Oil is the reason why.

When crude prices spike, the whole energy sector moves with them.

Investors are now trying to work out who benefits and who suffers.

Let's take a look.

Why the oil price matters

The Strait of Hormuz carries a large slice of the world's seaborne crude.

Any disruption there ripples straight through global markets.

As a result of the most recent disruptions prices have remained elevated, even after cooling from their peaks.

The WTI crude oil price recently sat near US$78.93 a barrel. Brent was around US$84.31.

Higher oil prices lift the cost of fossil-fuel power. In theory, that improves the relative economics of renewables, as wind and solar don't burn fuel and their input costs don't rise when a tanker changes course.

That is the simple bull case, but the reality is a little more complicated.

What the latest oil shock means for ASX green energy shares

Most ASX green energy shares are not pure-play renewables businesses. Many still earn money from gas, coal, or electricity retailing. So the oil story cuts both ways. A higher wholesale power price can help earnings today. A faster energy transition can help earnings tomorrow.

Investors need to weigh each business on its own merits. Here are three names worth watching.

Three ASX green energy shares in focus

First up is Origin Energy Ltd (ASX: ORG).

Origin runs generation, gas, and a growing renewables and storage arm. The company is also one of the country's largest electricity retailers.

Origin shares have had a rough run of late. They recently fell around 19% from this year's highs, which traces back to its March quarter update in late April. This update showed declines across its Integrated Gas, Energy Markets, and Octopus Energy segments. Crucially, the company also downgraded its FY26 EBITDA guidance.

Today's share price weakness could interest bargain hunters.

Next is Meridian Energy Ltd (ASX: MEZ). Meridian is a New Zealand-based renewables generator built on hydro power.

Hydro provides roughly 60% of New Zealand's electricity, and the company recently won final approval to expand its Lake Pūkaki hydro storage.

However, dry-year supply risk, wholesale price uncertainty, and the drawn-out Lake Pūkaki storage approval process (contested by Transpower and the Energy Minister) all weighed on the shares over the year.

Finally, there is Infratil Ltd (ASX: IFT).

Infratil is an infrastructure investor with broad exposure.

Its portfolio spans renewable generation, data centres, and airports.

That diversification can smooth out the bumps across the current oil shock, giving investors a bit of downside protection.

The bottom line on ASX green energy shares

The Strait of Hormuz crisis is a stark reminder of the world's reliance on oil.

It also underlines the long-term case for cleaner power.

But ASX green energy shares are not a simple one-way bet. Each business carries its own mix of risks and rewards, and investors should be careful to analyse each opportunity individually.

Foolish takeaway

Oil shocks come and go.

The energy transition looks more like a multi-decade theme.

For patient investors, ASX green energy shares offer one way to play it.

Just be sure to understand what sits inside each business first.

The post What the Strait of Hormuz oil shock means for ASX green energy shares appeared first on The Motley Fool Australia.

After opening sharply lower at the start of morning trading, the ASX 200 did recover a little over the day. But it wasn't nearly enough to save investors from a loss. By the time trading finished, the index had lost 0.26% and closed at 8,762.5 points.

This depressing Thursday for the local markets came after a mixed night over on the US markets.

The Dow Jones Industrial Average Index (DJX: .DJI) wasn't in a good place, dropping 1.09%.

However, the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) fared far better, rising 0.2%.

Let's get back to the local markets now and check out how today's tough trading conditions have percolated down into the various ASX sectors.

Winners and losers

Despite the market's bad mood this Thursday, there were plenty of sectors that were spared from a sell-down.

But first, it was mining stocks that got slammed the hardest today. The S&P/ASX 200 Materials Index (ASX: XMJ) ended up crashing 1.48% lower.

Gold shares had another rough one too, with the All Ordinaries Gold Index (ASX: XGD) tumbling 1.24%.

We can say the same for real estate investment trusts (REITs). The S&P/ASX 200 A-REIT Index (ASX: XPJ) sank 1.1% by the closing bell.

Financial stocks were a little better, though, as illustrated by the S&P/ASX 200 Financials Index (ASX: XFJ)'s 0.15% slip.

Turning to the green sectors now, energy shares had a blowout. The S&P/ASX 200 Energy Index (ASX: XEJ) ended up surging 1.67% higher.

Utilities stocks also ran hot, with the S&P/ASX 200 Utilities Index (ASX: XUJ) soaring 1.28%.

Consumer staples shares were solid. The S&P/ASX 200 Consumer Staples Index (ASX: XSJ) galloped 0.97% higher this session.

Tech stocks were in demand too, as you can see by the S&P/ASX 200 Information Technology Index (ASX: XIJ)'s 0.92% bounce.

Communications shares fared decently. The S&P/ASX 200 Communication Services Index (ASX: XTJ) added 0.89% to its total today.

As did consumer discretionary stocks, with the S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) advancing 0.58%.

Healthcare shares stayed afloat. The S&P/ASX 200 Healthcare Index (ASX: XHJ) lifted 0.13% this Thursday.

Finally, industrial stocks got over the line, evident from the S&P/ASX 200 Industrials Index (ASX: XNJ)'s 0.12% bump.

Top 10 ASX 200 shares countdown

Today's top stock was building supplies company Fletcher Building Ltd (ASX: FBU). Fletcher shares rocketed 7.55% this session to $2.99 each.

This followed the stock releasing some updated earnings guidance, which investors clearly appreciated.

Here's how the other winners pulled up at the kerb: 

Our top 10 shares countdown is a recurring end-of-day summary that shows which companies made big moves on the day. Check in at Fool.com.au after the weekday market closes to see which stocks make the countdown.

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

That return was comprised of 2.77% capital growth and a 4.23% average dividend yield.

That's an improvement on last year's payout.

In FY25, dividends made up 3.84% of the total 13.81% return.

That was well below the long-term average of about 4.5%.

This last financial year, the market moved closer to the norm.

What pushed dividend yields higher last year?

The increase partly reflects higher earnings among resources companies due to rising commodity prices.

This contributed to an outstanding performance in the ASX 200 materials sector, which lead the 11 market sectors last year.

Materials stocks soared 47.48% and paid a healthy above-average dividend yield of 4.63%.

The energy sector paid an even higher dividend yield at 5.14% in FY26.

But neither paid the best dividend yield of the 11 market sectors.

That title belongs to a much more defensive segment.

Experts say capital gains tax (CGT) changes may prompt investors to seek better yield.

If that rings true for you, the following list will give you a general guide as to which sectors pay best.

Let's take a look at the dividend yields of each of the 11 market sectors in FY26.

Which ASX sectors delivered the best dividend yields?

The sectors are listed in order of highest dividend yield for FY26.

Utilities

The total return for the S&P/ASX 200 Utilities Index (ASX: XUJ) last year was 11.87%.

Dividends made up 5.98% of that total return.

Energy infrastructure company APA Group (ASX: APA) was the sector's best performer for growth.

APA Group shares rose 24%, and are currently trading on a trailing dividend yield of 5.84%.

Energy

The total return for the S&P/ASX 200 Energy Index (ASX: XEJ) was 14.51%.

Dividends represented 5.14% of that return.

ASX 200 coal  producer New Hope Corporation Ltd (ASX: NHC) had the strongest share price growth at 44%.

New Hope Corporation shares have a trailing dividend yield of 4.78%.

Materials

The total return for the S&P/ASX 200 Materials Index (ASX: XMJ) was 52.11% in FY26. 

Dividends made up 4.63% of that return.

The best performer was gold explorer, Minerals 260 Ltd (ASX: MI6), which rocketed 508% in FY26.

Minerals 260 does not pay dividends.

The largest company in the materials sector is BHP Group Ltd (ASX: BHP), which has a trailing yield of 3.47%.

Consumer Staples

The total return for the S&P/ASX 200 Consumer Staples Index (ASX: XSJ) was 13.72%. 

Dividends represented 3.63% of that return.

Woolworths Group Ltd (ASX: WOW) was the top-performing consumer staples share, rising 29%.

Woolworths shares have a trailing yield of 2.24%.

Financials

The total return for the S&P/ASX 200 Financials Index (ASX: XFJ) was 1.69%. 

The index lost 1.89% of its market cap last year, but dividends of 3.58% brought the sector into the green.

New Zealand-based infrastructure investment company, Infratil Ltd (ASX: IFT) was the fastest riser, lifting 29%.

Infratil shares have a trailing dividend yield of 1.22%.

Industrials

The total return for the S&P/ASX 200 Industrials Index (ASX: XNJ) was 5.24%.

Dividends made up 3.55% of that return.

Electro Optic Systems Holdings Ltd (ASX: EOS) shares were the fastest risers, rocketing 261%.

Electro Optic Systems does not pay dividends.

The biggest company in the sector is Transurban Group (ASX: TCL), which has a trailing yield of 4.68%.

Real estate & REITs

The total return for the S&P/ASX 200 Real Estate Index (ASX: XPJ) was a negative 2.24%.

The index dropped 5.32% in FY26, but an average dividend yield of 3.08% mitigated the capital loss.

Property fund manager Charter Hall Group (ASX: CHC) outperformed with capital growth of 19%.

The ASX 200 real estate investment trust (REIT) has a trailing dividend yield of 2.3%.

Communications

The total return for the S&P/ASX 200 Communications Index (ASX: XTJ) was a negative 9.41%.

The sector lost 12.4% of its value, but an average dividend yield of 2.99% partially offset the loss.

Aussie Broadband Ltd (ASX: ABB) shares rose the most, lifting 26%.

Aussie Broadband has a trailing dividend yield of 1.03%.

Consumer discretionary

The S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) produced a negative total return of 1.21%.

The index fell 3.56%, but an average dividend yield of 2.35% reduced the impact.

The Eagers Automotive Ltd (ASX: APE) share price experienced the most growth, rising 22%.

Eagers Automotive shares have a trailing dividend yield of 3.43%.

Healthcare

The total return for the S&P/ASX 200 Health Care Index (ASX: XHJ) was a negative 36.15%.

The healthcare index fell 37.4%, and an average dividend yield of 1.25% did little to buoy investors' spirits.

4DMedical Ltd (ASX: 4DX) was the outperformer, with its share price skyrocketing 1,786%.

4DMedical does not pay dividends.

The largest company in the sector is CSL Ltd (ASX: CSL), which has a trailing dividend yield of 3.38%.

The healthcare sector is experiencing an extraordinary bounce back, with value investors returning just last month.

Since the pivot point on 3 June, the healthcare index has soared 23%.

Technology

The total return for the S&P/ASX 200 Information Technology Index (ASX: XIJ) was a negative 36.97%.

The index lost 37.22% of its value, and a tiny average dividend yield of 0.25% was barely noticeable to investors.

The Aussie tech sector is comprised predominately of younger growth companies, and not many pay dividends yet.

ASX 200 tech shares tanked in FY26, with only four shares experiencing capital growth.

The stand-out was Codan Ltd (ASX: CDA) shares, which rocketed 119%.

Codan shares have a trailing dividend yield of 0.8%.

Technology is also on the rebound after bottoming out on 30 March.

The post Which ASX 200 sectors paid the highest dividend yields in FY26? appeared first on The Motley Fool Australia.

What did Infratil report?

• CDC's independent valuation rose by A$3.5 billion during the quarter to a midpoint of A$18.5 billion.
• Infratil's 49.72% share in CDC is now valued at A$9,213 million, up from A$7,454 million in March 2026.
• Contracted capacity at CDC increased to over 1GW, including a new 555MW contract and further expansion in New Zealand.
• Leasable operating capacity lifted by 90MW to 550MW, with the pipeline to FY40 now 3.9GW, up from 2.6GW.
• Net debt at CDC increased to A$5,976 million, supporting its accelerated build program.

What else do investors need to know?

CDC's build program is running faster to deliver the surge in contracted capacity expected by FY29, with under-construction leasable capacity doubling this quarter to 810MW. The future pipeline was extended to FY40, adding an extra 1.3GW of future build capacity, particularly targeting Australian markets to meet pressing customer demand. The independent valuation also factored in a 25 basis point increase in the risk-free rate, partly offsetting the positive cashflow momentum. CDC recently issued a A$1 billion hybrid capital bond and received a Moody's Baa2 (Stable) credit rating, supporting funding diversification.

What's next for Infratil?

Looking ahead, Infratil expects CDC's growth momentum to continue, with ongoing investment in data centre capacity aimed at supporting new and existing contracts out to FY40. By rolling forward pipeline disclosures and redefining capacity metrics to focus on leasable, revenue-generating potential, Infratil is aiming to match evolving customer needs and capitalise on data centre sector demand. As CDC accelerates expansion across Australia and New Zealand, investors can anticipate regular updates as projects move from planning to operation. Interest rate and funding trends will remain key influences.

Infratil share price snapshot

Over the past 12 months, Infratil shares have risen 23%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has risen 3% over the same period.

View Original Announcement

The post Infratil shares on watch after CDC Data Centres' valuation climbs appeared first on The Motley Fool Australia.

The financials sector underperformed in FY26, which was in stark contrast to its outperformance in FY25.  

Financials were actually the best performer of the 11 market sectors in FY25, delivering a near-30% total return to investors.  

Things changed dramatically in FY26. 

The S&P/ASX 200 Financials Index (ASX: XFJ) fell 1.89%, but the 3.58% dividend yield lifted it into the green for a total return of 1.69%. 

Here are the top five ASX 200 financial shares for capital growth in FY26. 

1. Infratil Ltd (ASX: IFT)

Infratil is a New Zealand-based infrastructure investment company.

This ASX 200 financial share lifted 28.8% to finish the year at $12.61 apiece. 

One of the highlights of FY26 was Infratil's data centre business, CDC Data Centres (CDC), signing Australia's largest-ever data centre contract.  

CDC was already the largest data centre provider across Australia and New Zealand before the deal was done. 

The 30-year, 555MW agreement with a US customer highlighted the structural global theme of surging demand for artificial intelligence (AI) infrastructure. 

Infratil also delivered impressive earnings growth for FY26.

The company reported an 11% rise in proportionate operational EBITDAF to NZ$989 million. The company also raised its FY27 guidance by 21%.  

2. AMP Ltd (ASX: AMP)

The AMP share price rose 27.4% to close out the year at $1.61. 

AMP has been on a multi-year comeback journey following the Banking Royal Commission in 2018.

AMP was amongst the companies exposed for the worst conduct, prompting a multi-year restructure of the business. 

Brokers appear positive on the outlook for this ASX 200 financial share from here.  

As my colleague Samantha reports, AMP is focused on improving its operational leverage and looking at new capital relief strategies to boost returns. 

Out of 10 analysts rating AMP shares on the TradingView platform, eight have a strong buy or buy rating on AMP shares.

Nine analysts have provided a 12-month target price ranging from $1.68 to $1.94.

Thus, there is a uniform expectation of a further share price rise for AMP in FY27.

3. Challenger Ltd (ASX: CGF)

The Challenger share price rose 23.8% to finish at $10 on 30 June. 

This ASX 200 financial share went up on increased investor confidence that Challenger is gaining market share as Australia's leading retirement income provider.

Arguably, the biggest catalyst for Challenger's share price in FY26 was the 1H FY26 report.

Challenger reported record annuity sales of $3.8 billion, up 32% year over year.

The company also bumped up its fully-franked interim dividend by 7%, and launched a $150 million buyback.

This reinforced investor confidence in the earnings outlook ahead.

4. ANZ Group Holdings Ltd (ASX: ANZ)

The ANZ share price rose 21.2% to $35.35 on 30 June. 

New CEO Nuno Matos has been restructuring the business and integrating Suncorp Group Ltd (ASX: SUN)'s banking division post-acquisition. 

In 1Q FY26, ANZ achieved a quarterly cash profit of $1.94 billion, up 75% from the 2H FY25 quarterly average.

Management said the strong profit was driven by a 4% increase in operating income and a 21% cut in operating expenses.

The ASX 200 bank share rose 8.5% on the day of the report, and hit a record high of $41 the next day. 

This ASX 200 financial share is also attractive because it offers the highest trailing dividend yield of the big banks. 

5. Magellan Financial Group Ltd (ASX: MFG) 

The Magellan share price rose 13.2% to $9.69 on 30 June. 

The defining event in FY26 was Magellan's proposed merger with the highly successful boutique investment bank, Barrenjoey Capital Partners.

Magellan and Barrenjoey completed the merger on 1 July. 

Former UBS bankers Matthew Grounds and Guy Fowler OAM founded Barrenjoey in 2020.

Magellan was a seed investor in Barrenjoey, and will seek shareholders' approval to rebrand as Barrenjoey Group Limited at the October AGM.

Magellan received more than 90% approval from shareholders at the merger vote in April. 

This ASX 200 financial share has crumbled almost 80% over five years. The stock entered a downward spiral in 2021 after losing a major client. Its co-founder, Hamish Douglass, also resigned.

Assets under management have dropped from $113 billion in July 2021, when Magellan shares traded at $50 apiece, to $38 billion as of the last update in March. 

The post 5 best ASX 200 financial shares of FY26 appeared first on The Motley Fool Australia.

The benchmark index hit a record 9,202.9 points on 26 February before finishing the year at 8,778.7 points on 30 June.

There are 11 market sectors within the ASX 200.

In this article, we name the top-performing shares by capital growth in each market sector. 

No. 1 shares of the ASX 200 market sectors 

These were the No.1 shares of each market sector based on 12-month share price growth (excluding dividends).

We have listed the sectors from strongest to weakest.

Six of the 11 sectors declined in value last year. 

Materials

The ASX 200 materials sector was the best performer by far. 

The S&P/ASX 200 Materials Index (ASX: XMJ) soared 47.48% and produced total returns of 52.11% in FY26. 

Australia is in the midst of a new mining boom with five key factors driving a new commodities supercycle.

The green energy transition, artificial intelligence (AI) build-out, and central banks diversifying their reserves with gold drove strong commodity price rises in FY26.

The best performing share within the ASX 200 materials sector was gold explorer, Minerals 260 Ltd (ASX: MI6).

The Minerals 260 share price ripped 508% to finish at 73 cents per share on 30 June. 

Consumer Staples

The S&P/ASX 200 Consumer Staples Index (ASX: XSJ) rose 10.09% and delivered total returns of 13.72%. 

Woolworths Group Ltd (ASX: WOW) was the top-performing consumer staples share of the year.

The Woolworths share price rose 28.67% to $40.03 in FY26.

Energy

The S&P/ASX 200 Energy Index (ASX: XEJ) rose 9.37% and delivered total gross returns of 14.51%.

ASX 200 coal  producer New Hope Corporation Ltd (ASX: NHC) recorded the strongest share price growth.

New Hope Corporation shares increased 44.32% to finish the year at $5.34 per share.

Utilities

The S&P/ASX 200 Utilities Index (ASX: XUJ) rose 5.89% and delivered a total return of 11.87%.

Energy infrastructure company APA Group (ASX: APA) was the best performer of the utilities sector. 

The APA Group share price ascended 24.11% to finish FY26 at $10.14.  

Industrials

The S&P/ASX 200 Industrials Index (ASX: XNJ) edged 1.69% higher and produced total returns of 5.24%.

ASX 200 defence share Electro Optic Systems Holdings Ltd (ASX: EOS) recorded the highest capital growth.

The Electro Optic Systems share price soared 261% to finish the year at $10.30. 

Financials

The S&P/ASX 200 Financials Index (ASX: XFJ) fell 1.89% in value, but dividends lifted the total return into the green at 1.69%. 

New Zealand-based infrastructure investment company, Infratil Ltd (ASX: IFT) was the best performer of the financials sector.

The Infratil share price lifted 28.8% to finish the year at $12.61.

Consumer discretionary

The S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) fell 3.56% and produced a total negative return of 1.21%.

The Eagers Automotive Ltd (ASX: APE) share price experienced the most growth in the consumer discretionary sector. 

The Eagers Automotive share price rose 21.83% to finish the year at $21.26. 

Real estate & REITs

The S&P/ASX 200 Real Estate Index (ASX: XPJ) dropped 5.32% and delivered a total negative return of 2.24%.

Property fund manager Charter Hall Group (ASX: CHC) outshone its property sector peers.

The ASX real estate investment trust (REIT) rose 19.12% to $22.66 on 30 June. 

Communications

The S&P/ASX 200 Communications Index (ASX: XTJ) tanked 12.4% and delivered a negative total return of 9.41%.

Telco stock Aussie Broadband Ltd (ASX: ABB) rose the most in FY26. 

The Aussie Broadband share price ripped 26.09% to $4.93 on 30 June.

Technology

The S&P/ASX 200 Information Technology Index (ASX: XIJ) dove 37.22%, with a total negative return of 36.97% in FY26. 

Codan Ltd (ASX: CDA) shares outperformed in the technology sector last year.

The Codan share price screamed 119.49% higher to $44.14 on 30 June.

Healthcare

Healthcare was the worst-performing sector of FY26.

The S&P/ASX 200 Health Care Index (ASX: XHJ) tumbled 37.4% and delivered a negative total return of 36.15%.

The 4DMedical Ltd (ASX: 4DX) share price was absolutely unstoppable in FY26. 

Shares in 4DMedical skyrocketed 1,786% to $4.53 on 30 June. 

The respiratory imaging tech company was not only the shining star of the healthcare sector.

It was also the No. 1 stock for capital growth overall in FY26.

The post Top ASX 200 share of each market sector in FY26 appeared first on The Motley Fool Australia.

A small group of ASX shares have ex-dividend dates this month.

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

So, if you're looking for some extra income before the end of the financial year (EOFY), these ASX shares provide options.

Ex-dividend dates also provide another opportunity.

Share prices usually fall on ex-dividend dates, so you may be able to pick up a stock you've been watching for a lower price.

Among the shares going ex-dividend this month are ASX agriculture stock Select Harvests Ltd (ASX: SHV).

The almond producer will trade ex-dividend on 17 June and pay investors 3.5 cents per share on 15 July.

Bell Potter has a buy rating on Select Harvests shares with a 12-month price target of $5.30, compared with $3.86 currently.

ASX 200 iron ore share Champion Iron Ltd (ASX: CIA) has an ex-dividend date of 11 June and will pay 2 cents per share on 8 July.

RBC Capital has a buy rating on Champion Iron with an $8.11 target, compared to $4.30 per share today.

Several of Wilson Asset Management's listed investment companies (LICs) will also go ex-dividend this month.

These include WCM Global Growth Ltd (ASX: WQG), which will trade ex-dividend on 10 June.

WCM Global Growth investors will receive a dividend of 2.2 cents per share on 30 June.

ASX shares with ex-dividend dates in June

The post 15 ASX shares going ex-dividend before EOFY appeared first on The Motley Fool Australia.

They've issued a bunch of new research notes, and I've selected three focused on ASX 200 companies that Macquarie has given an outperform rating to.

Let's see what they're saying.

Santos Ltd (ASX: STO)

Santos held its annual investor briefing this week, which focused on the company's growing free cash flow.

The company's Barossa and Pikka projects are also now producing, with Macquarie saying Santos was now past "peak capex".

Santos' break-even oil price is now US$45 to US$50 per barrel, compared to current prices of about US$88 per barrel.

Macquarie said Santos outlined US$4.9 billion in shareholder returns over CY26-30 and a US$2.5 billion reduction in debt by 2030.

Macquarie said in its research note:

Santos now has a suite of higher-quality opportunities to pursue in Alaska, PNG, Beetaloo (potentially Bedout). This focus should see it create currently unrecognised value from its existing footprint.

Macquarie has a price target of $9.15 on Santos shares compared to the current price of $7.73.

Web Travel Group Ltd (ASX: WEB)

Web Travel Group earlier this week delivered a strong set of full-year numbers, reporting that total transaction volume (TTV) was up 20% year over year to $5.8 billion, driven by "significant organic growth in the Americas and Europe", while TTV margins improved by 0.1% to 6.8%.

Revenue increased 20% to $394.1 million while net profit was up from $11.1 million in FY25 to $35.5 million.

Macquarie said while TTV was in line with consensus estimates, TTV margins were better than expected.

They said margins could come under pressure as the Middle East conflict drags on, but that the company's ongoing investment should position them well for any recovery in travel activity.

As Macquarie said:

Outlook continues to be impacted by ongoing conflict disruption and uncertainty, continued investment supports WEB's ability to improve margins as it scales over the medium term.

Macquarie has a price target of $4.05 on Web Travel Group shares compared with $2.70 currently.

Infratil Ltd (ASX: IFT)

Infratil, which invests in data centre and renewable energy businesses, this week reported that full-year EBITDAF rose 11% to NZ$989 million, while total asset value increased 13% to NZ$20.6 billion.

The company said its earnings were mainly driven by investments in its Australasian data centre business CDC and its US renewable energy business Longroad Energy, and it expected earnings to increase by 21% in FY27.

Macquarie said there were several potential catalysts to boost the share price, including the possible sell-down of an additional $1 billion in assets, which would simplify the company.

Further announcements around contracting for signings to CDC could also be a positive, they said.

Macquarie has a price target of $17.23 on Infratil shares compared to $13.17 currently.

The post Macquarie names 3 ASX 200 stocks to buy right now appeared first on The Motley Fool Australia.

After some morning wobbles, the ASX 200 spent most of the session in green territory, and ended up closing with a happy 0.69% rise. That leaves the index at 8,717.7 points.

This pleasant Wednesday session for Australian investors comes after a mixed return to trading for the American markets last night, following Monday's public holiday.

The Dow Jones Industrial Average Index (DJX: .DJI) gave up some initial optimism to close down 0.23%.

However, the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) fared better, gaining a solid 1.19%.

But let's return to the local markets now and look a little closer at what was happening with the different ASX sectors this hump day.

Winners and losers

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

That's because the team at Morgans believes they could rise 9% to 27%. Here's what the broker is saying:

Aroa Biosurgery Ltd (ASX: ARX)

This medical device company delivered an FY 2026 result that was in line with expectations.

In response, the broker has retained its buy rating on Aroa Biosurgery's shares with an improved price target of 79 cents. Based on its current share price of 62 cents, this implies potential upside of 27%. It said:

ARX posted its FY26 result which was in line with the recently released trading update and our forecast. Higher sales and marketing spend in FY27 results in a flat EBITDA, however the benefits of this investment will be seen in FY28/29 where a significant step up is expected. As a result of changes to forecasts and the roll forward of our model, our target price increases to A$0.79 (from $0.77). We maintain a BUY recommendation.

Goodman Group (ASX: GMG)

Another ASX share that Morgans is positive on is industrial property company Goodman.

In response to its quarterly update, the broker has retained its buy rating with a $36.00 price target. Based on the current Goodman share price of $29.86, this implies potential upside of 20% for investors. Morgans commented:

Operationally the update was mixed, with pre-committed share, production rate and Yield On Cost (YOC) all relatively flat hoh. The structurally important note was management's view that industry DC capex requirements likely exceed global capital market funding capacity, a backdrop that favours those with secured power, sites and locked-in capital partners. FY26 OEPSg guided to 'at least 9%' (prior 9%; MorgansF 9.2%; Consensus 9.8%), marginally up.

We partially reverse the discretionary discount applied in our March sector update (-10% to -5%) reflecting growing conviction in the capital-scarcity moat and peer pre-commit validation, noting that GMG's own leading indicators have not yet inflected. BUY reiterated; TP to A$36.00/sh.

Infratil Ltd (ASX: IFT)

A third ASX share that Morgans has been looking at is infrastructure investment company Infratil.

The broker was pleased with its FY 2026 results, noting that earnings grew quicker than expected.

As a result, the broker has retained its accumulate rating with an increased price target of $13.80. Based on its current share price, this implies potential upside of approximately 9%.

Commenting on the company, Morgans said:

IFT's FY26 result was strong with net proportionate EBITDA from continuing operations lifting ~11% YoY and coming in 4% ahead of our forecast. Proportionate capex was above our forecast. It lifted 17% YoY and is set to lift ~57% in FY27 as management recycles capital to reinvest in IFT's key growth assets. Portfolio Asset Value lifted 13% YoY to NZ$20.6bn, in line with our expectations.

IFT declared a 13.65c final dividend, in line with earlier guidance. We retain our ACCUMULATE recommendation and lift our Target Price ~22% to $13.80, following CDC's largest ever contract win.

The post Morgans says these ASX shares can rise 9% to 27% appeared first on The Motley Fool Australia.

The company, which invests in data centre and renewable energy businesses, said full-year EBITDAF was up 11% to NZ$989 million, while its total asset value was up 13% to NZ$20.6 billion.

Outlook seen as weak

Infratil said it expected earnings to increase 21% in FY27, which RBC Capital Markets said came in below their expectations and which were "soft" and "underwhelming".

The company said its earnings were mainly driven by investments in the Australasian data centre business CDC and the US renewable energy business Longroad Energy.

Infratil Chief Executive Officer Jason Boyes said the company was "very pleased to deliver a 13.9% total shareholder return across FY26, despite ongoing market noise and volatility".

Demand for efficient AI infrastructure is striking and may be the investment opportunity of a lifetime. CDC's announcement in early May of Australasia's largest ever data centre contract has swept aside the market ups and downs of FY26, adding approximately 35% of returns since 31 March. CDC has demonstrated Australasia's opportunity to attract global computing capacity, supported by regional stability, competitive build costs and access to renewable energy.

Infratil said CDC now had more than 1 gigawatt of contracted capacity and was forecasting earnings growth of more than 150% to more than $1 billion in FY28.

The company said that Longroad was also benefiting from data centre expansions.

Longroad Energy's EBITDAF increased 170% to US$121 million in FY26 and is forecast to grow strongly as more generation enters operation. It has lifted its solar and battery projects under construction to a record 2GW in FY26 which combined with the 3.5GW already in operation, will deliver total generation capacity equivalent to about half of New Zealand's current capacity. With electricity demand in the USA projected to increase by about 30% to 50% by 2040, Infratil has agreed to provide a further US$300 million to support Longroad's acceleration over the next two years.

Longroad is targeting US$1 billion in earnings by CY29/30, Infratil said, underpinned by the recent acquisition of a very large-scale, circa 2.8 gigawatt solar and battery development.

Sticking to the strategy

Mr Boyes said the company was constantly on the lookout for new opportunities, with data centres and renewables likely to remain the best bets.

We're exploring more opportunities to bring power and data centre expertise together – delivering integrated solutions for customers in a way that is more efficient and at greater scale. Longroad, for example, has established a dedicated data centre team and is progressing options to develop more than 4GW of grid-connected data centres, co-located with its solar and battery storage projects. These options could include simply providing the sites as powered land, or with powered shells developed by Longroad or with other partners.

Infratil shares were 6.4% lower on Tuesday at $12.22. The company is valued at $13.05 billion.

The post Why are this ASX data centre company's shares down more than 6% appeared first on The Motley Fool Australia.

Yesterday, Contact Energy Ltd (ASX: CEN) found itself in exactly that position, with its shares suspended from trading on both the NZX and ASX while its major shareholder Infratil Ltd (ASX: IFT) completed a significant stake sale.

Trading has since resumed.

But investors may still be seeking a clear explanation of what happened and what it means going forward.

What triggered the halt

The halt was triggered after Contact Energy was notified that Infratil had launched a fully underwritten institutional block trade to sell a portion of its stake in the company.

Contact said the halt was necessary to ensure on-market trading was not distorted by the off-market sale process, stating:

"Contact is not otherwise involved in the process."

Infratil ultimately sold 53.5 million ordinary shares, representing a 5% stake in Contact Energy, at $9.25 per share, generating gross proceeds of approximately NZ$495 million.

After the transaction, Infratil's stake in Contact Energy fell from approximately 14.3% to around 9.08%.

The trading halt was in place for one day, with trading resuming once Contact confirmed the sale process had concluded.

Why did Infratil sell?

Importantly, the sale does not appear to reflect any loss of confidence in Contact Energy itself.

According to Infratil's management, the move was about creating flexibility for future growth opportunities rather than a negative view on the business.

Infratil CEO Jason Boyes said:

We received our initial stake in Contact as part of the sale of Manawa Energy in July 2025 and we remain confident in Contact and the sector's outlook. While we have no immediate funding requirements and our divestment programme is on track, we consider it prudent to reposition this capital now. Infratil remains supportive of Contact and has committed to retaining its remaining shares through to, at least, Contact's FY26 full year results announcement.

Reassuringly for investors, the decision seems to reflect a capital allocation decision rather than a fundamental concern about Contact's outlook.

What does this mean for Contact Energy investors?

In the short term, a large block of shares entering the market can place temporary downward pressure on the stock simply due to the increase in supply.

However, the longer-term investment case for Contact Energy rests on the company's underlying business performance, which has been going well.

Contact lifted electricity and gas sales in April 2026 while progressing new renewable projects and cutting generation costs, continuing a pattern of steady operational delivery.

The company's Contact31+ strategy, backed by a NZ$125 million retail share offer earlier this year, is advancing a pipeline of renewable energy developments that management believes will drive earnings growth over the next decade.

Furthermore, Contact Energy is a 100% renewable electricity generator and retailer operating in New Zealand's highly regulated energy market.

This should translate into very predictable cash flows and a competitive moat that may attract long-term investors.

Foolish takeaway

A trading halt caused by a shareholder selling down a stake, while alarming, does not have to be a major cause of concern for investors.

In Contact Energy's case, the business itself has not changed, the strategy has not changed, and the selling shareholder has publicly committed to retaining its remaining position.

For existing investors, the short-term supply overhang may create a more attractive entry point than was available yesterday.

The post Why trading was paused for this ASX energy share and what it means for investors 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:

Contact Energy Ltd (ASX: CEN)

The Contact Energy share price is down 6% to $7.70. This follows news that major shareholder Infratil Ltd (ASX: IFT) has completed the sale of a 5% stake in the energy company. Infratil's CEO, Jason Boyes, advised that the transaction would provide additional flexibility to fund future growth opportunities. He said: "We received our initial stake in Contact as part of the sale of Manawa Energy in July 2025 and we remain confident in Contact and the sector's outlook. While we have no immediate funding requirements and our divestment programme is on track, we consider it prudent to reposition this capital now. This means we're well prepared to support future growth opportunities across our portfolio."

IPD Group Ltd (ASX: IPG)

The IPD Group share price is down 11% to $5.50. Investors have been selling this electrical solutions provider's shares following the release of guidance for FY 2026. IPD advised that it expects FY 2026 underlying EBITDA of between $54.5 million and $55.3 million. This represents growth of around 18% at the midpoint compared with FY 2025 statutory EBITDA. However, this seems to have fallen short of the market's expectations for the year.

Northern Star Resources Ltd (ASX: NST)

The Northern Star share price is down 2% to $19.00. This has been driven by news that the gold mining giant's CEO is stepping down. The company's managing director, Stuart Tonkin, has advised the board of his intention to step down during the first quarter of FY 2027. Tonkin has been with Northern Star for 13 years. He said: "After 13 years leading Northern Star through significant growth, I'm proud to leave the Company in an exceptional position. The team, the assets and the outstanding growth outlook is unique and after many years of rewarding challenges, I have decided to step down."

Tower Ltd (ASX: TWR)

The Tower share price is down 7% to $1.57. This morning, the New Zealand-based insurance company announced its half-year results and reported a 40% decline in underlying net profit after tax to NZ$36.8 million. Management advised that this half "compares against an exceptionally strong prior-year half, which benefited from unusually benign weather conditions and favourable claims experience."

The post Why Contact Energy, IPD, Northern Star, and Tower shares are sinking today appeared first on The Motley Fool Australia.

The deal will see Infratil earn almost NZ$500m after it sells 53.5 million shares at NZ$9.25 each through a fully underwritten institutional block trade.

After the sale, Infratil's stake in Contact Energy will drop to roughly 9.08%.

Why is Infratil selling?

According to Infratil's management, the move is about creating flexibility for future growth opportunities rather than losing confidence in Contact Energy itself.

Infratil CEO Jason Boyes said the company remains confident in both Contact Energy and the broader energy sector outlook. He noted that Infratil originally received its Contact Energy stake as part of the Manawa Energy transaction, which was completed in 2025.

Boyes also said Infratil currently has no immediate funding pressures, but believes it is prudent to reposition its capital now so that the company is ready to support future growth opportunities across its portfolio.

That explanation makes sense given how infrastructure investors typically operate.

Companies like Infratil regularly recycle capital by selling mature investments and redirecting funds into new opportunities with potentially stronger long-term returns. Infratil has investments spanning renewable energy, digital infrastructure, healthcare, and data centres. These are all sectors that require substantial amounts of capital to grow.

Importantly, Infratil is not completely exiting Contact Energy.

The company said it intends to retain its remaining shares through at least Contact Energy's FY26 results announcement in August 2026, subject to customary exceptions.

Contact Energy shares were placed in a trading halt prior to the announcements, and its investors will likely be focused on the large volume of shares being sold into the market. Big sell-downs can sometimes place short-term pressure on a stock simply because of the increase in supply.

Longer term, though, investors will probably pay closer attention to Contact Energy's underlying business performance and Infratil's next move with the cash raised from the sale.

Infratil shares are up 28% so far in 2026, whilst Contact Energy shares are roughly flat from where they started the year.

The post Why is Infratil cashing out of its Contact Energy shares? appeared first on The Motley Fool Australia.

The ASX 200 spent today's entire session in red territory and ended up closing down 0.49%. That leaves the index at 8,701.8 points.

This rough start to trading this week for Australian investors comes after a more positive end to the American week on Friday night (our time).

The Dow Jones Industrial Average Index (DJX: .DJI) barely broke even, inching just 0.025% higher.

The tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) was far more confident, though, rising a happy 1.71%.

But let's get back to this week and the local markets now for a look at what was happening with the different ASX sectors today.

Winners and losers

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

One of this week's outperformers is involved in the critical metals space, the second is investing in AI infrastructure, and the third is a major Aussie gold miner.

Which outperforming ASX 200 stocks am I talking about?

I'm glad you asked!

Capricorn Metals Ltd (ASX: CMM) shares continue strong momentum

First up, we have Capricorn Metals.

Shares in the ASX gold miner closed last Friday trading for $11.77. At the time of writing, shares are changing hands for $13.65 apiece. That puts this ASX 200 stock up 16% in this week's flat market.

There was no fresh price-sensitive news out from Capricorn Metals this week.

But the stock will have enjoyed an improving gold price and outlook amid rising hopes for a Middle East peace deal this week.

Capricorn Metals released its quarterly results after market close on 28 April.

With the miner reporting record quarterly cash flow from operations of $143.1 million and declaring its first-ever dividend, investor interest remained strong this week.

Moving on…

ASX 200 stock Infratil Ltd (ASX: IFT) rockets on data centre news

The second-best performing ASX 200 stock on my list for the week is infrastructure investment company Infratil.

Infratil shares closed last week trading for $10.45 and are currently trading for $12.42, up 18.9%.

Most of those gains were delivered on Wednesday.

Infratil shares closed up 15% on the day after announcing that data centre operator CDC had inked a 30-year contract for 555MW in new data centre capacity with a major United States customer.

Infratil is the largest shareholder in CDC.

Investors reacted positively to Wednesday's announcement, which amounts to Australia's largest data centre contract in history. Indeed, the contract is equivalent to some 40% of Australia's total data centre capacity in 2025.

Commenting on the contract that sent the ASX 200 stock surging on Wednesday, Infratil CEO Jason Boyes said:

This contract reflects the strong global track record CDC has established in delivering large-scale, future-proofed and sustainable data centre campuses, and consolidates its position as the largest data centre provider across Australia and New Zealand.

Which brings us to…

IperionX Ltd (ASX: IPX) shares attract director interest

The best-performing ASX 200 stock on my list this week is titanium products producer IperionX.

IperionX shares closed at $4.50 last Friday. At the time of writing, shares are swapping hands for $5.59, up 24.2% in this week's flat market.

There was no fresh price-sensitive news out from IperionX this week. But investor interest remains strong, with the company potentially enjoying long-term support from increased global defence spending, ramping up demand for critical metals.

Investors may also have noted that the company's directors have been snapping up shares.

As The Motley Fool reported last Friday, IperionX executive chairman Todd Hannigan bought $2.07 million worth of shares in late April. And CEO Anastasios Arima also bought more shares, valued at some $494,000.

The post 3 ASX 200 stocks storming higher in this week's flat market appeared first on The Motley Fool Australia.

After staying comfortably in green territory all day, the ASX 200 ended up closing a solid 1.3% higher, leaving the index at 8,793.6 points.

This happy hump day for ASX investors follows a similarly upbeat night over on Wall Street.

The Dow Jones Industrial Average Index (DJX: .DJI) was in fine form, rising 0.73%.

The tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) did even better, gaining 1.03%.

But let's get back to the ASX now though and dive a little deeper into what was happening amongst the various ASX sectors navigated today's tough trading conditions.

Winners and losers

The post Here are the top 10 ASX 200 shares 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 storming higher:

DigiCo Infrastructure REIT (ASX: DGT)

The DigiCo Infrastructure REIT share price is up 22% to $2.89. This morning, the data centre company announced a binding agreement to sell its CHI1 facility in Chicago for US$750 million. This represents a 5% premium to its November 2024 purchase price. The sale is expected to complete in the first quarter of FY 2027. This will take its pro forma net debt to approximately $0.5 billion, while gearing is expected to drop from 36% to 17%. Management intends to redeploy capital into the SYD1 development in Sydney, which it describes as its most compelling growth opportunity. It may also look at returning funds to shareholders.

HMC Capital Ltd (ASX: HMC)

The HMC Capital share price is up 15% to $2.90. This follows the release of a business update from the investment company today. Management advised that fund management earnings are maintaining their growth trajectory and tracking to guidance. As a result, it has reaffirmed its pre-tax operating earnings per share guidance of greater than 40 cents per share. It has also reaffirmed its dividend guidance of 12 cents per share. That represents a 4.1% dividend yield at current prices.

Infratil Ltd (ASX: IFT)

The Infratil share price is up 12% to $11.77. This follows news that its 49.7%-owned data centre business, CDC, has signed Australia's largest-ever data centre contract. It has agreed a 555MW deal with a US investment grade customer, taking total CDC contracted capacity to over 1 gigawatt. When fully deployed, management estimates that CDC's total contracted capacity would deliver annualised EBITDA of approximately NZ$2 billion. Infratil's CEO, Jason Boyes, said: "Today's announcement underscores Australasia's opportunity to attract global computing capacity, supported by regional stability, competitive build costs and access to renewable energy."

Qantas Airways Ltd (ASX: QAN)

The Qantas Airways share price is up over 2% to $8.59. This appears to have been driven by a pullback in oil prices after Donald Trump signalled that progress is being made with a US-Iran peace deal. This would be good news for Qantas, especially given how fuel is the company's largest expense.

The post Why DigiCo, HMC Capital, Infratil, and Qantas shares are taking off today appeared first on The Motley Fool Australia.

The ASX stock is now up around 23% year to date, comfortably outperforming the broader S&P/ASX 200 Index (ASX: XJO), which is essentially flat over the same period.

So what's driving the sharp move higher?

Largest data centre deal

The catalyst for the soaring share price is a landmark contract signed by CDC Data Centres. The company has secured what is being described as Australia's largest-ever data centre deal.

ASX stock Infratil is an infrastructure investment company with assets spanning renewable energy, healthcare, airports and digital infrastructure. One of its most important holdings is CDC, a rapidly growing operator of hyperscale data centres across Australia.

CDC sits at the centre of rising demand for cloud computing, artificial intelligence infrastructure and sovereign data storage. It builds and operates large-scale, highly secure facilities that underpin the digital services used by governments, enterprises and global technology firms.

The $555MW mega-deal explained

The latest contract is a major milestone for CDC and the ASX stock. CDC has signed a 555MW long-term agreement with a US investment-grade customer. The deal includes a 30-year contract for 555MW of new capacity, with options to extend for a further 20 years. With this agreement,

CDC's total contracted capacity now exceeds 1 gigawatt. That's more than double its previous contracted base.

Importantly, the scale of this deal highlights CDC's dominant position in the market. The 555MW alone represents roughly 40% of Australia's total expected data centre operating capacity in 2025, underlining just how significant this expansion is for the industry.

The capacity is already under development and scheduled to come online across FY28 and FY29. That means it fits within existing construction plans and does not require a major change in capital strategy.

Strong financial position and growth runway

CDC's balance sheet remains robust, with about $3.9 billion in cash and undrawn facilities as of 31 March. Earlier this year, shareholders including ASX stock Infratil contributed a further $500 million in equity. However, the latest contract does not require additional funding beyond current plans.

The earnings outlook also remains strong. CDC has maintained FY27 EBITDAF guidance of A$680 million to A$720 million, with FY28 EBITDAF expected to exceed A$1 billion. Beyond this contract, CDC continues to scale aggressively, with a development pipeline of around 1.6GW through to 2034.

The business has also strengthened its funding position. Moody's Investors Service assigned CDC's Australian operations a Baa2 (Stable) credit rating, improving access to global debt markets.

Foolish Takeaway

The market reaction reflects the scale and quality of this contract. A long-duration agreement with a major international customer provides strong revenue visibility. It also reinforces CDC's position as a leading player in Australia's data infrastructure boom.

For Infratil, it strengthens one of its key growth engines. It also helps explain why the ASX stock is extending its strong run in 2026.

The post Why is this $10 billion ASX stock racing 12% higher today? appeared first on The Motley Fool Australia.

What did Infratil report?

• CDC secures a 30-year contract for 555MW in new data centre capacity, with options to extend by 20 years
• Total CDC contracted capacity surpasses 1GW, more than doubling with this agreement
• CDC FY27 EBITDAF guidance remains at A$680m to A$720m; FY28 EBITDAF expected to exceed A$1 billion
• Annualised EBITDAF of approximately A$2 billion projected when all contracted capacity is deployed
• CDC expects FY27 capex of A$3.8bn to $4.2bn (excluding land), supporting construction of new sites

What else do investors need to know?

CDC's contract will use capacity already under development, due to be operational across FY28 and FY29. The 555MW capacity alone represents roughly 40% of the total Australian data centre operating capacity forecast for 2025, underlining CDC's position as the largest provider in Australasia.

CDC's balance sheet remains strong, with A$3.9 billion in cash and undrawn facilities as at 31 March. Earlier this year, CDC shareholders, including Infratil, provided a further A$500 million in equity, but the new contract fits fully within CDC's current growth plan and won't require more capital from investors.

What's next for Infratil?

CDC is aiming for its newly contracted capacity to become operational through FY28 and FY29. Longer-term, CDC continues to develop more sites, with a current pipeline of 1.6GW for future builds through to 2034, and plans for further expansion in response to strong demand.

Moody's recently assigned CDC's Australian business a Baa2 (Stable) credit rating, enhancing access to global debt markets to help fund its construction and growth. All up, Infratil sees CDC's expansion as a major driver of earnings and value for its shareholders.

Infratil share price snapshot

Over the past 12 months, Infratil shares have risen 2%, underperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 6% over the same period.

View Original Announcement

The post Infratil shares: CDC inks Australia's largest data centre contract appeared first on The Motley Fool Australia.