Welcome to this week’s edition of 18 Share Tips: our weekly selection of top ASX shares, chosen by leading analysts, that we think are worth considering.
This week Angus Geddes of Fat Prophets, Arthur Garipoli of Dolphin Partners Financial Services, and Steven Springford of Catapult Wealth share their ‘Buy’, ‘Hold’ and ‘Sell’ recommendations.
Please note these share tips are simply recommendations and are in no way intended as financial advice. These share tips are general advice and don’t take into account any individual’s financial situation. Investors are advised to seek professional financial advice before investing.
Angus Geddes, Fat Prophets
BUY RECOMMENDATIONS
BUY – Capstone Copper Corp. (CSC)
Capstone Copper has entered into a definitive agreement to sell its Cozamin mine in Mexico for up to $US385 million. A $US275 million upfront payment will reduce net debt and help fund the Santo Domingo copper, iron and gold project in Chile. We believe a sale would be a positive outcome as it exchanges a low cost, but short mine life in favour of a stronger growth pipeline. Copper was recently trading near record highs, as increasing demand collides with tighter supply. We expect a structurally tighter market to persist for years. Capstone is a direct play on our bullish copper view and is moderately valued on our expectations about future copper prices.
BUY – James Hardie Industries PLC (JHX)
This building products company’s shares have slipped as recent guidance for several key metrics were reaffirmed rather than raised. The company expects to achieve $US125 million in cost synergies a year ahead of schedule. The sale of its European business for €840 million funds debt reduction. Company directors have authorised a $US250 million share re-purchase program. US mortgage rates remain a headwind, but we see value for patient investors following the share price retreat.
HOLD RECOMMENDATIONS
HOLD – Scentre Group (SCG)
Scentre Group owns and operates 42 Westfield shopping centres across Australia and New Zealand. It delivered a solid first half result in fiscal year 2026. Occupancy of 99.8 per cent was the highest in more than a decade. Funds from operations rose 4.4 per cent on the prior corresponding period. Funds from operations guidance for the full year has been lifted to at least 23.79 cents per security. Shoppers will be impacted by the latest interest rate increase. We’re content to hold SCG for the rising distribution and the quality assets that will perform strongly through the rate cycle.
HOLD – Qantas Airways (QAN)
The Middle East conflict lifted the airline’s fuel bill in full year 2026. Underlying profit before tax of $2.064 billion was down $330 million on the prior corresponding period. Higher fares, capacity changes and efforts to trim costs mitigated the impact. Qantas Loyalty delivered underlying earnings before interest and tax of $625 million, a rise of 12 per cent. The core business performed solidly. Fuel prices remain a near-term issue. Fleet renewal and Project Sunrise support the longer term investment case. Project Sunrise involves non-stop airline services between Sydney, London and New York starting from October 2027.
SELL RECOMMENDATIONS
SELL – Zip Co (ZIP)
This buy now, pay later provider delivered an impressive result in full year 2026. Total transaction volumes in the US rose by 42.5 per cent when compared to the prior corresponding period. Group revenue of $A1.336 billion was up 24.7 per cent. However, net group bad debts as a percentage of total transaction volumes rose from 1.52 per cent in full year 2025 to 1.77 per cent in full year 2026. In our view, the investment case relies on continuing strong growth in the US. We prefer to avoid or exit exposure rather than assume current growth will persist without a further deterioration in bad debts.
SELL – Flight Centre Travel Group (FLT)
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The fiscal year 2026 result showed how quickly geopolitical disruption can overwhelm otherwise solid travel demand. Total transaction value of $25.7 billion in full year 2026 was up 4.7 per cent on the prior corresponding period. Underlying EBITDA of $466 million was up 3.9 per cent. Growth was undermined by a sharp fourth quarter hit to leisure profits in response to Middle East disruption. Management expects first half corporate profit in fiscal year 2027 to be below the prior corresponding period. Until 2027 fiscal year earnings guidance is revealed in November, we would prefer to avoid an uncertain outlook at this point.
Arthur Garipoli, Dolphin Partners Financial Services
BUY RECOMMENDATIONS
BUY – CAR Group (CAR)
This online automotive platform operator recently posted a solid fiscal year 2026 result. Reported revenue of $A1.253 billion was up 6 per cent on the prior corresponding period. Reported net profit after tax of $A314 million was up 14 per cent. The stock has fallen on AI disruption concerns. At recent levels, the stock screens favourably on a risk adjusted returns basis. The company expects to generate high single digit revenue growth in Australia in fiscal year 2027 and double digit revenue growth in constant currency in North America and Latin America.
BUY – NextDC (NXT)
This data centre operator delivered total revenue of $496.5 million in fiscal year 2026, up 16 per cent on the prior corresponding period. Underlying EBITDA of $248.8 million was up 15 per cent. Underlying EBITDA is expected to range between $385 million and $410 million in fiscal year 2027. NXT has invested heavily in infrastructure during the past three years. The recent share price decline enables longer term investors to gain entry into a growth stock with structural tailwinds.
HOLD RECOMMENDATIONS
HOLD – Northern Star Resources (NST)
This Australian gold producer recently rejected an indicative proposal from Gold Fields Limited to acquire 100 per cent of NST at an implied equity value of $A38.7 billion. The proposal included $A7.25 in cash and 0.3125 new Gold Fields shares. The NST board rejected the proposal on the grounds it materially undervalues NST and is highly opportunistic. Also, Elliott Investment Management announced it had increased its stake in NST to 6.24 per cent on September 10. We suggest investors continue holding for further developments.
HOLD – Develop Global (DVP)
DVP projects include Woodlawn, Yitirrti and the Pioneer Dome. Fiscal year 2027 will include a full year of production from the Woodlawn copper-zinc mine in New South Wales and the start of lithium direct shipping ore sales at the Pioneer Dome lithium mine in Western Australia. The Woodlawn operation is expected to mine between 21,000 and 23,500 tonnes of contained copper equivalent metal in full year 2027, providing a strong cash flow base. Cash flow will also be supported by first production and sales at the Pioneer Dome in the December quarter. DVP has a history of moving development projects into production amid the company embarking on its next growth stage.
SELL RECOMMENDATIONS
SELL – New Hope Corporation (NHC)
New Hope is a thermal coal producer. Underlying EBITDA of $514.3 million in full year 2026 was down 32.8 per cent on the prior corresponding period. Net profit after tax of $161 million fell 63.4 per cent. The profit result was below broker estimates. Heightened costs contributed to the fall in profit. The shares have performed well in calendar year 2026, so investors may want to consider pocketing some gains.
SELL – Myer Holdings (MYR)
This department store retailer recently posted a statutory loss after tax of $276.5 million in full year 2026, down 35.3 per cent on an actual basis. A one-off, non-cash, post tax impairment was $279.6 million. Underlying net profit after tax of $42.5 million was 2.9 per cent lower on an actual basis. Comparable sales grew 0.7 per cent. No final dividend was declared. Myer is now relying on the upcoming Christmas period to bolster sales. But challenges persist given a higher interest rate environment and soaring cost of living expenses.
Steven Springford, Catapult Wealth
BUY RECOMMENDATIONS
BUY – Netwealth Group (NWL)
This financial services company operates an investment management platform used by financial advisors in Australia. The company delivered record total income of $391.1 million in full year 2026, an increase of 20.6 per cent on the prior corresponding period. Platform revenue increased 21 per cent. Record adjusted net profit after tax of $135.4 million was up 16.2 per cent. The company is expecting even stronger inflows in fiscal year 2027. Netwealth is well positioned to capture increasing market share. The weaker share price is appealing at these levels.
BUY – Goodman Group (GMG)
Goodman provides exposure to construction and management of warehouses and data centres in major cities across the world. Operating earnings per security of $1.299 in full year 2026 were up 10.1 per cent on the prior corresponding period. The company is targeting operating earnings per share growth of 9 per cent in full year 2027. GMG recently signed a 20 year lease on its data centre in Tokyo. The facility is under construction and due to be operational in 2028. Data centres recently drove work in progress to $19.7 billion. The shares offer value at these levels, as we believe the stock is trading at a discount.
HOLD RECOMMENDATIONS
HOLD – Cleanaway Waste Management (CWY)
This waste management company received a conditional, non-binding indicative proposal from EQT Infrastructure at $3.13 cash a share less the cash amount of any dividends. The proposal values Cleanaway at about $9.4 billion. There’s no certainty the proposal will proceed as at September 28, 2026. In our view, investors should continue holding and potentially receive the proceeds, which may also include a special fully franked dividend. The shares were trading at $2.605 on September 30.
HOLD – Wesfarmers (WES)
Wesfarmers owns retail giants Bunnings, Kmart and Officeworks among other businesses. Group revenue rose 3.4 per cent in 2026 when compared to the prior corresponding period. Basic earnings per share, excluding significant items, were up 8.3 per cent. Growth is steady rather than exciting, so WES can be held for reliable earnings and dividends over the long term. Increasing interest rates and weaker household spending are the main risks.
SELL RECOMMENDATIONS
SELL – BHP Group (BHP)
The global miner delivered a strong result in full year 2026. Attributable profit of $US9.8 billion was up 9 per cent on the prior corresponding period. Revenue of $US58.8 billion was up 15 per cent. Copper generates more than half the company’s earnings. Our issue is price rather than quality. The shares have risen from $42.53 on September 30, 2025 to trade at $61.17 on September 30, 2026. Continuing strong profits depend on commodity prices remaining elevated. BHP is a great company, but taking some profit is a reasonable way to lock in gains, while keeping some resources exposure.
SELL – Woolworths Group (WOW)
The supermarket giant has managed a solid recovery. Group net profit before tax and significant items of $1.599 billion in full year 2026 was up 15.4 per cent on the prior corresponding period. Group sales of $71.5 billion were up 3.6 per cent. The balance sheet is in good shape and selling groceries is a defensive business. However, this is a recovery from a weaker base rather than a new growth phase. The shares have risen from $26.70 on September 30, 2025 to trade at $38.77 on September 30, 2026. The shares are trading at a premium, in our view. Investors can consider cashing in some gains before re-deploying the capital in cheaper growth orientated alternatives.
The above recommendations are general advice and don’t take into account any individual’s objectives, financial situation or needs. Investors are advised to seek their own professional advice before investing. Please note that TheBull.com.au simply publishes broker recommendations on this page. The publication of these recommendations does not in any way constitute a recommendation on the part of TheBull.com.au. You should seek professional advice before making any investment decisions.
