Over the last three months the S&P/ASX 200 Info Tech has come under significant pressure and fallen approximately 11.5%.
While this is very disappointing, I believe it has created a buying opportunity for investors that missed out first time around.
Three ASX tech shares that I think have the potential to be market beaters in 2019 are listed below. Here's why I like them:
Altium Limited (ASX: ALU)
This electronic design software company has really caught the eye in recent years thanks to the success of its innovative PCB design software. Its award-winning software has been so successful that management is aiming for Altium to achieve market leadership in PCB design by 2020. It also expects to grow its revenue to at least US$200 million by then, up from US$140 million in FY 2018. With demand for PCB design software expected to surge in the coming years due partly to the Internet of Things boom, I feel confident the company will easily deliver on its targets.
Appen Ltd (ASX: APX)
Another tech share that I believe is positioned perfectly to deliver strong earnings growth over the next few years is Appen. It is a global leader in the development of high-quality, human annotated datasets for machine learning and artificial intelligence and counts some of the world's leading technology companies, automakers and governments as customers. Strong demand for its services from these blue chip customers has led to the company growing its earnings at a stellar rate over the last few years. The good news is that strong tailwinds are fuelling the need for AI data, potentially putting Appen in a great position to continue this trend for some time to come.
WiseTech Global Ltd (ASX: WTC)
Although WiseTech Global's shares trade on sky high multiples, I believe this logistic platform provider's strong long term growth potential means this premium is justified. In fact, just last month the company reiterated its guidance for annual EBITDA growth of between 31% and 37% in FY 2019. And given its leading position in a lucrative and growing market, I suspect growth of this level could be sustained for the foreseeable future, making it a great buy and hold option for investors with a higher than average tolerance for risk.
