Brokers name 2 ASX 200 shares to buy

Brokers are tipping these shares as buys…

| More on:
two women celebrating good news on phone

Image source: Getty Images

If you’re looking for some new additions to your portfolio, then you may want to read on.

Listed below are two ASX 200 shares that broker are tipping as buys right now. Here’s what you need to know:

Australia and New Zealand Banking Group Ltd (ASX: ANZ)

If you’re looking for exposure to the banking sector, then ANZ could be worth considering. It is the top pick in the sector for the team at Morgans right now. As a result, its analysts have an add rating and $34.50 price target on the bank’s shares.

Morgans commented: “We believe ANZ is the most compelling of the major banks on a valuation basis. We expect ANZ to continue to focus on absolute cost reduction over the medium term. ANZ has de-risked its loan book over recent years – particularly its institutional loan book – such that the quality of its loan book has improved. While ANZ’s Australian home loan book has been growing below system over recent months, we expect a disciplined margin performance from ANZ.”

IDP Education Ltd (ASX: IEL)

This language testing and student placement company has been tipped as an ASX 200 share to buy by Goldman Sachs. While it acknowledges that the immediate term is volatile due to COVID-19, it highlights that its long term growth potential is significant. So much so, Goldman’s three-year CAGR estimate for earnings per share is 69%. In light of this, the broker has a buy rating and $34.00 price target on IDP’s shares.

Its analysts explained: “The long term growth opportunity for IEL is compelling. The company is reinvesting in digital capability that will increase its competitive advantage and strengthen its relationship with tertiary education institution clients. We estimate IEL to have <5% market share of the Canada and UK markets, with significant opportunity to gain share in a highly fragmented and under-penetrated market.”

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of August 16th 2021

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Idp Education Pty Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Blue Chip Shares