Are you interested in adding some ASX growth shares to your portfolio this month? If you are, you may want to look at the two listed below that have recently been named as buys by Goldman Sachs.
Here's what you need to know about these ASX growth shares:
IDP Education Ltd (ASX: IEL)
The first ASX growth share to look at is this leading provider of international student placement services and English language testing services. After a difficult couple of years, IDP has returned to form in FY 2022 with a 70% jump in first half net profit after tax to $52.9 million. Pleasingly, since then, trading conditions have continued to improve, setting IDP up for an equally strong second half. Looking further ahead, IDP appears well-placed to benefit from long-term structural growth in international student volumes and IELTS testing. Particularly given its major acquisition in India last year.
Goldman commented: "We forecast 68% 3yr EPS CAGR (FY21-FY24E). The stock looks relatively attractive as it's currently trading at a 12-mth fwd PE premium of 144% vs the ASX200 Industrials, which is below its historical average of 170%."
The broker currently has a buy rating and $35.50 price target on its shares.
Webjet Limited (ASX: WEB)
Another growth share that Goldman Sachs rates highly is online travel agent, Webjet. As with IDP Education, it has had a very tough couple of years because of the pandemic. However, Goldman Sachs expects Webjet to come out the other side in a stronger position.
The broker said: "WEB (Buy) remains our preferred call in this space due to the stronger outlook for the Bedbanks business in the longer term, favorable exposure to the growing online channel and the strong balance sheet offering the opportunity to explore bolt-on acquisitions as well as weather interim volatilities driven by COVID-19."
Goldman currently has a buy rating and $6.90 price target on Webjet's shares.