Technology shares have been among the biggest wealth creators on the Australian share market over the past decade.
The good news is that it isn't too late to gain exposure to this side of the market.
For example, listed below are three high-quality ASX tech shares that analysts think could be destined for big things in the future. Here's what you need to know about them:
TechnologyOne Ltd (ASX: TNE)
TechnologyOne develops enterprise resource planning (ERP) software used by governments, universities, and large corporates to manage everything from human resources to payroll.
What sets TechnologyOne apart is the stickiness of its customer base. Once organisations embed its cloud software, switching becomes extremely difficult. This has helped it achieve years of record profit growth and enviable margins.
But if you thought its growth was coming to an end anytime soon, think again! Management believes it is positioned to double in size every five years.
UBS is a fan of the company and has a buy rating and $44.50 price target on its shares.
WiseTech Global Ltd (ASX: WTC)
Another ASX tech share that could be a good option for a $5,000 investment is WiseTech Global.
It provides logistics software that powers global supply chains. Its flagship product, CargoWise, enables freight forwarders and logistics providers to manage shipments, customs, and compliance seamlessly across borders.
And while the last 12 months have been disappointing due to c-suite controversies, there's no diminishing the fact that this is a company with bucketloads of growth potential.
In light of this, investors buying at today's price could do very well over the next decade. The team at Morgans certainly thinks this is the case. It has a buy rating and $127.60 price target on its shares.
Xero Ltd (ASX: XRO)
Finally, Xero is the cloud accounting platform used by millions of small businesses and accountants worldwide. Its software automates invoicing, payroll, tax, and compliance, freeing up time for business owners to focus on growth.
The company has built a powerful ecosystem that connects small businesses, advisors, and financial institutions, making it difficult for competitors to dislodge. After a period of margin expansion and tighter cost control, Xero is now delivering stronger cash flow and rising profitability.
And with significant growth opportunities in the United Kingdom, North America, and Asia, Xero remains one of the ASX's most promising long-term growth stocks.
UBS also remains very bullish on this ASX tech share. It has a buy rating and $203.00 price target on its shares.
