Australia's top brokers have been busy adjusting their estimates and recommendations once again. This has led to the release of a number of broker notes.
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:
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Newcrest Mining Ltd (ASX: NCM)
According to a note out of Morgans, its analysts have retained their add rating and $30.95 price target on this gold miner's shares. The broker has been looking through the gold sector and likes what it sees with Newcrest. This is due to its reasonable valuation and its exposure to copper and silver. It expects the latter to help offset softer gold prices. The Newcrest share price is trading at $27.93 on Friday morning.
Qantas Airways Limited (ASX: QAN)
Analysts at Ord Minnett have retained their buy rating but trimmed their price target on this airline operator's shares to $5.50. This follows news that the airline is pushing back the restart of its international service by two months. While the delay is slightly disappointing, Ord Minnett remains positive on the company given that its Domestic and Loyalty businesses are the main contributors of its earnings. The Qantas share price is fetching $4.45 at the time of writing.
Xero Limited (ASX: XRO)
A note out of Morgan Stanley reveals that its analysts have retained their overweight rating and $140.00 price target on this cloud accounting platform provider's shares. This follows the release of the company's full year results this week. While the broker acknowledges that Xero fell well short of expectations for its earnings, it remains positive on the future. Morgan Stanley believes the company's investment strategy is the correct one to create long term value for shareholders. The Xero share price is trading at $111.51 this morning.
