3 ASX shares Morgans rates as buys this week

Let's see what the broker is recommending to clients.

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If you are hunting some new portfolio additions, then it could be worth listening to Morgans.

That's because its analysts have just named three ASX shares as buys. Here's what you need to know about them:

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ALS Ltd (ASX: ALQ)

Morgans is feeling bullish on this testing services company following its FY 2026 results release.

In response to the result, the broker has reiterated its buy rating with a $27.20 price target. It commented:

Our forecast changes are negligible, and we still view risk to our forecasts as skewed firmly to the upside, absent a material supply disruption scenario. We forecast Commodities revenue growth of +25%, while our raisings data points to geochemistry volumes up +35-45% during 1H, corroborated by the sample flows chart which already shows volumes tracking +25-30% in April. The stock is now trading on just 23x FY27 PE as it enters a bullish commodities cycle with a gold-plated balance sheet (leverage 1.5x). Reiterate BUY.

Elders Ltd (ASX: ELD)

This agribusiness company's results were short of expectations due to its systems modernisation.

Nevertheless, given significant share price weakness, the broker has retained its buy rating with a reduced price target of $7.90. It said:

While ELD's 1H26 result was up strongly on the pcp, it missed consensus estimates due to materially higher Corporate Services costs associated with Systems Modernisation. Outlook comments were relatively optimistic despite the BOM's dry outlook. We have revised our forecasts for higher costs and the divestment of Killara. After material weakness, we maintain a BUY recommendation. A significant rerating requires delivering consensus estimates and deleveraging.

Qualitas Ltd (ASX: QAL)

Morgans has responded positively to a recent update from this alternative real estate investment manager.

This has seen the broker upgrade the ASX share to a buy rating with an improved price target of $3.50.

Commenting on its buy recommendation, Morgans said:

Following QAL's recent 3QFY26 update, the announced changes to residential real estate investment in the Federal Budget and the sale of a further interest in the comparable Metrics Credit, we have upgraded QAL to a BUY with a $3.50/sh price target. Our valuation and recommendation change was driven almost entirely by a reduction to our discretionary valuation discount (+75 cps), reflecting our lower perceived risk as a) the company reiterates that FUM commitments continue to increase and b) FUM deployments set new records.

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 no position in any of the stocks mentioned. The Motley Fool Australia has recommended Elders. 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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