If you're wanting to boost your portfolio with a couple of growth shares in May, then you may want to consider the ones listed below.
Here's why these ASX growth shares have been rated as buys:
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Domino's Pizza Enterprises Ltd (ASX: DMP)
The first ASX growth to look at is Domino's. It is the largest Domino's franchisee outside of the United States. At present, it holds the master franchise rights to the brand and network in Australia, New Zealand, Belgium, France, The Netherlands, Japan, Germany, Luxembourg, and Denmark.
Across these countries, the company currently operates approximately 2,800 stores. From these stores, during the first half of FY 2021, Domino's generated sales of $1.84 billion and an underlying net profit after tax of $96.2 million. This was up 16.5% and 32.8%, respectively, over the prior corresponding period.
The good news is that more strong growth is expected in the second half. This should be boost by further store openings as well.
In fact, the store openings won't stop there. Management is aiming to almost double the size of its network over the next decade in its existing markets. It is also looking for acquisitions and could expand into new territories in the future. Combined with its same store sales growth targets, the future looks bright for Domino's.
Morgans is a fan of Domino's. It currently has an add rating and $119.00 price target on its shares.
IDP Education Ltd (ASX: IEL)
Another ASX growth share to look at is IDP Education. It is a leading provider of international student placement and English language testing services.
The pandemic hit the company particularly hard last year, but it has been bouncing back strongly. In fact, IDP Education revealed that in December testing volumes were broadly in line with those experienced in the final month of 2019 prior to the pandemic.
And while the current and terrible situation in India, its largest market, is going to weigh on its recovery in the second half, once the pandemic passes, it will be onwards and upwards. Particularly given its software business and how many of its smaller rivals have not survived. This puts IDP Education in a position to potentially gobble up market share in FY 2022.
Morgan Stanley remains positive on the company. Last week it retained its overweight rating and $30.00 price target on the company's shares. It actually believes that the longer the pandemic weighs on the industry, the stronger IDP Education's market position will be when the crisis passes.
