I think it is fair to say that WiseTech Global Ltd (ASX: WTC) shares have gone through a difficult period.
While this is disappointing, I think the recent weakness has created an attractive buying opportunity.
In fact, with its shares trading at $41.48, I'd be happy to invest $10,000 in this beaten-down technology company.
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Why I'd buy WiseTech shares
There's no denying that WiseTech has been dealing with significant uncertainty. Governance controversies, regulatory investigations and concerns about its acquisition of e2open have all weighed on investor confidence.
However, I think it is important to distinguish between the challenges facing the company and the underlying quality of its business.
WiseTech's CargoWise platform remains deeply embedded in the operations of freight forwarders and logistics providers around the world.
One figure that stands out to me is its customer attrition rate. According to August's FY 2026 results release, annual customer attrition for CargoWise has remained below 1% for more than 14 years.
I think that's a massive achievement and demonstrates just how difficult it is for customers to walk away from software that handles essential parts of their operations.
This gives WiseTech a valuable foundation from which to grow, even as it works through its current challenges.
I'm also pleased with the progress being made with e2open. WiseTech achieved US$64 million in annualised cost savings from the business during FY 2026, exceeding its original FY 2027 target.
Management is now forecasting underlying EBITDA of US$725 million to US$780 million in FY 2027, which represents growth of 12% to 21%.
Are WiseTech shares cheap?
At the time of writing, WiseTech shares are fetching $41.48. Based on current consensus earnings per share estimates of $1.46 for FY 2027, this means they are trading on a PE ratio of approximately 28 times forward earnings.
That might not sound especially cheap, but the forecasts improve considerably over the following two years.
Analysts are expecting earnings per share to increase to $1.93 in FY 2028 and then $2.40 in FY 2029.
If these forecasts prove accurate, WiseTech's earnings will grow at an average of approximately 28% per annum between FY 2027 and FY 2029.
I calculate that this gives the shares a price-to-earnings-to-growth (PEG) ratio of approximately 1.0, based on their FY 2027 earnings multiple.
It also means the shares are trading on just 17.3 times forecast FY 2029 earnings. I think that's an attractive valuation for a business with WiseTech's market position and long-term growth opportunities.
Of course, those forecasts aren't guaranteed and a lot could change between now and then. The e2open integration still carries risks, and artificial intelligence (AI) could cause some disruption.
Nevertheless, I believe these concerns are now more than adequately reflected in WiseTech's share price.
In light of this, I would be comfortable investing $10,000 in WiseTech shares today with a long-term view.
