3 ASX shares to watch closely

The current conditions have opened doors for some ASX shares, but closed them for others. Here are the shares on my watch lists.

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Last week was a pretty volatile week for ASX shares, and I think this is likely to continue for a while. Between the United States election and the changes in Australian subsidies, it is clear that we live in an age of uncertainty. Nonetheless, here is a range of ASX shares that I believe should be on your watchlist in the current environment. 

close up of man's eye looking through magnifying glass representing asx 200 share price on watch

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2 good value ASX shares

Jumbo Interactive Ltd (ASX: JIN) recently signed a binding term sheet with Lottery West to sell its tickets online for up to ten years. The company also renewed its deal with Tabcorp Holdings Limited (ASX: TAH) which now stretches to 2030. Jumbo already has a slew of charity lottery sellers as clients, and has started to tackle the US market.

This company is reasonably priced considering the size of its addressable market. What's more, as we all emerge from lockdown, the likelihood of larger jackpots looms. This, in turn, will fuel higher revenues for Jumbo.

Mortgage Choice Limited (ASX: MOC) is an ASX share that has recently come alive. With the recent changes to the responsible lending laws, this company is likely to see an increase in top line revenues. At its current price, the company has a price-to-earnings (P/E) ratio of 14.16 and a trailing 12 month dividend yield of 6.16%. I think this share will benefit from the near-future housing situation.

1 more to keep an eye on

Boral Limited (ASX: BLD) stands out to me as the best potential turnaround story on the ASX right now. As a collection of businesses that sell building materials, this company should be pretty straightforward. Yet, it has performed poorly for years. There is, however, now a new CEO in place. Moreover, the company is renewing the board, including two nominees from Seven Group Holdings Ltd (ASX: SVW).

Boral is committed to renewal across the board and there are already signs of US private equity players who have an interest in purchasing Boral's US assets. I am keeping an eye on news relating to Boral and any signs of increased sales or productivity. I think this could become an opportunity. 

Foolish takeaway

All of these ASX shares are good companies entering into a period which is likely to favour them. In particular, two of these companies stand to benefit from relaxation of the responsible lending laws. However, these are not the only ones to benefit. Every time there is a large-scale regulatory change, there are potential winners on the ASX. 

Daryl Mather has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. recommends Jumbo Interactive Limited. The Motley Fool Australia owns shares of and has recommended Jumbo Interactive 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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