Insights

3 of the best ASX shares to buy right now

Xero Limited (ASX: XRO) is one of 3 ASX shares that broker Goldman Sachs says are the best shares to buy right now. Here’s why.
The post 3 of the best ASX shares to buy right now appeared first on The Motley Fool Australia. –

best asx shares represented by best in show ribbon

When it comes to deciding which ASX shares are the best to buy right now, we investors sometimes get to cheat a little.

Some of the top brokers in the world regularly publish buy recommendations. These recommendations aren’t always right of course. But no one is when it comes to the share market.

So if you’re searching for the best ASX shares to buy today, here are 3 recent recommendations:

Qantas Airways Limited (ASX: QAN)

Qantas is a company we’d all be familiar with. We’re all also probably aware of the difficulties this company has faced in 2020.

As an airline, Qantas had to adapt very quickly to a very challenging disruption to its entire business model. However, unlike its rival Virgin Australia, the company was able to keep afloat during the worst months of the coronavirus pandemic.

Today, things are looking up for Qantas, despite some less-than-savoury recent news. Last week, the company announced that its budget brand Jetstar will exceed pre-COVID flight levels within 3 months.

Broker Goldman Sachs is bullish on Qantas. It reiterated its ‘buy’ recommendation on Qantas shares with a 12-month price target of $7.05, implying upside of more than 45% on current prices.

Domino’s Pizza Enterprises Ltd (ASX: DMP)

Unlike Qantas, Domino’s Pizza was an actual beneficiary of the pandemic. It makes sense if you think about it. Many people do like to order pizza when they are in lockdown.

Back in August, Domino’s reported that its network sales were up 12.8% year on year to $3.27 billion. Online sales did even better, rising by 21.4% to $2.36 billion. Domino’s also told investors that its earnings before interest and tax (EBIT) grew by 3.6% to $228.7 million and free cash flow increased by 90.7% to $161.9 million in FY2020.

Goldman Sachs hasn’t failed to notice these positive trends. It recently upgraded its recommendation to ‘buy’ with a 12-month price target of $88 a share.

Xero Limited (ASX: XRO)

Finally today we have cloud accounting software company Xero.

Xero has been an absolute beast share in 2020, with the Xero share price up more than 83% year to date, and up almost 150% since 23 March. Again, the pandemic has arguably helped Xero more than hindered it.

Last month, Xero provided a half-year update for the 6 months to 30 September. It told investors that over that time, revenues grew by 21%, and subscribers by 19%. Xero’s earnings were turbocharged by these numbers, up 86% over the period. That has helped Xero to reach new all-time highs in recent weeks.

But Goldman Sachs doesn’t think the stock has run its course just yet. It has recently slapped Xero with another ‘buy’ recommendation, with a 12-month price target of $157 a share. If Xero reaches that target, it would be another new all-time record for this tech star.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Xero. The Motley Fool Australia has recommended Domino’s Pizza Enterprises Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post 3 of the best ASX shares to buy right now appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!