If you're looking to gain exposure to the small side of the market, then you might want to take a look at the ASX shares listed below.
Here's why these three small cap ASX shares could be ones to watch:
Image source: Getty Images
Carbon Revolution Ltd (ASX: CBR)
Carbon Revolution is an advanced manufacturing company. It designs, manufactures, and markets single piece carbon fibre wheels for motor vehicles. By manufacturing wheels this way, the company is able to reduce their weight materially. Management estimates that these weight savings can result in up to 40% reductions in inertia, which is a very big deal for car companies that are always looking for ways to make their vehicles more efficient. Among its customers are car giants such as Ford and Ferrari.
Damstra Holdings Ltd (ASX: DTC)
Damstra is a growing integrated workplace management solutions provider. Its cloud-based workplace management platform is used by businesses globally to track, manage, and protect their workers and assets. Damstra has been a solid performer over the last couple of years and has continued this strong form in FY 2021. During the first half of FY 2021, the company delivered a 29.6% increase in revenue to $13.3 million. Given that management estimates that its total addressable market will be worth US$20 billion by 2022, this gives it a very long runway for growth.
Pointerra Ltd (ASX: 3DP)
A final small cap to watch is Pointerra. It is a technology company focused on the global commercialisation of its unique 3D geospatial data technology. Pointerra provides a powerful cloud based solution for managing, visualising, analysing, and sharing massive 3D point clouds and datasets. This solves entrenched problems associated with digital asset management workflows and allows very large 3D datasets to be managed and analysed without the need for expensive and time-consuming high-performance computing. Management estimates that its market opportunity is currently worth an enormous $500 billion annually.
