I think 2023 is the perfect time to invest in ASX growth shares. It’s not often that share prices drop as much as they have done over the last year.
Share prices are always moving around, but being able to buy exciting businesses 30% or perhaps 50% cheaper than before is too good to pass up.
So, what names to look at? These are two of my favourites in 2023 for the long-term.
Volpara Health Technologies Ltd (ASX: VHT)
I think that Volpara is one of the most promising small cap ASX shares around.
Volpara says that it makes software to save families from cancer. Healthcare providers use Volpara to better understand cancer risk, empower patients in personal care decisions, and guide recommendations about additional imaging, genetic testing, and other interventions. It also helps healthcare practices streamline operations and achieve continuous quality improvement.
This business has everything that an investor could want. It’s expanding globally, with FY23 half-year revenue rising by 22% in constant currency terms. In the US, its market share has reached 40%, as more women and healthcare providers look to access better healthcare.
Volpara has an exceptionally high gross profit margin of around 92%. With the ASX growth share rapidly scaling, I believe it can be very profitable in the coming years, particularly if it can expand in Europe.
VanEck Video Gaming and Esports ETF (ASX: ESPO)
In my opinion, the video gaming sector has promising long-term prospects. But, with gaming being a fairly defensive sector, I think that the underlying earnings will do well in 2023.
This portfolio, as you might expect, is invested in a number of the world’s leading businesses involved with video gaming – and it’s not just the game developers themselves that are within the ETF. The combined portfolio makes it an attractive ASX growth share in my eyes. These are some of the main holdings within the list of 26 names:
Tencent, Nvidia, Activision Blizzard, Advanced Micro Devices, Netease, Nintendo, Electronic Arts, Take-Two Interactive Software and Bandai Namco.
With China starting to ease up on the gaming sector, and the growth of the industry in places like Asia and Africa, I think this is a good ETF to look at after its 25% fall over the past year.
