With a new month on the horizon, now could be an opportune time to consider making some new additions to your portfolio.
To help you on your way, I’ve picked out ten ASX shares which I think would be great options for October and beyond. They are as follows:
a2 Milk Company Ltd (ASX: A2M)
A2 Milk Company is an infant formula and fresh milk company with a focus on A2-only products. It has been growing at a rapid rate over the last few years thanks largely to the increasing demand for its infant formula in China. Pleasingly, given its modest market share in this key market and its growing footprint, I expect more of the same in the coming years. Management also has the option of boosting its growth with value accretive acquisitions thanks to its sizeable cash balance.
Afterpay Ltd (ASX: APT)
This payments company has been on form again in 2020, generating very strong returns for investors. The good news is I’m confident the continued success of its US operations could make its shares market beaters again over the next 12 months. They could also be given a major boost if its expansion into Canada and mainland Europe goes well.
Altium Limited (ASX: ALU)
Another ASX share to look at is Altium. It is a printed circuit board design software provider which is aiming for market domination by FY 2025/26. It is also aiming to grow its revenue to US$500 million over the same period. This will be a ~160% increase on FY 2020’s revenue. Given the very favourable tailwinds and its world class platform, I believe it will get there.
I think Appen would be a great ASX share to buy. Its team of one million-plus crowd sourced experts prepare the data that goes into artificial intelligence and machine learning models. This is an incredibly vital part of the process, as without high quality data these models will not reach their full potential. Pleasingly, these markets are forecast to grow significantly over the next decade. I feel this bodes very well for Appen’s growth.
I think this biotherapeutics company’s shares are a strong buy at the current level. This is because I believe CSL is in a great position for growth over the long term due to increasing demand for immunoglobulins, its expansive plasma collection network, growing demand for influenza vaccines, and its burgeoning research and development pipeline. The latter has some very lucrative therapies under development.
Kogan.com Ltd (ASX: KGN)
This ecommerce company could be an ASX share to buy, especially if you’re thinking long term. I think Kogan would be a great buy and hold option due to the structural shift to online shopping and the growing popularity of its website. Management also intends to make value accretive acquisitions in the near term.
NEXTDC Ltd (ASX: NXT)
NEXTDC is a technology company providing innovative data centre outsourcing solutions, connectivity services, and infrastructure management software. Its partner ecosystem hosts Australia’s largest independent network of carriers, cloud, and IT service providers. Given the accelerating shift to the cloud, I believe it can deliver strong earnings growth over the 2020s.
Pushpay Holdings Group Ltd (ASX: PPH)
Another ASX share to buy is Pushpay. It is a donor management and community engagement platform provider for the faith sector. Thanks to the shift to a cashless society and social distancing measures, Pushpay’s platform is proving invaluable for churches. This has led to it delivering stellar growth in recent years, with more of the same expected in FY 2021.
One of my favourite ASX shares is ResMed. I think the sleep treatment-focused medical device company is well-placed for growth thanks to its industry-leading products and sizeable market opportunity. The company also has a growing ecosystem of connected devices generating invaluable data insights. This could give it a real edge over the competition in the future.
A final ASX share to consider buying is Xero. It is a leading cloud-based business and accounting software provider which has been growing its customer numbers and recurring revenues at a strong rate for many years. I’m very confident there will more of the same over the coming years. This is due to the shift to online accounting, its global market opportunity, and high quality and sticky product.
These 3 stocks could be the next big movers in 2020
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In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.
*Returns as of 6/8/2020
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 and recommends Altium. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of CSL Ltd., Kogan.com ltd, PUSHPAY FPO NZX, and Xero. The Motley Fool Australia owns shares of A2 Milk, AFTERPAY T FPO, and Appen Ltd. The Motley Fool Australia has recommended Kogan.com ltd, PUSHPAY FPO NZX, and ResMed Inc. 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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