3 quality ASX tech shares to buy in August

Why I would buy WiseTech Global Ltd (ASX: WTC) and 2 other quality ASX tech shares right now

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The ASX share market may not be home to global tech giants Google and Apple, but a broad range of quality niche ASX tech shares have emerged over the past few years.

Here we examine 3 of these companies, that are all in my buy zone right now.

3 quality ASX tech shares to buy

WiseTech Global Ltd (ASX: WTC)

WiseTech Global develops and supplies software solutions to the global logistics industry. It has evolved to become a world leader in this field, with a customer base spanning 150 countries.

The WiseTech Global share price has grown strongly from when it was first listed on the ASX, back in November 2016. Since then, its share price has risen from $3.89, and is now trading at $21.23. That's more than a five-fold increase.

More recently, the WiseTech Global has lost some ground during the coronavirus pandemic. However, I believe the long-term prospects of WiseTech Global remain strong. I am confident that WiseTech Global is well-placed to tap into a growing global logistics market over the next decade.

Afterpay Ltd (ASX: APT)

Buy now, pay later provider Afterpay has been on a fast-growing expansion strategy over the past few years. Despite increasing competition from the likes of Openpay Group Ltd (ASX: OPY) and  Zip Co Ltd (ASX: Z1P), Afterpay appears to have established a position as the largest local provider in this growing market.

Afterpay is now focusing heavily on growing its operations overseas. In late May, the company reached the milestone of 5 million customers in the US market. A fast growth in its customer base has translated into very strong share price growth in recent months. The Afterpay share price has risen from $8.90 in late March to now be trading at $70.90.

Megaport Ltd (ASX: MP1)

Megaport provides a 'network as a service' offering that enables enterprises to increase or decrease their fixed broadband bandwidth according to individual requirements.

This ASX tech share continues to grow its diverse customer base across the Asia Pacific, Europe and North America regions. Recent revenue growth has been very strong. Total revenue increased by 70% during the first half of FY 2020. The Megaport share price has risen strongly over the past 12 months from $6.76 to currently be trading at $13.41.

Foolish Takeaway

WiseTech Global, Afterpay and Megaport are 3 ASX tech shares that are all in my buy zone right now. All three companies have strongly established positions in the market niches and strong 5-year growth prospects.

Phil Harpur owns shares of AFTERPAY T FPO, MEGAPORT FPO, and WiseTech Global. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and recommends MEGAPORT FPO. The Motley Fool Australia owns shares of AFTERPAY T FPO and WiseTech Global. The Motley Fool Australia has recommended MEGAPORT 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.

More on Share Market News

three men stand on a winner's podium with medals around their necks with their hands raised in triumph.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a happy end to the trading week this Friday.

Read more »

A man holding a cup of coffee puts his thumb up and smiles while at laptop.
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A business person directs a pointed finger upwards on a rising arrow on a bar graph.
Share Gainers

3 ASX 200 stocks storming higher in this week's sinking market

Investors have sent these three ASX 200 stocks soaring this week. But why?

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Market News

Why Aeris Resources, Netwealth, Nova Minerals, and Paragon Care shares are dropping today

These shares are under pressure on Friday. Let's find out why.

Read more »

Two smiling work colleagues discuss an investment at their office.
Share Gainers

Why 4DMedical, Develop Global, EOS, and Maas shares are racing higher today

These shares are ending the week on a high. But why?

Read more »

A man leans forward over his phone in his hands with a satisfied smirk on his face although he has just learned something pleasing or received some satisfying news.
Share Market News

Downer EDI wins $870m NZ highway maintenance contracts: What investors need to know

Downer EDI wins major New Zealand state highway maintenance contracts worth NZ$870 million, expanding its infrastructure portfolio.

Read more »

A young woman lifts her red glasses with one hand as she takes a closer look at news about interest rates rising and one expert's surprising recommendation as to which ASX shares to buy
Broker Notes

Ord Minnett names 2 ASX 200 shares to buy for massive returns

The broker sees a lot of value in these big names. Here's what it is recommending.

Read more »

Six smiling health workers pose for a selfie.
Healthcare Shares

Up 657% in a year, 4DMedcial shares rocketing another 20% today on big US news

ASX investors can’t get enough of 4DMedical shares today. Let’s see why.

Read more »