3 excellent ASX growth shares for September

These growth shares are worth watching closely…

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If you’re looking for some growth shares to add to your portfolio next month, then you might want to look at the ones below.

Here’s what you need to know about these highly rated ASX growth shares:

Life360 Inc (ASX: 360)

The first ASX growth share to look at is Life360. It is the growing technology company behind the Life360 mobile app. This is a market leading app for families offering useful features such as communications, driver safety, and location sharing. Life360 has also recently expanded into the wearables market via the acquisition of Jiobit. This increases its total addressable market and opens up cross selling opportunities. And there certainly are a lot of users to cross-sell to. At the end of the first half, the company’s Global Monthly Active User (MAU) base reached 32.3 million, up 28% year on year. This underpinned a 36% increase in Annualised Monthly Revenue (AMR) to US$105.9 million.

Credit Suisse currently has an outperform rating and $10.00 price target on Life360’s shares.

Pushpay Holdings Group Ltd (ASX: PPH)

Another ASX growth share to consider is Pushpay. It is a leading donor management and community engagement platform provider for the faith sector. Thanks to the digitisation of the church, the shift to a cashless society, and its industry leading technology, Pushpay has been growing strongly over the last few years. For example, in FY 2021 the company delivered a 40% increase in operating revenue to US$179.1 million and a 133% increase in EBITDAF to US$58.9 million. And while its growth will moderate in FY 2022, its long term outlook remains very positive. Particularly given recent acquisitions which are bolstering its offering and opening up new markets.

At present, Ord Minnett has a hold rating on Pushpay’s shares. But its $1.90 price target offers over 11% upside.

Temple & Webster Group Ltd (ASX: TPW)

A final ASX growth share to look at is this online furniture and homewares retailer. It has been growing at a very strong rate in recent years thanks to the shift to online shopping. For example, in FY 2021, the company posted an 85% increase in revenue to $326.3 million and a 141% jump in EBITDA to $20.5 million. It has also just released a trading update which reveals that FY 2022 has started strongly. Between 1 July and 27 August, Temple & Webster’s sales were up 49% over the prior corresponding period. Positively, with online furniture shopping still in its infancy compared to other retail categories, the company appears well-positioned for further strong growth over the next decade as online penetration rates increase.

Morgan Stanley is very positive on the company. It has an overweight rating and $16.00 price target on the company’s shares.

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Motley Fool contributor 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 has recommended Life360, Inc., PUSHPAY FPO NZX, and Temple & Webster Group Ltd. The Motley Fool Australia owns shares of and has recommended PUSHPAY FPO NZX. The Motley Fool Australia has recommended Temple & Webster Group Ltd. 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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