ASX shares have climbed this week on signs that geopolitical tensions are easing and softer-than-expected inflation data.
At the time of writing on Tuesday, both the S&P/ASX 200 Index (ASX: XJO) and the All Ordinaries (ASX: XAO) are up around 1% for the day so far.
Here are four ASX shares that brokers think will drag the sharemarket higher over the next 12 months.
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ResMed Inc (ASX: RMD)
Resmed shares are up around 2% in Tuesday morning trade, to $30.84 a piece, at the time of writing. The latest increase means the shares have now rebounded over 12% from a dip of $27.43 recorded 10 days ago.
In May, the company posted a softer-than-expected third-quarter update, but overall, ResMed's revenue has continued to grow at a healthy pace, and its margins have continued expanding. The company has also generated strong free cash flow. It looks like the ASX 200 healthcare shares are now oversold and below fair value.
Market Index data shows brokers are divided between buy and hold ratings on ResMed shares. But the $88.24 average target price now implies a huge 187% upside, at the time of writing.
Elevra Lithium Ltd (ASX: ELV)
Elevra Lithium shares are around 2% higher at the time of writing, and changing hands for $7.38 a piece. It's good news for investors after the lithium producer and developer's shares crashed 46% from a three-year high in late May.
Elevra, which was formed through the merger of Piedmont Lithium and Sayona Mining, announced record production volumes in mid-July. The company produced approximately 54,479 dry metric tonnes (dmt) of spodumene concentrate during the June quarter. The result was 15% higher than the previous quarter and marked the second-highest quarterly result achieved at North American Lithium. Elevra is expected to release FY27 guidance in the coming weeks.
Brokers are clearly bullish about the prospects for the company and, according to Market Index, they all hold a buy rating on the ASX shares. The $14.77 average target price currently implies around a 100% upside.
West African Resources Ltd (ASX: WAF)
West African Resources shares are up around 2.5% at the time of writing, and changing hands for $2.96 a piece. But the ASX 200 gold miner has faced headwinds from higher mining costs and softer gold prices this year, which has caused significant share price volatility. The shares are now around 4% lower for the year-to-date.
Investor sentiment has also dropped, and many have rushed to sell up their shares and rotate into larger, more stable assets instead.
But the miner has posted record-breaking production results so far in 2026. It also raised its production guidance to 430,000 to 490,000 ounces of gold for FY26, which implies a 63% production increase from FY25.
Gold prices are forecast to rebound this year, which could hike the value of high-performing gold miners like West African Resources.
Market Index data shows that brokers unanimously rate the ASX 200 gold miner's shares as a buy. The average $5.08 target price implies a potential 73% upside at the time of writing.
Catapult Sports Ltd (ASX: CAT)
Catapult shares are also trending higher on Tuesday. At the time of writing, the shares are up around 4% and are changing hands for $3.44 a piece. Again, it's good news for investors after the company faced some strong headwinds this year. The shares are down around 19% for the year-to-date, wiping out huge gains made late last year.
The global sports data company was caught up in the tech-sector-wide sell-off, which pushed its share price further south. It was also removed from the ASX 200 as part of a quarterly rebalance in March.
But around the same time, Catapult posted a trading update which revealed a 27% to 28% expected increase in its closing annual contract value (ACV) for FY26 and a predicted 50% year-on-year increase in EBITDA.
Brokers seem confident the company can pull it off, and its share price will recover. Market Index data shows a buy consensus and an average target price of $4.81. That implies a potential 40% upside at the time of writing.
