Here are a few highly rated ASX 50 shares…
The post 3 ASX 50 shares named as buys appeared first on The Motley Fool Australia. –
The S&P/ASX 50 index is home to 50 of the largest listed companies on the Australian share market. This means the index hosts many of the highest quality and most well-known companies that the ANZ region has to offer.
While not all the shares on the index are necessarily in the buy zone, three that could be are listed below. Here’s what you need to know about them:
CSL Limited (ASX: CSL)
The first ASX 50 share to look at is this biotherapeutics company. Its CSL Behring and Seqirus businesses have been growing at a solid rate in recent years thanks to their leading therapies and vaccines, and lucrative research and development pipelines. And while CSL is battling plasma collection headwinds at present, which could weigh on its near term performance, the future remains very positive due to the aforementioned growth drivers. UBS is positive on the company. The broker currently has a buy rating and $330.00 price target on its shares.
Goodman Group (ASX: GMG)
Another ASX 50 share to look at is Goodman Group. It is a leading integrated commercial and industrial property company with $52.9 billion of total assets under management globally. Among its portfolio are warehouses, large scale logistics facilities, and business and office parks. At the end of the third quarter, the company’s occupancy rate stood at 98% and its net property income was up 3.3% over the prior corresponding period. Management notes that this reflects the strong demand for its properties. Positively, it has a significant development pipeline that looks set to drive further growth in the coming years. Morgan Stanley is a fan of the company and believes it is well-placed for growth. It recently put an overweight rating and $23.00 price target on its shares.
Xero Limited (ASX: XRO)
A final ASX 50 share to consider is Xero. It is a leading provider of a cloud-based business and accounting solution to small and medium sized businesses. Xero currently has 2.74 million subscribers globally. This comprises 1.56 million in the ANZ region and 1.18 million internationally. While this is a large number, it is still only a small portion of its global addressable market. Combined with price increases and its burgeoning app ecosystem, this provides the company with a significant runway for growth over the next decade. Goldman Sachs is very positive on the company’s prospects. It has a buy rating and recently increased its price target to $165.00.
Should you invest $1,000 in Xero right now?
Before you consider Xero, you’ll want to hear this.
Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Xero wasn’t one of them.
The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.
*Returns as of May 24th 2021
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended CSL Ltd. and Xero. The Motley Fool Australia owns shares of and has recommended Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.