If you have a penchant for investing at the small side of the market, then it could be worth checking out the three small cap ASX shares in this article.
That's because they have been named as buys by analysts. Here's what they are saying about them, courtesy of The Bull.
Excite Technology Services Ltd (ASX: EXT)
Analysts at Red Leaf Securities are recommending this small cap ASX share as a buy this week.
It is a cybersecurity company offering comprehensive cybersecurity services, including threat prevention, managed cloud and IT services, specialist digital forensics, incident response, forensic investigations, and accredited training.
Red Leaf thinks its shares are undervalued, especially given its record month in September. It said:
EXT offers cybersecurity services, including threat prevention. We like its outlook in response to strategic acquisitions, improving financial performance and growth prospects. It achieved record monthly sales of $7.14 million in September 2025. The stock appears undervalued relative to its growth potential. With an expanding product suite and broader market reach, EXT is well-positioned for scalable growth, making it an appealing opportunity for investors seeking exposure to the cybersecurity and technology sector.
Firstwave Cloud Technology Ltd (ASX: FCT)
Another small cap ASX share that could be a buy according to analysts is Firstwave Cloud Technology.
It is a provider of enterprise-grade network management, automation, audit, and cybersecurity software. There are an estimated 150,000 organisations using Firstwave software across 178 countries.
Red Leaf Securities thinks it could be a top pick for investors with a high tolerance for risk. It said:
FCT is a global software company. The company's recent capital raising of $2.85 million is aimed at accelerating its shift to artificial intelligence-powered compliance management, leveraging its user base of more than 150,000 to unlock potential annual recurring revenue. On top of the capital raising, the company secured a $2.5 million loan facility, which further enhances financial flexibility amid supporting initiatives. Recently, trading below book value, FirstWave combines value and growth potential. The stock was trading at 1.2 cents on October 16. The stock suits investors, who have an appetite for risk and are seeking exposure to innovative cybersecurity solutions. Our company was involved in the capital raising.
Nexsen (ASX: NXN)
This small cap ASX biotech share has been given a buy rating by analysts at Medallion.
It is a new listing on the Australian share market and offers early-stage exposure to a genuine medical innovation story according to Medallion. It said:
This nano-biotechnology company is developing an innovative point-of-care diagnostic platform. NXN listed on the ASX on October 14, 2025, after raising $8 million in capital and issuing shares in the initial public offering at 20 cents each. The shares closed at 28 cents on October 14 and were trading at 30 cents on October 16. NXN is a first mover in rapid, lab quality diagnostics. Nexsen's most advanced product is the GBS Rapid Sensor for the detection of Group B Streptococcus in expectant mothers. The company's nanotech platform provides scale as it can be expanded across multiple diseases. On a path to commercialisation, Nexsen offers rare early stage exposure to a genuine medical innovation story.
