WiseTech Global Ltd (ASX: WTC) has become one of the most difficult ASX growth shares for investors to judge.
The share price has fallen heavily, sentiment is weak, and confidence may take time to rebuild.
But I think long-term investors should be paying close attention.
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The valuation has changed
WiseTech shares are trading around $32.36. That compares with a 52-week range of $28.76 to $121.31.
In other words, the share price is still sitting much closer to its low than its high.
That does not necessarily make a stock cheap. But when a company still has strong long-term growth potential, a fall of this size can change the equation.
According to CommSec, consensus estimates suggest WiseTech could generate earnings per share of 93.8 cents in FY26, $1.47 in FY27, and $2.22 in FY28.
Based on the current share price, that puts the stock on a price-to-earnings ratio of around 34.5 times FY26 earnings, 22 times FY27 earnings, and 14.6 times FY28 earnings.
These multiples still require investors to believe in growth. But if WiseTech gets close to the FY28 forecast, the valuation looks very reasonable for a global software company with a large market opportunity.
Why the business still interests me
WiseTech is not selling software into a simple market. Global logistics is messy, fragmented, and full of moving parts. Freight forwarders and logistics operators deal with customs rules, shipping lines, airlines, warehouses, tariffs, documentation, compliance, tracking, and customer expectations across many countries.
That complexity is why software can become valuable. WiseTech's CargoWise platform helps customers manage more of that work through a single system. When software becomes embedded in daily operations, it can become difficult to replace.
I think that is the key to the investment case. WiseTech is not just trying to win casual users. It is trying to become core infrastructure for companies that move goods around the world.
If global trade continues to become more digital, automated, and data-driven, WiseTech should have a long runway.
Why the recovery may take time
The market is clearly not giving WiseTech the benefit of the doubt right now.
Part of that is because high-growth shares can be punished heavily when confidence turns. Part of it may also be because investors want more evidence that earnings growth will keep coming through, especially given AI disruption concerns and controversies surrounding its founder. It is hard to know how those headlines could affect customer perception, but they add another layer of uncertainty for investors.
Because of this, a recovery in the share price may not happen quickly. WiseTech needs to keep delivering, integrating acquisitions well, improving its platform, and showing that growth can translate into stronger profits.
But I think the market may now be too focused on the near-term disappointment and not focused enough on the long-term opportunity.
Foolish takeaway
I think now is a good time to buy WiseTech shares for patient investors.
The stock is still down around 70% from its high, sentiment is weak, and the recovery may take time. But the business operates in a huge global market where better logistics software can create real value.
If WiseTech can deliver anything close to the earnings growth currently forecast, today's valuation looks far too low to me.
This is not a low-risk buy. But for investors willing to look beyond current market negativity, I think WiseTech shares look very attractive.
