5 best performing ASX 200 tech shares of FY25

Some of the technology sector's biggest names led the charge in share price growth last financial year.

S&P/ASX 200 Index (ASX: XJO) tech shares had another ripper year in FY25.

The S&P/ASX 200 Information Technology Index (ASX: XIJ) rose by 23.9%, making it the second-best performer of the 11 market sectors.

If we add dividends, the gross total return for ASX 200 tech share investors was 24.2%.

This compares to a 9.97% bump for the benchmark ASX 200 and total gross returns of 13.8%.

So, which individual ASX 200 tech shares delivered the strongest price growth in FY25?

Let's find out.

Five people in an office high five each other.

Image source: Getty Images

Sector heavyweights outperformed in FY25

The fastest rising ASX 200 tech shares of FY25 are among the top 7 stocks by market capitalisation within the sector.

1. Technology One Ltd (ASX: TNE)

Enterprise software company TechnologyOne was the top share within the tech sector for share price growth in FY25.

Technology One shares ripped by 121% to close at $41.01 apiece on 30 June.

As my colleague James reports, TechnologyOne has a high-margin SaaS platform.

Most of its revenue comes from sticky customers in the government, education, and utility sectors. This provides both annual recurring revenue (ARR) and defensive earnings, which James points out is a rare combination in the tech sector.

UBS has a buy rating on TechnologyOne's shares with a 12-month share price target of $42.20.

2. Life360 Inc (ASX: 360)

Family location app provider Life360 was the tech sector's second-best performer in FY25.

The Life360 share price rose by 97% to close at $32.18 on 30 June.

In a recent newsletter, Blackwattle Large Cap Quality Fund portfolio managers Ray David and Joe Koh said Life360 has a bright outlook.

Greater penetration of both the US and global markets provides long-term growth opportunities for the company, along with a nascent advertising revenue stream and new categories for aged care and pet tracking.

And while still early in its growth trajectory, the company has already become cash flow positive, proving up its viability.

3. Codan Ltd (ASX: CDA)

Electronics solutions provider Codan is next on the top-performing ASX 200 tech shares list.

Codan designs and manufactures electronics solutions for government, corporate, NGO, and consumer clients worldwide.

The Codan share price lifted 67% to finish the financial year at $20.11.

This exceeded many brokers' recent price targets.

4. Xero Ltd (ASX: XRO)

Cloud-based accounting software provider Xero had a great year, with the share price rising 32% to $179.80.

In the final week of FY25, Xero announced the $2.5 billion acquisition of the US-based Melio bill payments platform.

As of March 2025, Melio had annualised revenue of US$187 million. Xero hopes the acquisition will help it grow in the US market.

UBS has a buy rating on this ASX 200 tech share with a 12-month price target of $215.

5. Megaport Ltd (ASX: MP1)

Megaport provides cloud and data centre connectivity services via a global network-as-a-service (NaaS) platform.

This ASX 200 tech share is benefiting from rising demand for data centres and artificial intelligence.

The Megaport share price ascended 29% to $14.44 in FY25.

Morgans has an accumulate rating on Megaport shares.

The broker has a 12-month target of $15.50 on this ASX 200 tech share.

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Life360, Megaport, Technology One, and Xero. The Motley Fool Australia has positions in and has recommended Xero. The Motley Fool Australia has recommended Technology One. 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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