With so many shares to choose from on the ASX, it can be hard to decide which ones to buy.
The good news is that brokers across the country are doing a lot of the hard work for you.
Three top shares that leading brokers have named as buys this week are listed below. Here’s why they are bullish on them:
BWX Ltd (ASX: BWX)
According to a note out of Citi, its analysts have retained their buy rating and $4.20 price target on this personal care products company’s shares. The broker notes that regulations in China are due to change in the near term. While the country isn’t a priority for the Sukin seller, Citi sees the changes as a big opportunity in the long term. Especially given the size of the Chinese cosmetics market. I think Citi makes some good points and BWX could be worth a closer look.
Nine Entertainment Co Holdings Ltd (ASX: NEC)
A note out of Goldman Sachs reveals that its analysts have retained their buy rating and $1.85 price target on this entertainment company’s shares. This follows the release of an update by Nine which revealed that it expects EBITDA of $390 million to $410 million in FY 2020. This was higher than Goldman expected and above the median consensus estimate of $388 million. Looking ahead, the broker is positive on its outlook and expects EBITDA growth of 9% in FY 2021. While it isn’t a company that I’m a big fan of, its shares do look decent value at ~15x forward earnings.
Treasury Wine Estates Ltd (ASX: TWE)
Analysts at Morgan Stanley have upgraded this wine company’s shares to an overweight rating with an improved price target of $13.50. According to the note, the broker believes that it will take a couple of years until its earnings rebound to previous levels. However, it suspects that its shares could start to re-rate higher before then. The catalyst for this is expected to be the stabilisation of its U.S. business. I agree with Morgan Stanley and feel Treasury Wine could be a good buy and hold option.