Leading brokers name 3 ASX shares to buy today

Webjet Limited (ASX:WEB) shares are one of three that leading brokers have named as buys this week. Here's why…

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Many of Australia's leading brokers have been busy adjusting their recommendations to account for new data and developments.

Three shares that have fared well and been given buy ratings are listed below. Here's why they are in favour with brokers:

Jumbo Interactive Ltd (ASX: JIN)

According to a note out of Morgans, its analysts have held firm with their add rating and lifted the price target on its shares to $10.70 following last week's market update. Morgans was pleasantly surprised with the update and has upgraded its forecasts meaningfully to reflect its strong growth and operating leverage. In addition to this, the broker believes that its Powered By Jumbo offering has a lot of promise and suspects that a special dividend could be on the horizon. Despite its strong gain last week, I still feel Jumbo Interactive's shares are good value given its positive growth prospects.

Tabcorp Holdings Limited (ASX: TAH)

A note out of Deutsche Bank reveals that it has retained its buy rating and $5.50 price target on Tabcorp's shares following Jumbo Interactive's market update. As Jumbo Interactive is Tabcorp's digital partner, the broker believes that its upgraded guidance ought to be considered a positive for Tabcorp. Deutsche has pencilled in revenue growth of 10% for Tabcorp's lotteries business in FY 2019. I'm not a huge fan of Tabcorp at this point, so would prefer to get exposure to lotteries through Jumbo Interactive.

Webjet Limited (ASX: WEB)

Analysts at UBS have retained their buy rating and lifted the price target on this online travel company's shares to $20.20. According to the note, the broker has lifted its price target to reflect the positive contribution of the Destinations of the World business that was recently acquired for $240 million. In addition to this, UBS believes that Webjet will achieve earnings growth above 17% in FY 2019. Given this level of growth, the broker sees a lot of value in its shares and I completely agree with this view.

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Jumbo Interactive Limited. The Motley Fool Australia has recommended Webjet Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

A woman leaps into the air with loads of energy, in a lush green field.
Share Market News

Here are the top 10 ASX 200 shares today

The ASX 200 had a Thursday to remember today.

Read more »

A businessman keeps calm in the face of inflation
Share Market News

$42 million tops the most notable ASX 300 insider buys this earnings season

Post-earnings season is a common time of year for company directors to buy up more stock for their personal portfolios.

Read more »

a man in a business suite throws his arms open wide above his head and raises his face with his mouth open in celebration in front of a background of an illuminated board tracking stock market movements.
Share Market News

These 2 ASX 300 shares were just upgraded by brokers

Brokers are expecting good things from these stocks.

Read more »

A woman is excited as she reads the latest rumour on her phone.
Broker Notes

Goldman Sachs says this US stock is replacing Tesla in the Magnificent Seven

And no, it's not a tech company. It's in the healthcare sector.

Read more »

ETF written in gold with dollar signs on coin.

4 hot ASX ETFs smashing all-time highs on Thursday

ETFs are on fire this Thursday.

Read more »

A woman with short brown hair and wearing a yellow top looks at the camera with a puzzled and shocked look on her face as the Westpac share price goes down for no reason today
Share Fallers

Why Australian Finance Group, Chalice, DroneShield, and ResMed are sinking today

These ASX shares are having a tough time on Thursday. But why?

Read more »

A young male ASX investor raises his clenched fists in excitement because of rising ASX share prices today
Share Gainers

Why Harvey Norman, Macquarie Technology, Ramsay Health Care, and Star are rising

These ASX shares are having a strong day. But why?

Read more »

A young woman dressed in street clothes leaps happily in the air with the focus on her bright red boots that are front and centre for the camera.

I'm listening to Warren Buffett and loading up on cheap ASX shares in March

I love the look of these stocks at these prices.

Read more »