Tag: Stock pick

The Betashares Nasdaq 100 ETF (ASX: NDQ) is one of the better-known growth exchange-traded funds (ETFs) on the ASX.

It has been around long enough that the basic story is familiar, but I still think there are good reasons to consider it today.

If I had $10,000 to invest for long-term growth, these are the three reasons the NDQ ETF would be on my shortlist.

It gives me something the ASX cannot

The first reason is simple. The Australian share market has plenty of strong businesses, but it does not have many companies operating at the front of global technology.

The NDQ ETF changes that. It gives investors exposure to large Nasdaq-listed businesses across software, semiconductors, ecommerce, digital advertising, cloud computing, biotechnology, and other areas that are difficult to access through the ASX.

This includes Apple, Nvidia, Broadcom, and Tesla.

For me, that makes the Betashares Nasdaq 100 ETF particularly attractive alongside Australian shares.

The winners can keep getting bigger

Another thing I like about the NDQ ETF is that it gives successful businesses room to become more important within the portfolio.

The Nasdaq-100 is weighted towards its largest companies, so businesses that grow into global leaders can make a meaningful contribution to returns.

Concentration is something I would think carefully about. The Betashares Nasdaq 100 ETF can become heavily influenced by a relatively small group of companies, particularly when the largest technology businesses are performing strongly.

But I do not necessarily see that as a weakness.

If I already had diversification elsewhere, I might actually want part of my portfolio focused on companies with dominant market positions and large opportunities still ahead of them.

That is a different job from a broad-market ETF, and I think the NDQ ETF can do it well.

AI is only part of the opportunity

Artificial intelligence (AI) is an obvious reason investors are interested in the Nasdaq today, but I would not want the entire investment case resting on AI.

What I want is the wider technology ecosystem around it.

More computing power means greater demand for semiconductors and data centres. Businesses are continuing to move workloads into the cloud. Digital advertising, ecommerce, cybersecurity, automation, and online services are still evolving.

Many Nasdaq-100 companies sit across several of those trends at once.

That gives the NDQ ETF more than one way to benefit as technology spending changes over time.

There will undoubtedly be periods when these shares fall, particularly if valuations become stretched or investors move away from growth stocks.

But with a long enough timeframe, I would be prepared to accept that volatility.

Foolish takeaway

For me, the NDQ ETF has a strong long-term case.

It gives investors access to some of the world’s biggest technology and growth businesses in a single ASX investment, with exposure to several trends that could keep expanding for years.

If I had $10,000 available for long-term growth, the Betashares Nasdaq 100 ETF would be one of the ETFs I would be happy to own.

The post 3 reasons I’d invest $10,000 into the NDQ ETF appeared first on The Motley Fool Australia.

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• 5 ASX ETFs for Aussie investors to buy and hold for 20 years
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• Why I’d invest $50,000 of superannuation into these 3 top ASX ETFs
• How to target the different layers of the artificial intelligence buildout
• 4 most popular ASX ETFs revealed: survey

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 Apple, BetaShares Nasdaq 100 ETF, Broadcom, Nvidia, and Tesla. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Apple and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Premier Investments Ltd (ASX: PMV) shares were up more than 3% in early trade despite the company’s net profit falling more than 10%.

Challenging trading conditions

The retailer, which reported its full-year results on Thursday, declared a final dividend of 36 cents per share, fully franked, which maintains its dividend yield at more than 7%, albeit on a share price that is down more than 40% over the year.

Revenue from ordinary activities came in at $808 million for the year to July 25, down 2.8%, while net profit was $129.2 million, down 10.3%.

Premier Chair Solomon Lew said the company continued to progress its growth plans for Peter Alexander and Smiggle during the year, “with significant progress made across a number of key initiatives”.

Mr Lew added:

Peter Alexander delivered another record sales performance in FY26 and successfully launched its Peter’s Dreamers loyalty program, attracting more than 1.4 million members within its first 10 months of operation. At Smiggle, the key relaunch initiatives announced in March 2026 have been delivered, with the brand entering 1H27 with a refreshed product range and renewed customer proposition ahead of the critical peak trading period.

Mr Lew said discretionary retail conditions in the second half of the year were very challenging, in particular in the later months.

He added:

Despite this backdrop, we remained focused on executing our growth strategies and positioning both brands for the critical Black Friday, Christmas and Back-to-School trading period ahead. The actions taken over the past six months leave both brands better placed as they enter 1H27. Premier’s diversified portfolio, including the continued strength of our investment in Breville and a strong balance sheet, provides the flexibility to invest in our brands, pursue new opportunities and continue our capital management initiatives, including the on-market share buy-back.  

During the year, Premier opened four new Peter Alexander stores and another five were either expanded or relocated.

The company said at least five new store openings and one relocation or expansion were confirmed for the first half of 2027, including the opening of a large flagship store in the Sydney CBD in October 2026.

Premier said the first seven weeks of the new year continued to be challenging; however, sales were within 1% of the previous period on a like-for-like basis.

Premier Investments shares look fully priced

RBC Capital Markets said the result was neutral for the company.

They said both Smiggle and Peter Alexander sales came in within their forecasts.

They added:

The early 1H27 trading commentary suggests to us that the Retail segment as a whole is tracking largely in line to marginally ahead of consensus, with a clean inventory position to start FY27.

RBC has a price target on Premier of $12 against $11.42 currently, up 2.3% on the day. Premier is valued at $1.78 billion.

The post Why are Premier Investments shares trading higher today? appeared first on The Motley Fool Australia.

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• Premier Investments earnings: Net profit slips, dividend steady in FY26

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

To get some idea of the massive potential unleashed by the artificial intelligence revolution, you need look no further than ASX AI stock DXN Ltd (ASX: DXN).

If you’re not familiar with DXN, the company manufactures and operates modular data centres.

And business is booming. Here’s what I mean.

Tipping $5,000 into ASX AI stock DXN in March

Back in March, I hadn’t yet heard of DXN. But I wish I had.

You see, on 24 March, DXN shares closed the day trading for 2 cents apiece.

So, for $5,000, I could have bought 250,000 shares in the ASX AI stock. I would then have watched the share price drop to 1.5 cents by market close on 13 April, cutting my initial $5,000 investment to just $3,500.

But if I’d held tight through those early losses, I would then have watched the stock go on an epic tear.

Indeed, in morning trade today, DXN shares are up another 4.6%, currently changing hands for 45.5 cents apiece.

Which means the 250,000 shares I bought six months ago for just $5,000 would be worth $113,750 today. Or a gain of 2,175%.

Boom!

What’s been sending DXN shares to the moon?

Investors have been bidding up the ASX AI stock as DXN kicks off FY 2027 with growing demand for its modular models across AI infrastructure markets.

“FY26 will be remembered as the year DXN’s long-term investment thesis came into focus,” DXN managing director Shalini Lagrutta said following the release of the company’s full-year results on 31 August.

Lagrutta added:

While revenue for the year was impacted by customer-side project deferrals, our maiden AI HPC contract validated years of investment behind our AI-ready modular platform and drove a five-fold increase in the company’s market capitalisation.

We enter FY27 with our strongest-ever backlog currently sitting at $40.9 million as of 30 August 2026 and a rapidly maturing pipeline of identified projects, of which approximately 21% are AI infrastructure related.

Is the ASX AI stock still a good buy today?

Despite its 20-bagger status, Wilson Asset Management – which is a major shareholder in the ASX AI stock – is still adding to its position.

According to Wilson Asset Management portfolio manager Shaun Weick (quoted by the Australian Financial Review):

We think DXN has the potential to be a multi-bagger from here and is one of the best micro-cap opportunities on the ASX…

They have engineered a modular solution, which critically accelerates the rollout of AI factory capacity. They have been awarded multiple initial contracts which, if delivered successfully in coming months, unlocks gigawatt-scale projects which is a multi-billion-dollar revenue opportunity.

The post If I’d invested $5,000 in this ASX AI stock 6 months ago, I’d have $113,750 today! appeared first on The Motley Fool Australia.

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• Fund managers: 2 exciting ASX shares that could be excellent buys

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.

It hasn’t been a great start to Thursday’s session for BHP Group Ltd (ASX: BHP) shareholders.

The mining giant’s share price has fallen 2.34% to $60.62 in morning trade, wiping out Wednesday’s 1.39% gain.

The stock is now trading almost 12% below its August high of $68.77, with Thursday’s decline adding to a fairly difficult September.

The selling follows an incident at one of BHP’s major overseas operations, where activities have been suspended.

So, what just happened?

Fatal accident forces mine shutdown

According to Reuters, a worker was killed on Wednesday while carrying out maintenance work at BHP’s Escondida copper mine in Chile.

Escondida is the world’s largest copper mine, located in Chile’s Atacama Desert.

Union officials reported that the accident involved a front-end loader, a large vehicle used to move materials around mine sites.

Following the incident, BHP confirmed that all operational activities at Escondida had been suspended, although it hasn’t said when production might resume.

Under Chilean mining regulations, operations cannot restart following a fatal accident until safety inspectors have confirmed that conditions are safe.

A major blow to BHP’s copper business?

Escondida is one of BHP’s biggest assets, with the mining giant holding a 57.5% stake in the operation.

To put its size into perspective, the mine produced approximately 1.26 million tonnes of copper during FY26.

Copper has also become a huge part of BHP’s business, generating US$18.2 billion in underlying EBITDA, or 54% of the group’s total earnings last financial year.

Looking ahead, BHP is targeting production of between 1 million and 1.1 million tonnes at Escondida in FY27.

However, those forecasts were issued before yesterday’s incident, and the company has yet to indicate whether the shutdown will affect its production targets.

A strike could be next

The shutdown comes at a difficult time, with BHP also facing the possibility of a strike at Escondida.

The mine’s supervisors’ union, which represents around 1,020 workers, has urged members to reject the company’s latest pay offer.

Union members are scheduled to vote between 28 and 30 September, with union leaders urging workers to support strike action.

If the offer is rejected, a mandatory five-day government mediation process would follow before a legal strike could begin.

What happens next for BHP shares?

At $60.62, BHP shares are looking considerably more attractive than they did above $68 last month.

However, I wouldn’t be rushing to buy based on today’s decline alone.

I’d prefer to wait for an update from BHP before deciding whether the recent pullback presents a buying opportunity.

The post BHP shares fall as mining operations grind to a halt appeared first on The Motley Fool Australia.

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

The Mesoblast Ltd (ASX: MSB) share price could be in focus after the company secured US FDA approval for a new potency assay for its commercially approved Ryoncil (remestemcel-L-rknd). This milestone further strengthens quality controls for its flagship cell therapy product.

What did Mesoblast report?

• Received FDA approval for the T-cell Proliferation Inhibition BioAssay (TIBA), a new potency assay for Ryoncil.
• TIBA will be used alongside existing assays to ensure consistent product quality.
• Ryoncil remains the only FDA-approved MSC therapy for steroid-refractory acute graft versus host disease (SR-aGvHD) in children 2 months and older.
• The new assay supports ongoing manufacturing improvements and quality monitoring for commercial product lots.

What else do investors need to know?

Mesoblast’s updated testing process aims to improve the release and stability monitoring of each batch of Ryoncil. The TIBA assay offers added sensitivity to detect any changes in potency during manufacturing scale-up or when production shifts to new facilities.

Mesoblast continues to develop and expand its cell therapy portfolio, with Ryoncil being evaluated for additional diseases and rexlemestrocel-L in late-stage trials for heart failure and chronic lower back pain.

What’s next for Mesoblast?

The new assay’s FDA approval paves the way for smooth ongoing commercialisation of Ryoncil. Mesoblast remains focused on broadening Ryoncil’s use to other inflammatory conditions and advancing its other cell therapies.

Investors can look for updates as the company works toward new product indications, international partnerships, and continued investment in manufacturing and intellectual property.

Mesoblast share price snapshot

Over the past 12 months, Mesoblast shares have declined 8%, trailing the S&P/ASX 200 Index (ASX: XJO), which is flat over the same period.

View Original Announcement

The post Mesoblast wins FDA nod for new Ryoncil potency test appeared first on The Motley Fool Australia.

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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.

Wesfarmers Ltd (ASX: WES) shares have come back a fair way from their highs.

The shares are trading around $73.79 on Thursday, compared with a 52-week high of $94.70.

Could they recover and make their way to $100 in 2027? Let’s run the numbers and find out.

Could Wesfarmers reach $100?

I think $100 is possible, but it looks unlikely to me over that timeframe.

From $73.79, Wesfarmers shares would need to rise around 36% to reach $100.

The business itself remains one I rate highly. Wesfarmers owns Bunnings, Kmart, Officeworks, and several other businesses, giving it multiple ways to grow earnings over time.

But the current forecasts suggest that growth will be fairly steady.

According to CommSec, consensus estimates point to earnings per share of $2.72 in FY27, rising to $2.90 in FY28 and $3.11 in FY29.

If Wesfarmers reached $100, the shares would be trading on a P/E ratio of around 34 times forecast FY28 earnings and 32 times FY29 earnings.

I think that would be a fairly demanding valuation, even for a business of Wesfarmers’ quality.

What has Wesfarmers traded at historically?

Wesfarmers has commanded a premium valuation for some time, so a high P/E ratio would not be unusual.

Its average annual P/E ratios over the past five years, according to CommSec, have ranged from around 22 times to 32 times earnings.

That helps put a $100 share price into perspective.

Wesfarmers could certainly trade above its historical averages for a period, particularly if investors become more optimistic about earnings growth.

But I would not want to base my expectations on the market pushing the valuation significantly higher while earnings are growing at a relatively measured pace.

Could Wesfarmers get back to $90?

I think $90 looks much more achievable.

That would require a gain of around 22% from today’s price and would still leave the shares below their 52-week high.

At $90, Wesfarmers would trade at around 31 times forecast FY28 earnings and 29 times FY29 earnings.

Those multiples are still high, but they sit much more comfortably within the range investors have been willing to pay for Wesfarmers shares in recent years.

If Bunnings and Kmart continue to perform well and group earnings keep rising, I could see the market becoming more positive on the shares again.

Dividends provide something along the way

Wesfarmers should also continue returning cash to shareholders while investors wait.

Consensus forecasts point to fully-franked dividends of $2.34 per share in FY27, $2.49 per share in FY28, and $2.71 per share in FY29.

At today’s price, the FY27 forecast represents a dividend yield of around 3.2%.

Foolish takeaway

I would not be counting on Wesfarmers shares reaching $100 in 2027.

The business is still one I would happily own, but $100 would require both a strong share price recovery and a valuation towards the expensive end of its recent history.

Around $90 looks more realistic to me. If Wesfarmers keeps growing earnings and its major businesses perform well, I think a return towards that level is quite achievable.

The post Could Wesfarmers shares reach $100 in 2027 appeared first on The Motley Fool Australia.

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Motley Fool contributor Grace Alvino has positions in Wesfarmers. 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.

The HomeCo Daily Needs REIT (ASX: HDN) share price is in focus today after the company declared a quarterly unfranked distribution of 2.15 cents per unit for the period ending 30 September 2026.

What did HomeCo Daily Needs REIT report?

• Declared a quarterly distribution of 2.15 cents per unit
• Distribution is unfranked
• Ex-date: 29 September 2026
• Record date: 30 September 2026
• Payment date: 24 November 2026
• The distribution relates to the September 2026 quarter

What else do investors need to know?

The distribution announced by HomeCo Daily Needs REIT is unfranked, which means it will not include any attached tax credits for investors. This can affect after-tax returns for some unitholders, especially those in higher tax brackets.

The company has confirmed a Dividend/Distribution Reinvestment Plan (DRP) is available for this distribution, providing existing investors with the option to reinvest their payout into more HDN units without incurring brokerage fees.

Aside from the distribution details, there were no other financial results, additional commentary, or operational updates included in this notification.

What’s next for HomeCo Daily Needs REIT?

Investors can look forward to the distribution being paid on 24 November 2026, with the ex-date falling on 29 September 2026. Continued quarterly distributions are a feature of HomeCo Daily Needs REIT’s approach to returning income to unitholders.

Future results and distribution levels may depend on rental collection, property valuations, and broader economic conditions affecting the real estate sector. Investors should monitor future announcements for updates on performance and strategy.

HomeCo Daily Needs REIT share price snapshot

Over the past 12 months, HomeCo Daily Needs REIT shares have declined 21%, trailing the S&P/ASX 200 Index (ASX: XJO), which is flat over the same period.

View Original Announcement

The post HomeCo Daily Needs REIT announces September 2026 quarterly distribution appeared first on The Motley Fool Australia.

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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 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. 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.

Investors looking for the biggest casualties amongst S&P/ASX 200 Index (ASX: XJO) shares in 2026 don’t have to look far. WiseTech Global Ltd (ASX: WTC), Seek Ltd (ASX: SEK), and Xero Ltd (ASX: XRO) have all been smashed this year, down 49% or more and hovering near their 52-week lows.

Rising interest rates have punished growth stocks. Now fears that AI could gut traditional software moats are piling on.

But a collapsing share price doesn’t automatically make a share cheap. Here’s what’s actually happening beneath the surface of each ASX 200 share.

WiseTech is facing a slowdown in growth

WiseTech has delivered one of Australia’s most spectacular tech share price reversals. The stock closed at $32.34 on Wednesday, down roughly 53% for the year.

The underlying business is still profitable, but investors are grappling with a sharp slowdown in expected growth – FY27 revenue growth is forecast at just 6% to 10%. That’s forced the market to strip away the hefty premium valuation this global logistics software company used to command.

Still, a genuine value argument is emerging. Recent analysis puts WiseTech on a considerably lower earnings multiple than it has carried historically, and several brokers remain constructive on the long-term opportunity.

The bull case rests on a simple idea: the market may be underestimating just how durable and profitable CargoWise really is. Morgans currently has a price target of $62.50, almost a 100% rise from current levels.

Fewer jobs, less demand for Seek

Seek has also copped a serious rerating, down about 49% year to date to $11.91.

Unlike WiseTech, this ASX 200 share’s fortunes are tied directly to the health of the employment market. When businesses hire fewer people, they typically advertise fewer jobs. As a result, that means less demand for Seek’s core service.

The company is still generating solid revenue and earnings, but investors need real evidence that hiring conditions can support renewed growth before they’re willing to pay up again.

Bell Potter recently retained its hold rating on the stock, trimming its price target to $13 from $13.80. That implies roughly 9% upside from here.

Xero: Major valuation reset

Xero has experienced a dramatic fall, too. The $10 billion ASX 200 share now sits at $58.20, 49% lower than where it sat 12 months ago.

Yet the business itself keeps growing rapidly. FY26 operating revenue rose 31% to NZ$2.75 billion, and Xero finished the year with 4.92 million customers. Management is targeting another roughly 30% increase in revenue for FY27.

That disconnect is what makes Xero so interesting. The growth engine hasn’t slowed, but investors have dramatically slashed what they’re willing to pay for it.

Broker targets currently average around $111.25 a share. Getting there would mean a 91% rise from today’s price.

Foolish takeaway

The biggest ASX 200 fallers can be tempting hunting grounds, but investors shouldn’t confuse ‘down a lot’ with ‘undervalued’. WiseTech faces genuinely slower growth expectations, Seek remains hostage to the jobs market, and Xero is working through a major valuation reset despite still-strong underlying growth.

For investors willing to look past the share price chart, the real question isn’t which stock has fallen the furthest — it’s whether today’s lowered expectations are already conservative enough, or whether there’s still further to fall.

The post These 3 ASX 200 shares have lost 49%+ in 2026. Are any now bargains? appeared first on The Motley Fool Australia.

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Motley Fool contributor Marc Van Dinther has positions in WiseTech Global. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended WiseTech Global and Xero. The Motley Fool Australia has positions in and has recommended WiseTech Global and Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The ASX consumer discretionary sector has been hit hard by several headwinds in 2026. 

The sector relies heavily on an economic environment that supports strong household spending, because these companies sell non-essential goods and services. 

Headwinds aplenty 

Success largely depends on household disposable income, employment and wage growth, consumer confidence, interest rates, and the cost of living. 

When incomes rise and borrowing costs are manageable, consumers generally have more capacity to spend, while higher interest rates and weaker real incomes can reduce discretionary purchases.

These factors have weighed heavily against the sector in 2026, pushing many share prices down. 

Because of this, the S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) has fallen over 12% year to date, and over 22% in the last 12 months. 

However, this pressure has created value opportunities that should these headwinds ease in the near future. 

One such stock that has been identified by Ord Minnett is Beacon Lighting Group Ltd (ASX: BLX). 

Its share price is down over 35% year to date.

Company overview

Beacon Lighting engages in the retail of lighting products in Australia and internationally. The company designs, develops, sources, imports, distributes, merchandises, markets, and sells light fittings, ceiling fans, light globes, and electrical accessories products.

According to Ord Minnett, this ASX consumer discretionary stock delivered a solid FY26 result against a volatile macro backdrop, achieving 4Q26 same-store sales growth of 7.1%, with momentum continuing into FY27. 

We believe accelerating sales momentum, a strong pipeline of new stores, a favourable FX swing for margins, and improving returns from its property fund underpins an improved outlook.

Strong growth expected in FY27

According to the broker, Beacon Lighting is expected to return to growth in FY27, supported by several key drivers: 

• Improving underlying sales momentum
• An acceleration in the store rollout program
• Favourable currency movements that are expected to support gross profit margins
• Stronger earnings contributions from the Large Format Property Fund

In combination, these factors are expected to drive an improvement in earnings growth and support a stronger overall financial performance.

Based on this guidance, Ord Minnett has retained its buy recommendation on this ASX consumer discretionary stock. 

It also has a price target of $2.65, indicating 45% upside from current levels. 

BLX continues to execute its long-term strategy of evolving from a traditional lighting retailer into Australia’s leading provider of quality lighting and electrical products for both homeowners and trade professionals. Central to this strategy is increasing trade sales to approximately 50% of revenue, which should enhance revenue diversification, reduce reliance on discretionary consumer spending, and support more resilient earnings growth across the cycle. Overall, BLX remains well-placed to capture upside from any improvement in trading conditions.

The post Ord Minnett thinks this ASX consumer discretionary stock can rise 45% by this time next year appeared first on The Motley Fool Australia.

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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 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 Australian Age Pension is one of the most generous in the world and it’s becoming increasingly rewarding. Despite that, there are high-yield ASX dividend stocks I’d rather rely on for income.

The Age Pension rates have recently had a boost. The maximum normal Age Pension for a single person is now $1,237.70 per fortnight. That translates into an annualised approximate $32,180.

I’m going to talk about why I prefer the Dexus Industria REIT (ASX: DXI) over the Age Pension.

High-yield ASX dividend stock

Following interest rate rises and market uncertainty surrounding interest rates, I’d suggest that real estate investment trusts (REITs) are being overlooked by the market as long-term opportunities.

This particular business is an Australian REIT that is invested in high-quality industrial warehouses. At 30 June 2026, its property portfolio was valued at $1.5 billion and is located across major Australian cities, with a goal to provide sustainable income and capital growth for investors.

The business has provided guidance that it will pay a distribution of 16.6 cents per security in FY27, representing a distribution payout ratio of 97.6% – that’s high but sustainable.

The forecast payout translates into a distribution yield of 7%, which is a high and pleasing dividend yield.

To match the annual Age Pension, an investor would need 193,856 units of the REIT.

Rising rental income

One of the main reasons why I think this high-yield ASX dividend stock is so appealing is because it’s experiencing solid rental growth.

In FY26, it saw strong like-for-like portfolio income growth of 5.3%, supported by rental escalations, strong re-leasing spreads of 21.4% (new contracts generating stronger revenue than old rental contracts) and a high occupancy rate of 98.8%.

The high-yield ASX dividend stock suggests that moderating supply supports stronger market fundamentals and the outlook for its existing portfolio. Construction costs are forecast to compound faster than CPI, so its existing $217 million development pipeline offers a hard-to-replicate pathway to growth.

The business has a lot of its revenue linked to CPI, so it can provide long-term impacts of inflation.

Capital growth potential

The final reason I think this option is superior to the Age Pension is that it can provide capital growth, whereas the Age Pension doesn’t.

As rents increase over time, this can provide a boost to the value of the properties and support the Dexus Industria REIT unit price.

During FY26, its net tangible assets (NTA) per security grew 2.4% to $3.42. That means it’s now undervalued by 31% compared to the June 2026 NTA. I think it’s a great time to invest for the long-term.

The post 193,856 shares of this high-yield ASX dividend stock pays an income equal to the Age Pension appeared first on The Motley Fool Australia.

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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 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.