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3 ASX growth shares to add to your watchlist

With around 2,185 stocks on the ASX, I've narrowed it down to three ASX growth shares I’m really liking at the moment.

There are around 2,185 stocks on the ASX, but here are just three ASX growth shares I’m really liking at the moment.

Objective Corporation

Objective Corporation Limited (ASX: OCL) is a multinational software provider with a suite of products that streamline efficiencies across bureaucratic activities. Its core segment is content solutions, which include Objective ECM (Enterprise Content Management), Objective Inform, and Objective Perform.

Objective Corp has been transitioning from a perpetual license model to software-as-a-service (SaaS) over these last few years. As a result, annual recurring revenue (ARR) has been significantly growing over the last five years and now makes up over 75% of annual revenue.

One of the reasons I’m liking Objective Corp at the moment is because I think having predominately governments as clients makes it quite a defensive play. Its suite of products serves an incredibly important purpose, and as long as we have government regulation and policies, there are always going to be processes that can be streamlined and done more efficiently.

If you’d like to know more, click here to read my in-depth analysis of Objective Corporation shares. 

Aristocrat Leisure

Aristocrat Leisure Limited (ASX: ALL) is a leading gaming provider and publisher with operations in Australia, New Zealand, the Americas and other countries. The Aristocrat share price has made a slow and steady recovery since its March lows but still trades at a 10% discount to pre-COVID levels.

ALL share price chart

Source: Rask Media 1-year ALL share price chart

Aristocrat recently released its FY20 results which were pretty much in line with expectations. Its land-based segment did underperform due to the effects of COVID-19. However, the company saw strong growth in its digital segment with bookings growth and profit up 31% and 34%, respectively.

I’d be happy to add Aristocrat shares to my portfolio at current levels. I like the direction the company is going with its digital segment and I think it’s fair to assume that in-person gambling will return to normal levels in the long-run.

For more reading on Aristocrat, check out this in-depth article: How I analyse Aristocrat Leisure shares

PolyNovo

Medical device manufacturer PolyNovo Ltd (ASX: PNV) is another ASX growth share to watch closely, in my opinion.

PolyNovo’s flagship product, NovoSorb BTM, is used for serious burns victims and helps regenerate human tissue where it has been severely damaged. The company has had a really great run of good news with recent FDA approval in the US.

The company has been expanding into new regions as well with the BTM product just being approved in Taiwan.

New products are also on the horizon with the ongoing construction of its new hernia facility in Port Melbourne. The company anticipates the new product will be available by Christmas 2021. This facility will manufacture its patented Syntrel product and aims to change the way hernias are managed around the world.

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At the time of publishing, the author of this article does not have a financial or commercial interest in any of the companies mentioned.
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