These ASX stocks could rise 30% to 85%

A leading broker has put buy ratings on these shares this morning.

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If you're looking for some big returns to supercharge your portfolio, then read on.

That's because analysts at Bell Potter have just put buy ratings on three ASX stocks and tipped them to rise between 30% and 90%.

Here's what the broker is saying about them:

Immutep Ltd (ASX: IMM)

Bell Potter thinks this biotechnology company could be a great option for investors with a high tolerance for risk. The broker currently has a speculative buy rating and 80 cents price target on the ASX stock. Based on its current share price of 43.5 cents, this implies a potential upside of almost 85% for investors over the next 12 months.

Commenting on a recent Soft Tissue Sarcoma (STS) trial update, the broker said:

The strong early readout in STS further demonstrates Efti's potential across a diverse range of oncology settings. From a partnering perspective, pharma is increasingly eager to find mega-blockbuster drug candidates, and this bodes well for developers such as IMM who have a candidate in Efti with genuine 'pipeline in a product' opportunity.

Nickel Industries Ltd (ASX: NIC)

If you're not averse to investing in the mining sector, then Nickel Industries could be an ASX stock to buy according to the broker. This morning, Bell Potter has retained its buy rating with an improved price target of $1.54. This suggests a potential upside of 62% is possible from current levels. It also expects an 8%+ dividend yield this year, boosting the total return to 70%.

Bell Potter believes the nickel producer's shares are undervalued. It said:

NIC is one of the world's largest listed nickel producers and one of few that offers diversified exposure across a range of nickel products and markets. It continues to trade on undemanding valuation multiples, offers a supportive (unfranked) dividend and has demonstrated its ability to make money through the nickel price cycle. Retain Buy.

Pointsbet Holdings Ltd (ASX: PBH)

Finally, a third ASX stock that could be a buy is sports betting company PointsBet. Bell Potter has a buy rating and 63 cents price target on its shares, which implies a potential upside of 31% for investors.

The broker feels that the market is undervaluing what is left of the business following the sale of its US operations. It explains:

We note that, at the current share price, the Australian and Canadian businesses combined are being valued at approximately $126m assuming cash of around $30m after the second capital distribution. In our view this is too low given we value the Australian business alone at $150m. A value of $126m for Australia – if we assume Canada is worth nothing – equates to an EBITDA multiple of c.8x based on our FY25 forecasts (after allocating a portion of corporate overheads). But obviously we believe Canada is worth something – as well as the Banach technology – so the actual multiple being applied to Australia is <8x. We also believe PointsBet is a potential takeover target given the simplified structure.

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 PointsBet. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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