Invest $10,000 into these ASX growth shares

Analysts think you could get a good return on investment from these buy-rated shares.

| More on:
Smiling woman with her head and arm on a desk holding $100 notes out, symbolising dividends.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Australian share market may have hit a record high last week, but that doesn't mean there aren't big potential returns still on offer from ASX growth shares.

For example, the three ASX growth shares listed below could rise strongly from current levels according to brokers. Here's what they say they are worth:

Domino's Pizza Enterprises Ltd (ASX: DMP)

The first ASX growth share to consider for a $10,000 investment is pizza chain operator Domino's.

It has been going through a very tough period in recent years. While this has been disappointing, its significant share price weakness may have created a buying opportunity for investors.

Particularly given that its performance has been showing signs of improvement and a return to consistent growth could be on the horizon.

Earlier this month, the team at Jarden reaffirmed their overweight rating and $42.00 price target on its shares. Based on its current share price of $36.50, this implies potential upside of 15% for investors over the next 12 months.

NextDC Ltd (ASX: NXT)

Over at Macquarie, its analysts believe that NextDC could be a top ASX growth share to buy right now. It is one of the region's leading data centre operators with a growing network of sites in key locations.

Macquarie believes that NextDC can continue growing at a solid rate in the coming years due to the ever-increasing demand for capacity in data centres. This is being driven by the artificial intelligence megatrend, and includes the entry of new breed of hyperscale customers (GPU Cloud and ChatGPT-type providers).

Macquarie has an outperform rating and $21.20 price target on NextDC's shares. Based on its current share price of $17.22, this suggests that upside of 23% is possible for investors over the next 12 months.

PEXA Group Ltd (ASX: PXA)

Analysts at Goldman Sachs think PEXA could be a great ASX growth share to buy.  It is the leading electronic lodgement network operator (ELNO) facilitating electronic lodgement and settlement of property transactions in Australia.

Goldman sees the company's technology as core digital infrastructure with a relatively defensive growth profile supported by inflation-linked price increases mid-cycle property transaction growth. In addition, it sees significant upside from the UK and PEXA Digital Growth, opening up a combined incremental total addressable market of $1 billion.

The broker has a buy rating and $15.70 price target on its shares. This implies potential upside of 10.5% for investors between now and this time next year.

Motley Fool contributor James Mickleboro has positions in Domino's Pizza Enterprises and Nextdc. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Domino's Pizza Enterprises, Goldman Sachs Group, and PEXA Group. The Motley Fool Australia has recommended Domino's Pizza Enterprises. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Growth Shares

a man in a business suit and carrying a laptop stands smiling with hand in pocket outside a large office building in a city environment.
Growth Shares

Buy these 2 impressive ASX 200 shares in July: experts

Experts are bullish about these two businesses.

Read more »

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face over these rising Tassal share price
Growth Shares

3 ASX 200 shares set to dominate the next decade

Let's see why these shares could be great long term picks for Aussie investors.

Read more »

A group of businesspeople clapping.
Growth Shares

3 ASX growth shares with 10-year compounding potential

Let's see which shares are being tipped as buys for growth investors.

Read more »

Woman happy and relaxed on a sofa at a shop.
Growth Shares

Are these 2 top ASX growth shares buys?

Are these high-flyers still buys?

Read more »

Two university students in the library, one in a wheelchair, log in for the first time with the help of a lecturer.
Growth Shares

3 stellar ASX growth shares to buy with $7,000

Let's see why analysts are feeling bullish about these top stocks.

Read more »

A smiling man at a shop counter takes payment from a customer, with racks of plants in the background.
Growth Shares

2 ASX shares to buy and hold for the next decade

I’m optimistic about what these investments can deliver in a year.

Read more »

A smiling businessman in the city looks at his phone and punches the air in celebration of good news.
Growth Shares

High-conviction ASX 200 shares with 10-year upside

Let's see why analysts think these shares could be great long term picks.

Read more »

A young male ASX investor raises his clenched fists in excitement because of rising ASX share prices today
Growth Shares

The ultimate Australian stocks to buy and hold for 10+ years

These shares could be ultimate buys according to analysts.

Read more »