These ASX growth shares could be great options in October

Here's why I think Collins Foods Ltd (ASX:CKF) and these ASX mid cap growth shares could grow much larger during the 2020s…

| 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

One area of the market which I think is filled with a number of quality options for growth investors is the mid cap space.

But with so many to choose from, which ones should you consider buying?

Three top mid cap ASX shares I believe could be long term market beaters are listed below. Here's why I rate them:

asx buy

Image source: Getty Images

Bravura Solutions Ltd (ASX: BVS)

Bravura Solutions is the financial technology company behind the Sonata wealth management platform. This platform allows financial advisers to connect and engage with clients via computers, tablets, or smartphones. It counts a number of large financial institutions as customers, which I believe is a testament to its quality. In addition to this, Bravura has been on a bit of an acquisition spree over the last 18 months and has bolstered its portfolio significantly. In fact, just this morning it announced another earnings accretive acquisition in the UK. Combined, I believe the company's portfolio has positioned it perfectly for growth over the 2020s.

Collins Foods Ltd (ASX: CKF)

Collins Foods is a leading operator of KFC restaurants. It has a growing network across Australia and also in the under-penetrated European market. In addition to this, the company has been rolling out the Taco Bell brand across Australia. If this rollout and its KFC expansion at home and abroad continues successfully, it should underpin solid earnings and dividend growth in the coming years. I think this makes it a great buy and hold option for growth investors.

Jumbo Interactive (ASX: JIN)

Jumbo is the online lottery ticket seller behind the Oz Lotteries website and the Powered by Jumbo software as a service platform. It is the latter business which I expect to be the main driver of its growth in the future. Management certainly appears to believe this will be the case, noting that it is expecting this business to play a key role in the company achieving its target of $1 billion in ticket sales through the Jumbo platform by FY 2022. This will be a significant lift on what it achieved in FY 2020. The good news is that this target is still only a fraction of its assessable opportunity. Earlier this year management estimated that just 7% of the US$303 billion global total addressable market was currently online. And considering how much more efficient it is to sell lottery tickets online instead of in physical locations, I expect more and more lotteries will make the shift over the next decade. This puts its Powered by Jumbo platform in a great position to profit.

James Mickleboro owns shares of Collins Foods Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. recommends Jumbo Interactive Limited. The Motley Fool Australia owns shares of and has recommended Bravura Solutions Ltd and Jumbo Interactive Limited. The Motley Fool Australia has recommended Collins Foods Limited. 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 Growth Shares

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face.
Growth Shares

2 high-quality ASX stocks to buy and hold long term

Brokers see the dip as a compelling long-term buy with 33% to 44% upside.

Read more »

a man wearing casual clothes fans a selection of Australian banknotes over his chin with an excited, widemouthed expression on his face.
Growth Shares

3 fantastic ASX shares that could help build long-term wealth

Analysts think these shares are in the buy zone right now.

Read more »

A fit woman in workout gear flexes her muscles with two bigger people flexing behind her, indicating growth.
Growth Shares

2 ASX 200 shares I rate as top buys for growth

These sizeable businesses could scale significantly from here…

Read more »

Person pointing at an increasing blue graph which represents a rising share price.
Growth Shares

Where to invest $7,000 in ASX shares during April

I’m optimistic that these ASX shares could beat the stock market.

Read more »

Happy shareholders clap and smile as they listen to a company earnings report.
Growth Shares

3 ASX 200 shares that could quietly compound for years

Let's see what sets these shares apart from the crowd.

Read more »

Stock market chart in green with a rising arrow symbolising a rising share price.
Growth Shares

3 ASX shares tipped to grow 100% or more in the next 12 months

Here’s how much these exciting stocks could rise in the year ahead.

Read more »

Buy now written on a red key with a shopping trolley on an Apple keyboard.
Growth Shares

2 ASX shares highly recommended to buy: Experts

Analysts think it’s a good time to invest in these names…

Read more »

A female ASX investor looks through a magnifying glass that enlarges her eye and holds her hand to her face with her mouth open as if looking at something of great interest or surprise.
Growth Shares

2 under-the-radar ASX shares with bags of potential

It could be worth getting better acquainted with these shares.

Read more »