Some well-known ASX shares have had a difficult year, but I think their outlooks could improve in 2027.
Here are three that I'd consider buying.
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Cochlear Ltd (ASX: COH)
Cochlear is my first pick. It had a disappointing time in FY 2026, reporting a 22% decline in underlying net profit to $322 million.
The hearing implant company has been affected by slower procedures in some markets, insurance delays, and changes to reimbursement in China. But I don't think these problems mean its growth opportunities have disappeared.
Its new Nucleus Nexa implant is already proving popular, accounting for more than 95% of implant sales in developed markets by June. Cochlear also achieved an average 3% price increase on the product.
Management is now working to make it easier for adults with serious hearing loss to be referred for implants, potentially bringing more patients into treatment.
Cochlear recently reaffirmed FY 2027 underlying profit guidance of $330 million to $350 million. That would be a modest recovery, but I think improving patient referrals could lay the groundwork for stronger growth in the coming years.
James Hardie Industries PLC (ASX: JHX)
James Hardie has been dealing with a sluggish US housing market, where homeowners are postponing renovations and contractors remain cautious.
Yet its first-quarter FY 2027 results released in August suggest the business doesn't need a housing boom to improve. The building materials group raised its full-year outlook and is now targeting adjusted EBITDA growth of approximately 7% to 14% on a comparable basis.
Another positive is the opportunities created by its acquisition of AZEK, which owns the TimberTech decking brand. James Hardie can now offer contractors siding and decking products, while combining the businesses' sales networks and removing overlapping costs.
If those benefits keep coming through, I believe earnings could grow even before conditions in US housing improve substantially.
Treasury Wine Estates Ltd (ASX: TWE)
Treasury Wine Estates is a more speculative turnaround opportunity, but I think there are encouraging early signs.
The Penfolds owner has been battling excess inventory and a disappointing performance in the US. It has responded by reducing wine production, selling non-core assets and restructuring its operations.
At its October annual general meeting, Treasury Wine revealed that Penfolds sales in China were tracking slightly ahead of plan, while sales in its US luxury wine portfolio had been improving.
The company also reiterated that it is targeting $40 million in cost savings during FY 2027, rising to $100 million annually by FY 2029.
Management isn't promising a sharp earnings rebound this year. But if inventory levels normalise and savings flow through, I believe 2027 could mark the beginning of a much stronger period for the business and its shares.
