The three ASX shares I'm going to mention in this article are rated as 'buys' by several brokers.
It's quite hard to find businesses that are both good businesses and trading at a good price. Even then, one person might say Commonwealth Bank of Australia (ASX: CBA) and another says that Transurban Group (ASX: TCL) is a better choice.
Investment site MarketIndex regularly collates the ratings of brokers together to assess what the broker community collectively think are opportunities. Of course, this still isn't a guarantee of success – they could all be herding together.
With that in mind, here are three ASX shares that brokers like:
Webjet Limited (ASX: WEB)
Webjet is currently rated as a buy by at least six analysts.
The travel business suffered a double-digit share price fall on its reporting day, but I was pleased with the growth numbers that the company revealed and the expectation that profit margins could materially improve over the medium-term. The fall in the share price could make it an even better buy.
There are few companies on the ASX that have global growth ambitions and such a high profit margin target as Webjet.
Nextdc Ltd (ASX: NXT)
Nextdc is rated as a buy by at least eight analysts.
The data centre operator has had its ups and downs over the past year, but there's no doubt that demand for data centre services continues to rise year after year, with Nextdc well positioned to benefit in Australia.
I'm not sure how much profit growth the company will unveil over the longer-term, but it could be one to watch.
Bapcor Ltd (ASX: BAP)
Bapcor is rated as a buy by at least seven analysts.
The market feared for Bapcor when its outlook was declining earlier in the year due to Australia's economic slowdown and a fall in car sales.
However, Bapcor has impressed the market by continuing to grow profit year after year whilst also growing same store sales, growing profit margins, expanding into new categories like truck parts and taking the Burson brand into Asia. All of these elements are boosting revenue and should help profit over the longer-term.
The company expects profit to keep growing in FY20.
Foolish takeaway
Each of these businesses could provide market-beating returns over the coming years. At the current prices I think Bapcor may be likely to do better in the shorter-term due its defensive earnings whilst Webjet could win over the longer-term.
