With so many shares to choose from on the ASX, it can be hard to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you.
Three top ASX shares that leading brokers have named as buys this week are listed below. Here's why they are bullish on them:
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BHP Group Ltd (ASX: BHP)
According to a note out of Macquarie, its analysts have retained their outperform rating and lifted their price target on this mining giant's shares to $57.00. Due to strong demand and pricing, Macquarie has lifted its forecasts for a number of key commodities that BHP produces. It feels this leaves the company well-placed to reward shareholders with generous dividends in FY 2021 and FY 2022. The BHP share price is trading at $45.61 this afternoon.
Westpac Banking Corp (ASX: WBC)
Analysts at Morgan Stanley have retained their overweight rating and lifted their price target on this banking giant's shares to $27.20. According to the note, Westpac is Morgan Stanley's favourite among the big four banks. It believes Australia's oldest bank is well-positioned to buy back shares in FY 2022 due to its strong capital position. In addition to this, the broker believes Westpac can reduce its costs meaningfully, underpinning higher quality earnings and supporting its dividend payments. The Westpac share price is fetching $24.34 on Monday afternoon.
Xero Limited (ASX: XRO)
Another note out of Morgan Stanley reveals that its analysts have retained their overweight rating and lifted their price target on this cloud-based business and accounting platform provider's shares to $140.00. According to the note, the broker believes the recent weakness in the Xero share price has created a buying opportunity for investors. It feels the risk/reward on offer is attractive and remains bullish on its long term growth prospects. Particularly given its recent acquisitions of Planday and Tickstar. The Xero share price is trading at $122.31 today.
