Do you have room in your portfolio for some ASX growth shares this month.
If you do and have $5,000 to invest, then it could be worth checking out the two listed below that analysts are bullish on. Here's what they are saying about them:
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Megaport Ltd (ASX: MP1)
The first ASX growth share that could be a buy with that $5,000 according to analysts is Megaport. It is a leading global provider of elastic interconnection services.
The team at Morgans is very bullish on the company. It notes that Megaport has been growing at a strong rate in recent years thanks to the cloud computing and artificial intelligence boom. The good news is that the broker believes that this trend can continue. It recently said:
Traditional telecommunications companies will benefit from the astronomical growth of data around AI. Telstra for instance is building a specialist inter-capital network with a A$1.5bn capital budget to fund this project. However, our preferred exposure is through the more specialised and capital-light Megaport.
Megaport is a global cloud connection network and the leading Network as a Service provider. It operates the largest data centre connection business in the world, connecting to 850 data centres through a fully automated, on-demand telco network. We think it is uniquely placed to help business move data globally and benefit from the growth of data related to both cloud computing and AI.
The broker has an add rating and $14.00 price target on its shares.
Web Travel Group Ltd (ASX: WEB)
Another ASX growth share that could be a buy according to analysts is Web Travel Group. It is the business to business (B2B) travel company operating the WebBeds business.
It connects travel service suppliers, like hotels, with travel buyers, such as online travel agencies (OTAs) and travel agents worldwide.
The team at Goldman Sachs is positive on the company. It believes Web Travel is well-placed for growth over the remainder of the decade. It recently said:
WEB is the second largest Hotel Bed wholesaler globally with <10% of the global hotel wholesale market. We are Buy rated on WEB as we have confidence that WEB will be able to grow TTV in line with its FY25/30 targets of A$5bn/A$10bn respectively.
In particular, we believe WEB is well placed to continue to grow in key US/APAC growth markets, though expect revenue margin to lower towards ~6.3% over time as the company expands into lower margin US/APAC markets. WEB is trading below fair value, on our estimates.
Goldman Sachs has a buy rating and $7.00 price target on its shares.
