Experts say these ASX 200 growth shares are buys with 20%+ upside

Are you interested in adding some more ASX shares to your portfolio?

Two ASX 200 growth shares that could be worth considering are listed below. Here’s what you need to know about them:

Altium Limited (ASX: ALU)

The first ASX 200 growth share to look at is Altium. It is an industry-leading printed circuit board (PCB) design provider. PCBs are the intricate and integral boards you find inside electronic devices.

Thanks to the company’s leadership position in a market benefiting from the internet of things (IoT) and artificial intelligence trends and its shift to a software-as-a-service (SaaS) focus, Altium believes it can grow materially in the coming years.

So much so, the company has set itself the bold growth target of more than doubling its revenue to US$500 million by 2026.

Bell Potter appears optimistic that Altium can deliver on its targets. As such, it has put a buy rating and $34.00 price target on its shares. Based on the current Altium share price of $27.26, this implies potential upside of 25% for investors.

TechnologyOne Ltd (ASX: TNE)

Another ASX 200 growth share that could be in the buy zone right now is enterprise software provider TechnologyOne.

It is currently following Altium’s lead by transitioning to become a SaaS focused business. And like Altium, this transition is going very well.

Pleasingly, management expects this trend to continue. So much so, it is aiming to almost double its annual recurring revenue (ARR) to $500 million by FY 2026.

The team at Goldman Sachs is very positive on Technology One and has been pleased with its SaaS transition. The broker currently has a buy rating and $13.30 price target on its shares. Based on the current TechnologyOne share price of $10.86, this suggests potential upside of 22% for investors.

The post Experts say these ASX 200 growth shares are buys with 20%+ upside appeared first on The Motley Fool Australia.

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More reading

• Why is the Altium share price down 5% today?
• Why are ASX tech shares struggling today?
• 2 beaten down ASX shares named as buys by experts
• Analysts name 2 excellent ASX shares to buy and hold
• Could Altium shares benefit from the global chip shortage?

Motley Fool contributor James Mickleboro 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 Altium. The Motley Fool Australia has recommended TechnologyOne Limited. 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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