WTC, CPU to SQ2: How these ASX-listed tech stocks performed in October

Highlights

• The technology sector overall pushed the benchmark ASX 200 higher in October.
• While the ASX 200 gained 7.27%, the technology sector moved up 7.63% in the last month.

It would not be an exaggeration to state that the software and services sector of the ASX is one of the key drivers of the benchmark index’s upward or downward momentum. In the month of October, while the benchmark S&P/ASX 200 (INDEXASX:XJO) gained 8.16%, the Information Technology sector (INDEXASX:XIJ) moved up 6.70% (as of 3:10 PM AEDT, 2 November 2022).

On Wednesday (2 November 2022), the benchmark ASX 200 was up marginally, to 6,983.50 points, at 3:11 PM AEDT. The Energy sector was leading the gains, while the A-REIT sector was seen posting the maximum losses. Information Technology was 1.47% lower, at 1,444.2 points, around the same time. The S&P/ASX 200 All Technology index (INDEXASX:XTX) was 0.981% lower, at 2,089.9 points.

In this  article, we at Kalkinemedia® will discuss how a few of the ASX 200 stocks performed in the month of October. These stocks are Altium Limited (ASX:ALU), Block Inc. (ASX:SQ2), Xero Limited (ASX:XRO), Computershare Limited (ASX:CPU), and WiseTech Global Limited (ASX:WTC).

Altium (ASX:ALU) gains 6% in October

A multinational software company providing electronic design automation tools for printed circuit boards, Altium was founded in 1985 and was named Protel Systems Pty Ltd back then.

The company’s shares were quoted at AU$35.885 apiece, down 0.374%, at 3:15 PM AEDT on 2 November 2022. Altium has a market capitalisation of AU$4.74 billion and its 52-week range lies between AU$24.320 and AU$45.300 per share. The annual yield of the firm stands at 1.30%.

On 22 August, the company shared its audited financial results for the year to 30 June 2022. Altium claimed to have delivered a revenue growth of 23% to US$220.8 million. Other key figures included the underlying EBITDA margin of 36.7%, recurring revenue of 75% of total revenue, with 31% growth in ARR, growth in profit after tax of 57% to US$55.5 million, earnings per share (EPS) up 57% to US$42.2 cents, and a final dividend of AU26 cents.

ALU has gained 5.84% in the past month. In the last six months, the stock has moved up 13.03%, and in the last five years, it has gained 191.95% (as of 3:14 PM AEDT, 1 November 2022).

Image source: © Adiruch | Megapixl.com

WiseTech (ASX:WTC) shares surge more than 14% in October

This international logistics software firm was founded in 1994 by Richard White and Maree Isaacs and the first thing that the company started doing was writing code for Australian freight forwarders. The company became a part of the ASX50 index in 2021. It claims to be one of the world's biggest logistics providers rolling out CargoWise globally.

On 1 November 2022, WiseTech shares were pegged at AU$58.850 per share, up 1.186%, at 4:00 PM AEDT. WiseTech has a market capitalisation of AU$19.37 billion and its 52-week range lies between AU$34.110 and AU$63.370 per share. The annual yield of the firm stands at 0.18%.

The company shared its global annual report on 18 October 2022, as per which its total revenue stands at US$632.2 million. The company’s undrawn debt facility stood at US$225 million and it had US$483.4 million in cash on 30 June 2022. The EBITDA and underlying NPAT gained 54% and 72%, respectively

WiseTech has made a significant gain of 15.23% in the last month. In the last six months, the stock has gained 41.12%, and in the last year, the shares have moved up 8.64% (as of 1 November 2022).

Xero Limited shares register more than 9% gains in October

Based out of New Zealand, Xero is a renowned tech firm that specialises in cloud-based accounting software for different kinds of businesses. The firm also has offices in Australia, the UK, and the United States.

The shares of the company closed at AU$78.280 apiece, up 0.268%, on Tuesday. The company has a market capitalisation of AU$11.75 billion.

On 12 May 2022, Xero shared its financial report for full-year earnings to 31 March 2022. The operating revenue of the company rose by 29% to NZ$1.1 billion, the annualised monthly recurring revenue (AMRR) grew by 28% to NZ$1.2 billion, the EBITDA reported was NZ$212.7 million, up 11%, and the free cash flow marked was NZ$2.1 million.

Xero shares have gained 9.48% in the last month. However, in the last six months, the stock has incurred losses of 13%.

Image source: © Rawpixelimages | Megapixl.com

Computershare gains 4% in October

Computershare Limited (ASX:CPU) is a stock transfer company founded in 1978 and is headquartered in Melbourne.

CPU shares closed at AU$25.500 per share, up 0.910% on Tuesday (2 November). Computershare has a market capitalisation of AU$15.39 billion.

On 9 August 2022, the Australian tech firm shared its annual financial results, as per which the revenue rose US$2.6 billion and EBIT increased to US$530.9 million. The final dividend per share announced was 30 cps in Australian currency.

CPU shares, in the last month, have gained 3.91%. In the last six months, the stock has gained 2.82%, and in the last year, the stock has moved up 32.47%.

Block Inc. shares move up more than 10% in October

Block Inc. is an American multinational technology firm founded in 2009 by Jack Dorsey and Jim McKelvey. It launched its first platform in 2010 and was listed on the NYSE in 2015. On the ASX, the company was listed in January 2022.

On 2 November 2022, the stock was trading 1.55% down at AU$92.390 apiece at 3:30 PM AEDT. The company has  a market capitalisation of AU$52.49 billion.

The shares of the company, in the past one month, have gained 8.78%, while in the last five trading days, the stock has moved up 0.50%. In the last year, the stock has lost 47.54%.