Tag: Stock pick

Bendigo and Adelaide Bank Ltd (ASX: BEN) this week announced a deal to acquire RACQ Banks’ retail lending assets and deposits, which are worth an estimated $2.7 billion and $2.5 billion, respectively.

Managing Director Richard Fennell said the deal, which is expected to be completed in the first half of FY27, would add to Bendigo and Adelaide Bank’s current deposit franchise, and “leverages our proven ability to efficiently integrate significant portfolios and is expected to drive improved shareholder returns through cost efficiencies and geographic diversification”.

The transaction is expected to generate $50-$55 million in net interest income and add 4-5 cents to the company’s earnings per share.

Strategically sensible move

The team at Jarden has had a look at the proposed deal, which is subject to regulatory sign-off, and said the Queensland-focused deal makes sense.

Bendigo acquired the Queensland-based First Australian Building Society in 2000 and have a reasonably strong presence in Australia’s most dynamic state. The acquisition fits well with their strategic pillar of ‘optimising their deposit base’ with retail deposits representing 92% of the RACQ lending portfolio (with a high proportion of lower-cost deposits). It also supports their ambition in becoming a greater presence in agri, and at book value, we believe the price is full, but fair. We will process the acquisition upon regulatory approval – financially the acquisition is relatively immaterial but strategically it is on par.

Jarden has a neutral rating on Bendigo and Adelaide Bank shares and, following the investor day presentations earlier this week, has kept its price target for the company’s shares at $11.

Including a 6.2% dividend yield, this would equate to a total shareholder return of 14.8% over a year based on the company’s closing share price of $10.13 on Thursday.   

The Jarden analysts said bank strategies in general were focused on two main themes at the moment – optimising lower cost deposit bases and minimising costs generally, “reflecting a difficult environment”.

Both are challenging. Heightened focus on growing deposits (alongside deposit alternatives i.e. stablecoins) is set to only increase competitive pressure on paid rates. Meanwhile, the combination of stubborn inflation and regulatory scrutiny will continue to drive cost expansion. Bendigo’s acquisition of RACQ’s book is a step in the right direction in growing low cost deposits, but the productivity benefits required to hold business as usual costs to inflation are unclear.

Bendigo and Adelaide Bank was valued at $5.75 billion at the close of trade on Thursday.

The post This bank’s shares could deliver double-digit returns analysts say appeared first on The Motley Fool Australia.

More reading

• ASX bank stocks: Buy, sell, or hold?
• Bendigo Bank shares fall despite RACQ deal
• Bendigo and Adelaide Bank unveils RACQ Bank acquisition in investor update
• ANZ shares are lagging the other big banks: Here’s why
• Why these ASX 200 shares crashed 10%+ in November

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

ASX gold share Black Cat Syndicate Ltd (ASX: BC8) is trading at $1.03 per share on Friday morning, up 1.67%.

Just two years ago, this ASX small-cap stock was trading at 25.5 cents per share.

Had you put just $2,000 into Black Cat shares back then, they would be worth $8,078.29 today.

Let’s find out more about why this ASX gold share has shot the lights out over the past 24 months.

What a run for this ASX gold share!

Black Cat is a Western Australian gold miner and antimony explorer.

The company’s total gold resources are 2.5Moz at 2.9 g/t Au, with plans to expand to 3Moz within five years.

In a recent presentation, Black Cat said it’s targeting annual gold production of more than 100,000 ounces (oz) in FY26 and 130,000 oz in FY27.

The company owns three projects.

Kal East produced first gold in the second half of 2024. It has a Mineral Resource Estimate (MRE) of 18.8mt at 2.1 g/t au for 1,294,000 oz and a 1.2Mtpa processing facility on site.

Paulsens recommenced gold production late last year. It has a 450ktpa processing plant on site and an MRE of 4.4mt at 3.9 g/t au for 549,000 oz.

Within Paulsens is the Mt Clement antimony project, which Black Cat claims is one of Australia’s largest deposits with a resource estimate of about 794kt at 1.7% Sb.

The miner’s third gold project is Coyote, which has been in care and maintenance since 2013. Black Cat aims to restart the mine in FY28. It has a 300ktpa processing plant on site and an MRE of 3.7mt at 5.5 g/t au for 645,000 oz.

Black Cat’s longer-term goal is to produce 200,000 oz of gold per annum by FY29, after Coyote begins production.

What’s new with Black Cat?

This week, Black Cat announced a joint venture with Dreadnought Resources Ltd (ASX: DRE).

Under the deal, Black Cat will develop and process ore from Dreadnought’s high-grade Star of Mangaroon gold project.

Black Cat owns about 202.5 million Dreadnought shares, and its non-executive chair, Paul Chapman, is also Dreadnought’s non-executive chair.

Star of Mangaroon is 330km by road from Paulsens. Black Cat expects up to 110,000 tonnes of gold to be processed next year alone.

Under the deal, Black Cat will engage and manage contractors and provide up to $10 million in funding to develop and haul the ore.

Dreadnought and Black Cat will share surplus cashflow at a 50/50 split for the first $80 million and then 70/30 (majority to Dreadnought) for any additional surplus cashflow.

Black Cat also gets first rights to enter into similar agreements for any other mining operations around the Star of Mangaroon and a right to match any third-party offer to acquire Dreadnought’s tenements.

The benefits for Black Cat include additional cashflow, greater operational flexibility, and strategic exposure to new nearby discoveries.

Black Cat’s Managing Director, Gareth Solly, said:

The Star of Mangaroon is an excellent project that dovetails nicely into our Paulsens’ strategy.

The high-grade feed will allow Paulsens to preferentially treat high-grade Ore from the Paulsens underground while stockpiling lower grade material, increasing total gold production in the short to medium term.

In addition, Black Cat has exposure to further discoveries around the Star of Mangaroon, which we see as highly prospective.

The post $2,000 in this ASX share two years ago would be worth $8,078 today appeared first on The Motley Fool Australia.

More reading

• ASX gold share to lift 57% in a year: expert
• Why are ASX gold shares and ETFs soaring today?

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

Shares in Saluda Medical, Inc (ASX: SLD) have opened sharply lower than the initial public offer price on its first day of trade on the ASX.

The company’s shares were trading at $1.59 mid-morning, well below the $2.65 price at which they were offered to new shareholders.

Saluda Chief Executive Barry Regan said in a statement issued to the ASX that the listing was a significant achievement for the company.

Today marks an important milestone for Saluda Medical and the patients whose lives we aim to transform through objective, personalised neuromodulation. We are pleased with the momentum in the first months of FY26, and we remain on track to meet our full-year guidance. The strength of our clinical evidence, the scalability of our commercial model, and the dedication of our team positions the Company well to continue to make a significant difference in our global market. We are grateful for the support of our new and existing securityholders, and proud to be joining the ASX.

Funds raised to drive growth

Saluda raised $230.8 million through the issue of new shares at $2.65 each, with the money to be used “to expand Saluda’s sales team, marketing and commercial support and product development.”

The company, founded in Sydney in 2010, describes itself as a “commercial stage” medical device company, “focused on developing treatments for chronic neurological conditions using its novel neuromodulation platform.”

The company explained further in a release issued earlier this week:

Saluda’s product, the FDA-approved Evoke System, is designed to treat chronic neuropathic pain by providing SCS (spinal cord stimulation) therapy that senses and measures neural activation to optimise therapy and reduce patient and clinician burden. Unlike standard SCS devices, which only provide fixed levels of stimulation, Saluda’s system leverages evoked compound action potentials, or ECAPs, to measure the spinal cord’s response to electrical stimulation and adjust the stimulation accordingly to achieve and continuously maintain a targeted level of neural activation. This ensures the therapy remains at the patient specific prescribed level of neural activation, providing consistent and effective outcomes.

The company said clinical study results demonstrated “clinically superior” pain relief when tested against other methods, and Saluda would seek to gain a larger slice of the more than US$23 billion market for people suffering chronic pain in the US alone.

The company said in its prospectus that it had generated US$70.4 million in revenue in FY25, with that forecast to rise to US$81.9 million in the current financial year.

The company made a net loss of $123.5 million in FY25, which is expected to increase this year to $145.5 million.

To achieve its revenue growth targets, the company aims to increase the number of trained sales representatives in the US by more than 80% to 114 by the end of the current financial year.

The post ASX healthcare stock debuts at a massive discount to its initial public offer price appeared first on The Motley Fool Australia.

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• How on earth has the WiseTech Global share price exploded 20% in 17 days?
• Dexus issues $500 million in new subordinated notes to boost flexibility
• Fletcher Building updates funding: repays USPP, extends bank facilities
• 5 things to watch on the ASX 200 on Friday
• AMP suspends AMPPB hybrid notes for redemption and removal

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

The Dexus (ASX: DXS) share price is in focus as the company announced it has priced a $500 million subordinated notes issue to bolster financial flexibility and diversify funding sources.

What did Dexus report?

• A$500 million in new subordinated notes issued across two 30-year tranches
• First tranche: A$250 million floating rate notes, non-call period of 5.25 years, margin of 1.75% over 3-month BBSW
• Second tranche: A$250 million fixed rate notes, non-call period of 8.25 years, initial coupon of 6.30%, swapped back to floating, 1.85% margin
• Implied yield of 5.48%, with settlement expected on 10 December 2025
• Notes receive 50% equity credit from Standard & Poor’s and Moody’s

What else do investors need to know?

This capital management initiative comes as Dexus looks to strengthen its balance sheet and pursue investment opportunities in a disciplined way. By issuing these subordinated notes, Dexus aims to further diversify its funding sources and lengthen its debt maturity profile to help support ongoing business strategy.

The notes do not contain equity conversion features, and their issuance follows strong demand from both new and existing investors. The proceeds are intended to support investment activity while maintaining prudent capital management and ongoing capital recycling.

What’s next for Dexus?

Dexus intends to use the proceeds from the new subordinated notes to enhance its financial flexibility going forward. Management notes that investment decisions will be made with a continued focus on preserving balance sheet strength while pursuing growth opportunities across its portfolio.

With settlement of the notes expected on 10 December 2025, Dexus will continue executing on its strategy to unlock value for investors, maintain a diversified funding base and build long-term resilience for its listed and funds management businesses.

Dexus share price snapshot

Over the past 12 months, Dexus shares have risen 1%, slightly trailing the S&P/ASX 200 Index (ASX: XJO) which has increased 2% over the same period.

View Original Announcement

The post Dexus issues $500 million in new subordinated notes to boost flexibility appeared first on The Motley Fool Australia.

More reading

• How on earth has the WiseTech Global share price exploded 20% in 17 days?
• ASX healthcare stock debuts at a massive discount to its initial public offer price
• Fletcher Building updates funding: repays USPP, extends bank facilities
• 5 things to watch on the ASX 200 on Friday
• AMP suspends AMPPB hybrid notes for redemption and removal

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.

S&P/ASX 200 Index (ASX: XJO) shares are lower on Friday, down 0.22% at 8,599.6 points.

Let’s take a look at some new ratings and 12-month price targets for three ASX 200 large-cap shares.

New ratings on 3 ASX 200 large-cap stocks

Aristocrat Leisure Ltd (ASX: ALL)

Aristocrat is the second-largest ASX 200 consumer discretionary share with a market cap of $36 billion.

The company develops and manufacturers poker machines and digital games.

The Aristocrat share price is $58.04, down 0.26% today and down 15.44% in the year to date.

Morgans has a buy rating on Aristocrat with a 12-month price target of $73.

The broker commented:

Headline numbers were broadly in line with both our and market expectations, though a few soft spots emerged beneath the surface.

Encouragingly, management expects the business to return to its normalised growth range moving forward.

Mineral Resources Ltd (ASX: MIN)

Mineral Resources is the 10th-largest ASX 200 mining share with a market cap of $9.6 billion.

The company mines iron ore and lithium, and offers mining services across Australia, Asia, and internationally.

The Mineral Resources share price is $48.44, up 1% today and up 39.56% in the year to date.

Ord Minnett has a buy rating on Mineral Resources with a price target of $55.

In a recent note, the broker said:

Mineral Resources (MIN) has formed a joint venture with POSCO Holdings for its lithium assets that sees the giant Korean group pay US$765 million ($1.2 billion) cash for a 30% stake in the JV, with the Australian company holding the other 70%.

The purchase price values the Australian company’s remaining stakes in the Wodgina and Mt Marion operations at circa $4 billion, versus a consensus valuation of $2.8 billion previously, and implies a long-term spodumene price of circa US$1600 a tonne, comfortably above market expectations centred on US$1240 a tonne.

Coles Group Ltd (ASX: COL)

Coles is the second-largest ASX 200 consumer staples share with a market cap of $30 billion.

The Coles share price is $21.63, down 0.83% on Friday and up 14.57% in the year to date.

Morgans has a hold rating on Coles and recently cut its price target from $23.45 to $22.90.

The broker said:

While Supermarkets momentum remains positive heading into the key Christmas trading period and execution continues to be strong, trading on 23x FY26F PE with a 3.6% yield, we view COL as fully valued.

We would look to reassess our view should the share price weaken further.

The post 3 ASX 200 large-cap shares just re-rated by analysts appeared first on The Motley Fool Australia.

More reading

• 3 ASX blue-chip shares I’d buy with $3,000 right now
• Brokers rate these 3 top ASX shares as buys in December
• ASX gaming stocks: Should you try your luck?
• Here’s how Morgans rates the 3 biggest ASX 200 consumer discretionary shares
• Buy, hold, sell: Aristocrat, CBA, and Life360 shares

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

S&P/ASX 200 Index (ASX: XJO) gold stock Emerald Resources NL (ASX: EMR) is marching higher today.

Emerald Resources shares closed yesterday trading for $5.13. In morning trade on Friday, shares are swapping hands for $5.14 apiece, up 0.1%.

For some context, the ASX 200 is down 0.1% at this same time.

This modest outperformance comes after the miner reported before market open this morning on key regulatory progress at its 100% owned Dingo Range Gold Project, located in Western Australia.

And it now sees the Emerald Resources share price up 53% since the recent 1 August lows.

ASX 200 gold stock lifts on approval

The Emerald Resources share price is outpacing the ASX 200 today after the miner announced that the Mining Proposal and Mine Closure Plan for Dingo Range have been approved by the Department of Mines, Petroleum and Exploration.

The company noted that this will be the first standalone mining and processing operation it has in Australia, with Emerald already owning several gold projects in Cambodia.

Emerald Resources received a separate Mining Proposal and Project Works Approval in FY 2025. The gold miner said that following this approval, it has continued to advance development activities at Dingo Range. That includes the practical completion of a $19 million, 264 room camp.

What did management say?

Commenting on the regulatory approval that could support the ASX 200 gold stock longer term, Emerald Resources managing director Morgan Hart said, “The grant of approval for the Mining Proposal and Mine Closure Plan for our 100% owned Dingo Range Gold Project represents a key milestone for the development timeline of the Project.”

Hart gave a nod of approval to the “significant efforts” of the miner’s experienced management team and consultants.

Hart added:

The amenity of the Project has now been significantly enhanced with the practical completion and commissioning of the 264-room camp which offers a modern and comfortable environment for attracting and retaining personnel for development and operations within one of the world’s richest and most established gold regions.

Given our position as a debt-free, unhedged gold producer we are fully funded and well on track to deliver on our strategic objective of becoming a multi-mine gold producer exceeding 300,000 ounces per annum across two continents.

Investors can expect the ASX 200 gold stock to release a development update and timeline for the Emeral Resources Dingo Range Gold Project early in the 2026 calendar year.

Atop its own operational successes, Emerald Resources shares have been benefiting from the rocketing gold price.

Gold is currently trading for $4,205 per ounce, up 60% in 2025.

The post Up 53% since August, guess which ASX 200 gold stock is lifting today on ‘key milestone’ appeared first on The Motley Fool Australia.

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• Emerald Resources secures permits for Memot and Okvau gold projects
• 3 ASX 200 stocks storming higher in this week’s falling market
• Here are the top 10 ASX 200 shares today

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.

The ASX 200 materials sector, which is dominated by mega mining shares, has surged 26% in the year to date (YTD).

Yesterday, the three largest ASX 200 mining shares and the biggest pure-play copper stock reached new 52-week highs.

Top ASX 200 mining shares rise to new highs

The BHP Group Ltd (ASX: BHP) share price rose 3.8% to a 52-week peak of $44.60 yesterday, and is $44.63 at the time of writing.

The Fortescue Ltd (ASX: FMG) share price lifted 1.15% to a 52-week high of $22.03, and is $21.78 on Friday.

The Rio Tinto Ltd (ASX: RIO) share price increased 3.9% to a 52-week high of $140.58, and is currently $137.82.

Pure-play ASX 200 copper share, Sandfire Resources Ltd (ASX: SFR), rose 5.3% to a record $17.20, and is $16.68 today.

James Gerrish from Shaw and Partners said ASX mining shares have had a strong run and boosted many mining-focused ASX ETFs.

Gerrish and his Market Matters team think there’s not too much more room to run, commenting:

The outperformance by the materials sector is starting to look and feel mature but there are no signs that it’s time to dramatically restructure portfolios.

Yesterday’s boost for the big ASX 200 iron ore shares followed a 2.9% lift in the iron ore price this week to US$107 per tonne, taking the YTD gains to 4.1%.

The Market Matters team can see iron ore grinding about 5% higher over the coming weeks and months.

Gerrish commented:

Most focus in commodities over the last few months has been on gold, silver, and copper, but iron ore has also broken out to new 2025 highs, albeit in a less dramatic fashion.

We are not fading this advance by the bulk commodity and related miners but we do believe the “easy money” is in the rear view mirror.

Turning to copper, Market Matters is bullish on the red metal over the medium and long term.

BHP and Rio Tinto have significantly increased their copper operations amid higher demand due to the green energy transition.

BHP is now the world’s largest copper producer, and copper formed 45% of its total underlying EBITDA in FY25, up from 29% in FY24.

The copper price has risen 3.8% this week and 32.5% YTD to US$5.27 per pound on Friday.

Expert reveals 2 preferred ASX ETFs

Yesterday, Global X Copper Miners ETF (ASX: WIRE) rose to a record high of $20.62 per unit.

This is the Market Matters team’s preferred copper play among ASX ETFs.

BHP and Sandfire Resources shares comprise about 8% of holdings, with Capstone Copper Corp CDI (ASX: CSC) providing another 3.3%.

Gerrish said:

The ASX-listed Global X Miners ETF (WIRE) remains one of our preferred vehicles for broad exposure to global copper producers.

From a regional perspective, it only has 11% exposure to Australia, with Canada providing the main holdings.

It has a decent $400mn market cap, while its fees are okay at 0.65%.

Market Matters is now targeting $22 to $24 for the WIRE ETF over the coming weeks and months.

We remain firm believers in the Cu story over the coming years but are conscious that the WIRE ETF has now reached our initial target area, but if Cu continues to accelerate higher the skies the proverbial limit i.e. surprises are still likely to be on the upside although the “easy” money does feel behind us.

Turning to gold, Market Matters expects the gold price to reach US$4,500 per ounce before it takes a breather.

This morning, gold is trading at US$4,207 per ounce, down 0.03%.

Market Matters is bullish towards gold in the short term. The team’s forecast will strengthen if a US rate cut eventuates next week.

Next week’s Fed decision will be important to a bullish thesis around gold in the coming months but with a cut feeling inevitable we see no reason to doubt our view at this stage.

The team likes the VanEck Gold Miners AUD ETF (ASX: GDX), which hit a record $105.92 per unit yesterday.

They expect this ASX ETF to test the $135 to $140 range over the coming months.

Gerrish said:

The ASX gold stocks are a refreshing and rare example of where local investors have enjoyed outperformance compared to their overseas peers with the GDX ETF tracking the gold price and remaining below its October high.

It has a large $1.4bn market cap, backed up by $US23.9bn in its US parent, around 11% of the ETF is in Australian names while its fees are a reasonable 0.53%.

The post Expert names 2 preferred ASX ETFs reaping the rewards of surging mining shares appeared first on The Motley Fool Australia.

More reading

• Major ASX 200 mining shares hit 52-week highs
• 70% of institutional investors expect gold price to rise in 2026
• Why are ASX gold shares and ETFs soaring today?
• Two ASX ETFs for exposure to surging commodity prices

Motley Fool contributor Bronwyn Allen has positions in BHP 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 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 Telstra Group Ltd (ASX: TLS) share price is $4.90, up 0.2% at the time of writing on Friday.

In FY25, Telstra shares paid a fully franked dividend of 19 cents per share.

Based on today’s share price, that equates to a trailing dividend yield of 3.9%.

Analysts expect a slightly bigger payment from the ASX 200 telco stock next year.

The consensus expectation among analysts on the CommSec platform is for Telstra to pay a 20-cent dividend for FY26.

That equates to a forward dividend yield of 4.1%.

Telstra has released its corporate calendar for 2026, which includes when the dividends will be announced.

Get your diary out.

Dividend dates for Telstra shares in 2026

Telstra will announce its FY26 half-year results and interim dividend on 19 February.

The ex-dividend date for the interim Telstra dividend will be 25 February.

The record date will be 26 February.

If you’d like Telstra to use your dividends to buy more stock on your behalf, you can enrol in the dividend reinvestment plan (DRP).

The DRP form must be lodged by 27 February.

Telstra shareholders will receive their dividends on 27 March.

The telco will announce its FY26 full-year results and final dividend on 20 August.

The ex-dividend date for the final Telstra dividend will be 26 August.

The record date will be 27 August, and the DRP deadline will be 28 August.

Telstra will pay its shareholders on 24 September.

The telco will hold its annual general meeting on 13 October.

What do the experts think of Telstra shares?

The Telstra share price is up 21.3% in 2025.

This compares to a 4.9% bump for the market benchmark S&P/ASX 200 Index (ASX: XJO).

UBS and Jarden both have a hold rating on Telstra shares with a 12-month price target of $4.80.

This implies a potential downside of 2% over the next 12 months.

UBS predicts a slightly higher dividend for FY26 than the consensus estimate on CommSec.

The broker is tipping that the telco will pay 21 cents per share in FY26.

UBS also reckons Telstra’s annual dividend could increase every year thereafter until it reaches 30 cents per share in FY30.

This is why my colleague, Tristan, considers Telstra shares a ‘retiree’s dream’.

Macquarie is more ambitious on Telstra shares.

The broker has an outperform rating on the ASX 200 telco stock with a price target of $5.04.

This suggest a potential upside of 2.85% over the next year.

Macquarie predicts that Telstra will pay 20 cents per share in dividends for FY26.

The post Invested in Telstra shares? Here are the dividend dates for 2026 appeared first on The Motley Fool Australia.

More reading

• 3 ASX blue-chip shares I’d buy with $3,000 right now
• ASX bank stocks: Buy, sell, or hold?
• Why Telstra shares are a retiree’s dream
• 3 high-quality ASX 200 shares now trading at multi-year discounts
• Brokers name 3 ASX dividend shares to buy in December

Motley Fool contributor ass=”yoast-text-mark”>ass=”yoast-text-mark”>ass=”yoast-text-mark”>ass=”yoast-text-mark”>ass=”yoast-text-mark”>ass=”yoast-text-mark”>ass=”yoast-text-mark”>ass=”yoast-text-mark”>ef=”https://www.fool.com.au/author/TMFBronwyn/”>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 Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group and Telstra Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If you’re looking for an exchange-traded fund (ETF) that pays out good dividends on a regular basis, this new ETF from Betashares might be just the thing.

Betashares has just launched its Australian Enhanced Credit Income Complex ETF (ASX: ECRD), which aims to fill a need for regular income in investors’ portfolios.

New product to fill a gap

Portfolio manager Jing Jia said the new ETF was “designed as a compelling portfolio solution for investors seeking income”.

Mr Jia added:

In an environment of declining investment income, with equity dividend yields trending lower and the gradual phase out of Australian bank hybrids, many investors are looking for ways to fill the income gap in their portfolios. With major bank hybrids historically offered franked yields of 2 to 2.5% above the RBA cash rate, it’s been difficult trying to find alternatives that deliver comparable income with similar risk profiles.

Mr Jia said investment bonds typically did not offer enough yield, while shares came with significantly higher risk and volatility.

Neither option seems to adequately replace what hybrids have offered. This income gap can be a real problem for investors who need regular cash flow from their portfolios. Betashares’ latest innovation, ECRD, could be seen as a true evolution in the Australian credit income landscape. It’s been designed to deliver hybrid-like income levels with a similar volatility profile.

Mr Jia said it is estimated that ECRD will typically yield 2% to 3% above the Reserve Bank of Australia cash rate, with distributions paid monthly.

It delivers this compelling yield by enhancing the income from a diversified portfolio of investment grade Australia bonds. ECRD boosts the income potential and seeks to earn a net interest margin by using internal gearing at institutional borrowing rates. ECRD reduces interest rate risk by holding only floating rate and interest rate hedged bonds.

Mr Jia said the current running yield for ECRD was 7.15% per annum.

Gearing adds potential risk

The ECRD overview says the ETF will have a gearing ratio of between 66.7% and 71.4%, which “means that the fund’s geared exposure is anticipated to vary between about 300% and 350% of the fund’s net asset value on a given day”.

The fact sheet adds that the investment is not for everyone:

Gearing magnifies gains and losses and may not be a suitable strategy for all investors. Investors in geared strategies should be willing to accept higher levels of investment volatility and potentially large moves (both up and down) in the value of their investment. Geared investments involve significantly higher risk than non-geared investments.

The post This new ETF aims to pay high monthly dividends, helped along by gearing appeared first on The Motley Fool Australia.

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• Expert names 2 preferred ASX ETFs reaping the rewards of surging mining shares
• Invested in Telstra shares? Here are the dividend dates for 2026
• Down 80% in 2025: Is it time to buy this beaten down ASX stock?
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Motley Fool contributor Cameron England has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Step One Clothing Ltd (ASX: STP) shares are sinking again on Friday.

In morning trade, the ASX stock is down a further 6.5% to a new 52-week low of 28 cents.

This latest decline means that the online underwear seller’s shares have now lost almost 80% of their value since the start of the year.

Is this a buying opportunity for investors? Let’s see what analysts at Bell Potter are saying about the beaten down stock.

What is the Bell Potter saying?

Bell Potter was very disappointed with Step One’s trading update this week, which revealed a sharp decline in sales, a significant inventory write-down, and an expected first half EBITDA loss.

In response, the broker has taken an axe to its revenue and earnings estimates through to FY 2028. It explains:

We downgrade our revenue forecasts by 32%/36%/41% in FY26/27/28e, driven by slowing customer growth and anticipated lower basket sizes. We adjust gross margin expectations, factoring in the $10m inventory provision in 1H26e, and pullback longterm gross margins to ~70% given what we expect will continue to be a promotion reliant growth strategy to win new customers. As a result, our EBITDA forecasts have decreased by -207%/-78%/-68% in FY26/27/28e respectively, and see long-term margins revert to high single-digits from previous low-teens.

ASX stock downgraded

According to the note, the broker has downgraded the ASX stock from a buy recommendation to neutral with a heavily reduced price target of 30 cents (from 85 cents). This valuation is largely in line with where Step One’s shares trade today.

Commenting on the online retailer, the broker revealed that it is cautious on its outlook and fears that its opportunities in the core Australian market are now limited. It said:

We downgrade to a Hold recommendation, and our Price Target decreases 65% to $0.30/share (from $0.85/share) driven by our earnings revisions. We maintain our target EV/EBIT multiple at 5.4x, at a 25% discount the peer group median, and continue to value the business on a blend of relative valuation and DCF (WACC 11% and TGR 3%).

We are cautious on the outlook for STP given we believe its core Australian market (~63% of revenue) has matured with customer growth avenues limited. We also note that given the size of the inventory write-down, this could indicate a “nip in the bud” approach but given the slow-down in the November period, we remain cautious on future inventory turnover. We continue to be positive on its UK business as the key driver for new customer growth going forward.

The post Down 80% in 2025: Is it time to buy this beaten down ASX stock? appeared first on The Motley Fool Australia.

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