Tag: Stock pick

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Considering all of this, could Nvidia become the first $10 trillion company? Let’s find out. 

An amazing growth story

Before answering that question, let’s take a quick look at this amazing growth story. Nvidia, for a number of years, focused on selling GPUs to video gaming companies. But, when talk of AI started to circulate about a decade ago, Nvidia knew it could play a significant role and jumped on the opportunity. The company designed GPUs for this powerful new technology, building its reputation as an expert and leader in the field.

All of this fueled massive growth in revenue, with sales climbing in the double and triple digits as the AI boom advanced. Customers rushed to Nvidia for chips and related tools to power their large language models, and Nvidia, seeing the potential ahead, pledged to innovate on an annual basis to satisfy the need for speed and efficiency. This commitment to innovation is what has kept — and should continue to keep — Nvidia ahead of the rest.

Now, let’s take a look at our question: Could Nvidia become the first company to reach $10 trillion? To reach that level, Nvidia stock would have to climb 128% to about $411, which seems like a reasonable feat for this company over, say, a five-year period. (Nvidia soared 1,200% over the past five years.) But it’s important to consider whether Nvidia’s growth rate would support such a price.

Nvidia’s price in relation to sales

We can gather clues by looking at Nvidia’s price-to-sales ratio. Today, the company trades for 23x trailing 12-month sales, but over the past year, this ratio has most often been around 25 or even higher. Nvidia’s sales reached $130 billion in the latest fiscal year, and analysts project levels of $213 billion for the current fiscal year and $316 for the next fiscal year (fiscal 2027). That suggests year-over-year growth of 63% in this fiscal year and 48% in the next fiscal year.

Now let’s use the example of $400 billion in annual revenue by the end of the decade. This represents growth of only 27% from the fiscal 2027 projected figure — a much lower growth rate than Nvidia has delivered in recent years. Nvidia could reach a $10 trillion market value in this example, because at this revenue level, the company’s P/S ratio would be 25.

This means, mathematically, it’s possible for Nvidia’s market value to reach these levels. But does it have the business to fuel such revenue gains?

I’m optimistic, and here’s why: Nvidia is the GPU market leader and is innovating to ensure its position. Meanwhile, we’re now in a major stage of infrastructure ramp-up, meaning big cloud service providers are expanding data centers to accommodate soaring AI demand. And players like Meta Platforms, aiming to train models in-house and grow their own AI programs, also are turning directly to Nvidia for its products. In fact, Nvidia has predicted that AI infrastructure spending may reach as much as $4 trillion over the coming five years.

Nvidia, which already works closely with these deep-pocketed customers, may be one of the biggest winners of this movement. And all of this could shepherd this top AI company to yet another major milestone: $10 trillion in market value by 2030.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Could Nvidia become the first $10 trillion company? appeared first on The Motley Fool Australia.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

More reading

• 3 ASX ETFs that benefit from unavoidable megatrends
• Better Artificial Intelligence (AI) stock for 2026: Nvidia or AMD?
• 3 stocks that in 20 years have turned $5,000 into more than $1 million
• Will Nvidia crush the market again in 2026?
• The 3 smartest quantum computing stocks to buy with $1,000 in 2026

Adria Cimino 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, Meta Platforms, Microsoft, and Nvidia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has recommended Apple, Meta Platforms, Microsoft, and Nvidia. 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) shares are on the move on Tuesday morning.

At the time of writing, the counter drone technology company’s shares are up 20% to $2.76.

Why are DroneShield shares jumping?

Investors have been scrambling to buy the company’s shares this morning after it made a big announcement before the market open.

According to the release, DroneShield has received a contract valued at a total of $49.6 million from an in-region European reseller.

It notes that this European reseller is contractually required to distribute the products to a European military end-customer. However, it was not at liberty to disclose who that end-customer is.

Though, management confirmed that it does not consider the identity of the counterparty/customers to be information that a reasonable person would expect to have a material effect on the price or value of the DroneShield’s securities.

In addition, it stressed that the announcement contains all material information relevant to assessing the impact of the contract on the price or value of the DroneShield’s shares and is not misleading by omission.

What is the contract for?

The release notes that the $49.6 million contract is for handheld counter drone systems, associated accessories, and software updates.

The good news is that DroneShield has a large portion of this stock on-the-shelf. As a result, it expects to complete all deliveries in the first quarter of 2026.

Cash payments are also expected to be fully received during the same quarter and no additional material conditions need to be satisfied.

This isn’t the first order from this reseller. DroneShield revealed that it over the past three years, it has received 15 contracts from this reseller totalling over $86.5 million. And while it likely won’t be the last, there are no obligations for any additional contracts from this reseller or end-customer.

Should you invest?

The team at Bell Potter sees a lot of value in DroneShield shares at current levels.

While it hasn’t responded to this news yet, it last had a buy rating and $5.30 price target on its shares. This is more than double where they currently trade. The broker said:

We believe DRO has the market leading counter-drone offering and a strengthening competitive advantage owing to its years of experience and large R&D team, focused on detect and defeat capabilities. We expect 2026 will be an inflection point for the global counter-drone industry with countries poised to unleash a wave of spending on soft-kill detect and defeat solutions. Consequently, we believe DRO should see material contracts flowing from its $2,550m potential sales pipeline over the next 3-6 months as defence budgets roll over to FY26.

The post Why are DroneShield shares jumping 20% today? appeared first on The Motley Fool Australia.

More reading

• Up 10x since July, could this hot ASX stock be the next Droneshield?
• DroneShield bags $49.6m European military contract: What investors need to know
• 3 ASX mid-cap rockets that could become future blue chips
• Here are the top 10 ASX 200 shares today
• Will the Droneshield share price double in 2026?

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 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.

Rare earths remained firmly in the spotlight throughout 2025, as rising geopolitical tensions heightened concerns over global supply.

This group of 17 elements is critical to a wide range of modern-day industries, including clean energy, electric vehicles, consumer electronics, and robotics.

However, supply remains highly concentrated with China accounting for around 60% of global rare earths production and more than 90% of refining capacity.

This market dominance has prompted some Western nations like the US to diversify supply chains and reduce reliance on China.

As a result, several ASX mining stocks with rare earths projects outside of China have surged this year.

For instance, Lynas Rare Earths Ltd (ASX: LYC) has been a strong performer with its share price soaring by 93% since the start of January.

The company operates the Mt Weld mine in Western Australia which is widely regarded as one of the most significant rare earths deposits in the world.

However, Lynas is not the only ASX rare earths stock attracting attention.

According to Australian financial advisory firm Bell Potter, another player could be poised for serious upside.

Bell Potter’s view on rare earths

Bell Potter believes the tailwinds driving the rare earths boom in 2025 are likely to persist.

These include ongoing geopolitical tensions, US government investment in mining, and expanding separation and magnet manufacturing capacity.

That said, the broker cautioned that a wave of new supply could potentially enter the rare earths market in upcoming years.

As a result, Bell Potter’s preference is for projects in the bottom quartile of the cost curve and relatively low capital and execution risk.

And the broker identified Verdis Mining and Minerals Ltd (ASX: VMM) as one such opportunity.

Economically significant project

Verdis is developing its Colossus rare earths project in Brazil, located within the geologically fertile Poços de Caldas rare earths complex.

Management considers Colossus to be amongst the most economically robust rare earths projects globally.

A recent economic assessment outlined a 20 year initial mine life and a modest two-year payback period for a potential mine at the project.

However, a subsequent reserve estimate hinted that production could possibly extend for up to 40 years.

Bell Potter noted that Colossus is progressing through initial permitting, with a Preliminary Licence (LP) awaiting final approval.

It added that the project has indicative debt support for the project from within Brazil, France, and Canada.

The broker also appears drawn to the project’s potential for hosting dysprosium and terbium.

These two elements play a key role in high-performance magnets used in electric vehicles, wind turbines, and defence sector technology.

Bell Potter commented:

Once in production, we believe VMM will be one of the lowest operating cost rare earth projects globally, and a meaningful provider of heavy rare earth elements Dysprosium and Terbium (Dy + Tb).

Share price in focus for this ASX mining stock

Verdis shareholders have already enjoyed a standout year.

Overall, shares in this ASX mining stock have rocketed by 184% since the start of January.

This compares with a 5.4% rise for the S&P/ASX All Ordinaries Index (ASX: XAO) across the same period.

However, Bell Potter believes this powerful rally could have plenty of fuel left in the tank.

The broker has assigned a speculative buy rating and set a price target of $2.65 per share for this ASX mining stock.

This represents potential upside of 165% from Monday’s closing price of $1.00 per share.

The post Expert tips 165% upside for this ASX mining stock as rare earths tailwinds persist appeared first on The Motley Fool Australia.

More reading

• Leading broker thinks this ASX materials stock is set to double!

Motley Fool contributor Bart Bogacz has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Lynas Rare Earths Ltd. 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 Tasmea Ltd (ASX: TEA) share price has cooled sharply in recent weeks, falling close to 20% from its November peak.

That pullback comes after a blistering run earlier in 2025, when the ASX industrials stock surged more than 115% in just six months and firmly put itself on investors’ radars.

So has Tasmea flown too close to the sun, or is this the kind of pullback long-term investors tend to watch closely?

What does Tasmea actually do?

Tasmea operates a portfolio of specialist industrial service businesses across Australia and New Zealand. Its operations span asset maintenance, engineering services, infrastructure support, and industrial contracting — work that tends to be recurring, non-discretionary, and closely tied to essential infrastructure.

That positioning has become increasingly attractive as capital spending cycles lift across energy, utilities, transport, and industrial assets. Unlike more cyclical industrials, Tasmea’s exposure is spread across maintenance and operational services rather than one-off construction projects.

This has helped underpin steady revenue growth and improve earnings visibility, which has been a major driver behind the share price rally seen through the first half of 2025.

Why the Tasmea share price surged in 2025

Tasmea’s strong performance this year has been driven by a combination of operational execution and sector tailwinds.

The company has continued to expand margins, integrate acquisitions effectively, and benefit from ongoing demand for outsourced industrial services. At the same time, broader market interest has shifted toward profitable, cash-generative industrial growth stocks after several ASX stalwarts began to stumble.

As one recent analysis highlighted, investors have increasingly looked beyond traditional blue chips and into businesses offering steady growth without relying on speculative narratives.

Tasmea fitted that brief neatly.

Brokers still see upside

Despite the recent pullback, at least one broker remains constructive on the outlook.

A recent broker note suggested Tasmea still has meaningful upside potential from current levels, pointing to earnings momentum, disciplined capital allocation, and ongoing demand across its end markets.

Importantly, the broker’s thesis does not rely on short-term multiple expansion. Instead, it assumes continued growth in revenue and profits as infrastructure owners prioritise maintenance, reliability, and compliance over the coming years.

That distinction matters in a market where sentiment can swing quickly.

Short-term nerves versus long-term fundamentals

None of this guarantees a rising share price in the near term.

Equity markets remain on edge, valuations across many sectors are being reassessed, and even high-quality ASX growth stocks are not immune to bouts of volatility. After such a strong run earlier in the year, some degree of consolidation was always likely.

However, long-term investors tend to focus less on month-to-month share price fluctuations and more on whether a business can sustainably grow its earnings over many years.

If Tasmea continues to execute in 2026 as it has recently — growing revenue, maintaining margins, and deploying capital sensibly — history suggests that the share price should eventually reflect that progress, even if the path is uneven.

Foolish Takeaway 

Tasmea’s pullback looks less like a structural break and more like a pause after a rapid ascent.

For investors hunting ASX stocks for growth with exposure to real-world infrastructure and industrial services, Tasmea remains one to watch. The business fundamentals appear intact, sector tailwinds remain supportive, and broker sentiment suggests the long-term growth story is far from over.

Whether the current price proves attractive will ultimately depend on time horizon — and patience.

The post Is this ASX industrials stock a buy after a 20% pullback from all-time highs? appeared first on The Motley Fool Australia.

More reading

• Broker tips 20% upside for this ASX industrials stock

Motley Fool contributor Leigh Gant 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 is becoming more and more common for investors to prioritise ethical, social, and governance (ESG) impact when investing. One way to do this is by investing in an ethically focused ASX ETF. 

There are now plenty of options on the ASX to choose from that utilise some form of screening to align with specific investor goals. 

These can be related to actively choosing companies engaged in a specific cause, or by something called negative screening.

This is when ASX ETF providers build a fund by excluding companies that don’t align with specific values or are engaged in harmful activities. 

These could be companies that operate in sectors like tobacco, weapons manufacturing, gambling, etc. 

This is often called ethical investing, impact investing, or ESG investing. 

It is helpful for investors to be able to actively avoid companies that don’t align with their values. 

However, one might also argue that excluding companies isn’t the same as ‘putting your money where your mouth is,’ and actively investing in companies making positive change.

At the end of the day, alongside these causes, investors ultimately still want to build wealth. 

There is a fund that has been able to combine actively investing in climate-positive companies, while also bringing strong returns in 2025. 

Betashares Capital Ltd – Betashares Climate Change Innovation ETF (ASX: ERTH)

According to Betashares, this fund aims to track the performance of an index (before fees and expenses) that comprises a portfolio of up to 100 leading global companies that derive at least 50% of their revenues from products and services that help to address climate change and other environmental problems through the reduction or avoidance of CO2 emissions. 

This covers clean energy providers, along with leading companies tackling green transport, waste management, sustainable product development, and improved energy efficiency and storage.

By supporting companies that are leading the fight to create a more sustainable planet, investors in ERTH can be confident that their investment dollars are having a positive impact.

This is one of the few ASX ETFs I could find that is actively investing in climate-positive companies rather than just using negative screening. 

It does also use negative screening, to exclude companies with direct involvement in the fossil fuels industry (coal, oil, and natural gas). 

Alongside its innovative structure, the fund has also brought strong returns in 2025. 

Since January, it is up 12.68%. 

For comparison, the S&P/ASX 200 Index (ASX: XJO), Australia’s benchmark index, is up approximately 5.29% year to date.

The post Which ethical ASX ETF is on track to deliver the best returns in 2025? appeared first on The Motley Fool Australia.

More reading

• The ASX dividend stocks I’d trust to pay me through retirement
• Up 10x since July, could this hot ASX stock be the next Droneshield?
• DroneShield bags $49.6m European military contract: What investors need to know
• Is there opportunity in 2026 outside the big four bank shares?
• Meridian Energy lifts hydro storage and sales in November 2025 update

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.

When it comes to retirement investing, reliability matters more than excitement.

Chasing the highest dividend yield can backfire, but owning businesses with durable cash flows, strong market positions, and a track record of paying dividends can make all the difference.

If I were building a portfolio designed to support me through retirement, these are three ASX dividend stocks I’d feel comfortable owning for the long haul.

APA Group (ASX: APA)

APA Group is arguably one of the most dependable income stocks on the Australian share market.

As a leading energy infrastructure business, it owns and operates gas pipelines, electricity transmission assets, and power generation infrastructure that underpin Australia’s energy system.

Much of its revenue is regulated or contracted over long periods, which provides excellent visibility over future cash flows. This stability has allowed APA to steadily increase its distributions over time, even through periods of economic uncertainty. In fact, it has successfully lifted its dividend every year for over a decade.

Energy demand isn’t going away, and as Australia transitions its energy mix, APA’s infrastructure remains critical. That combination of necessity, scale, and long-term contracts is exactly what income investors want heading into retirement. It currently trades with a trailing dividend yield of 6.3%.

Telstra Group (ASX: TLS)

Telstra is another stock that I think fits naturally into a retirement-focused portfolio. As Australia’s largest telecommunications provider, it plays an essential role in keeping households and businesses connected.

Mobile data usage continues to grow and Telstra’s dominant infrastructure gives it an advantage that few competitors can match. These qualities support steady earnings and underpin the company’s ability to pay consistent dividends.

Telstra’s recent strategic focus on simplification, cost control, and disciplined capital allocation has further strengthened its investment case. The telco giant’s shares currently trade with a trailing 3.9% dividend yield.

Woolworths Group (ASX: WOW)

Woolworths rounds out this trio as a classic defensive income stock. Supermarkets tend to perform well across economic cycles because people continue to buy food and essentials regardless of broader conditions.

Woolworths’ scale, supply chain efficiency, and strong private label offering give it pricing power and resilient margins. This underpins reliable cash generation, which in turn supports its dividend payouts.

And while Woolworths may not offer the highest dividend yield on the market, its dividends are backed by a business model that prioritises consistency over volatility. For retirement investors, that reliability can be far more valuable than chasing higher but less dependable income streams.

Woolworths shares currently trade with a trailing dividend yield of 3.1%.

The post The ASX dividend stocks I’d trust to pay me through retirement appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: CSL, Vulcan, Woolworths shares
• $30,000 of Telstra shares can net me $1,671 of passive income!
• Buying Coles and Woolworths shares? Here’s why the supermarkets are fuming over Chalmers’ new law
• 3 Aussie passive income stocks delivering decades upon decades of dividends
• 2 premier ASX shares for your retirement fund

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

If you ever needed a reminder of how quickly fortunes can change on the ASX, look no further than 4DMedical Ltd (ASX: 4DX).

At the start of 2025, this little-known medical imaging company was trading for 48 cents per share. By the end of July, the share price was down 50% and had sunk to just 24 cents, the kind of low that makes even loyal shareholders question their sanity.

Fast-forward to today, and 4DMedical is changing lives, especially for its shareholders.

Its share price has skyrocketed to $2.44, which is a whopping 10x return since the end of July, and a five-bagger for anyone who invested at the start of the year.

To put that into dollar terms, a $10,000 investment in 4DMedical made in January would now be worth $50,000, whilst an investor who invested $10,000 during the July dip could be looking at up to $100,000 today.

For many households, that’s the difference between “maybe one day” and “we could actually buy that car and book that Europe trip right now”.

But how has 4DMedical become one of the hottest ASX stocks of 2025?

A 5-year struggle snaps into a 10x move

For most of its life on the ASX, 4DMedical has struggled to meet the expectations of the initial IPO excitement. After IPO’ing in 2020 at $1.25 and peaking at $2.60, the company spent years grinding lower and was at one stage down 90% from its highs.

But 2025 finally brought something different: commercial traction.

Investors stopped hearing promises and started seeing proof.

4DMedical delivered a wave of commercially meaningful wins and renewals with world-class institutions like the University of Michigan and Stanford; the addition of CT:VQ to Philips‘ North American catalogue backed by a $15 million commitment; FDA clearance in September unlocking a US$1.1 billion market; a strategic $10 million investment from ASX giant Pro Medicus Ltd (ASX: PME); a fully underwritten $30.2 million option exercise securing its funding runway; and most recently, Canadian regulatory approval enabling immediate commercial deployment across Canada.

Each milestone reinforced the same message: 4DMedical’s technology is not just innovative, it is being adopted, validated, and scaled.

Could 4DMedical be the next Droneshield?

Droneshield Ltd (ASX: DRO) became the most exciting stock on the ASX by dominating a niche with powerful global demand. As positive announcement after positive announcement came in, there seemed to be no limit to investor demand for Droneshield shares.

In its own way, 4DMedical is beginning to exhibit similar characteristics, including a large market opportunity, commercial adoption by US hospitals, and a leading technology platform, all built on the highly scalable software-as-a-service business model.

Is 4DMedical’s success guaranteed? Of course not. Commercialisation in healthcare is notoriously difficult.

But investors don’t chase certainties; they chase asymmetric upside, and 4DMedical is one of the ASX stocks right now with a genuine shot at turning into something much larger.

Foolish bottom line

4DMedical is no longer just a speculative moonshot; it is becoming a growth company with a credible story, and for early believers, a wealth-changing story.

It has captured investors’ imaginations for good reason, but whether it becomes the next Droneshield or not will come down to execution. For the first time since its IPO, it feels like the company’s future and its share price are finally moving in the same direction.

The post Up 10x since July, could this hot ASX stock be the next Droneshield? appeared first on The Motley Fool Australia.

More reading

• DroneShield bags $49.6m European military contract: What investors need to know
• 3 ASX mid-cap rockets that could become future blue chips
• Here are the top 10 ASX 200 shares today
• Why 4DMedical, EOS, Gorilla Gold, and Neuren shares are racing higher today
• Key Canadian approval sends 10-bagger biotech’s shares higher

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DroneShield. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The DroneShield Ltd (ASX: DRO) share price is in focus today after the company announced a $49.6 million contract with a European military customer, with all deliveries and payments expected to be finalised in the first quarter of 2026.

What did DroneShield report?

• Secured a $49.6 million contract for handheld counterdrone systems, accessories, and software updates
• Customer is a longstanding European reseller for a military end-customer
• Majority of hardware is already in stock for prompt delivery
• All deliveries and payments anticipated to be completed in Q1 2026
• Brings total contracts from this reseller over three years to more than $86.5 million

What else do investors need to know?

A significant portion of the $49.6 million order is already on the shelf, making it possible for DroneShield to deliver quickly and boost cash flow in early 2026. The company does not expect further material conditions to be satisfied for this contract, which should streamline the revenue recognition.

DroneShield also confirmed that there are currently no obligations for further orders from this specific reseller or end-customer, providing clarity on future pipeline expectations.

What’s next for DroneShield?

DroneShield is focused on completing deliveries and receiving payment for this contract in the first quarter of 2026. The company continues to develop AI-based defence solutions, with a customer base spanning military, government, and critical infrastructure sectors.

With this major contract and a growing history of international defence deals, DroneShield looks set to maintain its innovative approach and build on its reputation in counterdrone technology.

DroneShield share price snapshot

Over the past 12 months, Droneshield shares have risen 293%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 5% over the same period.

View Original Announcement

The post DroneShield bags $49.6m European military contract: What investors need to know appeared first on The Motley Fool Australia.

More reading

• Up 10x since July, could this hot ASX stock be the next Droneshield?
• Meridian Energy lifts hydro storage and sales in November 2025 update
• Contact Energy reports lift in November sales and renewable projects progress
• 3 ASX mid-cap rockets that could become future blue chips
• 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 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. 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.

There is always plenty of coverage on the big four bank shares in Australia – and for good reason. 

These four banks sit inside the top 6 largest companies in Australia weighted by market capitalisation. 

Earlier in December I covered the success of Australia And New Zealand Banking Group (ASX: ANZ) shares in 2025 compared to its peers. 

But what about the ASX bank shares outside the big four?

Here is an overview of how some of the others have performed. 

A tough year for bank shares

Across the board, it has been overall a down year for bank shares. 

Starting with Bendigo and Adelaide Bank Ltd (ASX: BEN), which has fallen more than 20% since the start of the year. 

That included two horror days of trading in November. 

On 11 November, shares lost 8.5% following the release of the company’s first-quarter (Q1 FY 2026) results. 

Two weeks later, on 25 November, shares fell another 7.4%. 

Elsewhere, Macquarie Group Ltd (ASX: MQG) has also struggled in 2025. 

While it does offer banking services, it is primarily involved in investment and commercial banking and asset management, with Macquarie now in the top 50 global asset managers.

Its share price is down more than 9% since the start of the year.

Bank of Queensland Ltd (ASX: BOQ) is one of Australia’s largest regional banks still operating independently of the ‘Big Four’ banks. 

Its share price has also faced volatility this year, and is down approximately 2.7% year to date. 

Finally, Judo Capital Holdings Ltd (ASX: JDO), which focuses on lending to small and medium enterprises (SMEs), has fallen just over 7%. 

Most notably, in April, Judo Bank’s share price crashed 19% after releasing its third-quarter update. 

Which has the most upside in 2026?

While 2025 has been rough on these bank shares, there is one drawing positive attention from experts. 

Judo Bank is tipped by brokers to rebound in 2026. 

It appears this may have already begun to be priced in, as its share price is up 12% over the last month since its AGM.

Macquarie has an outperform rating and $1.90 price target on Judo Bank shares. 

This indicates an upside of almost 11% from yesterday’s closing price of $1.72. 

There are other brokers even more bullish. 

UBS placed a $2.20 price target on Judo Bank shares in November, and TradingView currently has a consensus price target of $2.15.

These targets indicate an upside of between 25 – 28%. 

The post Is there opportunity in 2026 outside the big four bank shares? appeared first on The Motley Fool Australia.

More reading

• Up 813% in 5 years, why Macquarie expects this surging ASX 200 stock to keep outperforming in 2026
• Why Flight Centre shares could return 22% in just one year
• Why did Macquarie just downgrade CSL shares?
• How will interest rate hikes impact the big four ASX banks like CBA shares?
• Insiders are buying Xero and these ASX shares this month

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 Bendigo And Adelaide Bank and Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Meridian Energy Ltd (ASX: MEZ) share price is in focus today after the company released its monthly operating report for November 2025, highlighting national hydro storage reaching 153% of historical average and a 12.1% rise in retail sales volumes compared to November last year.

What did Meridian Energy report?

• National hydro storage increased from 143% to 153% of historical average by 8 December 2025.
• South Island storage reached 157% of average, North Island storage climbed to 132% of average.
• November 2025 inflows were 149% of historical average, with year-to-date inflows the highest since 1988/89.
• Retail sales volumes in November rose 12.1% year on year, with residential segment up 23.2%.
• National electricity demand was 5.9% higher than in November 2024.
• Meridian’s total New Zealand customer connections grew by 20% since November 2024.

What else do investors need to know?

November was the warmest on record for New Zealand, with temperatures above average in most areas and higher rainfall for the North Island and the west of the South Island. Despite drier conditions in the east, strong hydro inflows supported impressive storage levels.

Meridian’s generation for November was 2.7% higher than the same month last year, mainly due to increased hydro output. Year-to-date generation is tracking 12.7% ahead of last year, and the average price received for generation in November rose 93.3% compared to November 2024.

Higher demand from New Zealand Aluminium Smelters Ltd (NZAS) also featured, with average load rising to 569MW from 451MW a year ago.

What’s next for Meridian Energy?

Investors can keep an eye on Meridian’s ability to maintain strong hydro inflows and storage as summer progresses, supporting both generation and retail sales. The company continues to benefit from rising electricity demand and expanded customer connections.

Ongoing investment in renewable energy and a focus on operational efficiency position Meridian well for future growth, though weather patterns and wholesale market dynamics will remain key factors to watch.

Meridian Energy share price snapshot

Over the past 12 months, Meridian Energy shares have declined 8%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 5% over the same period.

View Original Announcement.

The post Meridian Energy lifts hydro storage and sales in November 2025 update appeared first on The Motley Fool Australia.

More reading

• Contact Energy reports lift in November sales and renewable projects progress
• 5 things to watch on the ASX 200 on Tuesday
• Lynas shares: After a year of outperformance, is it still a buy?
• Here are the top 10 ASX 200 shares today
• Westgold unveils spin-out of non-core Reedy and Comet gold assets

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