With investors having such a wide array of shares to choose from on the ASX, deciding which to buy and which to avoid can be a time-consuming task. Thankfully there are teams of brokers out there that do a lot of the hard work for you.
Whilst it is worth remembering that they don't always get it right, here are three shares that leading brokers are tipping as buys presently.
Clean TeQ Holdings Limited (ASX: CLQ)
A research note from the equities desk at Macquarie Group Ltd (ASX: MQG) reveals that its analysts have slapped an outperform rating on the metals recovery company. They appear to believe that its Syerston project could become an incredibly valuable asset in the future. The Syerston mineral deposit is rich in nickel, scandium, and most importantly cobalt. Although production is some way off, Syerston is uniquely positioned as one of the largest and highest grade sources of cobalt outside Africa. As demand for the metal, used in lithium-ion batteries, is expected to grow rapidly, I'd agree that Clean TeQ could be a good way for investors to gain exposure to the cobalt boom. But let's not forget that it would still be a high risk investment.
Domino's Pizza Enterprises Ltd. (ASX: DMP)
According to a research note out of Morgan Stanley, its analysts have reiterated their overweight rating on the pizza chain operator. They believe that the company is positioned for strong long-term growth and that the market's concern over issues with its franchisees is largely overdone. I would have to agree with Morgan Stanley on this one. Furthermore, in the last six months the Domino's share price has tumbled over 21%. I think this is a fantastic opportunity to snap up its shares at a reasonably fair price.
Rio Tinto Limited (ASX: RIO)
A note out of Deutsche Bank reveals that its analysts have reiterated their buy rating but increased their target price for Rio Tinto's shares to $72. The mining giant certainly has found favour with brokers in the last few days. On Monday Credit Suisse also reiterated its outperform rating and $72 price target. If Chinese demand for base metals remains strong this year then I believe miners like Rio Tinto could profit greatly. But as I'm quite bearish on iron ore prices I plan to avoid Rio Tinto for the time being.
