Yes, elevated mortgage stress can significantly influence ASX-listed companies, particularly banks like CBA (ASX: CBA), Westpac (ASX: WBC), and NAB (ASX: NAB). Higher default risk or delayed repayments tend to raise provisioning levels, which may pressure profit margins. It can also lead to more conservative lending practices, slowing credit growth.

It could also affect real estate investment trusts (REITs) and property developers. Stocks like Stockland (ASX: SGP) and Mirvac Group (ASX: MGR) may see reduced buyer activity if borrowing becomes more difficult or unaffordable. Housing sentiment can directly affect their sales pipeline and project launches.

Another aspect is consumer spending. With more income going toward mortgages, discretionary sectors might feel the pinch too. This could impact retail-focused stocks and financial service providers exposed to consumer lending. Keep an eye on earnings guidance updates in the coming reporting season.

Higher mortgage rates usually put pressure on consumer borrowing, which can weigh on ASX-listed banks like CBA, WBC, and ANZ. Lending activity tends to slow down, and loan margins may shift depending on deposit growth and cost of funds.