3 exciting small cap ASX shares to watch

Pointerra Ltd (ASX:3DP) and these small cap ASX shares could be worth watching very closely in 2021. Here's what you need to know…

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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 that investors might want to get better acquainted with are listed below. Here's what you need to know about them:

ASX share price on watch represented by surprised man with binoculars

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Bigtincan Holdings Ltd (ASX: BTH)

The first small cap to watch is Bigtincan. It is a provider of enterprise mobility software to sales and service organisations. This platform allows users to increase sales win rates, reduce expenditures, and improve customer satisfaction through improved mobile worker productivity.

The company has been a strong performer so far in FY 2021. As a result, management advised that is on course achieve the top end of its annualised recurring revenue (ARR) guidance range of $49 million to $53 million this year. This will be a 48% increase on FY 2020's ARR of $35.8 million.

PlaySide Studios Limited (ASX: PLY)

Another small cap ASX share to look at is PlaySide Studios. It is one of the largest independent video game developers in Australia. The company has a growing portfolio of developed games, including ones based on its own original intellectual property and those of Hollywood studios such as Disney.

During the first half of FY 2021, PlaySide reported record first half sales revenue of $5 million. This was up 63% on the prior corresponding period. This is still only a very small slice of its global market opportunity.

Pointerra Ltd (ASX: 3DP)

Another small cap to look at is Pointerra. It is a leading provider of a cloud-based solution for managing 3D point clouds and datasets. Its technology solves problems in the digital asset management workflows and allows 3D datasets to be used without the need for performance computing.

Management estimates that it has a global market opportunity worth an enormous $500 billion annually. This gives Pointerra a very long runway for growth over the 2020s and beyond.

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 BIGTINCAN FPO. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Pointerra Limited. The Motley Fool Australia has recommended BIGTINCAN 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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