It has been another busy week for many of 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 right now:
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Graincorp Ltd (ASX: GNC)
According to a note out of Bell Potter, its analysts have retained their buy rating on this grain exporter's shares with an improved price target of $9.10. This follows the release of the latest east coast crop forecasts which pointed to record production. Overall, Bell Potter highlights that indicators for the 2025-26 winter crop remain positive and the prospects of a summer La Nina have been lifting. In addition, unlike a year ago, canola crush margins have been strengthening rather than weakening. Combined, the broker believes Graincorp is well-placed for double digit earnings growth in FY 2025 and FY 2026. It also expects above average dividend yields in the near term. The Graincorp share price is trading at $8.70 today.
Super Retail Group Ltd (ASX: SUL)
A note out of Citi reveals that its analysts have retained their buy rating and $20.50 price target on the retail conglomerate's shares. This follows the release of Australian economic data which showed the retail sales increased 4.8% in July. Importantly, sales were particularly strong in discretionary categories, which bodes well for Super Retail, which owns the Supercheap Auto, Rebel, Macpac, and BCF brands. Together with rising savings balances and probable interest rate cuts, the broker believes stronger consumer spending is on the way. The Super Retail share price is fetching $18.68 at the time of writing.
Xero Ltd (ASX: XRO)
Analysts at Ord Minnett have upgraded this cloud accounting platform provider's shares to a buy rating with a $200.00 price target. According to the note, the broker was pleased with its annual conference in Australia, highlighting that it demonstrated how Xero could materially lift its average revenue per user (ARPU) metric over time. It points out that future upside for the Syft Analytics product is expected to come from AI integration to drive business analytics. And while its Just Ask Xero AI offering has no monetisation model, it is expected to support ARPU growth via plan bundling. All in all, Ord Minnett believes this leaves Xero well-placed to achieve its lofty medium-term revenue target. The Xero share price is trading at $158.99.
