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Two exciting small ASX strains

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If you want to gain exposure to a small side of the market, it is worth considering the stocks listed below.

Both of these small cap ASX shares are chipped as buys by analysts. The reasons are as follows:

Adore Beauty Group Limited (ASX: ABY)

The first small cap ASX share to note is Adore Beauty. This is an integrated content, marketing, and e-commerce retail platform focused on the beauty market.

In previous counts, the company had 874,000 active customers, an increase of 24% over the previous corresponding period. From these customers, the company generated $ 63.8 million in revenue in the first quarter of 2022. This is a 25% increase over the same period last year.

Fortunately, Australia’s beauty and personal market revenue is only $ 11 billion annually, even with first-quarter revenue of $ 255 million. With this, Adore Beauty offers a long way to growth over the next decade as more and more industry sales move online.

Shaw and Partners are fans of Adore Beauty. The analyst currently has a purchase rating for the stock and a price target of $ 6.00.

Another notable small ASX share is Serko. This is an online travel booking and expense management provider.

recently, NZ $ 75 million placement We support that growth. This includes support for Serko’s global marketplace strategy. It aims to transform the company from an online booking tool to a decentralized marketplace.

In addition, a portion of the revenue will be used to support the delivery of Booking.com for Business. After a successful migration of Booking.com business customers to the Booking.com for Business platform with the new Zeno, Serko will optimize customer engagement and maximize the potential of opportunities in the global market. He advised us to make a targeted investment to extend the service as a whole.

Overall, this seems to have put Serko in a good place to grow after the travel market has returned to normal.

Ord Minnett certainly believes this is the case. Last week, the broker maintained its buy rating and raised its price target to $ 8.10.

Two exciting small ASX strains

Source link Two exciting small ASX strains

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