Many of Australia's top brokers have been busy adjusting their financial models again, leading to the release of a large number of broker notes this week.
Three broker buy ratings that have caught my eye are summarised below. Here's why brokers think these ASX shares are in the buy zone:
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Afterpay Ltd (ASX: APT)
According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $120.00 price target on this payments company's shares. This follows the release of an update at its annual general meeting this week. That update revealed that Afterpay delivered record underlying sales in October and that November has started even stronger. This is consistent with what the broker is expecting from Afterpay. The Afterpay share price is trading at $94.78 this afternoon.
CSL Limited (ASX: CSL)
Analysts at UBS have retained their buy rating and $346.00 price target on this biotherapeutics company's shares. The broker notes that the company's Seqirus vaccine business is constructing an $800 million manufacturing facility in Melbourne. It believes the facility's focus on cell-based technology will give it an edge over the competition, which are reliant on egg-based techniques at present. The CSL share price is changing hands for $311.84 on Wednesday.
REA Group Limited (ASX: REA)
Another note out of Morgan Stanley reveals that its analysts have retained their overweight rating and $150.00 price target on this property listings company's shares. The broker is becoming increasingly positive on REA Group's earnings growth prospects, particularly given the prospect of the NSW government making changes to stamp duty. In addition to this, a return to listings growth, price increaseS, and flat costs are expected to support its growth. The REA Group share price is fetching $141.24 on Wednesday afternoon.
