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The team at Morgans has been busy running the rule over a number of ASX shares.
Three that have fared well and been given buy ratings are listed below. Here’s why the broker is bullish on them:
ARB Corporation Ltd (ASX: ARB)
Morgans was a touch disappointed with this 4×4 parts manufacturer’s performance during the first quarter.
However, it remains positive on the future and has retained its buy rating with a $25.90 price target. This implies potential upside of over 50% for investors.
Commenting on ARB, Morgans said:
ARB’s 1Q27 update was disappointing: sales -6.1% (1Q26 +3.8%) as Aftermarket and Export weakness (single-digit declines) outweighed strong OEM growth. Positively, PBT grew despite weaker sales amid steady gross margins (FX-driven). While a softer Aftermarket result was largely expected (ARB’s core vehicle volumes -16% in 1Q27), Export was a negative surprise, as slower US OEM sales, softer UK vehicle volumes and weak NZ demand offset growth in the US Aftermarket, Africa, Europe and SE Asia.
Positively, new OEM contract wins and early indications of recovering OEM sales support the division’s outlook. Despite softer near-term sales, resilient margins should continue to underpin the earnings base, with improving vehicle supply and various network and growth initiatives driving the earnings recovery. BUY maintained, A$25.90ps target price.
Navigator Global Investments Ltd (ASX: NGI)
The broker highlights that this global investment company delivered a mixed quarter.
Nevertheless, it remains positive and has retained its buy rating and $3.04 price target. This suggests that the ASX share could rise around 46% from current levels.
The broker commented:
NGI has released its September 2026 (1Q27) AUM update. We saw this as a bit of a mixed quarter. Group ownership-adjusted AUM rose +9% (or a solid ~+3% excluding Stable Growth), led by the NGI Strategic Portfolio (+9%).
However, Lighthouse was softer, with net flows slowing to +US$280m (4Q26: +US$690m), being mostly into lower-margin managed accounts, and largely offset by negative performance (-US$240m). We make no changes to our forecasts or our A$3.04 price target. With >20% upside remaining to our PT, we maintain our BUY recommendation.
Netwealth Group Ltd (ASX: NWL)
A third ASX share that has been given the thumbs up from Morgans is investment platform provider Netwealth.
Once again, although Netwealth’s quarterly performance fell short of expectations, Morgans still sees plenty of value in its shares.
As a result, it has retained its buy rating with a $22.90 price target. It said:
NWL’s 1Q27 net flows of A$2.6bn were below VA consensus (A$3.5bn), with elevated gross outflows persisting (incl. two institutional client exits totalling A$0.6bn). Group FUA grew +2.5% QoQ to a record A$139.2bn, ~1.3% shy of VA consensus (A$141.0bn), with markets a slight +A$0.8bn tailwind. FY27 net flows guidance was lowered to A$17-19bn, with NWL flagging budget impacts & market volatility as current headwinds to adviser/investor behaviour.
We trim our FY27-29F NPAT forecasts by -5-6% reflecting a modest miss vs MorgF, and the addition of Paradino into MorgansF. NWL is trading on a FY27 P/E of ~30x (a -35% discount to its 5yr avg). Our BUY rating is retained with a PT of A$22.90/sh.
The post Morgans names 3 ASX shares to buy now appeared first on The Motley Fool Australia.
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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 ARB Corporation and Netwealth Group. The Motley Fool Australia has positions in and has recommended Netwealth Group. The Motley Fool Australia has recommended ARB Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

