Last week saw a number of broker notes hitting the wires once again. Three buy ratings that caught my eye are summarised below.
Here’s why brokers think investors ought to buy them next week:
Booktopia Group Ltd (ASX: BKG)
According to a note out of Morgans, its analysts have retained their add rating and lifted their price target on this online book retailer’s shares to $3.54. The broker was pleased with Booktopia’s third quarter update and notes that its strong growth and operating leverage has continued. The broker expects the company to have won almost 8% of the book market by the end of FY 2021. After which, it expects its market share gains to continue. The Booktopia share price ended the week at $2.56.
Breville Group Ltd (ASX: BRG)
Analysts at UBS have retained their buy rating and $35.70 price target on this appliance manufacturer’s shares. According to the note, the broker expects that Breville’s earnings growth will slow in the second half due to the company pulling forward cost investments. However, it appears supportive of the move and expects it to underpin solid sales growth over the coming years. It also sees upside potential from merger and acquisition opportunities. The Breville share price was fetching $25.83 at Friday’s close.
PointsBet Holdings Ltd (ASX: PBH)
A note out of Credit Suisse reveals that its analysts have upgraded this sports betting company’s shares to an outperform rating with a $16.15 price target. According to the note, the broker believes that PointsBet’s third quarter update demonstrates the company’s ability to win market share in the massive United States market. Overall, it is forecasting very strong revenue growth over the coming years as its footprint in the market grows. The PointsBet share price was trading at $13.56 on Friday.