Are you interested in adding some ASX growth shares to your portfolio this month? If you are, you may want to look at the two listed below that have recently been named as buys.
Here's what you need to know about them:
Breville Group Ltd (ASX: BRG)
The first ASX growth share to look at is Breville. It is the leading kitchen appliance manufacturer behind a growing portfolio of brands such as Breville, Kambrook, Lelit, and Sage.
Thanks to a winning combination of acquisitions, international expansion, and its consistent investment in research and development, Breville has been growing its sales and earnings at a solid rate for years.
The good news is that Goldman Sachs expects this solid form to continue for the foreseeable future and is forecasting an EBITDA compound annual growth rate of 7% between FY 2023 and FY 2025. It recently commented:
We see BRG as having a three-pronged growth strategy: 1) building on secular growth of the portioned and roast & ground (R&G) coffee market and achieving market share gains; 2) new market entry; and 3) options – ecosystem revenue streams.
Goldman has a buy rating and $24.70 price target on its shares.
Jumbo Interactive Ltd (ASX: JIN)
Another ASX growth share that analysts say investors should buy is online lottery ticket seller Jumbo. It is the company behind the OzLotteries website/app and the Powered by Jumbo software-as-a-service (SaaS) platform.
Morgans is very positive on the company. It was impressed with its FY 2022 results and believes it is well-placed for more of the same in the coming years thanks partly to its growing SaaS business.
FY22 was a year of solid growth in revenue and earnings for JIN. The business continued to diversify its earnings base, with SaaS now making up nearly half of group EBITDA. There were few surprises in the numbers, given JIN pre-announced headline earnings in July. We have made no material changes to our earnings estimates. […] We reiterate our ADD rating. We expect JIN to continue to achieve steady growth in the years ahead through a combination of organic contract wins, M&A and diversification.
Morgans has an add rating and $17.50 price target on the company's shares.
