市场见解

3 great ASX tech shares to buy

There are some really great tech shares on the ASX that could be worth looking at, like Betashares Asia Technology Tigers ETF (ASX:ASIA).
The post 3 great ASX tech shares to buy appeared first on The Motley Fool Australia. –

woman watching asx share price on digital screen

The ASX has some really good tech shares as potential investments. There are some individual businesses as well as portfolio options.

Businesses that are generating underlying growth have a good chance of producing capital returns over time.

That’s why these three ASX tech shares could be ones to think about:

Xero Limited (ASX: XRO)

Xero is one of the biggest and perhaps one of the best technology companies in the world.

It is carving out a position as a global market leader in cloud accounting. In Xero’s FY21, it achieved total subscriber growth of 20% to 2.74 million. That included 17% growth of UK subscribers to 720,000, 18% growth of North American subscribers to 285,000 and 40% growth of rest of the world subscribers to 175,000.

Xero is investing heavily for growth. It regularly tells investors it has a preference to re-invest cash generated to drive long-term shareholder value.

However, there are certain financial measures that show how profitable this ASX tech share is and how much profit it could make if it wasn’t investing so heavily. Its FY21 gross profit margin was 86%. Whilst operating revenue grew by 18% to NZ$848.8 million, free cashflow rose 110% to NZ$57 million.

Betashares Asia Technology Tigers ETF (ASX: ASIA)

This is an exchange-traded fund (ETF) that is focused on giving investors exposure to Asian technology businesses outside of Japan.

That means it ends up with holdings like Tencent, Samsung Electronics, Alibaba, Taiwan Semiconductor Manufacturing, Meituan, Pinduoduo, JD.com, Infosys, Sea and Netease.

There’s a total of 50 names in the portfolio, around half of the portfolio is based in China and another quarter is listed in Taiwan. A further 20% is in South Korea. India is the only other country with a meaningful weighting at 5.7%.

Despite the annual management fee cost of 0.67% per annum, it has been a very high-performing ETF. Since inception in September 2018, it has produced average net returns of 30.5% per annum.

The underlying Asian businesses continue to grow revenue at a pleasing pace which should help grow the value of the ETF over time.

Bailador Technology Investments Ltd (ASX: BTI)

This is an interesting ASX tech share. It’s run as a growth capital fund. It gives exposure to a portfolio of tech companies with global addressable markets. Bailador invests in private technology companies at the expansion stage.

It has a number of different investments in its portfolio currently, including SiteMinder, Instaclustr, Stackla, Straker Translations Ltd (ASX: STG), Rezdy and Brosa.

Bailador aims to be a long-term investor in the tech businesses when it first takes a position. Its investment normally helps that tech company deliver the growth that it’s trying to achieve.

One of its most recent success stories has been Lendi, which is currently merging with Aussie Home Loans. Bailador invested a total of $5.5 million into Lendi during 2016 and 2017. It got back $13.4 million from the investment with the merger, meaning it made 2.4 times its money at an internal rate of return of 21%.

At the current Bailador share price, it’s valued at a pre-tax net tangible tax (NTA) discount of around 11%.

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

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Xero. The Motley Fool Australia owns shares of and has recommended BetaShares Asia Technology Tigers ETF. The Motley Fool Australia has recommended Bailador Technology Investments Limited and Straker Translations. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post 3 great ASX tech shares to buy appeared first on The Motley Fool Australia.

随时随地,交易世界!

移动APP平台,拥有 12 个市场的 50,000 多种全球上市证券(全球市值超过 70%),直接在您的 Android 或 iOS 设备上即可操作。

与独有的交易理念和投资分析工具相结合,帮助您在我们 12 个全球市场中的几乎所有金融工具上找到可操作的见解,从而帮助您优化交易策略。

推荐给您的朋友

向您的朋友推荐Monex并赠予他们免费使用我们交易工具的机会

我们尊重您的隐私,只会向您的朋友发送一封邮件 

与您的朋友分享

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!