Analysts say these ASX growth shares have at least 20% upside

Big returns could be on the cards for owners of these shares.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Are you looking for ASX growth shares to buy? Then read on because listed below are a couple that are highly rated by analysts.

Here's why they are tipping them as buys right now:

Playful parents having fun while pushing their small kids in cardboard box as they move into their new home.

Image source: Getty Images

Lovisa Holdings Limited (ASX: LOV)

The team at Morgans sees Lovisa as a top ASX growth share to buy right now.

It likes the fast-fashion jewellery retailer due to its affordable offering and huge global expansion plans. The latter could include an entry into the massive China market in the very near future. The broker explains:

Lovisa grew substantially in FY23 to finish the year with an 801-store network in 39 countries. We believe it plans to enter mainland China in FY24, paving the way for significant longer-term growth.

Morgans has an add rating and a $27.50 price target on its shares. This suggests a potential upside of over 40% from current levels.

Macquarie Technology Group Ltd (ASX: MAQ)

Goldman Sachs thinks that Macquarie Technology could be an ASX growth share to buy. It is a leading cloud, data centre, cyber security, and telecommunications company.

The broker is feeling very positive about the company's outlook thanks to a number of favourable tailwinds. This includes the emergence of generative AI and large language models (LLM) such as ChatGPT, which it believes will underpin strong demand for data centre services. It said:

[W]e expect AI to catalyse a third wave of demand for data centre providers in Australia as GenAI workloads shift from LLM training (generally done offshore) to inference and enterprise use cases (in Australia). The clearest beneficiary across our IT Services coverage is MAQ and its portfolio of DC assets in Sydney/Canberra, helping drive medium-term demand from hyperscalers and enterprises.

Goldman Sachs has a buy rating and a $77.70 price target on its shares. This implies a potential upside of over 20% from current levels.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group and Lovisa. The Motley Fool Australia has recommended Lovisa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Growth Shares

Purple tech growth chart.
Growth Shares

2 wonderful ASX All Ords stocks I'd buy today

These stocks could deliver great returns. Here’s why…

Read more »

Cheerful man in a orange shirt standing in front of an audience holding a tablet and using hand gestures to interact with the audience.
Growth Shares

3 amazing ASX growth shares that continue to stand out

Looking for growth options? Here are three to consider.

Read more »

Person pointing finger on on an increasing graph which represents a rising share price.
Growth Shares

2 ASX shares tipped to grow at least 50% in the next 12 months

These stocks could be some of the best ones to own today.

Read more »

Scared looking people on a rollercoaster ride representing volatility.
Growth Shares

What's driving the wild swings in Telix shares?

The ASX biotech stock offers high-growth potential, but it comes with volatility.

Read more »

An executive in a suit smooths his hair and laughs as he looks at his laptop feeling surprised and delighted.
Growth Shares

3 stellar ASX growth shares to buy now with 30% to 70% upside

Analysts have buy ratings and lofty price targets on these shares.

Read more »

Person using a calculator with four piles of coins, each getting higher, with trees on them.
Growth Shares

2 ASX shares that I rate as buys today for both growth and dividends!

These businesses have plenty going for them. I’m calling them buys…

Read more »

Two excited woman pointing out a bargain opportunity on a laptop.
Share Market News

NextDC shares rocket 27% higher: Buy, hold or sell?

Can NextDC shares keep climbing higher, or have they now peaked?

Read more »

A woman on a green background points a finger at graphic images of molecules, a rocket, light bulbs, and scientific symbols as she smiles.
Growth Shares

3 exciting ASX shares you won't want to miss out on

These ASX shares are not just growing. They are expanding into much larger opportunities.

Read more »