Many of Australia's leading brokers have been busy adjusting their discounted cash flow models and valuations following the countless earnings releases this month.
Three shares which have fared well this week and been given buy ratings are listed below. Here's why brokers like them:
Ardent Leisure Group (ASX: AAD)
According to a note out of Citi, it has retained its buy rating but reduced its price target on the entertainment company's shares slightly to $2.35 from $2.40. The broker appears to have been pleased with Ardent Leisure's half-year results release and the positive momentum it is exhibiting so far in the second-half. I would have to agree with Citi on this one. Although its turnaround has taken longer than I expected, there are signs of it coming now. Which could arguably make it an opportune time to invest.
Accent Group Ltd (ASX: AX1)
Another note out of Citi reveals that its analysts have retained their buy rating and increased the price target on the footwear retailer's shares to $1.15. The broker made the move following the release of Accent's half-year results last week which came in ahead of its analysts' expectations. Citi appears to like Accent due to its generous dividend, sales momentum, and its potential international growth opportunities. Once again, I would have to agree with Citi on this one. Although it is by no means the bargain buy it was just a week ago, its shares still look good value to me.
Bravura Solutions Ltd (ASX: BVS)
A note out of the equities desk of Macquarie reveals that its analysts have retained their outperform rating and bumped up the price target on the fintech company's shares to $2.41. Macquarie appears to have been pleased with its strong first-half and upgrade to its full-year guidance. The broker also points out that Bravura is trading at a significant discount to some of its larger peers, which could potentially lead to a rerating in the future. Especially if its Sonata product continues its impressive growth. As I said yesterday, I think Bravura delivered an impressive first-half result and believe it is great value for money at present.
