Analysts say these ASX growth shares have huge upside potential

These growth shares could have heaps of upside…

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If you’re looking for some new growth shares to buy following the market weakness, then it could be worth considering the two ASX shares listed below.

Both of these ASX shares have been tipped as buys with major upside potential. Here’s what you need to know about them:

Allkem Ltd (ASX: AKE)

The first ASX growth share to look at is Allkem. It is a top five global lithium miner with a collection of world class operations.

Allkem is currently producing a significant quantity of lithium from its operations, which is allowing it to benefit greatly from sky high prices.

But it won’t be stopping there. Looking ahead, the company recently revealed plans to increase its production three times over by 2026. Management expects this to allow the company to maintain a 10% share of the global lithium market over the next decade.

Morgans is very bullish on Allkem. Earlier this month, the broker put an add rating and $16.38 price target on its shares. Its analysts like Allkem due to its “diverse products and geographical mix [which] adds opportunities to capture value as the market evolves.”

Megaport Ltd (ASX: MP1)

Another growth share that could be in the buy zone is Megaport. It is the leading global provider of elastic interconnection services.

Megaport’s software layer provides users with an easy way to create and manage network connections. Through the Megaport network, businesses can then deploy private point-to-point connectivity between any of the locations on Megaport’s global network infrastructure.

So, with the structural shift to the cloud continuing, the company appears well-placed to benefit from increasing demand and higher spending on enterprise networking.

Goldman Sachs is a big fan of the company and believes it has an enormous growth opportunity. The broker has a buy rating and $13.10 price target on its shares. Goldman estimates that the company’s “opportunity for further growth is immense [with] GSe A$129bn p.a. spent on fixed enterprise networking across MP1 geographies.”

Motley Fool contributor James Mickleboro has positions in Allkem Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended MEGAPORT FPO. The Motley Fool Australia has recommended MEGAPORT FPO. 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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