If you’re a growth investor, then you’re in luck. The Australian share market is home to a large number of companies with the potential to grow strongly in the future.
Two top ASX growth shares that have been given buy ratings are listed below. Here’s what you need to know about them:
Altium Limited (ASX: ALU)
The first ASX growth share to take a look at is Altium. It is the printed circuit board (PCB) design software provider behind the Altium Designer and Altium 365 platforms.
These platforms are used in the design process of everything from automotive and aerospace to consumer electronics and medical devices.
While COVID-19 has softened demand for its offering, it appears well-placed to bounce back very strongly in a post-pandemic world. This is thanks to industry tailwinds, such as the Internet of Things and artificial intelligence booms, which are underpinning the proliferation of electronic devices globally.
One leading broker that is positive on the company is Citi. It currently has a buy rating and $33.50 price target on its shares. The broker notes that website traffic data is pointing to favourable trends for both its Altium 365 platform and Octopart search engine.
Kogan.com Ltd (ASX: KGN)
Another ASX growth share to look closely at is Kogan. It is a growing ecommerce company which has been benefitting greatly from the shift to online shopping. This has particularly been the case over the last 12 months after the pandemic forced shoppers online, many for the first time.
This has underpinned a significant increase in customer numbers, putting Kogan in a great position for long term growth. Not least given the value accretive acquisitions it has made, such as fellow online retailer Mighty Ape for $122 million.
And while the company is going through a difficult spot as tailwinds ease and inventory builds up, this appears to be more than reflected in its recent share price performance.
Analysts at Canaccord Genuity believe the recent weakness in the Kogan share price is a buying opportunity. They recently put a buy rating and $18.00 price target on its shares.
Where to invest $1,000 right now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.
*Returns as of February 15th 2021
More reading
- 3 top ASX 200 shares that could be in the buy zone
- Is the a2 Milk (ASX:A2M) share price a bargain or value trap?
- Why Zip (ASX:Z1P) and this beaten down ASX tech share could be buys
- These are the 10 most shorted shares on the ASX
- 2 growing ASX dividend shares to buy
The post 2 exciting ASX growth shares rated as buys appeared first on The Motley Fool Australia.
from The Motley Fool Australia https://ift.tt/3wkCNMx
Leave a Reply