Key Insights on ASX Shares from Morgans
Investors are always on the lookout for new opportunities to diversify their portfolios. With this in mind, Morgans has provided its insights on several ASX-listed shares, offering a detailed analysis of each. Here’s what the broker is saying about these stocks and whether they’re worth considering.
ANZ Group Holdings Ltd (ASX: ANZ)
Morgans expressed some level of satisfaction with ANZ’s performance during the first quarter. The bank has made significant progress in reducing costs, but the broker noted that its full-year guidance remains unchanged. As a result, Morgans hasn’t seen any compelling reasons to be more optimistic and has assigned a sell rating along with a price target of $32.65.
The 1Q26 trading update suggested that ANZ was performing ahead of expectations for the first half of the year. However, this improvement was largely attributed to the speed of cost reductions, which may not significantly impact consensus expectations. Despite the positive aspects, Morgans highlighted that ANZ is currently trading at stretched valuations, with a P:TBV ratio of 1.8x, a PER of 16x, and a cash yield of 4.1%. Given the recent share price movement, the broker has downgraded its rating from TRIM to SELL.
Breville Group Ltd (ASX: BRG)
In contrast to its stance on ANZ, Morgans is much more optimistic about Breville. After a better-than-expected half-year result, the broker has issued a buy rating with a price target of $40.65. This implies a potential upside of approximately 50% from the current share price.
The 1H26 results showed double-digit sales growth of 10%, although this was partially offset by tariff costs. The net profit after tax (NPAT) remained flat, increasing by 1% on a per capita basis. Crucially, the FY26 EBIT growth guidance provides much-needed earnings visibility, which alleviates concerns about an extended transition period and improves confidence in the company’s ability to resume sustainable EPS growth from FY27 onwards.
Morgans continues to be impressed by Breville’s strong operational execution and the positive developments in the Food Prep segment. Additionally, there are medium-term tailwinds such as geographic expansion, espresso-related opportunities, new product development, and Best Buy developments. The broker maintains its buy recommendation.
Macquarie Group Ltd (ASX: MQG)
Morgans has a positive outlook on Macquarie Group, particularly following its third-quarter performance. However, due to the current valuation, the broker has only assigned a hold rating with a price target of $223.00.
During the third quarter, Macquarie hosted its annual operational briefing and released its 3Q26 update. The update was viewed as a solid performance, with market-facing businesses such as CGM and Macquarie Capital showing substantial improvements compared to the previous quarter. There was also an underlying upgrade to CGM guidance, although this was somewhat offset by an expected higher FY26 tax rate.
Morgans has raised its FY26F and FY27F EPS forecasts by +2% and +4% respectively, reflecting the more positive commentary on CGM. However, the higher expected tax rate has somewhat tempered this optimism. The target price has been increased to approximately $223, up from A$214. Despite this, the broker maintains its HOLD recommendation.
Additional Considerations
For investors looking to make informed decisions, it’s essential to consider various factors beyond just the broker recommendations. These include the company’s financial health, market trends, and overall economic conditions. While Morgans provides valuable insights, it’s important to conduct independent research and consult with financial advisors before making any investment decisions.
