3 ASX shares rated as strong buys by brokers, should you buy them?

These 3 ASX shares have been rated as strong buys by brokers including buy now, pay later provider Zip Co Ltd (ASX:Z1P).

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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:

Worley Ltd (ASX: WOR

Worley is rated as a buy by at least ten analysts.

The energy services giant helps customers through the life cycle of assets from developing projects to sustaining and enhancing existing assets.

Within the past year Worley completed its huge US$3.2 billion acquisition of Jacobs ECR and now has over 50,000 employees across more than 50 countries. Cost synergies alone are expected to be $130 million within two years.  

The combined business has even higher capabilities and that's why it's winning so many new contracts at the moment.  

Zip Co Ltd (ASX: Z1P) 

Zip is rated as a buy by at least five analysts.  

It's one of the leading buy now, pay later operators in Australia and it's growing very fast. For the September 2019 quarter it grew quarterly transaction volume by 111% year on year to $402.1 million. Compared to the fourth quarter of FY19, Zip's quarterly revenue rose by 15% to $31 million.

I'm particularly excited by its investments in PartPay (giving exposure to New Zealand, the UK, the US and South Africa), its investment in US provider QuadPay and the acquisition of SME lender Spotcap Australia and New Zealand.

Freedom Foods Group Ltd (ASX: FNP) 

Freedom Foods is rated as a buy by at least four analysts.

The company is building a portfolio of high-quality food brands like Messy Monkeys, Australia's Own, Milk Lab, So Natural, Almond Breeze and Vital Strength.

The quality products are resonating with customers in Australia and overseas, which is why the company is experiencing good revenue growth.

Trusted food brand businesses that offer something different and are more healthy are companies that could grow impressively in the coming years thanks to Asian demand.

Foolish takeaway

Each of these shares are worth watching over the next few years as they kick on with international growth.

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Transurban Group. The Motley Fool Australia has recommended Freedom Foods Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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