Tag: Stock pick

The good news when you’re 35 is that, no matter the size of your superannuation balance, there’s plenty of time to do something about it.

That also means that even small adjustments made now can compound into large benefits by the time you can get access to your superannuation at age 60.

So, how much superannuation does the average Australian have at this age?

Figures compiled by the Association of Superannuation Funds of Australia (ASFA) indicate that men aged 35 to 39 have on average $96,122 in superannuation, while women have $76,020.

Interestingly though, if you put age 35 into ASFA’s Super Detective calculator, which tells you how much you need at that age to be on track for a comfortable retirement, it comes up with a figure of $118,000.

This indicates that most people are likely to come up short when it comes to being able to afford a comfortable retirement.

And ASFA’s figures are calculated based on the assumption a retiree owns their own home and will draw a part pension from the age of 67.

The magic of compound interest

So, what difference can making some extra contributions to your superannuation balance make by the time you retire?

A good way to figure this out is by using the Federal Government’s Moneysmart superannuation calculator.

Using this tool, we can show that by contributing just $20 per week extra to your superannuation from the age of 35, you would end up with $30,558 extra by the time you hit 60.

If you increased the contribution to $100 per week, you would end up with an extra $152,790.

Extra contributions can be tax effective

So, what are the best ways to increase your superannuation contributions?

The easiest way, if you are a salaried worker, is to salary sacrifice part of your pre-tax pay into superannuation.

This salary sacrificed amount is taxed at 15%, rather than your usual tax rate, so this is a tax effective way to contribute.

You can also make a lump sum concessional contribution, which will also be taxed at 15% once it is in your superannuation.

A notice of intent to claim must be lodged with your super fund for concessional contributions so they know to deduct the 15% tax from the amount.

It’s important to keep in mind that the concessional contributions cap is $32,500, with this amount including your employer’s contributions, salary sacrifice, and concessional contributions.

If funds permit and your superannuation balance was less than $500,000 in the last financial year, you can also carry forward any unused concessional contribution cap amounts from the previous five financial years, with this amount able to be found in your myGov account.

It is also possible to make non-concessional contributions up to $130,000 and to contribute more than this amount using the bring-forward rule.  

The post The average superannuation balance for 35-year-olds in Australia in FY26. How does yours compare? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• ASX healthcare shares are 39% higher since June. Are you missing out?
• West African Resources’ new dividend yield might surprise
• 3 reasons why the Wesfarmers share price is a buy
• 2 ASX dividend shares offering 6% to 7% yields buy-rated by Morgans

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 S&P/ASX 200 Index (ASX: XJO) endured a horror Thursday, with the Australian markets selling off heavily. We have seen pessimism on the ASX for most of this week, and that accelerated today, with the ASX 200 falling sharply at the open and reaching a 1.5% loss at one point.

Thankfully, sentiment improved slightly in the afternoon. But even so, the index ended up closing with a 1.03% loss at 8,819.4 points.

This depressing Thursday for the ASX followed a similarly bearish night over on Wall Street.

The Dow Jones Industrial Average Index (DJX: .DJI) was again in a foul mood, dropping another 0.77%

The tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) wasn’t much better, losing 0.64%.

But let’s grit our teeth and return to the local markets now for a post-mortem of how the different ASX sectors went this session.

Winners and losers

It was a sea of red on the ASX boards today, with not one corner of the market escaping unscathed.

The least-worst place to be was in communications shares. The S&P/ASX 200 Communication Services Index (ASX: XTJ) got out relatively intact, only slipping 0.13% lower.

We can say something similar for utilities stocks, with the S&P/ASX 200 Utilities Index (ASX: XUJ) sliding 0.33%.

Gold shares held up relatively well too. The All Ordinaries Gold Index (ASX: XGD) took a 0.48% dip.

Real estate investment trusts (REITs) fared a little worse though, illustrated by the S&P/ASX 200 A-REIT Index (ASX: XPJ)’s 0.6% retreat.

Consumer discretionary stocks were in a similar boat. The S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) drifted down 0.63% today.

Energy shares came next, with the S&P/ASX 200 Energy Index (ASX: XEJ) receding 0.67%.

Healthcare stocks weren’t exempt. The S&P/ASX 200 Healthcare Index (ASX: XHJ) shrank 0.71%.

Consumer staples shares were no safe haven either, as you can see from the S&P/ASX 200 Consumer Staples Index (ASX: XSJ)’s 0.75% reduction.

Financial stocks were hit hard. The S&P/ASX 200 Financials Index (ASX: XFJ) took a 0.9% dive this Thursday.

Industrial shares had a shocker, with the S&P/ASX 200 Industrials Index (ASX: XNJ) cratering by 1.04%.

Mining stocks were smashed too. The S&P/ASX 200 Materials Index (ASX: XMJ) tanked 1.62% today.

Finally, tech shares were the worst place to be, evidenced by the S&P/ASX 200 Information Technology Index (ASX: XIJ)’s 1.74% plunge.

Top 10 ASX 200 shares countdown

Gold stock Ora Banda Mining Ltd (ASX: OBM) came out on top of a fairly anaemic pile of winners this session. Ora Banda shares climbed 4.93% today, finishing the session at $1.60 each. That was despite no news or announcements from the company this Thursday.

Here’s how the other winners tied up at the dock:

ASX-listed company	Share price	Price change
Ora Banda Mining Ltd (ASX: OBM)	$1.60	4.93%
Megaport Ltd (ASX: MP1)	$18.41	4.25%
Eagers Automotive Ltd (ASX: APE)	$20.32	3.09%
West African Resources Ltd (ASX: WAF)	$3.89	2.91%
Tabcorp Holdings Ltd (ASX: TAH)	$0.945	2.72%
Sims Ltd (ASX: SGM)	$25.34	2.30%
Karoon Energy Ltd (ASX: KAR)	$1.83	2.23%
Challenger Ltd (ASX: CGF)	$9.94	1.95%
Cochlear Ltd (ASX: COH)	$137.58	1.68%
Resolute Mining Ltd (ASX: RSG)	$1.42	1.43%

Our top 10 shares countdown is a recurring end-of-day summary that shows which companies made big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

More reading

• West African Resources’ new dividend yield might surprise
• Is the ASX heading for a stock market crash?
• Megaport shares have surged 10% in a week to $18. I think they could hit $25
• ASX 200 dives to a 6-week low. What’s behind today’s sell-off?
• You don’t need to own Nvidia to invest in AI – Here are the best Aussie artificial intelligence shares

Motley Fool contributor Sebastian Bowen 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 Cochlear and Megaport. The Motley Fool Australia has recommended Challenger, Cochlear, and Eagers Automotive Ltd. 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) healthcare shares have soared 39% since the sector pivoted just three months ago.

The S&P/ASX 200 Health Care Index (ASX: XHJ) slumped to a 9-year low on 3 June after a terrible 12 months.

The index fell 39% due to many headwinds, including higher costs of living prompting consumers to delay healthcare expenditure.

Eventually, ASX 200 healthcare shares became too cheap to ignore, and value investors swooped in to capitalise.

They targeted fallen blue-chip stocks at first.

Sector giant CSL Ltd (ASX: CSL) saw its share price skyrocket 32% in just the first month of the rebound.

Investors were further buoyed by CSL management’s outlook when the company reported its FY26 results last month.

This boosted the CSL share price further, and now the stock is up 82% since 3 June.

Not all healthcare stocks have performed as well, and experts say there are still good opportunities afoot.

If you’re looking for opportunities in this buoyant sector, here are two buy-rated ASX healthcare small-caps from the experts.

SomnoMed Ltd (ASX: SOM)

The SomnoMed share price is 34 cents, down 2.9% today and down 55% over 12 months.

Top broker Morgans refers to this ASX healthcare share as the “cheaper sleeper”.

Morgans has a speculative buy recommendation on SomnoMed shares.

The broker has a 12-month price target of 76 cents on this stock, which implies a potential 127% upside ahead.

Morgans said:

The FY26 result landed where the July trading update flagged, with revenue of A$114.5m and adjusted EBITDA of A$10.9m (9.6% margin), a touch under our A$11.1m EBITDA forecast.

The management restructure is now formalised (Karen Borg sole CEO, Greg Knight COO, Nathan Minnich CMO), removing the leadership overhang flagged in July and giving the FY27 growth reinflection case a settled team to execute against.

With A$16.8m net cash against a A$73m market cap, SOM is now trading on <8x EV/EBITDA, it’s too cheap.

Mach7 Technologies Ltd (ASX: M7T)

The Mach7 Technologies share price is 26 cents, down 5.5% today and down 13% over 12 months.

Morgans has a buy rating on this ASX healthcare share with a 48-cent target.

This suggests a potential 84% upside ahead.

Morgans said:

The market should be broadly comfortable with the result given recent trading updates, but new contract delivery remains the key requirement before investors are likely to begin marking the stock materially higher.

Revenue and OPEX landed broadly in line with guidance, while the NPAT miss was driven by a A$1.9m restructuring charge and a weaker tax benefit rather than deterioration in the core subscription business.

Moderate increase in target price due to model roll-forward, lower share count, and leaner-than-expected cost base.

Upside potential to target presents an opportunity but needs new contract momentum to spark renewed interest.

The post ASX healthcare shares are 39% higher since June. Are you missing out? appeared first on The Motley Fool Australia.

More reading

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• How much superannuation do I need to earn $100 a day in passive income?
• CSL shares are up 90%. How much higher can they go?
• How much passive income can I earn off a $550,000 superannuation balance?
• 5 things to watch on the ASX 200 on Wednesday

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL and Mach7 Technologies. The Motley Fool Australia has recommended CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

West African Resources Ltd (ASX: WAF) shares hit a new 12-month high on Thursday, after the company announced a record profit and a large special dividend.

Maiden dividend a windfall for shareholders

The company is now trading with a dividend yield of more than 5% after announcing it would pay a 20 cent per share, unfranked dividend to its shareholders.

The record date for the dividend is 18 September, with the dividend to be paid on 7 October.

West African Resources shares hit a fresh 12-month high of $4.06 on the news before settling back to be 4.7% higher at $3.96.

The gold miner said it had achieved records across the board in its first half, with revenue of $1.46 billion and a profit after tax of $437 million.

The company had $876 million in cash and 42,453 ounces of unsold gold bullion at the end of June.

Production for the full year came in at 232,905 ounces of gold.

West African Executive Chairman Richard Hyde said:

WAF delivered an outstanding result for the first half of 2026, with the Group’s first full six months of combined production from Sanbrado and Kiaka. The Group continued to generate strong profit margins from 232,905 gold ounces produced and 214,883 ounces sold at a realised sales price of US$4,744/oz and an AISC of US$1,823/oz. With two large, low-cost and long-life gold production centres at Sanbrado and Kiaka, WAF is positioned to build on its performance through the second half of 2026 and beyond. This is underpinned by the updated 10-year production outlook released on 31 March 2026.

Mr Hyde said the company also intended to accelerate its debt repayments over the next 12 months.

The company had $388.1 million in debt at the end of June.

West African Resources was also planning more than 100,000 metres of exploration drilling for the remainder of 2026.

The company’s guidance for the full year is for production of 430,000 to 490,000 ounces of gold.

Major expansion plans in the wings.

Previous announcements indicate West African Resources is targeting an average of more than 533,000 ounces of gold production per year from 2026 to 2035, with annual production to peak at 569,000 in 2030.

An upcoming drill program is planned to target mineralisation beneath the current Kiaka open-pit reserve.

The company added:

The … mineralisation at Kiaka remains open at depth, with a significant proportion of ounces located below the planned pit design and currently classified as Inferred Mineral Resources. The program is designed to assess the potential for open pit expansion or the development of a large‐scale underground operation following completion of the open pit.

The post West African Resources’ new dividend yield might surprise appeared first on The Motley Fool Australia.

More reading

• West African Resources delivers profit surge and special dividend in H1 2026

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 Wesfarmers Ltd (ASX: WES) share price has drifted lower in recent weeks. I think this makes the business a compelling buy for several reasons.

Wesfarmers is not exactly a household name, but the company is the owner of several recognisable businesses including Bunnings, Kmart, Officeworks, Target and Priceline.

The company has a healthcare division and a chemicals, energy and fertiliser division called WesCEF.

Regular earnings compounding

It’s my belief that the best businesses to own over the long term are those that can significantly grow earnings.

That doesn’t mean they need to grow profit by 25% per year. Instead, growing at a solid rate can make a big difference over several years. For example, if earnings grow at a compound annual growth rate (CAGR) of 8%, they double in nine years.

We don’t know exactly how Wesfarmers will perform, but it has a track record of compounding earnings at a solid pace over the past few years.

In the 2026 financial year, the company reported that its underlying earnings per share (EPS) grew 8.3%, driven by 3.4% revenue growth, despite difficult trading conditions.

I think the quality of the Kmart and Bunnings businesses will allow Wesfarmers to continue earnings growth at a good single-digit pace in the coming years.

The business reported that its return on equity (ROE) (excluding significant items) improved by 4.3 percentage points to 35.5% in FY26, showing that the business usually generates a great return on additional money invested in the company.

I think Kmart Group and Bunnings Group can continue to generate returns on capital (ROC) of around 70% going forward, which is another strong signal of future profit growth for Wesfarmers.

Rising profits are a great tailwind for the Wesfarmers share price over time.

Well-suited to succeed during high cost of living

Customers always want good prices for the products they buy. Kmart and Bunnings are considered leaders in their respective retail categories.

Australia is facing a high cost of living for the foreseeable future – I think this period will be an opportunity for Wesfarmers to capture further market share with the perceived lowest prices.

I like how Wesfarmers, particularly Bunnings, is working on expanding into new product categories, which increases its addressable market. Two of the latest areas of focus were pet care and auto care.

In the coming years, I reckon Wesfarmers will be able to improve its profit margins thanks to strong operating leverage, despite offering customers such low prices.

It’s possible that financial growth could accelerate during this period, rather than seeing a slowdown.

Better valuation of the Wesfarmers share price

The Wesfarmers share price is down 21% since July 2026, which is a significant and rapid drop. I think that makes it an appealing long-term buy, especially given how Wesfarmers continues to invest in new growth avenues like healthcare and lithium mining.

According to CommSec’s projection, Wesfarmers’ share price is valued at 27x FY27’s estimated earnings.

The post 3 reasons why the Wesfarmers share price is a buy 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 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.

Many ASX investment experts reckon the changes to capital gains tax (CGT) will encourage a switched focus from growth to yield.

The 50% CGT discount for assets held longer than 12 months will be replaced by a cost base indexation method on 1 July next year.

The new rules grandfather existing ASX shares investments. So, the 50% CGT discount will apply to gains made before 1 July, 2027.

After that date, capital gains on existing investments, and new investments purchased thereafter, will be subject to cost base indexation.

A minimum 30% tax on net capital gains will apply.

Morgans has buy ratings on two ASX dividend shares that offer 6% to 7% annual distribution yields.

Centuria Industrial REIT (ASX: CIP)

The Centuria Industrial REIT share price is $2.89, down 0.5% today and down 14% over 12 months.

Morgans has an accumulate recommendation on this ASX real estate investment trust (REIT).

The broker said the ASX dividend share offers a 6% annual distribution that should continue to grow.

In a recent note, Morgans said:

CIP delivered FY26 FFO of 18.2cpu and distributions of 16.8cpu, both in line with guidance but at the bottom of the upgraded 18.2-18.5cpu range, and 1% below MorgansF of 18.4cpu.

CIP produced +5.2% like-for-like NOI growth, a near record 226,200sqm of leasing completed, spreads moderating to 30%, and +$116m like-for-like valuation gains, resulting in NTA up 2.3% to $4.01/unit.

FY27 FFO guidance of 18.8-19.2cpu was above market expectations, while the 17.3cpu of distribution guidance in FY27 reflects a more modest 3% growth (vs pcp), driven by rent reversion leasing in the second half.

We rate CIP ACCUMULATE, with a $3.25/sh PT, as the 6% distribution should continue to grow as rental income grows through a mix of positive rent reversion and lease indexation.

Waypoint REIT Ltd (ASX: WPR)

The Waypoint REIT share price is $2.27, down 1.1% today and down 17% over 12 months.

Morgans also has an accumulate rating on this ASX dividend share, which offers a 7% annual distribution.

The broker commented:

WPR’s 1H26 result was marginally ahead of our expectations, with management reaffirming CY26 Distributable EPS (DEPS) guidance of 17.14cps.

With limited expiries in CY27/28 (13% of NLA), WPR remains sensitive to the wider rate environment, and physical asset transactions point to some incremental softening in cap rates, albeit highly contingent on asset quality and location.

Trading at a c.7% distribution yield and 20% discount to NTA we do see value.

However, higher rates are likely to remain a headwind to earnings growth over CY27/28.

To this end, our target price remains broadly unchanged at $2.55, as we reiterate our ACCUMULATE recommendation on valuation grounds.

The post 2 ASX dividend shares offering 6% to 7% yields buy-rated by Morgans appeared first on The Motley Fool Australia.

More reading

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• 8 ASX shares upgraded by the professionals post-results this week
• How much is needed in superannuation to target a $60,000 annual passive income?
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Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has 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’s turning into a pretty horrid week for the S&P/ASX 200 Index (ASX: XJO) and many ASX shares. The ASX 200 started the week at just over 9,000 points – a psychological threshold that the market has continuously traded above for more than a month. However, after a 1% drop on Tuesday, a further 0.1% decline yesterday, and a nasty 1.5% drop so far this Thursday, the index is now sitting at just 8,777 points. As such, many investors may be wondering whether we are seeing the start of a stock market crash unfolding in real time.

Let’s dig into that uncomfortable question.

Well, it’s no secret that the markets are currently rattled. It’s not hard to see why. There are still some positive aspects of the global economy, of course. For example, corporate investment, particularly into AI infrastructure, remains elevated by historical standards in some corners of the global economy.

But the potential negatives seem to be overtaking this optimism in the minds of investors around the world. There are many troubling developments to point to here.

For one, the situation in the Middle East remains unresolved. Various tit-for-tat moves between Iran and the United States have kept the Starits of Hormuz effectively closed. Oil prices are responding accordingly, with Brent crude oil now back over US$101 a barrel. High oil prices spill over into the costs of transport, production and most other economic inputs, as well as dampen economic activity throughout the global economy.

Higher oil prices also increase inflation, which we’ll touch on in a moment.

So there’s that.

What could cause an ASX stock market crash?

Additionally, investors in the global bond market have also begun to bid up the price of government debt across the board. That includes US government debt, as well as Australian bonds.

That might not sound consequential. But it has profound implications for investors. High bond prices reflect a loss of confidence in those governments’ fiscal foundations. That’s not great news for a world that is reliant on the US economy and the supremacy of the US dollar for stability and growth.

These concerns seem to stem from ever-widening budget deficits, as well as sticky inflation. Inflation is still well above where the governments of both the United States and Australia want it to be. And, as we touched on above, it could get even worse if oil prices keep climbing. Australia has already had three interest rate rises in 2026, and markets are bracing for at least one more. Although this may eventually tame inflation, it will come with a cost to households and businesses across the country.

All in all, we have a potentially potent cauldron of factors that could bode very ill indeed for the global economy. So it’s perhaps no wonder that the markets seem to be losing confidence, and fast.

Foolish takeaway

Now, whether the markets will continue to drop, and even hit correction or crash territory, is something that no one can predict. The markets may well bounce back on the back of some positive development in the Middle East, or within any other arena that we’ve discussed. Or, things could just keep getting worse.

I think investors should be preparing themselves for either scenario. It’s important to wargame these scenarios before they happen and avoid decisions you may later regret (selling shares during a crash, for example). So if you’re worried about a potential stock market crash, today is the day to take stock of your portfolio and draw up a battle plan.

The post Is the ASX heading for a stock market crash? appeared first on The Motley Fool Australia.

More reading

• Megaport shares have surged 10% in a week to $18. I think they could hit $25
• ASX 200 dives to a 6-week low. What’s behind today’s sell-off?
• Where will the best returns in the ASX 200 be in the next year?
• 5 things to watch on the ASX 200 on Thursday
• CSL shares are up 90%. How much higher can they go?

Motley Fool contributor Sebastian Bowen 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.

Siteminder Ltd (ASX: SDR) shares have fallen almost 60% over twelve months, and the brokers covering the company now think there is more upside than downside.

The stock trades at $2.80 against a 52-week range of $2.60 to $7.96.

The majority of brokers hold a buy rating, and the $5.40 average target implies roughly 90% upside.

The market capitalisation is now under $804 million.

Why SiteMinder shares collapsed

The company sells an e-commerce platform to hotels and other accommodation businesses.

The shares have dropped around 27% since the FY26 result in late August and are down 52.30% for the calendar year.

Two things caused the damage.

The first was the broad de-rating of ASX technology shares, as investors questioned whether artificial intelligence erodes software business models.

The second was specific and came from the outlook statement.

What the FY26 result showed

Weirdly, the numbers were the best in the company’s history.

Revenue rose 22% on a constant currency and organic basis to $266.1 million.

Adjusted earnings before interest, tax, depreciation and amortisation jumped 96.5% to $28.1 million.

The margin expanded to 10.6% and the net loss narrowed to $11.3 million from $24.5 million.

Annual recurring revenue grew 24.1% to $313.7 million and adjusted free cash flow more than doubled to $10.5 million.

The operating detail was good too.

Transaction revenue grew 34% and average revenue per user climbed 9.3% to $429.

SiteMinder now serves 56,000 hotel customers globally, with the Channels Plus hotel count up 43%.

Adjusted gross margin reached 67.2%.

More than 85% of customer billings are in foreign currencies, so a stronger Australian dollar impacted earnings.

Chief executive Sankar Narayan pointed to the trajectory of the company:

SiteMinder’s FY26 performance builds on three years of sustained progress. Subscription and transaction ARR growth have exceeded 15% and 30%, respectively, on a constant-currency and organic basis in each of those years, while adjusted EBITDA has improved by more than $50 million with margins expanding from negative 14.5% to positive 10.6%.

The guidance that sank SiteMinder shares

Management expects the adjusted EBITDA margin to keep expanding in FY27 and reach the mid-20% range by FY30.

Annual recurring revenue is targeted to grow at around 20% a year over the next four years.

Herein lies the problem.

ARR grew 24.1% in FY26, so a 20% target is a deceleration.

A mid-20% margin by FY30 is four years away for a company that just posted margins of 10.6%.

Investors who had priced in faster compounding left.

There is a reasonable counter-argument.

Guiding to 20% ARR growth after delivering 24.1% is conservative rather than alarming, and management has beaten its own numbers for three consecutive years.

The margin path is also cumulative, so each year of expansion compounds against a larger revenue base.

None of that helped a share price that had been priced for perfection.

Foolish takeaway

The bear case on SiteMinder shares is that the company will likely exhibit slowing growth from here.

The bull case is that a business growing recurring revenue at 20% with expanding margins should not be valued at $804 million.

I think the sell-off has gone too far, because the FY26 execution was strong and the balance sheet no longer needs rescuing.

The risk is that global travel softens while households everywhere tighten, and hotels are not immune to that.

The post Brokers say SiteMinder shares can rise 90%. Is the sell-off overdone? appeared first on The Motley Fool Australia.

More reading

• 2 ASX shares tipped by brokers to return 66% and 90%
• 2 top ASX shares to buy and hold for the next decade
• Why I’d invest $10,000 into these ASX growth shares
• 2 ASX shares tipped to grow 60% or more in the next 12 months
• Why I think this is a top ASX tech share to buy today

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

Plenty of S&P/ASX 200 Index (ASX: XJO) shares are now trading below their 200-day moving average, and on Thursday, the benchmark index joined them.

The ASX 200 Index fell 1.68% to 8,762 points, its lowest level in six weeks.

Its 200-day moving average was sitting near 8,816 points before the open.

The index has now dropped through it, which is the sort of thing technical investors notice.

Why so many ASX 200 shares have broken trend

Three forces arrived at once.

Brent crude pushed to US$101.60 a barrel as tensions involving the United States and Iran escalated.

The US 10-year Treasury yield climbed to around 4.84%, its highest since 2023.

Markets now price roughly a 70% chance the Reserve Bank raises rates again on 29 September.

The selling was broad, with 153 shares falling against 36 rising at one point on Thursday.

Here are three stocks that have been particularly hard hit.

1. Judo Capital Holdings Ltd (ASX: JDO)

Judo trades at 99.5 cents against a 52-week range of 82 cents to $2.07.

The shares are down almost 40% over twelve months and have not recovered from June’s guidance downgrade.

However, the FY26 result did not justify that. Statutory net profit rose 29% to $111.1 million and profit before tax climbed 34% to $168.1 million.

Deposits jumped 24% to $12.2 billion and now fund more than 70% of the balance sheet.

Chief executive Chris Bayliss addressed the credit issue directly.

FY26 has been another year of genuine momentum for Judo. While the increase in specific provisions late in the year was disappointing, the underlying performance of the Bank has remained strong, with record revenue, continued operating leverage, strong deposit growth and lending at the top end of guidance.

FY27 guidance calls for profit before tax of $210 million to $220 million.

2. JB Hi-Fi Ltd (ASX: JBH)

JB Hi-Fi is the most extreme case here.

JB Hi-Fi shares traded at $64.60 on Thursday, below their previous 52-week low of $65.45.

However, like Judo Capital, results remain strong.

FY26 revenue rose 4.8% to $11.06 billion and net profit after tax lifted 6% to $489.9 million.

The total ordinary dividend rose 22.5% to 337 cents per share, fully franked.

JB Hi-Fi ended the year with $206.5 million in net cash and no interest-bearing debt.

However, investors are selling due to potentially higher rates, which would encourage households to pull back spending on discretionary purchases.

3. Qantas Airways Ltd (ASX: QAN)

Qantas sits near $9, close to its 52-week low of $8.03.

Unlike the previous two, earnings have fallen in recent times.

FY26 underlying profit before tax fell $330 million to $2.06 billion.

Almost all of that came from one source, with the Middle East conflict producing a $420 million net impact through record fuel prices and route disruption.

Qantas Loyalty still lifted underlying earnings before interest and tax 12%.

Oil at US$101 is the obvious problem, and it is why this one is among the cheapest ASX 200 shares on an earnings multiple.

Foolish takeaway

I would rather buy a profitable business experiencing a temporary share price downturn than a stock everyone already likes.

The catch is that such stocks can stay below trend for a very long time.

The post Top 3 ASX 200 shares now below their 200-day moving average appeared first on The Motley Fool Australia.

More reading

• JB Hi-Fi, GPT Group, Charter Hall shares hit 52-week low: Is there any chance of a rebound?
• Top 3 ASX shares I’d buy after the most recent sell-off
• Brokers rate these 5 ASX shares as a strong buy, and tip upsides of 28% to 62%
• 3 ASX 200 shares tipped to return 27% to 87%
• Morgan Stanley tips Qantas shares to climb 38%

Motley Fool contributor Mark Verhoeven 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) shares are down 1.5% to 8,780.4 points on Thursday.

Meanwhile, brokers have indicated continued confidence in several ASX 200 shares this week.

Let’s take a look.

Santos Ltd (ASX: STO)

The Santos share price is $8.55, up 0.3% today.

Over the past month, this ASX 200 energy share has risen 12%.

Citi renewed its buy rating on Santos shares on Tuesday.

The broker raised its 12-month price target from $9 to $9.35.

This suggests a potential 9% upside ahead.

Goodman Group (ASX: GMG)

The Goodman Group share price is $26.92, down 0.9% today.

Over the past month, this ASX 200 property share has fallen 10%.

UBS reiterated its buy rating on Goodman shares today with a price target of $33.66.

This implies potential capital gains of 25% ahead.

Telstra Group Ltd (ASX: TLS)

The Telstra share price is $4.81, up 0.5% today.

Over the past month, this ASX telco share has declined 4%.

Citi renewed its buy recommendation with a 12-month price target of $5.25 this week.

This implies a potential 10% upside ahead.

Pls Group Ltd (ASX: PLS)

The PLS Group share price is $4.84, down 3.5% today.

Over the past month, this ASX 200 lithium share has lifted 2%.

Citi renewed its buy rating on PLS Group shares on Wednesday.

The broker increased its target price from $5 to $5.70.

This implies potential capital growth of 17% over the next year.

AMP Ltd (ASX: AMP)

The AMP share price is $2.48, down 0.4% on Thursday.

Over the past month, this ASX 200 financial share has risen 5%.

Jefferies renewed its buy rating on AMP shares yesterday.

The broker raised its target from $2.55 to $2.77.

This implies potential capital growth of 12% over the next year.

Life360 Inc (ASX: 360)

The Life360 share price is $19.43, down 1% today.

Over the past month, this ASX 200 tech share has fallen 34%.

Citi renewed its buy rating on Life360 shares with a $28.80 target this week.

This suggests a potential 49% upside ahead.

Pro Medicus Ltd (ASX: PME)

The Pro Medicus share price is $166.83, up 0.2% today.

This ASX 200 healthcare share has fallen 6% over the past month.

Citi reiterated its buy rating on Pro Medicus shares today.

The broker decreased its price target from $240 to $225.

This still implies a healthy potential upside of 35% ahead.

Pro Medicus is one of 40 ASX shares going ex-dividend this week.

Sigma Healthcare Ltd (ASX: SIG)

The Sigma Healthcare share price is $2.65, down 0.9% today.

Over the past month, this ASX 200 healthcare share has fallen 11%.

Macquarie renewed its buy rating on Sigma Healthcare shares on Monday.

The broker has a 12-month price target of $3.20.

This suggests a potential 21% upside ahead.

ANZ Group Holdings Ltd (ASX: ANZ)

The ANZ share price is $36.39, down 1.1% today.

Over the past month, this ASX 200 bank share has fallen 2%.

Citi reiterated its buy rating on ANZ shares with a $39.25 target this week.

This implies a potential 7% upside ahead.

ASX 200 bank shares weakened last month amid investor concerns over a housing credit downturn.

ANZ shares fared best as the bank continues to benefit from a reset under CEO Nuno Matos.

The post 9 ASX 200 shares earning strengthened buy ratings this week appeared first on The Motley Fool Australia.

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Citigroup is an advertising partner of Motley Fool Money. Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goodman Group, Jefferies Financial Group, Life360, and Macquarie Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has positions in and has recommended Life360 and Telstra Group. The Motley Fool Australia has recommended Goodman Group, Macquarie Group, and Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.