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Is it time to buy Harvey Norman and these high-flying ASX shares?

Although the All Ordinaries index sank lower on Wednesday, not all shares on the index dropped into the red.

In fact, a few shares not only managed to climb higher, they pushed to 52-week highs or better.

Here’s why these three ASX shares are on a high right now:

The Harvey Norman Holdings Limited (ASX: HVN) share price ended up falling 1% lower on Wednesday but at one stage was trading higher and at a decade-high of $4.69. The catalyst for Harvey Norman’s recent form appears to have been a positive result from industry peer JB Hi-Fi Limited (ASX: JBH) in FY 2019 and the prospect of trading conditions improving materially thanks to tax cuts and a rebound in the housing market. Whilst I’m not a big fan of Harvey Norman, its shares do look good value at just 14x earnings. This could mean they have further to run if its full year result this month doesn’t disappoint.

The Megaport Ltd (ASX: MP1) share price climbed to an all-time high of $7.99 on Wednesday. This latest gain means the shares of the global leader in elastic interconnection have rallied an incredible 113% higher since the start of 2019. This has been driven by Megaport’s impressive revenue growth due to the increasing demand for its services in data centres across the globe. Earlier today the company released its full year results and revealed a 78% increase in revenue to $35.1 million. It also provided an interesting metric – profit before direct network costs. This came in at $11.9 million for FY 2019, up almost 400% on the prior corresponding period. I’m a big fan of Megaport and think it could be a great long-term option due to its exposure to the cloud computing boom. However, it is certainly a high-risk investment.

The REA Group Limited (ASX: REA) share price continued its impressive run and reached an all-time high of $106.20 today. When the property listings company’s shares reached that level, it meant they had gained a sizeable 43% since the start of the year. Investors have been scrambling to get hold of REA Group’s shares in recent weeks thanks to improving conditions in the housing market. This, combined with new revenue streams and prices increases, has many in the market believing that the company is at the start of a major upgrade cycle over the coming years. I expect this to be the case and believe it would be a great buy and hold option.

If you missed out on these gains don't worry because these top stocks are likely to be next in line to charge higher according to one leading analyst.

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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 MEGAPORT FPO. The Motley Fool Australia has recommended MEGAPORT FPO and REA Group Limited. 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.

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Our Motley Fool experts have just released a brand new FREE report, detailing 5 dirt cheap shares that you can buy today.

One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…

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See for yourself now. Simply click the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.

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