MENU

Why this broker thinks Livetiles Ltd (ASX:LVT) is a buy

Moelis Australia has placed a buy rating on global technology company Livetiles Ltd (ASX: LVT) with a target price of 83c per share – Livetiles opened trading today at 65c.

The broker believes Livetiles is “executing as promised” with customer growth exceeding expectations with the sales pipeline for N3 looking “impressive” and Moelis anticipating first sales conversions in the current quarter.

Investors have been buoyed by Livetiles’ partnership with Microsoft and the appointment of a dedicated sales and marketing team to propel growth through FY19 with Livetiles annualised recurring revenues up 275% to $15 million at June 30.

Moelis is confident Livetiles can execute its growth strategy and has upgraded its revenue estimates across FY21 to FY23 by between 15% and 25%, but has flagged operating costs will likely increase in the first quarter of FY19.

Other tech shares to watch for growth include Citadel Group Ltd (ASX: CGL) as the demand for data security grows and ELMO Software Ltd (ASX: ELO) as opportunities open up in the cloud solutions space.

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 Atlassian.

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 Carin Pickworth 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 owns shares of Citadel Group Ltd. 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.

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.