Are you interested in adding some more ASX shares to your portfolio?
Three ASX growth shares that could be worth considering are listed below. Here's what you need to know about them:
Altium Limited (ASX: ALU)
The first ASX growth share to look at is Altium. It is a printed circuit board (PCB) design software provider which could be worth considering due to its leading position in a market exposed to the Internet of Things and artificial intelligence booms. The proliferation of electronic devices these markets are causing is expected to lead to increasing demand for its software over the next decade.
Bell Potter is positive on Altium and currently has a buy rating and $38.75 price target on its shares.
The broker has been pleased with Altium's shift to subscriptions and sees the company as a potential takeover target. In respect to the latter, it said: "Altium has already received an unsolicited takeover offer from Autodesk at $38.50 which was rejected. Our view is Autodesk's Fusion 360 platform is lacking a high powered ECAD offering so we believe Autodesk would still be very interested in Altium and may come back with a revised offer."
Aristocrat Leisure Limited (ASX: ALL)
Another ASX growth share to look at is Aristocrat Leisure. It is one of the world's leading gaming technology companies. It has bounced back strongly from the pandemic and appears to be winning market share from its rivals. Another positive is that its digital business, now called Pixel United, continues to grow strongly and generate significant recurring revenues.
Morgans is a fan of the company. It has an add rating and $48.00 price target on its shares.
The broker has previously noted that Aristocrat is "clearly excelling in the land based arena" and that its digital business is "well placed in the current environment with strong demand expected."
Life360 Inc (ASX: 360)
A final ASX growth share to look at is Life360. This growing technology company is responsible for the Life360 mobile app. This market leading app is for families and offers useful features such as communications, driver safety, and location sharing. As of its last update, the company's user base had reached over 30 million globally. This is generating significant recurring revenues and opens the door to material cross and upselling opportunities for its recently acquired businesses. These are wearables company Jiobit and items tracking company Tile.
Bell Potter is bullish on the company's future. It currently has a buy rating and $10.00 price target on its shares.
The broker said: "[Life360] remains a key pick and we believe has been oversold as, despite currently being loss making, has ample cash to fund it through to cash flow breakeven or positive in 2023 or 2024 while maintaining strong top line revenue growth and realising the synergy benefits from the recent Tile acquisition."
