There are a lot of growth shares for investors to choose from on the Australian share market.
To narrow things down, I have picked out three ASX growth shares that are highly rated. Here’s what you need to know about them:
ELMO Software Ltd (ASX: ELO)
ELMO is a HR and payroll platform provider. It has been growing at an impressive rate over the last few years thanks to solid demand for its offering in the ANZ and UK markets and acquisitions. Positively, the company looks well-placed to continue this positive form thanks to the shift to the cloud, its significant addressable market, and cross- and up-selling opportunities.
One broker that is particularly positive on ELMO is Shaw & Partners. It currently has a buy rating and and $9.00 price target.
IDP Education Ltd (ASX: IEL)
IDP Education is a provider of international student placement and English language testing services. As you might expect, it was hit hard by the pandemic. However, thanks to its software business and strong balance sheet, the company has been tipped to win market share and resume its rapid growth once the crisis passes.
Morgan Stanley is positive on the company’s post-pandemic prospects. As a result, it recently retained its overweight rating and $30.00 price target on the IDP Education’s shares.
ResMed Inc. (ASX: RMD)
ResMed is a medical device company with a focus on the sleep treatment market. Thanks to its industry-leading products, wide distribution network, and successful acquisitions, ResMed has been growing at a very strong rate over the last decade. Pleasingly, ResMed still has a significant market opportunity to grow into thanks to the growing prevalence of sleep disorders.
Credit Suisse is a fan of the company and believes upcoming launch of its new CPAP device, AirSense 11, will be a key driver of growth. The broker has an outperform rating and $29.00 price target on its shares.