MENU

The Updater Inc share price is up 142% this year: Is it too late to invest?

In early trade the Updater Inc (ASX: UPD) share price has been amongst the biggest movers on the market.

At the time of writing its shares are up 9% to $1.09, bringing its year-to-date return to an enormous 142%.

Why have its shares jumped?

Firstly, for those that are not familiar with the company, Updater is a technology company that aims to build powerful tools to help people move houses in the United States.

This morning the company released data relating to its market penetration in the U.S. market.

According to the release, Updater’s estimated market penetration of quarterly moves processed for the second quarter of 2017 surpassed 11% of all household moves in the United States.

Not only is this an all-time high of 535,782 moves, but it is an impressive 29% increase on the first quarter of 2017.

As you can see below, the company has come a long way in the last two years, going some way to explaining the significant jump in its share price this year.

Source: Updater presentation

Should you invest?

I’ve been very impressed with Updater’s progress and believe it would have to be up there with the likes of GetSwift Ltd (ASX: GSW) and Big Un Ltd (ASX: BIG) as one of the best under-the-radar tech shares on the Australian share market.

Especially considering the recent success of its pilot program to prove the value of its software platform for full-service moving companies.

Management believes its success proves that the company is in a strong position to reinvent the process of booking and scheduling a full-service moving company.

Which is certainly a great position to be in, as an estimated US$9 billion is spent each year on local and interstate moving services in the United States.

In light of this, I feel Updater could be well worth considering as a buy and hold investment today.

In order to maintain a balanced portfolio with small-caps and blue-chips, I would suggest investors consider these high-flying growth shares as well.

Top 3 ASX Blue Chips To Buy In 2017

For many, blue chip stocks mean stability, profitability and regular dividends, often fully franked..

But knowing which blue chips to buy, and when, can be fraught with danger.

The Motley Fool's in-house analyst team has poured over thousands of hours worth of proprietary research to bring you the names of "The Motley Fool's Top 3 Blue Chip Stocks for 2017."

Each one pays a fully franked dividend. Each one has not only grown its profits, but has also grown its dividend. One increased it by a whopping 33%, while another trades on a grossed up (fully franked) dividend yield of almost 7%.

The names of these Top 3 ASX Blue Chips are included in this specially prepared free report. But you will have to hurry. Depending on demand - and how quickly the share prices of these companies moves - we may be forced to remove this report.

Click here to claim your free report.

Motley Fool contributor James Mickleboro owns shares of GetSwift Limited. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.