Top brokers name 3 ASX shares to buy today

Here's what brokers are recommending as buys this week.

| More on:
Three people in a corporate office pour over a tablet, ready to invest.

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

Many of Australia's top brokers have been busy adjusting their financial models and recommendations again. This has led to the release of a number of broker notes this week.

Three ASX shares that brokers have named as buys this week are listed below. Here's why their analysts are feeling bullish on them right now:

Bellevue Gold Ltd (ASX: BGL)

According to a note out of Goldman Sachs, its analysts have initiated coverage on this gold miner's shares with a buy rating and $2.20 price target. Goldman highlights that Bellevue Gold is now largely through its initial ramp up. As a result, it sees the business as well positioned and attractively priced compared to mid-cap peers. Especially given its higher average grades, stronger margin generation, and near-term free cash flow yields of ~10%. Goldman also sees low-cost mill expansion and underground optionality potentially supporting further upside for the company in the medium term. The Bellevue Gold share price is trading at $1.71 on Wednesday.

Collins Foods Ltd (ASX: CKF)

A note out of UBS reveals that its analysts have upgraded this quick service restaurant operator's shares to a buy rating with an improved price target of $11.50. This follows the release of its FY 2024 results on Tuesday that were comfortably ahead of expectations. In addition, while some investors may be concerned with its soft start to FY 2025, with sales down 0.8% on a like for like basis, UBS isn't fazed by this. In fact, it feels it is a strong showing given the tough comparables its KFC Australia business is facing. UBS also suggests that as its comparables ease in the second half, it could return to growth on a like for like basis. The Collins Foods share price is fetching $9.22 this afternoon.

Perpetual Ltd (ASX: PPT)

Analysts at Bell Potter have retained their buy rating and $27.60 price target on this fund manager's shares. According to the note, the broker believes the market is undervaluing Perpetual's business after announcing the sale of its Corporate Trust (CT) and Wealth management (WM) businesses to KKR for $2.175 billion. It thinks the company should be value at 6.3x FY 2025 EBITDA, which is in line with global peers. This values the company at $18.17 per share and then the remaining value comes from its estimated cash distribution following the sale of the CT and WM businesses. Bell Potter sees scope for a distribution of up to $9.55 per share. The Perpetual share price is trading at $21.07 at the time of writing.

Motley Fool contributor James Mickleboro has positions in Collins Foods. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has recommended Collins Foods. 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 young man pointing up looking amazed, indicating a surging share price movement for an ASX company
Broker Notes

These ASX shares could rise ~20% to 40%

Analysts believe these shares could generate big returns for investors.

Read more »

Contented looking man leans back in his chair at his desk and smiles.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

Two smiling work colleagues discuss an investment or business plan at their office.
Broker Notes

Which beaten down ASX 200 share did Goldman Sachs just upgrade to a buy rating?

The broker has become more bullish on this stock following last week's update.

Read more »

A young female investor sits in her home office looking at her ipad and smiling as she sees the QBE share price rising
Broker Notes

3 ASX shares brokers tip for significant outperformance in FY 2025

Leading brokers expect some significant outperformance from these three ASX shares.

Read more »

Broker looking at the share price on her laptop with green and red points in the background.
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 »

A group of businesspeople clapping.
Broker Notes

Guess which ASX 50 stock can rise 20%+ and offers a 5%+ dividend yield

Goldman Sachs is tipping this blue chip as a top buy.

Read more »

A woman frowns and crosses her arms.
Bank Shares

40% downside! Broker values CBA shares at $80 — is the fun over?

Valuations remain the top concern among brokers.

Read more »

Two brokers analysing stocks.
Broker Notes

Citi names these 3 ASX shares to buy now

Here are the latest upgrades from Citi.

Read more »