There are some ASX growth shares that could be worth looking at during February 2021.
We're already entering the second month of the year. Opportunities are always changing.
Here are three ASX growth shares to consider:
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Pushpay Holdings Ltd (ASX: PPH)
Pushpay is an electronic donation business. It predominately helps facilitate digital payments to large and medium US churches.
The company has major goals for the long-term in the faith sector. It's aiming for a 50% market share whilst trying to reach US$1 billion of annual revenue.
The payments business recently announced that it had allocated an initial investment of resources into developing and enhancing the customer proposition for the Catholic segment of the US faith sector. Management said that this represented a significant milestone as Pushpay continues to execute on its strategy to become the preferred provider of mission critical software to the US faith sector.
COVID-19 has seen an acceleration of growth for the ASX share as people look for alternative ways to continue to give money to their church.
Pushpay also offers many tools to help with the church's administration. It also has a livestreaming option for the congregation for people that can't attend the church, perhaps because of COVID-19 restrictions.
The company recently increased its earnings before interest, tax, depreciation, amortisation and foreign currency (EBITDAF) guidance for FY21 to a range of US$56 million to US$60 million.
According to Commsec, the Pushpay share price is valued at 28x FY22's estimated earnings.
Bubs Australia Ltd (ASX: BUB)
The Bubs share price dropped back to Earth on Friday, reversing some of the gains made on Thursday in response to the company's trading update which showed a lot of growth in the second quarter of FY21.
Bubs generated quarterly gross revenue of $12.8 million, an increase of 36% over the first quarter of FY21, though it was down 12% on the prior year.
China cross border e-commerce (CBEC) sales were up 27% quarter on quarter and up 34% compared to the prior corresponding period.
Adult goat dairy gross revenue was up 45% quarter on quarter and up 25% against the prior corresponding period.
The Bubs infant nutrition portfolio, which represented 57% of the ASX growth share's second quarter's revenue, grew 27% compared to the FY21 first quarter.
Bubs said it was the fastest growing infant formula manufacturer across Woolworths Group Ltd (ASX: WOW), Coles Group Ltd (ASX: COL) and Chemist Warehouse, with combined retail scan sales at the checkout up 41% quarter on quarter and up 67% compared to the prior corresponding period.
Bubs also said that export sales to markets outside of China continued to get better, with sales rising 194% quarter on quarter and up 138% against the prior corresponding period.
On the corporate daigou trade channel front, it was still softer than pre-COVID levels, but it was up 122% compared to the first quarter of FY21.
Time will tell whether this is the start of a turnaround or not for Bubs.
Redbubble Ltd (ASX: RBL)
Redbubble is an e-commerce business that sells artist-produced products like wall art, phone cases, apparel, stationery and masks.
Joseph Kim from Montgomery Investment Management said: "While Redbubble has clearly been a "stay-at-home" trade, we believe the business has the opportunity to emerge a longer-term structural winner from COVID-19 should it capitalise in the recent spike in user and customer interest as a result of recent lockdown measures."
The ASX share's growth has continued into FY21. It reported that normalised marketplace revenue grew by 98% to $139.3 million, helping gross profit increase by 118% to $59.6 million and it generated $17.2 million of earnings before interest and tax (EBIT).
Mr Kim isn't the only person who believes in Redbubble's future. Redbubble CEO Martin Hosking said: "The strategic priority for the group now is to ensure we extend the market leadership we have established. We intend to invest in the customer experience to improve loyalty and retention and ensure long-term higher levels of growth. The company has the resources to undertake the anticipated investments and margin structure to ensure it can do so while remaining profitable."
