With so many shares to choose from on the Australian share market, it can be difficult 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 ASX shares that leading brokers have named as buys this week are listed below. Here's why they are bullish on them:
DroneShield Ltd (ASX: DRO)
According to a note out of Shaw and Partners, its analysts have retained their high risk buy rating on this counterdrone technology company's shares with a trimmed price target of $1.20. This follows the release of a quarterly update last week which fell short of the broker's expectations. While Shaw and Partners was a touch disappointed with the quarter, it remains positive on the future. Particularly given its robust sales pipeline and significant inventory position. It notes that the latter leaves DroneShield well-placed to handle big orders at short notice. Overall, the broker is feeling bullish and sees value in its shares at current levels. The DroneShield share price is trading at 94 cents on Monday.
Qantas Airways Limited (ASX: QAN)
A note out of Goldman Sachs reveals that its analysts have retained their buy rating on this airline operator's shares with an improved price target of $8.90. Goldman notes that the Flying Kangaroo released a market update ahead of its annual general meeting last week. It was pleased with the update and has upgraded its medium term earnings estimates and valuation to reflect it. Outside this, Goldman continues to believe that Qantas has an attractive valuation. It highlights that it is trading only 14% and 5% above its pre-COVID market capitalisation and enterprise value. This is despite structurally improved earnings capacity (PBT) that is expected to be 72% above pre-covid levels in FY 2025. The Qantas share price is fetching $8.13 at the time of writing.
ResMed Inc. (ASX: RMD)
Analysts at Macquarie have retained their outperform rating on the sleep disorder treatment company's shares with an improved price target of $41.10. This follows the release of a strong first quarter update last week. Macquarie notes that ResMed delivered a quarterly profit comfortably ahead of expectations thanks to a better than expected performance from the rest of the world segment. It was also pleased with the company's operating leverage and free cash flow generation. In response to the update, the broker has lifted its earnings estimates and valuation accordingly. The ResMed share price is trading at $38.65 today.
The post Leading brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.
Motley Fool contributor James Mickleboro has positions in CSL. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended CSL. The Motley Fool Australia has recommended CSL and Flight Centre Travel Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
The Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2024