Insights

3 exciting small cap ASX shares for your watchlist

Nitro Software Ltd (ASX:NTO) and these small cap ASX shares could be worth watching very closely. Here’s what you need to know…
The post 3 exciting small cap ASX shares for your watchlist appeared first on The Motley Fool Australia. –

ASX share price on watch represented by surprised man with binoculars

Are you looking for some small cap ASX shares to add to your watchlist? Then you might want to take a look at the ones listed below.

Here’s why they are worth keeping a close eye on:

Audinate Group Limited (ASX: AD8)

Audinate is a digital audio-visual networking technologies provider best known for its industry-leading Dante audio over IP networking solution. This solution is used widely across a number of industries and is dominating the competition. For example, at the last count, the number of Dante enabled products manufactured by its customers was eight times greater than its nearest rival. Although the pandemic hit demand hard, it is rebounding strongly now. During the six months ended 31 December, Audinate reported revenue of US$11.1 million. This was flat on the prior corresponding (and COVID-free) period and up 19.5% on the second half of FY 2020.

Nitro Software Ltd (ASX: NTO)

Nitro Software is a software company that is aiming to drive digital transformation in organisations around the world. Its key solution is the Nitro Productivity Suite. This provides integrated PDF productivity and electronic signature tools to customers through a horizontal, software-as-a-service, and desktop-based software solution. Demand has been strong for the Nitro Productivity Suite, leading to the company guiding to annualised recurring revenue (ARR) of $39 million to $42 million in FY 2021. This represents year on year growth of 41% to 51.6%.

Over The Wire Holdings Ltd (ASX: OTW)

Over The Wire is a telecommunications, cloud, and IT solutions provider which has been growing at a solid rate in recent years. Positively, this has continued in FY 2021, with the company releasing a very strong half year update in February. For the six months ended 31 December, Over The Wire reported a 17% increase in revenue to $50.3 million and a 28% jump in EBITDA to $10.5 million. Positively, almost all of its revenue is now recurring, with recurring revenue growing 25% to $45.9 million.

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 February 15th 2021

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 AUDINATEGL FPO and Over The Wire Holdings Ltd. The Motley Fool Australia has recommended AUDINATEGL FPO, Nitro Software Limited, and Over The Wire Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post 3 exciting small cap ASX shares for your watchlist 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!