If you have a high tolerance for risk, then it could be worth listening to what Bell Potter is saying about the ASX shares named below.
Here's what the broker is recommending to clients this week:
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Adveritas Ltd (ASX: AV1)
Adveritas is a technology company that develops software solutions for enterprise customers which help maximise the return on digital ad spend.
Bell Potter is expecting the ASX share to deliver another strong update this month. In fact, it is expecting its annual recurring revenue (ARR) to double on the prior corresponding period. It said:
We expect another solid quarter when Adveritas releases its Quarterly Activities Report & Appendix 4C towards the end of this month though we do see some potential headwinds from both contract delays – due to macro uncertainty – and/or unfavourable currency movements. We forecast ARR of c.$16m at 31 March which is up 11% q-o-q and >100% y-o-y.
Bell Potter has retained its buy rating and 20 cents price target on its shares. This is more than double its current share price. Commenting on its buy recommendation, it said:
There are no changes in the key assumptions we apply in the two valuations used to determine our target price (5x multiple in the EV/Revenue and 10.1% WACC in the DCF). With no change in our forecasts there is, therefore, no change in our target price of $0.20 and we retain our BUY recommendation.
We continue to see multiple growth levers for the company including the cross-sell of Meta and Affiliate products to existing customers, the expansion into new verticals (such as eCommerce) and the recent launch of the self-serve platform (which better addresses the SME market). The negative perhaps is the modest cash balance of c.$6m though the company is near or around cash flow breakeven so in our view is not necessarily cum an equity raise.
EMvision Medical Devices Ltd (ASX: EMV)
Another ASX share that could have major upside potential is EMvision.
It is a medical device company focused on the development of a portable, cost-effective, non-ionising and safe brain scanner which is capable of rapidly determining the presence of suspected stroke and stroke type to provide game-changing insights for clinicians.
Bell Potter has been pleased with its operational progress and highlights positive developments with its ongoing trial. It explains:
Eight leading hospitals are now actively recruiting, even on an after-hours basis. To date there have been no device-related adverse events. A full trial progress update is expected later this quarter. In a positive sign, one of the trial participants, Memorial Hermann recently presented EMV's technology at the NABI-Con. Addressing the unique and compelling way EMV's technology utilises AI for PoC stroke diagnosis.
Bell Potter has retained its speculative buy rating and $3.15 price target on its shares. This is approximately double its current share price. The broker commented:
CY26 is a pivotal year for EMV with an expected successful completion of the current validation trial, leading to potential FDA De Novo clearance by CY27. This will be a critical value inflection point for EMV and is expected to be supported by the various First Responder feasibility studies, with updates during CY26.
