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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CSL Ltd (ASX: CSL)
According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $303.00 price target on this biotherapeutics company's shares. This follows news that CSL has received US Food & Drug Administration (FDA) approval for its Andembry therapy. This product aims to help prevent attacks of hereditary angioedema (HAE). While Morgan Stanley was pleased with the news, the broker was expecting its approval and had already factored it into its forecasts. Outside this, Morgan Stanley is forecasting low-teen annual earnings growth through to FY 2028. But it sees potential to accelerate this growth through a combination of lower costs and share buybacks. The CSL share price ended last week at $240.21.
Life360 Inc (ASX: 360)
Another note out of Morgan Stanley reveals that its analysts have retained their overweight rating on this location technology company's shares with an increased price target of $40.00. According to the note, the broker believes that Life360 is well-positioned to deliver further strong growth over the medium term. It highlights that it has one of the fast-growing userbases and is supported by the network effect and word of mouth. The latter should be supportive of lower customer acquisition costs compared to what other companies have to pay. Overall, in light of the above, the broker sees potential for Life360 to outperform the market's expectations in the medium term. The Life360 share price was fetching $31.94 at the end of last week.
Zip Co Ltd (ASX: ZIP)
Analysts at Ord Minnett have retained their buy rating on this buy now pay later provider's shares with an increased price target of $3.40. According to the note, the broker believes that Zip is in a great place right now following its second guidance update in less than three months. Ord Minnett is particularly pleased with the strong momentum that is being seen in the United States market. This is despite operating in a challenging macro environment. Together with the benefits of falling interest rates, the broker feels very positive about the company's outlook and believes it strong form can continue. The Zip share price was trading at $2.87 when the market closed on Friday.
