Tag: Stock pick

Building an ASX share portfolio can be a delicate process. You obviously want to pack your portfolio full of shares of the highest quality. But you also want to be sure that if a crisis hits the share market, your investments are financial sound and well insulated against any permanent capital loss. This can be a tricky balance. One of the ways I protect my own portfolio for this purpose is with an ASX exchange-traded fund (ETF).

The ETF in question is the VanEck Morningstar Wide Moat ETF (ASX: MOAT).This fund is a rather unique ETF on the ASX. Instead of tracking a simple index, as the Vanguard Australian Shares Index ETF (ASX: VAS) or the iShares S&P 500 ETF (ASX: IVV) do, MOAT invests in a concentrated portfolio of carefully-selected stocks.

These stocks hail from the Untied States, and have to check several boxes before gaining admission to the MOAT portfolio. One of those boxes is being available at a fair valuation. But the most important one is possessing a wide economic moat.

A ‘moat’ is an investing concept first coined by legendary investor Warren Buffett. It refers to an intrinsic competitive advantage that a company can possess, that helps the company ride out economic cycles, as well as fend off competition.

How does this wide moat ETF protect an ASX share portfolio?

This moat could come in several forms. It could be a powerful brand that consumers trust, or a cost advantage that allows the company to consistently charge lower prices than competitors. it could be providing a product or service that consumers find difficult to avoid, or else possessing an intellectual property that the company solely owns.

Companies that possess strong moats are usually long-term winners. Warren Buffett himself has stated that he looks for these sorts of advantages in every investment he buys.

The VanEck Wide Moat ETF is full of them. We can see this in action by looking at this fund’s holdings. As it currently stands, the MOAT portfolio counts stocks like Boeing, Airbnb, Clorox, Nike, Cadbury-owner Mondelez International, Adobe and Microsoft as current holdings.

These are all dominant, profitable companies that possess at least one form of a moat. It could be the enduring appeal of Mondelez’s brands like Cadbury or Oreo, or the essential nature of the software products that Microsoft or Adobe provide. The resilient nature of these stocks provide a lot of stability for my portfolio, and help me sleep well at night. As such, I am very happy to have the VanEck Morningstar Wide Moat ETF in my ASX portfolio, especially in a week like the one we are having.

The post This ASX ETF is my stock portfolio’s shield appeared first on The Motley Fool Australia.

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• The easy way to build a diversified ASX share portfolio
• The $10-a-day ASX share investing habit that could change your financial future
• 5 simple ASX ETFs to build a long-term portfolio around
• How to build a $250,000 ASX share portfolio from scratch today
• Why these ASX ETFs could be strong buys for investors in their 40s

Motley Fool contributor Sebastian Bowen has positions in Microsoft, Mondelez International, VanEck Morningstar Wide Moat ETF, and Vanguard Australian Shares Index ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Adobe, Airbnb, Boeing, Microsoft, Nike, and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2028 $330 calls on Adobe and short January 2028 $340 calls on Adobe. The Motley Fool Australia has recommended Adobe, Airbnb, Microsoft, Nike, VanEck Morningstar Wide Moat ETF, 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.

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is back on form and pushing higher. At the time of writing, the benchmark index is up 1.3% to 8,711.9 points.

Four ASX shares that are rising more than most today are listed below. Here’s why they are charging higher:

Life360 Inc (ASX: 360)

The Life360 share price is up 10% to $22.49. This follows a strong night of trade for the family safety technology company’s NASDAQ listed shares on Wall Street on Monday. Given that its ASX listed shares sank on Monday, a big reversal was necessary today to bring them to parity. It is also worth noting that late last week Morgan Stanley put an overweight rating and $50.00 price target on Life360’s shares. This is more than double its current share price.

St George Mining Ltd (ASX: SGQ)

The St George Mining share price is up 5.5% to 13.2 cents. This morning, the rare earths developer announced the appointment of Carla Grasso, a senior Brazilian resource geologist, to the role of Principal Geologist. It notes that this is a key executive appointment that underscores St George’s commitment to an accelerated development of the world-class Araxa Rare Earths-Niobium Project. St George Mining’s executive chair, John Prineas, said: “We are delighted to welcome Carla Grasso to our Brazilian team as we build momentum for the potential development of a mining operation at the Araxa Project.”

Telix Pharmaceuticals Ltd (ASX: TLX)

The Telix Pharmaceuticals share price is up 7.5% to $10.96. This follows the release of an update on part one of the ProstACT Global Phase 3 study. This is the safety and dosimetry lead-in for its therapeutic candidate, TLX591-Tx. Telix revealed that it achieved its primary objectives, demonstrating an acceptable safety and tolerability profile with no new safety signals observed. Telix’s group chief medical officer, David N. Cade, MD, said: “Despite advances in clinical practice, men with advanced prostate cancer still need improved first and second line treatment options. These results build on prior findings and highlight the potential for TLX591-Tx in combination with contemporary standard of care, to become a new first-line option for patients facing this aggressive disease.”

Westgold Resources Ltd (ASX: WGX)

The Westgold Resources share price is up 4% to $6.50. This morning, this gold miner announced board approval for a $145 million investment in the Higginsville Expansion Plan (HXP). This will lift plant capacity by 62.5% from 1.6Mtpa to 2.6Mtpa. Westgold’s CEO, Wayne Bramwell, said: “The Higginsville Expansion Plan (HXP) is the next step to drive down unit costs and increase Group free cash flow from the Southern Goldfields.”

The post Why Life360, St George Mining, Telix, and Westgold shares are charging higher today appeared first on The Motley Fool Australia.

More reading

• Why are Life360 shares soaring 10% higher today?
• This ASX gold stock is trading higher after greenlighting expansion plans
• Telix shares jump 14% on big news
• Westgold Resources gives green light to $145m Higginsville expansion
• Telix Pharmaceuticals reports positive TLX591-Tx Phase 3 results

Motley Fool contributor James Mickleboro has positions in Life360. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Life360 and Telix Pharmaceuticals. The Motley Fool Australia has positions in and has recommended Life360. The Motley Fool Australia has recommended Telix Pharmaceuticals. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ASX 200 energy shares are dramatically lower after US President Donald Trump signalled the Iran war may be over soon.

The ASX 200 energy sector is 3.4% lower, and it’s the only sector in the red as the rest of the market recovers from yesterday’s rout.

According to abc.net.au, President Trump said the Iran war was “very complete” and that the US was “very far ahead” of its four to five-week estimated schedule of attack.

ASX 200 energy shares are tumbling as oil prices rapidly retreat from nearly US$120 per barrel yesterday to less than US$90 per barrel today.

Here’s the impact on energy stocks so far today.

ASX 200 energy shares take a big hit

The market’s biggest ASX 200 oil share, Woodside Energy Group Ltd (ASX: WDS), is down 4.8% to $29.87 per share.

The Santos Ltd (ASX: STO) share price is down 3.6% to $7.37, and Ampol Ltd (ASX: ALD) shares are down 3.5% to $30.25.

The Karoon Energy Ltd (ASX: KAR) share price is down 9% to $1.82, while Beach Energy Ltd (ASX: BPT) shares are 5% lower at $1.11.

ASX 200 coal shares are also being hit.

The Yancoal Australia Ltd (ASX: YAL) share price is 5.3% lower at $6.79, while Whitehaven Ltd (ASX: WHC) shares are 2.7% down at $8.61.

The New Hope Corporation Ltd (ASX: NHC) share price is $4.95, down 4.5%.

Of the top 10 ASX 200 fallers on the market today, eight of them are energy shares.

Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is up 1.2% on Tuesday.

Why are ASX 200 energy shares tumbling?

ASX 200 energy shares are tanking while the broader market is recovering from yesterday’s $90 billion wipeout.

The ASX 200 fell 3.2% yesterday, its largest single-day fall since ‘Liberation Day’ in the US in April 2025.

The drop followed an astronomical 25% surge in the Brent and WTI oil prices to almost $120 per barrel yesterday.

That was their highest level since the Russian invasion of Ukraine in 2022.

Oil prices skyrocketed amid fears that the war could become a long battle and that higher prices would lead to resurgent inflation worldwide.

Yesterday, Saudi Arabia, the United Arab Emirates, Kuwait, and Iraq began cutting oil production due to disruptions in the Strait of Hormuz.

They did so because storage facilities are filling up quickly as tankers delay going through the Strait of Hormuz.

More than 20% of global oil and gas exports, mostly from Iran, Iraq, Qatar, and the UAE, pass through the strait, which sits between Iran in the north and Oman and the UAE in the south.

It is the only sea channel linking the Persian Gulf with the Gulf of Oman and the Arabian Sea.

Gas prices have also been affected by the Iran war, with UK, Europe, and Germany natural gas futures up by more than 25% in a week.

European gas prices skyrocketed after QatarEnergy suspended production at its Ras Laffan and Mesaieed complexes following an Iranian drone strike on a water tank at the site last week.

The company provides about 20% of the global LNG supply.

Oil prices remain 20% higher over the week despite an overnight fall during US trading and further declines in today’s Asia trading session.

Everything reversed course last night

Yesterday, there was fear in the market about whether the Iran war would become an entrenched conflict, potentially involving many nations over an extended period.

But it’s funny how fast things can change with Donald Trump in the White House.

All it took was some comments from President Trump to send the Brent and WTI crude oil prices back below US$100 per barrel overnight.

With oil trading again right now in Asian markets, both Brent Crude and WTI Crude are under US$90 per barrel as we speak.

Trading Economics analysts sum up what’s happened:

Brent crude futures fell below $95 per barrel on Tuesday after surging to nearly $120 in the previous session, as US President Donald Trump signaled that the war with Iran may be nearing its end and that the US military operation is progressing well ahead of its initial timetable.

Trump also said he plans to waive oil-related sanctions and have the US Navy escort tankers through the Strait of Hormuz in an effort to keep oil prices in check.

Adding to the downward pressure, G7 finance ministers said the group “stands ready” to release oil from strategic reserves if necessary, although no action has been taken so far.

Here’s what President Trump said

On Truth Social this morning, Donald Trump threatened to punish Iran if it disrupted shipping through the Strait of Hormuz.

If Iran does anything that stops the flow of Oil within the Strait of Hormuz, they will be hit by the United States of America TWENTY TIMES HARDER than they have been hit thus far.

Yesterday, Trump posted:

Iran is no longer the “Bully of the Middle East,” they are, instead, “THE LOSER OF THE MIDDLE EAST,” and will be for many decades until they surrender or, more likely, completely collapse!

The post Why are ASX 200 energy shares getting smashed on Tuesday? appeared first on The Motley Fool Australia.

More reading

• What’s next for the Woodside share price?
• Why Coles, Pantoro Gold, Seek, and Woodside shares are falling today
• Santos share price is tumbling from an 18-month high: Buy, hold or sell?
• 5 things to watch on the ASX 200 on Tuesday
• Here are the top 10 ASX 200 shares today

Motley Fool contributor Bronwyn Allen 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 FleetPartners Group Ltd (ASX: FPR) share price is moving higher on Tuesday.

This comes after the company revealed a new plan to return cash to shareholders.

At the time of writing, shares in the fleet management provider are up 5.51% to $2.49.

Let’s unpack what the company released today.

FleetPartners announces $20 million share buyback

In its ASX announcement, FleetPartners confirmed that its board has approved an on-market share buyback of up to $20 million.

The company said the move reflects strong confidence in its balance sheet and its ability to continue generating cash in the future.

Management also noted that the buyback is consistent with FleetPartners’ dividend policy, which targets a payout ratio of 60% to 70% of earnings.

The buyback will be carried out under the Corporations Act and ASX listing rule requirements. Management expects the program to begin no earlier than 14 days after today’s announcement.

Why companies buy back shares

Share buybacks are often viewed positively by investors because they reduce the number of shares on issue.

When a company repurchases its own shares, it effectively spreads future profits across a smaller base of shareholders. This can lift earnings per share (EPS) over time and potentially support the share price.

Buybacks can also signal that management believes the company’s shares are trading below their intrinsic value.

In FleetPartners’ case, the move may also reflect growing financial confidence after several years of operational progress across its core businesses.

A closer look at FleetPartners

FleetPartners is a provider of fleet management services in Australia and New Zealand. The company helps businesses manage vehicle fleets through services such as vehicle acquisition, leasing, maintenance, and remarketing.

The group also provides novated leasing and salary packaging services to individual customers.

FleetPartners currently has a market capitalisation of about $537 million and roughly 216 million shares on issue.

The stock also offers an attractive dividend yield of around 5.46% based on the current share price.

However, shares have been under pressure recently. They have fallen about 8% over the past year and remain roughly 12% lower in 2026 so far.

What could happen next

The newly announced buyback could help support the FleetPartners share price in the coming months.

Capital management initiatives such as buybacks often attract investor interest. This could become even more significant if FleetPartners continues pairing the buyback with consistent dividends and solid cash generation.

If FleetPartners continues delivering stable earnings and strong cash flow, its capital return strategy could become a key driver of future shareholder returns.

The post Why investors are piling into this ASX stock today appeared first on The Motley Fool Australia.

More reading

• Why Coles, Pantoro Gold, Seek, and Woodside shares are falling today
• Is this one of the best ASX 200 stocks money can buy?
• 3 ASX monthly dividend stocks yielding over 5%
• Santos share price is tumbling from an 18-month high: Buy, hold or sell?
• Why is the ASX 200 on a rollercoaster this week?

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

The S&P/ASX 200 Index (ASX: XJO) is having a better day on Tuesday. In afternoon trade, the benchmark index is up 1.1% to 8,695.8 points.

Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are falling:

Coles Group Ltd (ASX: COL)

The Coles share price is down 2.5% to $20.57. This has been driven by the supermarket giant’s shares trading ex-dividend this morning. Last month, the company released its half-year results and declared a fully franked interim dividend of 41 cents per share. Eligible shareholders can look forward to receiving this payout later this month on 30 March.

Pantoro Gold Ltd (ASX: PNR)

The Pantoro Gold share price is down 20% to $3.90. This appears to have been driven by the release of the gold miner’s half-year results after the market close on Monday. Although the company reported a significant jump in revenue to $238.6 million (from $153.4 million) and an even larger increase in EBITDA to $135.5 million (from $63.8 million), this was overshadowed by a guidance downgrade. Management revealed that it now expects production of 86,000 ounces to 92,000 ounces for FY 2026. This is down from its previous guidance range of 100,000 ounces to 110,000 ounces. This has been driven by a significant rain event associated with ex-tropical cyclone Mitchell in February, which negatively impacted operations at Norseman.

Seek Ltd (ASX: SEK)

The Seek share price is down 2% to $16.09. Investors have been selling this job listings giant’s shares after they were downgraded by analysts at Macquarie Group Ltd (ASX: MQG). According to the note, Macquarie has downgraded Seek’s shares to a neutral rating with a trimmed price target of $18.50. The broker has concerns over the outlook for the Australian job market given rate hikes, automation, and AI disruption.

Woodside Energy Group Ltd (ASX: WDS)

The Woodside share price is down over 5% to $29.66. This has been driven by a sharp pullback in oil prices overnight after US President Donald Trump suggested that the US could take control of the Strait of Hormuz. This would help with bringing oil supply back to the market. It isn’t just Woodside shares falling today. At the time of writing, the S&P/ASX 200 Energy index is down over 4%.

The post Why Coles, Pantoro Gold, Seek, and Woodside shares are falling today appeared first on The Motley Fool Australia.

More reading

• 3 ASX shares I would buy to protect against a recession
• Guess which high-flying ASX 200 gold stock is crashing 22% today on weather woes
• 3 ASX shares down 30% (or more) to buy right now
• 5 things to watch on the ASX 200 on Tuesday
• Here are the top 10 ASX 200 shares today

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group Ltd. 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.

Pro Medicus Ltd (ASX: PME) has long been one of the standout S&P/ASX 200 Index (ASX: XJO) growth stocks.

The medical imaging software specialist has delivered exceptional earnings growth over many years, supported by global demand for its Visage imaging platform. But like many technology companies, its share price has experienced volatility recently as investors worry about valuations and the potential impact of artificial intelligence (AI).

That raises an obvious question for investors: Should you buy Pro Medicus shares at current levels?

Here are five reasons why I would still be comfortable owning the ASX 200 stock.

1. Strong and consistent growth

One of the biggest attractions of Pro Medicus is its strong financial performance.

The company continues to deliver impressive growth, with revenue from ordinary activities rising 28.4% to $124.8 million in the first half and underlying profit before tax climbing almost 30%.

These kinds of numbers highlight the demand for its technology and the scalability of its business model.

Even more impressive is the profitability. Pro Medicus operates with underlying EBIT margins above 70%, which is extraordinarily high for a software company.

2. A growing pipeline of major contracts

A further reason I like the ASX 200 stock is its strong contract pipeline.

During the recent half-year, Pro Medicus announced seven new contracts with a combined minimum value exceeding $280 million.

These agreements include deals with major hospitals and healthcare institutions across the United States and Europe. Importantly, many of these contracts are long-term and generate recurring revenue as the software is implemented and used.

The company’s total contracted volume for the next five years has now exceeded $1 billion for the first time.

3. Expansion beyond radiology

Another growth driver is Pro Medicus’ expansion into new medical imaging disciplines.

The company’s Visage platform initially focused on radiology, but it is now expanding into other areas such as cardiology. Management noted that new deals are increasingly including the cardiology module alongside the core imaging offering.

This effectively expands the company’s addressable market and gives existing customers more products to adopt over time.

4. AI fears may be overblown

Artificial intelligence has been a major topic in the technology sector recently, and some investors worry that it could disrupt software companies.

However, Pro Medicus’ management believes these concerns are overstated. CEO Dr Sam Hupert noted that the Visage platform is built on proprietary technology developed over more than 30 years and is not easily replicated.

He also pointed out that AI tools are available to the company’s developers, meaning the technology could actually enhance productivity rather than undermine the company’s competitive advantage.

5. Recent share price weakness

Finally, the ASX 200 stock’s recent share price weakness has arguably made the risk-reward more interesting.

Pro Medicus shares have historically traded at a premium valuation due to the company’s strong growth and exceptional margins. When sentiment toward technology stocks turns negative, high-quality businesses like this can get caught up in the sell-off.

That doesn’t necessarily reflect a deterioration in the underlying business. In fact, the company continues to win new contracts and expand its product suite.

Foolish Takeaway

Pro Medicus shares have never been what most investors would call cheap.

But when I look at the business, I see an ASX 200 stock with strong growth, extremely high margins, a growing global footprint, and opportunities to expand into new medical imaging fields.

Add in the recent share price weakness and concerns about AI that management believes are misplaced, and I think there are still good reasons why long-term investors might consider Pro Medicus shares at current levels.

The post Is this one of the best ASX 200 stocks money can buy? appeared first on The Motley Fool Australia.

More reading

• 10 ASX 200 shares to buy after the market selloff
• Pro Medicus shares fall after market selloff overshadows $40 million contract news
• What I’d buy if the ASX share market crashes
• If I wanted to outperform the ASX 200 over the next 10 years, I’d focus here
• 3 amazing Australian shares for beginners to buy in March

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.

ASX dividend shares are popular with savvy Australian investors looking for a regular stream of income and long-term capital growth. 

Most ASX dividend-paying stocks pay their investors every quarter, six months or 12 months. And then there are the select few which pay dividends on a monthly-basis. 

Here are three of my favorite monthly-paying dividend superstars. And they all pay a yield over 5%.

BetaShares Australian Top 20 Equity Yield Maximiser Fund (ASX: YMAX)

The Betashares YMAX is an ASX-listed exchange-traded fund (ETF) which targets the 20 largest Australian shares on the ASX. 

It’s a relative newcomer as a monthly-paying dividend stock. Since its inception in April 2013, the fund has been paying quarterly dividends to its shareholders. But effective from January 2026, it was amended to pay out on a monthly basis.

As at 30 January 2026, YMAX ETF has a 12-month gross distribution yield of 8.8% and a 12-month distribution yield of 7.4%. The total 12-month franking level is 42.7%.

Its first-ever monthly dividend payment was paid on the 17th of February, where it handed investors $0.035221 per unit. Another $0.050699 per unit dividend will be paid next week.

BetaShares Dividend Harvester Active ETF (ASX: HVST) 

HVST ETF is an ASX-listed exchange-traded fund (ETF) that gives its investors exposure to a large portfolio of up to 60 dividend-paying shares. They’re drawn from the 100 largest ASX-listed companies and selected based on forecasts of high dividends and franking credits, and expected future gross dividend payments. 

The fund is created in a way that it allows it to own a dividend share until it trades ex-dividend. At this point, the fund sells the shares and reinvests the proceeds into its next passive income-generating shares.

HVST ETF pays investors a regular, franked dividend income that is around double the annual income yield of the broader ASX. As of the 30th of January 2026, its 12-month gross distribution (dividend) yield is 7.3%, and the net yield is 5.7%. The franking level is 65.7%. The fund’s annual management fee and costs are 0.72%.

The fund paid out $0.06 per share to investors in late February with another $0.06 per share due to be paid next week.

Metrics Master Income Trust (ASX: MXT)

The Metrics Master Income Trust is a listed investment trust (LIT). The trust has a portfolio of corporate loans and private credit investments rather than a portfolio of other ASX dividend shares. 

This means it can give its investors direct exposure to the Australian corporate loan market, a space which is currently dominated by regulated banks. The trust targets a return of the Reserve Bank cash rate plus 3.25% p.a. (net of fees) through the economic cycle. 

Its latest payout was 1.17 cents per share unfranked in late-February and is, which is payable next week. At the time of writing, MXT ETF has a dividend yield of 7.97%.

The post 3 ASX monthly dividend stocks yielding over 5% appeared first on The Motley Fool Australia.

More reading

• Shift your focus to passive income with these dividend ASX ETFs
• Passive income: How much would I need to invest in ASX shares to earn $1,000 every month?
• For monthly income, an 8.8% ASX dividend share to consider
• Metrics Master Income Trust reveals March 2026 unfranked distribution

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.

The Santos Ltd (ASX: STO) share price has tumbled 3.6% in early-morning trade on Tuesday. At the time of writing the shares are changing hands at $7.37 a piece.

Despite the decline, the shares are still 19.84% higher for the year-to-date and 20.82% higher over the year.

Santos share price surged off the back of Middle East conflict

The stock has jumped nearly 10% since the onset of conflict in the Middle East on the 28th of February. 

The main driver of the increase is concerns about global oil supply. The ongoing conflict in the region is threatening the Strait of Hormuz which is a critical chokepoint in the region. Around 20-25% of global oil supply moves through the channel. 

The conflict has caused shipping disruptions, production cuts, and has created fears about major supply shock. The price of oil spiked at US$116 per barrel yesterday, marking the highest level since 2022. 

So, why is the stock tumbling today?

The price of oil has now cooled to around US$90 per barrel after US President Donald Trump signaled that the war with Iran may be nearing its end and that the US military operation is progressing well ahead of its initial timetable, Trading Economics explains. 

Trump also said he plans to waive oil-related sanctions and have the US Navy escort tankers through the Strait of Hormuz in an effort to keep oil prices in check.

Rising oil prices have acted as a strong tailwind for Santos shares. Now they’ve come off the boil, the company’s share price is following suit.

Even so, the oil price is still significantly higher than the US$55 to US$65 range seen over the past six months. 

Is this a buying opportunity? Or a signal to sell?

While the sky-high oil price has cooled from its multi-year high, there is ongoing political instability in the region which could continue for the foreseeable future, and this will affect long-term supply. The past week has shown how volatile the oil price can be and some analysts are warning that the oil price could surge higher again. 

According to TradingView data, analysts remain bullish on the Santos share price over the next 12 months. Out of 14 analysts, 11 have a buy or strong buy rating on the oil and gas producer’s stock. 

The average target price is $7.80 a piece, which implies a 5.58% upside at the time of writing. Although some think the shares could climb another 14.57% to $8.47 a piece. 

The post Santos share price is tumbling from an 18-month high: Buy, hold or sell? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Tuesday
• Here are the top 10 ASX 200 shares today
• Why Amplitude Energy, Cogstate, Dexus Convenience Retail, and Santos shares are charging higher
• 3 shares dumped from the ASX 200 index (and 3 new additions)
• 5 things to watch on the ASX 200 on Monday

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.

If you’ve been keeping a close eye on the S&P/ASX 200 Index (ASX: XJO) price charts this week, you’ll be forgiven for reaching for your Dramamine.

Despite taking the day off yesterday for Adelaide Cup Day here in South Australia, I couldn’t help but sneak a few peeks at the intraday market moves. And right around lunchtime, I saw that the ASX 200 was down a precipitous 4.2%.

Was this the start of the much-hyped Iran war-fuelled market crash?

Not so fast!

By market close on Monday, the benchmark index had recouped some of those losses to end the day down 2.9%.

And in late morning trade today, investor sentiment has taken a sharp turn for the better, with the index of the top 200 Aussie stocks up 1.5%.

So, what’s going on?

ASX 200 buffeted on wild energy swings

If you’ve passed by a petrol station this week, you’ll have noticed a steep and unwelcome uptick in prices.

As you’re likely aware, that’s being driven by the ongoing United States and Israeli military strikes against Iran. As well as Iran’s reprisal attacks against its oil-rich neighbours and the essential closure of the vital Strait of Hormuz shipping channel.

This saw the West Texas International (WTI) crude oil price spike to a whopping US$119.50 per barrel in early Monday trade. That’s up from US$57.40 per barrel on 1 January, mind you.

With the world still very much dependent on oil and gas for its energy needs, the rocketing prices saw the ASX 200 tumble on Monday amid investor concerns of rebounding inflation.

Should higher energy prices persist, they have a trickle-down effect on many industries, including travel and transport, where companies and consumers would then also see higher prices. And that in turn could trigger further interest rate hikes from the RBA, the Fed, and central banks the world over.

Why is the benchmark index roaring back today?

Today’s big rebound on the ASX 200 comes amid a sharp retrace in oil prices.

While still well up this year, WTI crude oil is now back to US$87.75 a barrel.

That big fall came after US President Donald Trump sought to reassure investors, and his voting base, that the conflict in Iran would be over “very soon”.

As for surging global oil prices, Trump added (quoted by Bloomberg), “We’re looking to keep the oil prices down. They went artificially up because of this excursion.”

Although virtually no cargo ships are currently sailing through the Strait of Hormuz, Trump sought to reassure markets by promising US Navy escort ships to safeguard oil tankers.

The US president also announced his intention to suspend oil-related sanctions.

Now, I suspect ASX 200 investors should brace for further volatility in the days and weeks ahead. But today’s rebound is a welcome reminder not to get carried away with daily price swings, and to enjoy those days off without sneaking a peek at how your investments are tracking.

Foolish Takeaway

Commenting on Monday’s 2.9% drop in the ASX 200 after market close yesterday, the Motley Fool’s chief investment officer Scott Phillips noted, “The ASX is up 7.4% over the past 12 months, plus probably somewhere around 4% more for dividends. So, let’s call it a total gain of 11.4%, give or take.”

(With today’s intraday gains factored in, the benchmark index is now up 9.6% over the past 12 months, plus those 4% in dividends.)

As for the volatile trading day, Phillips concluded, “It’s not unusual. Volatility is all-too common. I don’t know what comes next. No one does. Instead? Focus on the long term.”

The post Why is the ASX 200 on a rollercoaster this week? appeared first on The Motley Fool Australia.

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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.

Rox Resources Ltd (ASX: RXL) announced some big news this week with the company locking in $350 million in debt facilities which means its Youanmi gold project in Western Australia is fully funded.

The team at Canaccord Genuity have run the ruler over the company’s plans following this announcement, and have come out with a very bullish price target on the company.

More on that later, let’s see what Rox announced this week.

Major milestone reached

The company said on Monday that in addition to $200 million in equity funding raised in December, it had entered into binding commitments for debt facilities with a consortium of banks including international banks as well as Westpac Banking Corporation (ASX: WBC) at home.

Managing director Phill Wilding said it was a major step for the company.

The commitment of debt funding from an impressive selection of Australian and International banks is yet another major milestone for Rox as we accelerate our pathway to production for the Youanmi Gold Project.

The debt funding process included a thorough due diligence process by the banks’ Independent Technical Expert, which provides further validation of the robustness of Youanmi and our expectation that it will be a high-margin operation.

We will now work with the Syndicate Banks to achieve financial close, placing us in a position to commence draw down of debt in the September 2026 quarter.

The project is now fully funded through to production, and we look forward to making a Final Investment Decision later in this quarter, before commencing construction activities.

The company has already started development activities at the mine, with a shaft advancing towards the first mining level, the company said in February.

Shares looking cheap

The team at Canaccord Genuity expect the company’s capital expenditure to build the Youanmi mine will be $400 million, compared to the company’s own estimate of $383 million.

They said while a final investment decision had not yet been made, with early works progressing there was high confidence the project would be signed off.

In parallel, long-lead processing plant equipment had been secured following the appointment of a preferred EPC contractor, helping maintain project development timelines. Formal construction start at Youanmi is slated for early June quarter 2026 with first gold with first gold and ramp up anticipated for the June quarter 2027 or early. Recall that the Youanmi DFS outlines plans for a 7-year underground gold operation producing 117,000 ounces per annum.

Canaccord says it has updated its model based on the new debt announcement and has kept its price target for the ASX gold stock at $1.15, compared with 51 cents currently.  

The post This fully funded gold developer could more than double in value: Broker 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 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.