If you have room for some new portfolio additions in July, then it could be worth considering the three ASX growth shares listed below.
Here's what you need to know about these buy-rated shares:
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Lovisa Holdings Limited (ASX: LOV)
The first ASX growth share to look at is fast-fashion jewellery retailer Lovisa. It could be a top long term option due to its bold global expansion plans, which will be overseen by its relatively new CEO, Victor Herrero. He previously led Inditex (Zara, Pull & Bear and Massimo Dutti) in China, which could be a key market for the company in the future.
Morgans is very bullish on the company due to its massive store expansion potential. It highlights that "Lovisa now has 81 stores [in the US], representing 0.25 stores for every million people), compared to Australia with 158 stores, 6.15 stores for every million people." In light of this, the broker feels "we could be at the start of a period of remarkable expansion." Morgans has an add rating and $24.00 price target on its shares.
Megaport Ltd (ASX: MP1)
Another growth share to look at is this global leading provider of elastic interconnection services. Using software defined networking, Megaport's global platform allows users to rapidly connect their network to other services across the Megaport Network. After which, services can then be directly controlled by customers via mobile devices, their computer, or its open API.
Goldman Sachs is bullish on Megaport. It notes that the company has an "immense" $129 billion market opportunity and is forecasting very strong growth in the coming years. As a result, it has put a buy rating and $13.10 price target on its shares.
Readytech Holdings Ltd (ASX: RDY)
Another ASX growth share to look at is Readytech. It owns a portfolio of enterprise software businesses across several market verticals such as higher education and local government. These businesses operate in market niches that are under-served by both large and small enterprise software competitors. A testament to its quality is its high (and growing) levels of recurring revenue and ultra low churn levels.
Goldman Sachs is also bullish on Readytech. It expects the company to "continue to grow mid-teens organically while making accretive acquisitions." In light of this, the broker recently resumed coverage on its shares with a buy rating and $4.60 price target.
