Heat olive oil in a large deep skillet or Dutch oven over medium heat.
Add the Italian sausage, breaking it up with a spoon, and cook until browned and cooked through, about 5-7 minutes.
Add the chopped onion and minced garlic to the skillet with the sausage and cook until the onion is translucent, about 3 minutes.
Add the penne pasta, chicken broth, water, salt, and black pepper to the skillet. Stir to combine.
Bring the mixture to a boil, then reduce heat to medium-low and simmer uncovered, stirring occasionally, for 8 minutes.
Add the asparagus pieces to the skillet and continue to cook for another 5 minutes or until the pasta is al dente and the asparagus is tender but crisp.
Remove the skillet from heat. Stir in the lemon zest, lemon juice, chopped basil, and grated Parmesan cheese until well combined.
Taste and adjust seasoning with additional salt and pepper if needed.
Serve immediately, garnished with extra basil or Parmesan if desired.