Shaw and Partners says these two ASX small-cap companies could have some serious upside

The team at Shaw and Partners has been keeping a close watch on the small cap and emerging side of the market recently, and has come up with plenty of ideas around companies they see as good value.

Today I’ve selected two in the technology field, albeit very different companies, to see what the analyst team at Shaw and Partners are saying.

Let’s have a look.

Smart Parking Ltd (ASX: SPZ)

This company does as the name suggests – it supplies parking monitoring and management systems and now has offices in the UK, Denmark, Germany, Australia, New Zealand, and the US.

The company only entered the US in March of last year, after it acquired Peak Parking for $56.9 million.

The company said in its most recent half-year report that it had added 53 new automatic number plate recognition sites globally during the half year, while revenue jumped from $32 million to $62.8 million.

Net profit increased from $3.9 million to $4.3 million.

Shaw and Partners said in their recent note to clients that “a strong buying opportunity seems to have emerged in SPZ as the March quarter trading update paints a picture of solid performance notwithstanding a share price drop of over 40% since February”.

The analyst team said the US represented a large potential market for the company, which it was just breaking into.

They added:

The roll-out of SPZ’s low-cost, user-friendly, accurate parking technology into the relatively untapped parking segment of unmanaged, small surface lots (attached to retailers, hotels, fast food chains, and high-density transportation hubs etc) could add significant value. SPZ is confident in its ability to launch the service and has now hired a sales team.

Shaw and Partners has a price target of $1.55 on Smart Parking shares compared with 83.5 cents currently.

Atturra Ltd (ASX: ATA)

This company presented at the Shaw and Partners TechRise conference recently and Chief Executive Officer Stephen Kowal gave a “confident update” according to the Shaw analyst team.

Shaw and Partners said:

Management implicitly reaffirmed FY26 guidance and agreed the business is returning to growth in 2H, with accelerating demand across data, security and AI-readiness work offsetting weakness elsewhere and supporting confidence into FY27/FY28. Margins are expected to benefit from restructuring and automation-led managed services efficiencies, while improving cross-sell traction and stronger momentum across IP products (ACP and Scholarian) are incrementally strengthening the medium-term outlook.

Shaw and Partners has a price target on Atturra shares of $1.15 compared with 45 cents currently. Atturra is valued at $171 million.

The post Shaw and Partners says these two ASX small-cap companies could have some serious upside appeared first on The Motley Fool Australia.

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Motley Fool contributor Cameron England has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Atturra. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.