It has been another busy week for Australia's top brokers. This has led to the release of a number of broker notes.
Three broker buy ratings that you might want to know more about are summarised below. Here's why brokers think these ASX shares are in the buy zone:
Image source: Getty Images
Lynas Rare Earths Ltd (ASX: LYC)
According to a note out of Goldman Sachs, its analysts have retained their buy rating on this rare earths producer's shares with a trimmed price target of $7.95. This follows the release of a stronger-than-expected quarterly result from the miner this week. Goldman highlights that the company's NdPr production of 1.72kt was 23% greater than it was forecasting. This was driven by a faster-than-expected ramp-up at the Lynas Advanced Materials Plant (LAMP) in Malaysia. Overall, the broker continues to believe that its shares are undervalued and remains positive on the long-term outlook of the NdPr market. The Lynas share price is trading at $6.23 on Friday afternoon.
Mineral Resources Ltd (ASX: MIN)
A note out of Bell Potter reveals that its analysts have retained their buy rating on this mining and mining services company's shares with an improved price target of $85.00. The broker made the move after a stronger-than-expected quarterly update. Bell Potter notes that sales volumes were above its forecasts and it was pleased to see that the company has recommenced selling Wodgina spodumene concentrate. It was also encouraged to hear that its spodumene prices improved markedly at the end of the quarter with a 22,000 tonnes shipment sold at US$1,300 per tonne for SC6 equivalent. This compares to the average for the quarter of US$1,030 per tonne for SC6 equivalent. Another positive that Bell Potter points out is that the Onslow Iron Project remains on track to export its first product in June. The Mineral Resources share price is fetching $68.84 today.
ResMed Inc. (ASX: RMD)
Analysts at Citi have retained their buy rating and $34.00 price target on this sleep disorder treatment company's shares. The broker has had quick look through ResMed's quarterly update and was impressed with its performance. It highlights that the company's earnings were approximately 10% higher than estimates thanks to stronger-than-expected revenue growth and gross margins. It also highlights that management continues to believe that weight loss drugs are creating tailwinds for the company and not the opposite. The ResMed share price is trading at $30.95 this afternoon.
