The Baby Bunting Group Ltd (ASX: BBN) share price is off to the races today, while QBE Insurance Group Ltd (ASX: QBE) shares are getting pummelled.
Baby Bunting shares closed yesterday trading for $1.205. In morning trade on Friday, shares are changing hands for $1.510 apiece, up 25.3%.
As for QBE, shares in the S&P/ASX 200 Index (ASX: XJO) insurance giant closed yesterday at $23.47. At the time of writing, shares are trading for $22.34 each. This sees the QBE share price down 5.2%.
For some context, the ASX 200 is down 0.7% at this same time.
Here's what's capturing investors' attention on Friday.
Image source: Getty Images
QBE shares slide on declining ROE
QBE shares are coming under pressure today following the release of the insurance company's half-year results (H1 2026).
On the plus side of the ledger, the company reported a 10% increase (or 6% increase in constant currency terms) in its gross written premium to US$15.1 billion.
And passive income investors will be pleased with the 6% boost in the interim QBE dividend to 33 cents per share, up 6% from last year's interim payout. And the company achieved an adjusted return on equity (ROE) of 17.7%, down from 19.2% in H1 2025.
The ASX 200 insurer also completed an AU$450 million buyback in April.
On the bottom line, QBE reported a net profit after tax (NPAT) of $1.03 billion for the half, up a slender 1.1% year on year, and running well behind inflation levels.
Atop the rather flat profit results, QBE shares could be facing some headwinds with management flagging further expected declines in the company's return on equity. Over the medium term, the company expects to achieve a 15%+ adjusted return on equity.
Which brings us to…
Baby Bunting shares jump on record sales
Unlike QBE shares, Baby Bunting shares are going ballistic following the release of the company's full-year FY 2026 results.
Investors are bidding up the ASX All Ords infant specialty retailer after the company reported record full-year sales of $556 million, up 6.5% year on year.
Online sales showed particularly strong growth, rising 16.7% from FY 2025 and now representing 25.3% of Baby Bunting's total sales.
On the bottom line, the company reported pro forma NPAT of $16.1 million, up 33.9% year on year, with the gross profit margin growing 1% to a record 41.2%.
And Baby Bunting shares also look to be catching tailwinds from some promising FY 2027 guidance. Management forecasts FY 2027 pro forma NPAT will be between $19 million and $21 million, while they expect total sales in the range of $585 million to $600 million.
