If you're looking for a few new additions to your portfolio in October, then look no further.
Analysts at Morgans have picked out a number of ASX shares that they class as their best ideas for the month. Below are two that the broker rates highly right now:
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ResMed Inc. (ASX: RMD)
Morgans is a fan of this sleep treatment focused medical device company. Its analysts currently have an add rating and $41.34 price target on its shares. The broker notes that ResMed is well-placed for growth over the long term thanks to its world class offering in a growing market.
The broker commented: "While we believe the next few quarters will likely be volatile, as COVID-related demand for ventilators continues to slow and core sleep apnoea volumes gradually lift, nothing changes our medium/longer term view that the company remains well-placed as it builds a unique, patient-centric, connected-care digital platform that addresses the main pinch points across the healthcare value chain."
Woodside Petroleum Limited (ASX: WPL)
The team at Morgans are very positive on this energy producer and have added it to their list this month. This is largely down to its merger with the petroleum assets of mining behemoth BHP Group Ltd (ASX: BHP). It sees some major positives from the "transformative" deal. As a result, the broker has an add rating and $29.00 price target on its shares.
It explained: "We believe WPL has benefited from being in the right place, at the right time. With: 1) BHP/WPL having an existing relationship, 2) BHP eager to boost its ESG profile, and 3) WPL being a quality operator (safe hands which is important for BHP). From an economic standpoint we think WPL is clearly getting the better of the deal, with synergies not baked into deal metrics and BHP willing to accept a discount. The deal is transformative, lifting WPL into being a top 10 global E&P with +2 billion barrels of 2P reserves, with EBITDA of US$4.7bnpa and growth options."
