These ASX growth shares could deliver market-beating returns

Analysts have good things to say about these growth shares.

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Are you looking for a growth share (or three) to buy? If you are, you may want to look at the three listed below.

Here's why analysts are tipping these ASX growth shares to deliver market-beating returns over the next 12 months. Here's what you need to know about them:

Corporate Travel Management Ltd (ASX: CTD)

The first ASX growth share to consider buying is Corporate Travel Management. It is a global leader in business travel management services.

Morgan Stanley remains bullish on the company after a difficult period. This is because it believes that a turnaround is taking place and could drive its shares higher in the near term.

The broker currently has a buy rating and $17.00 price target on its shares. This implies potential upside of 14% for investors over the next 12 months.

Nextdc Ltd (ASX: NXT)

Another ASX growth share that has been tipped as a buy is NextDC.

It is a data centre operator with a growing footprint of world class centres across the Asia-Pacific region.

Morgans believes the company is well-placed for growth due to the artificial intelligence (AI) boom.

It notes that "Digital Realty recently reported a record sales quarter during which it sold double the data centre capacity of its previous high and about four times more capacity than it usually sells in a quarter. This reinforces our view that the significant demand for cloud computing and AI-related digital infrastructure is going to unpin attractive returns and long-term growth."

The broker has a buy rating and $20.00 price target on NextDC's shares. This suggests that they could rise almost 25% from current levels.

Xero Limited (ASX: XRO)

A final ASX growth that could be a buy according to analysts is Xero. It is a cloud accounting platform provider with 4.2 million subscribers across the globe.

While this might sound like a large number, it is nothing compared to its total addressable market (TAM).

Goldman Sachs estimates that Xero's TAM is over 100 million small to medium sized businesses, which means the company has a huge growth runway over the next decade or two.

Goldman highlights that its analysts "see Xero as very well-placed to take advantage of the digitisation of SMBs globally, driven by compelling efficiency benefits and regulatory tailwinds, with >100mn SMBs worldwide representing a >NZ$100bn TAM."

Goldman has a buy rating and $201.00 price target on the company's shares. This implies potential upside of 17% for investors over the next 12 months.

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

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