The Nextdc Ltd (ASX: NXT) share price has been one of the top performers in the S&P/ASX 200 Index (ASX: XJO) this year.
The ASX tech share has rocketed 78.6% higher this year to outpace many of its tech rivals. Impressively, it has also maintained its value despite a broader tech sell-off.
So, is the NextDC share price really good value right now and will it be the next Afterpay Ltd (ASX: APT)?
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Why the NextDC share price has further to run
I think the current market presents plenty of buying opportunities and the NextDC share price could be one of them. Generally, markets are pretty good at pricing in expected future growth or earnings.
However, the coronavirus pandemic has thrown a real spanner in the works. I think that uncertainty could mean a bet on future economic growth in particular industries can pay dividends for investors.
Afterpay's success has been built on explosive growth and an ability to capture significant market share. I see some similarities with NextDC's strong data centre growth and strong market position.
In terms of industry conditions, I think things are looking up for the NextDC share price. A shift towards remote working and a push into regional Australia could boost demand for data storage and security services.
In my view, NextDC is in the box seat to capitalise with extensive data centre capabilities across Australia.
The Afterpay share price growth in recent years has been astronomical. Some may argue it's unwarranted for a company that is yet to turn a profit. However, I think a strong growth outlook is something that investors are looking for in the current market.
If it's growth you're after, I think the NextDC share price is worth a look. The group hit the top end of its guidance range in its FY20 results with a 14% increase in revenue to $205.2 million.
NextDC also grew its contracted utilisation by 33% to 70 megawatts with customer numbers surging 15% to 1,364 in FY20.
Strong capital expenditure says to me that management is pushing for further growth. That could be good news as NextDC continues to carve out a significant market niche for itself.
Foolish takeaway
It's hard to say if the NextDC share price will be the next Afterpay. Despite surging in 2020, there is plenty of work left to do before it is considered in the same vein of ASX growth shares.
However, the technical environment looks good and NextDC is backing it up with strong numbers. That to me says that the NextDC share price should be on any tech investor's watchlist for 2021.
