Morgans names 3 small cap ASX shares to buy

The broker has good things to say about these shares.

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If you have a higher than average tolerance for risk, then it could be worth considering some exposure to the small side of the market.

But which small cap ASX shares could be buys? Let's take a look at three that the team at Morgans is bullish on this month. They are as follows:

Airtasker Ltd (ASX: ART)

This small jobs marketplace provider could be a small cap ASX share to buy according to Morgans.

It was pleased with its performance in FY 2025 and believes that it is well-placed for further growth. Especially given the strong momentum it is experiencing in overseas markets. It said:

Airtasker's (ART) FY25 result was solid overall in our view, having achieved group revenue growth of A$52.6m (+13% on pcp), establishing strong momentum in its offshore marketplaces and achieving its FY25 guidance of being free cash flow positive for the full year.

We make only minor adjustments to our topline estimates across the forecast period (~-1%), however we still assume a 3 year ~15% revenue CAGR. Our DCF/multiples derived price target is unchanged at A$0.55. Buy maintained.

betr Entertainment Ltd (ASX: BBT)

This small cap betting company could be one to buy according to the broker.

It was pleased with its transformative year in FY 2025, which saw turnover rocket and its first profit.

In response, Morgans has boosted its estimates and is expecting another profit in FY 2026. It said:

BETR Entertainment (BBT) delivered a transformative FY25, marking its first full year of profitability underpinned by strong organic growth and seamless integration of acquisitions. Turnover rose 140% yoy to $1.42bn, with Gross Win up 147% to $196.2m and Net Win up 133% to $147.8m. Net Win margins held firm at 10.4% despite the onboarding of lower-margin customers, supported by structural margin gains from consolidating both businesses on the BBT platform.

Normalised EBITDA was $7.2m, a sharp rebound from $0.2m in FY24 and in line with expectations. With the release of results, we lift our underlying EBITDA and NPAT forecasts to $11.2m and $8.8m respectively in FY26. We retain our Buy recommendation, with our 12-month price target increased to $0.43 (from $0.42).

Clearview Wealth Ltd (ASX: CVW)

Finally, this life insurance company has been named as a small cap ASX share to buy by Morgans.

While its profits fell in FY 2025, it was largely in line with what the broker was expecting.

As a result, it continues to see plenty of value on offer with its shares at current levels. It explains:

CVW's FY25 group Underlying NPAT of A$32.3m (-8% on the pcp) was broadly in line with MorgansE (A$31.7m). Overall we saw this as a good result. CVW's recovery from the 1Q25 claims spike continued in 2H25 and FY26 NPAT guidance (at the mid-point) implies ~+40% growth on the pcp. We lower our CVW FY26F/FY27F reported EPS by -1%/-2% driven by slightly more conservative earnings and buyback assumptions. Our earnings changes are offset by a valuation roll-forward, with our price target largely unaltered at A$0.69 (previously A$0.68). With significant upside existing to our current price target (~+40%), we maintain our BUY recommendation.

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. The Motley Fool Australia has no position in any of the stocks mentioned. 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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