4 ASX 200 shares just upgraded by top brokers

It's not all bad news on the ASX 200 today…

Multi-ethnic people looking at camera sitting at public place screaming, shouting and feeling overjoyed about their windfall, good news or sports victory.

Image source: Getty Images

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

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.

JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Sebastian Bowen 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 Goodman Group and JPMorgan Chase. The Motley Fool Australia has recommended Goodman Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Broker Notes

A woman sits with her hands covering her eyes while lifting her spectacles sitting at a computer on a desk in an office setting.
Broker Notes

Are ASX short sellers right about Core Lithium shares?

Two top brokers give their verdict on this junior ASX lithium miner.

Read more »

A man and woman in an office look at a laptop and discuss investing, budget strategies or other financial concepts
Broker Notes

Brokers name 3 ASX shares to buy now

Here's why brokers are feeling bullish about these three shares this week.

Read more »

Man sits at computer and analyses stock graphic
Broker Notes

Higher interest rates and ASX shares volatility are normal… and that's where opportunities lie in 2024, says expert

Next year's market will be kind of boring but that, in itself, will bring good opportunities, says this expert.

Read more »

Jessica Amir
Broker Notes

4 of her best: The ASX stocks this expert says are winners right now

Pounce on these stocks as the Santa Rally sets in for the 2023 holiday season.

Read more »

A miner in a hardhat makes a sale on his tablet in the field.
Resources Shares

The 2 ASX lithium shares head and shoulders above the rest

There are many stocks to choose from, but the team at Blackwattle reckons this pair is the best by far.

Read more »

A man slumps crankily over his morning coffee as it pours with rain outside.
Materials Shares

Core Lithium shares sink 8% on broker downgrade

The team at Citi thinks investors should be selling this lithium miner's shares.

Read more »

Man sitting in a plane seat works on his laptop.
Broker Notes

Are ASX short sellers right about the Flight Centre share price?

The ASX 200 travel share has been a frequent flyer on the top 10 most shorted stocks list since 2022.

Read more »

a woman holds a facebook like thumbs up sign high above her head. She has a very happy smile on her face.
Broker Notes

Why Bell Potter just upgraded this ASX 200 share to a buy rating

This share is exposed to structural growth tailwinds according to its analysts.

Read more »