These mid-cap ASX shares could rise 30% to 40%

Investors that are looking for mid-cap exposure in 2024 might want to check out the shares that Goldman Sachs is currently tipping as buys.

Especially with the broker tipping gains of approximately 30% to 40% for their shares from current levels.

Here’s what you need to know about them:

IDP Education Ltd (ASX: IEL)

Goldman continues to be a big fan of this language testing and student placement (SP) provider.

It believes that recent weakness caused by regulatory changes has created a compelling buying opportunity for investors. Especially given its very bright long-term outlook. It said:

EL continues to be impacted by regulatory changes that are restricting the flow of international students, but is well positioned to capitalise when conditions normalise given improving SP market share and investments into its network/platforms.

Goldman has a buy rating and $26.60 price target on its shares. This implies potential upside of 41% for investors over the next 12 months.

Lifestyle Communities Ltd (ASX: LIC)

Another mid-cap ASX share that could be a top buy is Lifestyle Communities. It is a leading developer and manager of residential land lease communities in Australia.

While the broker was surprised with the company’s decision to raise equity recently, it is pleased that its balance sheet is now looking strong. This means investors can focus more on its settlements and earnings growth over the coming years. It said:

LIC’s equity raising came as a surprise, and in our view is reflective of a softer resi backdrop (impacting both settlement cash flows and opportunity to acquire new land). From here, now that the balance sheet is under considerably less strain, we expect investors to respond positively as settlements, earnings and cash flow improve significantly into FY25/26E.

Goldman has a buy rating and $21.32 price target on the mid-cap ASX share. This suggests that its shares could rise 34% from current levels.

The post These mid-cap ASX shares could rise 30% to 40% appeared first on The Motley Fool Australia.

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More reading

• Why are short sellers shifting into ASX blue chips and out of lithium losers?
• Here are the top 10 ASX 200 shares today
• Leading brokers name 3 ASX shares to buy today
• These are the 10 most shorted ASX shares
• 3 ASX 200 shares that could rise 20% to 50%

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 positions in and has recommended Goldman Sachs Group and Idp Education. The Motley Fool Australia has recommended Idp Education. 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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