With so many shares to choose from on the Australian share market, it can be difficult to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you.
Three top ASX shares that leading brokers have named as buys this week are listed below. Here's why they are bullish on them:
Image source: Getty Images
Bellevue Gold Ltd (ASX: BGL)
According to a note out of Macquarie, its analysts have retained their outperform rating and lifted their price target on this gold miner's shares to $1.70. Macquarie notes that the gold price has risen 58% year to date to a nominal and real record of approximately US$4,200 per ounce. It points out that tailwinds for the metal have come from Trump-driven trade wars, Middle Eastern and European conflicts, US fiscal sustainability worries, US Fed independence worries, and US stagflation concerns. In light of this strong performance, the broker has upgraded its gold price assumptions and lifted its earnings estimates and valuation accordingly. The Bellevue Gold share price is trading at $1.30 this afternoon.
Challenger Ltd (ASX: CGF)
A note out of Bell Potter reveals that its analysts have retained their buy rating on this annuities company's shares with an improved price target of $10.25. The broker made the move after the release of a strong first quarter update last week. Outside this, the broker feels that Challenger's medium term buy case is supported by both the freeing of capital from APRA proposals and growth opportunities as retiring Australians are offered advice and products to achieve an optimal retirement income. It highlights that a small increase in the take up of annuities, with more favourable capital rules could dramatically increase the long-term growth of the company. The Challenger share price is fetching $8.98 at the time of writing.
Qantas Airways Ltd (ASX: QAN)
Analysts at Citi have retained their buy rating and $13.60 price target on this airline operator's shares. According to the note, the broker feels that current industry data is more favourable for Qantas than peers in the domestic market. In addition, it highlights that Qantas is outperforming on capacity growth and that its Jetstar business has been expanding its short haul international routes. This is expected to underpin another year of strong profits and returns to shareholders. The Qantas share price is trading at $10.65 this afternoon.
