Tag: Stock pick

S&P/ASX 200 Index (ASX: XJO) shares are up 0.36% to 8,717.5 points on Tuesday.

Let’s check out some new ratings from Steven Springford at Catapult Wealth (courtesy The Bull).  

Goodman Group (ASX: GMG)

The Goodman share price is $26.52, up 0.84% today and down 22% over 12 months. 

Springford has a buy rating on this ASX 200 property share.

He said: 

Goodman provides exposure to construction and management of warehouses and data centres in major cities across the world.

Operating earnings per security of $1.299 in full year 2026 were up 10.1 per cent on the prior corresponding period.

The company is targeting operating earnings per share growth of 9 per cent in full year 2027.

GMG recently signed a 20 year lease on its data centre in Tokyo. The facility is under construction and due to be operational in 2028.

Data centres recently drove work in progress to $19.7 billion.

The shares offer value at these levels, as we believe the stock is trading at a discount.

Wesfarmers Ltd (ASX: WES)

The Wesfarmers share price is $76.06, up 0.78% today and down 17% over 12 months. 

Springford has a hold rating on this ASX 200 consumer discretionary share. 

He commented: 

Wesfarmers owns retail giants Bunnings, Kmart and Officeworks among other businesses.

Group revenue rose 3.4 per cent in 2026 when compared to the prior corresponding period.

Basic earnings per share, excluding significant items, were up 8.3 per cent.

Growth is steady rather than exciting, so WES can be held for reliable earnings and dividends over the long term.

Increasing interest rates and weaker household spending are the main risks.

BHP Group Ltd (ASX: BHP)

BHP shares are $62.17 apiece, up 0.45% today and up 48% over 12 months. 

Springford has a sell rating on this ASX 200 mining share. 

He explained: 

The global miner delivered a strong result in full year 2026.

Attributable profit of $US9.8 billion was up 9 per cent on the prior corresponding period. Revenue of $US58.8 billion was up 15 per cent. Copper generates more than half the company’s earnings.

Our issue is price rather than quality.

The shares have risen from $42.53 on September 30, 2025 to trade at $61.17 on September 30, 2026.

Continuing strong profits depend on commodity prices remaining elevated.

BHP is a great company, but taking some profit is a reasonable way to lock in gains, while keeping some resources exposure.

The post Buy, hold, sell: Goodman, Wesfarmers, BHP shares appeared first on The Motley Fool Australia.

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

VanEck has announced the next round of distributions (dividends) for its ASX exchange-traded funds (ETFs).

VanEck has provided a targeted payment date of Friday, 16 October.

Let’s check out these upcoming payments.

VanEck announces dividends

VanEck 1-5 Year Australian Government Bond ETF (ASX: 1GOV) will pay 11.5 cents per unit.

The VanEck 5-10 Year Australian Government Bond ETF (ASX: 5GOV) will pay 13 cents per unit.

VanEck Emerging Income Opportunities Active ETF (ASX: EBND) will pay 5.5 cents per unit.

VanEck Australian Floating Rate ETF (ASX: FLOT) will pay 10.5 cents per unit.

The VanEck Australian Fixed Rate Subordinated Debt ETF (ASX: FSUB) will pay 12 cents per unit.

VanEck Bentham Global Capital Securities Active ETF (ASX: GCAP) will pay 4.5 cents per unit.

VanEck FTSE Global Infrastructure (AUD Hedged) ETF (ASX: IFRA) will pay 19 cents per unit.

The VanEck Global Listed Private Credit (AUD Hedged) ETF (ASX: LEND) will pay 14 cents per unit.

VanEck Cash Plus Active ETF (ASX: MONY) will pay 20 cents per unit.

VanEck Australian Corporate Bond Plus ETF (ASX: PLUS) will pay 7 cents per unit.

The VanEck FTSE International Property (AUD Hedged) ETF (ASX: REIT) will pay 19 cents per unit.

VanEck Australian RMBS ETF (ASX: RMBS) will pay 10.5 cents per unit.

VanEck Australian Subordinated Debt ETF (ASX: SUBD) will pay 12 cents per unit.

The VanEck 1-3 Month US Treasury Bond ETF (ASX: TBIL) will pay 15 cents per unit.

VanEck 10+ Year Australian Government Bond ETF (ASX: XGOV) will pay 18 cents per unit.

What about other ASX ETFs?

BlackRock has announced distributions for iShares S&P 500 ETF (ASX: IVV) and other ETFs in its group.

BlackRock will pay its ETF investors this Friday.

Vanguard has also announced its next dividends for Vanguard Australian Shares Index ETF (ASX: VAS), Vanguard Diversified High Growth Index ETF (ASX: VDHG), Vanguard Australian Property Securities Index ETF (ASX: VAP), and others in its stable.

Vanguard will pay investors on 16 October.

Betashares has announced its distributions for Betashares Australia 200 ETF (ASX: A200), Betashares Diversified All Growth ETF (ASX: DHHF), Betashares Diversified High Growth ETF (ASX: DVHG), and others.

Investors will receive their dividends on 16 October.

Global X has also announced its next dividend payments for Global X Australia 300 ETF (ASX: A300), Global X Australia ex Financial & Resources ETF (ASX: OZXX), and others.

Global X will pay investors on 19 October.

The post Own VanEck ASX ETFs? Here’s your next dividend appeared first on The Motley Fool Australia.

More reading

• Top broker says this ASX stock could rise 115%
• Down 60%, is this ASX growth share now too cheap to ignore?
• Buy, hold, sell: Goodman, Wesfarmers, BHP shares
• Should I invest $1,000 into DroneShield shares?
• IDP Education vs G8 Education: Which battered ASX stock could rebound?

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 positions in and has recommended BlackRock and 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.

DroneShield Ltd (ASX: DRO) has become one of the ASX’s most closely watched defence technology companies.

Demand for counter-drone systems is growing, while the company continues to make progress with major customers in markets such as the United States.

So, if I had $1,000 available for a higher-growth investment, would DroneShield make the cut?

A growing defence opportunity

Drones are playing an increasingly important role in modern warfare and security, creating demand for technology capable of detecting, tracking, and defeating them.

DroneShield has developed products across portable counter-drone systems, vehicle-mounted technology, sensors, electronic countermeasures, and command-and-control software.

That gives the company several ways to participate as governments and defence organisations increase spending in this area.

And importantly, DroneShield is starting to turn that opportunity into meaningful customer relationships.

Progress in the United States

One recent example came at the end of September. DroneShield secured an Indefinite Delivery, Indefinite Quantity contract supporting the US Joint Interagency Task Force 401 Domestic Shield initiative.

The procurement vehicle has a maximum value of US$500 million over three years and provides a streamlined way for US authorities to purchase DroneShield technology.

That does not mean US$500 million of revenue is guaranteed. Individual orders still need to be placed under the agreement.

Even so, I think it strengthens DroneShield’s position in a market that could become increasingly important to the business.

The company had already installed DroneSentry-X systems on US military vehicles under the same program, showing that its technology is moving beyond trials and into operational use.

Building more than a hardware business

There is another part of the story I think could become increasingly important.

DroneShield has launched Mission Ready Services, an annual renewable offering covering areas such as software updates, training, and support.

With thousands of software-enabled devices already deployed, that creates an opportunity to generate additional revenue after the initial hardware sale.

Over time, a larger contribution from software and services could make the business less dependent on the timing of individual equipment orders.

That would be an important development as DroneShield grows.

What are the risks?

There is still plenty that could go wrong.

Defence contracts can be large but irregular, and procurement programs do not guarantee that orders will arrive when investors expect.

DroneShield is also expanding rapidly, which means it needs to keep investing in manufacturing capacity, research and development, and its international operations while maintaining execution.

The share price could therefore remain volatile, particularly if contract announcements slow or market expectations run ahead of what the business delivers.

That is the sort of risk I would want to be comfortable with before investing.

Foolish takeaway

I would be prepared to invest $1,000 in DroneShield shares.

The company is addressing a defence problem that appears to be becoming more urgent, while its progress in the US suggests its technology is gaining credibility with major customers.

There will almost certainly be sharp swings along the way. But for a long-term investor comfortable with higher risk, I think DroneShield has a genuine opportunity to become a much larger defence technology business.

The post Should I invest $1,000 into DroneShield shares? appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in DroneShield. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DroneShield. 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.

IDP Education vs G8 Education shares: Which beaten-down stock could rebound?

Both IDP Education Ltd (ASX: IEL) and G8 Education Ltd (ASX: GEM) have suffered severe share price declines lately, making them prime hunting ground for bargain seekers. If you’re weighing up IDP Education vs G8 Education shares, you’re comparing two education-focused businesses – but with very different operations, risk profiles, and upside potential. Let’s dive into what makes each one standout.

The case for IDP Education

IDP Education is a global player offering English language testing and international student placement services. It’s best known for co-owning IELTS – one of the world’s most prominent English testing systems, widely accepted by governments, universities, and accreditation bodies. Alongside English language assessments, IDP offers international student placement, operates teaching schools in Southeast Asia, hosts education events, and provides consulting services, with offices in more than 50 countries.

Looking at the numbers, IDP Education clocks in with a market cap of $553.89 million and a P/E ratio of 46.22. The trailing dividend yield stands at 4.46%, and year to date, the share price has slumped by 63.5%. According to the latest data, earnings per share sit at $0.044 and dividends per share at $0.09. Franking percentages on dividends have declined recently, with the most recent dividend unfranked – a change from higher franking rates in previous years.

The case for G8 Education

G8 Education operates early childhood education and care centres across Australia, focusing on childcare and early learning. The group’s scale makes it a well-known name in the local sector, emphasising quality and developmental care from infancy through preschool.

Fundamentals show G8 Education with a far smaller market cap at $72.53 million and a P/E ratio of 5.26. The last reported dividend yield is a staggering 20.62% (with 100% franking), and dividends per share stand at $0.06. Notably, the company’s reported earnings per share is negative at –$0.472. Year to date, G8 Education’s shares have tumbled 85.9%, making it one of the market’s hardest hit. Its dividends have consistently been fully franked, offering an added tax benefit for eligible investors.

Valuation comparison

There are some sharp contrasts between IDP Education and G8 Education on core metrics:

Metric	IDP Education	G8 Education
Market Cap	$553.89 million	$72.53 million
P/E Ratio	46.22	5.26
Dividend Yield	4.46%	20.62%
Dividend Franking (latest)	0% (recent, previously higher)	100%
Earnings per Share	0.044	-0.472

Note: G8 Education’s reported P/E ratio does not align with its negative EPS, which suggests the P/E could be based on a different earnings measure (such as underlying or forecast earnings).

IDP Education trades at a much higher multiple, while G8 Education, on paper, looks extremely “cheap” on these numbers – although the underlying business challenges must not be ignored, given the negative EPS.

Recent share price momentum

Comparing recent share price performance up to 30 September 2026:

• As of 30 September 2026, IDP Education closed at $2.02, having gained 3.6% that day, but still down 63.5% year to date.
• On the same date, G8 Education closed at $0.10, unchanged for several days but having fallen 85.9% over the year to date.

Both companies have endured significant value destruction over 2026 so far, but G8’s drop has been notably steeper.

Which is the better buy?

When I weigh these two, I’m looking for not just the biggest discount, but the highest probability of sustainable upside. G8 Education’s 20%-plus dividend yield, with full franking, leaps off the page – but the fact that earnings per share is negative (and the share price has been absolutely smashed) really worries me. A dividend that high against a negative EPS suggests a major risk that payouts could be cut or stopped, and the business model might be under significant stress.

By contrast, IDP Education’s P/E ratio is lofty compared to G8, and the yield is more moderate. However, IDP’s core English language testing and international education business has global scale and is closely tied to long-term student mobility and international migration trends – giving it growth levers that are less cyclical than local childcare. While its dividend franking has recently dropped to zero, prior years had partially franked payments, so this may not be a permanent change.

Both stocks are deeply beaten down, but I’m more comfortable backing a recovery in IDP Education. The worldwide demand for English language proficiency and overseas education isn’t going away, and a market cap of over $500 million suggests the company has financial strength to weather downturns. G8, on the other hand, may offer a monster yield – but with such a steep share price fall and negative earnings, I fear the apparent bargain could be a value trap. My pick for future upside is IDP Education.

The post IDP Education vs G8 Education: Which battered ASX stock could rebound? appeared first on The Motley Fool Australia.

More reading

• Should I invest $1,000 into DroneShield shares?
• Are CSL shares a buy after its big news?
• These 2 ASX shares make up around 40% of my portfolio
• 3 amazing ASX tech ETFs for growth investors
• Why this ASX dividend share is a retiree’s dream for 2027

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 draft. 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.

CSL Ltd (ASX: CSL) has given investors another reason to take a closer look at the healthcare giant.

This week, the biotech company announced a new drug development partnership, adding another potential growth opportunity to its pipeline.

With CSL shares trading around $177 on Tuesday, would I buy? Let’s dig deeper into things.

What is the big news?

CSL has entered an exclusive global partnership with Alentis Therapeutics to develop and commercialise lixudebart.

The investigational treatment targets claudin-1 and is currently in a Phase 2 trial for a rare autoimmune disease that can cause rapid and irreversible kidney damage. CSL and Alentis also plan to explore its potential in other kidney and liver diseases.

CSL stated that it will pay Alentis US$355 million upfront and fund the planned development program. If the treatment eventually reaches the market, CSL would receive 55% of global profits, with Alentis receiving the remaining 45%.

There is clearly a long way to go. Lixudebart still needs to progress through clinical trials, so I would not attach too much value to it today.

But I like what the deal says about CSL’s ambitions. The company already has a presence in nephrology through CSL Vifor, and this agreement gives it another potential treatment that could strengthen that part of the portfolio if development is successful.

Another reason to like CSL

Importantly, this partnership is not the main reason I would buy CSL shares.

I am much more interested in the recovery potential across the existing business.

Underlying demand for immunoglobulin therapies remains healthy, and CSL expects that market to continue supporting long-term growth. The company is also working to improve plasma collection productivity and increase the amount of finished product it can produce from each litre of plasma.

Those improvements could help CSL rebuild margins while meeting rising demand.

There are also newer products such as Andembry and Hemgenix that can contribute more over time, giving the company additional growth avenues alongside its established plasma therapies.

For me, the Alentis Therapeutics deal simply adds another potential future winner to that mix.

What about the valuation?

At around $177, I think CSL shares are reasonably priced for the recovery I expect.

Consensus forecasts point to earnings per share of $8.99 in FY27, $9.48 in FY28, and $10.08 in FY29. That means the shares are trading on a PE ratio of less than 20 times forecast FY27 earnings, falling to around 17.5 times the FY29 estimate.

If immunoglobulin demand remains strong, plasma economics improve, and newer products continue gaining traction, I think CSL can deliver on the market’s expectations.

The new partnership adds some longer-term upside, but I would regard any eventual success from lixudebart as a bonus rather than something today’s investment case depends on.

Foolish takeaway

The Alentis Therapeutics agreement gives me another reason to feel positive about CSL, particularly as the company builds out its nephrology pipeline.

But my buy case still comes back to the existing business and its ability to recover.

At around $177, I think investors are getting CSL’s established global healthcare operations at a reasonable valuation, with opportunities such as lixudebart adding something extra for the years ahead.

The post Are CSL shares a buy after its big news? appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in CSL. 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.

There are a few ASX shares that I’ve heavily invested in that now make up a significant portion of my portfolio.

Ultimately, I want to grow my wealth. But, a key part of my investment objectives is growing the flow of dividends hitting my bank account.

With those dividends, I can pay for expenses, whether that’s discretionary spending or having the peace of mind that essential bills are covered by passive income.

With that outlined, let’s look at two businesses that make up around 40% of my portfolio.

MFF Capital Investments Ltd (ASX: MFF)

MFF is predominantly a listed investment company (LIC) that focuses on international shares. It also has a small funds management segment after acquiring Montaka.

MFF likes to target competitively advantaged businesses with above-average prospects for strong economic growth in the long-term.

This investment strategy has led to the ASX share owning stocks like Mastercard, Visa, Alphabet and Amazon.

It’s the portfolio diversification that gives me confidence to invest a significant portion of my portfolio in it. It’s not just a single ASX share.

I also like how it has the flexibility to invest in opportunities big or small, anywhere in the world. This can help deliver good returns by having a wide hunting ground. It has a great track record of delivering returns.

In terms of the dividend, the business has been growing the payout by 1 cent per share every six months for a while. This resulted in the FY26 annual dividend per share rising by 4 cents per share to 21 cents, an increase of 23.5%.

I expect the business will increase its dividend by another 4 cents per share to 25 cents per share, a rise of 19%.

That estimated FY27 payout translates into a grossed-up dividend yield of 6.6%, including franking credits.

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

Another ASX share that I’ve significantly invested in my portfolio is Soul Patts.

This business is one of the oldest on the ASX, it’s been listed for over 120 years. That longevity is one of the reasons for my confidence in the business, it has already proved it can thrive for many decades.

The company has built its portfolio to include a number of different types of assets including fixed income, private credit, swimming schools, agriculture, telecommunications, resources, energy, electrification, building products, retirement living, financial services and so on.

As I’ve said before, I love investments that can provide exposure to a whole portfolio.

I think it’s really attractive that Soul Patts invests in a wide variety of assets, including a significant portion of the portfolio being unlisted investments.

The investment team at Soul Patts continue to add additional ideas to the portfolio. Recently, fixed income and international investments have become larger focuses.

It regularly adds to its portfolio, which is a useful driver of the net asset value (NAV) of the company, which then helps the share price.

Impressively, it has grown its dividend every year since 1998, which is the sort of consistency I like to invest in. Its latest annual dividend was the FY26 payout of $1.11 per share.

That translates into a grossed-up dividend yield of 3.5%, including franking credits, at the time of writing.

The post These 2 ASX shares make up around 40% of my portfolio appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Mff Capital Investments and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Mastercard, Visa, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Mff Capital Investments and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended Alphabet, Amazon, Mastercard, and Visa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Technology has been one of the biggest drivers of share market growth over the past decade.

And with artificial intelligence (AI), cloud computing, automation, and digital services continuing to expand, there could still be plenty of opportunities ahead.

For investors who want exposure without picking individual tech stocks, these three ASX exchange traded funds (ETFs) could be worth considering.

Betashares S&P/ASX Australian Technology ETF (ASX: ATEC)

The Betashares S&P/ASX Australian Technology ETF could be a good option for investors who want to back the local technology sector.

It is fair to say that Australia does not have the same depth of technology companies as the United States. However, it has still produced some excellent businesses across software, online marketplaces, payments, and digital services. This includes WiseTech Global Ltd (ASX: WTC) and TechnologyOne Ltd (ASX: TNE).

The Betashares S&P/ASX Australian Technology ETF brings many of them together in one easy investment.

As a result, for investors who want exposure to home-grown technology companies, it could be worth a closer look.

Global X Artificial Intelligence ETF (ASX: GXAI)

Another ASX ETF to look at is the Global X Artificial Intelligence ETF.

It provides investors with exposure to the leading companies involved in artificial intelligence and the infrastructure needed to support it.

That can include semiconductors, software, cloud computing, data infrastructure, and automation.

The good thing about this fund is that investors do not have to decide exactly where the biggest winners will emerge. Some companies may dominate AI software, while others could make more money supplying chips, computing power, or the tools needed to build and run AI systems.

The Global X Artificial Intelligence ETF provides exposure across that wider opportunity, potentially making it a great long-term pick.

Global X FANG+ ETF (ASX: FANG)

A final ASX ETF for investors to consider is the Global X FANG+ ETF.

This fund takes a much more concentrated approach by investing in a relatively small group of major global growth companies.

Its portfolio is tilted towards businesses operating across artificial intelligence, cloud computing, digital advertising, ecommerce, social media, electric vehicles, and other fast-growing areas of the economy.

Holdings include Microsoft (NASDAQ: MSFT), Palantir (NASDAQ: PLTR), and Netflix (NASDAQ: NFLX).

For investors looking for a focused way to gain exposure to some of the world’s most influential technology and growth companies, the Global X FANG+ ETF could be worth a look this month.

The post 3 amazing ASX tech ETFs for growth investors appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in Technology One and WiseTech Global. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Microsoft, Netflix, Palantir Technologies, and WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool Australia has recommended Microsoft and Netflix. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

I think the ASX dividend share Future Generation Global Ltd (ASX: FGG) is a strong pick for retirees for 2027 and beyond.

I imagine plenty of retirees have an outsized amount of their investment portfolios focused on Australian property, ASX bank shares and ASX mining shares.

So, an ASX dividend share that provides international investment exposure and attractive passive income could be exactly what some retiree investors need.

Let’s run through some of the positives.

Diversification

Future Generation Global is a listed investment company (LIC) that aims to deliver a combination of income and capital growth over the medium-to-long-term by investing global equities. I think it’s a great option for diversification.

It uses a fund-of-funds model, which provides shareholders with access to a professionally constructed portfolio of leading globally-focused fund managers.

There are currently 15 fund managers involved in the portfolio, including Antipodes, Munro, Holowesko Partners, Vinva, WCM, Platto, Paradice, Langdon and Morphic.

The portfolio is invested across various sectors and geographic markets. At the end of August 2026, 54.6% was in invested in the North American share market (less than the global share market), 19.3% was invested in the UK and Europe (more than the global share market), 9.2% was invested in Asia, 4.6% was invested in other developed markets and 1.5% was invested in emerging markets.

As you can see, the ASX dividend share offers plenty of diversification for Aussies. There are many hundreds of underlying businesses within the portfolio.

Philanthropy

The fund managers involved generously work pro bono – for free – which means they waive all management and performance fees. That allows Future Generation Global to donate 1% of its average monthly net assets to a selected group of charities focused on youth mental health.

Some of those charities include BackTrack, BIGhART, Happy Paws Happy Hearts, Human Naturem I CAN, Life 4 Life, Prevention United, Project Rockit, Reachout, Smiling Mind, WANTA and Youth Opportunities.

With those fees avoided, shareholder returns aren’t compromised.

Great passive income

As a LIC, the board of directors have significant control over the size of the passive income that’s paid to shareholders, which I think is great for retirees.

Future Generation Global has increased its payout for eight years in a row, which is a great record of growth so far.

The ASX dividend share expects to pay an annual dividend of 8.4 cents per share for 2026, which translates into a grossed-up dividend yield of 7.4%, including franking credits, at the time of writing.

That’s a great starting yield for retirees, and I think the 2027 payout could be even larger.

The post Why this ASX dividend share is a retiree’s dream for 2027 appeared first on The Motley Fool Australia.

More reading

• Why Future Generation Global shares are a retiree’s dream for FY27
• How much is needed in superannuation to target a $10,000 monthly passive income?
• 2 ASX passive income share ideas I’d use to generate $500 a month in 2027
• How much do I need to retire on $75,000 a year at 45?
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Motley Fool contributor Tristan Harrison has positions in Future Generation Global. 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.

ASX share prices are always changing. Some analysts see upside ahead for certain ASX shares.

Based on expert price targets, there are a few stocks that could deliver returns of more than 60% in the next 12 months. A price target is where brokers think share prices will be in a year, though that’s not a guarantee of future returns.

Let’s look at two of the most exciting prospects.

Xero Ltd (ASX: XRO)

Xero is one of the world’s leading cloud accounting businesses, with a focus on small and medium enterprises (SME). Its main markets are Australia, New Zealand, the UK and the US.

According to CMC Invest, there have been three analyst ratings on the ASX share in the last three months. Two of those analyst ratings calls were a buy and one was a hold.  

The price target of the three ratings is $106.81, which implies a possible rise of 84.6% at the time of writing. Even a return of half of that scale would be very impressive.

Xero’s underlying numbers continue to be impressive, though Melio-related costs led to lower net profit in FY26.

During FY26, the company reported that operating revenue grew 31% to $2.75 billion following an 11% rise of customers to 4.92 million and a 23% increase in the average revenue per customer growing to $55.44.

Xero also reported that annualised monthly recurring revenue (AMRR) grew by 37% to $3.27 billion and adjusted operating profit (EBITDA) jumped 18% to $757 million.  

For FY27, operating revenue is expected to grow to between $3.62 billion and $3.73 billion, while adjusted EBITDA is forecast to rise to between $860 million and $920 million.

Nine Entertainment Co Holdings Ltd (ASX: NEC)

Another ASX share currently rated positively is Nine Entertainment, a large media business. It has the Nine Network and 9Now, The Sydney Morning Herald, The Age, The Australian Financial Review and other media assets.

According to CMC Invest, four analysts have rated the business in the last three months. Three of those ratings were buy calls, and one was a hold call.

Of those four ratings, the average price target is currently $1.11. At the time of writing, that suggests a possible rise of 62% over the next 12 months.

The company continues to deliver underlying earnings. In FY26, it reported that its continuing business achieved 3% revenue growth, 17% operating profit (EBITDA) growth and 7% net profit after tax (NPAT) growth.

The ASX share also recently announced that it had extended its Premier League rights through to 2034, which is an important driver of EBITDA growth for Stan (the streaming service).

The post 2 ASX shares tipped to grow 62% or more in the next 12 months appeared first on The Motley Fool Australia.

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• Codan vs Xero: Which ASX tech stock is the better buy in October?
• 5 leading ASX shares I’d buy and hold until 2040

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

A big dividend yield can be attractive, but the business behind it still needs to stack up.

Fortunately, there are some ASX shares offering strong income prospects alongside assets and earnings that could support distributions over the long term.

Here are three that could be worth considering.

APA Group (ASX: APA)

APA Group could be a strong option for income investors. It owns a huge network of energy infrastructure across Australia, including gas pipelines, processing facilities, storage assets, and electricity transmission infrastructure.

What makes APA attractive is the position these assets occupy within the energy system. Australia can build new gas fields, renewable projects, batteries, and other sources of supply, but the energy still has to reach customers. APA owns infrastructure that helps make that happen.

Its existing network can also create opportunities to connect new projects without starting from scratch each time. This gives the company a long runway to keep investing in infrastructure while generating cash flow from assets already in operation.

APA is forecast to offer a dividend yield of approximately 5.5% in FY 2027.

HomeCo Daily Needs REIT (ASX: HDN)

Another ASX dividend share worth considering is HomeCo Daily Needs REIT.

It is a property company that owns neighbourhood retail centres, large-format retail properties, and healthcare and services assets.

A key strength of the portfolio is how often people have a reason to visit. A trip to its properties might involve buying groceries, going to the pharmacy, visiting a healthcare provider, picking up pet supplies, or using another local service.

That regular customer traffic can make these properties valuable locations for tenants and support rental demand.

This gives the company a relatively dependable rental base from which to pay dividends. Speaking of which, HomeCo Daily Needs REIT is forecast to provide a FY 2027 dividend yield of approximately 8.25%.

Transurban Group (ASX: TCL)

A final ASX dividend share for income investors to look at is Transurban.

It owns and operates major toll roads across Australia and North America.

These assets are located in some of the busiest parts of major cities, where congestion can make faster and more reliable travel valuable to motorists.

Population growth can increase the number of vehicles using its roads, while toll increases built into many concession agreements can support revenue growth over time.

The company can also expand and improve its existing networks through new projects and upgrades.

This combination of established infrastructure, recurring toll revenue, and long concession periods leaves Transurban well-placed to pay a growing stream of dividends.

For FY 2027, Transurban is expected to offer a dividend yield of around 5.5%.

The post 3 excellent ASX dividend shares with 5%+ yields appeared first on The Motley Fool Australia.

More reading

• Origin Energy vs APA Group: Which ASX dividend share wins?
• 5 things to watch on the ASX 200 on Tuesday
• How to build a $52,000 passive income with ASX shares
• Transurban Group share price: $4.5bn deal for bigger Sydney road stakes
• 54,543 shares of this high-yield ASX dividend stock pay an income equal to the Age Pension

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 and Transurban Group. The Motley Fool Australia has recommended HomeCo Daily Needs REIT. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.