If you're a fan of growth shares, then you may want to look closely at the three shares listed below.
Here's why these could be growth shares to buy:
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Adore Beauty Group Limited (ASX: ABY)
The first ASX growth share to look at is Adore Beauty. It is an integrated content, marketing and e-commerce retail platform with a focus on the $11 billion per year Australian beauty and personal care market. While it has been growing at a rapid rate in recent years and now has almost 1 million active customers, it still only has a tiny share of the market. The good news is that Adore Beauty has been tipped to keep winning market share over the next decade as the structural shift online continues. This bodes well for its future growth.
The team at UBS is positive on Adore Beauty. The broker currently has a buy rating and $4.70 price target on its shares.
Altium Limited (ASX: ALU)
Another growth share for investors to consider buying is Altium. It is the electronic design software provider behind the Altium 365 and Altium Designer platforms. These platforms are the leaders in their field and are now aiming to dominate their market. This bodes well for its future growth given how the Internet of Things (IoT) and AI markets are underpinning an explosion of electronic devices globally. This is expected to lead to a significant increase in demand for electronic design software in the future.
The team at Bell Potter is bullish on Altium. It currently has a buy rating and $38.75 price target on the company's shares.
Megaport Ltd (ASX: MP1)
A final ASX growth share that could be a buy is Megaport. It is a leading cloud connectivity and networking solutions provider which looks set to benefit massively from two long-term structural tailwinds. These are the adoption of public cloud (and multi-cloud usage) and the transition towards Networking as a Service (NaaS). Goldman Sachs has been looking into its opportunity and estimates it to be $129 billion per annum across its current geographies.
In light of this, it won't be a surprise to learn that Goldman has a buy rating and $19.50 price target on its shares.
