These ASX growth shares could be strong buys in October

Afterpay Ltd (ASX:APT) and this ASX share could be great growth shares to buy in October after their declines last month…

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A female broker in a red jacket whispers in the ear of a man who has a surprised look on his face as she explains which two ASX 200 shares should do well in today's volatile climate

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I think it is fair to say that September was a month to forget for Australian investors.

I'm optimistic that October will be significantly better and that a number of beaten down ASX growth shares will recover some of their sizeable declines.

Two that I would consider buying are as follows:

a2 Milk Company Ltd (ASX: A2M)

The first ASX growth share to consider buying is a2 Milk. It is a leading infant formula and fresh milk company which specialises in a2-only products. Over the last few years the company has been growing at a very strong rate thanks to the expansion of its fresh milk footprint and the insatiable demand for its infant formula in China.

Unfortunately, the company's impressive run is likely to come to an end in FY 2021. This due to the pandemic's impact on the daigou channel and the pantry stocking it caused in FY 2020. The latter pulled forward sales from the current financial year. In light of this, management is forecasting a decline in first half sales in FY 2021. And while it expects a stronger second half to lead to full year growth, the level of this growth is significantly slower than the market is used to. While this is disappointing, I'm confident that a2 Milk will bounce back strongly in FY 2022. Especially given its growing Chinese mother and baby stores footprint, strong brand, and relatively small market share.

Afterpay Ltd (ASX: APT)

Another ASX growth share I would buy is Afterpay. Especially with its shares down 15% from their 52-week high. I think this has brought the payments company's shares down to a level that is an attractive entry point for long-term focused investors.

This is because I remain confident that Afterpay is perfectly positioned to continue its meteoric growth over the next few years. I expect this to be underpinned by its strong position in the massive US market and its ongoing international expansions. In respect to the latter,  Afterpay has recently launched in Canada and acquired its way into mainland Europe. The company also has Asia in its sights and could soon launch there.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended A2 Milk. The Motley Fool Australia owns shares of AFTERPAY T FPO. 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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