Are you a fan of small caps shares like me? Then you may want to look at these exciting small caps.
Here’s what you need to know about them:
BlueBet Holdings Ltd (ASX: BBT)
BlueBet is a mobile-first online wagering provider. It allows users to bet on all Australian and international racing and sports through its website and app.
Like current market darling Pointsbet Holdings Ltd (ASX: PBH), it has been growing very strongly thanks to the increasing popularity of mobile sports betting. For example, over the last 12 months, BlueBet has doubled its customer numbers to ~90,000. This led to the company’s wagering turnover increasing 63% in 2020 to $266.3 million. This is forecast to grow a further 47% to $390.3 million in 2021.
Positively, management is confident that this trend can continue and believes it is well positioned to substantially grow its current ~1.2% share of the market in Australia.
In addition to this, the company is using some of the funds from its recent IPO to push into the US. In this massive market, the company plans to explore deals with casinos, sporting organisations, and media groups to run their sports books in joint ventures. Agreements in three states – Iowa, Virginia and Colorado – are well advanced.
Serko Ltd (ASX: SKO)
Another small cap to look at is this online travel booking and expense management provider. Serko offers two increasingly popular solutions. These are the Zeno Travel corporate travel tool and the Zeno Expense platform.
Zeno Travel provides AI-powered end-to-end travel itineraries, cost control and travel policy compliance to corporate customers. And Zeno Expense allows users to automate and streamline the expense administration function, identify out-of-policy expense claims, and prevent fraud.
Given its exposure to travel markets, demand for its offering has reduced during the pandemic. However, with travel markets beginning to recover, Serko is beginning to witness big improvements in its performance. It also has a game-changing deal with travel giant Booking.com that is expected to be a major boost when travel markets normalise.