2 ASX growth shares tipped to return 20% to 77%

One offers the steadier growth story, while the other could deliver much greater upside if execution improves.

A number of ASX growth shares have fallen sharply over the past year.

I think some of those falls have created good opportunities for investors willing to take a longer-term view.

These are two I would be happy to buy today, with recent broker price targets suggesting potential upside of around 18% to 77%.

Smiling woman taking a video through a plane window with her phone.

Image source: Getty Images

ResMed Inc (ASX: RMD)

ResMed shares are trading around $30.55 today, down almost 28% on a 12-month basis.

I continue to like the long-term opportunity in sleep apnoea and respiratory care.

The company sells devices, masks, and software to help diagnose and treat sleep-related breathing conditions. Despite ResMed's size today, diagnosis and treatment rates remain relatively low globally, which leaves the business with plenty of room to keep growing.

ResMed has also recently agreed to sell its MatrixCare software business for US$400 million in cash.

Ord Minnett believes the sale makes sense because MatrixCare was complementary to the wider business rather than central to ResMed's focus on sleep apnoea and respiratory care.

The proceeds are expected to be returned to shareholders through an accelerated share buyback.

The broker has trimmed its earnings forecasts slightly following the sale, although the lower number of shares following the buyback should provide some offset.

Ord Minnett has a buy recommendation and a $36.20 price target. From today's share price, that points to potential upside of around 18%.

I think that would be a strong return from a business that still has a large global market ahead of it.

WiseTech Global Ltd (ASX: WTC)

WiseTech shares are currently trading around $35.24 after a very difficult period for investors.

Despite that weakness, I still like the long-term position of its CargoWise logistics software.

CargoWise is used by major freight forwarders and logistics companies around the world. Once software becomes deeply embedded in the day-to-day running of these businesses, switching to another platform can be expensive and disruptive.

WiseTech's FY26 result was broadly in line with Morgans' expectations, although CargoWise revenue growth of 11% was softer than the broker had hoped.

One positive was the progress WiseTech made on costs. The company delivered approximately US$115 million of annualised run-rate savings during FY26, which should help margins as the business moves through FY27.

Management expects revenue growth to be weighted towards the second half of the year as new initiatives begin contributing. Its underlying EBITDA guidance also points to margins returning towards 49% to 51%.

Morgans remains positive, retaining its buy rating and setting a $62.50 price target. From today's price, that suggests potential upside of approximately 77%.

Foolish takeaway

I would buy both of these ASX growth shares at current prices.

ResMed still has a long runway in sleep apnoea and respiratory care, while WiseTech could offer much greater upside if the business delivers on its plans and investor confidence starts to recover.

Neither investment is without risk, but I think the potential long-term rewards make both worth a closer look.

Motley Fool contributor Grace Alvino has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended ResMed and WiseTech Global. The Motley Fool Australia has positions in and has recommended ResMed and WiseTech Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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