S&P/ASX 300 Index (ASX: XKO) tech stock RPMGlobal Holdings Ltd (ASX: RUL) has been on a tear since shares hit one-year lows of $2.45 on 9 April.
During the Monday lunch hour today, shares in the mining software solutions provider are changing hands for $4.66 apiece.
That sees the RPMGlobal share price up a whopping 90.2% since 9 April. That's enough to turn an $8,000 investment into $15,216. In just five months.
We'll look at why the analysts at Taylor Collison expect more outperformance from the ASX 300 stock below.
But first…
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What's been driving the outsized RPMGlobal share price gains?
Taking a look back at the price charts, RPMGlobal shareholders recently enjoyed two days of seriously outsized gains.
The first came on 27 August, when the RPMGlobal share price closed the day up 17.2%, trading for $3.88 apiece.
That followed the post-market-close release of the ASX 300 tech stock's full-year FY 2025 results on 26 August.
Investors sent the share price flying after the company reported a 6% year-over-year increase in gross operating revenue to $76.7 million. On the bottom line, the company's net operating profit of $2.2 million was up 311% from FY 2024.
But investors would have done well to buy the small dip in the RPMGlobal share price the following day when the stock closed at $3.77 a share. Because after emerging from a trading halt on 1 September, the RPMGlobal share price rocketed 22.8% to close the day at $4.63.
This big leg up came after the ASX 300 tech stock reported it had received a Non-Binding Indicative Offer (NBIO) from United States heavy equipment giant Caterpillar Inc (NYSE: CAT).
Caterpillar lobbed a bid of $5.00 per share, which implies an Enterprise Valuation (EV) of $1.05 billion
RPMGlobal entered into an exclusivity arrangement with Caterpillar and the board said it would recommend shareholders vote in favour of the takeover proposal barring a superior proposal.
Which brings us back to why Taylor Collison expects more short-term outperformance ahead.
ASX 300 tech stock tipped for more outperformance
Taylor Collison maintained its outperform rating on RPMGlobal shares and a $5.00 price target, in line with Caterpillar's takeover bid.
That represents a potential upside of 7.3% from current levels.
"With further validation of the growth pipeline, and confirmed corporate interest, we maintain our outperform recommendation," the broker said of its outlook for the ASX 300 tech stock.
According to the broker:
We cannot be certain but consider it unlikely CAT would find reason for not submitting a BSID [binding scheme implementation deed] post due diligence. We suspect that anything materially significant would already have come to light. Management's 1st September investor call confirmed 25 confidentiality agreements had been signed, allowing parties access to the "data room"…
Significantly, the flagship AMT product, which presently makes up ~37% of RUL's ARR [annual recurring revenue], was originally created as a solution for CAT to manage maintenance contracts in 2002. With AMT still used today in both CAT and competing fleets globally, CAT's understanding of the offering is likely well established.
