There are a good number of ASX tech shares to choose from on the Australian share market.
Three that come highly rated are listed below. Here's why these tech shares are being tipped as buys right now:
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Altium Limited (ASX: ALU)
Altium is a leading printed circuit board design software provider. It could be a top tech share for investors due to its strong long term growth potential thanks to its exposure to the rapidly growing Internet of Things and artificial intelligence markets. These are driving increasing demand for its Altium Designer and Altium 365 software and also its other businesses such as the Octopart search engine.
Bell Potter is very positive on Altium and has a buy rating and $34.00 price target on the company's shares.
Life360 Inc (ASX: 360)
Another ASX tech share to look at is Life360. It operates in the digital consumer subscription services market with a focus on products and services for digitally native families. At present, there are 30 million+ monthly active users of its app, which is generating stellar recurring revenue growth. But management isn't settling for that. It is aiming to monetise its user base further through cross and upselling opportunities and acquisitions.
Bell Potter is also very bullish on Life360. It has a buy rating and $7.50 price target on the company's shares.
Xero Limited (ASX: XRO)
A final ASX tech share to look at is Xero. It is a provider of a cloud-based business and accounting solution. It has been growing strongly over the last few years and looks well-positioned to continue doing so in the years to come. This is thanks to its international expansion, the shift to the cloud, and its burgeoning app ecosystem. The latter, which is similar to Apple's App Store, has significant monetisation potential according to analysts at Goldman Sachs.
It is partly for this reason that Goldman is so positive on Xero and believes it is capable of delivering strong revenue growth over multiple decades. Goldman has a buy rating and $113.00 price target on its shares.
