ASX shares have rebounded over the past month as inflation and interest-rate concerns have eased.
At the time of writing, the All Ordinaries Index (ASX: XAO) is up around 0.5% for the day. The index is also 3% higher year to date.
The increase is great news for investors, but now many have their eye focused on which ASX shares could climb even higher over the next 12 months.
Here are three stocks which are tipped to outperform the index, and they're all forecast to jump up to 66% higher.
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Catalyst Metals Ltd (ASX: CYL)
Catalyst Metals shares are down around 1.5% and trading at $6.46 a piece, at the time of writing. For the year-to-date, the shares are down around 12%.
It's been a rocky 12 months for the ASX gold producer's shares.
The share price spiked to an all-time high in January when the company announced a significant new high-grade discovery at its Plutonic Gold Belt.
But then the gold stock then shed around 52% of its value to an annual low in early-June. The crash followed headwinds from a weaker gold price, higher mining costs and an investor rotation away from gold shares.
But now it looks like a recovery is in sight and the previous headwinds are turning into tailwinds. Catalyst Metals shares have now rebounded around 37% from the June-low.
Catalyst Metals has a long period of operational consistency and organic growth and looking ahead, the miner expects production to increase towards the latter half of FY26 as well.
Market Index data shows that brokers agree a strong buy rating on the rate the ASX shares. They tip an average target price of $10.75. That implies a potential 66% upside at the time of writing.
Predictive Discovery Ltd (ASX: PDI)
Predictive Discovery has suffered the same headwinds as Catalyst Metals this year. Higher mining costs, weaker gold prices, and an overall investor rotation away from ASX gold shares into larger, more stable assets, has seen a steep investor sell off.
The shares fell to an eight-month low of 61 cents a piece in mid-July but have now rebounded around 41%. At the time of writing, the shares are up around 1% for the day and changing hands at 86 cents each.
They're now 17% higher for the year-to-date and a huge 95% higher than 12 months ago.
And the experts think the gold miner's shares can keep climbing higher too.
Predictive Discovery's production numbers are expected to increase in the latter half of the year, with the miner actively developing gold deposits in Guinea's Siguiri Basin.
Market Index data shows brokers agree to a strong buy rating on the ASX shares. The maximum target price is $1.35 per share, which implies a potential 57% upside at the time of writing.
Judo Capital Holdings Ltd (ASX: JDO)
Judo was one of the strongest-performing bank shares on the ASX earlier this year. But the stock crashed 46 in late-June after it downgraded its profit guidance for FY26.
The ASX 200 bank stock revealed that its profit before tax in FY26 is now expected to be between $163 million and $169 million (approximately 30% growth on FY25). This is down from the previous guidance of $180 million to $190 million.
But the bank posted its FY26 results ahead of the market open this morning and it seemed to be much better than the market expected. Judo announced strong gains across the board. NPAT increased 29% to $111.1 million and profit before tax increased 34% to $168.1 million, the top end of Judo's revised guidance range.
Investors are now rushing back into the stock. At the time of writing, the shares are up an impressive 12% for the day so far, and changing hands at $1.02. It means Judo shares have now recovered around 16% of the losses shed in June, but they're still 43% lower for the year-to-date and 42% lower than this time last year.
It's clear that the selloff was way overdone and that the bank is growing stronger than many anticipated. Analysts are very bullish that the stock can keep rebounding higher in coming months.
Market Index data shows the majority of brokers have a strong buy rating on the shares. The $1.49 average target price implies a potential upside of around 51%, at the time of writing.
