If you want some ASX growth shares to supercharge your portfolio, then it could be worth checking out the two named below.
Here's why analysts at Goldman Sachs are tipping them as buys this month:
IDP Education Ltd (ASX: IEL)
This language testing and student placement company's shares could be in the buy zone according to analysts at Goldman Sachs. The broker responded to its half-year results by retaining its buy rating with a $26.60 price target.
It believes the company is well-positioned for long-term growth thanks to structural tailwinds and its dominant market position. It said:
We believe IEL's premium valuation is justified given the medium-term earnings potential driven by: (1) Structural growth in multi-destination placements, supplemented by an ongoing Australian recovery; (2) Ability to grow market share in the highly fragmented Canadian and UK SP markets; (3) Reinvestment in digital capabilities to increase competitive moat and generate new earnings streams.
NextDC Ltd (ASX: NXT)
Another ASX growth share that Goldman Sachs is feeling positive on is data centre operator NextDC. It currently has buy rating and $16.60 price target on its shares.
The broker believes NextDC is positioned to deliver rapid growth in the coming years thanks to cloud adoption. And with its shares trading at a discount to peers, Goldman believes now is a great time to pounce on them. It said:
We are particularly positive on NXT and are Buy rated given the rapid growth in cloud adoption, which has been supported by the continued evolution of the enterprise telecommunications market, and the significant demand by both public and private investors for digital infrastructure assets. We believe the company has a compelling growth profile and a proven and profitable business model, noting it trades on a growth-adjusted discount vs. peers, which we view as unjustified.
