Why I'd put $20,000 in these ASX shares this month

Detailed summary

Three businesses have caught my attention for different reasons, and I'd be happy considering them for a long-term investment. The post Why I'd put $20,000 in these ASX shares…

If I had $20,000 to invest in ASX shares this November, there are a few businesses I'd be looking at closely.

I think the best opportunities come from companies with strong competitive positions, opportunities to grow earnings, or share prices that don't fully reflect their long-term potential.

The first share I'd buy is Commonwealth Bank, which I think remains one of the highest-quality businesses on the ASX.

Its enormous customer base gives it a strong position in Australian banking, with around one in three Australians considering CBA their main financial institution.

And I believe that scale provides some valuable advantages. CBA can spread its technology and operating costs across millions of customers, invest heavily in improving its services, and use its established relationships to grow lending and deposits.

We're already seeing the benefits. In FY26, CBA increased cash profit by 7% to almost $11 billion and generated an impressive return on equity of 14%. And its latest quarterly update, released today, showed that momentum continuing, with cash profit increasing 8% to approximately $2.8 billion.

I think that's an excellent result for a bank of its size. Of course, its shares remain expensive compared with the other major banks.

However, I believe CBA's strong competitive position and ability to consistently generate high returns justify paying a premium.

Another ASX share I'd consider buying is James Hardie. Its shares experienced a sharp sell-off last week after management warned that US housing conditions would remain challenging.

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