Tag: Stock pick

Building a retirement portfolio is different to investing for growth alone.

The focus usually shifts toward stability, diversification, and a smoother ride over time, while still allowing for some growth to keep up with inflation.

If I were putting together a simple retirement-focused portfolio using exchange-traded funds (ETFs), these are three I would consider.

iShares S&P 500 ETF (ASX: IVV)

Even in retirement, I think it makes sense to have exposure to global growth.

The iShares S&P 500 ETF provides access to 500 of the largest companies in the United States. That includes many of the world’s leading businesses across technology, healthcare, and consumer sectors.

The reason I would include it is straightforward. The US market has historically been a strong driver of long-term returns. Holding an ETF like the IVV ETF gives you exposure to that growth without needing to pick individual winners.

It also adds diversification beyond the Australian market, which can be more concentrated.

Vanguard Diversified Conservative Index ETF (ASX: VDCO)

The Vanguard Diversified Conservative Index ETF would form the core of the portfolio.

It is designed as a more conservative, balanced ETF, with a mix of equities and fixed income. That helps reduce volatility compared to a portfolio made up entirely of shares.

This is important in retirement. Having exposure to bonds and defensive assets can help smooth returns and reduce the impact of market downturns.

At the same time, the VDCO ETF still includes equities, which allows for some growth over time.

That balance between income, stability, and modest growth is why I think it fits well in a retirement portfolio.

BetaShares Australian Quality ETF (ASX: AQLT)

The final piece I would add is a focus on quality. The BetaShares Australian Quality ETF focuses on Australian stocks with strong balance sheets, high returns on equity, and more stable earnings.

In my view, that can be particularly useful in a retirement portfolio.

Quality companies tend to be more resilient during difficult periods, which can help reduce downside risk. Many also pay dividends, which can support income.

It also provides exposure to Australian stocks, which can complement the global exposure from the IVV ETF.

Foolish Takeaway

A retirement portfolio does not need to be complicated.

For me, the focus would be on combining global growth, defensive balance, and quality companies.

I think the IVV ETF provides exposure to leading global businesses, the VDCO ETF adds diversification and stability through a balanced approach, and the AQLT ETF brings in a focus on higher-quality Australian companies.

Together, I think they offer a simple way to build a retirement portfolio that can generate income, manage risk, and still grow over time.

The post 3 ASX ETFs I’d buy for a retirement portfolio appeared first on The Motley Fool Australia.

More reading

• Want to fast-track retirement? These ASX ETFs could get you there
• All-weather ASX ETFs to buy if the market crashes 20%
• Are these the best ASX ETFs to buy with $1,000 in May?
• ASX ETF investors exit US stocks in favour of Aussie shares: Betashares
• How I’d use the iShares S&P 500 ETF (IVV) to create $50,000 annual passive income

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 iShares S&P 500 ETF. The Motley Fool Australia has recommended 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.

The Whitehaven Coal Ltd (ASX: WHC) share price is in focus after the company reported managed ROM coal production of 9.5 million tonnes for the March quarter, with equity sales of produced coal steady at 6.8 million tonnes. Net debt reduced to A$0.6 billion while the business is tracking towards targeted annualised cost savings.

What did Whitehaven Coal report?

• Managed ROM coal production: 9.5Mt in Q3 FY26 (down 14% on previous quarter due to seasonality)
• Equity sales of produced coal: 6.8Mt, broadly in line with the December quarter
• Average achieved prices: QLD A$242/t (up 8% QoQ); NSW A$175/t (up 7% QoQ)
• Net debt: A$0.6 billion as at 31 March 2026, down from A$0.7 billion at 31 December
• Refinancing secured: US$900 million in senior secured notes and US$600 million bank funding, aiming for annual interest savings of A$50–55 million
• On track for A$60–80 million of targeted annualised cost savings by 30 June 2026

What else do investors need to know?

Operationally, there was a sharp 28% drop in QLD managed ROM coal production due to wet-season disruptions, but sales rose 9% as stock drawdowns continued. NSW managed ROM production held steady, supported by strong results at Maules Creek, offsetting lower longwall output at Narrabri.

The business continued its capital management initiatives, repurchasing 1.4 million shares for A$11 million in the quarter. Full-year FY26 share buy-backs have reached 7.7 million shares for a total of A$56 million. The refinancing of debt facilities should lower funding costs and extend Whitehaven’s average debt maturity.

Development work continued at the Winchester South and Vickery projects, with A$4 million spent on development and an additional A$1 million on exploration. The company remains disciplined in allocating capital to future opportunities, subject to board review and market conditions.

What did Whitehaven Coal management say?

CEO & Managing Director Paul Flynn said:

Production in the March quarter was broadly in line with plan reflecting strong outcomes from NSW open cut operations and solid results from Queensland operations in a weather impacted quarter. For the first nine months of the year we have produced 29.5Mt of ROM, and we are on track to be firmly in the upper half of guidance for FY26. Equity sales of 6.8Mt for the quarter were also strong and are tracking at the upper end of guidance for the year… Our successful refinancing of the acquisition debt facility and smaller finance facilities will deliver considerable savings in the order of ~A$50-55 million per annum.

What’s next for Whitehaven Coal?

Whitehaven Coal has left FY26 guidance unchanged, expecting to land in the upper range for ROM coal production and coal sales, with unit costs tracking near the guidance midpoint. Capital expenditure is trending toward the lower end of the range, and ongoing cost discipline remains a focus.

The business expects to benefit from positive market dynamics, with higher metallurgical and thermal coal prices and a healthy balance sheet. Board reviews of new developments such as Vickery and Winchester South remain in progress, depending on project approvals and market opportunities.

Whitehaven Coal share price snapshot

Over the past 12 months, Whitehaven Coal shares have risen 59%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 10% over the same period.

View Original Announcement

The post Whitehaven Coal shares: Q3 FY26 shows steady sales, improved pricing appeared first on The Motley Fool Australia.

More reading

• Reliance Worldwide resets FY26 outlook, updates on tariffs and Middle East
• Capricorn Metals reports Mt Gibson gold results
• Don’t sit out this ASX share market chaos, it could cost you
• Deep Yellow provies March quarter update
• 5 things to watch on the ASX 200 on Tuesday

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 BHP Group Ltd (ASX: BHP) share price has been an excellent performer in the last year, rising by close to 50%, as the below chart shows.

After such a strong rise, investors may be wondering where the BHP share price could go next.

It’s a good time to consider that question because the ASX mining share recently released its FY26 third-quarter update.

Let’s take a look at how the business performed and then what analysts think of the business now.

Recent production performance

In the three months to 31 March 2026, BHP said it produced 476.8kt, which was down 7% year-over-year. But, the business did upgrade its FY26 group copper production is now expected to be in the upper half of its guidance range of between 1,900kt to 2,000kt.

Iron ore production went up 2% year-over-year to 62.8mt, with BHP’s share of Australian iron ore production rising by 1% to 60.9mt.

The company noted that there was 10% lower iron ore production in the third quarter of FY26 than the second quarter of FY26 because of impacts from Tropical Cyclone Mitchell and Tropical Cyclone Narelle that led to a temporary port closure, operational adjustments and higher planned maintenance.

Additionally, BHP revealed that it has concluded iron ore sales contract negotiations with the China Mineral Resources Group (CMRG) – a key buyer of iron ore.

Steelmaking coal production declined 3% year-over-year to 3.8mt and energy coal rose 12% year-over-year to 4mt.

Is the BHP share price attractive?

According to CMC Markets, most experts are feeling neutral about the business.

Of 15 recent ratings on the business with in the last three months, there are currently 13 hold ratings and just two buys.

A price target is where analysts think the share price will be in 12 months from the time of the investment call to now.

The average price target of those 15 analysts for BHP shares is $51.61. That implies a possible decline of approximately 8% from where it is at the time of writing, so experts seem to think the BHP share price has risen a little too far.

The highest price target on BHP is $67.80, suggesting a possible rise of around 20% from where it is at the time of writing.

Time will tell whether it’s right to be optimistic or pessimistic at the current valuation.

The post How much could the BHP share price rise in the next year? appeared first on The Motley Fool Australia.

More reading

• Up 49% in a year, should you buy BHP shares for their ‘stability and income’?
• Buy, hold, sell: Goodman Group, BHP, Westpac shares
• 5 things to watch on the ASX 200 on Monday
• 3 reasons to buy BHP shares now and hold for the next decade
• Want to fast-track retirement? These ASX ETFs could get you there

Motley Fool contributor Tristan Harrison 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 recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If the recent swings in the S&P/ASX 200 Index (ASX: XJO) have you clutching your portfolio with ASX shares a little tighter — you’re not alone.

The market has slipped almost 5% from its early March highs and is down roughly 3% over 6 months at the time of writing. Not exactly the kind of chart that sparks joy.

But here’s the cheeky twist: this kind of wobble might actually be one of the better buying windows for ASX shares 2026 has served up so far.

Because while sell-offs feel uncomfortable, they’ve historically been where the real money gets made. Not when everything’s cruising and everyone’s feeling clever.

What’s spooking the market?

Plenty, frankly. Markets have been jittery thanks to rising oil prices, renewed conflict in the Middle East, sticky inflation, and a fresh round of hand-wringing over whether the Artificial Intelligence (AI) boom is getting a little… overcooked. It’s a notable mood swing from earlier this year.

Over the past five years, ASX shares have been on a solid run, driven by banks, miners, and a tech sector riding the AI hype train. Confidence was high, earnings held up, and dips were treated more like mild inconveniences than genuine risks.

Back then, buying felt easy. Almost too easy.

Now it gets interesting

Because here’s the thing, the best time to buy ASX shares is rarely when everything feels great. It’s when sentiment sours, headlines turn gloomy, and investors start second-guessing themselves.

That’s when quality companies quietly go on sale.

Right now, many of the ASX’s heavy hitters — think CSL Ltd (ASX: CSL) — are trading below recent highs. Same businesses, same long-term prospects… just at lower prices. Not exactly a tragedy.

Short-term noise, long-term game

It’s also worth remembering that much of what’s driving today’s volatility in ASX shares is, well, temporary.

Geopolitical tensions flare up and cool down. Oil prices spike, then settle. Inflation surprises — in both directions. Markets have seen it all before and, historically, moved higher over time.

We’ve even had a reminder of how quickly things can flip. The ASX 200 recently posted one of its strongest single-day gains in a year on hopes of easing tensions and softer inflation data.

That’s markets for you, dramatic one minute, optimistic the next.

The same logic applies to AI concerns. While there’s debate about how sustainable current spending levels are, the long-term demand for AI infrastructure, automation, and data capabilities isn’t going anywhere fast.

Foolish Takeaway

When ASX share prices fall but business fundamentals remain intact, the maths quietly improves in your favour. Lower prices can mean higher dividend yields, better long-term returns, and less valuation risk.

In other words, volatility isn’t just noise. It’s opportunity wearing a slightly scary costume.

Sitting on the sidelines might feel comfortable right now. But in markets, comfort and returns don’t always go hand in hand. And this could be one of those moments where doing nothing ends up costing more than taking action.

The post Don’t sit out this ASX share market chaos, it could cost you appeared first on The Motley Fool Australia.

More reading

• Reliance Worldwide resets FY26 outlook, updates on tariffs and Middle East
• Capricorn Metals reports Mt Gibson gold results
• Whitehaven Coal shares: Q3 FY26 shows steady sales, improved pricing
• Deep Yellow provies March quarter update
• 5 things to watch on the ASX 200 on Tuesday

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 CSL. The Motley Fool Australia has recommended CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

While the big four banks often dominate headlines, it’s ASX bank stock Judo Capital Holdings Ltd (ASX: JDO) getting attention this week. 

Judo Capital is an Australian bank focused on lending to small and medium enterprises (SMEs).

Its Judo Bank brand provides business lending starting at $250,000 and touts itself as providing more flexibility than major banks. It also offers personal term deposit products and home loans.

Relative underperformance

So far in 2026, this ASX bank stock has underperformed relative to its peers. 

Year to date, its stock price is down more than 20%. 

In that same span, the S&P/ASX 200 Financials Index (ASX: XFJ) has climbed just over 2%, and some of the larger bank stocks have risen by much more. 

For comparison: 

• Macquarie Group Ltd (ASX: MQG) is up almost 14%
• Commonwealth Bank of Australia (ASX: CBA) is up 7%

However, the 20% dip for Judo shares could be a buy-low opportunity, according to brokers, after positive results were released last week. 

What did Judo report?

Last week, this ASX bank stock released an update on financial performance, asset quality, and FY26. 

The company reinforced that its lending growth, net interest margins, and operating expenses all remain on track to meet existing guidance, “resulting in Judo reaffirming guidance for FY26 profit before tax of between $180 million – $190 million”.

Judo Bank reported:

• Gross loans and advances reached $13.8 billion at 31 March, up from $13.4 billion at December 2025
• Net interest margin (NIM) rose to approximately 3.15% for Q3, up from 3.03% in 1H26
• Total deposits increased to $11.5 billion, with the blended cost of deposits at 0.74% over 1‑month BBSW
• Operating expenses remained in line with previous guidance. 

Brokers react positively 

Following the report, both Morgans and Macquarie provided updated guidance on this ASX bank stock. 

The team at Morgans sees the recent share price weakness as a buy-low opportunity. 

We view JDO’s recent share price weakness as a buying opportunity for a stock with high growth potential, increasing the margin of safety for the investment. Upgrade from ACCUMULATE to BUY. Potential TSR at current prices is c.49%.

Meanwhile, Macquarie also sees upside for this ASX bank stock. 

As Cameron England reported, Macquarie said the underlying revenue performance was strong, “with continued lending book growth and positive margin momentum”.

The broker said they remained of the view that Judo would beat its guidance on margins in the second half.

It has an outperform rating on Judo shares, with a 12-month price target of $1.85. 

From the current share price of $1.43, the updated target indicates a potential return of 29.4%.

The post Brokers say this ASX bank stock can rise almost 50% after key announcement appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Tuesday
• 2 ASX 200 shares Macquarie thinks will return nearly 30%
• 3 ASX shares upgraded by Morgans to buy ratings
• Guess which ASX 200 bank stock is pushing higher on Friday (hint, not CBA shares)
• Judo Capital reaffirms FY26 profit guidance as lending growth continues

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 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.

Owning Wesfarmers Ltd (ASX: WES) shares usually means getting a solid dividend yield each year. Based on projections, it’s looking positive for investors wanting passive income growth and a larger dividend yield.

Wesfarmers is best known as the company that operates Bunnings, Kmart and Officeworks. But, it also has businesses like Target, Priceline, InstantScripts and WesCEF (chemicals, energy and fertilisers).

Given how it generates its earnings across a variety of high-quality sources, the business is well positioned to deliver pleasing cash payments as well as long-term capital growth.

Let’s take a look at how big the Wesfarmers dividend yield could be in the coming years.

Dividend projection

Wesfarmers is projected to pay an annual dividend per share of $2.16 in FY26 according to the forecast on Commsec.

At the time of writing, the projected payout for the 2026 financial year translates into a forward grossed-up dividend yield of 4.1%, including franking credits.

Pleasingly, according to the estimate on Commsec, the company is expected to increase its dividend again in the 2027 financial year by 7.9% to $2.33.

If the company does deliver that enlarged dividend in FY27, that would be a grossed-up dividend yield of 4.5%, including franking credits, at the time of writing.

Wesfarmers is also projected to deliver rising earnings per share (EPS) in FY26 and FY27, reaching $2.55 and $2.74, respectively.

Growing profit is an essential part of driving shareholder returns, including the dividend payments, so it’s good to see earnings are projected to rise 7.6% in FY27.

The company is currently valued at 29x FY26’s estimated earnings, at the time of writing.

Latest outlook comments

When the company announced its FY26 half-year result, it made some largely positive commentary, which could bode well for the Wesfarmers dividend yield.

The company said:

Wesfarmers remains well positioned to deliver satisfactory returns to shareholders over the long term, supported by its portfolio of cash generative businesses with market-leading positions, strong balance sheet and commitment to invest to strengthen its existing divisions and develop platforms for growth.

Wesfarmers recognises the impact of inflation on households and businesses, and the retail divisions play an important role in the community through offering everyday low prices. Bunnings and Kmart’s well-established everyday low price operating models deliver sustainable growth in earnings through a relentless focus on productivity and low prices.

Australian consumer demand remains solid, but cost of living pressures are being felt unevenly across the economy and impacting many households. The recent interest rate rise and uncertainty regarding the outlook for inflation and interest rates are affecting consumer sentiment, while higher operating expenses are weighing on business confidence and spending.

Overall, I think the company can help households and businesses with good value products from Kmart and Bunnings during this period, allowing them to capture market share. This could be key to long-term returns from the current level.

The post How big will the Wesfarmers dividend yield be in 2027? appeared first on The Motley Fool Australia.

More reading

• Wesfarmers shares: Buy, hold or sell?
• 2 great ASX 200 blue-chip shares I’d buy right now
• The Warren Buffett rule I keep coming back to with ASX shares
• Almost ready to retire? I’d buy cheap ASX dividend shares for passive income
• Where I’d invest my first $500 into ASX shares

Motley Fool contributor Tristan Harrison 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 Wesfarmers. The Motley Fool Australia has recommended Wesfarmers. 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 for big potential returns to supercharge your portfolio, then it could be worth considering the ASX 200 share in this article.

That’s because Bell Potter believes it could rise 90% over the next 12 months.

Which ASX 200 share?

The share that Bell Potter is tipping as a speculative buy is Iperionx Ltd (ASX: IPX).

It is a titanium production technologies company aiming to commercialise novel products that have the potential to disrupt the current global titanium supply chain.

Its HAMR (Hydrogen Assisted Metallothermic Reduction) product converts titanium scrap or minerals into high spec titanium powders.

Meanwhile, IperionX’s HSPT (Hydrogen Sintering & Phase Transformation) product converts titanium powders to high-end titanium components.

Bell Potter notes that these technologies have materially lower production costs than incumbent forms of titanium production through lower energy consumption, reduced waste, and lower carbon emissions.

Why is the broker bullish?

Bell Potter is feeling optimistic ahead of the release of a definitive feasibility study for the Titan Critical Minerals Project in the coming months. It said:

Commercial engagements with several aerospace, defence, automotive and consumer electronics counterparties are ongoing, with prototyping and qualification ahead of initial production contracts expected this year. In mid-2026, IPX will release a Definitive Feasibility Study for the Titan Critical Minerals Project (Tennessee), with potential government funding negotiations ongoing. Initial commercial development of a previously piloted continuous titanium powder process is underway, with potential to materially lift production and lower unit costs on the current installed batch process.

Bell Potter has a speculative buy rating and $8.25 price target on the ASX 200 share.

Based on its current share price of $4.27, this implies potential upside of 93% for investors over the next 12 months.

However, its speculative rating means this would only be suitable for investors with a high tolerance for risk.

Commenting on its recommendation, the broker said:

IPX has the potential to disrupt the incumbent titanium supply chain through materially lowering production costs and manufacturing waste. The company will incrementally expand capacity and progress commercial relationships with aerospace, automotive, luxury goods and government end users. IPX will benefit from increased defence sector spending and with its focus on domestic US manufacturing. Our valuation is now $8.25/sh (previously $9.25/sh), the reduction mostly driven by increased project risking ahead of firm commercial contracts.

The post Guess which ASX 200 share could rise 90% according to Bell Potter 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 this $1.5 billion ASX stock is jumping 6% today
• IperionX ramps up 24/7 titanium production in March 2026 quarterly update
• Why is this temperamental ASX stock surging 11% today?

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 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 Deep Yellow Ltd (ASX: DYL) share price is in focus today after the company reported major progress across its uranium project portfolio, with engineering at its flagship Tumas Project in Namibia now 68% complete and a strong cash balance of A$171.6 million at quarter end.

What did Deep Yellow report?

• Detailed engineering for the Tumas Project reached 68% completion, and bulk earthworks are now 91% done.
• The company finished tendering 79% of major process plant equipment packages at Tumas, advancing procurement readiness.
• Group cash balance stood at A$171.6 million as of 31 March 2026.
• A total of A$11.9 million was invested in project development and A$2.5 million in exploration during the quarter.
• Exploration drilling at the Tinkas Prospect completed 133 holes, underpinning regional growth potential.

What else do investors need to know?

During the quarter, Deep Yellow achieved several construction milestones at Tumas as it moves closer to making a final investment decision. The project’s key schedules and cost estimates are being actively updated as more data comes in, helping de-risk the path to development.

The company continued trade-off studies at Western Australia’s Mulga Rock Project, with new pilot test work confirming key mineral recoveries and lowering anticipated costs. At the Northern Territory’s Alligator River Project, recent seismic surveys have helped define priority drill targets for the next exploration season.

On the corporate front, Deep Yellow welcomed Greg Field as its new Managing Director and CEO, and appointed both a Chief Legal Officer and Head of Strategy to support its transition toward uranium production. The company made no mining production sales during the quarter.

What did Deep Yellow management say?

Managing Director/CEO Greg Field said:

Deep Yellow entered the March 2026 quarter with clear momentum across the business, underpinned by continued advancement of our flagship Tumas development project and a disciplined focus on creating long-term shareholder value. … Beyond Tumas, our broader portfolio continues to provide meaningful strategic leverage through exploration upside and development optionality across tier-one jurisdictions. With a strong balance sheet, an experienced leadership team and a high-quality asset base, Deep Yellow is well positioned to capture value through the next phase of the uranium cycle.

What’s next for Deep Yellow?

The company’s focus remains on readying Tumas for a final investment decision, completing outstanding engineering and early works, and progressing project financing. At Mulga Rock, the feasibility study and process optimisation are ongoing, with updated resource modelling due soon.

Looking forward, Deep Yellow’s exploration portfolio and firm financial footing put it in a strong position to benefit from ongoing improvements in uranium market fundamentals, including increasing long-term contract prices and demand for nuclear energy. Management has flagged that execution will continue to be disciplined, with an eye to both strategy and market timing.

Deep Yellow share price snapshot

Over the past 12 months, Deep Yellow shares have risen 90%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 10% over the same period.

View Original Announcement

The post Deep Yellow provies March quarter update 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
• IperionX ramps up 24/7 titanium production in March 2026 quarterly update
• Atlas Arteria receives a takeover offer
• Generation Development Group reports cyber incident

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.

Bank shares like Commonwealth Bank of Australia (ASX: CBA) have long been a go-to option for income on the ASX. Their scale, profitability, and dividend history make them a natural starting point.

But they are looking expensive after strong runs over the past 12 months.

The good news is that they are not the only option. There are other parts of the market that can provide income, often with different drivers and risk profiles.

Here are three ASX income ideas outside the banking sector.

APA Group (ASX: APA)

The first ASX income share to look at is APA Group.

APA owns and operates energy infrastructure, including gas pipelines and storage assets. These assets generate revenue through long-term contracts, which can provide a steady and predictable income stream.

Because its earnings are tied to infrastructure usage rather than commodity prices, the business tends to be less volatile than many energy producers.

This structure supports consistent cash flow, which underpins its distributions to investors.

With contracted revenue and a focus on essential infrastructure, APA offers exposure to income that is driven by long-term agreements rather than short-term market conditions.

Transurban Group (ASX: TCL)

Another ASX income share worth considering ahead of the big four banks is Transurban.

It operates toll roads across Australia and North America. Its revenue is linked to traffic volumes and toll pricing, creating a different type of income stream.

As populations grow and urbanisation continues, demand for transport infrastructure tends to increase. This can support long-term growth in traffic across its network.

The company also benefits from inflation-linked pricing in many of its concessions, which can help protect revenue over time.

With a portfolio of long-life assets and predictable cash flows, Transurban provides income exposure tied to infrastructure usage and population growth.

Telstra Group Ltd (ASX: TLS)

A third ASX income share that offers income outside the banks is Telstra.

It operates Australia’s largest telecommunications network, providing mobile, broadband, and enterprise services.

Following the successes of its T22 and T25 strategies, and its ongoing Connected Future 30 strategy, Telstra appears to be in a strong position to continue growing its earnings at a steady rate over the medium term.

This bodes well for dividend growth over the coming years, which could make it a good pick for income investors.

With defensive earnings from essential services and a strong position in a rational market, Telstra is arguably a great alternative to the big four banks.

The post 3 top ASX income ideas beyond CBA and the big four banks appeared first on The Motley Fool Australia.

More reading

• Are Telstra shares a good deal at $5.32?
• If I had to build a simple ASX portfolio today, this is what I’d do
• Want to build up a second income? These 2 top ASX shares are a buy
• 2 great ASX 200 blue-chip shares I’d buy right now
• The Warren Buffett rule I keep coming back to with ASX shares

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

There are not many businesses I’d describe as being as one of Australia’s top shares. Pinnacle Investment Management Group Ltd (ASX: PNI) is one stock that I think seems very underrated by the market.

Pinnacle says that it’s growing a diverse family of world-class investment managers (affiliates). Along with holding stakes in these affiliates, it also provides services like seed funding, global institutional and retail distribution, and industrial grade middle office and infrastructure services. 

The company says that by providing affiliates with superior non-investment services, it enables them to focus on delivering “investment excellence” to their clients.

Great portfolio of fund managers

Pinnacle has built a portfolio of a number of great managers, including Advantage Partners, Aikya, Antipodes, Coolabah, Firetrail, Five V Capital, Hyperion, Langdon, Life Cycle, LongWave, Metrics, Pacific Asset Management, Palisade, Plato, Resolution Capital, Riparian, Solaris, Spheria and VSS.

I like how the business is looking to deliver growth in a number of ways including new affiliates, strategies, channels and geographies, providing new levers for expansion.

If Pinnacle is willing to continue investing in fund managers based in other markets, then it has a very large addressable market to find new opportunities, making it one of Australia’s top shares in my view.

The business also noted that international distribution is becoming a “strong growth engine following [an] organic, multi-year build-out of global investor networks, strategies and infrastructure”.

Strong growth

The company’s potential is coming through in the numbers that it’s reporting, with both the underlying profit and the strength of the funds under management (FUM) growth.

The latest the market heard was the FY26 half-year result.

In that report, the company revealed record net inflows of $17.2 billion, including domestic retail net inflows of $6.8 billion, domestic institutional net inflows of $7 billion and international net inflows of $3.4 billion.

It also said that total affiliate FUM reached $202.5 billion at 31 December 2025, which represented 13% (or $23.1 billion) growth from June 2025.

Not only is the business’ affiliates attracting new client money at a strong pace, but they’re also growing the FUM balance thanks to the investment performance of the funds.

Pinnacle noted that the affiliates are largely delivering continued medium-term performance. It said 86% of five-year affiliates have outperformed their respective benchmarks over the five years to 31 December 2025.  

Operating leverage is important for Australia’s top shares

One of the best things about funds management businesses is how much operating leverage they can have. In other words, net profit can grow a lot faster than revenue because costs don’t rise at the same pace.

It doesn’t take 10% more staff and a 10% bigger office to manage 10% more FUM.

In the HY26 result, it reported that net profit before performance fees rose 37% year-over-year. Pinnacle’s share of affiliates’ net profit, excluding performance fees, grew 52%.

In my view, it looks very undervalued to me after falling around 20% in the last six months.

According to the forecast on Commsec, it’s trading at 18x FY27’s estimated earnings.

The post A rare buying opportunity in 1 of Australia’s top shares? appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Pinnacle Investment Management Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Pinnacle Investment Management Group. The Motley Fool Australia has positions in and has recommended Pinnacle Investment Management Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.