refiner margins soar, production lifts
• Treasury Wine Estates improves depletions and unveils regional model

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.

Macquarie Group Ltd (ASX: MQG) shares are on a tear.

The investment bank’s shares have jumped 23% over the past month and are now up 35% for the year, pushing toward fresh all-time highs. At around $241.27, Macquarie is trading just shy of record levels, and investors are piling in.

So what’s driving the surge?

Global exposure

Unlike traditional lenders, Macquarie is far more than just a bank. While $90 billion Macquarie shares rank as the fifth-largest member of the S&P/ASX 200 Index (ASX: XJO) banking cohort by market value, its business model is significantly more diversified.

Macquarie operates across 34 global markets, spanning asset management, infrastructure investment, commodities trading, advisory, and capital markets. Around two-thirds of its earnings come from offshore, reducing reliance on the Australian economy and adding a layer of geographic diversification.

That breadth is proving particularly valuable right now. While major banks tend to rely heavily on lending margins, Macquarie’s exposure to trading and capital markets can actually benefit during periods of volatility. With markets swinging and commodity prices shifting, that flexibility has become a major advantage.

Hybrid financial

And the growth is backing it up.

In its third-quarter update for FY26, Macquarie reported solid momentum across key divisions. Macquarie Asset Management saw assets under management rise 3% quarter on quarter, while its Banking and Financial Services segment delivered a 6% lift in deposits. The home loan portfolio also expanded by 7%, pointing to steady underlying demand.

In short, multiple parts of the business are firing at once. That combination of diversification and growth is a big reason investors are re-rating Macquarie shares. It’s not just a defensive financial, it’s a hybrid model that can capture upside in different market conditions.

What next for Macquarie shares?

Analysts are taking notice. Stronger financial performance, combined with positive market momentum, has led brokers to lift their expectations, particularly in areas like asset management and trading.

According to TradingView data, 10 out of 15 brokers rate Macquarie shares as a buy or strong buy, with four sitting on a hold. The average price target is $243.50, suggesting the stock is already close to fair value after its recent rally.

But not everyone thinks the run is over. Morgan Stanley recently upgraded Macquarie to an overweight rating, setting a $270 price target. That implies potential upside of around 12% from current levels.

The broker believes Macquarie is well-positioned to benefit from ongoing volatility in commodity markets and sees scope for further earnings growth across its divisions.

Foolish Takeaway

Macquarie’s rally isn’t just about sentiment. It reflects a business that is executing well, growing across multiple fronts, and thriving in an uncertain environment.

For investors, that’s a powerful combination and one that explains why demand for the shares remains so strong.

The post Why is everyone buying Macquarie shares? appeared first on The Motley Fool Australia.

More reading

• Where I’d invest on the ASX for passive income right now
• Up 22%, are Telstra shares still worth a buy?
• 3 ASX shares I’d feel comfortable holding for the next decade
• Forget CBA shares — here are 2 ASX bank shares I’d rather own right now
• Top brokers name 3 ASX shares to buy next week

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 positions in and has recommended Macquarie Group. The Motley Fool Australia has positions in and 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.

The Treasury Wine Estates Ltd (ASX: TWE) share price is in focus after the company announced improved depletions momentum in the third quarter of FY26 and a transition to a new regional operating model to drive sustainable long-term growth.

What did Treasury Wine Estates report?

• Transition to a new regional operating model across four divisions, effective 1 October 2026
• Penfolds depletions in China up 40% over Chinese New Year (seasonally adjusted); overall US depletions up 9.1% vs prior period
• New $300 million debt commitments secured, with liquidity expected to exceed $1 billion at FY26 year-end
• 11% depletions growth in ANZ and 14% in Asia ex-China in 3Q26
• Company reiterates that 2H26 EBITS expected to be higher than 1H26

What else do investors need to know?

TWE’s new operating model will consolidate its global business into four geographic regions, aiming to boost accountability and accelerate market-level decision-making. The approach is expected to streamline operations and improve cost efficiency, with a target for $100 million in annual operating cost optimisation over two to three years.

The company highlighted strong brands like Penfolds, DAOU, Frank Family Vineyards, and Stags’ Leap as drivers of depletions growth in their respective markets. TWE has also completed securing new debt to refinance upcoming maturities, ensuring solid balance sheet strength.

The executive team is being realigned as part of this transformation, with several leadership changes and new roles announced to drive the new operating model.

What did Treasury Wine Estates management say?

Chief Executive Officer Sam Fischer said:

We are reshaping TWE to drive clearer accountability for performance and to enable faster, more market-connected decision-making as a foundation for consistent depletions growth. Combining the deep local insight of our in-market teams with the scale and expertise of our global functions will step change in-market execution, whilst retaining our enhanced focus on Penfolds and other priority luxury brands. I am pleased with the progress we are making on elevating our focus on depletions performance across our key markets, and we remain focused on continuing the improved momentum.

What’s next for Treasury Wine Estates?

Investors will hear more detail on the company’s strategic priorities and financial targets at Treasury Wine’s Investor Day on 4 June 2026. The company aims to finalise its brand portfolio strategy and fully implement its regional operating model by October, with initial cost benefits expected to begin in FY27.

Treasury Wine continues to monitor global economic and geopolitical conditions but does not expect current events, including the Middle East conflict, to materially impact FY26 results. Management remains focused on depletions-led growth, luxury brand investment, and operational efficiency.

Treasury Wine Estates share price snapshot

Over the past 12 months, Treasury Wine shares have declined 53%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.

View Original Announcement

The post Treasury Wine Estates improves depletions and unveils regional model appeared first on The Motley Fool Australia.

More reading

• Iluka Resources quarterly earnings: revenue, production, and project updates
• Scentre Group earnings: sales rise and more visitors for Westfield in 2026
• Perpetual provides Q3 FY26 update: reveals AUM decline, Corporate Trust growth
• Ampol Q1 2026 trading update: Refiner margins soar, production lifts
• NEXTDC completes $1bn institutional entitlement offer to fund growth

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 positions in and has recommended Treasury Wine Estates. The Motley Fool Australia has positions in and has recommended Treasury Wine Estates. 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.

Despite tariff turmoil and geopolitical conflict, the S&P/ASX 200 Index (ASX: XJO) has shown resilience in the past year. 

Australia’s benchmark index sits 14% higher today than it did a year ago. 

But it hasn’t been smooth sailing for every ASX 200 company. 

Three recognisable names have been heavily sold off in that span: 

• Treasury Wine Estates Ltd (ASX: TWE) is down 50% in the last 12 months
• REA Group Ltd (ASX: REA) has fallen almost 26%
• Aristocrat Leisure Ltd (ASX: ALL) is 22% lower

However, all three of these ASX 200 stocks have shown signs of life this month, rebounding from near 52-week lows. 

Is this a sign of a longer-term recovery, or a value trap?

Let’s see what experts are saying. 

Treasury Wine Estates

Treasury Wine Estates is an Australia-based global wine company. 

It is among the world’s top five wine producers and owns a portfolio of more than 70 brands, including Australian labels such as Penfolds, Lindemans, and Wolf Blass.

It has been one of the worst-performing ASX 200 stocks, and actually hit its lowest point in over 10 years recently.

Several headwinds have influenced this historic drop: 

• Parallel imports disrupting pricing integrity in China have been specifically called out as a problem for the company’s Penfolds brand
• The company flagged a major impairment tied to its US business in early December 2025, as long-term growth assumptions were marked down in a softer American wine market
• Treasury Wine pulled its earnings guidance for 2026 and paused an A$200 million share buyback, citing weak sales of its flagship Penfolds wines in China

In summary, the deeper structural issue is that Penfolds in China and luxury US brands have stalled simultaneously in both key markets, leaving investors questioning whether the company’s valuation premium was ever justified.

In the last month, the ASX 200 stock has recovered 13%. 

Despite this small recovery, brokers are largely neutral on this ASX 200 stock, with 12 out of 17 analysts listing it as a hold. 

REA Group

REA Group is an online real estate advertising company that provides property and property-related services on websites and mobile apps. 

In the last 12 months, this ASX 200 stock has fallen significantly; however, since late March, it has recovered more than 16%.

It was weighed down over the past year by negative sentiment driven by AI disruption fears. 

Despite these fears, experts have reiterated this year that REA’s market position should hold it in good stead and that replacement worries are perhaps overblown. 

It closed yesterday at $176.44, which brokers believe is a relative value. 

12 out of 15 analysts via TradingView list it as either a buy or strong buy, with an average price target suggesting 20% upside. 

Aristocrat Leisure

Aristocrat Leisure is an Australian gaming technology company licensed in around 340 gaming jurisdictions in more than 100 countries. 

This ASX 200 stock has also rebounded slightly from its yearly lows this month. 

Since late March, it has climbed 7%. 

Experts believe this can continue long term.

It received a buy recommendation yesterday from the team at Catapult Wealth, and currently has a one-year average price target of $65.35 based on 15 analyst ratings. 

This price target is 36% higher than yesterday’s closing price of $47.93.

The post Down 50% in the past year, are these ASX 200 shares too cheap to ignore? appeared first on The Motley Fool Australia.

More reading

• Treasury Wine Estates improves depletions and unveils regional model
• Buy, hold, sell: Aristocrat, Lovisa, Bendigo Bank shares
• 2 elite ASX shares to buy in April and hold for the next decade
• 3 ASX 300 shares to buy and hold for the next decade
• Experts name 3 ASX 200 tech shares to buy now

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 positions in and has recommended Treasury Wine Estates. The Motley Fool Australia has positions in and has recommended Treasury Wine Estates. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The DroneShield Ltd (ASX: DRO) share price is in focus today as the company delivered record customer cash receipts of $77.4 million—up 360% on the same period last year—and posted its second-highest quarterly revenue of $74.1 million, a 121% increase compared to 1Q25.

What did DroneShield report?

• Revenue: $74.1 million, up 121% on 1Q25
• Customer cash receipts: $77.4 million, up 360% from 1Q25
• SaaS revenues: $5.1 million, up 205% year on year; 6.9% of total revenue
• Net operating cash flow: $24.1 million, fourth consecutive positive quarter
• Closing cash balance: $222.8 million, up 13% from 1Q25 with no debt
• FY2026 committed revenue: $154.8 million as at 20 April 2026

What else do investors need to know?

DroneShield says repeat and new orders flowed steadily through the quarter, driving a $59 million increase in committed revenue since the start of 2026. The business is now sitting on its largest potential sales pipeline yet, valued at $2.2 billion across 312 projects in over 60 countries.

With a strong cash position, DroneShield highlighted ongoing expansion efforts. It added new regional manufacturing, particularly in Europe and the US, and continues to ramp up R&D spending, which exceeds $70 million per year.

What’s next for DroneShield?

DroneShield plans to launch new hardware and software products starting in the third quarter of 2026, with a longer-term ambition to reach $1 billion in annual revenue and grow recurring SaaS revenues to over 30% by 2030. The company also aims to further expand its global presence, diversify its end-user base, and strengthen its regional manufacturing capabilities.

Management remains committed to investing in people, R&D, and selective M&A to sustain its growth momentum, while maintaining flexibility with a strong balance sheet.

DroneShield share price snapshot

Over the past 12 months, DroneShield shares have risen 217%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has rise 15% over the same period.

View Original Announcement

The post DroneShield delivers record 1Q26 revenue and cash receipts appeared first on The Motley Fool Australia.

More reading

• Iluka Resources quarterly earnings: revenue, production, and project updates
• Scentre Group earnings: sales rise and more visitors for Westfield in 2026
• Perpetual provides Q3 FY26 update: reveals AUM decline, Corporate Trust growth
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Starting with $1,000 might not seem like much, but I think it is one of the most important steps an investor can take.

Getting started early gives you time in the market, and that is where a lot of the long-term benefit comes from. The goal at this stage is to build a simple approach that you can stick with and continue adding to over time.

Here is how I would go about it.

Keep it simple to begin with

With $1,000, I think simplicity is important.

Trying to spread that amount across too many ASX shares can make things harder to manage and dilute the impact of each investment. I would focus on one or two positions to start with and build from there.

That keeps the portfolio easy to follow and makes it clearer how each investment is performing.

Start with broad exposure

One approach I like is to begin with an exchange-traded fund (ETF) that gives exposure to a large part of the market.

For example, the Vanguard Australian Shares Index ETF (ASX: VAS) provides access to many of the largest companies listed on the ASX in a single investment. That includes businesses across sectors such as banking, mining, and healthcare.

Alternatively, the iShares S&P 500 AUD ETF (ASX: IVV) does the same for the US market.

This kind of exposure can help reduce risk while still allowing you to participate in the overall growth of the market.

Add a high-quality ASX share

Alongside an ETF, I would consider adding one individual ASX share.

The focus here would be on quality. I would look for a business with a strong position in its industry and the ability to grow over time.

For example, ResMed Inc. (ASX: RMD) has a long history of growth in global healthcare, while Wesfarmers Ltd (ASX: WES) has built a portfolio of strong retail and industrial businesses, including Kmart and Bunnings.

Owning companies like these can add a different dimension to the portfolio alongside the ETF.

Invest regularly over time

The first $1,000 is just the starting point.

What matters more is the habit that follows. Adding to your investments regularly, even in smaller amounts, can build momentum over time.

This approach also helps smooth out market movements, as you are investing across different conditions rather than trying to pick the perfect moment.

Stay focused on the long term

Share prices will move around in the short term.

What matters is how the businesses and investments perform over time. 

Keeping a long-term mindset can make it easier to stay invested and avoid reacting to short-term changes.

Foolish takeaway

Getting started with $1,000 is about building a foundation.

A simple mix of broad market exposure and high-quality ASX shares can be a solid way to begin. Over time, adding regularly and staying focused on the long term can turn that first investment into something much larger.

The post How to start investing in ASX shares with $1,000 appeared first on The Motley Fool Australia.

More reading

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• Stagflation: How to position an ASX stock portfolio
• Here are the latest growth forecasts for the Wesfarmers share price
• 3 reasons I’d invest $5,000 in the iShares S&P 500 IVV ETF
• Buy, hold, or sell? Coles, Wesfarmers, BHP shares

Motley Fool contributor Grace Alvino has positions in Vanguard Australian Shares Index ETF and Wesfarmers. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ResMed, Wesfarmers, and iShares S&P 500 ETF. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended Wesfarmers and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.