Broker names 2 ASX 200 shares to buy with almost 20% upside

Here's why these ASX 200 shares are rated as buys…

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

If you're looking to add some ASX 200 shares to your portfolio, then it could be worth checking out the two listed below.

Both have been rated as buys by the team at Morgans and tipped to climb materially higher from current levels. Here's what you need to know:

Man drawing an upward line on a bar graph symbolising a rising share price.

Image source: Getty Images

QBE Insurance Group Ltd (ASX: QBE)

The first ASX 200 share to look at is QBE. Morgans believes the insurance giant's shares are trading at a very attractive level, particularly given its improving outlook.

The broker currently has an add rating and $13.50 price target on the company's shares.

Morgans explained: "With strong rate increases still flowing through QBE's insurance book, and further cost-out benefits to come, we expect QBE's earnings profile to improve strongly over the next few years. The stock also has a robust balance sheet and remains relatively inexpensive overall trading on ~12x FY22F PE."

Treasury Wine Estates Ltd (ASX: TWE)

Another ASX 200 share that could be in the buy zone right now according to Morgans is Treasury Wine. The broker likes the wine giant due to the quality of its Penfolds business, favourable tailwinds, and its highly regarded management team.

Its analysts have an add rating and $13.93 price target on the company's shares.

The broker commented: "TWE owns much loved iconic wine brands, the jewel in the crown being Penfolds. We rate its management team highly. The company recently reported an impressive 1H22 result despite facing a number of material headwinds. The foundations are now in place for TWE to deliver strong double digit growth from the 2H22 over the next few years. Trading at a material discount to our valuation and other luxury brand owners, TWE is a key pick for us."

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. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Treasury Wine Estates Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Broker Notes

Broker written in white with a man drawing a yellow underline.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

Group of people toasting with wine
Broker Notes

Buy, hold, sell: Transurban, Orora, Treasury Wine Estates shares

Here's what top broker Morgans thinks of these 3 ASX 200 shares following their FY26 reports.

Read more »

Businessman studying a high technology holographic stock market chart.
Broker Notes

8 ASX 200 shares with fresh buy ratings this week

Brokers retained a positive view on Westpac, Sonic Healthcare, Minerals 260, and other shares.

Read more »

Woman working on her laptop at a café.
Broker Notes

7 ASX 200 shares downgraded by the experts this week

Brokers reduced their ratings on IAG, Seek, Woolworths, and other ASX 200 stocks.

Read more »

Man drawing an upward line on a bar graph symbolising a rising share price.
Broker Notes

Morgans names 3 ASX shares to buy

The broker has good things to say about these shares. Here's what you need to know.

Read more »

A young woman holding her phone smiles broadly and looks excited, after receiving good news.
Broker Notes

The dividend yield on this ASX tech stock could more than double: Broker

It's had a bumpy ride this week, but this share could generate strong returns.

Read more »

Smiling woman with her head and arm on a desk holding $100 notes, symbolising dividends.
Broker Notes

For a yield of more than 7% and capital gains check out this ASX property trust: Broker

Could this company deliver the best of both worlds?

Read more »

An aircraft maintenance technician stands atop a platform inspecting the jets of an aircraft within a hangar.
Broker Notes

This ASX critical minerals producer could more than triple in value: Broker

This hi-tech company is growing its revenues fast.

Read more »