If you're looking for a few shares to add to your portfolio this week, then you could do a lot worse than the ones listed below.
Here's why these ASX shares come highly rated right now:
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Kogan.com Ltd (ASX: KGN)
The first ASX share to look at is Kogan. While this ecommerce company has been performing positively in recent years, its growth went up a level in the second half of FY 2020 after the pandemic accelerated the shift to online shopping.
This led to a material jump in customers, sales, and earnings in FY 2020 and has continued into the new financial year. During the first four months of FY 2021, Kogan's sales were up 99.8% and its operating earnings rose a massive 268.8% over the same period last year.
Analysts at Canaccord Genuity are very positive on Kogan's prospects and appear to believe this strong form will continue. Especially given the recent acquisition of Mighty Ape for $122 million. The broker has a buy rating and $25.00 price target on its shares.
Universal Store Holdings Limited (ASX: UNI)
Another ASX share to look at is Universal Store. It is a leading fashion retailer which landed on the Australian share market late last year after raising $147.8 million at $3.80 per share. Pleasingly for its early investors, Universal Store's shares have been very strong performers since listing and recently hit a record high.
This was driven by a trading update which revealed that it expects its underlying earnings before interest and tax (EBIT) to be in a range of $30 million to $31 million for the first half. This represents growth of between 61% and 67% on the prior corresponding period. Management advised that this was underpinned by strong like for like sales growth and gross margin improvements.
Analysts at Morgans were impressed by its update and expect its strong form to continue for a little while longer. The broker is forecasting its earnings to grow at a 30% compound annual growth rate through to FY 2023. In light of this, it feels its shares are cheap at the current level and has an add rating and $6.93 price target on them.
