Insights

2 more small cap ASX shares to watch in 2021

Openpay Group Ltd (ASX:OPY) and this ASX small cap share will be on watch in 2021. Here’s what you need to know about them…
The post 2 more small cap ASX shares to watch in 2021 appeared first on The Motley Fool Australia. –

This week I have been looking at the small side of the market at shares that have been tipped to have big futures.

Continuing with that theme, here are two more small caps to watch in 2021:

Cluey Ltd (ASX: CLU)

Cluey is a recently listed education technology company. It landed on the ASX boards in December after raising $30 million at $1.20 per share. This gave it a market capitalisation of approximately $143.5 million. Since then, the Cluey share price has dropped below its offer price and closed the year at $1.10.

Cluey describes itself as an innovative edtech company. It integrates personal tutoring with its scalable technology platforms and utilises data and learning analytics to support the delivery of quality learning to thousands of Australian students.

The company recorded 52,700 learning sessions in the first quarter of FY 2021, up 338% on the same quarter in FY 2020 and up 41% compared to the prior quarter. It is expecting this strong growth to continue and to underpin a 218% increase in revenue to ~$15.5 million in FY 2021.

Openpay Group Ltd (ASX: OPY)

Openpay is a small buy now pay later provider that delivered strong sales and customer growth in 2020. Last month the company revealed that its total transaction value (TTV) in November reached a record of $35.7 million. This was driven by strong Black Friday and Cyber Monday sales, with the former representing the best day of trading in Openpay’s history.

At present the company operates in Australia and the UK, but has recently announced plans to enter the lucrative US market. If this expansion is a success, it could give its TTV a major boost in 2021.

One broker that is bullish on the company is Shaw and Partners. Its analysts have a buy rating and $5.00 price target on its shares at present. This is more than double the current Openpay share price of $2.26.

The broker points out that Openpay’s shares are trading at a significant discount to rivals such as Afterpay Ltd (ASX: APT) and Zip Co Ltd (ASX: Z1P).

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of ZIPCOLTD FPO. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post 2 more small cap ASX shares to watch in 2021 appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!