With so many shares to choose from on the Australian share market, it can be difficult to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you.
Three top ASX shares that leading brokers have named as buys this week are listed below. Here's why they are bullish on them:
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Life360 Inc (ASX: 360)
According to a note out of Morgan Stanley, its analysts have retained their overweight rating on this location technology company's shares with an improved price target of $17.50. This follows the release of a quarterly update last week. The broker notes that Life360's update, which was largely pre-released, revealed that its strong growth not only continued in the quarter but also at the start of the new quarter. In light of this very positive momentum, Morgan Stanley has boosted its earnings estimates for the coming years and its valuation for the company accordingly. The Life360 share price is trading at $15.50 on Monday afternoon.
Orica Ltd (ASX: ORI)
A note out of Goldman Sachs reveals that its analysts have resumed coverage on this commercial explosives company's shares with a buy rating and $21.20 price target. The broker was impressed with Orica's performance during the first half, noting that its profits were comfortably ahead of both its own and the market's expectations. In light of this, the broker is feeling even more positive about the company's outlook. Particularly given its belief that commercial discipline in a balanced ammonium nitrate market will drive uplift in profitability, and that recent acquisitions augment the platform to capture incremental customer share of wallet. This has led to the broker lifting its earnings forecasts accordingly. The Orica share price is fetching $18.16 at the time of writing.
QBE Insurance Group Ltd (ASX: QBE)
Another note out of Goldman Sachs reveals that its analysts have retained their buy rating on this insurance giant's shares with an improved price target of $20.90. This follows the release of a quarterly update that was described as operationally strong. The broker believes some of management's decisions signal confidence in the company's capital position and return on equity. It also thinks there is small underlying margin upside risk based on current running yields. All in all, the broker remains positive and highlights that QBE has the strongest exposure to the commercial rate cycle. The QBE share price is trading at $17.51 on Monday.
