Last week was filled once again with a large number of broker notes hitting the wires. Three buy ratings that caught my eye are summarised below.
Here's why brokers think investors ought to buy them next week:
Appen Ltd (ASX: APX)
According to a note out of Citi, its analysts have upgraded this language technology data and services provider's shares to a buy rating with an increased price target of $28.04. The broker made the move after factoring the acquisition of Figure Eight into its forecasts. Figure Eight is a best in class machine learning software platform which uses highly automated annotation tools to transform unstructured text, image, audio and video data into customised high-quality artificial intelligence training data. Citi believes it is a good fit for Appen and expects it to boost its future growth. I agree with Citi on Appen and feel it would be a great long term investment.
Macquarie Group Ltd (ASX: MQG)
A note out of Morgan Stanley reveals that its analysts have retained their overweight rating and increased the price target on this investment bank's shares to $140.00. According to the note, the broker made the move after becoming increasingly confident on Macquarie's outlook. It expects its commodity trading business, the lower Australian dollar, and the moderation of the global rate outlook to lead to a stronger than expected performance from the bank. I like Macquarie and feel its shares are worth considering at this level.
Qantas Airways Limited (ASX: QAN)
Analysts at Goldman Sachs have retained their conviction buy rating and $7.24 price target on this airline operator's shares. According to the note, the broker has held firm with its rating despite BITRE data pointing to weak trading in March. However, this has been put down to the timing of events and holidays and Goldman expects a reversion in April. It analysts remain positive on Qantas due to their belief that it is the best placed airline under coverage to benefit from falling fuel costs. I'm a fan of the airline and agree that it could be a good option for investors.
