If you are hunting for some new portfolio additions, then read on!
That's because listed below are three ASX 200 shares that analysts think could rise strongly from current levels. Here's what they are recommending to clients:
BHP Group Ltd (ASX: BHP)
The first ASX 200 share that could be a buy is BHP.
It is one of the largest miners in the world with operations across multiple commodities including iron ore and copper. And thanks to its ultra-low costs, BHP generates significant free cash flow through all commodity cycles.
This allows the company to return funds to shareholders through buybacks and dividends, while also reinvesting back into its business to position it for the future.
Morgan Stanley is bullish on the company and has an overweight rating and $46.50 price target on its shares. Based on its current share price of $40.22, this implies potential upside of almost 16% for investors over the next 12 months.
Domino's Pizza Enterprises Ltd (ASX: DMP)
This beaten down pizza chain operator could be an ASX 200 share to buy according to analysts at Morgans.
Although the broker was disappointed with its recent results and update, its analysts "still see long-term value on offer, albeit patience will be required."
It also highlights that "key positive takeaways were that management is working fast to take "significant" cost out of the business, Europe saw strong 2H EBIT improvement driven by margin expansion and SSS growth and Asia SSS, whilst still negative, continues to improve and is likely approaching a positive inflection."
The broker has a buy rating and $18.00 price target on its shares. Based on its current share price of $13.62, this suggests that upside of 32% for investors between now and this time next year.
ResMed Inc. (ASX: RMD)
A final ASX 200 share that analysts are bullish on is ResMed. It is a sleep disorder treatment company with a focus on sleep apnoea and other chronic respiratory conditions.
ResMed has been growing at a strong rate for over a decade. And thanks to its leadership position in a massive market, it looks well-placed to continue this trend in the future.
The team at Macquarie certainly thinks this will be the case. It has an outperform rating and $48.60 price target on its shares. This implies potential upside of 17% for investors over the next 12 months.
