If you're looking for small cap ASX shares to add to your watchlist, then I think the two listed below could be worth considering.
I think they could be among the most exciting shares at the small end of the market right now. Here's why they should be on your watchlists:
Aerometrex Ltd (ASX: AMX)
The first ASX small cap share to add to your watchlist is Aerometrex. It is a growing aerial mapping business specialising in aerial photography, LiDAR, and aerial imagery subscription services. It is arguably best-known for its MetroMap offering, which allows users to access high quality 2D imagery and 3D reality mesh models. This provides an easy-to-consume product for varied applications across a diverse range of industries.
In addition to this, the company has been developing new products and recently announced a new bush fire prevention product. This new technology can determine the exact fuel load densities in any bushfire prone region in Australia. Management believes the breakthrough could allow users to adopt a far more science-based and pre-emptive fuel load strike position ahead of this year's bushfire season. Given the importance of bushfire prevention, this development could give its sales a boost.
Audinate Group Limited (ASX: AD8)
Another small cap to look at is Audinate. It is a digital audio-visual networking technologies provider best known for its industry-leading Dante audio over IP networking solution. This product is used widely across a number of industries and has a clear lead over the competition.
In fact, management notes that the number of Dante enabled products manufactured by its customers is materially more than the nearest competitor. At the end of FY 2020, there were 2,804 Dante-enabled products on the market, which is eight times greater than rival Cobranet. I believe this bodes well for its growth over the coming years, once the pandemic passes.
