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:
Carsales.Com Ltd (ASX: CAR)
According to a note out of Credit Suisse, its analysts have retained their outperform rating and lifted the price target on this auto listings company's shares to $18.30. The broker notes that Carsales has lifted its prices. It believes this is a sign that listing volumes have held up and expects the higher prices to support its growth in the second half. In light of this, it expects management to reiterate its FY 2020 guidance later this month when it releases its half year results. Whilst it isn't my first pick in the online listings industry, I think it could be worth considering.
Pinnacle Investment Management Group Ltd (ASX: PNI)
A note out of the Macquarie equities desk reveals that its analysts have retained their outperform rating and lifted the price target on this investment company's shares to $6.57. This follows the release of its half year results on Thursday. According to the note, Pinnacle delivered a top line result that came in ahead of its expectations. And while higher costs led to a softer profit result, Macquarie appears confident that growing net inflows could lead to stronger than expected earnings growth over the short to medium term. I think Macquarie makes some great points and Pinnacle could be worth a closer look.
SEEK Limited (ASX: SEK)
Analysts at Credit Suisse have upgraded this job listings company's shares to an outperform rating and lifted the price target on them to $23.80. According to the note, the broker acknowledges that the weak macro environment could impact its short term performance, especially given the coronavirus impact on its Asian business. However, it believes that SEEK's long-term growth outlook remains very positive. I agree with Credit Suisse and would be a buyer of its shares with a long term view.
