There is a lot of pain on the stock market for ASX growth shares at the moment. But I believe this could be a really good long-term opportunity.
If you look at share price graphs over the long-term, the past crashes seem like opportunities. But, when you’re in the middle of uncertainty, things can look a bit scary.
That being said, it’s only the investors that buy at these cheap prices that get to benefit from the drop. I think that there are plenty of ASX tech share opportunities right now, including these two.
Betashares Global Cybersecurity ETF (ASX: HACK)
The HACK ETF has seen a price decline of 16% in 2022. While that’s nowhere near as much as some of the other ASX tech shares, I think the exchange traded fund’s (ETF) underlying holdings are more resilient to the impacts of inflation and supply chains.
Cybersecurity is a very large industry these days. It’s protecting governments, businesses and households from cybercrime. Important details, data, business IP and so on are vitally important to keep away from cybercriminals. So, I think that cybersecurity businesses can achieve attractive earnings growth overtime time. Cyber defence is not exactly a discretionary item these days.
Readers may recognise some of the biggest positions in the HACK ETF’s portfolio including Crowdstrike, Palo Alto Networks, Cisco Systems, Zscaler, VMware, Booz Allen Hamilton, Leidos, Sailpoint Technologies, Akamai Technologies and Cloudflare.
I think this ETF has a good long-term future as the world becomes increasingly digital.
Pushpay Holdings Ltd (ASX: PPH)
Pushpay is a leading church management business, which provides administrative and electronic donation tools.
The ASX tech share recently announced its FY22 result which showed ongoing growth of the business, despite some fears that the ending of COVID-19 impacts would hurt the business.
FY22 total processing volumed increased 10% to US$7.6 billion. Positive year on year increases in processing volume was seen in each trading month of FY22. That’s a good sign for the long-term.
It reported that underlying earnings before interest, tax, depreciation, amortisation and foreign currency (EBITDAF) went up by 8% to US$62.4 million, while net profit after tax (NPAT) grew 7% to US$33.4 million.
The company is expecting “strong growth” from FY24 onwards and in FY23 it’s expecting to deliver double-digit annual operating revenue growth of between 10% to 15%.
It’s investing in areas which can help grow and diversify earnings, such as its expansion into the Catholic segment, the acquired Resi Media business and other growth initiatives.
While I think the growth of this ASX tech share looks compelling, particularly after a 30% fall since 9 November 2021, there is also a chance it could receive a strong takeover offer.
Pushpay is receiving interest from multiple parties, including investors BGH Capital and Sixth Street. This could also be a quick boost for the Pushpay share price, if a firm offer were to come through.
