Tag: Stock pick

The S&P/ASX 200 Index (ASX: XJO) has followed Wall Street’s lead and is trading lower on Monday. In afternoon trade, the benchmark index is down 0.3% to 8,590.3 points.

Four ASX shares that are not letting that hold them back are listed below. Here’s why they are rising:

Lifestyle Communities Ltd (ASX: LIC)

The Lifestyle Communities share price is up 2% to $5.43. This appears to have been driven by a broker note out of Citi. According to the note, the broker has upgraded the retirement communities company’s shares to a buy rating with a $5.60 price target. The broker notes that Hometown Australia recently bought a 9.8% stake in the company. It highlights that the $58.46 million deal was undertaken at a premium to the prevailing share price. Citi suspects that this could lead to increased M&A speculation.

Perpetual Ltd (ASX: PPT)

The Perpetual share price is up almost 2.5% to $16.61. Investors have been bidding the financial services company’s shares higher after it announced the sale of its Wealth Management business to Bain Capital for an upfront consideration of $500 million. Perpetual’s CEO and managing director, Bernard Reilly, said: “Following a thorough sale process, we believe we have achieved the right outcome for our shareholders, clients and people, and one that reflects Wealth Management’s longstanding reputation as a premium provider of high net worth advisory, fiduciary, philanthropic and not-for-profit offerings in the Australian market.” Perpetual expects to use sale proceeds to pay down debt and fund further growth in its core Asset Management and Corporate Trust businesses.

Reliance Worldwide Corporation Ltd (ASX: RWC)

The Reliance Worldwide share price is up 4.5% to $3.05. This morning, this plumbing parts company announced that it will undertake a further on-market share buy-back targeting $120 million. The company’s chair, Russell Chenu, said: “RWC has continued to generate strong cash flows over the past two years despite subdued end markets. This has enabled us to substantially reduce net debt. Consequently, RWC’s leverage ratio has fallen below the bottom end of our target range of 1.5 time to 2.5 times net debt to EBITDA. Undertaking this additional share buy-back will enable us to return excess capital to shareholders efficiently and is consistent with our previously articulated capital management strategy.”

Woodside Energy Group Ltd (ASX: WDS)

The Woodside Energy share price is up over 2% to $31.77. This has been driven by a rise in oil prices due to supply disruptions caused by war in the Middle East. It isn’t just Woodside that is rising today. The S&P/ASX 200 Energy index is up almost 1% at the time of writing.

The post Why Lifestyle Communities, Perpetual, Reliance Worldwide, and Woodside shares are rising today appeared first on The Motley Fool Australia.

More reading

• This ASX financial stock just struck a $500 million deal
• Perpetual sells Wealth Management business to Bain Capital for $500m
• Which industrial company has just announced a $120 million buyback?
• 5 things to watch on the ASX 200 on Monday
• Here’s why ASX 200 energy shares were the only risers last week

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group Ltd. 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 Pantoro Gold Ltd (ASX: PNR) share price is trading lower on Monday after the company released an exploration update to the market.

At the time of writing, the gold producer’s shares are down 3.32% to $3.345. The stock has had a difficult run this year and is now down roughly 32% since the start of 2026.

Here’s what the company announced.

New drilling results from Norseman project

Pantoro reported new drilling results from the Butterfly area of the Mainfield at its Norseman Gold Project in Western Australia.

The company said drilling from the Bullen Decline is continuing across several zones, including the Butterfly area of the Mararoa Reef. The Mararoa Reef has historically produced an estimated 1.4 million ounces of gold.

According to the update, several high-grade intersections have been returned from the latest drilling program. These include:

• 1.5 metres at 81.23 grams per tonne (g/t) gold, including 0.5 metres at 223.65 g/t

• 1.7 metres at 34.35 g/t gold, including 0.36 metres at 143.02 g/t

• 1.1 metres at 26.88 g/t gold, including 0.72 metres at 40.35 g/t

• 0.54 metres at 58.76 g/t gold

• 0.6 metres at 58.96 g/t gold, including 0.3 metres at 103.75 g/t

• 0.4 metres at 12.08 g/t gold

Pantoro said the drilling is aimed at finding additional gold where mineralisation continues along the reef and deeper underground.

Potential pathway to future mining

The company also highlighted that mineralisation lies only about 70 metres east of the recently developed Butterfly exploration decline.

This proximity could make the area easier to access for potential mining if further drilling continues to deliver strong results.

Pantoro said known mineralisation at Butterfly extends about 1.5 kilometres south. It also remains open at depth, meaning further discoveries could be made as drilling continues.

Managing Director Paul Cmrlec said the results continue to demonstrate the exploration upside across the Mainfield area.

He said the Mararoa Reef had already been heavily mined in the upper levels historically, and the current drilling is targeting previously unmined extensions.

Cmrlec also noted that the Butterfly zone is separate from the O’Brien’s and Crown South areas that the company recently identified as its next underground production centre at Norseman.

About the Norseman gold project

Pantoro is focused on developing the Norseman Gold Project in Western Australia’s Eastern Goldfields region.

The company currently produces gold at Norseman and operates a processing plant with the capacity to treat around 1.2 million tonnes of ore each year.

Pantoro reports a total mineral resource of approximately 6.6 million ounces of gold across the broader Norseman project area.

The company is continuing a large drilling campaign across the district. It plans to drill around 250,000 metres during FY2026 to expand resources and support future production growth.

The post This ASX gold stock just dropped 32% in 2026. Here’s what it revealed today appeared first on The Motley Fool Australia.

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• Morgans names 3 ASX shares to buy now
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• Guess which high-flying ASX 200 gold stock is crashing 22% today on weather woes

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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 Bitcoin (CRYPTO: BTC) price currently stands at US$72,518.

That sees the world’s first and biggest crypto up 9.6% over the past week. A week that sees the S&P/ASX 200 Index (ASX: XJO) down 1.1%.

As for the token’s performance following the United States and Israel’s airstrikes on Iran on 28 February and the ensuing broader Middle East conflict, Bitcoin’s price is up around 10.5%. Bitcoin was trading for around US$65,600 before news of the attack broke.

Interestingly, the gold price has gone the other direction. Gold is currently trading for US$5,023 per ounce, down around 5% since the outbreak of the fighting.

Still, the gold price is up more than 67% over 12 months, while Bitcoin has tumbled around 14% over this time.

And despite the past week’s rebound, the world’s top crypto by market cap remains down more than 42% from its 7 October all-time high of US$126,199.

What the experts are saying about the Bitcoin price amid the Iran conflict

With the Bitcoin price up some 10% since the initial missile attack on Iran, a number of analysts say the digital token is beginning to live up to its haven promise.

According to Alex Kuptsikevich, chief market analyst at FxPro (quoted by Bloomberg):

It appears that Bitcoin is beginning to attract attention as a safe-haven asset, rising amid volatility in financial markets. The bulls are clearly trying to stir up the market to trigger a new short squeeze during the weekend, a period of reduced volatility.

Cici Lu McCalman, principal consultant and founder of Venn Link Partners, added:

Bitcoin has shown notable resilience, rebounding above $70,000 after briefly dipping below $63,000 during the initial risk unwind on Iran war. While the recovery is encouraging, price action still looks more like stabilisation than a full confidence to risk-on positioning.

As for further potential increases in the Bitcoin price, crypto investors may need to see some calm return to global energy markets and the broader geopolitical outlook.

“The macro backdrop remains unsettled, with oil volatility and lingering geopolitical uncertainty keeping risk sentiment cautious in the short term,” Rachael Lucas, an analyst at BTC Markets, said.

How about Ethereum?

Like the Bitcoin price, the Ethereum (CRYPTO: ETH) price has outperformed gold and global equities since the outset of the Iran conflict.

On 28 February, Ethereum was trading for US$1,950. Today, the world’s number two token is fetching US$2,171, up more than 11% since the fighting began.

But the Ethereum price remains down more than 56% since notching its own all-time high of US$4,954 on 25 August.

The post Why is the Bitcoin price outperforming amid the Middle East conflict? appeared first on The Motley Fool Australia.

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

On a day when the S&P/ASX All Ordinaries Index (ASX: XAO) is trading lower (down 0.6% at the time of writing), ASX rare earth stocks are particularly under pressure today.

At the time of writing, shares in Iluka Resources Ltd (ASX: ILU) are down around 4%, while shares in Arafura Rare Earths Ltd (ASX: ARU) have fallen 7%, but the Lynas Rare Earths Ltd (ASX: LYC) share price is holding up far better than its major peers.

At the time of writing, Lynas shares are trading marginally higher following a market announcement this morning.

Why are Lynas shares holding up?

The relative strength reflects an announcement released by the company earlier today.

Lynas announced a US$96 million rare earth supply framework with the United States Department of War, which included a floor price of US$110/kg for the supply of NdPr oxide.

NdPr oxide is a critical rare earth compound of Neodymium and Praseodymium. It’s a critical resource in the production of various electronic devices ranging from smartphones to fighter jets (the latter being of more interest to the US Department of War).  

The floor price gives Lynas some downside protection in the event that prices for NdPr dip below US$110/kg, although current prices are above that point.

The move is a further step by the US and other Western governments to secure critical supply chains of rare earths minerals, and Lynas, one of the largest rare earths producers outside China, appears to be well-positioned.

Foolish bottom line

Lynas has already been one of the best-performing resources stocks on the ASX over the past year, with its share price surging more than 170% in the last 12 months.

After such a strong run, some volatility across the sector isn’t surprising, but today’s trading suggests that positive strategic news can still help Lynas outperform its peers, even when the broader rare earths sector is under pressure.

The post Rare earth stocks are tumbling today. Here’s why the Lynas share price is holding up appeared first on The Motley Fool Australia.

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• Why this broker just boosted its Lynas share price valuation by 60%

Motley Fool contributor Kevin Gandiya has no positions 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.

ASX energy share Elixir Energy Ltd (ASX: EXR) is off to the races today.

Elixir Energy shares closed on Friday trading for 8.4 cents. In morning trade on Monday, shares are changing hands for 9.8 cents apiece, up 16.7%.

For some context, the S&P/ASX Small Ordinaries Index (ASX: XSO) is down 1.5% at this same time.

And this outperformance is par for the course for Elixir shares this past year.

With today’s intraday gains factored, the ASX energy shares is up an eye watering 263% over 12 months. That’s enough to turn a $5,000 investment into $18,148. In one year.

Now, here’s what’s piquing investor interest again today.

ASX energy share surges on gas prospects

The Elixir Energy share price is surging today following the release of the final drilling results from the company’s Lorelle-3H appraisal well, located in Queensland’s Taroom Trough.

The ASX energy share has now completed the drilling, casing, and cementing of the Lorelle-3H well, achieving a total depth of 4,477 metres. That includes a 1,157-metre lateral section within the primary objective of the Tinowon ‘Dunk’ Sandstone.

Management noted this makes Lorelle-3H the longest lateral drilled well in the Taroom Trough.

And Elixir looks to be catching investor interest, with the company reporting it has measured 1,033 metres of high-quality net gas-condensate pay within the Tinowon ‘Dunk’ Sandstone. That net gas-condensate bearing section has an average porosity of 11.2% and a maximum porosity of 18%. This was said to “far exceed” measurements from the initial pilot hole.

The Lorelle-3H well has been suspended for a multi-stage stimulation and production test in the second quarter of 2026.

What did management say?

Commenting on the results sending the ASX energy share surging today, Elixir Energy CEO Stuart Nicholls said, “The Lorelle-3 appraisal campaign has delivered an exceptional result for the company.”

Nicholls added:

Initially, the pilot hole confirmed the northern extension of the key Permian reservoirs proven within Shell’s acreage and identified significant upside within the Lorelle Sandstone yet seen elsewhere in the basin.

The company then also drilled the longest lateral section to date, all within some of the highest-quality Tinowon Dunk Sandstone reservoir seen in the basin, completing a combined 5,691 metres of drilling and appraisal operations across the pilot hole and lateral well in just 46 days, a major operational achievement for a company of Elixir’s size.

Nicholls said the upcoming production test for the Lorelle 3H well could deliver results that “may underpin Elixir’s move towards its maiden Reserves booking in the Taroom Trough and the next phase of basin development”.

The post How is this ASX energy share leaping 17% in Monday’s sinking market? appeared first on The Motley Fool Australia.

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• Rare earth stocks are tumbling today. Here’s why the Lynas share price is holding up
• Buy, hold, sell: Life360, Magellan, and QBE shares
• This ASX financial stock just struck a $500 million deal
• This ASX gold and antimony developer has announced good drilling results at its Victorian project
• Which ASX 200 gold stock is sinking despite US$260m deal?

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.

There are plenty of ASX shares out there for investors to choose from.

To narrow things down, let’s see what analysts are saying about three popular shares, courtesy of The Bull. Here’s what they are recommending:

Life360 Inc. (ASX: 360)

Despite recent share price weakness, the team at Baker Young only rates Life360 shares as a hold.

Commenting on the family safety technology company, the broker said:

Life360 is a leading family safety and location sharing platform operating across the US, UK and Australia. The company delivered better-than-expected full year results in 2025, highlighted by subscription revenue increasing 33 per cent. Hardware remains an important long term growth option, as it helps lock users into paid subscriptions.

We believe the magnitude of the recent share price decline has been excessive given the strength across most of Life360’s core subscription business. Accordingly, we remain comfortable holding this high quality, fast growing and profitable company at current levels.

Magellan Financial Group Ltd (ASX: MFG)

Another ASX share that Baker Young has given its verdict on is fund manager Magellan.

It highlights that Magellan’s shares have rallied strongly since announcing plans to merge with Barrenjoey.

The broker feels this has led to an excessive valuation and has named the company as a sell this week. It explains:

Shares in this funds management firm have rallied following news it will merge with boutique investment bank Barrenjoey Capital Partners. While we recognise the strategic rationale of diversifying away from the increasingly challenging funds management industry, and view Barrenjoey as an attractive and growing participant in Australian capital markets, we question the valuation implied by the transaction. The deal effectively values the business around 15 times underlying earnings.

Also, the transaction involves issuing MFG shares at $8.45 each to partially fund the acquisition, creating meaningful dilution for existing shareholders. Given the strong share price reaction to the announcement, we would consider taking advantage of the rally to exit positions.

QBE Insurance Group Ltd (ASX: QBE)

One ASX share that Baker Young is positive on is QBE Insurance. It has named the insurance giant as a buy this week.

The broker sees value in QBE’s shares at current levels and highlights its attractive forecast dividend yield. It said:

QBE offers attractive value at this stage of the cycle. In February, the global insurer reported better-than-forecast earnings growth of 23 per cent in full year 2025, driven by a solid 7 per cent increase in policy sales and relatively low claims rates. With favourable operating conditions likely to persist into full year 2026, we see compelling financial sector value at around 11.5 times projected earnings and a dividend yield of 5 per cent.

Insurance is inherently risky and industry feedback suggests competition is increasing, which may limit further premium increases in coming years. However, QBE offers unparalleled geographical diversification among Australian insurers, which helps reduce earnings volatility. We’re comfortable accumulating the stock at current levels as an attractively valued, well diversified financial exposure.

The post Buy, hold, sell: Life360, Magellan, and QBE shares appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in Life360. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Life360. The Motley Fool Australia has positions in and has recommended Life360. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Shares in Perpetual Ltd (ASX: PPT) are edging higher on Monday after the financial services company announced a major strategic transaction.

At the time of writing, the Perpetual share price is up 0.95%% to $16.40. Despite today’s modest gain, the stock has had a weak start to the year and is down 13% in 2026.

Here’s what the company revealed to the market.

Perpetual to sell wealth management business

Perpetual announced that it has entered into a binding agreement to sell its Wealth Management business to Bain Capital Private Equity.

The deal involves the sale of Perpetual Wealth Management and Perpetual Private, which together form the company’s wealth management division.

Under the agreement, the transaction will deliver $500 million in upfront cash proceeds, subject to customary adjustments.

In addition, Perpetual could receive a further earn out payment of up to $50 million. This will depend on the future performance of parts of the business following completion.

The company also noted that an additional upfront cash payment may be made, depending on the performance of the advice business before completion.

Perpetual will continue to own the rights to the Perpetual brand. Bain Capital will license the brands ‘Perpetual Wealth’ and ‘Perpetual Private’ for a period of 15 years.

The transaction will be implemented through the sale of shares in Perpetual WM Services, which houses the wealth management operations.

What the deal means for the business

Management described the move as a significant step toward simplifying the group and sharpening its strategic focus.

Following completion, Perpetual will concentrate on its Asset Management and Corporate Trust divisions.

Chief Executive Officer Bernard Reilly said the transaction follows an extensive review process and recognises the strength of the wealth business, while allowing Perpetual to focus on areas where it sees stronger long-term opportunities.

Reilly added:

We believe we have achieved the right outcome for our shareholders, clients and people, and one that reflects Wealth Management’s longstanding reputation as a premium provider of high net worth advisory, fiduciary, philanthropic and not for profit offerings in the Australian market.

Management noted that the company expects to emerge from the deal with a stronger balance sheet and a more streamlined structure.

Use of proceeds and balance sheet impact

Perpetual said net proceeds from the transaction are expected to be used to reduce debt and support future investment.

The company plans to repay a $400 million bridge facility, with remaining funds potentially directed toward growth initiatives in the remaining businesses.

The deal is expected to complete towards the end of the 2026 calendar year, subject to regulatory approvals and other conditions.

These include approvals from the Foreign Investment Review Board and the ACCC, as well as internal restructuring steps required to separate the wealth business.

Transaction and separation costs are estimated at around $30 million after tax, while taxes on the sale are expected to range from $45 million to $50 million.

Perpetual currently has a market capitalisation of around $1.88 billion and offers a dividend yield of roughly 6.96%.

The post This ASX financial stock just struck a $500 million deal appeared first on The Motley Fool Australia.

More reading

• Perpetual sells Wealth Management business to Bain Capital for $500m
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• Perpetual posts higher earnings and tight cost control for 1H26
• 5 things to watch on the ASX 200 on Monday

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has 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.

Southern Cross Gold Consolidated Ltd (ASX: SX2) has reported strong results from the most recent drilling at its flagship Sunday Creek gold and antimony project in Victoria.

The company said in a statement to the ASX that it had hit record grades at the Apollo mineralised system, returning an intersection of 17.3m at 22.9 grams per tonne equivalent, including 6.3m at 32.3 grams per tonne equivalent.

The company also pointed out that the results were high in antimony, with multiple intervals in the four holes in question exceeding 20% antimony, “consistent with the zonation model that predicts the richest antimony grades in the upper 700 m of the system”.

The company said this was important given current antimony prices and global supply constraints.

Strong drilling results

South Cross Chief Executive Michael Hudson said the results were significant.

As he said:

These four holes do something important — they demonstrate that the upper Apollo system, within 220 vertical metres of surface, is capable of hosting extremely high gold antimony grades across broad widths. The 17.3 m at 22.9 g/t gold equivalent in SDDSC200 is the best composite we’ve ever recorded in the top portion of Apollo and is in an area we had not previously drilled. That’s not infill – that’s discovery. What strikes us about this set of results is the consistency. Four holes, drilled in alternating directions across the upper Apollo, all hit mineralization. The vein sets are continuous, they’re predictable, and the high-grade cores keep appearing exactly where the geology says they should. SDDSC200 also intersected a vein set we hadn’t seen before, which is a reminder that Apollo is still expanding with further drilling.

Mr Hudson said the antimony story was “equally compelling … at a time when the Western world is urgently reassessing its antimony supply chain, these grades matter”.

Mr Hudson said there were another 46 drill holes pending results and 10 drill rigs on site.

Antimony in focus

The Australian Government, in January, said that as part of its proposed $1.2 billion critical minerals reserve, the government would be stockpiling minerals, including antimony.

Southern Cross said at the time it was well-placed to feed into this need for the mineral.

As they said:

The company welcomes this landmark initiative which recognizes the strategic importance of securing domestic antimony supply for Australia and its allies. Sunday Creek, located just 60km north of Melbourne in Victoria, represents one of the most significant undeveloped gold-antimony deposits in the Western world and stands ready to support Australia’s critical minerals security objectives.

South Cross Gold Consolidated shares were 1.8% lower in early trade on Monday at $9.03.

The post This ASX gold and antimony developer has announced good drilling results at its Victorian project appeared first on The Motley Fool Australia.

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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.

Perseus Mining Ltd (ASX: PRU) shares are starting the week in the red.

In morning trade, the ASX 200 gold stock is down almost 6% to $4.97.

Why is this ASX 200 gold stock dropping?

The gold miner’s shares are falling today after a pullback in the gold price overshadowed the release of an announcement relating to its interest in the Meyas Sand Gold Project (MSGP) in Sudan.

This has seen most gold miners fall today, dragging the S&P/ASX All Ordinaries Gold index over 4% lower.

According to the release, Perseus has signed a share purchase agreement to sell its 70% group interest in the project to Hong Kong Matrix Golden Fortune Mining. It is a subsidiary of Matrix Resources (Zhejiang).

The purchase price totals US$260 million (A$372 million) and comprises a US$10 million deposit already received on signing of the agreement, with the remaining US$250 million payable on completion of the transaction. Settlement is currently scheduled for 22 April 2026.

Strategic portfolio move

Perseus acquired the MSGP through its purchase of Orca Gold in May 2022. The company noted that the agreed sale price will allow it to recover the purchase price and expenditure on the project while generating a book gain.

The decision to sell the MSGP follows a lengthy strategic review of the project which considered both development and divestment options.

The ASX 200 gold stock ultimately concluded that selling the asset was the best course of action at this time, particularly given the ongoing armed conflict in Sudan and the challenges this has created for progressing development.

Perseus expects the proceeds from the sale of the MSGP to further strengthen its balance sheet. It notes that this could support additional capital returns to shareholders and allow internal resources to be redirected toward existing development opportunities across its portfolio.

Commenting on the transaction, the ASX 200 gold stock’s managing director and CEO, Craig Jones said:

Perseus maintains the view that the MSGP is a high quality gold project. A strategic review of MSGP was undertaken as a result of the protracted armed conflict in Sudan and its impact on Perseus’s ability to progress the development at suitable scale. The sale represents an important step for Perseus in its portfolio optimisation and allows allocation of resources to core assets and its growth strategy. Matrix Group is a proven development partner with a vision for the MSGP that aligns with the development goals of Sudan.

The post Which ASX 200 gold stock is sinking despite US$260m deal? appeared first on The Motley Fool Australia.

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• If gold is a safe haven, why are ASX 200 gold stocks like Northern Star and Evolution Mining getting smashed this week?
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• 35 ASX All Ords shares with ex-dividend dates next week
• Why are ASX 200 gold stocks like Evolution Mining and Northern Star shares going gangbusters on Tuesday?
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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.

The outlook for the global economy is less certain than it was at the start of the year, so it’d make sense for retirees to want to go for ASX defensive shares such as real estate investment trusts (REITs). I’m going to talk about one ASX REIT that I’ve liked for a long time and have bought myself.

The business I’m highlighting is Rural Funds Group (ASX: RFF), a farm real estate investor that owns properties across Australia in different states and across various farming sectors.

It’s invested in areas like cattle, almonds, macadamias, vineyards and cropping. Rural Funds has the flexibility to invest in additional farming sectors, if it sees opportunities elsewhere.

I’ll run through some of the positives of the business.

Pleasing and reliable distribution

Rural Funds has a record of passive income reliability. It started paying a distribution in 2014 and increased its annual payout each year to 2022. Since then, it has been paying the same distribution per unit despite the headwinds of rising interest rates.

Many other ASX REITs reduced their distribution during the last few years, but not Rural Funds.

It has guided it’s going to pay the same annual distribution per unit of 11.73 cents in FY26, which translates into a distribution yield of 5.5%, better than what term deposits are currently offering.

With how things are playing out globally, I wouldn’t be surprised to see the ASX REIT maintain its distribution at 11.73 cents per unit in FY27.

Good rental income growth prospects

The business has very good prospects for long-term rental profit and distribution, in my view.

For starters, it has a weighted average lease expiry (WALE) of 13.2 years. This is one of the longest in the REIT sector, if not the longest. The metric shows it has a significant level of rental income locked in for the long-term.

More than half of the portfolio’s revenue is linked to CPI inflation, which means Rural Funds is a pleasing option for protection against inflation, in my view. A large minority of rental contracts have fixed annual increases (plus market reviews).

In other words, most of the portfolio is going to see rental income growth each year, which is a strong tailwind for improving the underlying value of the farm and fund long-term distribution growth.

The ASX REIT is trading at great value

Rural Funds tells investors every six months what its adjusted net asset value (NAV) is.

The NAV is essentially the underlying value of the business, including the farm values, the loans, cash balance and so on. It’s ‘adjusted’ to include the market value of the water entitlements.

At the end of December 2025, Rural Funds had an adjusted NAV of $3.10 (which was up 0.6% over the six-month FY26 half-year period).

At the time of writing, it’s trading at a discount of more than 30% to its underlying value, which looks very appealing to me.

The post Why this ASX REIT is a retiree’s dream appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Rural Funds 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 Rural Funds Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.