Many of Australia's top brokers have been busy adjusting their financial models again, leading to the release of a large number of broker notes this week.
Three broker buy ratings that have caught my eye are summarised below. Here's why brokers think these ASX shares are in the buy zone:
Altium Limited (ASX: ALU)
According to a note out of UBS, its analysts have upgraded this design software company's shares to a buy rating with a trimmed price target of $37.50. While the broker suspects that Altium will fall short of its guidance in FY 2020, it appears confident on its long term growth prospects. In light of this, it feels its shares have fallen to an attractive level following recent volatility. I agree with UBS and believe Altium is a great long term option for investors.
Domino's Pizza Enterprises Ltd (ASX: DMP)
A note out of the Macquarie equities desk reveals that its analysts have retained their outperform rating and $66.10 price target on this pizza chain operator's shares. According to the note, the broker doesn't believe the restrictions that have been put in place in France to combat the spread of coronavirus will have a negative impact on its sales in the country. In fact, it expects the company's sales could be given a boost from lockdowns. Especially given how it has launched a no-contact delivery option in all its markets. I think Macquarie is spot on and Domino's is well-worth considering.
SEEK Limited (ASX: SEK)
Analysts at Morgan Stanley have retained their overweight rating and $21.00 price target on this job listings giant's shares. According to the note, the broker expects SEEK's Chinese operations to struggle during the second half of FY 2020. However, it is confident they will bounce back strongly in FY 2021 and drive solid growth. I agree with Morgan Stanley on SEEK and feel it is another good option for investors once the market volatility eases.
