Ord Minnett names 2 ASX 200 shares to buy

These shares have been given the thumbs up from the broker.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points
  • Premier Investments is recommended as a buy by Ord Minnett due to its strong Peter Alexander brand, potential M&A opportunities, and attractive valuation despite recent underperformance.
  • Ord Minnett is bullish on Siteminder, noting that minimal market value is being attributed to its future products, creating a buying opportunity with potential significant upside.
  • Ord Minnett has set target prices of $23.40 for Premier Investments and $7.97 for Siteminder, recognising additional long-term growth potential in both companies.

If you are hunting some new investment opportunities then it could be worth considering the ASX 200 shares named below.

That's because the team at Ord Minnett has recently put buy ratings on their shares. Here's what the broker is saying about them:

Three happy office workers cheer as they read about good financial news on a laptop.

Image source: Getty Images

Premier Investments Ltd (ASX: PMV)

Ord Minnett remains very positive on the retail conglomerate despite its recent results falling short of consensus estimates. This is largely because of the strength of the Peter Alexander brand and the optionality it has from mergers and acquisitions. It said:

Premier Investments' second half FY25 (2H25) retail earnings before interest and tax (EBIT) came in approximately 3% below consensus, while the year-to-date FY26 trading update (+5% year-on-year sales growth) was ~2.5percentage points below expectations. Despite this, the result reinforced the strength of Peter Alexander and the optionality from mergers and acquisitions (M&A), underpinned by the company's net cash position of approximately $264 million. Smiggle continues to underperform, with 2H25 revenue down 5% year-on-year.

Another reason it is bullish on this ASX 200 share is its attractive valuation. It highlights the significant discount its shares trade at compared to peers. The broker explains:

Growth was supported by new store openings and store upsizing. Premier has confirmed at least seven new or upsized stores for 1H26, with further opportunity for 15 or more sites. The UK expansion of Peter Alexander remains in early stages, with 2H25 EBIT losses of ~$5 million and annualised sales per store of ~$1.6 million, versus ~$4 million in Australasia. Early metrics are weak, but the UK remains a longer-term option, potentially contributing $29–77 million in EBIT by FY30 if successful. Premier trades at a ~30% price/earnings discount to the average ASX retailer's multiple of circa 19x. At current levels, the market is attributing minimal value to the Smiggle business.

‍Ord Minnett has a buy rating and $23.40 price target on its shares.

Siteminder Ltd (ASX: SDR)

Another ASX 200 share that Ord Minnett is positive on is travel technology company Siteminder.

It believes the market is pricing in little future value from its Channels Plus and Dynamic Revenue Plus products, which has created a buying opportunity for investors. It said:

The SiteMinder investor day led Ord Minnett to reiterate its view that the current share price reflects a 'ground zero' view of the future. In other words, the market is attributing little or no value to the potential upside from the Channels Plus (C+) and Dynamic Revenue Plus (DRP) products. We consider this approach unwise given the weight of industry feedback we have received over the last 18 months.

Ord Minnett has put a buy rating and $7.97 price target on its shares. But it sees scope for them to hit $10.00 within the next two years. It adds:

In the interests of conservatism, we have adopted a long-term discounted cash flow valuation approach when it comes to deriving our 12-month target price of $7.97 for SiteMinder. This is likely to understate share price upside should the company deliver against both OML and consensus revenue forecasts for FY26 and FY27. Using a one-year forward enterprise value to revenue ratio methodology, the share price could appreciate to $9–10 over the next 1-2 years.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended SiteMinder. The Motley Fool Australia has positions in and has recommended SiteMinder. The Motley Fool Australia has recommended Premier Investments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Broker Notes

comical investor reading documents and surrounded by calculators
Broker Notes

6 ASX shares at 52-week lows: Buy, hold, or sell?

The market finished lower on Thursday as the conflict in Iran dragged on.

Read more »

Business people discussing project on digital tablet.
Broker Notes

Buy, hold, sell: Breville, Collins Foods, and MA Financial shares

Let's see if analysts are bullish or bearish on these names.

Read more »

An oil refinery worker stands in front of an oil rig with his arms crossed and a smile on his face.
Energy Shares

New ratings on 4 ASX 200 energy shares: experts

Leading brokers have recently updated their ratings and 12-month share price targets.

Read more »

a man wearing a hard hat and a high visibility vest stands with his arms crossed in front of heavy equipment at a mine site.
Resources Shares

3 ASX mining shares: Buy, hold, or sell?

ASX 300 mining shares have fallen 16% since the conflict in Iran began.

Read more »

Happy man standing in front of an oil rig.
Broker Notes

Why this sold-off ASX energy stock could rise 60%+

Bell Potter is tipping this stock as a buy following a sell-off this week.

Read more »

Two smiling work colleagues discuss an investment at their office.
Broker Notes

Buy, hold, sell: NAB, Pro Medicus, and Telstra shares

Let's see what analysts are saying about these big names.

Read more »

Smiling young parents with their daughter dream of success.
Broker Notes

Why Life360 shares could be dirt cheap and set to rise 90%

Bell Potter has good things to say about this tech stock.

Read more »

a surprised investor reading about an asx share price in a newspaper
Broker Notes

Top brokers name 3 ASX shares to buy today

Here's what brokers are recommending as buys this week.

Read more »