3 ASX growth shares to buy with $500 now

Analysts rate these growing companies as buys. Let's find out why.

If you are a growth investor with $500 to invest, then you may want to check out the ASX growth shares named below.

That's because analysts are feeling very positive about these shares and have recently put a buy rating on them.

Here's what they are saying about these growth shares:

Ecstatic man giving a fist pump in an office hallway.

Image source: Getty Images

Domino's Pizza Enterprises Ltd (ASX: DMP)

While its growth may have been lacking in recent times, the team at Goldman Sachs believes that now could be the time to snap up this pizza chain operator's shares.

The broker sees a lot of value in its shares at current levels. Particularly given its belief that Domino's earnings are now bottoming following a difficult period. It said:

We believe that DMP's renewed focus on store unit economics and re-investment to ignite topline growth is rightly placed. While there is still significant progress to be made, we believe that earnings has troughed in FY24 and see a path of improvement through FY25.

The broker has a buy rating and $39.10 price target on its shares.

Life360 Inc (ASX: 360)

Goldman Sachs also believes that Life360 could be an ASX growth share to buy with your $500.

It is the location technology company behind the hugely popular Life360 app. At the last count, there were over 70 million monthly active users (MAU) across more than 150 countries using this app to keep their family safe.

Goldman likes the company due to its belief that it is still only in the early stages of its growth. It said:

We believe Life360 remains in the early stages of its multi-year revenue growth opportunity, with subscription growth momentum continuing at scale in the US and internationally, as well as a new high-margin revenue stream in advertising.

Goldman has a buy rating and $25.00 price target on Life360's shares.

Readytech Holdings Ltd (ASX: RDY)

Finally, Morgans thinks that Readytech could be a good option for your $500.

It is a leading software as a service (SaaS) provider of mission critical software to the tertiary education, government, justice, and enterprise markets.

Commenting on the ASX growth share, the broker said:

RDY's recent organic growth trajectory demonstrates its ability to deliver our forecast 14.5% CAGR EBITDA growth over coming years. Despite this, the company is trading at a ~20% discount to its historic average EBITDA multiple of ~11x, which we believe represents compelling value.

Morgans has an add rating and $3.74 price target on its shares.

Motley Fool contributor James Mickleboro has positions in Domino's Pizza Enterprises and Life360. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Domino's Pizza Enterprises, Goldman Sachs Group, Life360, and ReadyTech. The Motley Fool Australia has recommended Domino's Pizza Enterprises and ReadyTech. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Growth Shares

Happy girl holding a plant and soil in front of ascending piles of coins.
Growth Shares

3 ASX 200 shares I think could rise more than 10% in a year

I think these three ASX shares have enough going for them to outperform over the next 12 months.

Read more »

Two colleagues looking at a graph and comparing share prices.
Growth Shares

These 3 ASX shares have the ingredients of long-term compounders

These shares could be well-positioned for growth in the future. Let's see why.

Read more »

Red buy button on an Apple keyboard with a finger on it.
Growth Shares

2 ASX shares highly recommended to buy: Experts

Experts are loving the excitement of these stocks.

Read more »

Hour glass next to pile of coins and notes.
Growth Shares

2 top ASX shares to buy and hold for the next decade

These investments have very exciting futures.

Read more »

a graph indicating escalating results
Growth Shares

A rare buying opportunity in 1 of Australia's top shares?

I think this is a great time to invest in this stock…

Read more »

A financial expert or broker looks worried as he checks out a graph showing market volatility.
Growth Shares

A leading fund just bought these top ASX 200 shares

These stocks could be top buys today…

Read more »

Man with hand to his forehead looking at his laptop.
Growth Shares

Droneshield vs Zip Co: Which tech share is the better ASX growth pick?

I unpack Droneshield vs Zip shares to reveal which ASX tech stock looks better for growth-focused investors right now.

Read more »

Piles of increasing coins alongside an hourglass.
Growth Shares

Why I just invested $1,500 into this top ASX growth share

I’m bullish on the future of this ASX growth share…

Read more »