MENU

5 exciting small cap shares to watch in December

Ten years ago today the Altium Limited (ASX: ALU) share price was trading at just 24 cents. At this point the electronic design software company was a small cap share flying under the radar of the majority of investors.

Today the Altium share price is a whopping 94 times higher at $23.00 and part of a well-known group of tech shares known as WAAAX.

Any investors that were lucky enough to invest $10,000 into its shares 10 years ago would have seen their investment grow to be worth a staggering $940,000 today. And that doesn’t even include the many dividends the company has paid during the period.

While success stories like Altium are certainly rare, I believe that they are possible in the tech industry if the software is good enough and market opportunity is big enough.

With that in mind, here are five small cap tech shares that I think are worth watching closely in the future:

Catapult Group International Ltd (ASX: CAT)

Catapult is a sports analytics and wearables company which counts some of the biggest and most successful sports teams amongst its client base. Its financial performance has underwhelmed over the last couple of years but there have been signs of improvements in recent months.

Citadel Group Ltd (ASX: CGL)

Citadel is a software and services company specialising in information and data management. Its key offering is its Citadel-IX cloud-based enterprise information management platform which allows users to securely access and transfer proprietary and sensitive information remotely.

ELMO Software Ltd (ASX: ELO)

ELMO Software is a fast-growing provider of cloud-based human resources and payroll software solutions in the ANZ region. Strong demand means that it recently posted a 91% increase in quarterly cash receipts on the prior corresponding period to $10.3 million.

LiveTiles Ltd (ASX: LVT)

LiveTiles is a software company offering a digital workplace platform designed to increase collaboration and efficiency among users. It has been growing at an incredible rate over the last 12 months thanks partly to its close ties with US tech giant Microsoft.

Volpara Health Technologies Ltd (ASX: VHT)

Volpara provides a breast imaging analytics and analysis software which has captured a growing slice of the U.S. breast screening market. At the last count its high quality software had a 5.4% share of the U.S. market, with management targeting a 9% share by the end of the financial year.

Top 3 ASX Blue Chips To Buy For 2019

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 2019.

Each one pays a fully franked dividend. The names of these Top 3 ASX Blue Chips are included in a 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.

See the 3 blue chip stocks

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of ELMOSFTWRE FPO. The Motley Fool Australia owns shares of and has recommended Catapult Group International Ltd and VOLPARA FPO NZ. The Motley Fool Australia owns shares of Altium and Citadel Group Ltd. The Motley Fool Australia has recommended ELMOSFTWRE FPO. 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.