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3 exciting small cap ASX shares that could be destined for big things

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At the small end of the Australian share market, there are a number of companies with the potential to grow materially in the future.

Three standouts are listed below. Here’s why they should be on your watchlist:

Damstra Holdings Ltd (ASX: DTC)

The first small cap to watch is Damstra. It is a growing integrated workplace management solutions provider. Damstra’s cloud-based workplace management platform is used by businesses globally to track, manage, and protect their workers and assets. Demand has been growing strongly in recent years and has continued in FY 2021. For example, during the first half of FY 2021, Damstra reported a 29.6% increase in revenue to $13.3 million. Pleasingly, this is still only a small fraction of an addressable market which is expected to be worth US$20 billion by 2022.

Mach7 Technologies Ltd (ASX: M7T)

Another small cap ASX share to watch is Mach7. It is a medical imaging data management solutions provider. Mach7’s software allows users to create a clear and complete view of the patient. This then helps them inform diagnosis, reduce care delivery delays and costs, and improve patient outcomes. This could become particularly important in the current environment, where telehealth services are growing rapidly in popularity, creating a need for this type of technology. According to management, the company’s total addressable market is estimated to be US$2.75 billion. This gives it a long runway for growth over the next decade.

Pointerra Ltd (ASX: 3DP)

Pointerra is a growing technology company with a focus on the commercialisation of 3D geospatial data. The company’s software allows users to manage, visualise, and share large digital 3D datasets with ease. This is because its clever software is able to extract vital information from the data that would otherwise take many hours to do. Management believes that its addressable market opportunity is currently worth a massive $500 billion annually. One notable shareholder is well-respected tech investor, Bevan Slattery.

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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 and recommends Damstra Holdings Ltd and MACH7 FPO. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Pointerra Limited. The Motley Fool Australia has recommended Damstra Holdings Ltd, MACH7 FPO, and Pointerra Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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