If I had $3,000 ready to invest in the share market today, I would focus on buying shares that I believe can grow earnings per share steadily over many years.
With that in mind, here are three ASX growth shares I would happily buy and hold.
Image source: Getty Images
Catapult Sports Ltd (ASX: CAT)
Catapult is a sports technology company that provides performance analytics and wearable technology used by professional sports teams around the world.
Its platform helps teams track player performance, analyse training loads, and reduce injury risk. What I like about this business is that once teams integrate the technology into their operations, it tends to become a core part of how they manage athletes.
The company now works with thousands of teams across major global leagues such as the AFL, NFL, NBA, and EPL, and the data-driven nature of modern sport means demand for performance analytics continues to grow.
As the business expands internationally and continues to develop new software capabilities, Catapult has the potential to increase both its customer base and revenue per team over time.
Netwealth Group Ltd (ASX: NWL)
Netwealth is one of the standout success stories in Australia's wealth management platform industry.
The company provides investment administration and portfolio management platforms used by financial advisers. As more Australians accumulate wealth and seek professional advice, demand for high-quality platforms continues to grow.
What has impressed me most about Netwealth over the years is its ability to consistently attract strong inflows from advisers and their clients. The platform has built a reputation for technology, service quality, and innovation.
Because the platform earns fees based largely on funds under administration, Netwealth benefits not only from new client inflows but also from rising markets and additional services over time.
That combination has helped drive strong and growing cash flow, and I believe the long-term opportunity in Australia's wealth management sector remains significant.
Codan Ltd (ASX: CDA)
Codan is a technology company that designs and manufactures specialised communications equipment and metal detection devices used around the world.
Its communications division supplies high-frequency radio systems used by governments, defence forces, and emergency services operating in remote or challenging environments. These systems are often mission-critical, which helps support steady demand and long-term customer relationships.
One area that I find particularly interesting is Codan's exposure to the unmanned systems market. Through its DTC division, the company supplies communications technology used in unmanned aerial vehicles and other unmanned systems. As drones and other unmanned platforms become increasingly important for defence, surveillance, and security applications, reliable communications equipment becomes essential.
Codan's metal detection business also continues to benefit from strong demand from gold prospectors around the world, particularly during periods of elevated gold prices.
With exposure to both specialised communications markets and metal detection, I see Codan as a company with multiple growth drivers that could support long-term expansion.
Foolish takeaway
Finding great growth shares often comes down to identifying businesses that are expanding their reach and building strong positions in their industries.
Catapult, Netwealth, and Codan are three companies that I believe have those characteristics, which is why they are the types of ASX growth shares I would be happy to buy and hold for the long term.
