3 small cap growth shares on my shopping list

I think Australian investors are a lucky bunch when it comes to growth shares.

In my opinion, the local market has a plethora of quality growth shares of all sizes that investors could snap up today.

Three at the small end of the market that I like are listed below. Here’s why I think they are worth a closer look:

ELMO Software Ltd (ASX: ELO)

I think that this cashed up and debt free tech company could be one of the best options in the small cap space right now. The cloud-based talent management software solutions provider has been experiencing strong demand for its services over the last 12 months, leading to a sizeable increase in its profits. This puts it on course to achieve total revenue of $31.2 million and EBITDA of $5.7 million in FY 2018, up significantly year-on-year.

Gentrack Group Ltd (ASX: GTK)

I’m a big fan of this New Zealand-based billing and customer management software provider. Its software continues to grow in popularity in the airports, water, and electricity industries, with approximately 80 utilities and 110 airports using it globally. This strong demand has led to impressive growth in its recurring revenues. In FY 2017 recurring revenues grew 43% to NZ$42.8 million, accounting for almost two-thirds of its revenue.

Hub24 Ltd (ASX: HUB)

HUB24 is a fast-growing investment and superannuation platform provider which continues to impress. Last week the company reported a $595 million increase in net inflows onto its platform during the March quarter. This brought the total funds under administration on its platform to a massive $7.4 billion. Furthermore, based on the latest available data, HUB24 captured 13.9% of all net inflows in the December quarter, increasing its market share from 0.7% to 0.8% of total FUA. Due to the quality of its software, I expect more of the same over the next quarter and beyond.

Looking for even more ideas? Here are three more small cap growth shares to watch.

The Disruptors: 3 Revolutionary Aussie Companies to Back for 2018

We’re living in one of the most exciting times in investing history. Innovation and a booming culture of entrepreneurship are constantly creating new companies with the potential to make forward-thinking investors very rich. Now more than ever, one small, smart investment could make a huge difference to your wealth.

That’s why at The Motley Fool we’ve been scrutinizing the ASX to uncover the kinds of companies that we believe could turn into the next Cochlear or REA Group.

We’ve found three exciting companies that we believe re poised to perform in the new year. Click here to uncover these ideas!

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended ELMOSFTWRE FPO. The Motley Fool Australia has recommended GENTRACK FPO NZ. 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 Scott Phillips.

5 ASX Stocks for Building Wealth After 50

I just read that Warren Buffett, the world’s best investor, made over 99% of his massive fortune after his 50th birthday.

It just goes to show you… it’s never too late to start securing your financial future.

And Motley Fool Chief Investment Advisor Scott Phillips just released a brand-new report that reveals five of our favourite ASX stocks for building wealth after 50.

– Each company boasts strong growth prospects over the next 3 to 5 years…

– Most importantly each pays a generous dividend, fully franked.

Simply click here to find out how you can claim your FREE copy of “5 ASX Stocks for Building Wealth After 50.”

See the stocks now