Plenty of ASX shares are receiving updated guidance from experts as companies release quarterly results and announcements.
Three ASX shares have just been given fresh buy recommendations from the team at Morgans.
Here's what the broker had to say.
Image source: Getty Images
HMC Capital (ASX: HMC)
HMC is an ASX-listed property company focusing on ownership, development, and management of real estate assets.
The company released a business update last week.
Following this update, the team at Morgans slapped a fresh buy rating on this ASX stock, suggesting it can rebound from the 27% fall year to date.
The broker said HMC's 3QFY26 update outlined a strategic shift to a more focused and simpler business model – concentrating on:
- Growing FUM across existing verticals (health, energy, digital and real estate)
- Delivering returns across the various co-investments (distributions and fair value gains)
With FUM continuing to grow across real estate and private credit and an expectation HCW distributions may recommence in c.FY27, the c.40cps of NPBT in FY27 looks baseline and leaves the business trading on a modest 10x PER, while the current share price is underpinned by a mark-to-market NTA of c.$2.10/sh or c.$2.69/sh when adopting our target prices for the underlying listed funds.
On this basis, the broker retained its buy recommendation with a $4.05 target price.
At the current price of $2.94, this indicates an upside potential of 38%.
Magellan Financial Group (ASX: MFG)
Magellan is an Australian-based funds manager investing in global equities and global listed infrastructure.
It released an update on May 5th and announced the transfer of management of its Global Equities funds (MGOC and the Hedged Fund, ~A$5.3bn AUM) to Vinva Investment Management, a Sydney-based systematic equity manager with A$47bn+ AUM in which MFG already holds a 28% stake.
Morgans has maintained its buy recommendation, but has acknowledged that in terms of financial impact, it estimates a revenue reduction of approximately A$29m in year one, partially offset by management's flagged cost savings of ~A$7m.
While changes are clearly needed to revive MFG's stalled funds management franchise, this update is a reminder that the path forward may involve some short-term pain.
The broker's updated price target of $11.19 (previously $11.99) still implies a 30% upside from current levels.
Orica (ASX: ORI)
Orica is a leading global manufacturer and supplier of explosives and blasting systems, primarily to the mining industry.
It released its half-year results last week.
ORI's 1H26 result beat consensus estimates across all business units. Cashflow was much stronger than feared and the balance sheet is in strong shape. Consequently, the Board rewarded shareholders with a step-up in the dividend. The outlook remains positive and further growth is targeted in FY26 and over the medium term.
Our forecasts remain largely unchanged. With leverage to attractive industry fundamentals, market leading positions, solid earnings growth, proven management team and strong balance sheet, we reiterate our BUY rating with a new price target of A$26.60.
From its current share price of $22.13, this price target indicates an upside potential of 20%.
