ASX companies identified for growth and dividend potential

Various Australian Securities Exchange (ASX) companies are being highlighted for their long-term growth and income potential heading into 2027.

Zip Co Ltd is noted for its expansion into the United States payments market, offering potential earnings growth despite risks from high interest rates. DroneShield Ltd is identified as a long-term opportunity in the counter-drone technology sector. For passive income, Future Generation Australia Ltd is highlighted for its consistent dividend increases and high yield, supported by a pro bono fund management structure.

In terms of recovery and stability, Cochlear Ltd is viewed as a potential recovery play following the launch of its Nucleus Nexa system. HUB24 Ltd is recognized for its increasing market share in investment platforms. For long-term holding, Washington H. Soul Pattinson and Co. Ltd is cited for its century-long track record of navigating economic cycles through a highly diversified portfolio across multiple sectors.