Last week saw a large number of broker notes hitting the wires once again. Three buy ratings that caught my eye are summarised below.
Here's why brokers think investors ought to buy them next week:
Bapcor Ltd (ASX: BAP)
According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $7.60 price target on the automotive aftermarket parts company's shares. Whilst the broker acknowledges that there aren't many near-term catalysts for its shares, it believes the risk/reward on offer is compelling. It also notes that Bapcor has a significant opportunity in the Thailand market which could be a driver of growth in the future. I agree with Morgan Stanley and feel Bapcor could be a good option for investors.
Carsales.Com Ltd (ASX: CAR)
Analysts at Deutsche Bank have resumed coverage on this auto listings company with a buy rating and $15.40 price target. According to the note, the broker made the move on valuation grounds following 12 months of underperformance for its shares. Carsales' shares are down slightly over the period, compared to a gain of almost 8% by the S&P/ASX 200 index. Whilst it isn't my first choice in the listings industry, I think it could be worth considering at the current level.
Nufarm Limited (ASX: NUF)
A note out of Citi reveals that its analysts have retained their buy rating and $6.20 price target on the crop protection and specialist seeds company's shares. According to the note, the broker believes that Nufarm would be an attractive takeover target due to its current valuation and the strong potential of its Omega 3 business. Although it isn't a share that I would ordinarily buy, I agree with Citi that its shares are great value at present.
