Let's see if it is bullish, bearish, or something in between. Here's what the broker is saying:

Pro Medicus Ltd (ASX: PME)

Morgans remains positive on this medical imaging technology company after reviewing its financial model. This week, the broker has reaffirmed its accumulate rating and $230.00 price target on Pro Medicus shares. It said:

We have identified an error in the previously published financial summary tables, where a number of figures did not pull through correctly from our underlying model. The error was presentational only. The underlying financial model is unchanged, with no impact on any forecast, assumption or valuation input. No change to our ACCUMULATE rating or A$230.00 DCF-based target price.

ResMed Inc. (ASX: RMD)

The broker has been looking at ResMed's decision to sell one of its software businesses. Morgans supports the decision and believes ResMed remains well-placed for growth through to FY 2028.

In response, it has retained its buy rating with a $40.97 price target. It explains:

MatrixCare will be divested for US$490m cash (c9x earnings), crystallising a disappointing financial outcome (paid US$750m (25x) in 2018) for a business that expanded software capabilities but delivered modest earnings growth. Strategically, however, we believe the transaction makes sense, as it simplifies the portfolio and retains Brightree and MEDIFOX DAN, while exiting a lower-growth, non-core software business. Importantly, net proceeds will largely be returned to shareholders via an accelerated share repurchase (ASR), which should substantially offset earnings dilution from both the MatrixCare disposal and the recently completed Noctrix acquisition, while FY26 guidance has been reaffirmed. We make modest adjustments to FY26-28 forecasts, with our target price moving to A$40.97 (from A$41.72). BUY.

Worley Ltd (ASX: WOR)

Morgans isn't feeling as positive on this engineering company. It thinks investors should probably keep their powder dry for the time being due to challenging trading conditions. As a result, it has put a hold rating and $10.80 price target on its shares. It said:

The late June trading update lifted the FY26 Middle East impost to $60m EBITA (from $30-40m) and quantified the 2H FX impact as $50m. Medium term, WOR should see some earnings support from Middle East repair activity and a broader uplift in global upstream hydrocarbon spending driven by renewed energy security concerns. However, consensus already embeds strong growth into FY27 (Visible Alpha EBITA +12% YoY) which is well above industry forecast growth rates. With capex expectations continuing to soften in the key Energy end-market and the order book likely to roll over at the FY26 result, we retain our conservative view. We reduce our EBITA forecasts by 8-9% across our forecast period and cut our target price to $10.80 (from $11.80). HOLD maintained.

The post Buy, hold, sell: Pro Medicus, Worley, and ResMed shares appeared first on The Motley Fool Australia.

Brokers have reduced their ratings on many ASX 200 shares this week.

Let's take a look at their new ratings and 12-month share price targets.

Rio Tinto Ltd (ASX: RIO)

The Rio Tinto share price is $157.90, down 3.6% today.

Over the past 12 months, this ASX 200 mining share has climbed 47%.

Morgan Stanley downgraded Rio Tinto shares to a sell rating today.

The broker has a 12-month price target of $149.

This implies a potential 5% downside ahead.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price is $10.15, down 3.6% today.

Magellan was one of the top 5 ASX 200 financial shares for capital growth in FY26, rising 13%.

The highlight of the year was Magellan's proposed merger with boutique investment bank, Barrenjoey Capital Partners.

Magellan and Barrenjoey completed the merger on 1 July. 

Morgans downgraded Magellan shares to a hold rating on Monday.

The broker lifted its 12-month price target slightly from $11.19 to $11.29.

This implies a potential 11% upside ahead.

Magellan will ask shareholders to vote on a company rebrand to Barrenjoey Group at the AGM in October.

Lottery Corporation Ltd (ASX: TLC)

The Lottery Corporation share price is $5.48, up 0.2% today.

This ASX 200 consumer discretionary share has risen 2.1% over the past year.

Citi downgraded the stock to a sell rating with a $5 target this week.

This indicates a possible 8% decline ahead.

Transurban Group (ASX: TCL)

The Transurban share price is $14.69, up 0.2% today.

This ASX 200 industrials share has risen 9.5% over 12 months.

UBS downgraded Transurban shares to a hold rating with a $14.50 target.

This suggests a potential 1% downside ahead.

Evolution Mining Ltd (ASX: EVN)

The Evolution Mining share price is $11.01, down 3.7% today.

This ASX 200 gold share has stormed 51% higher over the past year.

Macquarie downgraded Evolution shares to a hold rating yesterday.

The broker lowered its 12-month price target from $13 to $12.

This suggests potential capital growth of 8% over the next year. 

Worley Ltd (ASX: WOR)

The Worley share price is $10.78, up 0.5% today.

This ASX 200 industrials share has tumbled 18% over the past 12 months.

Ord Minnett downgraded Worley shares from accumulate to hold with a $12.70 target on Wednesday.

This still implies a potential 18% upside ahead.

The broker said:

There remains considerable uncertainty over short-term earnings for Worley and its peers.

More broadly, we highlight the change in Worley's business mix, with a modest shift to engineering, procurement and construction (EPC) work, i.e. larger developments and responsibility for full project delivery, a business segment that is higher risk than traditional consultancy and advisory.

Judo Capital Holdings Ltd (ASX: JDO)

The Judo share price is 89 cents, up 0.2% today.

Judo shares were sold off in June after the bank downgraded its profit guidance.

Ord Minnett downgraded Judo shares from a buy to a hold rating yesterday.

The broker slashed its 12-month price target from $2.40 to $1.60.

This implies a potential 80% upside ahead.

Ord Minnett commented:

We also cut our recommendation on Judo to Hold from Buy despite the apparent value on offer, given uncertainty around the company's processes and the time it will take for management to rebuild market confidence.

Pro Medicus Ltd (ASX: PME)

The Pro Medicus share price is $209.07, down 1.4% today.

Pro Medicus shares hit a 52-week low of $107.75 on 24 February. Since then, the ASX 200 healthcare share has ripped 94% higher.

Jefferies thinks the stock has overshot. The broker downgraded Pro Medicus shares to a hold rating yesterday.

The broker lifted its share price target substantially from $147 to $192.60.

But with Pro Medicus shares already trading well above that, the broker recommends investors sit tight.

Suncorp Group Ltd (ASX: SUN)

The Suncorp share price is $18.79, down 1% today.

This ASX 200 financial share has fallen 9.7% over 12 months.

Jarden downgraded Suncorp shares to a hold rating on Monday.

The broker raised its 12-month price target slightly from $19.10 to $19.60.

This implies a potential 4% upside ahead.

The post 9 ASX 200 shares downgraded by analysts this week appeared first on The Motley Fool Australia.

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

CAR Group Limited (ASX: CAR)

Ord Minnett has put a buy rating and $35.00 price target on this auto listings company's shares.

While it is facing a tough period, the broker remains positive and highlights its strong track record of resilience. It said:

CAR Group (CAR) has a strong track record of resilience through macroeconomic cycles, but current conditions suggest some modest near-term pressure. Reflecting this, Ord Minnett has trimmed its forecasts slightly, with our EPS estimate for FY26 and FY27 by around 1% for FY26–FY27. Our changes imply slightly softer growth than the broader market is anticipating. Our central assumption is that growth in the second half of FY26 moderates compared to the first half, before re-accelerating into FY27 and beyond.

Overall, currency movements and these modest operational adjustments translate to only minor forecast changes. On a constant currency basis, CAR is still expected to deliver around 10–11% net profit growth in FY27, or approximately 9% after foreign exchange impacts. Importantly, these macroeconomic pressures are likely to be temporary, with scope for growth to strengthen again from FY27.

Judo Capital Holdings Ltd (ASX: JDO)

The broker isn't feeling as positive on this small business lender. In response to a disappointing trading update, Ord Minnett downgraded Judo Capital shares to a hold rating with a heavily reduced price target of $1.60.

Commenting on the downgrade, it said:

The speed at which conditions for these three specific exposures deteriorated – none were on a watch list – is a significant concern for Ord Minnett and the broader market, raising questions as to just how rigorous and reliable Judo's monitoring processes are, not to mention management's credibility. We also highlight the large size of these particular loans – the combined exposure for Judo is $80 million, versus its average SME loan size of around $3 million – and question why Judo was making such large individual loans.

Post the trading update, we have cut our EPS estimates by 9.4%, 19.6% and 7.6% for FY26, FY27 and FY28, respectively, which drives a steep downgrade of our target price to $1.60 from $2.40. We also cut our recommendation on Judo to Hold from Buy despite the apparent value on offer, given uncertainty around the company's processes and the time it will take for management to rebuild market confidence.

Worley Ltd (ASX: WOR)

Worley is another ASX share that Ord Minnett has downgraded. It has cut its rating on the engineering company's shares to a hold rating with a reduced price target of $12.70.

Ord Minnett has concerns about its near-term earnings outlook. It explains:

There remains considerable uncertainty over short-term earnings for Worley and its peers. More broadly, we highlight the change in Worley's business mix, with a modest shift to engineering, procurement and construction (EPC) work, i.e. larger developments and responsibility for full project delivery, a business segment that is higher risk than traditional consultancy and advisory.

‍Worley does not have the same exposure as the EPC sector's major operators, e.g. Italy's Maire or France's Technip Energies, but its risk profile has increased versus consulting and advisory peers such as US-based Jacobs Solution and Fluor Corp. There is apparent value on offer in Worley but the uncertainty around near-term earnings, and what we see as an increasing risk profile, mean we cut our recommendation to Hold from Accumulate.

The post Buy, hold, sell: CAR Group, Judo Capital, and Worley shares appeared first on The Motley Fool Australia.

Four ASX shares that are falling more than most today are listed below. Here's why they are ending the week in the red:

4DMedical Ltd (ASX: 4DX)

The 4DMedical share price is down almost 11% to $4.08. This is despite the respiratory imaging technology company announcing that its non-contrast ventilation-perfusion imaging solution, CT:VQ, has been approved by the Therapeutic Goods Administration (TGA). The TGA has also included the product in the Australian Register of Therapeutic Goods (ARTG), which enables commercial deployment across Australia. Broad weakness in the tech sector on Friday could be overshadowing this news.

Centuria Capital Group (ASX: CNI)

The Centuria Capital share price is down 2.5% to $1.98. This has been driven by the property company's shares going ex-dividend this morning for its latest payout. Eligible shareholders can now look forward to receiving Centuria Capital's 5.2 cents per share final dividend in a couple of months. The company is expecting to make the payment on 27 August.

Judo Capital Holdings Ltd (ASX: JDO)

The Judo Capital share price is down a further 1.5% to 90 cents. This small business lender's shares have been sold off this week after it increased its cost of risk and downgraded its earnings guidance. Judo Capital revealed that it now expects its FY 2026 cost of risk to be in the range of $116 million to $122 million. This has been caused by three exposures across different sectors that have recently emerged. As for its earnings, Judo Capital now expects its profit before tax in FY 2026 to be between $163 million and $169 million. This is down from its previous guidance of between $180 million and $190 million. The company's CEO, Chris Bayliss, said: "While today's update is partly a result of the macro environment, it is nevertheless disappointing."

Worley Ltd (ASX: WOR)

The Worley share price is down 4% to $10.64. This may have been driven by the release of a broker note out of Ord Minnett. According to the note, the broker has downgraded the professional services company's shares to a hold rating (from accumulate) with a trimmed price target of $12.70 (from $13.10). This was driven by a profit guidance downgrade this week due to the negative impacts of the Middle East conflict.

The post Why 4DMedical, Centuria Capital, Judo Capital, and Worley shares are dropping today appeared first on The Motley Fool Australia.

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

Judo Capital Holdings Ltd (ASX: JDO)

The Judo Capital share price is down 40% to 92.5 cents. Investors have been selling the small business lender's shares after it increased its cost of risk and downgraded its earnings guidance. Judo Capital now expects its FY 2026 cost of risk to be in the range of $116 million to $122 million. This has been driven by three exposures across different sectors that have recently emerged. As a result, Judo Capital now expects its profit before tax in FY 2026 to be between $163 million and $169 million. This is down meaningfully from its previous guidance of between $180 million and $190 million. The company's CEO, Chris Bayliss, said: "While today's update is partly a result of the macro environment, it is nevertheless disappointing."

Minerals 260 Ltd (ASX: MI6)

The Minerals 260 share price is down almost 12% to 83.5 cents. The gold industry is a sea of red on Thursday following another pullback in the gold price. This has seen the S&P/ASX All Ords Gold Index drop 5% today. In other news, this morning, Minerals 260 released results from the ongoing drilling program at its 100% owned 4.5Moz Bullabulling Gold Project. It is possible that some investors were expecting stronger results than those that were released.

Santos Ltd (ASX: STO)

The Santos share price is down 3% to $7.03. Investors have been selling energy shares today following another pullback in oil prices overnight. Traders were selling oil after tankers continued to pass through the Strait of Hormuz. The S&P/ASX 200 Energy Index is down 2.5% this afternoon.

Worley Ltd (ASX: WOR)

The Worley share price is down almost 9% to $11.20. This morning, this professional services company revealed that the Middle East conflict has continued to impact its earnings. Worley now estimates the impact to FY 2026 underlying EBITA to be up to $60 million. This is up materially from its previous estimate of $30 million to $40 million. It explains: "The extended duration and ongoing impact of the Middle East conflict continues to cause disruption to the progress of existing projects. While there have been no project cancellations, customers continue to delay the commencement and award of new projects."

The post Why Judo Capital, Minerals 260, Santos, and Worley shares are dropping today appeared first on The Motley Fool Australia.

At the time of writing, the Worley share price is down a sizeable 9.13% to $11.15. By comparison, the S&P/ASX 200 Index (ASX: XJO) is currently down 0.38% to 8,775 points.

That leaves the ASX industrial stock down around 11% over the past month and 15% lower than this time last year.

The latest update clearly hasn't landed well with investors, with the company pointing to a larger-than-expected hit to FY26 earnings.

Let's take a closer look at what was announced.

Worley warns on earnings

According to the release, Worley now expects the adverse impact on FY26 underlying EBITA to be up to $60 million.

Back in April, the company thought the impact would be closer to $30 million to $40 million.

Worley said the extended duration and ongoing impact of the Middle East conflict continue to disrupt the progress of existing projects.

No projects have been cancelled, which is at least some good news. But customers are still pushing back the start of new work and delaying project awards.

Worley noted that recent developments in the region have been positive, including talks around ending the conflict and reopening the Strait of Hormuz.

However, the uncertainty around contract timing still appears to be making investors nervous today.

Currency adds another headwind

In addition to the disappointing update, Worley said the stronger Australian dollar in the second half of FY26 is expected to create another headwind.

Management estimates this will have an impact of about $50 million on FY26 reported underlying EBITA.

That adds another challenge at a time when the company is already dealing with project delays in the Middle East.

For context, Worley reported FY25 underlying EBITA of $823 million.

Full-year result now in focus

The next big test will be Worley's full-year result on 26 August.

Even after today's fall, Worley still has a market capitalisation of around $5.9 billion.

That's not a small business, but the latest update has clearly taken the shine off it.

The result should give the market a better look at how much work has simply been pushed back, and whether margins are being squeezed as well.

Investors will also be watching for any signs that customer activity is starting to improve in the affected regions.

Until then, the stock could remain under close watch. I'd be inclined to sit on the sidelines for now.

The post Worley shares crash 9% as Middle East earnings hit gets worse appeared first on The Motley Fool Australia.

What did Worley report?

• No cancellations of Middle East projects to date, but new project starts and awards continue to be delayed
• FY26 underlying EBITA impact now forecast up to $60 million (previously $30–$40 million)
• Additional $50 million estimated translation impact on FY26 underlying EBITA from stronger Australian dollar
• Update reflects increased uncertainty and extended conflict duration in the region

What else do investors need to know?

The Middle East conflict continues to disrupt the progress of Worley's existing projects across the region, with customer delays on commencing and awarding new projects. While no contracts have been cancelled, ongoing delays are expected to weigh on upcoming financial performance.

Worley also advised that the stronger Australian dollar in the second half of FY26 will reduce the contribution from overseas earnings when translated back into Australian dollars, compounding the previously announced operational impacts. The estimate of foreign currency translation effects remains subject to further exchange rate movements throughout the year.

What's next for Worley?

Looking ahead, Worley continues to monitor the evolving geopolitical situation. While recent diplomatic developments in the Middle East show some promise, the company remains cautious, acknowledging ongoing uncertainty regarding project timing and regional stability. Management is actively supporting customers and staff in affected regions and adapting resource planning and contract strategies to manage risks.

Worley's broader strategy focuses on maintaining operational resilience and leveraging its global footprint through diversified service offerings. The company says it is committed to supporting customers as they navigate current disruptions and transition towards more sustainable solutions in the longer term.

Worley share price snapshot

Over the past 12 months, Worley shares have declined 6%, trailing the S&P/ASX 200 Index (ASX: XJO), which has risen 3% over the same period.

View Original Announcement

The post Worley flags FY26 earnings hit from Middle East delays and currency impact appeared first on The Motley Fool Australia.

The broker has been busy updating its core portfolio, highlighting three key themes that it is focusing on. These are:

1) Resources and the global capex cycle 2) Inflation and rate cycle beneficiaries 3) Non-cyclical growth with strong competitive positions.

With that in mind, let's look at three ASX 200 shares that it rates as best buys:

Computershare Ltd (ASX: CPU)

This share registry company could be an ASX 200 share to buy in June according to Bell Potter.

The broker believes it is well-placed to benefit from interest rates staying higher for longer. It explains:

Computershare offers high-quality, defensive exposure to a "higher for longer" global rate environment through its margin income franchise, layered with cyclical upside from accelerating corporate action and IPO activity. Tokenisation is priced as a structural risk but increasingly looks like an opportunity CPU is positioned to capture.

Mineral Resources Ltd (ASX: MIN)

Another ASX 200 share that has been named as a best buy is mining and mining services company Mineral Resources.

Bell Potter likes the company due to its exposure to a tightening lithium market. It also highlights that there are a number of potential catalysts for a re-rating. It said:

Mineral Resources offers leveraged exposure to a tightening lithium market through ramping volumes at Wodgina, Mt Marion, and Bald Hill, with spodumene spot prices sitting well above the long-term assumptions embedded in the current share price. The investment case rests on a three-way path to re-rating: volume growth, consensus catch-up on earnings, and balance-sheet repair through FY27–FY28 de-gearing.

Worley Ltd (ASX: WOR)

A third ASX 200 share that gets the thumbs up from Bell Potter is global professional services company Worley.

The broker believes the company is well-placed to deliver strong earnings growth over the remainder of the decade. It believes this could support a re-rating of its shares. Bell Potter explains:

Worley is set to enter a period of stronger demand for its services driven by rising commodity prices and a structural shift toward energy security, with the recent investor day flagging double-digit EBITA CAGR to FY30 versus consensus at just 3%. Depressed valuation, low earnings expectations, and disciplined capital allocation create a positive risk/reward where investors should benefit from both EPS upgrades and a P/E re-rate.

The post Bell Potter names the best ASX 200 shares to buy in June appeared first on The Motley Fool Australia.

Encouraging results

The company said in a statement to the ASX that drilling and well testing to date had confirmed "exceptional" gas purities at the Ramsay project, with natural hydrogen at up to 97% and helium at up to 36.9%.

The company also said Worley Consulting had completed a high-level commercial assessment of three helium production scenarios.

The company said:

Modelling undertaken by Worley indicates that, based on the inputs provided by the Company, Ramsay may have the potential to be commercially viable with as few as two wells, assuming sustained helium flow rates of ~29 thousand standard cubic feet (Mscf) per day per well. Scaling to ten wells is indicated by Worley to improve the net present value, internal rate of return and payback for a gaseous product.

The company said that while it was still looking to advance its medium to long-term hydrogen opportunities, it had identified the potential for accelerated helium development at Ramsay.

Gold Hydrogen said it would continue working with Worley Ltd (ASX: WOR) to refine the models in parallel with the next flow-testing campaign at Ramsay, which is scheduled for June.

The company said Australia currently imports all of its helium following the closure of the Darwin LNG Helium plant in late 2023.

The company added:

Helium is a high-value, non-manufacturable commodity, with structurally rising demand driven by advanced industrial and technological applications.

Helium in demand

Gold Hydrogen Chair Alexander Downer said:

Helium currently sits on Australia's Strategic Materials List, but that is a holding pattern, and the events of recent weeks have laid bare just how exposed Australia is. We import 100% of a gas that is essential to chips, MRI, defence and AI infrastructure, and the global supply chain recently lost roughly a third of its production overnight. It is time to move helium from the Strategic Materials List back onto Australia's Critical Minerals List, where it belongs. Independent commentary, including a recent piece by the Australian Strategic Policy Institute, has put the issue plainly: no Helium, no chips. Gold Hydrogen has a unique opportunity, and a responsibility, to help Australia rebuild a sovereign helium capability and to be part of the solution for our allies and trading partners.

Gold Hydrogen is valued at $72.2 million. The company's shares are changing hands at 37.5 cents at the time of writing, up 15.4% from a week earlier, after trading as high as 43 cents the week after the announcement.

The post This natural hydrogen company says it has a world-leading project appeared first on The Motley Fool Australia.

The ASX 200 is in the red for 2026, down 1.1%, as the oil shock continues to push up inflation and the likelihood of interest rate rises.

Meanwhile, let's check out three ASX 200 shares with new ratings from the experts.

Catapult Sports Ltd (ASX: CAT)

The Catapult Sports share price slumped 11.5% last week to close at $2.94 on Friday.

Bell Potter kept its buy rating on this ASX 300 tech share but lowered its 12-month price target from $4.75 to $4.50 last week.

Catapult will release its full-year FY26 results on Wednesday.

The broker said it was particularly keen to find out if Catapult had achieved its guidance of 50% growth in management EBITDA.

In a note, Bell Potter said:

Catapult remains our key pick in the tech sector amongst mid cap stocks outside the S&P/ASX 100 index.

We see little risk of AI disruption for the stock given its extensive proprietary data, multiple product platform and the hardware component to its solutions.

Worley Ltd (ASX: WOR)

The Worley share price lifted 2.9% last week to close at $12.50 on Friday.

Morgans maintained its hold rating on Worley shares after the company's Investor Day last week.

Worley announced another share buyback of up to $300 million, following the completion of a $500 million buyback.

Morgans said:

WOR hosted an investor day outlining its medium-term ambitions to deliver double-digit EBITA CAGR through to FY30.

Central to this plan is pursuing a full delivery project model as WOR looks to capture more of the value chain by performing construction work.

Looking ahead, WOR should see some medium-term support from Middle East repair activity and a broader uplift in global upstream hydrocarbon spending driven by renewed energy security concerns.

However, consensus already embeds strong growth into FY27, and risks persist, including project concentration and execution risk associated with larger EPC work.

The broker raised its 12-month price target from $11.60 to $11.80.

This implies a 6% fall over the next year for the ASX 200 industrials share.

Commonwealth Bank of Australia (ASX: CBA) 

The CBA share price fell 9.4% last week to finish at $159.40 on Friday.

Last Wednesday, CBA shares endured their worst day in history, falling 10.2%, after the bank released its 3Q FY26 update.

On top of that, major changes to negative gearing and capital gains tax (CGT) for investments were announced the night before.

That news hit CBA shares hard given the bank has the largest investor loan book.

Experts say the changes may dissuade property investment, which would hit all of the banks given their reliance on residential lending.

Morgan Stanley analyst Richard Wiles said (courtesy smh.com.au):

In our view, favourable tax treatment is one of the reasons why there has been a 30-year housing 'super-cycle' in Australia.

However, changes to property-related tax concessions could have a profound effect on the long-term demand for investment properties.

Morgan Stanley reiterated its sell call on CBA shares with a slightly lowered target of $130.

This suggests a potential 18% fall from here.

The post Buy, hold, sell: Catapult Sports, Worley, CBA shares appeared first on The Motley Fool Australia.

At the time of writing, the Worley share price is up 2.09% to $12.22.

That gives shareholders some relief after a soft run in recent times. Worley shares are still down around 3% in 2026 and 8% over the past year.

Let's take a closer look at what was announced.

Worley returns more cash

According to the release, Worley announced a new on-market share buyback of up to $300 million.

The company said this follows the successful completion of an earlier $500 million buyback program in April.

The new buyback could cover about 5.1% of shares on issue, depending on market conditions and the share price.

Worley said the decision reflects the board's confidence in the company's financial position and growth outlook.

It also adds to the company's recent capital returns, with Worley continuing to pay dividends alongside the buyback.

The stock currently pays a dividend yield of 4.09% to shareholders.

Growth targets remain in focus

Worley used its Investor Day presentation to outline its medium-term growth outlook. The company is targeting double-digit underlying EBITA growth through to FY30.

Management said the business is being supported by major investment trends across energy, chemicals, resources, and critical infrastructure.

That includes areas such as LNG, energy transition materials, power, data centres, nuclear, industrial water, and ports.

Worley also said it is investing $70 million over the next two years in digital and AI capabilities.

The aim is to lift productivity and help the company deliver larger, more complex customer projects across the asset lifecycle.

Cost savings are also ahead of plan. Worley said $95 million of initiatives have already been actioned, with another $25 million underway.

That takes the savings program above its initial $100 million target.

Guidance pressure has not gone away

Worley has not had an easy year.

The company said its expected conflict-related tension in the Middle East had delayed project timelines and hurt revenue and new work.

In April, Worley said it still expected FY26 underlying EBITA to be within its previous guidance range of $800 million to $850 million.

But it now expects to finish at the lower end of that range.

Worley's backlog was $16.9 billion at the end of March, up 2% from December.

Foolish Takeaway

The $300 million buyback gives investors something immediate to focus on after a weak year for the share price.

But Worley still needs to prove it can turn its pipeline and cost savings into stronger earnings.

Investors will get a clearer view when the company reports its full-year results on 26 August.

The post Worley shares jump as another $300 million buyback lands appeared first on The Motley Fool Australia.

What did Worley report?

• Annualised cost savings: $95 million actioned, with an additional $25 million underway, exceeding the company's $100 million target
• Revenue growth: Aggregated revenue has grown by 15% CAGR from FY22 to FY25
• EBITA margin: Guidance for FY26 EBITA margin (excluding procurement) of 9.0–9.5%
• Share buyback: Launching a new on-market buyback of up to $300 million following a completed $500 million program
• Digital investment: $70 million planned investment in digital and AI over the next two years
• Backlog: Backlog has increased to $16.9 billion as at March 2026

What else do investors need to know?

Worley's Investor Day presentation outlined a renewed focus on full project delivery and expansion into future-facing markets such as data centres, nuclear, and energy transition materials. The company highlighted notable new partnerships, including with Baker Hughes on LNG projects and Orbia on a lithium facility in Louisiana, as well as contracts supporting power and data centre growth in the US and feasibility work on rare earths in Brazil.

While the ongoing conflict in the Middle East has delayed some project awards and impacted current year financial expectations (with FY26 underlying EBITA growth now unlikely), Worley remains positive about its long-term prospects. The company emphasised the resilience of its business model, global diversification, and a disciplined approach to risk and capital allocation.

What's next for Worley?

Worley's medium-term strategy is focused on scaling its full project delivery capacity, targeting double-digit growth in underlying EBITA through to FY30. Management plans to reinvest cost savings into digital and AI capabilities, while pursuing growth in integrated gas, energy transition materials, and critical infrastructure. The business is also expanding its leadership team to support these ambitions.

Despite near-term headwinds from global uncertainty, especially in the Middle East, Worley expects structural megatrends such as energy transition, infrastructure modernisation, and digital acceleration to drive demand in its core and adjacent markets. The company believes its capital-light model and global scale uniquely position it for long-term value creation.

Worley share price snapshot

Over the past 12 months, Worley shares have declined 8%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 4% over the same period.

View Original Announcement

The post Worley unveils new growth strategy and $300m buyback at Investor Day appeared first on The Motley Fool Australia.

And he liked what he saw.

Enough so that he issued a buy recommendation for engineering and professional services company Worley Ltd (ASX: WOR), which has a market cap of around $6.0 billion.

Grimm also has a buy recommendation on ASX 200 telco TPG Telecom Ltd (ASX: TPG), which commands a market cap north of $8 billion.

Here's why he expects their share prices, and market caps, are set to grow (courtesy of The Bull).

Should you buy Worley shares today?

"Worley is an engineering and construction group," said Grimm. "It recently stepped back from underlying earnings before interest and tax growth due to delays on Middle East projects."

That news was delivered in a market update on 20 April.

While Worley reported that its projects in the Middle East have not been cancelled following the outbreak of hostilities, the ASX 200 heavyweight did say there were some delays.

As such, management forecast that the company's full year FY 2026 earnings before interest, tax and amortisation (EBITA) will take a hit in the range of $30 million to $40 million.

Despite these impacts, Worley said it still expects to achieve year on year revenue growth in FY 2026.

According to Baker Young's Grimm:

We believe the longer-term outlook remains supportive. Structural trends, such as de-globalisation of supply chains and increasing investment in energy efficiency, align closely with WOR's core capabilities.

Summing up his buy recommendation on the ASX 200 shares, Grimm said, "Earnings volatility and missed expectations have weighed on sentiment. But the company is trading on an undemanding valuation relative to its medium-term growth potential."

Worley shares trade on an unfranked 4.1% trailing dividend yield. The stock is down just over 2% in 12 months.

Which brings us to…

ASX 200 telecom accelerating growth

Commenting on his buy recommendation for TPG Telecom, Grimm said:

Following several years of asset sales and restructuring, TPG has emerged as a more focused telecommunications provider with a stronger balance sheet and increasing exposure to the structurally attractive mobile segment, now contributing close to half of group revenue.

And he noted that the ASX 200 share's strategic operational shift is starting to pay off.

According to Grimm:

Full year 2025 results highlighted accelerating subscriber growth and improving revenue per user, indicating positive operating momentum. The company's strategic shift away from infrastructure ownership and lower-margin fixed line broadband positions it for higher quality earnings growth.

The stock screens as relatively attractive compared to peers.

TPG shares are down about 20% over 12 months and trade on a partly franked 4.4% trailing dividend yield.

The post Why these 2 ASX 200 heavyweights just got a big buy call appeared first on The Motley Fool Australia.

The fast-rising stock in question is St George Mining Ltd (ASX: SGQ), which just announced a collaboration with global engineering and professional services company Worley Ltd (ASX: WOR).

St George Mining shares closed yesterday trading for 11.5 cents. At time of writing, shares are changing hands for 12.0 apiece, up 4.4%.

This sees shares in the ASX All Ords mining stock up a jaw-dropping 328.6% since this time last year. That's enough to turn a $10,000 investment into $42,857.

In one year.

Worley shares are up 1.4% at $12.15 each.

Here's what's happening.

ASX All Ords mining stock lifts on Worley agreement

This morning, St George Mining announced that it has appointed Worley Engenharia – the Brazilian subsidiary of Worley – to provide technical advisory services at St George's Araxa Project, located in Brazil.

St George is looking into the potential development of a niobium and rare earths mine at Araxa.

The ASX All Ords mining stock acquired 100% of the Araxa Project, located in proximity to proven niobium mining operations, in February 2025.

St George said it chose Worley for the advisory position in light of the company's "engineering excellence and deep experience in the Brazilian resources sector".

Under the technical services agreement, Worley will provide engineering and project management advice to St George to support development studies for a niobium and rare earths mining operation.

Worley will assist St George Mining with metallurgical and process engineering, feasibility and cost study work, process plant design, mine planning, tailings management, procurement and plant construction.

What did St George and Worley management say?

Commenting on the collaboration with Worley that's helping boost the ASX All Ords mining stock today, St George executive chairman John Prineas said:

As one of the world's largest providers of engineering and project management solutions to the resources sector, Worley brings extensive and relevant expertise to support St George as we advance the potential development of our world-class Araxa Project…

With a world-class resource already defined at our project, the appointment of Worley will enable economic studies to gain momentum as we look to fast-track development and take advantage of our favourable project logistics – notably, a location in an established mining region, access to existing transport and energy infrastructure, availability of an experienced workforce and high-grade mineralisation amenable to open-pit mining, which are all backed by a supportive permitting regime.

Tom Foster, Worley's senior vice president for global operations in Latin America, added, "We're pleased to partner with St George to bring our regional expertise and global capabilities to support the Araxa Project."

The post Up 329% in a year, ASX All Ords mining stock surging again today on big Worley news appeared first on The Motley Fool Australia.

Are they bullish, bearish, or something in between? Let's find out.

Commonwealth Bank of Australia (ASX: CBA)

The team at Alto Capital has named Australia's largest bank as a sell this week.

Due to the bank's premium valuation, it thinks the risk-reward balance favours taking profit on CBA shares now. It explains:

Australia's largest retail bank enjoys a dominant position across mortgages, deposits and consumer banking. The company recently reported a record first half cash net profit after tax in 2026 of $5.445 billion, supported by lending growth and strong deposit volumes.

Recently, the share price had re-rated significantly and traded at a premium to domestic peers and global banking counterparts. With much of the operational strength already reflected in the valuation, the risk-reward balance favours taking profits at current levels.

South32 Ltd (ASX: S32)

Over at Fairmont Equities, it has named this mining giant's shares as a hold this week.

However, the equities firm does believe that South32 shares have potential to rally strongly in the future. It said:

S32 is a diversified mining company. I expect base metals prices to continue trending higher this year to the benefit of S32. After a share price sell-down in February, the stock had mostly recovered by the end of March. I see a clear resistance zone around $4.80. Buyers are also stepping in on any dips. I'm confident S32 will rally strongly moving forward. The shares were trading at $3.935 on April 30.

Worley Ltd (ASX: WOR)

The team at Baker Young is positive on this engineering and construction services company and is tipping it as a buy this week.

It believes that Worley has a positive outlook thanks to its exposure to structural trends such as the de-globalisation of supply chains and energy efficiency. It explains:

Worley is an engineering and construction group. It recently stepped back from underlying earnings before interest and tax growth due to delays on Middle East projects. However, we believe the longer term outlook remains supportive. Structural trends, such as de-globalisation of supply chains and increasing investment in energy efficiency, align closely with WOR's core capabilities.

Earnings volatility and missed expectations have weighed on sentiment. But the company is trading on an undemanding valuation relative to its medium term growth potential.

The post Buy, hold, sell: CBA, South32, and Worley shares appeared first on The Motley Fool Australia.

As reported this morning, the company released updated FY26 guidance, taking into consideration ongoing conflict in the Middle East. 

What did Worley report?

• No project cancellations in the Middle East so far; projects continue with some delays
• Estimated adverse impact of $30–40 million on FY26 underlying EBITA from Middle East conflict
• Underlying EBITA margin (excluding procurement) still expected at 9.0–9.5% for FY26
• Aggregated revenue growth in FY26 still targeted above FY25
• Delays to commencement and awards of new projects in the Middle East region

Management said the extended duration of the conflict and continued uncertainty is resulting in further delays to existing Middle East-related projects and the commencement and award of new projects in the region.

In relation to our previously disclosed FY26 Group outlook it is now unlikely Worley will achieve growth in underlying EBITA in FY26. 

However, we continue to expect the underlying EBITA margin (excluding procurement) to be within a range of 9.0-9.5% and we continue to target higher growth in aggregated revenue than FY25.

Initially, this morning, the announcement led to a 3.5% drop for Worley shares.

However since then, the price has recovered and now sits more than 3% higher during Tuesday's trade. 

What did Morgans have to say?

Following the announcement, the team at Morgans provided updated guidance on the ASX 20 stock.

The broker said Worley has indicated that it is now "unlikely" to achieve its prior guidance for EBITA growth in FY26. 

This comes following a softer-than-expected 1H26 segment result. Looking ahead, WOR should see some medium-term support from Middle East repair activity and a broader uplift in global upstream hydrocarbon spending driven by renewed energy security concerns.

However, consensus already embeds strong growth into FY27, and risks persist, including project concentration risk associated with larger EPC work, and a structural shift in upstream hydrocarbon capex toward subsea and shale where WOR is underweight.

As a result, the broker reduced EBITA forecasts by ~5% across the forecast period. 

Morgans lowers price target 

In a note out of Morgans today, the broker also said it has lowered its target price for Worley shares to $11.60. 

It was previously $12.20. 

From today's stock price hovering around $11.46, the updated target indicates the ASX 200 shares are now trading close to fair value. 

The post Is this ASX 200 share a sell after announcing a $30-40 million EBITA hit? appeared first on The Motley Fool Australia.

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

Monash IVF Group Ltd (ASX: MVF)

The Monash IVF share price is down 8% to 70.5 cents. Investors have been selling this fertility treatment company's shares after it rejected a takeover offer from a consortium that includes Washington H. Soul Pattinson and Co Ltd (ASX: SOL). The company's chair, Richard Davis, said: "The Board, in consultation with its advisers, has formed the view that the revised Proposal in its current form undervalues the Company. The Board is supportive of Dr Victoria Atkinson and looks forward to the execution of her strategy to bring stability and growth to Monash IVF." However, Monash IVF revealed that it "remains open to discussions regarding a change of control transaction at a higher valuation."

National Australia Bank Ltd (ASX: NAB)

The NAB share price is down 3% to $41.30. This morning, the banking giant advised that it has reviewed its credit provisioning and capital settings to better reflect the risks in the market caused by the conflict in the Middle East. NAB expects first-half credit impairment charges to be $706 million. This includes "$201 million increase in Forward Looking Adjustments (FLAs) for potential stress which may emerge in sectors more likely to be impacted by fuel supply and cost issues related to the Middle East conflict."

Viva Energy Group Ltd (ASX: VEA)

The Viva Energy share price is down almost 7% to $2.36 after returning from a trading halt. This morning, the fuel retailer released an update on last week's fire at its Geelong refinery. Viva Energy advised that in the near-term, the refinery is expected to run diesel and jet fuel production at around 80% capacity, while petrol output is closer to 60%. The good news is that management expects production to recover to 90% capacity over the coming weeks.

Worley Ltd (ASX: WOR)

The Worley share price is down 3.5% to $11.40. This follows the release of a trading update this morning. The global professional services company revealed that it expects the ongoing Middle East conflict to have a negative impact on its FY 2026 earnings, with underlying EBITA expected to be reduced by between $30 million and $40 million. In light of this, Worley has indicated that it is now unlikely to achieve growth in underlying EBITA in FY 2026.

The post Why Monash IVF, NAB, Viva Energy, and Worley shares are falling today appeared first on The Motley Fool Australia.

At the time of writing, the ASX 200 stock is down 5% to $11.23.

This compares to the S&P/ASX 200 Index (ASX: XJO), which is down 0.55% in early trade.

Why is this ASX 200 stock falling today?

The global professional services company's shares are under pressure today following the release of an update on the impact of the Middle East conflict on its operations and outlook.

According to the release, Worley expects the ongoing conflict to have a negative impact on its FY 2026 earnings, with underlying EBITA expected to be reduced by between $30 million and $40 million.

Management highlighted that while there have been no project cancellations to date, the conflict is causing widespread disruption.

This includes delays to existing projects as well as slower commencement and awarding of new work in the region.

The ASX 200 stock noted that customers are delaying decisions due to uncertainty, while some projects have been impacted by supply chain challenges and safety-related disruptions.

The impact is not limited to the Middle East. The company advised that delays are also affecting services provided from its global offices that support projects in the region.

Growth expectations downgraded

Worley has indicated that it is now unlikely to achieve growth in underlying EBITA in FY 2026.

This represents a step back from its previous expectations and appears to be a key reason for the share price weakness.

However, the company did reiterate that it expects its underlying EBITA margin, excluding procurement, to remain within the range of 9% to 9.5%.

It also continues to target higher aggregate revenue compared to FY 2025, suggesting that while profitability is being impacted, top-line growth may still be achieved.

Ongoing uncertainty

Worley warned that its outlook remains uncertain and will depend heavily on how the situation in the Middle East evolves.

Factors such as the duration of the conflict, supply chain disruptions, contract timing, and the pace of recovery are all expected to influence performance.

Despite these challenges, the company said it continues to work closely with customers to minimise disruption and maintain project progress where possible.

Potential longer-term opportunities

Looking beyond the near-term headwinds, the ASX 200 stock pointed to potential opportunities arising from the situation.

These include increased investment in energy infrastructure and a greater global focus on energy security, which could support demand for its services over time.

The company also noted that it has been asked to assist with restoration and rebuild efforts linked to the conflict, which may provide additional work in the future.

A further update is expected when the ASX 200 stock holds its investor day next month.

The post Why is this ASX 200 stock sinking today? appeared first on The Motley Fool Australia.

What did Worley report?

• No project cancellations in the Middle East so far; projects continue with some delays
• Estimated adverse impact of $30–40 million on FY26 underlying EBITA from Middle East conflict
• Underlying EBITA margin (excluding procurement) still expected at 9.0–9.5% for FY26
• Aggregated revenue growth in FY26 still targeted above FY25
• Delays to commencement and awards of new projects in the Middle East region

What else do investors need to know?

Worley has stepped in to help customers restore assets and support strategic projects linked to the conflict, focusing on business continuity and repairs. While some existing projects are delayed due to safety and supply chain issues, the company is working to minimise further impact, including using its global Operational Centres outside the Middle East to maintain services.

The delay of new project awards and timeline extensions for existing projects could weigh on short-term growth. However, no project cancellations have occurred so far, and Worley is maintaining close communication with clients while monitoring further developments.

What's next for Worley?

Worley is sticking to its margin targets for FY26 and expects to grow revenue above FY25, but the lingering conflict and uncertainty could create further variability. The company sees medium-to-long-term opportunities in regional pipeline and export infrastructure and anticipates increased global focus on national security, especially for alternative energy and resources.

The company plans to provide more details at its Investor Day on 14 May 2026 and promises to keep investors updated on any significant changes to its outlook.

Worley share price snapshot

Over the past 12 months, Worley shares have risen 1%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 14% over the same period.

View Original Announcement

The post Worley flags $30–40m EBITA hit from Middle East conflict in FY26 outlook appeared first on The Motley Fool Australia.

It was a shockingly painful day for investors, with the ASX 200 opening sharply lower and staying that way all session. By the time trading wrapped up, the index had plunged by a painful 1.65% down to 8,497.8 points.

This horrid Thursday session for Australian investors comes after a similarly dire morning on Wall Street.

The Dow Jones Industrial Average Index (DJX: .DJI) was slammed, dropping 1.63%.

Things were only slightly better for the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC), which fell 1.46%.

But let's grit our teeth and return to the local markets now for an autopsy of today's trading, so we can see which of the various ASX sectors were hardest hit today.

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