Looking for growth shares to buy? Well, I have good news for you. Listed below are two ASX growth shares that are rated as buys by analysts with major upside potential.
Here's what you need to know about them:
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Life360 Inc (ASX: 360)
The first ASX growth share that has been tipped as a buy is Life360.
It operates in the digital consumer subscription services market, with a focus on products and services for digitally native families. The company's key product is the incredibly popular Life360 app, which has 40 million+ active users. It offers families features such as communications, driver safety, and location sharing.
Unfortunately, due to operating at a loss, the market has ignored its stellar growth and sold off its shares during the last 12 months. However, the good news is that the team at Bell Potter believe that its cash balance is sufficient to see it through to breakeven.
In light of this, the broker sees the weakness as a buying opportunity for long term and patient investors. Its analysts have a buy rating and $8.25 price target on its shares, which implies potential upside of 45% based on the current Life360 share price.
NextDC Ltd (ASX: NXT)
Another ASX growth share that has been named as a buy is data centre operator NextDC.
As with Life360, NextDC continued its strong growth in FY 2022. This was driven by increasing demand for space in its data centres thanks to the ongoing structural shift to the cloud.
Goldman Sachs believes the company is well-placed to continue this growth for some time to come. It has previously highlighted NextDC's "compelling growth profile", a proven and profitable business model, and digital infrastructure characteristics.
Goldman currently has a buy rating and $14.20 price target on its shares. Based on the current NextDC share price of $9.75, this suggests potential upside of 45%.
