ASX Tech Stocks
The Australian tech sector, after running topsy turvy since June 2022 came into focus recently when it started making consistent gains. In last week alone, it grew by more than 3.6%
Any country’s technology sector is integral to the country’s economy, playing a vital role in contributing to its progress and economy. Australia’s tech industry has seen a rapid growth in recent years. Global demand for innovation and search for newer solutions to persisting long time problems has played a major role in the growth.
Download your free ASX Dividend Report Now
Why Australia is Better Placed for Investing in Tech Sector Stocks?
Australia has a motivated workforce, fast acquiring skills, supported by its universities that rank among top 100 globally. The country is unique in attracting talent and investors alike, which has led to creating vast opportunities.
Australia’s technology sector is now estimated to be at $167 billion and is the third largest contributor to GDP in Australia, though behind mining and finance but ahead of health and construction.
Australians are tech-hungry consumers who welcome innovation. Ranking fourth in the world for digital consumption, its faster digital adoption having led to economic growth of 26% between 2020 and 2021. Australia with its tech credentials make this sector the fastest-growing area for skills growth.
Stocks to Watch in the Tech Sector
Australia has about 600 edtech companies with $2.2 billion edtech market where 50% of companies are early-stage start-ups. In early January 2023, it also had 551 agritech start-ups with $800 million invested per annum via Rural R&D Corporations, its 8 innovation hubs had received more than $100 million investment for innovation adoption.
ASX tech stocks offer a stable and potentially lucrative investment opportunity for long-term growth. With options of investing in startups or established companies, investors can take advantage after carefully weighing risk reward ratio.
Opportunity awaits
As per Export Council of Australia, technology is already, the country’s fourth-largest export sector. It was worth $8 billion in 2018 and could more than double to $19 billion by 2030.
Advanced and developed economies like the US, the UK, Singapore and New Zealand have brought large research and development (R&D) fiscal-stimulus programs suggesting that similar countries could witness major opportunities in their domestic technology industries. And Australia is fast emerging the front runner.
Veye Pty Ltd(ABN 58 623 120 865), holds (AFSL No. 523157 ). All information provided by Veye Pty Ltd through its website, reports, and newsletters is general financial product advice only and should not be considered a personal recommendation to buy or sell any asset or security. Before acting on the advice, you should consider whether it’s appropriate to you, in light of your objectives, financial situation, or needs. You should look at the Product Disclosure Statement or other offer document associated with the security or product before making a decision on acquiring the security or product. You can refer to our Terms & Conditions and Financial Services Guide for more information. Any recommendation contained herein may not be suitable for all investors as it does not take into account your personal financial needs or investment objectives. Although Veye takes the utmost care to ensure accuracy of the content and that the information is gathered and processed from reliable resources, we strongly recommend that you seek professional advice from your financial advisor or stockbroker before making any investment decision based on any of our recommendations. All the information we share represents our views on the date of publishing as stocks are subject to real time changes and therefore may change without notice. Please remember that investments can go up and down and past performance is not necessarily indicative of future returns. We request our readers not to interpret our reports as direct recommendations. To the extent permitted by law, Veye Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss, or data corruption) (as mentioned on the website www.veye.com.au), and confirms that the employees and/or associates of Veye Pty Ltd do not hold positions in any of the financial products covered on the website on the date of publishing this report. Veye Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services.