MENU

Is Nearmap Ltd still a buy?

Nearmap Ltd (ASX: NEA) has been a standout performer over the past year and many believe the tech company will continue to deliver solid returns to its shareholders.

Nearmap provides governments and businesses with aerial imagery and is looking to expand its presence which currently includes operations in Australia and the United States.

Nearmap claims to have the “most current, high-resolution aerial imagery of urban and regional metro areas in Australia”.

The company states that the services it offers, available on a subscription basis, allow its customers to save time and money through a range of benefits such as those associated with replacing physical inspections with digital observations.

The company is showing little sign of slowing down, having announced on Thursday plans to expand into New Zealand where it claims to already hold imagery covering up to 72% of the population.

Investors appear to have responded positively to the news with Nearmap’s share price gaining almost 8% as the company’s market cap rose beyond $567 million on Thursday.

And some believe it’s not too late to jump on board Nearmap with its shares currently trading for about $1.55.

Last month Morgan Stanley analysts raised their price target on Nearmap shares to $1.80 as investors received Nearmap’s preliminary full-year results with enthusiasm.

The results suggest the company is growing with year-on-year increases in Annualised Contract Value (ACV).

Nearmap stated that its ACV balance as of 30 June 2018 had grown 41% on the prior corresponding period to $66.1 million.

The company is set to release its full FY2018 results next week.

Nearmap represents a lot of potential and it seems many are confident that potential will be achieved if the company’s high valuation is anything to go by.

Nearmap is certainly a share to watch but there’s better options in the ASX tech space such as Altium Limited (ASX: ALU) or Cochlear Limited (ASX: COH).

If you’re looking for something else, this could be worth your time…

The ASX small cap up 285% with no sign of stopping...

One Australian company has developed a state of the art device that's revolutionizing hospitals all over the world. Even better, this device is so profitable that the company rakes in 90% margins. That's a lot of cash. So no wonder the stock's up 285% since 2008 – with no signs of stopping...

To discover the name and code, simply click the link below. You'll discover our expert's #1 medical technology pick... and you can decide for yourself whether to get invested today.

Click here to claim your free report.

Motley Fool contributor Steve Holland has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Nearmap 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.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…

Including:

The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!