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As well as releasing a stellar full year result this week, Pinnacle Investment Management Group Ltd (ASX: PNI) has also held its annual investment summit.

At the event, a number of portfolio managers provided investors with commentary on shares they are positive on.

On this occasion I’m going to look at what Spheria Asset Management is recommending.

Spheria Asset Management is a specialist small and microcap investment manager with more than $1.7 billion under management across its strategies. For the 12 months to 30 June 2021, the Spheria Australian Microcap Fund returned 81.2% net of fees, costs and taxes.

Which shares do portfolio managers rate highly?

Spheria Asset Management’s Portfolio Manager and Co-Founder, Marcus Burns, revealed that he is a fan of fashion retailer Universal Store Holdings Ltd (ASX: UNI).

Burns said: “So let’s give you an example of a stock we own in our portfolios and we think it’s a really sound idea based on long-term thinking. The stock is called Universal Store.”

“Over the last four or five years, it’s converted almost all the cashflow to earnings or its earnings to cashflow and vice versa. And so it ticks our boxes and it fundamentally, good business with a sound business model. We like it, it’s an on-trend, omnichannel apparel retailer for millennials and Gen Z consumers.”

Long growth runway

Spheria also sees a long growth runway for the retailer in the future and likes the way it leverages new technologies.

Mr Burns explained: “Another reason we like the stock is because it’s incredibly immature. It only has around 66 stores currently, and their target is well over a hundred in Australia, it has no stores currently New Zealand.”

“So that gives you four or five years, runway of double digit space growth. Not only that they make real time use of data to feedback their stock purchasing, many retailers buy in advance their stock for a full 9 months, 12 months in advance and get caught with out of fashion stock at the end of the year and have discount at big prices and really hit the margins.”

“Universal Stores has this technology where they basically reorder multiple times in season buying what’s popular and selling to consumers, what they’re demanding rather than what the buyers think they actually want to get. And they’re pushing a private label,” he added.

Outstanding value

But perhaps best of all, the portfolio manager notes that the Universal Store share price still trades at a very attractive level.

He commented: “And finally, the history of the business is showing incredible outstanding like-for-like sales growth, get all that for about 10 times EBIT, 10 or 11 times EBIT looking one year forward. Which we think represents outstanding value on top of the fact that it’s fundamentally a cracking business.”

The post Here’s a top ASX share this leading portfolio manager rates highly appeared first on The Motley Fool Australia.

More reading

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• Why Objective, Pinnacle, Resolute, & Xero shares are pushing higher
• Pinnacle (ASX:PNI) share price lifts 6% on FY21 results
• The Pinnacle (ASX: PNI) share price hit an all-time high this week
• 2 small cap ASX shares brokers rate as buys

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 no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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If you’re wanting to diversify your portfolio, then you might want to look at adding a little exposure to the resources sector.

But which ASX 200 mining shares should you consider? Two that could be worth considering are listed below. Here’s why they are highly rated:

Mineral Resources Limited (ASX: MIN)

The first ASX 200 mining share to look at is Mineral Resources. It is a mining and mining services company with a world class portfolio of operations across lithium and iron ore.

Thanks to strong demand for iron ore from steel makers and for lithium from the electric vehicle market, Mineral Resources has been tipped to deliver bumper profits in the near term.

For example, analysts at Macquarie are very bullish on its prospects. So much so, the broker currently has an outperform rating and $75.00 price target on the company’s shares. This compares favourably to the current Mineral Resources share price of $59.50.

In addition, Macquarie is expecting some generous dividend payments over the next couple of years with yields greater than 5% at current prices.

South32 Ltd (ASX: S32)

Another ASX 200 mining share that is highly rated right now is South32. It is a diversified mining company with exposure to a range of commodities. These include alumina, aluminium, energy coal, metallurgical coal, manganese ore, nickel, silver, lead, and zinc.

The team at Goldman Sachs are very bullish on South32 due to its exposure to aluminium. In fact, the broker has a conviction buy rating and $3.80 price target on the company’s shares. This compares to the latest South32 share price of $2.96.

Goldman believes that aluminium is in the early stages of a multi year bull market and expects South32 to benefit greatly. Its analysts expect this to underpin growing dividends over the coming years.

The post 2 excellent ASX 200 mining shares that could be buys appeared first on The Motley Fool Australia.

More reading

• Mineral Resources (ASX:MIN) share price storms higher on Wednesday
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• 2 buy-rated ASX dividend shares with 5%+ yields
• Leading brokers name 3 ASX shares to sell today
• Why ASX lithium shares are beating the iron ore majors – again

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 no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Are you looking for dividend shares to boost your income portfolio? If you are, then you may want to look at the ones listed below.

Here’s why these ASX dividend shares are rated as buys:

Accent Group Ltd (ASX: AX1)

The first ASX dividend share to look at is Accent Group. This leisure footwear focused retail group has been a consistently positive performer over the last decade. This has led to very strong returns for investors.

The key drivers of this strong form have been its expanding footprint, the popularity of its store brands, and strong online sales growth. In respect to its store brands, Accent is the name behind brands such as HYPE DC, Platypus, and The Athlete’s Foot.

The team at Bell Potter are confident that there’s still plenty more growth left in the tank. As such it is forecasting dividends per share of 11.7 cents in FY 2021 and then 12.3 cents in FY 2022. Based on the current Accent share price of $2.75, this will mean fully franked yields of 4.25% and 4.5%, respectively.

Bell Potter has a buy rating and $3.30 price target on the company’s shares.

Telstra Corporation Ltd (ASX: TLS)

Another ASX dividend share for income investors to look at is Telstra. Although the telco giant’s shares have been on fire this year and are smashing the market, it doesn’t appear to be too late to invest for dividends.

This is due to its improving outlook, which is expected to allow the company to continue paying a 16 cents per share dividends for the next few years before a long-awaited increase.

Goldman Sachs, for example, believes Telstra’s shares are in the buy zone. It has a buy rating and $4.20 price target on the company’s shares. The broker is also one of those that believes a dividend increase isn’t too far away. It has pencilled in fully franked 16 cents per share dividends through to FY 2023, before an increase to 18 cents per share in FY 2024.

Based on the current Telstra share price of $3.78, this will mean attractive yields of 4.2% before lifting to 4.8%.

The post Telstra (ASX:TLS) and this dividend share could be buys appeared first on The Motley Fool Australia.

More reading

• Telstra (ASX:TLS) share price lifts following launch of ‘Telstra Day’
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• 2 buy-rated ASX 200 blue chip shares for investors in August
• How do you value the Telstra (ASX:TLS) share price?
• FY 2021 results preview: What is built into the Telstra share price?

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 no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra Corporation Limited. The Motley Fool Australia has recommended Accent Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The S&P/ASX 200 Index (ASX: XJO) went up by 0.1% today to 7,511 points.

Here are some of the highlights from the ASX:

Pinnacle Investment Management Group Ltd (ASX: PNI)

The Pinnacle share price climbed around 9% after the business released its FY21 result to investors after the market had closed.

Pinnacle reported that its net profit after tax (NPAT) increased by 108% to $67 million. The company’s share of affiliates’ net profit was $66.4 million, up 75% from $38 million in FY20.

It revealed that the aggregate affiliates’ funds under management (FUM) was $89.4 billion at 30 June 2021. That was a 27% increase from 31 December 2020 and 52% increase from 30 June 2020.

Aggregate retail FUM was $20.3 billion at the end of FY21, an increase of 22% from 31 December 2020 and a 55% rise from 30 June 2020.

Net inflows for the financial year was $16.7 billion, including $11.2 billion in the six months to 30 June 2021. Within the total for FY21, $4.5 billion of the net flows were retail.

The closing FY21 FUM was $89.4 billion, more than 20% higher than the average FUM throughout FY21.

Pinnacle reported that it was doubling its final dividend to 17 cents per share. That brought the full year dividend to 28.7 cents per share, which was an increase of 86%.

Nick Scali Limited (ASX: NCK)

The Nick Scali share price fell around 1% after handing in its FY21 report.

It revealed that sales increased by 42.1% to $373 million. This helped underlying earnings before interest and tax (EBIT) grow by 100.5% to $121.9 million and underlying net profit after tax (NPAT) rise by 100% to $84.2 million. Operating cash flow before interest and tax rose 88.4%.

Online operations contributed $18.3 million of written sales, compared to $3 million in FY20. The online EBIT contribution for FY21 was $8.8 million, up from $0.6 million in FY20.

The Nick Scali board decided to increase the final dividend by 11.1% to 25 cents per share.

However, the business warned that trading during July 2021 was impacted by government mandated lockdowns in Greater Sydney, Victoria and South Australia. Written sales orders were down 27% compared to July 2020, but up 24% on July 2019. But, the company said that Victoria and South Australia had traded exceptionally having come out of lockdown towards the end of the month.

The online growth was 88% for July 2021 year on year.

Centuria Industrial REIT (ASX: CIP)

The ASX 200 real estate investment trust (REIT) announced its FY21 result today.

Centuria Industrial REIT said that it generated $91.4 million of funds from operations (FFO), translating to 17.6 cents per unit. The distribution paid per unit for FY21 was 17 cents, in line with its guidance.

During the year, it experienced a $587 million valuation uplift. This helped net tangible assets (NTA) per unit increase by 36% to $3.83.

Jesse Curtis, the fund manager of Centuria Industrial REIT, said:

FY21 was a successful year for Centuria Industrial REIT, driven by transformative acquisitions and major portfolio leasing. Strong sector tailwinds supported increased tenant demand and record low national vacancy rates, propelled by the continued rise of e-commerce, positively impacting industrial property markets.

The ASX 200 share expecting FY22 FFO to be no less than 18.1 cents per unit, with distribution guidance of 17.3 cents per unit.

The post ASX 200 rises, Nick Scali falls, Pinnacle jumps appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The BHP Group Ltd (ASX: BHP) share price finished Thursday lower despite Macquarie analysts sharing a bullish word on the mining giant.

At the close, shares in BHP fetched $53.12 apiece, down 1.74%. The miner is set to report its latest results on Tuesday 17 August 2021 (ASX reporting calendar).

Big could get better

While investors weren’t looking too fondly on ASX-listed BHP shares on Thursday, analysts at Macquarie took a different view.

The mining company is already expected to announce its biggest dividend payday. Currently, the consensus is for a smaller payment than Rio Tinto Limited (ASX: RIO), which came in at US$9.1 billion. This follows a stupendous demand for iron ore and copper, pushing prices of the commodities to dizzying heights.  

Macquarie analysts are forecasting a final dividend of US$1.78 per share. This would bring the dividend shower to a total of US$5.3 billion. However, the broker admits the actual dividend could exceed even these lofty estimates.

Further to this, Macquarie analyst Hayden Bairstow said:

Divisionally, iron ore and copper are expected to be divisions to register higher earnings year-on-year driven by buoyant iron ore and copper prices… The upside risk to BHP’s earnings due to buoyant iron-ore prices remains significant despite operational pressures in its Coal and Copper business.

BHP outperforms RIO on the ASX

Firstly, we will need to wait until after BHP reports to establish which of the mining giants dished the best dividends. However, purely on a share price basis, BHP has outperformed its peer on the ASX over the last year.

While Rio Tinto has performed strongly with a 25.5% price appreciation, BHP has surged 33.2%. A big potential share price driver for the latter will be in mind during BHP’s results. This of course is the final investment decision on the Jansen Potash project.

The post BHP (ASX:BHP) big dividend payday might even exceed expectations appeared first on The Motley Fool Australia.

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• Fortescue (ASX:FMG) share price under most pressure as iron ore crashes to bear market
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Motley Fool contributor Mitchell Lawler 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Telstra Corporation Ltd (ASX: TLS) share price has risen today. The telco has news of a new initiative called ‘Telstra Day’.

What is Telstra Day?

The telco described this new initiative as “one day of unreal deals”. The idea is that consumers can save hundreds of dollars of various pieces of new technology.

Unlike other ‘days’ from different companies, like Afterpay Ltd (ASX: APT), Telstra plans to do a ‘Telstra Day’ every month.

Without going through the whole list of what Telstra is going to offer, the telco said that one part of its will be $500 off the latest smartphones from Apple and Samsung. It isn’t just trying to flog some old tech that it hadn’t been able to get off the shelves yet.

But half of the country is in lockdown…

Telstra has thought of that. It acknowledged that getting to a store can be tricky during state-based health restrictions. The telco is also running the Telstra Day sales on its online site as well. Indeed, the business is doing a free home delivery if consumers spend $100 or more.

Buy now, pay later?

Consumers have the option of paying for the purchase upfront. Or they can pay it off later with their Telstra bill.

The company also has a 7-day price match promise (with certain conditions).

Telstra share price movement

The Telstra share price went up around 0.5% today. Only buyers of Telstra shares today know how much impact Telstra Day had on their decision to buy at the price they did.

Telstra is due to reveal its FY21 result to investors on 12 August 2021 which may have an even bigger impact on the Telstra share price.

The broker UBS currently rates Telstra shares as a hold with a price target of $3.90. It doesn’t see much upside from the current level.

According to the broker, Telstra is expected to generate earnings per share (EPS) of $0.16 per share. That would mean the Telstra share price is valued at 23x FY21’s estimated earnings.

UBS also thinks that Telstra will pay a fully franked dividend yield of $0.16 for the year. That would equate to a grossed-up dividend yield of 6%.

The post Telstra (ASX:TLS) share price lifts following launch of ‘Telstra Day’ appeared first on The Motley Fool Australia.

More reading

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• How do you value the Telstra (ASX:TLS) share price?
• FY 2021 results preview: What is built into the Telstra share price?
• Leading brokers name 3 ASX shares to buy today

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended AFTERPAY T FPO. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO and Telstra Corporation Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Nova Minerals Ltd (ASX: NVA) share price is sinking today despite no new news being released by the company.

At the time of writing, the gold explorer’s shares are down a sizable 12.50% to 10.5 cents. This means that Nova Minerals shares have now lost around 19% of their value in a month.

Quick take on Nova Minerals

Founded in 1987, Nova Minerals is an Australian exploration company that is focused on gold deposits in Alaska.

The miner currently operates its flagship project, the Estelle Gold District along the Tintina Gold Belt, covering 324 square kilometres. The project is estimated to contain 4.7 million ounces of gold within just 2% of the project area.

In addition to the gold assets, Nova Minerals has an indirect interest in the Canadian Thompson Brothers Lithium Project. This is through a substantial stake in Snow Lake Resources, an aspiring lithium developer in Manitoba.

What’s happened over the month?

Since the middle of July, there have been a few releases from Nova Minerals in regards to its assets.

The first came on 19 July regarding significant drilling results at Korbel Main, within the Estelle Gold Project. Infill drilling returns impressive gold grades over wide intervals. Most notably, 2 intercepts indicated an average grade of 0.7g/t of gold over 308 meters and 0.4g/t of gold over 323 metres.

In the weeks following, Nova Minerals commissioned a preparation lab to process up to 7,500 samples per month. The onsite lab is expected to reduce costs and improve assay turnaround times.

However, just a few days ago, the company advised an update on its 74% owned Snow Lake Resources. It said that the lithium miner finalised its F-1 form to the Securities and Exchange Commission (SEC) to raise up to $23 million in an Initial Public Offering (IPO). The F-1 form is the registration required for foreign companies wanting to be listed on a United States stock exchange.

It appears that investors have been selling their shares for a profit today following a 14.29% gain the day earlier.

Nova Minerals share price summary

Over the past 12 months, Nova Minerals shares have more than doubled in value, up 120%. Year-to-date hasn’t been so positive, with the company share price down around 30%.

Based on valuation grounds, Nova Minerals presides a market capitalisation of roughly $184.9 million, with 1.6 billion shares on issue.

The post Why the Nova Minerals (ASX:NVA) share price is down 19% in a month appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Fortescue Metals Group Limited (ASX: FMG) share price was out of form on Thursday.

The mining giant’s shares ended the day 3.5% lower at $23.27.

Why did the Fortescue share price tumble?

The catalyst for the weakness in the Fortescue share price on Thursday was news that one of its contractors had tested positive for COVID-19.

This afternoon Fortescue confirmed that the Western Australian Department of Health has advised the company that a maintenance contractor returned a weak positive test result for COVID-19.

The worker, who was at the Cloudbreak mine site located in the Pilbara region of Western Australia from Tuesday 20 July to Tuesday 27 July 2021, is understood to have previously had COVID-19. As a result, he is not believed to have been infectious during this period.

Furthermore, the Department of Health has advised that the contractor has subsequently returned a negative test result.

Nevertheless, Fortescue isn’t taking any risks. It has been working closely with the Department of Health to identify close and casual contacts who had been at Cloudbreak or Perth Airport during certain times. These identified contacts have been asked to undertake COVID-19 testing and isolate.

Testing blitz

As of today, Fortescue notes that over 1,200 PCR tests and 850 rapid antigen tests have been completed across Fortescue’s operational sites. Positively, all rapid antigen tests have returned negative results. Though, the results are still pending for the PCR tests.

Fortescue suspended certain operations whilst the testing was being conducted. But full operations are expected to be returned by the end of today at the Cloudbreak mine site and across all operations, subject to the completion of the testing program. Positively, this is not expected to have any impact on Fortescue’s shipments.

Fortescue’s Chief Executive Officer, Elizabeth Gaines, said: “The safety of all our team members, their families and our local communities is our highest priority. We have robust COVID-19 management protocols in place and are taking every precaution to ensure COVID-19 does not impact our operations.”

“Our Incident Management Team has worked effectively to assist with contact tracing efforts and our decision to invest in rapid antigen testing has allowed us to immediately test our team members.”

“We believe that vaccination is the key to protecting our workforce and have encouraged all our team members to receive a vaccine in line with current directions from the Federal Government,” she concluded.

The post Fortescue (ASX:FMG) share price falls on COVID-19 scare appeared first on The Motley Fool Australia.

More reading

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• 4 reasons why the Fortescue (ASX:FMG) share price could still be attractive
• Why the Fortescue (ASX:FMG) share price has fallen off a cliff
• Why ASX lithium shares are beating the iron ore majors – again
• This leading broker believes Fortescue Metals (ASX:FMG) shares can lift

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 no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The AMP Ltd (ASX: AMP) share price has struggled over the past month, extending its run into the red.

Whereas the S&P/ASX 200 Index (ASX: XJO) has returned around 3% over the past month, AMP shares have posted a loss of 6% over the same time.

At the closing bell today, the AMP share price finished flat at $1.06.

What’s been happening at AMP?

Over the past month, AMP has faced a rough trot when it comes to legal issues and regulatory headwinds.

For starters, at the beginning of July, AMP’s FY20 performance was a catalyst for weakness. It reported an approximate 33% decline in underlying profit, in addition to asset outflows of $8.3 billion.

There appeared to be a slight recovery on the charts soon afterwards, as AMP Capital confirmed the sale of its Global Equities and Fixed Income (GEFI) business.

However, the $185 million sale to Macquarie Group Ltd (ASX: MQG) was not enough to sway investors, as selling pressure remained in situ.

Next, AMP announced it was giving its management fees a haircut at AMP Capital. The AMP share price struggled on this news.

AMP is currently unwinding its subsidiary’s assets and spinning off its major divisions.

The moves come as AMP Capital seeks to hold onto its Community Infrastructure Fund (CommIF), which is still under contention from three separate bidders, so it seems.

In addition, the full effect of controversial managerial and capital management decisions have likely carried through on the charts for the AMP share price.

For instance, AMP’s failed takeover by Ares Management Corp has been an inflection point for investors. So are the criminal proceedings brought about from the Royal Commission into Banking.

To illustrate this point, the AMP share price did not recover when ASIC dropped its case of “fees for no service” against AMP, as apart of the wider proceedings.

AMP share price snapshot

The AMP share price has posted a loss of 31% this year to date, extending the previous 12 months’ drop of 25%.

These returns have lagged the broad index’s gain of around 25% over the past year.

The post The AMP (ASX:AMP) share price is down 6% over the past month. Here’s why appeared first on The Motley Fool Australia.

More reading

• AMP (ASX:AMP) share price on watch as new CEO commences “rebuild”
• Here are 3 heavily traded ASX 200 shares on the markets today
• AMP (ASX:AMP) share price on watch as ASIC starts legal action
• Own AMP shares? Here’s what to look for during reporting season
• The AMP share price is down 80% over 5 years. But have the dividends paid off?

The author Zach Bristow has no positions 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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As well as being home to countless blue chip shares, the Australian share market is home to a good number of promising small caps.

Three small cap shares that could be worth adding to your watchlist are listed below. Here’s what you need to know about them:

Avita Medical Ltd (ASX: AVH)

The first small cap ASX share to look at is Avita Medical. It is a global regenerative medicine company best known for its Recell system. This is a spray-on skin treatment used for burns victims. It is also looking to use its system to treat vitiligo and is working on a project with Houston Methodist Research Institute on reversing cellular ageing. Bell Potter is positive on the company. It has a speculative buy rating and $9.80 price target on its shares.

Damstra Holdings Ltd (ASX: DTC)

Another small cap to watch is Damstra. It is a growing integrated workplace management solutions provider. Its cloud-based workplace management platform is used by businesses globally to track, manage, and protect their workers and assets. It recently reported that annual recurring revenue (ARR) reached $35 million at the end of June. This was up 65% over the prior corresponding period. Pleasingly, this is still only a small slice of its total addressable market (TAM). Management estimates that its TAM will be worth US$20 billion by 2022. In response to its update, Shaw and Partners retained its buy rating and $1.88 price target.

Mach7 Technologies Ltd (ASX: M7T)

A final small cap ASX share to watch is Mach7. It is a medical imaging data management solutions provider that allows users to create a clear and complete view of the patient. Users then use this to help them inform diagnosis, reduce care delivery delays and costs, and improve patient outcomes. Demand for this type of software continues to grow thanks to industry tailwinds such as telehealth. The company estimates that its TAM is currently US$2.75 billion. This is materially more than the annual revenue of $19 million and $19.5 million it expects to report in FY 2021. Morgans is a fan of the company. It currently has an add rating and $1.56 price target on the company’s shares.

The post 3 small cap ASX shares to watch appeared first on The Motley Fool Australia.

More reading

• 2 top small cap ASX shares for your watchlist
• 2 ASX shares to hold onto for the next 5 years
• Damstra (ASX:DTC) share price surging again up 16% today
• Why BHP, Damstra, Galaxy, & Piedmont Lithium shares are racing higher
• Here’s why the Damstra (ASX:DTC) share price is gaining 13% today

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. owns shares of and has recommended Avita Medical Limited, Damstra Holdings Ltd, and MACH7 FPO. The Motley Fool Australia owns shares of and has recommended Damstra Holdings Ltd. The Motley Fool Australia has recommended Avita Medical Limited and MACH7 FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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