2 more ASX shares that are 'key picks' for Morgans

The broker has its eyes on these small cap stocks.

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On Tuesday, we looked at two ASX shares that Morgans has named as key picks following earnings season. You can read about them here.

Let's now take a look at two more shares that the broker is feeling bullish about right now. They are as follows:

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Camplify Holdings Ltd (ASX: CHL)

Morgans continues to believe that Camplify is severely undervalued by the market.

Camplify operates one of the world's leading peer-to-peer digital marketplace platforms, connecting recreational vehicle (RV) owners to hirers.

It was relatively pleased with its performance in FY 2024 and expects a stronger performance in the new financial year. It said:

Camplify's FY24 result was broadly in line with expectations. Gross transaction volumes (GTV) increased by 13% to A$165m (less than we'd forecast) but a higher-than-expected group take-rate saw revenue broadly in line with our estimate. Whilst the PaulCamper integration impacted bookings/revenue in the period, this is largely completed, with Camplify expecting a return to a more normalised performance in FY25.

Morgans has an add rating and $2.55 price target on its shares.

Airtasker Ltd (ASX: ART)

Another ASX share that has been named as a key pick for Morgans is Airtasker.

It is a small jobs marketplace with operations across Australia, the UK, and the United States. Commenting on its performance in FY 2024, the broker said:

Airtasker's results were in line with its quarterly update released in July. Its marketplace experienced a slight 3.5% decline in GMV yoy, totaling A$190.6 million, but there was a small improvement of 1.1% in the second half of FY24. Revenue grew by 6% to A$46.6 million, driven by better monetisation rates and a 6.6% increase in gross profit to A$44.5 million. Revenue from Airtasker Marketplaces rose 9.8% to A$38.1 million, thanks to a higher monetisation rate and reduced cancellations.

Its analysts were also pleased to see the company making good progress internationally. They add:

Offshore markets are growing, with the UK showing strong results after a brand campaign, with GMV up 35% in Q4 and annual revenue up 41%. The US market, with a cautious marketing strategy, saw a 9.4% increase in GMV and a 74% rise in revenue. Airtasker also announced two more media partnerships (following Ch4 in the UK as well as oOh!Media and ARN Media domestically), these being in the US to assist its ramp of brand awareness and initial platform scaling.

Morgans has an add rating and 52 cents price target on the company's shares.

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. has recommended Airtasker and Camplify. The Motley Fool Australia has recommended Camplify. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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