If you have room in your portfolio for some new additions, then it could be worth checking out the ASX All Ords stocks listed below.
The team at Bell Potter is feeling bullish about them and sees scope for big returns over the next 12 months. Here's what the broker is saying about them:
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Austal Ltd (ASX: ASB)
Bell Potter thinks that this shipbuilder could be an ASX All Ords stock to buy now.
Particularly given its record order book and the potential for some big contracts from the Australian Government. It explains:
ASB currently has a record contract book of ~$12.7b AUD, largely consisting of contracts with the US Navy, and was recently announced as the Australian Government's shipbuilder of choice in WA. This deal also included the award of the "Landing Craft (Medium)" vessel program (BPe ~$800m) to ASB, with the likely award of further contracts under the agreement (BPe ~$7b – $10b), providing a deep pipeline of work for the next decade. The company is also a takeover target, with Austal recently rejecting a $2.825 per share takeover offer from Hanwha Ocean Co. and another two North American Private Equity firms speculated to be interested in acquiring the company.
Bell Potter has a buy rating and $2.85 price target on its shares. Based on its current share price, this implies potential upside of 20% for investors.
Mader Group Ltd (ASX: MAD)
Another ASX All Ords stock that the broker is positive on is Mader Group.
Bell Potter believes the mining equipment maintenance company could be a top pick due to the momentum it is seeing in its growth plans and its growing North American business.
The broker also sees potential for capital returns in the near future if things go as planned. It said:
We expect ongoing earnings growth across the Group in FY25 as MAD's growth ambitions in Australia and North America gather momentum. Overall, commodity prices remain at elevated levels (compared with historical levels for gold and iron ore particularly), supporting mining activity and equipment utilisation. In Australia, incoming iron ore production growth should support equipment and plant maintenance opportunities. In Canada, a significant expansion of the workforce will see the North American segment become a larger contributor to Group earnings and profitability. The company achieving its medium-term net cash target may drive positive capital management initiatives.
Bell Potter has a buy rating and $7.60 price target on Mader's shares. This implies potential upside of 26% for investors.
