Following a surprising and fairly volatile 2025, this is an opportune time to assess ASX share opportunities and make informed investments.
Investing in the Vanguard Australian Shares Index ETF (ASX: VAS) is certainly not a bad option, but I believe there are plenty of options that could outperform the S&P/ASX 300 Index (ASX: XKO) over the long term.
If I had $10,000 (or more) to invest in up to ten ASX shares, then I'd be very excited to buy the following names, which include ASX growth shares, ASX dividend shares, and exchange-traded funds (ETFs).
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L1 Group Ltd (ASX: L1G)
This is a relatively new name on the ASX, having acquired the funds management business Platinum. L1 Group itself is a fund manager with an impressive track record of fund performance across its main strategies.
Its ability to outperform by focusing on businesses with good cash flow and lower price-earnings (P/E) ratios is impressive and sets it up well for organic funds under management (FUM) growth in 2026. Its track record is also useful for attracting new fund inflows.
I believe this ASX share appears undervalued based on its long-term potential.
Siteminder Ltd (ASX: SDR)
Siteminder offers software to hoteliers that enables them to manage their operations and generate the strongest level of revenue from their rooms.
The ASX share is gaining traction globally, with a recent effort to attract larger hotels as subscribers.
Due to the software nature of the business (with low incremental costs), new revenue is quickly boosting its operating profit and cash flow. The ASX share is targeting 30% annual revenue growth, which would be excellent for boosting the company's value if it achieves it, partly by selling more modules (from its new smart platform) to subscribers.
The SiteMinder share price appears particularly attractive after dropping in recent months.
TechnologyOne Ltd (ASX: TNE)
TechnologyOne is another software business that has dropped in value in the last few months. It provides important software for the operations of companies, governments, local councils, and universities.
The company is investing around 25% of its revenue in improving software for existing and new clients, which helps the business deliver 15% organic revenue growth each year from its existing subscriber base – this is known as net revenue retention (NRR).
By growing at a rate of at least 15% per year, it should double in approximately five years, which is a strong tailwind for earnings. I'm expecting ongoing profit growth in the teen percentage range as it grows its profit margins and expands in the UK.
Washington H. Soul Pattinson and Co Ltd (ASX: SOL)
Soul Patts is an investment conglomerate that has expanded its portfolio significantly over the past century. It has a diversified asset base across private and public businesses, property, and credit.
By focusing on a long-term investment strategy and investing at good value, I think Soul Patts can continue its outperformance of the ASX 300 over the long term. As a bonus, it has increased its dividend every year since 1998, which is a tremendous record.
Xero Ltd (ASX: XRO)
Xero is a global success story, with the accounting software business reaching over 4 million subscribers from countries like New Zealand, Australia, the UK, and the US.
The Xero share price has dropped by more than a third (at the time of writing) over the past six months, making it a lot cheaper for prospective investors. The business is still winning subscribers at a good pace, achieving a higher average revenue per user (ARPU) largely thanks to price rises. It also has excellent subscriber loyalty, and it's rapidly expanding profits.
In five years, I believe the business could be significantly more profitable, partly due to its gross profit margin of nearly 90%.
Guzman Y Gomez Ltd (ASX: GYG)
GYG is one of the leading quick service restaurant (QSR) operators in Australia. This Mexican food business aims to expand to 1,000 locations in Australia over the next two decades and is currently considering adding between 30 and 40 new locations annually in the country.
Growing scale is expected to help the business deliver stronger profit margins while boosting revenue.
Guzman Y Gomez is also achieving solid double-digit network sales growth in Asia (Singapore and Japan) – I think the market may be underestimating how much the ASX share can grow in the region over the long term.
Temple & Webster Group Ltd (ASX: TPW)
The online retailer of furniture and homewares is growing revenue in double-digit percentage terms each year, though recent trading disappointed the market.
It's the type of business that could see significant operating leverage as it grows larger because its fixed costs are not growing (much), so the business expects its margins to significantly increase over time.
I think this ASX share has a very promising future as more Australians (and New Zealanders) adopt online shopping. It also has a compelling future with its home improvement product range, which is growing faster than the core range.
Global X S&P World EX Australia Garp ETF (ASX: GARP)
This is one of my favoured ETFs right now because of how it selectively invests in some of the most promising businesses at a good price.
It invests in a few hundred global stocks that are trading at an attractive value (based on their earnings), while also considering the pace of revenue and profit growth, as well as their debt levels and return on equity (ROE).
With how the GARP ETF is set up, I think it has an excellent shot of outperforming the ASX 300 over the long term.
VanEck Morningstar Wide Moat ETF (ASX: MOAT)
The MOAT ETF seeks to identify some of the best US businesses based on their economic moat.
The fund wants to find businesses that have competitive advantages that are likely to allow the business to generate good profits for at least 20 years. But, it only invests when the businesses are trading at attractive value.
I believe this strategy is capable of outperforming the ASX 300 over the long term, as it has done; however, past performance is not a guarantee of future results.
MFF Capital Investments Ltd (ASX: MFF)
MFF is best known as a listed investment company (LIC), though it also operates a funds management business (called Montaka) after acquiring it.
The ASX share owns a portfolio of global blue chips, including some of the US tech giants, that the investment team expect to deliver solid, compounding long-term returns for shareholders.
MFF has also committed to growing the dividend to shareholders over time, making it a pleasing option for income investors, too.
