A large number of broker notes have hit the wires this week, leading to many popular shares being declared buys and sells.
Three shares that are in favour with brokers and have been given a buy rating are listed below. Here's why they are bullish on them:
BINGO Industries Ltd (ASX: BIN)
According to a note out of Goldman Sachs, its analysts have upgraded this waste management company's shares to a buy rating with a slightly lower price target of $2.75. The broker made the move on valuation grounds after a heavy decline following the release of its full year results. Goldman believes its valuation is attractive at 21x forward earnings due to its belief that it will achieve an earnings per share CAGR of 22% per annum over the next three years. I agree with Goldman Sachs on BINGO and would class its shares as a buy.
Flight Centre Travel Group Ltd (ASX: FLT)
A note out of UBS reveals that its analysts have held firm with their buy rating but trimmed the price target on this travel agent's shares to $55.00 following the release of its full year results. Although the broker acknowledges that its results weren't overly special, they were in line with guidance. Furthermore, with management advising that conditions are improving in the key Australian leisure segment, it believes things could be better in FY 2020. Especially given its good costs control. Whilst it isn't my top pick in the industry, I agree that its shares are good value at this level.
Qantas Airways Limited (ASX: QAN)
Another note out of UBS reveals that its analysts have upgraded this airline operator's shares to a buy rating and lifted the price target on them to $6.40. According to the note, the broker felt that Qantas delivered a solid result in FY 2019 and expects even better in the coming years. Thanks partly to a combination of favourable fuel prices and share buybacks, UBS estimates that Qantas could grow its earnings per share in the low teens on average over the next three years. I think UBS is spot on with this one and agree that it would be a good share to buy.