It has been another busy week for Australia’s top brokers. This has led to the release of a large 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:
Nearmap Ltd (ASX: NEA)
According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $3.20 price target on this aerial imagery technology and location data company’s shares. The broker feels that Nearmap’s shares are undervalued based on its growth potential. Morgan Stanley believes the company can deliver a 25% increase in annual contract value and improved customer retention in FY 2022. The broker is also pleased with Nearmap’s transition from selling images to selling insights. It expects this to result in deeper customer engagement. The Nearmap share price is fetching $1.94 on Friday.
Sealink Travel Group Ltd (ASX: SLK)
A note out of UBS reveals that its analysts have commenced coverage on this travel and transport company’s shares with a buy rating and $10.50 price target. The broker is a fan of the company’s transition from a tourism-based company to multi-modal transportation operator. It feels this has improved the quality of the business and opened up global growth opportunities. The Sealink share price is trading at $8.78 today.
Telstra Corporation Ltd (ASX: TLS)
Analysts at Morgans have retained their add rating and lifted their price target on this telco giant’s shares to $4.44. According to the note, the broker was pleased with Telstra’s T25 update. It notes that the company has set itself some bold growth targets. Based on this, the broker appears to believe that this means its shares are trading at an attractive level. The Telstra share price is fetching $3.92 on Friday afternoon.