The market was closed on Monday as Australians celebrated Easter.

The S&P/ASX 200 Index (ASX: XJO) ripped 4.41% to 8,960.6 points over the four trading days.

The remarkable recovery followed news of a two-week ceasefire deal between the US and Iran.

ASX investors hope this will pave the way toward an end to the war in Iran.

Investors continued to buy the dip last week following the steep sell-off over the first three weeks of March.

ASX 200 shares fell 9.1% between 2 March and 23 March before a rebound began, with the index now up 7.1% since then.

James Gerrish from Shaw and Partners says "war fear" in the market is fading but "we're not out of the woods yet".

Businesses across multiple sectors are still assessing the impact of the oil shock, which is likely to reverberate for months to come.

Let's recap the week.

Financial shares led the ASX sectors last week

The ASX 200 financial sector incorporates bank shares, insurers, fund managers, financial services providers, and more.

Let's take a look at how some of these ASX financial stocks performed last week.

The Commonwealth Bank of Australia (ASX: CBA) share price rose 5.98% to close at $183.38 on Friday.

ANZ Group Holdings Ltd (ASX: ANZ) shares lifted 6.31% to $38.84.

Westpac Banking Corp (ASX: WBC) shares ascended 6.87% to $42.77.

The National Australia Bank Ltd (ASX: NAB) share price spiked 9.06% to $45.36.

The Macquarie Group Ltd (ASX: MQG) share price soared 9.3% to finish the week at $225.

Among the ASX 200 investment companies and fund managers, GQG Partners Inc (ASX: GQG) shares fell 0.28% to $1.78.

Magellan Financial Group Ltd (ASX: MFG) shares fell 0.84% to $9.45 amid a shareholder vote on the Barrenjoey merger on Friday.

Magellan announced it had received more than 90% approval from shareholders.

Washington H. Soul Pattinson and Co Ltd (ASX: SOL) shares lifted 3.92% to $42.98.

Among the financial services providers, AMP Ltd (ASX: AMP) shares lifted 6.06% to $1.37.

The Challenger Ltd (ASX: CGF) share price lost 2.6% to close at $8.07 on Friday.

ASX 200 buy now, pay later share Zip Co Ltd (ASX: ZIP) ripped 16.5% to $1.85.

Among the insurers, Insurance Australia Group Ltd (ASX: IAG) shares fell 1.03% to $7.21.

Medibank Private Ltd (ASX: MPL) shares lifted 1.92% to $4.52.

The QBE Insurance Group Ltd (ASX: QBE) share price ascended 4.13% to $22.46.

ASX 200 market sector snapshot

Here's how the 11 market sectors stacked up last week, according to CommSec data.

Over the four trading days:

Looking for inspiration after the March sell-off?

Check out these 7 ASX 200 shares just upgraded to strong buy consensus ratings after last month's turmoil.

The post ASX 200 shares rip with financials leading a remarkable recovery last week appeared first on The Motley Fool Australia.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are falling:

Challenger Ltd (ASX: CGF)

The Challenger share price is down 3.5% to $8.05. This is despite news that the company has signed a strategic capital partnership with Bank of Queensland Ltd (ASX: BOQ). The Challenger partnership includes a whole-of-loan sale and a forward flow arrangement for equipment finance assets. Challenger's chief investment officer, Damian Graham, said: "We're pleased to have partnered with BOQ on this whole-of-loan sale and forward flow arrangement for equipment finance assets. The transaction establishes a strategic partnership with BOQ and provides Challenger with access to a high-quality, seasoned and highly diversified loan portfolio that will deliver attractive risk-adjusted returns for Challenger and institutional investors."

Lotus Resources Ltd (ASX: LOT)

The Lotus Resources share price is down 3.5% to $1.31. This has been driven by the release of a uranium production update this morning. The company revealed that it will replace two newly installed electrical control panels in the drying and packaging area of its Kayelekera uranium mine due to fire damage sustained on Saturday. The incident is expected to result in production downtime of approximately three weeks for repairs, testing, and recommissioning. Lotus' managing director, Greg Bittar, commented: "Despite this delay, the progress in positioning Kayelekera for steady-state production this quarter has been encouraging, and we still expect to achieve this in Q2 CY2026. Reagent planning and inventories, mill performance and other key processing parameters all provide visibility on this."

Mesoblast Ltd (ASX: MSB)

The Mesoblast share price is down 6.5% to $1.99. This follows the release of a sales update from the biotech company today. Mesoblast revealed that net sales for Ryoncil reached US$30.3 million in the third quarter. This means that revenue since the Ryoncil launch is now approaching US$100 million. This may be softer than some investors were expecting. Ryoncil is the only FDA-approved cell therapy for children under 12 with steroid-refractory acute graft-versus-host disease.

Wildcat Resources Ltd (ASX: WC8)

The Wildcat Resources share price is down almost 4% to 37.5 cents. This morning, the lithium explorer and developer released a drilling update. It revealed a ~300 metres northerly extension of interpreted spodumene mineralisation at Bolt Cutter Central. It is located ~10km west of Wildcat's Tabba Tabba Project in the Pilbara region of Western Australia.

The post Why Challenger, Lotus Resources, Mesoblast, and Wildcat shares are falling today appeared first on The Motley Fool Australia.

What did Bank of Queensland report?

• $3.7 billion sale of equipment finance loans, reducing debt funding by approx. $3.4 billion
• Anticipated $300 million capital return to shareholders post-sale, pending approvals
• Estimated $31 million post-tax statutory loss in 1H26, with sale impacts adjusted from cash earnings
• Group CET1 ratio expected to remain within 10.25%–10.75% target range
• Non-interest income to increase via servicing and origination fees under new arrangements
• Expected to be ROE and EPS accretive in FY26 (uplift to cash ROE of 15–25 basis points)

What else do investors need to know?

The capital partnership enables BOQ to accelerate its specialist banking transformation by shifting equipment finance exposures off balance sheet while growing capital-light revenues. The transition is designed to improve return on equity and support further business in the small and medium business sector.

BOQ's ongoing equipment finance relationships will now be managed under a servicing arrangement, generating fee income rather than interest. Challenger will take the underlying credit risk on new originations via the forward flow arrangement, with BOQ retaining the ability to lend from its own balance sheet if it chooses.

What did Bank of Queensland management say?

Managing Director & CEO Rod Finch said:

This innovative partnership with Challenger is an evolution of our strategy to think differently about how we support our customers' growth ambitions and generate value for our shareholders. We are harnessing our recognised capability in originating and servicing customers, particularly in the SME sector, to generate capital-efficient growth. Our ability to return capital to shareholders demonstrates the strength of BOQ's balance sheet.

What's next for Bank of Queensland?

Completion of the loan sale and commencement of the forward flow partnership are expected by the end of May 2026. Final details on the on-market buyback and special dividend distribution will come after the transaction closes, subject to board and regulatory sign-off.

BOQ will focus on further optimising its capital and funding profile, using partnerships to support growth in specialist business segments while balancing shareholder returns and prudential strength.

Bank of Queensland share price snapshot

Over the past 12 months, Bank of Queensland shares have risen 7%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 17% over the same period.

View Original Announcement

The post Bank of Queensland announces $3.7bn loan sale and capital partnership with Challenger appeared first on The Motley Fool Australia.

Four ASX shares that are rising more than most today are listed below. Here's why they are climbing:

Challenger Ltd (ASX: CGF)

The Challenger share price is up 3.5% to $8.41. This morning, the annuities company welcomed APRA's announcement on the final changes to capital standard settings for providers of longevity products. It believes these are "an important step in developing Australia's retirement income market and will support greater take up of lifetime income products as an increasing number of Australians retire every year." Challenger is working through the details of the changes and plans to provide an update at its investor day event in May.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price is up over 2% to $9.76. This morning, the fund manager announced that it raised $20 million from its share purchase plan (SPP). The company advised that the SPP was significantly oversubscribed. It received valid applications totalling $129.4 million from 5,195 eligible shareholders. Approximately 2,366,548 new Magellan shares will be issued at $8.45 per share. The new shares will hit the ASX boards on 2 April.

Northern Star Resources Ltd (ASX: NST)

The Northern Star share price is up 4.5% to $20.39. This appears to have been driven by a broker note out of UBS. This morning, the broker upgraded Northern Star's shares to a buy rating (from sell) with a trimmed price target of $24.70 (from $28.00). UBS made the move on valuation grounds following a significant share price decline since the release of a disappointing operational update. While the broker feels that near-term market estimates are still optimistic, it sees value in Northern Star's shares at current levels.

West African Resources Ltd (ASX: WAF)

The West African Resources share price is up 4% to $3.18. This morning, the gold miner released its FY 2026 guidance. It is targeting up to 490,000 ounces at an all-in sustaining cost (AISC) under US$1,900 per ounce. It also laid out its plans for the next 10 years, which will see it aim to average production of 533,000 ounces per annum. West African's executive chair and CEO, Richard Hyde, commented: "WAF's updated 10-year production outlook forecasts the production of 5.3 million ounces of gold over the next decade, with production peaking in 2030 at 596,000 ounces. Our unhedged Mineral Resources now stand at 13.6 million ounces of gold, while Ore Reserves total 7.0 million ounces."

The post Why Challenger, Magellan, Northern Star, and West African Resources shares are storming higher appeared first on The Motley Fool Australia.

What did Challenger report?

• APRA finalised changes to capital settings for longevity product providers, effective 1 July 2026
• Reforms expected to lower required capital and cyclical risk for Challenger
• Challenger to detail business impacts at Investor Day on 26 May 2026
• Challenger Life remains Australia's largest provider of annuities

What else do investors need to know?

Challenger has welcomed APRA's reforms, saying they represent the biggest changes for longevity product providers in a generation. The company believes these changes will help develop Australia's retirement income market as more Australians enter retirement each year.

Challenger operates both a fiduciary funds management division and an APRA-regulated Life division. The business remains firmly focused on providing customers with financial security in retirement.

What did Challenger management say?

Managing Director and Chief Executive Officer Nick Hamilton said:

We strongly welcome APRA's reforms, which represent the biggest changes for providers of longevity products in a generation. For Challenger, it will lower the levels of required capital and cyclical risks to our capital position during times of market stress, while maintaining policyholder security.

What's next for Challenger?

Challenger plans to work through the details of the new capital standards and will provide more information about their impact at its upcoming Investor Day in May 2026. The company continues to advocate for policy changes that support retirees' financial confidence and improve the sustainability of lifetime income products.

Investors can expect further updates as Challenger refines its approach in light of these regulatory changes, helping position the business for the future.

Challenger share price snapshot

Over the past 12 months, Challenger shares have risen 38%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 8% over the same period.

View Original Announcement

The post Challenger shares in focus as APRA unveils new capital rules appeared first on The Motley Fool Australia.

At the centre of it was a non-binding proposal from Challenger to acquire Pepper at $2.25 per share, an offer which was positioned as its "best and final" offer.

Whilst Pepper shares increased sharply when the offer was first announced, Pepper's independent board committee ultimately decided the deal wasn't executable and walked away.

So what actually happened here, and why did Pepper shares react so differently to Challenger shares?

Why Pepper shares fell

Pepper shares are falling because the Challenger takeover proposal was made at a premium to Pepper's share price before the takeover talks began, and with the deal now off, the market is repricing Pepper shares accordingly.

On 9 February, Challenger announced a non-binding proposal to acquire Pepper Money for $2.60 per share.

At the time, Pepper shares had closed the previous Friday at $1.76, meaning the proposal represented a significant premium for shareholders.

The market reacted immediately. Pepper's share price surged 28% to $2.26 as investors priced in the possibility of a deal at a much higher valuation. Challenger subsequently revised its offer to a lower price of $2.25 per share, citing changing market conditions, and Pepper shares fell then.

Following today's drop, Pepper shares are now trading around $1.60, but whilst the rejection may seem to be primarily about valuation, the language used by Pepper's board to explain the decision is interesting.

Pepper's independent board committee concluded that Challenger's proposal was "not reasonably capable of execution." That's corporate speak for too many risks and too much uncertainty.

It comes at a time when there is greater focus on private credit markets, but Pepper also said it is experiencing strong momentum in early 2026, with applications up 21% and originations up 34% year on year.

Why Challenger shares rose

Challenger's share price reaction tells a different story.

Rather than being punished for a failed deal, the stock moved higher, likely because investors were sceptical of the deal's merits from Challenger's perspective.

Acquisitions always carry risk, including integration challenges, execution complexity, and the possibility of overpaying.

By not proceeding, Challenger avoids those risks and instead continues with its $150 million share buyback plan, which is (from an investor's perspective) a cleaner, more predictable way to return capital to shareholders.

What this means for investors

For Pepper shareholders, the drop reflects the loss of takeover upside. The bid premium is gone, and the stock is resetting to fundamentals.

For Challenger investors, the takeaway is more positive, and they can look forward to more share buybacks.

The broader lesson?

M&A deals are never a done deal until they are actually done.

The post Challenger jumps 4%, Pepper Money sinks as takeover collapses appeared first on The Motley Fool Australia.

What did Challenger report?

• Challenger's joint non-binding proposal to acquire Pepper Money was discontinued after review by Pepper Money's Independent Board Committee.
• The company has secured all regulatory approvals to commence an on-market buy-back of up to $150 million in ordinary shares.
• No changes reported to Challenger's core business segments or operational strategy.
• Challenger remains Australia's largest provider of annuities and operates both Funds Management and APRA-regulated Life divisions.

What else do investors need to know?

Challenger's bid to acquire Pepper Money, in partnership with Pepper Group ANZ HoldCo Limited, will not go ahead. This follows the Independent Board Committee of Pepper Money finding the offer is not reasonably capable of execution.

In a separate development, Challenger has now obtained all necessary regulatory approvals to proceed with an on-market share buy-back of up to $150 million. This move may support shareholder returns and potentially bolster confidence in the Challenger share price.

What's next for Challenger?

With the Pepper Money proposal off the table, Challenger is shifting its attention back to core operations and capital management. The announced $150 million buy-back signals the company's commitment to prudent capital deployment and shareholder returns.

Investors will be watching for further updates on Challenger's funds management and annuities business, as well as any new growth opportunities or capital allocation decisions.

Challenger share price snapshot

Over the past 12 months, Challenger shares have risen 33%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 6% over the same period.

View Original Announcement

The post Challenger share price: Pepper Money bid dropped, $150m buy-back greenlit appeared first on The Motley Fool Australia.

Well, if you are, let's see what analysts are saying about the popular shares in this article, courtesy of The Bull.

Are they buys, holds, or sells? Let's find out:

Bapcor Ltd (ASX: BAP)

The team Medallion Financial Group isn't a buyer of this auto parts retailer's shares despite an 80%+ decline over the past 12 months.

It highlights that the Autobarn and Burson owner's earnings momentum has deteriorated and its competitive position has weakened. As a result, it doesn't believe an earnings recovery will be swift and has named Bapcor shares as a sell. It said:

Bapcor is an aftermarket automotive parts provider. It operates the Autobarn, Burson and Autopro brands. Earnings momentum has deteriorated. While the automotive aftermarket is generally defensive, Bapcor's competitive position appears to have weakened and an earnings recovery may take time. The shares have fallen from $5.22 on July 14, 2025 to trade at 62.5 cents on March 19, 2026. Investors may be better served redeploying capital into stronger businesses with clearer growth momentum.

Challenger Ltd (ASX: CGF)

The team at DP Wealth Advisory thinks this annuities company's shares are a hold at current levels.

Commenting on its recommendation, it said:

Challenger is an annuity provider, operating in an appealing space given the Federal Government's focus on meeting the challenges of an ageing population. CGF posted record annuity sales of $3.8 billion in the first half of fiscal 2026, up 32 per cent on the prior corresponding period. Normalised net profit after tax of $229 million was up 2 per cent. Japanese life insurer TAL Dai-ichi holds a 19.9 per cent interest in CGF, which is positive for CGF. But the interest rate sensitive nature of the TAL business leaves me with a hold on CGF.

DroneShield Ltd (ASX: DRO)

Over at Alto Capital, it has named this strong-performing counter-drone technology company's shares as a sell this week.

Although positive the long-term outlook for counter-drone solutions, Alto Capital highlights that DroneShield shares have rallied very strongly over the past 12 months. It believes this means the risk/reward is now unfavourable for buyers. It explains:

DroneShield operates in the counter-drone defence technology sector, providing detection and mitigation systems used to protect military, government and critical infrastructure assets. The company has benefited from strong investor interest in defence and security technologies, with the share price rallying sharply over the past year in response to geopolitical tensions and intensifying defence spending narratives.

While the long term outlook for counter-drone solutions remains compelling, DroneShield's valuation increasingly reflects significant future growth expectations. Revenue remains contract-driven and can be uneven, with earnings visibility still developing as the company scales up globally. Following recent share price strength and a re-rating, the current risk-reward balance favours taking profits at present levels.

The post Buy, hold, sell: Bapcor, Challenger, and DroneShield shares appeared first on The Motley Fool Australia.

Four ASX shares that are acting as a drag on the market today are listed below. Here's why they are falling:

New Hope Corporation Ltd (ASX: NHC)

The New Hope share price is down 5.5% to $5.00. Investors have been selling this coal miner's shares following the release of its half-year results. New Hope posted a 20.1% decline in revenue to $814.4 million and an 84% decline in net profit after tax to $54.3 million. This was driven by a 20.4% decline in its average realised selling price, its exposure to increased prime overburden movement, and lower non-regular gains. In light of New Hope's falling profits, the company slashed its fully franked interim dividend to 10 cents per share (from 19 cents per share a year ago).

Pepper Money Ltd (ASX: PPM)

The Pepper Money share price is down 10% to $1.90. This follows an announcement from Challenger Ltd (ASX: CGF) relating to its takeover approach. The annuities company revealed that it has amended its takeover offer and reduced the offer price from $2.60 per share to $2.25 per share. This is less the final fully franked Pepper Money 2025 dividend of 7.8 cents per share and any special dividend. Challenger notes that the revised proposal represents its best and final offer, in the absence of a superior proposal. Pepper Money's independent board committee advised that it will consider the revised proposal.

Pro Medicus Ltd (ASX: PME)

The Pro Medicus share price is down 3% to $127.50. This is despite there being no news out of the health imaging technology company. However, it seems that AI disruption concerns are continuing to weigh heavily on the tech sector on Tuesday. This has seen the S&P/ASX All Technology Index underperform with a 1.3% decline this afternoon.

Reece Ltd (ASX: REH)

The Reece share price is down over 2.5% to $14.11. The catalyst for this has been the plumbing parts company's shares going ex-dividend today for its latest payout. Last month, Reece released its half-year results and declared a fully franked 5.4 cents per share dividend. This will be paid to eligible shareholders next month on 1 April.

The post Why New Hope, Pepper Money, Pro Medicus, and Reece shares are falling today appeared first on The Motley Fool Australia.

Four ASX shares that are rising more than most today are listed below. Here's why they are climbing:

Challenger Ltd (ASX: CGF)

The Challenger share price is up 2.5% to $7.87. This follows news that the annuities company has amended its takeover offer for Pepper Money Ltd (ASX: PPM). Challenger has reduced the offer price from $2.60 per share to $2.25 per share, less the final fully franked Pepper Money 2025 dividend of 7.8 cents per share and any special dividend. It notes that the revised proposal represents Challenger's best and final offer, in the absence of a superior proposal. The company also reminded investors that discussions remain incomplete and there is no certainty that the revised proposal will lead to a transaction. Pepper Money's independent board committee advised that it will consider the revised proposal.

Meeka Metals Ltd (ASX: MEK)

The Meeka Metals share price is up 4% to 17.2 cents. This morning, the gold miner revealed that it is upgrading its processing facilities to unlock ~200ktpa of additional mill capacity. This increases throughput to ~800ktpa. Meeka's managing director, Tim Davidson, said: "Ore sorting unlocks an additional 200,000 tonnes per annum of milling capacity and effectively doubles the head grade of Andy Well ore entering the plant, delivering a meaningful increase in annual gold production."

Vulcan Energy Resources Ltd (ASX: VUL)

The Vulcan Energy share price is up 1% to $3.01. This has been driven by an announcement from the lithium developer which revealed that it has been issued its first lithium production permit for the flagship Lionheart Project. This is the first such licence to be granted in the Upper Rhine Valley Brine Field, and in the state of Rhineland-Palatinate. Vulcan's managing director and CEO, Cris Moreno, commented: "Securing the first lithium production licence within the Lionheart Project marks another important milestone, and we thank the Mining Authority in the state of Rhineland-Palatinate for their excellent and timely collaboration during this process."

West African Resources Ltd (ASX: WAF)

The West African Resources share price is up 6% to $2.95. This follows the release of the gold miner's full-year results. West African Resources reported revenue of $1.54 billion and a net profit after tax of $567 million. This was underpinned by gold sales of 280,065 ounces with an average realised price of US$3,525 per ounce and all-in sustaining costs of US$1,488 per ounce.

The post Why Challenger, Meeka Metals, Vulcan Energy, and West African Resources shares are rising today appeared first on The Motley Fool Australia.

Pepper shares have dropped about 10% to $1.90 (at the time of writing) following the announcement, while Challenger shares have risen around 3%, reflecting investors' view of the changing economics of the deal.

The revised proposal comes just over a month after the original takeover approach sparked a strong rally in Pepper's share price.

What was the original takeover offer?

On 9 February, Challenger announced a non-binding proposal to acquire Pepper Money for $2.60 per share.

At the time, Pepper shares had closed the previous Friday at $1.76, meaning the proposal represented a significant premium for shareholders.

The market reacted immediately. Pepper's share price surged 28% to $2.26 as investors priced in the possibility of a deal at a much higher valuation.

However, Challenger has now revised its proposal.

The company announced it has submitted a new offer of $2.25 per share, inclusive of Pepper Money's final 2025 dividend of 7.8 cents per share and any potential special dividend.

The updated proposal represents roughly a 13% reduction from the original offer price and has been described as Challenger's best and final offer, unless a competing bidder emerges.

Why did Challenger lower its offer?

Challenger announced that the lower offer reflects "the deterioration in both market conditions and the operating environment".

The move comes as concerns about the state of private credit markets continue to rise. Pepper Money is a non-bank lender, and its industry can be particularly sensitive to changes in funding costs, credit markets, and the broader economic outlook.

If funding costs rise or credit conditions tighten, the profitability outlook for lenders can shift quickly. For an acquirer like Challenger, even modest changes in these factors can materially affect the price it is willing to pay.

What happens next?

Importantly, the proposal remains non-binding, meaning there is still no certainty that a transaction will proceed.

Pepper Money's Independent Board Committee will now consider the revised proposal and determine its next steps.

For now, the share price movements tell the story. Challenger shares rose on the news, while Pepper shares slid as investors reassessed the likelihood and value of the potential takeover.

The post Pepper Money shares plunge 10% after Challenger slashes takeover offer appeared first on The Motley Fool Australia.

What did Challenger report?

• Submitted a revised offer to acquire in joint venture with Pepper Group ANZ HoldCo Limited
• Revised offer price: $2.25 per Pepper Money share, down from $2.60 per share
• Offer price is reduced by the final fully franked Pepper Money 2025 dividend of 7.8 cents per share and any special dividend
• This offer is stated to be Challenger's best and final, unless a superior proposal emerges
• The proposal remains confidential, non-binding, and conditional

What else do investors need to know?

Challenger advises that discussions with Pepper Money and Pepper Group ANZ HoldCo Limited are ongoing but incomplete at this stage. There is currently no certainty that the revised offer will result in a transaction.

The company emphasises that it will continue to keep the market informed in line with its continuous disclosure obligations. The decision to reduce the offer reflects ongoing negotiation dynamics and feedback from previous proposals.

What's next for Challenger?

The market awaits further updates regarding Challenger's proposal, as management has signalled this is the final offer unless a superior bid appears. Investors should watch for Pepper Money's response and any changes in conditions.

Challenger continues to focus on its core strengths in investment management and annuities, while pursuing strategic opportunities that could enhance long-term value for shareholders.

Challenger share price snapshot

Over the past 12 months, Challenger shares have risen 42%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 9% over the same period.

View Original Announcement

The post Challenger revises Pepper Money bid to $2.25 in latest update appeared first on The Motley Fool Australia.

After bouncing around quite a bit in red territory this session, the ASX 200 ended up closing 0.39% lower by the time trading wrapped up today. That leaves the index at 8,583.4 points.

This rather gloomy start to the Australian trading week follows a similarly bearish end to the American trading week on Saturday morning (our time).

The Dow Jones Industrial Average Index (DJX: .DJI) gave up an early lead to finish down 0.26%.

Meanwhile, the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) was hit even harder, falling 0.93%.

But let's get back to this week and the local markets now for a checkup on how today's tough trading conditions affected the different ASX sectors this session.

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

ASX All Ords shares have risen 1.7% over the week as more companies revealed strong earnings results and dividends.

Next week, a large group of ASX shares go ex-dividend. We provide a sample of these stocks below.

To pick up a dividend payment, you must own the share before the ex-dividend date.

ASX shares about to go ex-dividend

Here are 16 ASX shares going ex-dividend next week.

Which companies are reporting next week?

According to the calendar, we will hear from Adairs Ltd (ASX: ADH), Ampol Ltd (ASX: ALD), and Nib Holdings Ltd (ASX: NHF) on Monday.

On Tuesday, ARB Corporation Ltd (ASX: ARB), Woodside Energy Group Ltd (ASX: WDS), and Monadelphous Group Ltd (ASX: MND) are up.

On Wednesday, we'll get reports from Bapcor Ltd (ASX: BAP), Domino's Pizza Enterprises Ltd (ASX: DMP), and Fortescue Ltd (ASX: FMG).

Light & Wonder Inc (ASX: LNW), Wisetech Global Ltd (ASX: WTC), and Woolworths Group Ltd (ASX: WOW) will also report on Wednesday.

On Thursday, Karoon Energy Ltd (ASX: KAR), Monash IVF Group Ltd (ASX: MVF), and Qantas Airways Ltd (ASX: QAN) will release their earnings.

Ramsay Health Care Ltd (ASX: RHC), Super Retail Group Ltd (ASX: SUL), and Worley Ltd (ASX: WOR) will also be in the spotlight.

On Friday, we'll see reports from Coles Group Ltd (ASX: COL), Star Entertainment Group Ltd (ASX: SGR), and TPG Telecom Ltd (ASX: TPG).

The post 16 ASX shares going ex-dividend next week appeared first on The Motley Fool Australia.

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

February so far has been filled with volatility for the Australian investment management company. The share price crashed 10% between Wednesday last week to the close of the ASX yesterday afternoon. And now it is rocketing back up.

For the year to date, Challenger shares are down 8.23% but they're 55.91% higher over the year.

What has caused so much share price volatility recently?

There's been ongoing speculation about a deal involving Challenger's advanced talks for a joint acquisition of Pepper Money Ltd (ASX: PPM) alongside Pepper Group. 

The company said earlier this month that it believes a potential acquisition could give Challenger long-term access to fixed-income assets and support its strategic growth plans. The news caused a temporary share price spike to Wednesday last week. But then concerns about how the deal would be executed caused some investors to sell up their shares towards the end of the week.

Why are Challenger shares climbing higher today?

Challenger posted its first-half FY26 results ahead of the ASX open yesterday morning. It revealed an enormous statutory net profit after tax (NPAT) of 369% to $339 million for the period and a 2% increase in normalised NPAT to $229 million.

The group also announced a fully franked dividend increase of 7% to 15.5 cents per share.

The results weren't enough to shift investor sentiment. The share price closed 0.49% lower at the end of the day on Tuesday.

There is no price-sensitive news from the company today, so it looks like today's share price hike is a delayed investor reaction to yesterday's profit and dividend announcement. 

Are Challenger shares a buy, sell, or hold following its results?

Analysts continue to be pretty optimistic about the outlook for Challenger shares, and this is especially supported by the stronger-than-anticipated financial results yesterday. 

TradingView data shows that seven out of 10 analysts have a buy or strong buy rating on the shares. Another three have a hold rating.

The average target price is $9.50, which, even after today's rally, implies a 9.07% upside at the time of writing.

Some analysts are more bullish and expect the share price to rise to $10 a share. That implies a 14.81% potential upside at the time of writing on Wednesday lunchtime. 

The post Challenger shares storm 6% higher today. Is it too late to buy? appeared first on The Motley Fool Australia.

What did Challenger report?

• Statutory NPAT up 369% to $339 million
• Normalised NPAT up 2% to $229 million
• Normalised basic EPS up 2% to 33.3 cents per share
• Fully franked interim dividend up 7% to 15.5 cents per share
• Normalised group ROE at 11.4%, 70 basis points above target
• Group Assets Under Management increased 3% to $128 billion

What else do investors need to know?

Challenger recorded an 11% increase in total Life sales to $5.1 billion, led by record domestic annuity sales, which rose by 37% to $3.1 billion. Offshore reinsurance sales also hit a record $695 million, up 13%.

Funds Management Funds Under Management (FUM) grew 3% to $116.2 billion, with innovation continuing in alternative offerings. The company also launched Challenger IM LiFTS Notes on the ASX and took a minority stake in Fulcrum Asset Management to expand its alternatives capability.

Challenger remains strongly capitalised, boasting $1.7 billion in excess capital above APRA's minimum. Reflecting confidence, the board declared a fully franked interim dividend of 15.5 cents per share and announced a plan to buy back up to $150 million of shares on-market.

What's next for Challenger?

Challenger is targeting normalised basic EPS for FY26 of between 66 and 72 cents per share, with normalised NPAT guidance of $455 million to $495 million. The company remains focused on growing its retirement partnerships, expanding its offshore reinsurance platform, and innovating in retirement income solutions.

Strategic partnerships with superannuation funds and advice technology platforms will aim to boost accessibility to annuity products and lifetime income streams, positioning Challenger well to support the next growth phase in Australia's retirement income market.

Challenger share price snapshot

Over the past 12 months, Challengers share have risen 37%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 5% over the same period.

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The post Challenger earnings: Statutory NPAT surges 369% in H1 FY26 appeared first on The Motley Fool Australia.

Four ASX shares that are rising more than most today are listed below. Here's why they are storming higher:

Bravura Solutions Ltd (ASX: BVS)

The Bravura Solutions share price is up 27% to $2.28. This wealth management software provider's shares are jumping today after it upgraded its guidance for FY 2026. Bravura now expects revenue to be between $280 million and $285 million (previously $265 million and $275 million) and cash EBITDA to be between $69 million and $73 million (previously $55 million and $65 million). This reflects increased project engagement across customers and business units, which is expected to continue into the second half.

CAR Group Limited (ASX: CAR)

The CAR Group share price is up 8% to $26.51. Investors have been buying the auto listings company's shares following the release of its half-year results. CAR Group reported an 8% increase in revenue to $626 million, an 11% lift in EBITDA to $324 million, and a 16% jump in net profit after tax to $143 million. The company's managing director and CEO, William Elliott, said: "CAR Group has delivered a strong first half, achieving excellent financial results with double-digit growth across our key financial metrics. This is a great outcome and reflects the strength of the business model and the continued execution of our strategy."

Pepper Money Ltd (ASX: PPM)

The Pepper Money share price is up 27% to $2.23. This follows news that annuities company Challenger Ltd (ASX: CGF) is in advanced talks to jointly acquire Pepper Money with Pepper Group ANZ HoldCo. The proposal offers Pepper Money shareholders cash consideration equal to $2.60 per share, less any dividends. Management warned: "Discussions are ongoing, however there is no certainty that a more certain proposal will be forthcoming or that the Indicative Proposal will result in a definitive agreement."

Web Travel Group Ltd (ASX: WEB)

The Web Travel share price is up 18% to $3.49. Investors have been buying this travel technology company's shares on the cheap after they crashed deep into the red on Friday. It seems that some investors believe the market overreacted to news that Spanish authorities are auditing the company's operations in the country.

The post Why Bravura, CAR Group, Pepper Money, and Web Travel shares are storming higher appeared first on The Motley Fool Australia.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are falling:

Bougainville Copper Ltd (ASX: BOC)

The Bougainville Copper share price is down 3.5% to 79 cents. Investors have been selling this copper stock after it announced the termination of a strategic partnering process with the president of the Autonomous Bougainville Government. This is in relation to the selection of an international mining partner for the redevelopment of the Panguna Mine.

Brainchip Holdings Ltd (ASX: BRN)

The Brainchip share price is down a further 3.5% to 13.5 cents. This semiconductor company's shares have come under significant pressure since the release of another disappointing quarterly update. Brainchip reported cash receipts of just US$0.4 million for the three months ended 31 December, despite entering the commercialisation stage a few years ago. Investors appear to be doubting whether Brainchip realistically has any chance of ever competing with chip developers that spend billions on research and development each year.

Challenger Ltd (ASX: CGF)

The Challenger share price is down 3.5% to $8.60. This follows news that the annuities company is in advanced talks to jointly acquire Pepper Money Ltd (ASX: PPM) with Pepper Group ANZ HoldCo. Challenger believes the potential acquisition would provide long-term access to fixed income assets and support its strategic growth plans. If completed, Challenger would hold no more than 25% of total Pepper Money shares. It seems that the market isn't overly keen on the deal.

HMC Capital Ltd (ASX: HMC)

The HMC Capital share price is down almost 5% to $3.73. This morning, Morgan Stanley retained its equal-weight rating and $3.85 price target on the investment company's shares. Its analysts think that HMC Capital's shares are fair valued at current levels. Though, it is worth noting that other brokers see more value in the company's shares. For example, last month Morgans put a buy rating and $6.60 price target on its shares. Based on its current share price, this implies potential upside of approximately 75% for investors over the next 12 months. Time will tell which broker has made the right call on this one.

The post Why Bougainville Copper, Brainchip, Challenger, and HMC Capital shares are falling today appeared first on The Motley Fool Australia.

At the time of writing, Pepper shares were up 25% to $2.20 but still short of the $2.60 offer price.

The deal could see the non-bank lender taken private in a partnership between its current major shareholders and Challenger Ltd (ASX: CGF), the proposed minority partner in the deal.

At the time of writing, Challenger shares are down 3% as investors digest the implications of the deal.

That divergence between the Pepper Money and Challenger share price reactions is typical of takeover situations in which the acquirer pays a premium to make the deal attractive to shareholders of the acquired company.

What is being proposed?

Following media speculation, Pepper Money confirmed it has received a confidential, non-binding proposal to acquire 100% of the company via a scheme of arrangement, jointly backed by Challenger and Pepper Group, Pepper Money's existing cornerstone shareholder.

Pepper Group itself is a consortium of investors led by US private equity and private credit giant KKR.

Under the proposal:

• Pepper shareholders (excluding Pepper Group) would receive $2.60 per share in cash, less the FY25 final dividend and any special dividends
• Pepper Group would roll its existing stake into the new private vehicle
• Challenger's ownership would be capped at 25%, with Pepper Group retaining majority control

Pepper Money's board has formed an Independent Board Committee, which has granted Challenger exclusivity to conduct due diligence and negotiate the transaction.

There's no certainty that the deal will be completed, which is why the market has not yet fully priced in the $2.60 offer price for Pepper Money shares.

Why Pepper shareholders are cheering

For Pepper shareholders, the logic is simple.

A $2.60 cash offer represents a meaningful premium to where the stock had been trading prior to the speculation. Pepper Money shares had slipped 30% from their recent November 2025 peak, and so a clean cash exit at a premium is compelling.

A counterargument is that some Pepper Money shareholders could see the deal's timing and the offer price as somewhat opportunistic, because compared with Pepper's November 2025 share price of $2.49, the offer is only a 4.4% premium.

There could be more to this before this deal is fully approved and finalised.

Why Challenger investors are more cautious

Challenger's management framed the potential transaction as strategic and EPS-accretive, but investors are typically cautious of sizeable acquisitions made at a premium.

Challenger's rationale is, however, quite clear: Pepper Money provides long-duration, higher-yielding fixed income assets, which neatly support Challenger's retirement and annuities business. Strategically, the fit makes sense.

But as always, the execution and implementation are what count most, and Challenger investors are taking a wait-and-see approach.

Foolish bottom line

Pepper Money's share price surge and Challenger's pullback aren't contradictory; they're exactly what you'd expect.

Takeover targets usually win immediately. Acquirers have to earn it over time.

If this deal completes, Pepper shareholders likely lock in value today, while Challenger investors are being asked to trust that patient, strategic capital deployment will pay off tomorrow. The market's verdict so far? One cheers certainty. The other waits for proof.

The post Pepper Money shares pop 25%, Challenger slips 3% on take-private deal appeared first on The Motley Fool Australia.