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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:
Brickworks Limited (ASX: BKW)
According to a note out of Bell Potter, its analysts have upgraded this building products company’s shares to a buy rating with an improved price target of $29.50. The broker made the move on the belief that there is an attractive look-through opportunity with Brickworks relating to its investment in Washington H Soul Pattinson & Company Ltd (ASX: SOL). It notes that its mark to market valuation of Soul Patts is indicating that the stock is currently trading at a 3.6% discount to pre-tax NTA. In addition, with the broker positive on Brickworks’ rental growth outlook, it feels now is the time to buy and has upgraded its shares. The Brickworks share price is trading at $26.28 on Monday.
Champion Iron Ltd (ASX: CIA)
A note out of Goldman Sachs reveals that its analysts have retained their buy rating and $9.30 price target on this iron ore miner’s shares. This follows the release of the Canada-based miner’s FY 2024 results last week. Goldman highlights that Champion Iron reported record EBITDA of C$553 million, which was up 11% year on year and comfortably ahead of the market’s expectations. The good news is that more records are expected to be broken next year. Goldman notes that with Bloom Lake operating above nameplate and management ramping up Phase II, its analysts are expecting this to support 50%+ EBITDA growth in FY 2025. The Champion Iron share price is fetching $7.14 this afternoon.
Analysts at Macquarie have retained their outperform rating and $180.70 price target on this cloud accounting platform provider’s shares. This follows news that Xero is lifting prices and updating plans in the United Kingdom in September. Macquarie was pleased with the changes, which mirror those undertaken in the Australia market recently. It believes the new plans will support a higher average revenue per user metric in the UK market through the simplification of its offering and increased bundling. The Xero share price is trading at $134.24 at the time of writing.