The S&P/ASX 200 Index (ASX: XJO) has rebounded strongly since late July. At the time of writing, the index is up around 5% over the past month, and is now roughly 6% higher for the year to date.
And brokers are now tipping which ASX 200 shares could keep on climbing. Here are three of them, and they're all forecast to grow by 60% or more over the next 12 months.
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Xero Ltd (ASX: XRO)
Xero shares fell to around a seven-year low of $61.58 in late July, but have rebounded strongly since. At the time of writing, the shares have recovered around 28% and are changing hands at $78.89 a piece.
The latest increase has been impressive, but it has barely made a dent in the amount of losses shed over the past 12 months. For the year to date, Xero shares are still down around 54%.
It's been a difficult year for the ASX 200 tech stock after a sector-wide sell-off saw its share price plunge. There were also concerns that some tech shares were trading above fair value after a sector-wide rally in late 2025.
But analysts haven't given up hope. And they're all bullish that Xero shares have plenty more room to run over the next 12 months.
Xero benefits from a relatively predictable revenue stream. Its subscription-based business model means it has an incredibly sticky subscription base and high customer retention rates.
There is also plenty of opportunity to expand.
Market Index data shows that the majority of brokers have a buy rating on the ASX 200 tech shares. The average $139.26 target price implies a potential upside of around 77%, at the time of writing.
Mesoblast Ltd (ASX: MSB)
The clinical-stage ASX biotech company has had a slow start to 2026. At the time of writing, the shares are trading for $2.41 a piece, down 13% for the year to date but 5% higher than 12 months ago. The shares seem to have fallen this year off the back of an increase in investor caution around clinical timelines and profit-taking after last year's rally.
The company develops and commercialises allogeneic cellular medicines to treat complex diseases. Some products are already in use, and other cell therapies are in the late stages of clinical trials.
Its products, particularly Mesoblast's Ryoncil product, are gaining traction and the business is well-funded. Brokers are also bullish that sales can continue growing strongly in FY27.
Market Index data shows all brokers agree on a buy rating for the ASX 200 biotech shares. The $3.49 target price implies a potential 45% upside, at the time of writing.
Liontown Ltd (ASX: LTR)
The ASX 200 lithium shares have shown signs of recovery through the first couple of weeks of August. At the time of writing, the shares have rebounded around 22% throughout the month so far.
It's great news for investors after the shares came off the boil earlier this year, sending the share price crashing to a year to date low in late July. Liontown shares are changing hands at $1.18 at the time of writing, down 27% for the year to date but 28% higher than 12 months ago.
Investors have leaned into Liontown shares over the past year on the pretence that the company has a long-term ability to benefit from strong lithium pricing and expanding global EV demand. The miner's development pipeline and exposure to future supply chains have also attracted investor attention.
But Liontown is practically a pure-play lithium miner, and its assets are overwhelmingly lithium-focused. This means it is sensitive to and heavily dependent on lithium price trajectories. This year's crash and latest rebound is almost entirely due to lithium price movements, which have followed the same pattern.
But Market Index data shows that brokers are mostly very bullish about the outlook for the ASX 200 shares going forward. The majority have a buy rating and the $1.77 average target price implies a potential upside of just over 50%, at the time of writing.
