The 2024 financial year was off to a flyer for ASX investors, as the S&P/ASX 200 Index (ASX: XJO) rose 2.9% over July.
The team at LSN Capital noticed that last month the global market gains started to differ from what happened from January to June this year.
"The drivers of the market broadened from mega-cap technology, which [led] the rally early, to more economically sensitive sectors."
As such, many ASX shares that aren't big tech have started to shoot up, and it's not too late to jump on some of them to enjoy the rest of the ride.
Here are two examples from LSN analysts' memo to clients:
You can't deny Australia's obsession with real estate
Like all stocks associated with the real estate market, last year was rough for online listings platform Domain Holdings Australia Ltd (ASX: DHG).
The stock lost more than half its value as successive interest rate rises dampened enthusiasm for property.
But with the upward part of the cycle now nearing the end, the Domain share price enjoyed a tidy 7.1% rally last month.
In fact, the stock has now rocketed close to 50% year to date.
And LSN analysts reckon there's plenty more where that came from, as Australia's obsession with real estate can't be repressed for too long.
"Listing volumes appear to be improving nationally, with key markets in Melbourne/Sydney seeing volumes moving from down >30% earlier in 2023 to +4% more recently," their memo read.
"Improving listing volumes will drive Domain earnings higher with expectations for continued listing declines for the remainder of 2023 looking overly pessimistic."
These low expectations continue to provide Domain investors with further upside.
"Any adjustment up in listing volumes would see earnings recover more rapidly and valuation upside increased given the operating leverage in the business."
Rising power bills? Here's how you could get some back
The Beach Energy Ltd (ASX: BPT) share price has been volatile in recent times, but it zoomed ahead an impressive 19.6% in July.
"Beach Energy reported its quarterly production report, which, after a series of disappointments in recent months, delivered a strong set of numbers with production and revenue strongly up on prior quarters."
While rising energy bills are a headache for Australian households, those invested in Beach Energy shares might get some of that back.
"We are expecting rising gas prices to provide a tailwind for earnings and expect materially higher dividends as cash flow improves," read the LSN memo.
"Expansion projects continue to be de-risked at Otway and Waitsia with additional exploration offering further valuation upside."
Many of LSN analysts' peers are in agreement about Beach Energy.
According to CMC Markets, a stunning 13 out of 17 analysts currently rate the stock as a buy.
