3 five-star ASX shares to buy right now

I think Afterpay Ltd (ASX:APT) and these ASX shares are five-star buys right now. Here's why I like them…

| More on:

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

If you're looking for additions to your portfolio in April, then I think the three ASX shares listed below would be great options.

I believe they are amongst the best on offer on the Australian share market and could generate strong returns for investors over the next decade.

Here's why I rate them as five-star stocks:

a woman

Afterpay Ltd (ASX: APT)

Although the coronavirus outbreak could stifle its growth in the immediate term, it hasn't done so far. The buy now pay later provider recently released its third quarter update which revealed quarterly underlying sales of $2.6 billion. This was a 97% increase on the prior corresponding period. Pleasingly, it also revealed stable losses and income margins for the quarter, which I believe is starting to demonstrate the resilience of its business model. Overall, I'm confident that its long term prospects remain as bright as ever and expect strong returns over the next decade.

NEXTDC Ltd (ASX: NXT)

Another share that I rate as five stars is NEXTDC – Asia's most innovative Data Centre-as-a-Service provider. NEXTDC is busy building the infrastructure platform for the digital economy. I believe this leaves it exceptionally well-positioned to benefit from the cloud computing boom. This is because as cloud computing usage increases, demand for its innovative data centre outsourcing solutions and connectivity services is likely to increase with it. Pleasingly, this has proven accurate. Demand has proven to be so strong, the company recently announced plans to build a new data centre in Sydney.

Pushpay Holdings Group Ltd (ASX: PPH)

A final share that I would give five stars to is Pushpay. It is a fast-growing donor management platform provider for the faith sector. It has grown its market share in the United States at a rapid rate over the last few years, leading to stellar revenue growth. This has continued in FY 2020. During the first half, the company's operating revenue jumped 31% to US$56 million. This was driven by increasing customer numbers and a 20% lift in average revenue per customer (ARPC) to US$1,272. The good news is that Pushpay still has a significant market opportunity to grow into and a stronger product offering following the acquisition of church management system provider Church Community Builder.

Motley Fool contributor James Mickleboro owns shares of NEXTDC Limited. The Motley Fool Australia owns shares of and has recommended PUSHPAY FPO NZX. The Motley Fool Australia owns shares of AFTERPAY T FPO. 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 ASX Share Market News

Press conference set up with symbol and flag of Federal Reserve.
ASX Share Market News

Wall Street just shrugged off the Fed rate hike. Could the ASX 200 be next?

US markets bounced back despite another rate hike.

Read more »

Business people discussing project on digital tablet.
Broker Notes

Buy, hold, sell: James Hardie, REA Group, and Ramelius shares

Analysts have given their verdict on these shares.

Read more »

Smiling man with phone in wheelchair watching stocks and trends on computer
ASX Share Market News

5 things to watch on the ASX 200 on Friday

It looks set to be a good finish to the week for Aussie investors.

Read more »

Small kid giving a thumbs up.
Broker Notes

2 ASX 200 stocks that Morgans just upgraded

These stocks have between 15% and 20% upside.

Read more »

A little girl with red hair runs excitedly with a rocket strapped to her back, trying to launch.
Broker Notes

6 ASX 200 shares boosted by brokers this week

Brokers have increased their ratings on CSL, NAB, Ramsay Health Care, and others this week. 

Read more »

Woman looking at a laptop and thinking.
ASX Share Market News

ASX shares investors are still buying despite volatility: survey

The ASX 200 has slipped into the red for 2026.

Read more »

I young woman takes a bite out of a burrito n the street outside a Mexican fast-food establishment.
Broker Notes

Buy, hold, sell: Aurizon, Car Group, Guzman y Gomez shares

Toby Grimm from Baker Young explains his views and ratings on three ASX 300 shares.

Read more »

Broker looking at the share price.
Broker Notes

Buy, hold, sell: Temple & Webster, Kelsian, Boss Energy shares

Two experts share their views on three ASX shares.

Read more »