The WiseTech Global Ltd (ASX: WTC) share price was a strong performer on Wednesday.
The logistics solutions software company's shares ended the day a sizeable 6% higher at $48.24.
Why did the WiseTech share price shoot higher on Wednesday?
There are a few potential reasons why the WiseTech share price is rising today. This includes a much needed rebound in the tech sector and a the release of a recent bullish broker note.
And while it is true that the company's shares are due to trade ex-dividend in the coming days, it seems highly unlikely that investors would be scrambling to get hold of shares purely for a 4.75 cents per share interim dividend. After all, with the WiseTech share price trading at $48.24, this represents a paltry dividend yield of less than 0.1%.
In respect to the tech rebound, the S&P ASX All Technology index had a strong day and rose a sizeable 2.4%. This was more than twice the return of the benchmark ASX 200 index.
As for the broker note. Last week Morgan Stanley retained its overweight rating but lifted its price target on the WiseTech's shares by a sizeable 43% to $50.00.
The broker was pleased with its first half performance and notes that management hinted that it could soon start making acquisitions again. Morgan Stanley estimates that WiseTech could have in the region of $1 billion to spend on bolt-on acquisitions.
The WiseTech share price is still down 19% in 2022 despite today's gain.
