2 of the best ASX stocks to buy now according to Morgans

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Want to add new items to your portfolio? Then you might want to check out the two stocks listed below that Morgans analysts have on their list of best ideas.

Here’s why its analysts are bullish on these ASX stocks:

Business Travel Management Ltd (ASX:CTD)

If you want exposure to the travel industry, then Morgans believe this business travel specialist is the way to go. The broker believes it is well positioned to grow over the medium term through acquisitions, its lower cost base and technology development.

Its analysts currently have an added rating and a price target of $25.65 on shares of Corporate Travel Management. Morgans commented:

CTD is our key pick in the travel industry. For investors who can take a medium-term view, we expect its share price to rise substantially as the company recovers from the COVID-affected travel downturn. In fact, CTD should be a considerably bigger business post-COVID, given that it made two highly accretive acquisitions during the recession. The company has also won many new contracts, implemented structural cost reduction opportunities and continued to develop its cutting-edge technology offering, which means it will need fewer staff in the future. CTD is well managed and has a strong balance sheet (no debt).

Domino’s Pizza Enterprises Ltd. (ASX: DMP)

Another ASX stock the broker is bullish on is pizza chain operator Domino’s. Morgans is positive on the company largely thanks to its store rollout plans. He notes that these plans will see the company double its network in existing markets over the next decade. It should also be noted that the company has recently entered new markets which are not reflected in these forecasts.

Morgans has an added rating and a $90.00 price target on Domino stock. It said:

DMP is the largest Domino’s franchisee outside the United States and one of the largest fast food companies in the world. This is an affordable option that has performed well historically, even in times of inflation or slowing economic growth. The engine of DMP’s growth is its ability to deploy new stores all over the world. It added 438 stores to its global network in the year to June 2022, a pace of expansion we expect to accelerate to nearly 600 in FY23. This will bring the total to nearly than 4,000 stores, i.e. four times more over a period of ten years. Over the next ten years, DMP plans to grow organically to reach 7,250 stores in the 13 countries in which it currently operates. This means that DMP expects to more than double in size by 2033, not counting future acquisitions.

Valerie J. Wallis