What are the best stocks to buy in 2025 in Australia?

P. Laurore
P. Laurore Last updated: 3 May 2025

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Table of Contents
  • Top ASX Stocks to Watch in 2025
  • Dividend Focus: 8 High-Yield ASX Stocks for 2025
  • Geographic Focus: Where to Invest Beyond Australia in 2025
  • Our guides

As 2025 unfolds amid a fast-evolving global and local economic landscape — characterised by persistent inflation, stabilising interest rates, and technological transformation — Australian equity markets are entering a new phase.

Against this backdrop, investors face a critical question: which ASX stocks offer the best potential this year to capture growth while managing risk?

From global healthcare leaders and robust dividend-payers to tech disruptors and energy giants, the Australian market offers a broad range of opportunities. Yet, knowing where to look — and why — remains the ultimate challenge.

Explore the stocks to watch, the best dividend-paying shares, and long-term growth opportunities right here on the ASX.

Top ASX Stocks to Watch in 2025

💉 CSL Limited (ASX: CSL) – Global Leader in Biotech

CSL continues to strengthen its plasma therapies and vaccine pipeline, supported by global demand and innovation-led growth, though currency headwinds and R&D costs may weigh on margins.

🎯 End-2025 Price Target: $330 AUD
(currently around $290 AUD)

📉 Key Risks: R&D execution risk and foreign exchange volatility.

Woodside Energy Group Ltd (ASX: WDS) – Energy Giant Balancing LNG and Renewables

Woodside benefits from robust Asian LNG demand while gradually pivoting toward cleaner energy, though oil and gas price volatility remains a key challenge.

🎯 End-2025 Price Target: $36 AUD
(currently around $28 AUD)

📉 Key Risks: Commodity price swings and regulatory uncertainty.

🏦 Commonwealth Bank of Australia (ASX: CBA) – Australia’s Leading Retail Bank

CBA leverages its dominant retail position and solid capital base to deliver strong returns and attractive dividends, though slowing credit growth could moderate earnings.

🎯 End-2025 Price Target: $125 AUD
(currently around $110 AUD)

📉 Key Risks: Housing market downturn and tighter lending conditions.

🛒 Woolworths Group Ltd (ASX: WOW) – Defensive Growth in Retail

Woolworths benefits from stable grocery demand and digital expansion initiatives, offering resilience amid economic uncertainty, though rising costs remain a concern.

🎯 End-2025 Price Target: $38 AUD
(currently around $33 AUD)

📉 Key Risks: Margin pressure from inflation and labour costs.

🚛 WiseTech Global Ltd (ASX: WTC) – Tech Champion in Global Logistics

WiseTech capitalises on global trade digitalisation and supply chain optimisation trends, though high valuation and competitive pressures may pose challenges.

🎯 End-2025 Price Target: $115 AUD
(currently around $95 AUD)

📉 Key Risks: Execution risk in global expansion and market competition.

⛏️ Fortescue Metals Group Ltd (ASX: FMG) – Iron Ore Giant with Clean Energy Ambitions

Fortescue remains a cash machine with high dividend potential driven by iron ore demand, while advancing in green hydrogen, though iron ore price volatility is a key watchpoint.

🎯 End-2025 Price Target: $25 AUD
(currently around $20 AUD)

📉 Key Risks: Iron ore price correction and decarbonisation capex.

📡 Telstra Group Ltd (ASX: TLS) – Leading Telco with Strong Cash Flow

Telstra continues to generate stable cash flows from its dominant network and infrastructure assets, offering reliable dividends, though competition and pricing pressures persist.

🎯 End-2025 Price Target: $4.90 AUD
(currently around $4.20 AUD)

📉 Key Risks: Competitive intensity and NBN-related earnings drag.

Dividend Focus: 8 High-Yield ASX Stocks for 2025

For income-focused investors, these ASX-listed companies offer attractive dividend yields this year across essential and resilient sectors:

CompanySectorEstimated 2025 DividendApproximate YieldNotes
Fortescue Metals Group (FMG)Mining$2.00~8.4%Strong cash flow from iron ore exports
Woodside Energy (WDS)Energy$2.40~8.0%Supported by LNG demand and disciplined capex
APA Group (APA)Utilities$0.55~6.9%Stable infrastructure revenues
National Australia Bank (NAB)Banking$1.90~5.5%Solid capital return outlook
Telstra Group (TLS)Telecommunications$0.18~4.5%Predictable cash flow and steady payout
Coles Group (COL)Retail$0.65~5.0%Defensive food retail demand
Transurban Group (TCL)Infrastructure$0.63~4.3%Inflation-linked toll road revenues
Amcor (AMC)Packaging$0.50~5.3%Global footprint and steady earnings
Fortescue Metals Group (FMG)
Sector
Mining
Estimated 2025 Dividend
$2.00
Approximate Yield
~8.4%
Notes
Strong cash flow from iron ore exports
Woodside Energy (WDS)
Sector
Energy
Estimated 2025 Dividend
$2.40
Approximate Yield
~8.0%
Notes
Supported by LNG demand and disciplined capex
APA Group (APA)
Sector
Utilities
Estimated 2025 Dividend
$0.55
Approximate Yield
~6.9%
Notes
Stable infrastructure revenues
National Australia Bank (NAB)
Sector
Banking
Estimated 2025 Dividend
$1.90
Approximate Yield
~5.5%
Notes
Solid capital return outlook
Telstra Group (TLS)
Sector
Telecommunications
Estimated 2025 Dividend
$0.18
Approximate Yield
~4.5%
Notes
Predictable cash flow and steady payout
Coles Group (COL)
Sector
Retail
Estimated 2025 Dividend
$0.65
Approximate Yield
~5.0%
Notes
Defensive food retail demand
Transurban Group (TCL)
Sector
Infrastructure
Estimated 2025 Dividend
$0.63
Approximate Yield
~4.3%
Notes
Inflation-linked toll road revenues
Amcor (AMC)
Sector
Packaging
Estimated 2025 Dividend
$0.50
Approximate Yield
~5.3%
Notes
Global footprint and steady earnings

Geographic Focus: Where to Invest Beyond Australia in 2025

🇬🇧 United Kingdom: Income and Industrial Resilience
The UK offers industrial and defensive stocks with reliable dividends, especially in sectors like mining, consumer goods and utilities. Companies such as Rio Tinto (LSE: RIO) remain global leaders in resource production, while others like National Grid and British American Tobacco provide stability and consistent income in uncertain times.

🇺🇸 United States: Innovation at the Forefront
The US market remains the global centre of technological disruption, led by giants like Microsoft, Apple, and NVIDIA. Investors seeking exposure to artificial intelligence, cloud computing and healthcare innovation will find the US essential to any forward-looking portfolio.

🇪🇺 Europe: Industrial Strength and Green Transition
Continental Europe offers access to leading companies in autos, manufacturing and clean energy. Names like Siemens, Airbus and TotalEnergies are well positioned to benefit from industrial demand and the shift towards renewable power.

🌏 Asia-Pacific Emerging Markets: Selective Opportunities
Emerging Asia continues to offer selective growth opportunities in markets like India and Indonesia, driven by demographics and infrastructure development. However, geopolitical risks and regulatory uncertainty warrant a cautious, diversified approach.

In 2025, Australia’s share market offers plenty of compelling choices, from world-class healthcare and robust financials to resource titans and innovative tech players.

By combining dividend resilience, growth potential, and geographic diversification, investors can better position their portfolios to navigate what promises to be a transformative year ahead.

Our guides

P. Laurore
P. Laurore
Finance expert
HelloSafe
Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.

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