This month has seen the S&P/ASX 200 Index (ASX: XJO) repeatedly breaking records for all-time highs.
The situation means it's getting more and more difficult to find ASX shares that still have some upside in them.
But fortunately there are some gems left in the small-cap world, where investors perhaps aren't paying quite as much attention.
Here are 2 examples that Burman Invest chief investment officer Julia Lee pointed out this week.
Motor vehicle industry running hot due to COVID
At a market capitalisation of about $600 million, Infomedia Limited (ASX: IFM) is not a tiny small cap, but Lee sees potential.
"For the time being, things are looking pretty good for Infomedia," she told Switzer TV Investing.
The company provides cloud software for the parts and service subsector of the motor vehicle industry.
According to CMC, its revenue has grown decently in the past few years, heading from $72.9 million for the 2018 financial year to $94.6 million in 2020. The 2021 results are due out on Monday.
"No doubt that the demand for car parts is going to be quite strong throughout the next few years, because of the demand that we've seen for used cars and new cars during this COVID-19 period," said Lee.
Infomedia shares have dipped 17% for the year, although they have risen 120% over the past 5 years.
Are aviation ASX shares too big a gamble?
Aviation parts maker PTB Group Ltd (ASX: PTB) has seen attractive growth in revenue the past few years. For the 2018 financial year it made $40.1 million, according to CMC, but that had almost doubled to $77.2 million by 2020.
"Having a look at some of the numbers, it's been quite impressive," said Lee.
"The first thing you think of aircrafts is that tourism has been under a lot of pressure. But only around 20% of their revenue comes from the tourism sector."
She added that the numbers for the first half of the 2021 financial year "looked pretty strong" and that the full-year forecast had upgraded multiple times.
PTB's full year 2021 results are due out on 27 August.
"They're expecting to see earnings between $22.5 and $23 million when they report," said Lee.
"To give you an idea of the growth there, last financial year they reported $12.3 million. A smaller company, but some strong growth."
However, Shaw and Partners senior investment advisor Adam Dawes preferred to hold fire for the small cap that's currently worth just shy of $100 million.
"I'm going to reserve my judgment until the 27th August," he said. "Anybody looking at this stock should definitely wait until that time to get a really clear indication on how things are going."
Dawes added that liquidity for PTB shares is also a worry.
"This one does concern me. It doesn't trade a lot — 12,000 shares traded [Monday], so it was only really one trade that went through," he said. "I'm always cautious about these low volume stocks."
PTB shares are up more than 10.8% for the year.
