Looking for growth shares to buy? Listed below are two growth shares that have recently been named as buys and tipped to have major upside potential.
Here's what you need to know about these ASX growth shares:
TechnologyOne Ltd (ASX: TNE)
The first ASX growth share that analysts rate as a buy is TechnologyOne. It is a leading enterprise software provider to the government, financial services, health and community services, education, and utilities and managed services markets.
Thanks to its ongoing shift to a software-as-a-service (SaaS) model and its UK expansion, TechnologyOne has been growing strongly again in FY 2022. Pleasingly, the team at Goldman Sachs expect more of the same even in the current environment. It commented:
In our view TNE is well on its way to becoming a pure SaaS business, with high recurring revenue and expanding margins (post FY22) providing visibility into medium-term earnings growth. With a potentially challenging macro backdrop on the horizon we see TNE as offering resilient earnings given its low churn, mission critical software and defensive public sector end markets
Goldman has a buy rating and $13.30 price target on the company's shares.
Treasury Wine Estates Ltd (ASX: TWE)
Another ASX growth share to buy is Treasury Wine. It is the wine company behind popular brands including 19 Crimes, Penfolds, and Wolf Blass.
Treasury Wine has returned to form in FY 2022 after a difficult couple of years. This has been driven largely by the success of its North American business and its transformation plan.
Analysts at Morgans are expecting this positive form to continue. In fact, the broker recently said that it believes the "foundations are now in place for TWE to deliver strong double-digit growth from 2H22 over the next few years."
Morgans has an add rating and $13.93 price target on the company's shares.
