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:
Orica Ltd (ASX: ORI)
According to a note out of Bell Potter, its analysts have initiated coverage on this commercial explosives company's shares with a buy rating and $23.00 price target. The broker is feeling positive about Orica's outlook following its transformation in recent years. In fact, it expects the company to grow underlying EBIT across each segment in the short-to-medium term. Bell Potter also believes that the company is well positioned to deliver rapid de-leveraging over FY 2026 to FY 2027 (in the absence of M&A). It expects this to allow Orica's board to prioritise increasing shareholder returns via an extension to the share buy-back program and dividends. The Orica share price is trading at $21.23 on Friday.
Pro Medicus Ltd (ASX: PME)
A note out of Citi reveals that its analysts have upgraded this health imaging technology company's shares to a buy rating with a significantly improved price target of $350.00. Although Citi concedes that Pro Medicus shares trade on high multiples, it believes this is justified due to its strong earnings growth outlook. It notes that this is being underpinned by its sticky product offering, long contracts, high renewal rates, and an industry challenged by radiologist constraints. The broker has boosted its revenue growth estimates. It also highlights its belief that artificial intelligence will be supportive of Pro Medicus' growth and margin expansion in the medium term. The Pro Medicus share price is fetching $317.63 at the time of writing.
Zip Co Ltd (ASX: ZIP)
Analysts at UBS have retained their buy rating on this buy now pay later (BNPL) provider's shares with an improved price target of $5.25. According to the note, the broker is feeling even more bullish on Zip's outlook after reviewing app store data. It highlights that the data indicates that downloads increased strongly in July and August, which bodes well for its performance in FY 2026 and indicates that its strong momentum is continuing. Especially given how resilient US retail sales have been. In light of this, it has boosted its earnings estimates for the medium term and its valuation to reflect this. The Zip share price is trading at $4.71 this afternoon.
