Many of Australia's top brokers have been busy adjusting their financial models and recommendations again. This has led to the release of a number of broker notes this week.
Three ASX shares that brokers have named as buys this week are listed below. Here's why their analysts are feeling bullish on them right now:
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Capricorn Metals Ltd (ASX: CMM)
According to a note out of Bell Potter, its analysts have upgraded this gold miner's shares to a buy rating with a vastly improved price target of $13.10. The broker has been busy adjusting its estimates to reflect the stronger gold price. In addition, Bell Potter notes that the underperformance of Aussie gold stocks has been getting its attention over the last couple of months. It believes there is no reason for this disconnect and expects the trend to reverse in time. All in all, it feels this means there's still a lot of value on the table in the sector. The Capricorn Metals share price is trading at $11.33 on Wednesday.
James Hardie Industries PLC (ASX: JHX)
A note out of Macquarie reveals that its analysts have retained their outperform rating on this building products company's shares with a slightly improved price target of $37.20. Although the broker concedes that James Hardie's weakened balance sheet represents a material risk, it remains constructive on its investment thesis. Macquarie highlights that the stock has corrected materially, and the earnings base is well below mid-cycle. In addition, it believes that monetary policy support could prove a key catalyst, while alignment should improve from here. As a result, the broker thinks investors should snap up its shares while they are down in the dumps. The James Hardie share price is fetching $29.50 at the time of writing.
Nanosonics Ltd (ASX: NAN)
Analysts at Morgans have retained their buy rating on this infection prevention company's shares with a trimmed price target of $5.00. According to the note, the broker has reduced its earnings estimates in the near term to reflect tariff impacts and the timing of the commercialisation of its CORIS product. However, it believes these changes are immaterial to the long term investment thesis, which Morgans notes remains anchored by recurring revenue growth, installed base expansion, and CORIS' medium-term potential. The Nanosonics share price is trading at $3.86 this afternoon.
