Where to invest $5,000 in Australian shares now

Brokers rate these shares as buys. Here's why they could be top picks.

Do you have $5,000 to invest but aren't sure where to put it?

Well, to narrow things down for you, let's take a look at three Australian shares that brokers are tipping as buys right now.

Here's what they are recommending:

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Flight Centre Travel Group Ltd (ASX: FLT)

Flight Centre could be an Australian share to consider for investors.

The travel company has been through a brutal few years, with the pandemic, inflation, airfare volatility, and geopolitical uncertainty all making life difficult.

But the long-term picture is still attractive. Travel remains a big part of how people want to spend their money. Holidays, business trips, events, conferences, visiting family, and overseas experiences are not going away.

Flight Centre also has exposure to both leisure and corporate travel, giving it more than one path to growth if conditions improve.

The company has been working hard to become leaner and more efficient, which could help earnings recover as demand normalises.

Analysts at Morgans remain positive on Flight Centre and have a buy rating and $14.80 price target on its shares.

NextDC Ltd (ASX: NXT)

Another Australian share that could be worth a closer look is NextDC.

It operates data centres, which are becoming increasingly important infrastructure assets in the digital economy.

Every time businesses use cloud computing, artificial intelligence, streaming, online payments, cybersecurity tools, or data-heavy software, demand for secure and reliable data centre capacity grows.

This puts NextDC in a strong long-term position.

The company is investing heavily to expand its footprint, which can weigh on near-term profits and cash flow. But that investment is also what gives it the potential to become a much larger business over time.

In many respects, this means that NextDC is a way to invest in the pipes and power behind the digital world.

UBS is a fan of NextDC and has a buy rating and $22.55 price target on its shares.

ResMed Inc (ASX: RMD)

A final Australian share to consider is ResMed.

The sleep treatment company makes devices, masks, software, and connected health products used to treat sleep apnoea and other breathing-related conditions.

This is a huge and still underpenetrated market. Many people with sleep apnoea remain undiagnosed, while those who are treated often need ongoing masks, accessories, support, and device upgrades.

That gives ResMed a powerful combination of new patient growth and repeat demand.

It also has a global footprint, trusted products, and a strong position in connected healthcare.

There can be short-term noise around competition, pricing, and investor sentiment. But over the long term, helping people sleep and breathe better remains a very attractive market.

Analysts at Macquarie are bullish on ResMed and have an overweight rating and $46.80 price target on its shares.

Motley Fool contributor James Mickleboro has positions in Nextdc and ResMed. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group and ResMed. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended Flight Centre Travel Group and Macquarie 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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