It has been another busy week for Australia's top brokers. This has led to the release of a large 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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Bigtincan Holdings Ltd (ASX: BTH)
According to a note out of Morgan Stanley, its analysts have retained their overweight rating and $1.50 price target on this sales enablement platform provider's shares. The broker notes that Bigtincan has hit the top end of its guidance with still a couple of weeks remaining in the financial year. It was pleased with this and believes that its strong finish to the year puts it in a good position to achieve the market's expectations in FY 2022. The Bigtincan share price is trading at $1.10 today.
Coles Group Ltd (ASX: COL)
Analysts at Morgans have retained their add rating but trimmed their price target on this supermarket operator's shares to $17.80. This follows the company's strategy update this week. While the broker has downgraded its earnings estimates to account for Coles' increased investment in its online business, distribution, and automation, it believes the investment will create long term benefits. In addition to this, it sees Coles as a winner from the normalisation of consumer behaviour. The Coles share price is fetching $16.46 this afternoon.
Sonic Healthcare Limited (ASX: SHL)
A note out of Credit Suisse reveals that its analysts have retained their outperform rating and $40.00 price target on this healthcare company's shares. This follows news that the company has acquired Canberra Imaging Group for an undisclosed amount. The deal will add ~$60 million of revenue and is expected to support its aim of developing its imaging division in Australia. Credit Suisse estimates that the deal will be ~1% accretive to earnings per share. The broker also believes it could help the company win more government contracts. The Sonic share price is trading at $38.09 currently.
