Leading brokers have named Afterpay Ltd (ASX:APT) and these ASX shares as buys this week. Here’s why they are bullish on them…
The post Leading brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia. –
With so many shares to choose from on the ASX, it can be hard to decide which ones to buy.
The good news is that brokers across the country are doing a lot of the hard work for you.
Three top shares that leading brokers have named as buys this week are listed below. Here’s why they are bullish on them:
Afterpay Ltd (ASX: APT)
According to a note out of Credit Suisse, its analysts have initiated coverage on this payments company’s shares with an outperform rating and $124.00 price target. Credit Suisse believes Afterpay is well-positioned for growth and has the potential to grow its underlying sales materially over the next five years. This is thanks to the structural shift to online shopping, a decline in credit card use, and its exposure to younger demographics. The latter are expected to increase their spending in the coming years. The Afterpay share price is changing hands for $96.02 this afternoon.
Fortescue Metals Group Limited (ASX: FMG)
A note out of Macquarie reveals that its analysts have retained their outperform rating and lifted their price target on this iron ore producer’s shares to $23.00. The broker made the move in response to a significant rise in iron ore prices, which it believes will result in sizeable free cash flow yields. The broker has also lifted its earnings and dividend expectations for the next couple of years. The Fortescue share price is fetching $21.34 on Monday.
Qantas Airways Limited (ASX: QAN)
Analysts at UBS have retained their buy rating and increased their price target on this airline operator’s shares to $6.20. According to the note, the broker believes that Qantas’ balance sheet risk has significantly reduced recently. This is thanks to COVID vaccine developments, border re-openings, and its plan to increase capacity to 70% of pre-COVID levels. It also notes that Qantas appears to be winning market share domestically. The Qantas share price is trading at $5.46 this afternoon.
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.