It was another busy week for Australia's top brokers. This has led to the release of a number of broker notes.
Three broker buy ratings that you might want to know more about are summarised below. Here's why brokers think these ASX shares are in the buy zone:
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Accent Group Ltd (ASX: AX1)
According to a note out of Citi, its analysts have upgraded this footwear retailer's shares to a buy rating with an increased price target of $2.57. The broker made the move following the release of the company's half year results. Citi was pleased with Accent's results and particularly the improvements in its sales performance so far in the second half of FY 2025. The broker also highlights that Accent's store network has been growing at a quicker than expected rate and believes that cost reductions will start to show in the second half and underpin a strong full year result. The Accent share price ended the week at $2.02.
Domino's Pizza Enterprises Ltd (ASX: DMP)
A note out of Goldman Sachs reveals that its analysts have retained their buy rating on this pizza chain operator's shares with a slightly reduced price target of $37.30. This follows the release of Domino's half year results. Goldman notes that the company's results were in-line with its pre-announcement on 7 February and its own estimates. And while the company has started the second half softly, this has been caused by the Lunar New Year being earlier this year. As a result, Goldman Sachs remains positive. In fact, it is forecasting an earnings per share compound annual growth rate (CAGR) of 19% between FY 2025 and FY 2027. In light of this, the broker thinks its shares are undervalued at just 18x estimated FY 2026 earnings. The Domino's share price was fetching $28.33 at Friday's close.
Qantas Airways Ltd (ASX: QAN)
Analysts at Morgan Stanley have retained their overweight rating on this airline operator's shares with an improved price target of $11.50. This follows the release of Qantas' half year results last week. According to the note, the broker was pleased with the Flying Kangaroo's result, highlighting that it was in line with its forecasts. Morgan Stanley was also pleased to see that fully franked dividends have returned ahead of expectations. Looking ahead, the broker feels that management's outlook commentary suggests that there is upside risk to earnings estimates. It also sees potential for a re-rating in the near term if Qantas continues to demonstrate that its current level of earnings is sustainable. The Qantas share price ended the week at $9.52.
