Due to the quality on offer in the tech sector, having a little exposure to this side of the market could be a great thing for a balanced portfolio.
With that in mind, I have picked out two top tech shares which have been rated as buys. Here's what you need to know about them:
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Afterpay Ltd (ASX: APT)
Afterpay is a payments company with a focus on the buy now pay later (BNPL) market.
Due to the increasing popularity of BNPL with both consumers and merchants, Afterpay has been growing at a rapid rate in recent years.
Positively, the company looks well-placed to continue its meteoric growth for the foreseeable future thanks to a number of factors. This includes its ongoing international expansion, increasing repeat usage, and new product launches. The latter includes the impending release of banking products via the Afterpay Money app.
One broker that is very positive on its future is Wilsons. The broker currently has a buy rating and $160.20 price target on its shares. Its analysts see huge opportunities for Afterpay in mainland Europe and the Asia-Pacific region.
Life360 Inc (ASX: 360)
Another ASX tech share to look at is app maker Life360. This San Francisco-based company provides families with a market leading app with a wide range of features.
These include real-time location sharing and notifications and driving safety features like Crash Detection and Roadside Assistance. The aim of its app is to remove uncertainty from modern life.
These features are clearly resonating well with families. At the last count, Life360 had more than 25 million monthly active users across 195 countries. And while the pandemic's impact on mobility has stifled its growth, it is largely expected to accelerate again once the crisis passes.
Bell Potter is a fan of the company and believes it has a bright future ahead of it. The broker currently has a buy rating and $6.00 price target on its shares.
