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:
IDP Education Ltd (ASX: IEL)
According to a note out of Macquarie, its analysts have retained their outperform rating and lifted their price target on this language testing company's shares to $32.60. This follows news that the company is acquiring the British Council's Indian IELTS business. Macquarie is a fan of the deal and suspects that further deals could be made in the future if the British Council needs to raise additional capital. It also believes management's synergy estimates could be conservative. The IDP Education share price is currently trading at $29.14.
IOOF Holdings Limited (ASX: IFL)
A note out of Citi reveals that its analysts have retained their buy rating and $4.95 price target on this financial services company's shares. The broker believes that IOOF's shares are still very cheap despite a recent rally. In addition to this, it sees meaningful upside potential from the company's simplification process. It also notes that IOOF is aiming to bring its financial advice offering to the mass market via its platform. It believes this could be significant if executed successfully. The IOOF share price is fetching $4.37 today.
Rio Tinto Limited (ASX: RIO)
Analysts at Citi have retained their buy rating and $130.00 price target on this mining giant's shares. According to the note, although narrowing Chinese steel profits means that steel production is likely to slow, it doesn't think this is a sell signal for investors. Particularly for income investors. The broker estimates that Rio Tinto's shares will offer average annual dividend yields of ~13% from FY 2021 and FY 2023. The Rio Tinto share price is trading at $126.05.
