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2 explosive ASX growth shares to buy today

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If you have a penchant for growth shares, then you’re in luck. The Australian share market is home to a good number of companies growing their earnings at a quick rate.

Two ASX growth shares that could be worth a closer look are listed below. Here’s what you need to know about them:

Adore Beauty Group Limited (ASX: ABY)

Adore Beauty is a growing online beauty retailer with almost 600,000 active customers.

In December the company released a trading update which revealed that its sales have been growing very strongly over the last few months. So much so, it was forced to upgrade its first half guidance.

Management advised that its first half sales are expected to be $95.2 million. This is a big jump on the prior corresponding period and 7% higher than its prospectus forecast of $89 million. Positively, the expected uplift in revenue is also anticipated to have a positive impact on the earnings forecast for the half.

Pleasingly, this is still only scratching at the surface of its market opportunity. Adore Beauty still has a very long runway for growth in an Australian beauty and personal market worth an estimated ~$11 billion a year.

Morgan Stanley is positive on the company and appears to believe it is well-placed to benefit from the ongoing shift to online shopping. The broker currently has a buy rating and $8.35 price target on its shares.

Domino’s Pizza Enterprises Ltd (ASX: DMP)

Another ASX growth share to look at is this pizza chain operator. It has been an incredibly positive performer over the last six months and management appears confident this strong form will continue.

In its recently released half year results, Domino’s revealed a 16.5% increase in total global food sales to $1.84 billion. This was driven by strong same store sales growth and the opening of 131 organic new stores.

Thanks to operating leverage, things were even better on the bottom line. Domino’s reported a 32.8% increase in underlying net profit after tax to $96.2 million.

Positively, the second half has started very strongly and its CEO, Don Meij, has stated that Domino’s intends to “significantly outperform” its strong first half result.

One broker that appears confident this will be the case is Macquarie. In response to its results, the broker reaffirmed its outperform rating and lifted its price target by 33% to $120.20.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

*Returns as of February 15th 2021

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Dominos Pizza Enterprises Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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