There are a lot of growth shares to choose from on the Australian share market.
To help narrow things down, I have picked out two ASX growth shares that have been rated as buys. They are as follows:
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Breville Group Ltd (ASX: BRG)
The first ASX growth share to look at is Breville. It is one of the world's leading appliance manufacturers.
Breville's primary strategy is the design and development of the world's best kitchen appliances, together with expanding distribution and dynamic marketing on a global scale. The company's Breville and Sage brands are at the core of this strategy and represent the majority of its revenues and marketing activities.
This strategy has been highly successful and underpinned consistently strong sales and earnings growth over the last decade. For example, in FY 2021 Breville delivered revenue growth of 24.7% to ~$1.2 billion and a 42% jump in net profit after tax to $91 million.
The good news is that the company appears well-placed to continue its growth over the next decade. This is thanks to popularity of its brands, its international expansion, acquisitions, favourable consumer trends, and its continued investment in R&D.
The team at Morgans is very positive on the company's future. As a result, its analysts have an add rating and $34.00 price target on Breville's shares.
NEXTDC Ltd (ASX: NXT)
Another ASX growth share to consider is NEXTDC. It provides colocation services to local and international organisations from a growing network of Tier III and Tier IV data centre facilities in key locations across Australia.
Given how the world is rapidly shifting to the cloud, demand for data centre capacity has been increasingly strongly in recent years. This has led to NEXTDC growing its revenue and operating earnings at a solid rate.
Positively, the structural shift still has a long way to go, which bodes well for demand over the next decade and beyond. Combined with NEXTDC's plan to expand into the Asia market, this could put the company in a position to continue its growth over the long term.
Goldman Sachs is a big fan of NEXTDC. It currently has a buy rating and $14.40 price target on its shares. The broker believes NEXTDC will grow its EBITDA by ~20% per annum through to at least FY 2024.
