If you’re looking for a little exposure to the small cap side of the market, then the three shares listed below could be worth watching closely.

While not all small caps live up to their potential, I think these three have a good chance of doing so. Here’s why I think they should be on your watchlist:

Dubber Corp Ltd (ASX: DUB)

Dubber is a software company that provides businesses with an extremely scalable call recording service. This service has been adopted as core network infrastructure by multiple global leading telecommunications carriers in North America, Europe and the Asia Pacific. The cloud-based technology allows businesses to record, manage, and analyse their phone calls and communications. They can even use artificial intelligence to analyse the emotions and stress levels of a caller. Demand for its offering has been growing strongly over the last couple of years, leading to a strong increase in active customers and revenue.

Nitro Software Ltd (ASX: NTO)

Another small cap to watch is Nitro Software. It is a software company which provides document productivity solutions for businesses. In a recent presentation, the company revealed that it has over 2 million licensed users and over 11,000 business customers. The latter includes 65% of the Fortune 500 and three of the Fortune 10. Solid customer growth and its high retention rate have led to impressive recurring revenue growth over the last few years. I expect more of the same in the coming years.

Whispir (ASX: WSP)

A final small cap share to watch is Whispir. It is a software-as-a-service communications workflow platform provider which I think has a lot of potential. It provides an industry-leading software platform that allows governments and organisations to deliver actionable two-way interactions at scale using automated multi-channel communication workflows. Whispir is well funded and appears well-placed to deliver another strong result in FY 2020. During the first half its annualised recurring revenue increased 22% to $36.7 million. I expect an even stronger second half thanks to the work from home initiative which is driving increasing demand.

More reading

• 3 small cap ASX tech shares that could be stars of the future
• Could these small cap ASX shares be the next Afterpay?
• 3 ASX tech shares to buy now for long-term returns
• 3 ASX shares to buy now for the post COVID-19 world
• 3 exciting small cap ASX shares to invest $3,000 into right now

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Whispir Ltd. The Motley Fool Australia has recommended Nitro Software Limited and Whispir Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post 3 under the radar ASX tech shares to watch appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2TvAV2n

Reluctance to be a first mover is now turning into a race for state premiers!

The risk averse Victorian premier Daniel Andrews declared that the state’s tourism sector is back in business with a significant easing of restrictions from next month.

The decision comes two days after his counterpart in South Australia made a surprise decision to reopen pubs and clubs immediately as it tries to play catchup with New South Wales.

Positive sentiment could lift these ASX shares

Victoria will open the ski season from June 22, while overnight stays will be allowed from June 1, according to the Australian Financial Review.

The move will not be a major earnings booster for ASX shares linked to the tourism industry. Interstate travel is still barred so forget about Sydney Airport Holdings Pty Ltd (ASX: SYD) and Qantas Airways Limited (ASX: QAN) for the moment.

But this latest development from one of the most conservative state leaders will provide a further lift to sentiment for the likes of Webjet Limited (ASX: WEB) and rival Flight Centre Travel Group Ltd (ASX: FLT).

And the big rebound in the S&P/ASX 200 Index (Index:^AXJO) from its bear market low of March 23 shows how a little bit of good feeling can make a big difference.

More easing in the near-term

The pressure is building on removing the ban on interstate travel, particularly in Queensland where Premier Annastacia Palaszczuk is resisting calls to open its borders until September at the earliest.

International travel to a select few countries that the COVID-19 pandemic under firm control, such as New Zealand, may also happen sooner than what many think.

The big easing of social restrictions by the Andrews government was more liberal than expected and is due to the mass coronavirus testing in the state.

Is mass testing the answer to COVID-19?

Victoria tested 6340 per 100,000 people – making its population the most tested in Australia and one of the world’s most tested in the world if the state was a country. The state has undertaken more than 420,000 coronavirus tests.

South Korea have used mass testing as a way of containing the virus and is hailed as one of the most successful countries in the world to squash the COVID-19 curve.

But some experts do not believe mass testing is the answer and they point to Japan where the death rates are low and testing is extremely limited.

Last sector to recover from COVID-19

Victoria is not extending the easing to offices though. The premier is not allowing employees to return to their regular work desks, and that is bad news for landlords such as GPT Group (ASX: GPT) and DEXUS Property Group (ASX: DXS).

Premier Andrews believes high-rise dense office environments are the perfect breeding grounds for coronavirus.

This makes me wonder if office-exposed real estate investment trusts (REITs) will be the last in the property sector to recover from the COVID-19 disaster.

More reading

• Got $2,000? Here are 2 ASX 200 healthcare shares to buy today
• Have $500 to invest? Then buy these 5 ASX 200 shares immediately
• What to watch on the ASX 200 next week
• How to tidy up your super in just 10 minutes this weekend
• These were the worst performing ASX 200 shares last week

Motley Fool contributor Brendon Lau owns shares of Webjet Ltd. The Motley Fool Australia owns shares of and has recommended Webjet Ltd. The Motley Fool Australia has recommended Flight Centre Travel Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Why these ASX stocks will be under the spotlight on Monday appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/2A1srJC