Australia’s top brokers have been busy adjusting their estimates and recommendations once again. This has led to the release of a number of broker notes.
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:
Premier Investments Limited (ASX: PMV)
According to a note out of Macquarie, its analysts have retained their outperform rating and $31.00 price target on this retail conglomerate’s shares. The broker has been looking at the UK market and was pleased to see strong retail sales growth following the reopening of the economy. Overall, it believes this demonstrates how Premier Investments is well-placed to benefit from a combination of the global economic reopening and organic growth. The Premier Investments share price is fetching $25.56 today.
REA Group Limited (ASX: REA)
Another note out of Macquarie reveals that its analysts have retained their outperform rating and lifted their price target on this property listings company’s shares to $179.10. According to the note, the broker was pleased with REA Group’s third quarter update. And while it feels that the Australian property market is losing a bit of steam and buyers are becoming more cautious, it remains very positive on its medium term growth prospects. This is thanks to its sales mix shift and depth products growth. The REA Group share price is fetching $155.89 today.
Telstra Corporation Ltd (ASX: TLS)
Analysts at Ord Minnett have retained their buy rating and lifted their price target on this telco giant’s shares to $4.10. According to the note, the broker is expecting Telstra’s average revenue per user (ARPU) metric to increase in FY 2022 thanks to mobile plan price increases from both it and rival Optus. In addition to this, due to Telstra’s leadership position in 5G, the broker is predicting market share gains in the post-paid market. The Telstra share price is trading at $3.46 today.