With a new month upon us, now could be a good time to look if there are any additions that could take your portfolio to the next level.
But which ASX shares should you buy? Here are five that are rated as buys:
Adore Beauty Group Limited (ASX: ABY)
Adore Beauty is Australia's number one pureplay online beauty retailer with almost 600,000 active customers. It currently has an estimated ~$11 billion a year opportunity in the Australian beauty and personal market, which is materially more than the revenue of $158.2 million it expects to generate in 2020. This gives it a long runway for growth over the 2020s. Morgan Stanley currently has an overweight rating and $8.35 price target on the company's shares.
Altium Limited (ASX: ALU)
Altium is a printed circuit board (PCB) design software provider. It is a leading player in the electronic design industry and is now aiming to take things to the next level by dominating it. The key to this is its cloud-based Altium 365 product, which management expects to help it achieve its target of doubling its subscriber numbers to 100,000 and increasing its revenue by ~150% to US$500 million by 2026. Credit Suisse is positive on the company and has an outperform rating and $35.00 price target on its shares.
Appen Ltd (ASX: APX)
Appen is a leading developer of high-quality, human annotated datasets for machine learning and artificial intelligence (AI). It has a team of one million+ contractors preparing the data for the models of some of the largest tech companies. Demand has softened this year because of the pandemic, but management is confident it will rebound once the crisis passes. Macquarie has an outperform rating and $27.00 price target on its shares.
CSL Limited (ASX: CSL)
CSL is one of the world's leading biotechnology companies. It is home to CSL Behring, the global number one player in the plasma therapies industry, and Seqirus, which is the number two player in the global influenza vaccines industry. Its shares have come under pressure in FY 2021 due to concerns about plasma collection headwinds (these are a vital ingredient in many of its therapies). However, analysts at UBS believe this is a buying opportunity and have recently put a buy rating and $346.00 price target on its shares.
Pushpay Holdings Group Ltd (ASX: PPH)
Pushpay is a donor management and community engagement platform provider with a focus on the faith sector. In FY 2020 the company reported a 32% increase in operating revenue to US$129.8 million. Management is expecting similarly strong growth again in FY 2021. The good news is that this is still only a fraction of its long term target. Management is aiming to win a 50% share of the medium to large US church market, which is estimated to be a US$1 billion revenue opportunity. Goldman Sachs is a fan of Pushpay and has a conviction buy rating and $2.59 price target on its shares.
