With some brokers still taking a break over the holiday period, there haven't been many research notes released.
But don't worry because listed below are three recent broker buy recommendations that still have plenty of upside potential.
Here's why brokers think these ASX shares are in the buy zone:
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Allkem Ltd (ASX: AKE)
According to a note out of Goldman Sachs, its analysts have a buy rating and $15.20 price target on this lithium miner's shares. Although the broker is expecting lithium prices to weaken substantially in the next 18 months, it remains positive on Allkem. This is due to its attractive valuation at under 1x NAV and its plan to grow production 4x by FY 2027. The broker expects the latter to offset lower lithium prices. The Allkem share price is trading at $11.94 on Monday.
HMC Capital Ltd (ASX: HMC)
A note out of Morgans reveals that its analysts have an add rating and $5.85 price target on this property development company's shares. Morgans highlights that the HMC Capital share price has fallen heavily amid broad weakness in the REIT sector. Its analysts feel that this has created a buying opportunity for investors. Particularly given its capital light business model and track record for executing on complex deals. The HMC share price is fetching $4.42 on Monday.
Rio Tinto Ltd (ASX: RIO)
Analysts at Morgan Stanley have an overweight rating and $125.00 price target on this mining giant's shares. The broker believes that Rio Tinto is well-placed to benefit from an increase in spot commodity prices in recent months. In fact, the broker has recently upgraded its earnings estimates for the miner to reflect this. The Rio Tinto share price is trading at $118.38 this afternoon.
