If you are looking for some new additions to your portfolio, then it could be worth listening to what analysts at Morgans are saying about the ASX 200 shares listed below.
They currently feature on the broker’s coveted best ideas list. These are the companies that its analysts think offer the highest risk-adjusted returns over a 12-month timeframe. They are also supported by a higher-than-average level of confidence.
Two ASX shares that feature on Morgans’ best ideas list right now are listed below. Here’s what the broker is saying about them:
Flight Centre Travel Group Ltd (ASX: FLT)
The first ASX 200 share for investors to look at is travel agent giant Flight Centre. The broker feels it is the best option in the travel sector.
Particularly given its transformed business model and the potential for the company to smash consensus estimates if it delivers on its margin goals. The broker explains:
FLT has the greatest risk, reward profile of our travel stocks under coverage. The risk is centred around execution given its changed business model, while the reward is material if FLT delivers on its 2% margin target. If achieved, this would result in material upside to consensus estimates and valuations. FLT is targeting to achieve this margin in FY25. With greater confidence in the travel recovery and the benefits of Flight Centre’s transformed business model already emerging, we think the company is well placed over coming years.
Morgans has an add rating and $27.27 price target on the company’s shares. Based on its current share price of $20.75, this implies potential upside of 31% for investors over the next 12 months.
Inghams Group Ltd (ASX: ING)
Another ASX 200 share that could be a top option for investors according to Morgans is poultry producer Inghams.
Morgans believes its shares are undervalued given its leadership position and attractive 6%+ dividend yield. It explains:
ING remains undervalued trading on a low PE multiple, especially for what is a market leader, with a vertically integrated operating model and assets that are difficult and costly to replicate. It is also leveraged to poultry – the affordable, healthy, sustainable and growth protein. Additionally, ING offers an attractive fully franked dividend yield.
Morgans has an add rating and $4.40 price target on its shares. With the Inghams share price currently trading at $3.62, this suggests that there could be a return of 21% for investors over the next 12 months excluding dividends.
Wondering where you should invest $1,000 right now?
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. We believe these stocks are trading at attractive prices and Scott thinks they could be great buys right now…
See The 5 Stocks *Returns as of 1 February 2024
More reading
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Flight Centre Travel Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
News Related-
High court unanimously ruled indefinite detention was unlawful while backing preventive regime
-
Cheika set for contract extension as another Wallabies head coaching candidate slips by
-
Analysis-West's de-risking starts to bite China's prospects
-
'Beyond a joke' Labor won't ensure PTSD protections: MP
-
Formula One season driver ratings: Lando Norris shines as Max Verstappen nears perfection
-
Catalina golfer Tony Riches scores Guinness World Record four holes in one on same hole
-
Florida coach Billy Napier fires assistants Sean Spencer, Corey Raymond with expected staff shakeup ahead
-
Rohingyan refugee NZYQ accidentally named in documents published by high court
-
Colorado loses commitments of 2 more high school recruits
-
Queensland Health issues urgent patient safety alert over national bacteria outbreak
-
Townsville Community Pantry 'distressed' by fruit, vegetable waste at Aldi supermarket
-
What Is The Beaver Moon And What Does It Mean For You?
-
Labor senator Pat Dodson to resign from politics due to health issues
-
Hamas releases 11 more hostages, as Israel agrees to extend ceasefire