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Why I would buy Webjet and these ASX mid cap shares

I continue to believe the mid cap side of the market is a good place to look for investment ideas.

This is due to mid caps generally carrying less risk than small caps but offering greater potential returns than large caps.

With that in mind, here are three mid cap ASX shares that I would buy:

Bravura Solutions Ltd (ASX: BVS)

One of my favourite mid cap shares is Bravura Solutions. It is a leading provider of software products and services to the wealth management and funds administration industries across several regions. The key attraction to the company for me is its Sonata wealth management platform. This has been growing at an incredible rate in recent years and still has a significant market opportunity to grow into. Another positive is the recent acquisition of Midwinter for $50 million. This acquisition is expected to provide a new avenue for growth in an industry benefiting from structural tailwinds.

Freedom Foods Group Ltd (ASX: FNP) 

I think this diversified food company is worth considering. Over the last couple of years Freedom Foods has been investing heavily in its future growth. With this investment period coming to an end, it looks set to deliver very strong growth over the coming years. Especially given the increasing demand its Plant Based Beverage and Dairy Nutritionals divisions continue to experience thanks to the healthy eating trend. I expect these divisions to be key drivers of growth for a long time to come.

Webjet Limited (ASX: WEB)

With its shares down almost 40% from their 52-week high, Webjet is now back in mid cap territory. I don’t believe its shares will remain at these levels for long, so now could be a good opportunity to snap them up. One broker that certainly believes that this is the case is Ord Minnett. Earlier this week its analysts suggested that Webjet could grow its EBITDA by a CAGR of ~14% over the next decade. If it achieves this then its shares are likely to be market-beaters over the long-term.

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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 Bravura Solutions Ltd. The Motley Fool Australia has recommended Bravura Solutions Ltd, Freedom Foods Group Limited, and 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.