Top ASX shares to buy in November 2021

Hoping to back some investment winners this month?

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With 2021 galloping ever closer to the finish line, we asked our Foolish contributors to compile a list of some of the ASX shares experts are picking as front runners in November.

Bernd Struben: Aurizon Holdings Ltd (ASX: AZJ)

Aurizon Holdings is Australia’s largest rail-based transport company. It provides integrated logistics services for numerous miners and agricultural companies and holds a near-monopoly position in Queensland. The company recently acquired One Rail Australia for $2.35 billion.

The Aurizon share price has seen some big swings over 2021 and is currently down by almost 13% year to date. That leaves it trading at a price-to-earnings (P/E) ratio of roughly 10.5. It also gives it a trailing dividend yield of around 8.4%, 70% franked.

Aurizon is listed on the S&P/ASX 200 Index (ASX: XJO), with a market capitalisation of approximately $6.3 billion. The Aurizon share price closed Friday’s session 1.75% lower at $3.37.

Motley Fool contributor Bernd Struben does not own shares of Aurizon Holdings Ltd.

Mitchell Lawler: Nanosonics Ltd (ASX: NAN)

While the Nanosonics share price has largely gone nowhere for the better part of two years, the company’s operating conditions could be rounding a corner as vaccination rates reach reopening levels.

The infection prevention company’s flagship product is the trophon®2, an automated disinfection device for ultrasound probes. Nanosonics derives a large portion of revenue from the sale of consumables and services for the device.

Due to the widespread suspension of elective surgeries caused by COVID-19 over the past 18 months, there has been a significant reduction in the need for these consumables and services. Company shareholders will no doubt be hoping that the recent easing of restrictions will result in an increase in demand.

Broker Morgans has an add rating on Nanosonics shares with a price target of $6.97. Based on the Nanosonics share price of $5.92 at Friday’s close, this suggests an upside of more than 17%.

Motley Fool contributor Mitchell Lawler does not own shares of Nanosonics Ltd.

Sebastian Bowen: Australian Ethical Investment Limited (ASX: AEF)

Australian Ethical Investment is a rapidly-growing fund manager with a total portfolio worth more than $6 billion. Its products include managed funds, pensions and superannuation.

Just last month, the company reported the largest fund inflows in its history, with no signs of slowing down. The last few years have seen more and more investors seeking to put their money where their mouths (and ethics) are, and this trend appears to show no sign of abating anytime soon.

As long as ethical/ESG investing remains a concern for investors, this company appears well placed with a healthy tailwind. It also pays a small, but growing, dividend. The Australian Ethical share price closed 2.55% on Friday at $13.69.

Motley Fool contributor Sebastian Bowen does not own shares of Australian Ethical Investment Limited.

James Mickleboro: CSL Limited (ASX: CSL)

This biotherapeutics giant’s shares could be a top option for investors in November. Although COVID-19 headwinds are expected to weigh on its profits in FY22, the company’s longer-term outlook arguably remains as bright as ever.

This is due to strong demand for its life-saving therapies and vaccines, easing plasma collection headwinds, and its lucrative product pipeline. The latter contains a number of exciting products with the potential to generate billions of dollars in sales over the long term.

The team at Morgans are positive on CSL. The broker currently has an add rating and a $324.40 price target on its shares. The CSL share price closed 0.22% higher on Friday at $300.49.

Motley Fool contributor James Mickleboro does not own shares of CSL Limited.

Tristan Harrison: Adore Beauty Group Ltd (ASX: ABY)

Adore Beauty is a leading online-only beauty retailer that sells thousands of products across hundreds of brands.

Broker Morgan Stanley currently rates the company’s shares as a buy, with a price target of $6. The broker expects continuing higher levels of growth over the rest of FY22, even as lockdowns come to an end.

FY21 saw Adore Beauty’s revenue rise 48% to $179.3 million and its gross profit margin increase 1.2 percentage points to 33.1% — indicating growing profitability. The FY21 second quarter showed revenue growth of 25% to $63.8 million. The company says it continues to benefit from the ongoing shift to online sales.

The Adore Beauty share price closed Friday’s session 1.95% higher at $4.70.

Motley Fool contributor Tristan Harrison does not own shares of Adore Beauty Group Ltd.

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

The ANZ Bank share price could be well-placed to outperform following the company’s better than expected full-year results.

Goldman Sachs noted that FY21 second-half cash earnings were 11% ahead of its expectations and the share price is trading at more than one standard deviation cheaper than the sector. Macquarie also believes the ANZ Bank share price is cheap as it’s trading around 11% to 34% below its peers. Both brokers rate the stock a buy.

The ANZ share price closed Friday 1.61% lower at $28.14.

Motley Fool contributor Brendon Lau owns shares of Australia and New Zealand Banking Group Ltd.

The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Australian Ethical Investment Ltd., CSL Ltd., and Nanosonics Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Adore Beauty Group Limited. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited and Nanosonics Limited. The Motley Fool Australia has recommended Adore Beauty Group Limited, Aurizon Holdings Limited, and Australian Ethical Investment Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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