Shaw and Partners recently hosted its TechRise Conference where emerging ASX technology companies presented on their outlook.
I've had a look at a couple of the companies which the broker has flagged as having high potential for solid share price gains.
Let's have a look at what they're saying.
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Readytech Holdings Ltd (ASX: RDY)
This company provides cloud-based software-as-a-service products to the education, workforce, government and justice sectors.
The $170 million company posted first half revenues of $61.6 million, up 5.6%, with 84% of this coming in the form of subscription revenues.
Shaw and Partners said in their research note that Chief Executive Officer Marc Washbourne provided a "confident" update at the TechRise conference.
They added:
Management reaffirmed FY26 guidance, noting improving H2 pipeline conversion, stabilising churn and growing confidence margins have bottomed out. Incrementally, management became more explicit around portfolio rationalisation, while also positioning AI-driven engineering productivity and Orqestra's orchestration layer as potential step change enablers of faster development, lower costs and structurally improved margins over time.
Orqestra is an AI product which customers can use to, "access trusted insights through natural language prompts within their existing workflows, reducing reliance on traditional reporting and enhancing decision velocity" according to Readytech.
Shaw and Partners has a buy recommendation on Readytech shares and a $2.80 price target, compared with $1.34 currently.
Readytech shares have traded as high as $2.80 over the past 12 months.
Kinatico Ltd (ASX: KYP)
Kinatico shares are trading towards the lower end of their range over the past 12 months, but if the Shaw and Partners team are on the money, this is a buying opportunity.
The company provides software which businesses use to stay compliant across workforce management, and is also a software-as-a-service provider.
A key point from the company's TechRise presentation, Shaw said, was that the business had done the hard work building their platform, and could now reap the benefits.
As they said:
Commentary … reinforced the significant operating leverage potential of the platform, with management stating the business could 'double revenue and not change operating headcount,' while pushing back on 'SaaSpocalypse' concerns by positioning AI as a structural benefit underpinned by KYP's trusted compliance data and AI native architecture. AI-driven productivity gains are increasingly framed as a medium-term "step change" opportunity rather than theoretical upside
Shaw and Partners has a price target on Kinatico shares of 38 cents compared with 16 cents currently.
Kinatico is valued at $72.2 million.
