According to senior account manager at Equithy, Andrew Shelby, tech stocks are a great option for many investors’ portfolios. In the last few decades, tech companies have been quite successful at delivering impressive results to investors. It’s why they commonly use the shorthand, FAANG, when referring to the top players in the game.
But Facebook, Amazon, and Google aren’t the only high-performing tech companies out there. In fact, there are some impeccable tech stocks on the ASX that investors should consider adding to their portfolio. Here are some of them according to Equithy senior account manager Andrew Shelby.
ASX:MP1 (Megaport Limited)
The company is a NaaS (network as a service) provider that’s currently developing a single connectivity platform. It specializes in providing other companies with a solution to connect production and management operations with supplier and partner networks. Since they offer services worldwide, they connect client businesses with major cloud-based platforms.
Despite being a well-known company on the ASX, it’s currently among the top shorted stocks. This is due to the fact that it continues to report losses. Based on an analysis by Equithy’s Andrew Shelby, the company’s spot price indicate its struggle to recover, as prices have plunged by over 70 percent each year after the pandemic. That being said, the rate of losses has fallen by 33 percent, while revenue has gone up by 39 percent as of late.
ASX:SLX (Silex Systems Limited)
As people look for methods to reduce their carbon footprint, it has prompted companies and governments to support sustainability campaigns. This includes the adoption of renewable energy forms and nuclear energy. Silex Systems Limited is currently testing laser technology that can help enrich uranium. Investors expect the company to see impressive rates of growth in the future as more countries turn to nuclear power.
Since the start of the year, Silex has been successful as its shares have surged to reach the highest point in a decade. Recently, they released their latest financial report, which includes their half-year financials. According to the report, revenue has gone up by 77.9 percent, and the company is also set to announce a capital raise.
XRO (XERO Limited)
Equithy senior account manager Andrew Shelby recommends this specific tech stock because of its impressive growth strategies. The company offers SaaS solutions to small and medium-sized companies, and it’s undergoing an expansion project in the US and UK.
Based on Xero Limited’s half-year report, revenue has increased by around 30 percent, while the rate of customer acquisition has gone up by 16 percent. Nevertheless, capital expenditure and operating costs are still growing. As a result, overall company losses are up by over 172 percent from the last period.
Of course, these tech stocks are just a few of the options that ASX provides. According Andrew Shelby from Equithy, these shares have showed great performance to prove their viability It’s to no wonder that many investors are opting for these stocks as a way to enter the tech market.