Why I think these 3 ASX shares are top-quality buying at today’s prices

Here are my top 3 ASX shares that I believe are in bargain territory.

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Key points

  • Shares in former market darling Altium could be cheap following a steep decline last month
  • Another ASX share that might be undervalued is blue chip and biotech leader CSL after a rocky past few months
  • Northern Star shares could also be one to add to your portfolio following the current turmoil across global markets

If you have any spare cash sitting in your account, I believe now would be the time to invest in these ASX shares.

While the S&P/ASX 200 Index (ASX: XJO) has tumbled heavily in recent times, there are some ASX shares that could be cheap.

Below, I have picked out what I think are the best three ASX shares to own at today’s prices.

Altium Limited (ASX: ALU)

The Altium share price hasn’t fared too well amid the constant beating of the S&P/ASX All Technology Index (ASX: XTX).

The 3D printed circuit board maker revealed a solid performance across its half-year results for FY22.

Altium reported US$102 million in revenue, an increase of 28% on the prior comparable period.

On the bottom line, net profit after tax (NPAT) lifted by 38% to US$23 million.

The ASX share upgraded its revenue guidance to the high-end of the range for FY22.

As such, management is targeting revenue between US$213 million to US$217 million. This represents a growth of around 18-20%.

In addition, underlying earnings before interest, tax, depreciation, and amortisation (EBITDA) margin is expected to be roughly 34-36%.

The company said that it’s planning to scale up its leadership recruitment including new cloud and enterprise sales roles.

The Altium share price is trading at $27.78, a 36% discount from its all-time high of $45.30 reached in December.

CSL Limited (ASX: CSL)

This global biotech leader in developing and delivering life-saving medicines has seen its shares tank over the past few months.

In February, the CSL share price touched a 52-week low of $240.10 before moving in circles. This is in stark contrast to when its shares were trading above the $300 mark towards the backend of last year.

Despite keeping a relatively quiet front on the news side, CSL has been restoring its plasma collections to pre-COVID levels.

When the ASX share reported its half-year results, management said that plasma numbers were 18% higher than H1 FY21.

CSL opened 18 new facilities in the first half of FY22 to attract lapsed and new donors through its doors.

There are plans to open another 35 centres, expanding its presence, mostly across the United States.

Possibly weighing down CSL shares is the announced delay in completing the acquisition of Vifor Pharma. Originally, the deal was due to be wrapped up by June 2022, however, receiving regulatory approvals is taking a little longer.

At the time of writing, CSL shares are down 0.64% to $271.86.

Northern Star Resources Limited (ASX: NST)

Every portfolio should have at least one established gold company, and I believe Northern Star should be on your list. 

The current environment is extremely fluid, given the number of macro factors that are occurring on the world stage.

Inflation, rate hikes, geopolitical tensions, and the unpredictability of global markets are influencing the price of gold.

Northern Star is one of the biggest gold miners in Australia, and could benefit from the bullish run on the precious yellow metal.

The market appears to have already priced in potential interest rate rises, which may lead to gold prices surging yet again. This is because of the extremely high levels of inflation which could dent economic growth, leading to slower-than-expected rate hikes.

With this in mind, Northern Star might be in for a bumper result when it reports in August this year.

The Northern Star share price is down 5% in 2022 and 17% over the past month but has began to recover some lost ground in the past week. At the time of writing, it is down 2.4% on the day to $8.89.

Motley Fool contributor Aaron Teboneras has positions in Altium and Northern Star Resources Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Altium and CSL Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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