Many of Australia's top brokers have been busy adjusting their financial models again, leading to the release of a number of broker notes this week.
Three ASX shares brokers have named as buys this week are listed below. Here's why they are bullish on them:
Coles Group Ltd (ASX: COL)
According to a note out of Macquarie, its analysts have retained their outperform rating and $20 price target on this supermarket giant's shares. The broker feels Coles would be a good option for investors in the current environment. This is because it feels consumer staples are better positioned to deal with the impacts of the rising cost of living and weaker consumer discretionary spending. The Coles share price is trading at $18.20 today.
ResMed Inc. (ASX: RMD)
Another note out of Macquarie reveals that its analysts have retained their outperform rating and $38 price target on this sleep treatment company's shares. Macquarie highlights that ResMed will be releasing its results later this week. Its analysts are confident that the company will deliver further top-line growth and margin improvements. The ResMed share price is fetching $33.98 this afternoon.
Xero Limited (ASX: XRO)
Analysts at Goldman Sachs have retained their conviction buy rating on this cloud accounting platform provider's shares with an improved price target of $147. Goldman has been looking at small business data and has been pleased to see that they are holding up better than expected in the current environment. In light of this, the broker has boosted its revenue and earnings estimates for the coming years on lower churn assumptions. Overall, the broker feels this leaves Xero shares trading on compelling growth adjusted multiples. The Xero share price is trading at $124.67 on Wednesday.
