Do you have $1,000 to invest into the share market next month? If you do, it could be worth considering the ASX 200 stocks in this article.
Let's see why these shares, which have been named as buys by brokers, could be top picks for investors in February:
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Domino's Pizza Enterprises Ltd (ASX: DMP)
The first ASX 200 stock that could be a good destination for a $1,000 investment is Domino's Pizza Enterprises.
Although the pizza chain operator has been having a tough time in recent years, Goldman Sachs believes the tide could be changing. Its analysts highlight that they "believe that DMP's renewed focus on store unit economics and re-investment to ignite topline growth is rightly placed." In light of this, the broker feels that its "earnings has troughed in FY24 and see a path of improvement through FY25."
Goldman has a buy rating and $40.20 price target on its shares.
Lovisa Holdings Ltd (ASX: LOV)
Another ASX 200 stock to consider for a $1,000 investment in February is Lovisa. It is a fast fashion jewellery retailer that boasts of 150 new styles being delivered to its rapidly growing store network each week.
Morgans is a fan of the company and believes it is well-placed for long term growth. It recently stated that while Lovisa's "comparable store sales growth should have been better in FY24, it has continued to deliver and will, in our opinion, continue to do so in the years ahead."
In light of this, the broker thinks that Lovisa is on a "journey to becoming a truly global brand."
Morgans currently has an add rating and $36.00 price target on its shares.
Xero Limited (ASX: XRO)
A final ASX 200 stock that could be a buy in February is Xero. It is a cloud accounting platform provider that had 4.2 million subscribers across the globe at the last count.
This is a large number but is still only a small slice of its estimated total addressable market (TAM).
Goldman Sachs believes that Xero's TAM is over 100 million small to medium sized businesses across the globe. It highlights that its analysts "see Xero as very well-placed to take advantage of the digitisation of SMBs globally, driven by compelling efficiency benefits and regulatory tailwinds, with >100mn SMBs worldwide representing a >NZ$100bn TAM."
Goldman has a buy rating and $201.00 price target on the company's shares.
