While the market weakness we have experienced this week is disappointing, I believe it is an opportunity for investors to buy shares at more attractive prices.
Two ASX shares which have pulled back notably this week are listed below. Here's why I would buy them:
Bravura Solutions Ltd (ASX: BVS)
The Bravura Solutions share price has fallen over 8% this week. This means its shares are now trading almost 27% below their 52-week high. I think this is a buying opportunity for long-term focused investors. Especially given Bravura's strong growth potential and attractive valuation.
Bravura is provider of software products and services to financial institutions. These include major institutions such as BNP Paribas, Fidelity, and Mercer. Arguably the key product in its portfolio is the Sonata wealth management platform. This high quality platform allows its users to connect and engage with their clients anytime, anywhere, through computers, tablets, or smartphones. It also simplifies legacy client systems into one unified customer-centric solution.
Combined with recent acquisitions, which have opened it up to new and lucrative markets, I believe the future is very bright for this growing company.
Nanosonics Ltd (ASX: NAN)
The Nanosonics share price is down over 11% since this time last week. I think this is an opportunity for investors to buy the shares of one of the most promising healthcare companies at a fairer price.
I'm a big fan of the infection prevention company due to the strong growth potential of its trophon EPR product and the upcoming launch of new products targeting unmet needs. In respect to the former, the trophon EPR disinfection system for ultrasound probes is regarded as the best in its class. At the end of the first half its installed base stood at 22,500. This represents just under 19% of its global market opportunity. I believe this footprint can grow materially in the future and drive strong unit sales and recurring revenues from the consumables it requires.
Furthermore, the company has revealed that the secretive new products it has under development have similar market opportunities. In light of this, I think Nanosonics is in a fantastic position to deliver strong sales and earnings growth over the next decade.
