It's been a pretty disappointing day on the ASX boards this Thursday thus far. The ASX 200 muddled through the day and was down by 0.08% at just over 7,020 points by the close of trade. But that doesn't mean there has been a complete absence of good news on the markets.
So let's talk about four ASX 200 shares that have just been upgraded by major ASX brokers (and one that has been downgraded), as reported in The Australian.
Four ASX 200 shares that brokers are calling a buy
First up and with the most commentary is ASX 200 big four bank share ANZ Group Holdings Ltd (ASX: ANZ). Analysts at Morgan Stanley have upgraded ANZ shares to 'overweight' from their old rating of 'equalweight', complete with a 12-month share price target of $27. That's a 3% rise from Morgan Stanley's previous target.
If realised, this would see ANZ shares gain a happy 5.88% from the $25.50 levels we see today.
Here's some of what Morgan Stanley Analyst Richard Wiles said about the broker's newfound optimism:
All the Australian banks face revenue headwinds next year, but we believe ANZ will deliver revenue growth at the top end of the peer group over the three-years to FY25…
This reflects improved performance in Australian mortgages, a business mix which supports margin management, and opportunities for market share gains in Institutional payments and cash management.
Turning to the other ASX 200 shares upgraded today, and we have the following to report:
- Champion Iron Ltd (ASX: CIA) has gained a 'buy' rating from ASX broker Jarden. The broker has given this ASX 200 iron ore miner a 12-month share price target of $7.33. If realised, this would see Champion Iron shares rise more than 20% from their current price (at the close of trading) of $6.06.
- Goodman Group (ASX: GMG) is the recipient of an 'overweight' rating from brokers at JP Morgan. This broker has given Goodman units a price target of $25. This would result in a rise of 15.8% from the real estate investment trust (REIT)'s closing price of $21.58.
- National Storage REIT (ASX: NSR) has had coverage initiated by brokers at UBS. In their inaugural opinion for this ASX 200 REIT, UBS has given National Storage a 'buy' rating, with a share price target of $2.34. If this price target becomes a reality, it would see National Storage units gain 8.33% from their present $2.16 level.
Which unlucky share has copped a downgrade?
We mentioned that one ASX 200 share has also been downgraded today. That would be ASX 200 uranium share Paladin Energy Ltd (ASX: PDN). Paladin shares have been downgraded to 'speculative hold' by broker Bell Potter. Bell Potter has given Paladin a share price target of $1.31.
Despite the rating cut, this would still see investors enjoy a gain of more than 21% if this price target came to pass.
