There are calculators online, such as the federal government's Moneysmart calculator, which can show you how much in today's dollars you are likely to have at retirement, depending on your current circumstances.

This is extremely useful as it allows you to adjust your superannuation contributions if you feel you'll be falling short of what you need.

But how do you figure out what you need in the first place?

What is a comfortable retirement?

According to the Association of Superannuation Funds of Australia's (ASFA) retirement standard, singles need $56,166 in income per year to have a comfortable retirement, while couples need $78,998.

Their definition of a comfortable retirement involves the ability to afford top-level private health cover, to own and maintain a reasonable car, to travel occasionally and to afford social activities.

Keep in mind, though, that ASFA's standard assumes you own your own home and also draw a part pension once you hit the age of 67.

How much superannuation do I need to earn $70,000 per year in passive income?

Today we're assuming you're aiming for an income stream of $70,000 per year.

I will calculate this on the basis of dividends alone, with no drawdown of capital.

If you were able to earn a very high dividend yield of 10%, you'd need just $700,000 in retirement savings.

I'd suggest this level of earnings is unsustainable.

If you earned just 5% you'd need double this, at $1.4 million.

But I'd argue that with the benefit of franking credits, this is aiming too low.

So let's assume you could earn 7.5%. In this case, you'd need $933,333 in superannuation savings.

Franking credits are crucial to this equation. If you invest in fully franked dividends, you get back all the tax the company has already paid.

This is because retirees are not taxed on their superannuation earnings.

In practical terms, this means a share paying a 5% dividend yield actually pays 7.14% once franking credits are included.

So what shares might help hit this target?

Real estate investment trusts can be solid investments.

Digico Infrastructure REIT (ASX: DGT) pays a 4.65% dividend, albeit unfranked, GPT Group (ASX: GPT) pays 5.38%, and Centuria Office REIT (ASX: COF) pays 11.36%.

Infrastructure stocks such as APA Group Ltd (ASX: APA) and toll roads operator Atlas Arteria Ltd (ASX: ALX) pay healthy dividends of 5.33% and 8.98%, respectively.

Among the utilities, Origin Energy Ltd (ASX: ORG) is paying 5.14% fully franked, AGL Energy Ltd is paying 5.9%, and Telstra Ltd (ASX: TLS) is paying 4.34%, 90% franked.

In the financial services sector, Regal Partners Ltd (ASX: RPL) is paying 11.53%, Bank of Queensland Ltd (ASX: BOQ) is paying 6.08%, and Westpac Banking Corporation (ASX: WBC) is paying 4.45%.

How to give your super a boost

If you want to top up your superannuation, it's also worth reading up on concessional contributions, which are contributions you can make to your superannuation each year up to a cap of $32,500, which are only taxed at 15%.

Keep in mind that the $32,500 cap includes any employer contributions and salary sacrifice contributions.

The post How much superannuation do I need to earn $70,000 per year in passive income? appeared first on The Motley Fool Australia.

Yesterday, the ASX 200 hit a new all-time high of 9,274.3 points.

Here are some new ratings and 12-month share price targets from the experts this week.  

Viva Energy Group Ltd (ASX: VEA)

The Viva Energy share price is $2.67, up 1.1% today and up 27% over 12 months. 

Ord Minnett has a buy rating on this ASX 200 energy share. 

The broker raised its 12-month target from $2.85 to $3 after reviewing Viva's unaudited 1H FY26 report.

This implies a potential 12% upside ahead.

In a note, Ord Minnett said:

Viva Energy Group (VEA) flagged first-half CY26 operating earnings (EBITDA) would be 5–8% ahead of Ord Minnett and market expectations, driven by strong performance from its convenience and mobility (C&M) retail operations and its commercial and industrial (C&I) division, which benefitted from supply and hedging deals it had struck prior to the Middle East war.

Guidance for its Geelong refinery fell short of consensus expectations, as the catalytic cracker outage hurt output and increased crude premiums in June squeezed refining margins – the Geelong refining margin (GRM) was US$21.10 a barrel (bbl) in the first half of CY26.‍

That outcome was still more than double the US$8.20/bbl GRM on a year ago, and remain elevated relative to history, which Ord Minnett expects to continue driving upgrades to market earnings forecasts for Viva.

Myer Holdings Ltd (ASX: MYR)

The Myer share price is 22 cents, up 3.3% today and down 65% over 12 months. 

Ord Minnett has a hold rating on this ASX 300 consumer discretionary share. 

The broker cut its price target from 32 cents to 24 cents after Myer's FY27 trading update.

This suggests a potential 8% upside ahead.

Ord Minnett said the update was worse than feared, and commented: 

Myer Holdings (MYR) delivered a weak trading update as the department store and apparel chain warned operating gross profit for FY26 would be down 2.1–2.5% on a pro forma basis, as soft consumer sentiment weighed on sales and increased promotional expenses to spur demand squeezed margins.

The hit to demand from households hurt by higher interest rates and petrol prices was exacerbated by the warmer-than-typical winter, with total sales of $4.1 billion up just 0.3% on a comparable basis.

Somewhat concerningly, Ord Minnett notes the slowdown accelerated in the second half of FY26 (Myer rules its books off in July), with comparable total sales falling 2.1% in the last 19 weeks, including a drop of 5.4% and 4.0% in June and July, respectively.

Looking into the first half of FY27, we expect continued weak consumer confidence and a likely further 25 basis point increase in interest rates to drive a 1.5% fall in total sales.‍

Centuria Office REIT (ASX: COF)

The Centuria Office REIT share price is 90 cents, down 0.3% today and down 31% over 12 months. 

Bell Potter has a sell rating on this ASX All Ords real estate investment trust (REIT).

Analyst Michael Armstrong discussed Centuria Office's FY27 dividend guidance of 9 cents per share, almost 11% below FY26.

The board decided to rebase the payout ratio to 80% of funds from operations (FFO), down from 90%, which they say is sustainable.

Armstrong said that despite the cut, the dividend remained more than 5% above their expectations, and that this implied it would again be topped up with capital.

He kept the 12-month share price target at 85 cents, suggesting a 5% downside from here.

Armstrong wrote:

While we acknowledge the positive leasing outcomes within the QLD market, suburban office markets remain challenged with persistent vacancies in 818 Bourke St. and 201 Pacific Highway.

We see earnings risk to the downside with elevated gearing (43.7%) prompting plans for further divestments.

We see the dividend cut to 9.0c as prudent, however the rebased figure still sits above our estimate of cash earnings – placing further pressure on the balance sheet.

The post Buy, hold, sell: Myer, Centuria Office REIT, Viva Energy shares appeared first on The Motley Fool Australia.

Strong results underpin dividend forecast

The ASX property company, which bills itself as Australia's largest pure-play office real estate investment trust, said it generated $66.9 million in funds from operations (FFO) and paid out 10.1 cents per unit in distributions, in line with guidance.

It said it expects to pay out 9 cents per unit in FY27, which at the current share price of 90.5 cents translates to a yield of 9.9%.

The trust does not attach franking credits to its dividends.

Fund Manager Belinda Cheung said regarding the result:

Conditions across the Australian domestic office markets continued to stabilise during the year, reflected in an improvement in COF's portfolio valuations, the successful divestment of 9 Help St, Chatswood at a premium to book value and strong portfolio leasing volumes generating positive re-leasing spreads. With limited new office supply across the medium-term due to a rising disparity between replacement costs and prevailing asset values, COF anticipates continued benefit from stabilising market conditions. COF continues to adopt a proactive capital management strategy aligned to selective disposals and robust debt management while curating a portfolio of high-quality, well-located modern office buildings. We are pleased to confirm COF delivered on its FY26 FFO and distribution guidance with the REIT continuing to execute against many of its long-term objectives.

At the end of FY26, the trust had $189.3 million in cash and undrawn debt, and its gearing sat at 43.7%.

The trust said it achieved "near record" leasing transactions during FY26.

Another solid year ahead

On the outlook, Ms Cheung said:

COF delivered positive results during the year, against a backdrop of changing macroeconomic factors that impacted national productivity, inflation and interest rates. Looking ahead, COF remains conscious of capital management and focused on maintaining high portfolio occupancy, improving portfolio weighted average lease expiry by addressing near-to medium-term expiries while curating a quality portfolio of modern, sustainable office assets.

During FY26, Centuria refinanced $1 billion of debt, resulting in a circa 30-basis-point reduction in the debt margin and extending the weighted average debt expiry to 4.3 years from 2.6 years.

The company said:

COF has no debt expiries until FY29 and maintains sufficient debt covenant headroom with a 2.0 times Interest Coverage Ratio and a 44.8% Loan-to-Value Ratio, both providing substantial headroom to covenants.

Centuria Office REIT is valued at $545.6 million.

The post This ASX property fund is forecasting a dividend return of almost 10% appeared first on The Motley Fool Australia.

What did Centuria Office REIT report?

• Funds From Operations (FFO): $66.9 million, or 11.2 cents per unit, in line with FY26 guidance
• Distribution: 10.1 cents per unit, matching FY26 guidance
• Net Tangible Assets (NTA): $1.66 per unit
• Debt refinanced: $1 billion, extending average expiry to 4.3 years; 43.7% gearing, 76% hedged
• $189.3 million of cash and undrawn debt, no debt expiry until FY29
• FY27 guidance: FFO of 11.3 cents per unit, distribution of 9.0 cents per unit

What else do investors need to know?

Centuria Office REIT reported near-record leasing activity during the year, completing around 40,000 square metres across 47 transactions. This included both new tenants and renewals on competitive terms, helping keep portfolio occupancy at 91%.

The company successfully sold its 9 Help Street, Chatswood property for $90 million, representing a 12.5% premium to book value. Portfolio valuations saw an overall 1% increase, underpinned by rising market rents and stable occupancy levels.

COF continued to enhance its sustainability credentials, lifting its NABERS Energy Sustainable Portfolio Index rating to 5.1 stars, and installing more solar infrastructure.

What did Centuria Office REIT management say?

COF Fund Manager Belinda Cheung said:

Conditions across the Australian domestic office markets continued to stabilise during the year, reflected in an improvement in COF's portfolio valuations, the successful divestment of 9 Help St, Chatswood at a premium to book value and strong portfolio leasing volumes generating positive re-leasing spreads. With limited new office supply across the medium-term due to a rising disparity between replacement costs and prevailing asset values, COF anticipates continued benefit from stabilising market conditions. COF continues to adopt a proactive capital management strategy aligned to selective disposals and robust debt management while curating a portfolio of high-quality, well-located modern office buildings. We are pleased to confirm COF delivered on its FY26 FFO and distribution guidance with the REIT continuing to execute against many of its long-term objectives.

What's next for Centuria Office REIT?

Looking ahead to FY27, management has guided to FFO of 11.3 cents per unit and distributions of 9.0 cents per unit, paid quarterly, representing a forecast yield above 10%. The company plans to keep focusing on high occupancy, extending lease expiries, and managing its capital base conservatively.

The REIT remains committed to maintaining a portfolio of modern offices in key submarkets, strengthening its sustainability performance, and navigating evolving market conditions with a proactive approach.

Centuria Office REIT share price snapshot

Over the past 12 months, Centuria Office REIT shares have declined 27%, trailing the All Ordinaries Index (ASX: XAO), which has risen 2% over the same period.

View Original Announcement

The post Centuria Office REIT meets FY26 earnings and distribution guidance appeared first on The Motley Fool Australia.

By investing your superannuation wisely, you might be able to generate a regular cash flow high enough to live the retirement of your dreams.

The question is: How much do you actually need in your super to be able to get the passive income you want when you transition to your pension phase?

Let's investigate, using an annual $100,000 passive income as an example.

How much do I need in my superannuation to get a passive income of $100,000 every year?

To calculate how much you need in your superannuation, you need to divide your annual passive income by the dividend yield of your overall portfolio.

Obviously, the catch is that the answer varies depending on what your dividend yield is.

It means a portfolio with a dividend yield of around 6% only needs to be half the size of one with a dividend yield of around 3% to generate the same level of passive income. 

Say your overall portfolio has a dividend yield of around 3%, you'll need a balance of around $3.3 million to earn $100,000 per year in passive income.

Of course, $3.3 million is a huge figure, and this level of superannuation isn't achievable for everyone.

But the good news is, as your portfolio's dividend yield increases, the superannuation balance required to earn the same passive income decreases. 

So if the yield of your portfolio is around 4%, for example, your balance would need to be closer to $2.5 million to earn the same dividend income.

For a 5% yielding portfolio, you'd need a balance of closer to $2 million to earn the same amount.

Increase that to a 6%, 7%, or 8% dividend yield, and you're looking at closer to $1.6 million, $1.4 million, or $1.25 million, respectively. 

And so on…

You'd still earn $100,000 per year in passive income from each of these portfolio sizes.

What ASX shares can I buy around these dividend yields?

There are a huge range of ASX dividend shares available for your superannuation investment. Here are some of my favourites.

Lower-yielding ASX dividend-paying shares such as Wesfarmers Ltd (ASX: WES), Northern Star Resources Ltd (ASX: NST), AMP Ltd (ASX: AMP) and Washington H. Soul Pattinson and Co Ltd (ASX: SOL) are solid and reliable stocks that offer a yield of around 2% to 3%.

For a mid-range yielding ASX dividend option, I'd look at Suncorp Group Ltd (ASX: SUN), QBE Insurance Group (ASX: QBE), Rio Tinto Ltd (ASX: RIO) or defensive assets like Telstra Group Ltd (ASX: TLS). These all pay a yield around 3% to 5%. 

For a higher 5% to 6% dividend yield, I'd look at reliable payers like APA Group (ASX: APA) or Origin Energy Ltd (ASX: ORG).

Lendlease Group (ASX: LLC) and Charter Hall Long WALE REIT (ASX: CLW) yield around 7% to 8%.

If you want to take on more risk and go for a much higher-yielding ASX stock, my picks would be something like IPH Ltd (ASX: IPH), Centuria Office REIT (ASX: COF), or the BetaShares Australian Top 20 Equities Yield Maximiser Complex ETF (ASX: YMAX). These typically yield anywhere between 9% and 12%.

The post How much superannuation is needed to target a $100,000 annual passive income? appeared first on The Motley Fool Australia.

You just need to know how to invest it and understand what level of passive income to expect.

The benefit of investing your superannuation for a passive income in retirement is that it comes with the added benefit of low tax rates and long-term compounding.

The only downside is that you can't access it until you reach retirement age.

But how much do you actually need in your super to be able to earn the passive income you want in retirement?

Let's break it down, using a monthly $7,000 passive income as a guide.

How much do I need in my superannuation to get a passive income of $7,000 every month?

There's a simple calculation you can use. First, you'd need to work out what your monthly passive income totals over the year, then divide that annual passive income figure by the dividend yield of your portfolio.

For example, $7,000 x 12 = $84,000. Divide that by a 3% yielding portfolio, and you'll need a $2.8 million portfolio in order to earn $84,000 per year (or $7,000 per month).

Of course, a $2.8 million superannuation balance isn't achievable for many Australians. 

But the good news is that as your dividend yield increases, the superannuation balance required to earn the same passive income decreases.

For example, a portfolio with a dividend yield of around 6% only needs to be half the size of one with a dividend yield of around 3% to generate the same level of passive income. 

How much do I need in my superannuation if my portfolio yields 4%?

To earn $84,000 per year off a 4% yielding portfolio, you'd need to have a balance of around $2.1 million.

ASX shares that could fit the bill include Westpac Banking Corp (ASX: WBC), ANZ Group Holdings Ltd (ASX: ANZ), or Transurban Group (ASX: TCL). These all yield 4% or a little more.

How much do I need in my superannuation if my portfolio yields 5%?

To earn the same $84,000 per year off a 5% yielding portfolio, you'd need to have a superannuation balance closer to $1.68 million.

Shares that yield 5% or just over could include Woodside Energy Group Ltd (ASX: WDS), Universal Store Holdings Ltd (ASX: UNI), and AGL Energy Ltd (ASX: AGL).

What about for a 6% yielding portfolio?

A superannuation balance of around $1.4 million can earn the same passive income on a 6% yielding portfolio.

Harvey Norman Holdings Ltd (ASX: HVN), Fortescue Ltd (ASX: FMG), and Dexus Industria REIT (ASX: DXI) are good examples of ASX shares that yield around 6%.

And for a portfolio that yields 7% or 8%, what do I need then?

Higher-yielding shares mean investors can earn the same passive income off a much smaller superannuation balance, but they do come with added risk.

A $1.2 million or $1.05 million portfolio yielding 7% or 8%, respectively, could earn $84,000 in passive income.

Higher-yielding options include ASX shares such as the BetaShares Australian Top 20 Equities Yield Maximiser Complex ETF (ASX: YMAX), GQG Partners Inc (ASX: GQG), or Centuria Office REIT (ASX: COF).

The post How much do I need in my superannuation to earn $7k per month in passive income? appeared first on The Motley Fool Australia.

If you can actively and wisely invest it, it can become an excellent tool to generate an easy passive income for retirement.

As an added bonus, not only can it help you build wealth for later on in life, it also comes with the added benefit of low tax rates and long-term compounding.

But how much do you actually need in your super to be able to earn the passive income you want in retirement?

Let's break it down, using a $60,000 per year passive income as an example.

How much do I need in my superannuation to earn $60,000 per year in passive income?

To calculate the superannuation you'll need, simply divide your annual passive income by the dividend yield of your portfolio.

Of course, the tricky part is that the answer varies significantly depending on what dividend yield of your portfolio actually is.

For example, a portfolio with a dividend yield of around 6% only needs to be half the size of one with a dividend yield of around 3% to generate the same level of passive income. 

So, if your overall portfolio has a dividend yield of around 3%, you'll need a balance of around $2 million to earn $60,000 per year in passive income.

Of course, a $2 million superannuation balance isn't achievable for many Australians. But the good news is that, as your dividend yield increases, the superannuation balance required to earn the same passive income goes down.

That means, if the yield of your portfolio is around 4%, for example, your balance would need to be closer to $1.5 million to earn the same dividend income.

Raise the dividend yield of your portfolio to 5% and you'd be looking at a balance of closer to $1.2 million to earn the same amount.

Increase that to a 6% or even 8% dividend yield, and you'd need around $1 million or $750,000, respectively. You'd still earn $60,000 per year in passive income from these portfolio sizes.

What ASX shares can I buy around these dividend yields?

There are a huge range of ASX dividend shares available for your superannuation investment. Here are some of my favourites.

Lower-yielding ASX dividend-paying shares such as Wesfarmers Ltd (ASX: WES), Woolworths Group Ltd (ASX: WOW), AMP Ltd (ASX: AMP) and Washington H. Soul Pattinson and Co Ltd (ASX: SOL) are solid and reliable stocks that offer a yield of around 2% to 3%.

For a mid-range yielding ASX dividend option, I'd look at defensive assets like Telstra Group Ltd (ASX: TLS). Santos Ltd (ASX: STO) is a good option if you want oil and gas exposure. Meanwhile, Coles Group Ltd (ASX: COL) and blue-chip majors like Rio Tinto Ltd (ASX: RIO), BHP Group Ltd (ASX: BHP) and National Australia Bank Ltd (ASX: NAB) pay a decent dividend of around 3% to 5%.

For a higher 5% to 6% dividend yield, I'd look at reliable payers like APA Group (ASX: APA) or AGL Energy Ltd (ASX: AGL).

Dexus Industria REIT (ASX: DXI) and Charter Hall Long WALE REIT (ASX: CLW) yield around the 7% mark.

If you want to take on more risk and go for a much higher-yielding ASX stock, my picks would be something like IPH Ltd (ASX: IPH), Centuria Office REIT (ASX: COF), or the BetaShares Australian Top 20 Equities Yield Maximiser Complex ETF (ASX: YMAX). These typically yield anywhere between 9% and 12%.

The post How much do I need in my superannuation to earn an annual $60,000 passive income? appeared first on The Motley Fool Australia.

The error that many investors make is thinking they need a million dollar investment portfolio to make it worth it.

The truth is, you don't need to spend millions, or even hundreds of thousands. Any level of passive income can help contribute to your financial independence and also create a buffer against sharemarket volatility.

So, what could that passive income actually look like?

Let's break it down, using a $50,000 investment portfolio as an example. 

What passive income can I earn off a $50,000 portfolio?

The easiest way to calculate your passive income is by multiplying your total portfolio value by your dividend yield.

But, the tricky part is that the answer varies widely depending on the dividend yield of your portfolio.

For example, $50,000 x 3% = $1,500 per year in dividend payments.

But if your portfolio has a dividend yield of around 6%, your passive income will be double the size. That's because $50,000 x 6% = $3,000 per year in dividend payments. 

And so on. As your dividend yield increases, the passive income you can earn off your $50,000 portfolio also increases.  

These figures are based on cash dividends before any tax or franking credit benefits.

Of course, this type of money isn't going to become a primary income stream, but it'll certainly help create an extra buffer.

Which ASX shares will earn me $2,000 per year in passive income?

To earn an annual passive income of around $2,000, your portfolio will need to yield around 4%.

There is a huge range of ASX dividend shares available that pay around that level, so it's certainly achievable.

For example, Argo Investments (ASX: ARG) pays just a little over the 4% mark at the time of writing. As does WCM Global Growth (ASX: WQG).

Major bank Westpac Banking Corp (ASX: WBC) pays a dividend yield of around 4.2% to its shareholders.

ANZ Group Holdings Ltd (ASX: ANZ) and Transurban Group Ltd (ASX: TCL) both pay a little more. Their dividend yields are around 4.6% and 4.7%, respectively.

Of course, ideally, you'd want a mixture of shares that combine to make a 4% yielding portfolio for diversification reasons, rather than a portfolio of only one stock.

What if I want to earn closer to $4,000 per year? Is that possible?

It's also possible to earn a little more. To earn $4,000 in passive income, you'd need a portfolio that yields 8%. 

Again, there are plenty of ASX shares that yield around this level, but it's worth noting that a higher yield generally comes with higher risk.

The Metrics Income Opportunities Trust (ASX: MOT) is a listed investment trust (LIT) which can give investors direct exposure to private credit investments. The Trust targets a cash yield of 7% per year. It has a total target return of 8% to 10% per year, net of fees and expenses. 

Charter Hall Long WALE REIT (ASX: CLW) and WAM Microcap (ASX: WMI) both yield in the low 7%.

And if you're looking to target higher-yielding ASX shares, there are stocks like intellectual property (IP) service provider IPH Ltd (ASX: IPH), which yields around 9.6% and Centuria Office REIT (ASX: COF), which yields around 11.4%, at the time of writing.

Again, I wouldn't suggest investing solely in high-yield shares in order to earn a higher income. But it's possible to create a portfolio mix including high-yield ASX shares and more reliable or defensive assets to get an over 8% yielding portfolio. 

The post How much passive income can I earn off a $50,000 portfolio? appeared first on The Motley Fool Australia.

But there are only a few businesses I'd consider as contenders for buys, given that high dividend yields aren't necessarily reliable for payouts – some may be in danger of giving investors a significant dividend reduction.

I think the below two ideas can provide investors with a very good dividend yield for the foreseeable future.

Hearts and Minds Investments Ltd (ASX: HM1)

This is a listed investment company (LIC) that has a number of fund managers and investment professionals who contribute investment picks for free. Some of the fund managers are core managers who provide continuing portfolio picks, while a minority of the portfolio is based on picks at an annual investment conference.

The portfolio is full of international shares, so Australian investors are getting diversification with this investment, while also getting an incredible dividend yield.

Hearts and Minds has indicated an intention to increase its half-yearly dividend by 0.5 cents per share. That means the business could pay an annual dividend per share of 20.5 cents in the next 12 months. At the time of writing, that translates into a grossed-up dividend yield of 9.8%, including franking credits.

Its portfolio has returned an average of 10.25% per annum since inception in November 2018 – that's high enough to pay a good dividend.  

Centuria Office REIT (ASX: COF)

Another ASX share that could be undervalued is this real estate investment trust (REIT) which owns office buildings across a number of markets, giving it diversification.

The business is certainly facing headwinds like work from home and a slowing economy, but it's priced too cheaply in my opinion considering how much rental income it's generating.

The ASX share expects to generate funds from operations (FFO) – net rental profit of 11.1 cents per security in FY26 and pay a distribution per security of 10.1 cents. That means it's trading at just 8x its FY26's rental profit with a FY26 distribution yield of 11.5%.

The fund manager of Centuria Office REIT, Belinda Cheung, explained the positive long-term outlook for the ASX share after its FY26 third-quarter update:               

Looking ahead, we maintain an optimistic outlook for the Australia metropolitan office markets across the medium term. Diminishing forecast supply has been further impacted by rising rates and inflation and is expected to amplify the significant disconnect between replacement costs and current valuations. The widening gap of economic rents to prevailing market rents not only prohibits feasible office development but provides ample room for current market rents to continue to grow and underpin future valuations, reinforcing the relative value of existing high-quality, well-located office assets.

The post 2 ASX shares with dividend yields above 9.5% appeared first on The Motley Fool Australia.

The passive income can be particularly attractive thanks to a combination of a low valuation, a rewarding dividend payout ratio and potentially franking credits.

I'm going to highlight two businesses that are delivering large dividend yields.

Centuria Office REIT (ASX: COF)

This business describes itself as Australia's largest listed pure play office real estate investment trust (REIT). It says it owns a portfolio of high-quality office assets situated in core submarkets throughout Australia.

Office properties are not exactly a 'hot' sector. But, I think this business is deeply undervalued.

Its FY26 third quarter update was very promising – it reported a four-year weighted average lease expiry (WALE) of four years with an occupancy rate of 90%. That means it's generating a significant level of rental income from its portfolio.

But, the most pleasing element of the ASX share's update on the rental side was that it announced 5,742sqm of lease terms agreed, with an 8.6% re-leasing spread. In other words, the new rental contracts are generating 8.6% more rental income than the old contracts. This could bode well for future rental contracts.

It also noted it had refinanced $1 billion of debt, with a 30 basis point (0.30%) reduction of debt margins, while the debt expiry was extended to 4.3 years.

For me, one of the main reasons why it has such a large dividend yield and why it looks undervalued is because it's trading at a massive discount to its reported underlying value. It reported net tangible assets (NTA) of $1.72 as at 31 December 2025 – it's trading at a 47% discount to this.

The fund manager of the REIT, Belinda Cheung, recently said:

Looking ahead, we maintain an optimistic outlook for the Australia metropolitan office markets across the medium term. Diminishing forecast supply has been further impacted by rising rates and inflation and is expected to amplify the significant disconnect between replacement costs and current valuations. The widening gap of economic rents to prevailing market rents not only prohibits feasible office development but provides ample room for current market rents to continue to grow and underpin future valuations, reinforcing the relative value of existing high-quality, well-located office assets.

It's generating real rental profit and paying large distributions with that rental income. Its FY26 annual distribution translates into a distribution yield of 11%.

GQG Partners Inc (ASX: GQG)

The other ASX share I want to highlight is the fund manager GQG, which, up until recently, had an excellent long-term track record of investment returns.

Following a 40% decline since July 2025, I think the ASX share is now very cheap with a single-digit price/earnings (P/E) ratio.

While the company is still experiencing fund outflows, that pace of the outflows have reduced and if it can deliver positive investment returns then its funds under management (FUM) could still climb, despite the headwind of outflows.

I believe the market is mispricing the potential of GQG to start achieving positive net inflows again.

The ASX share's latest quarterly dividend of AU 4.878 cents translates into a dividend yield of 3.4%. Annualised, that's a dividend yield of 13.4%. That's a huge yield! The dividend returns alone could outperform the S&P/ASX 200 Index (ASX: XJO) for the foreseeable future.

The post 2 ASX shares with dividend yields above 10% appeared first on The Motley Fool Australia.

However it's important to recognise this is an average, which means it's not a steady rise every single year. 

Unfortunately for ASX investors, 2026 is shaping up as a down year for the benchmark index. 

Many pundits actually predicted this back at the start of the year. 

Inflation, rising interest rates and global conflict have all weighed on sentiment. 

At the time of writing the ASX 200 is essentially flat compared to the start of 2026. 

Why turn to dividend investing?

When capital gains are stagnating, dividend investing can provide investors with a valuable source of returns that is largely independent of share price movements.

Rather than relying solely on a rising market, dividend investors are paid to hold quality businesses that generate consistent cash flow and share a portion of their profits with shareholders.

This can be particularly attractive during periods of uncertainty, when market volatility makes capital growth harder to come by.

Better yet, some ASX dividend shares are currently offering yields that comfortably exceed what investors can earn from term deposits or savings accounts.

With that in mind, here are three ASX dividend shares that could help investors block out the market noise and lock in a yield of up to 11%.

Shaver Shop Group Ltd (ASX: SSG)

While Shaver Shop Group flies under the radar compared to blue-chip giants, it boasts one of the best yields on the ASX. 

The company engages in selling personal grooming products through their corporate and online stores and generates income from franchise stores. It retails various products across the oral care, hair care, massage, air treatment, and beauty categories.

The business currently offers a trailing grossed-up dividend yield of approximately 11%, including franking credits. 

What's even more pleasing for investors, is this has been consistent dating back to 2017. 

Centuria Office REIT (ASX: COF)

Centuria Office REIT is Australia's largest pure-play office real estate investment trust (REIT). It owns a $2.3 billion portfolio of office and commercial property assets throughout Australia.

Real estate stocks have largely struggled in 2026, and Centuria Office REIT has seen its share price fall as a result. 

However on the positive side, its expected FY26 distribution of 10.1 cents per security translates into a dividend yield of around 11%.

Fortescue Ltd (ASX: FMG)

Fortescue currently sits as one of the largest iron ore production and exploration companies in the world. 

ASX materials stocks like Fortescue have long been targeted by dividend investors for their consistent payouts. 

In good news for dividend investors, this is expected to continue in the next few years. 

This ASX dividend stock is expected to pay a yield between 4% and 5% until FY28. 

The post 3 ASX dividend shares to block out the noise and lock in a yield as high as 11% appeared first on The Motley Fool Australia.

The average return of the ASX share market over the long-term has been around 10%. How great would it be to receive that level of return just from the cash payments?

Of course, higher yields do come with their risks. That yield may be high because investors are expecting the business' profit and payout to reduce sooner rather than later. Or, the yield could be really high because the dividend payout ratio is unsustainably high.

The following two businesses currently offer yields above 10%.

I don't know what size the payouts will be in the coming years, but I expect the dividend yields will remain very high for the foreseeable future, keeping in mind the payout could be reduced somewhat from where it is today.

Let's find out about those two businesses.

Centuria Office REIT (ASX: COF)

This business is a real estate investment trust (REIT) that owns office properties across Australian metropolitan locations.

The share price has suffered a significant decline over the last few years because of the headwinds of work-from-home and higher interest rates.

However, it's still generating plenty of rental income and is signing new leases. In the FY26 third-quarter update, it reported that during the period, 5,742sqm of lease terms were agreed across 11 transactions including 2,263sqm of new leases and 3,479sqm of renewals with the majority of these transactions in Brisbane.

Pleasingly, the business reported a re-leasing spread of 8.6%, with strong rental growth from the Fortitude Valley and Hamilton assets.

The ASX share's portfolio currently has a four-year weighted average lease expiry (WALE), with a 90% portfolio occupancy, which I'd view as solid statistics, considering all of the factors going on.  

Additionally, it also reported it has refinanced $1 billion of debt refinancing across its debt book, resulting in a 30 basis point (0.3%) debt margin reduction and an extension of the weighted average debt expiry from 2.6 years to 4.3 years.

The business highlights limited supply of new office space, with there being a "significant disconnect between replacement costs and current valuations".

The ASX share also noted that the "widening gap of economic rents to prevailing market rents not only prohibits feasible office development but provides ample room for current market rents to continue to grow and underpin future valuations."

Its expected FY26 distribution of 10.1 cents per security translates into a dividend yield yield of around 11%.

WAM Microcap Ltd (ASX: WMI)

WAM Microcap is a listed investment company (LIC) that invests in small ASX shares with big growth potential.

Any sized business can produce returns, but the smaller we go down the market capitalisation list, the less-researched the stocks are and the better potential they have to produce stronger strong returns.

Past performance is not a guarantee of future returns of course, but WAM Microcap's portfolio has returned an average of 14.2% since its inception in June 2017, before fees, expenses and taxes. Those returns have been large enough to pay a very sizeable dividend.

It expects to slightly increase its annual dividend per share to 10.7 cents per share. That translates into a grossed-up dividend yield of 10.75% from the ASX share.

Of the two names I've highlighted, I'd rather buy WAM Microcap because it's increasing its payout and it offers diversification. But, the REIT could be significantly undervalued at this level.

The post 2 ASX shares with dividend yields above 10% appeared first on The Motley Fool Australia.

Let's check out some new ratings on three ASX shares.

Southern Cross Gold Consolidated Ltd (ASX: SX2)

This ASX gold share closed at $9.50, down 4.4% yesterday.

The Southern Cross Gold share price has risen by more than 60% over 12 months.

Shaw and Partners has a buy rating on the gold explorer. 

The broker gives Southern Cross Gold shares a 12-month price target of $14.40 based on a discounted cash flow (DCF) valuation.

Analyst Alex Barkley said:

Our base case forecasts support our Buy Recommendation, with an implied ~40% stock upside.

We also find substantial project upside potential at Sunday Creek.

Geological extension potential could extend mine life or importantly, allow a larger mining capacity.

Any project expansion returns could be supercharged by the remarkable ~9g/t AuEq site grade.

Key upcoming catalysts include ongoing drilling, an Exploration Target update in Q2 CY26, and a maiden Resource in Q1 CY27. 

Centuria Office REIT (ASX: COF)

Centuria Office REIT shares closed steady at 91 cents yesterday.

The ASX real estate investment trust (REIT) has fallen 27% over 12 months.

Bell Potter recently maintained its hold call on this ASX property share and lowered its target from $1.05 to 95 cents.

Analyst Michael Armstrong said:

COF is facing headwinds to earnings from tricky conditions in key exposed markets, rising interest rates, and dilutionary asset divestments.

We forecast earnings declining in FY27 (-2.7% below consensus), holding in FY28, before returning to growth in FY29.

COF screens inexpensive on a P/E and NTA basis but is trading at a P/E to Growth (PEG) ratio of 13.0x, placing it well above peers (sector simple avg. 2.9x).

We see better risk-adjusted opportunities in other sub-sectors at present and believe a pickup in the suburban market is still a little way off.

Healius Ltd (ASX: HLS)

This ASX healthcare share closed steady at 35 cents on Thursday.

The Healius share price has tanked 62% over 12 months.

After the company issued an FY26 earnings downgrade, Jarden kept its sell rating in place.

The broker has a price target of 47 cents, which implies 34% capital growth ahead.

The post Buy, hold, sell: Southern Cross Gold, Healius, Centuria Office REIT shares appeared first on The Motley Fool Australia.

The US and Iran launched missile strikes against each other in the Strait of Hormuz overnight as the US tried to restore shipping.

Meanwhile, the Reserve Bank of Australia (RBA) raised interest rates for a third consecutive time to 4.35% today due to rising inflation.

In a statement, the RBA said:

Inflation picked up materially in the second half of 2025, and information since the beginning of this year confirms that some of this increase reflected greater capacity pressures.

In addition, the conflict in the Middle East has resulted in sharply higher fuel and related commodity prices, which are already adding to inflation.

There are early signs that many firms experiencing cost pressures are looking to increase prices of their goods and services.

The Brent crude oil price hit a four-year high earlier today as the market becomes increasingly pessimistic that the war will end soon.

Economists are warning that oil shocks have a long-tail economic impact, and the RBA appears acutely aware of the upside risk to CPI.

Today, four of the 11 market sectors finished in the red, with energy in the lead, up 0.89%, while financials lagged, down 0.5%.

Scores of ASX 200 shares hit fresh 52-week lows today.

They included former market darling CSL Ltd (ASX: CSL) and retail stalwart Wesfarmers Ltd (ASX: WES) shares.

Let's take a look.

CSL Ltd (ASX: CSL)

The CSL share price hit a 9-year low of $122.48 today.

The ASX 200 healthcare giant has lost half its value over the past 12 months.

Company issues have compounded the impact of a broader ASX 200 healthcare sector rout due to many global headwinds.

Wesfarmers Ltd (ASX: WES)

The Wesfarmers share price reached a 52-week low of $71.31 today.

The market's largest ASX 200 consumer discretionary share is down 9% over 12 months.

Consumer sentiment is crumbling in Australia today.

Last month, the consumer sentiment index recorded its biggest fall since the beginning of the pandemic five years ago.

Amcor Ltd (ASX: AMC)

The Amcor share price hit a 12-year low of $51.42 today, and is down 28% over 12 months.

Endeavour Group Ltd (ASX: EDV)

The Endeavour share price fell to a record low of $3.13 today, and is down 22% over 12 months.

Harvey Norman Holdings Ltd (ASX: HVN)

The Harvey Norman share price hit a 52-week low of $4.39 today.

Stock in the ASX 200 furniture retailer has tumbled 15% over 12 months.

Ansell Ltd (ASX: ANN)

The Ansell share price dropped to a 2-year low of $25.35 today, and is down 18% over 12 months.

Super Retail Group Ltd (ASX: SUL)

The Super Retail share price hit a 3-year low of $11.47 on Tuesday, and is down 12% over 12 months.

Austal Ltd (ASX: ASB)

Austal shares fell to a 52-week low of $4.01 today.

The ASX 200 industrial share has fallen 21% over 12 months.

ARB Corporation Ltd (ASX: ARB)

The ARB Corporation share price hit a 52-week low of $17.89 today, and is down 43% over 12 months.

Nick Scali Ltd (ASX: NCK)

The Nick Scali share price hit a 52-week low of $14.03, and has cooled 18% over 12 months.

Temple & Webster Group Ltd (ASX: TPW)

The Temple & Webster share price hit a 2-and-a-half-year low of $5.29 today.

This ASX 200 retail share has lost 69% of its market capitalisation in 12 months.

Inghams Group Ltd (ASX: ING)

The Inghams share price descended to a 52-week low of $1.71 today.

The ASX 200 consumer staples share has fallen 51% over 12 months.

Centuria Office REIT (ASX: COF)

Centuria shares dipped to a 52-week low of 92 cents today.

The ASX 200 real estate investment trust (REIT) has decreased 26% over 12 months.

Accent Group Ltd (ASX: AX1)

Accent shares hit a 13-year low of 51 cents, and are down 72% over 12 months.

Adairs Ltd (ASX: ADH)

The Adairs share price hit a 52-week low of $1.25, and is down 51% over 12 months.

The post CSL and Wesfarmers among scores of ASX shares hitting fresh 52-week lows appeared first on The Motley Fool Australia.

Not every large yield is reliable, though. Extremely high dividend yields may be funded by an unsustainable dividend payout ratio, or by a significant decline in the share price (which pushes up the trailing yield) as the market expects a drop in earnings (and dividends).

While the dividend yields I'm about to talk about are not guaranteed, I think it's likely the ASX shares will continue to pay large dividends for the foreseeable future.

Centuria Office REIT (ASX: COF)

This is a very unloved real estate investment trust (REIT) right now – it owns office buildings across Australian metropolitan locations.

In the last six months alone, the Centuria Office REIT unit price has declined by 20%, making it much cheaper.

The work-from-home trend has certainly been a headwind for office demand in the last few years. Recently, AI growth and rising interest rates have also been potential headwinds for earnings, office property valuations, and market confidence.

However, the properties are still generating rental income for investors, the buildings still retain significant value, and the land the ASX share owns is rising in value over time.

In the FY26 first-half results, the business reported its portfolio valuation increased by $42.8 million, marking the second consecutive period of valuation gains. That shows the business was experiencing green shoots last year.

The business also said it continued to sign new rental leases, while the supply of new office buildings remains restrained because of high replacement costs (and lower demand).

In FY26, the business is expecting to generate rental profit (FFO – funds from operations) of between 11.1 and 11.5 cents per security. The guided FY26 distribution of 10.1 cents per unit translates into a forward distribution yield of 10.75%. Even a 10% cut of the distribution next financial year would still see it pay a distribution/dividend yield of well over 9%.

Hearts and Minds Investments Ltd (ASX: HM1)

The other high-yield ASX share I want to highlight is a unique listed investment company (LIC) on the ASX. It invests in shares across the world.

Instead of just one fund management team being in charge of the investment decisions, it's invested in stocks that have been chosen (for no management costs) by various fund managers.

Some of the portfolio is chosen by a core group of permanent fund managers, while picks in the portfolio are decided by an annual investment conference where experts pitch a stock they think could be a strong performer.

The reason why so many investment professionals are willing to contribute ideas for free is that the LIC donates 1.5% of net assets each year to medical research. I think that's a great initiative and one well worth supporting.

This ASX share has pleasing dividend characteristics – it hasn't given shareholders a dividend reduction since it started paying dividends in FY21. It has grown its annual payout every year in that time, aside from FY23 when it maintained its dividend.

The ASX share has provided guidance that it will grow its half-year dividend by 0.5 cents every six months for the foreseeable future, implying that the next two dividends will be 20.5 cents per share. That translates into a grossed-up dividend yield of 10%, including franking credits.

The post 2 ASX shares with dividend yields above 8% appeared first on The Motley Fool Australia.

In order to receive a dividend, you must own the ASX share before its ex-dividend date.

Here at The Fool, our analysts do not recommend buying ASX shares simply just to get the next dividend payment.

Our market experts say the decision to buy should be more thoughtful than that, and based on fundamental analysis.

But if you already intend to buy any of these ASX shares, you might like to consider the best timing for you.

For example, you could buy before the ex-dividend date and receive entitlement to the next dividend payment.

Or you might prefer to wait until the ex-dividend date itself, when the share price usually falls, to snap up your stock.

Here are some ex-dividend dates next week

The post 20 ASX shares with ex-dividend dates next week appeared first on The Motley Fool Australia.

High dividend yields can be a trap, particularly if they mean the dividend will be cut sooner rather than later.

However, some dividend yields may not be illusions but be coming from incredibly undervalued names.

Keep in mind, a dividend yield increases when a share price decreases. For example, if a business has a 7% dividend yield and then the share price drops 10%, the dividend yield reaches 7.7%.

Share prices do sometimes go through large declines when there is some sort of widespread issue, such as the GFC, COVID-19 or the strong inflation period. Dividend yield-focused investors can see higher yields at times like that. But, I wouldn't call the current period as once-in-a-decade. Rather, the market seems to regularly go through sizeable declines.

I think income investors should always be on the lookout for ASX 200 income shares with large yields.

The business doesn't necessarily need to have a dividend yield of 10% (or more) for it to be a good ASX dividend share. For example, I've highlighted names like Future Generation Australia Ltd (ASX: FGX) and Hearts and Minds Investments Ltd (ASX: HM1) as compelling ideas for dividend income (though they aren't ASX 200 income shares).

I'll briefly point out three names that are expected to have extremely high dividend yields in FY26. But, there's no guarantee those yields will be that strong forever.

IPH Ltd (ASX: IPH)

IPH is a legal business that provides clients with intellectual property (IP) services such as patent filing, trademarks and enforcement. It has a position in a number of markets including Australia, New Zealand, Asia and North America. It claims to be the largest player in the Asia Pacific region.

The FY26 half-year result showed good financial progress by the business. It grew revenue by 6.5% to $363.9 million, increased operating profit (EBITDA) by 6.6% to $107.1 million and the statutory net profit (NPAT) rose by 10.5% to $41.2 million. The business decided to hike its interim dividend by 11.8% to 19 cents.

The forecast on Commsec suggests the ASX 200 income share's annual dividend could rise to 37.6 cents per share in FY26. That translates into a dividend yield of 11% excluding any franking credits, at the time of writing.

Magellan Financial Group Ltd (ASX: MFG)

Magellan is a funds management business that provides portfolios across Australian shares, international shares and infrastructure equities. It also holds stakes in a few other businesses including investment bank Barrenjoey and fund manager Vinva.

The business recently announced it's going to merge with Barrenjoey, giving Magellan much more earnings growth potential in the coming years, in my opinion.

According to the forecast on Commsec, it's predicted to pay a grossed-up dividend yield of 11.1% in FY26, including franking credits at the time of writing.  

Centuria Office REIT (ASX: COF)

This is a real estate investment trust (REIT) that owns office properties across metropolitan Australian locations.

The ASX 200 income share's weighted average lease expiry (WALE) is around four years, which provides some rental income and visibility, but there are recent developing headwinds of higher interest rates, rising inflation and questions of how AI developments could impact office demand.

Even so, the land that the offices sit on is valuable, and the REIT is working out leasing some floors to data centres, protecting its underlying value.

The business has guided that it's going to pay a distribution per unit of 10.1 cents in FY26, translating into a distribution yield of 10.1%, at the time of writing.

The post A once-in-a-decade chance to get a 10%+ yield from ASX 200 income shares? appeared first on The Motley Fool Australia.

A real estate investment trust (REIT) is a company that owns and operates property assets that typically produce income.

REITs can have various property types in their portfolios, or they might specialise in just one type. Some focus on commercial real estate, such as offices, hospitals, shopping centres, warehouses, and hotels.

Investors may choose to target this asset because they typically provide predictable income through regular distributions, supported by rental cash flows and a tax-efficient structure. 

REITs also offer potential capital growth and diversification benefits, making them attractive as a long-term investment option.

Recent underperformance 

Despite the favourable aspects of REITs, over the last few years, this asset class has largely underperformed relative to other sectors. 

Many REITs struggled through and post pandemic due to market shifts. 

For example, some REITs own and operate office buildings. 

COVID-driven shifts in work patterns combined with poorly timed new supply drove vacancies higher, and rents lower across Australia's major CBDs, with asset values following suit.

Similar headwinds impacted REITs engaged in retail spaces like shopping centres. 

However new insight from VanEck suggests the tide could be turning after years of underperformance. 

Supply demand dynamics improving

According to VanEck, office REITs were among the best-performing A-REIT subsectors in 2025. 

In a new report, the ETF provider said this momentum could continue in 2026 for several reasons. 

VanEck said supply pipelines are thinning, economic conditions are favourable and elevated 10-year yields may begin to provide a more supportive backdrop for sector performance.

We think the medium-term outlook for office REITs in particular is positive, albeit one that still demands selectivity.

Pranay Lal, Portfolio Manager, VanEck said vacancy rates have stabilised and are expected to trend lower, with the supply/demand office space dynamics potentially improving. 

High replacement costs, restrictive financing conditions and limited development pipelines are likely to constrain further supply, with leading leasing agent Jones Lang LaSalle Incorporated (JLL) forecasting new supply to be almost half the 20 year calendar average.

Economic conditions favourable

According to VanEck, valuations across office REITs are closely linked to broader macroeconomic conditions. 

Periods of strong economic activity, low unemployment and robust population growth have historically been supportive of structurally lower vacancy rates.

Australia has seen a marginal acceleration in GDP growth, supported by improving business investment and consumer spending. 

Additionally, unemployment is near a historical low and forecast to stay in the 4% range over the medium term.

This backdrop further supports a recovery in CBD office demand.

Office and retail REITs are currently offering compelling value, we think. Both sectors are trading at discounts to net tangible assets, suggesting scope for a re-rating toward more normalised valuation levels. This potential mean reversion could act as a catalyst for relative outperformance.

How to gain exposure

For investors looking to gain exposure to this sector, there are a few options to consider. 

For pure-play office REITs, Centuria Office REIT (ASX: COF) owns a portfolio of high-quality office buildings across Australian capital cities and key markets. 

Other office REIT options include: 

• Dexus (ASX: DXS)
• Charter Hall Group (ASX: CHC)
• The GPT Group (ASX: GPT).

Another option is to target a thematic ASX ETF such as VanEck Vectors Australian Property ETF (ASX: MVA). 

MVA ETF gives investors exposure to a diversified portfolio of Australian REITs, however this isn't exclusively office owners. 

The post Why 2026 could be the year of the REIT rebound appeared first on The Motley Fool Australia.

Investing before an ASX company releases its February earnings can offer upside if results beat expectations. 

But it also carries higher risk because unexpected disappointments can trigger sharp price drops. 

Investing after the earnings release reduces uncertainty. It allows investors react to confirmed information and guidance, though some of the biggest price moves may already be priced in, limiting short-term upside.

Here is an updated outlook for two ASX REIT stocks this earnings season. 

Centuria Office REIT (ASX: COF) 

Yesterday, we saw share price swings for Centuria Office REIT following the release of HY26 results.

The share price fell roughly 2% before midday before recovering to finish 0.94% higher at approximately $1.07 per share. 

A report from Bell Potter noted funds from operations (FFO) of 5.6 cents per share was slightly below expectations, coming in 0.9% under Bell Potter's forecast.

Despite this modest first-half earnings miss, the company reaffirmed its FY26 guidance for FFO of between 11.1 cents and 11.5 cents per share, with the midpoint of the range sitting 0.9% ahead of Bell Potter's estimate.

The ASX REIT also reaffirmed its full-year distribution guidance, with dividends per share expected to be 10.1 cents, signalling confidence in the full-year earnings and income outlook.

Bell Potter also noted some key vacancies at 818 Bourke St (currently 25% vacant) and 201 Pac Hwy (33% vacant) remain outstanding, which limits upside. 

Following yesterday's results, the broker has placed a hold recommendation on the REIT, along with a price target of $1.05. 

While we don't necessarily see numerous short term upside catalysts for COF, 1H26 outcomes suggest the likelihood of downside to guidance has reduced following the de-risking of FY26 expiries.

Charter Hall Retail REIT (ASX: CQR)

Charter Hall is set to release results tomorrow on Friday 6 February. 

The company owns and manages a portfolio of convenience-focused retail properties. These include supermarket-anchored neighbourhood and subregional shopping centres, service stations, and some retail logistics properties.

It has performed well in the last year, rising roughly 20% in that span. 

It closed yesterday at $3.87. 

However, Citi currently has a buy rating and $4.50 price target on its shares.

Additionally, it is projecting dividend yields of more than 6%. 

This could be an example of an REIT that investors may want to target before earnings results are released. 

It has shown a track record of successful capital deployment and improving margins recently. 

Should Charter Hall match or exceed expectations, the share price may jump considerably. 

The post Are these ASX REITs a buy, hold or sell this earnings season? appeared first on The Motley Fool Australia.

Centuria Office REIT (ASX: COF) shares are down 0.47% to $1.055, while Charter Hall Social Infrastructure REIT (ASX: CQE) is weaker by 3.22% to $2.855.

Here is what investors are reacting to.

Centuria Office REIT delivers mixed half-year results

Centuria Office REIT reported its results for the six months to 31 December 2025, showing a business that remains stable but still faces pressure from higher costs.

The trust delivered funds from operations of $33.4 million, or 5.6 cents per unit. That was slightly lower than the same period last year, largely due to higher interest expenses. Distributions for the half were maintained at 5.05 cents per unit, in line with expectations.

There were some positives in the result. Leasing activity remained solid, with more than 29,000 square metres of space leased across the portfolio during the half. Centuria also reported a $42.8 million uplift in portfolio valuations, with most assets holding their value or improving.

Management also sold an office asset in Chatswood at a premium, helping recycle capital and strengthen the balance sheet.

However, with earnings slightly lower and interest costs still elevated, the result failed to lift sentiment. Centuria reaffirmed its full-year guidance, pointing to funds from operations of between 11.1 and 11.5 cents per unit and full-year distributions of 10.1 cents.

Charter Hall Social Infrastructure REIT fails to excite

Charter Hall Social Infrastructure REIT also released its half-year results today, highlighting the defensive nature of its portfolio.

The trust focuses on social infrastructure assets such as schools, childcare centres, and government-leased properties. These assets typically have long leases and reliable tenants, which supports income stability.

During the half, CQE continued to reshape its portfolio, selling some lower-yielding early learning assets and reinvesting into longer-dated social infrastructure properties. The trust also extended its average debt maturity and reported a stronger balance sheet position.

Management upgraded its full-year guidance, now expecting operating earnings of at least 17.2 cents per unit and distributions of 17 cents per unit for FY26.

Despite the upgrade, investors appear underwhelmed. Much of the good news may have already been priced into the share price, and investors remain wary of the broader REIT sector.

Foolish Takeaway

Both REITs delivered steady results, but neither provided a clear catalyst for higher share prices.

With interest rates still elevated, investors remain focused on balance sheet strength, reliable income, and long-term growth.

The post Why these 2 ASX REITs are in the red after today's results appeared first on The Motley Fool Australia.