Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

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Key points

  • Morgan Stanley maintained an overweight rating with a $48.00 price target on BHP Group, citing solid quarterly results and strong performances in copper and coal assets, helping offset weaker iron ore operations.
  • Citi retained a buy rating and $13.60 price target on Qantas Airways, highlighting favorable industry data, capacity growth, and Jetstar's expansion as drivers for strong profitability.
  • Morgans upgraded Woodside Energy Group to a buy rating with a $30.50 price target, noting robust third-quarter results and strategic gains from a new joint venture partnership de-risking infrastructure.

It was another busy week for 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:

BHP Group Ltd (ASX: BHP)

According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $48.00 price target on this mining giant's shares. This follows the release of a solid quarterly update from the Big Australian last week. Morgan Stanley was pleased with the company's quarter and particularly the performance of its copper assets. Combined with its metallurgical coal operations, the broker points out that they were able to offset weakness from its iron ore operations. In addition, its analysts point out that management has reiterated its guidance for FY 2026. Overall, it appears to believe that this supports its bullish view of the stock and continues to recommend it to clients. The BHP share price ended the week at $43.24.

Qantas Airways Ltd (ASX: QAN)

A note out of Citi reveals that its analysts have retained their buy rating and $13.60 price target on this airline operator's shares. The team at Citi has been looking at recent industry data and believes it is more favourable for Qantas than peers in the domestic market. In addition, the broker 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 was fetching $10.51 at Friday's close.

Woodside Energy Group Ltd (ASX: WDS)

Analysts at Morgans have upgraded this energy giant's shares to a buy rating with a $30.50 price target. According to the note, the broker was pleased with the company's performance in the third quarter. It highlights that it was a strong operational and sales result. Another positive since the update is news that US midstream player Williams has entered into the Louisiana joint venture. Morgans believes that the addition of Williams will de-risk infrastructure and feed gas delivery. Combined with good macro news, Morgans isn't surprised that Woodside shares are gaining support with investors and thinks now could be a good time to invest. The Woodside share price ended the week at $24.40.

Citigroup is an advertising partner of Motley Fool Money. Motley Fool contributor James Mickleboro has positions in Woodside Energy Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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