ASX Growth Shares Set to Soar Higher in 2026

Earnings momentum and favourable industry trends often create opportunities in ASX growth stocks for investors who focus on long-term value creation.

The analysis below explains why the following 3 ASX growth stocks can attract investor attention and soar in 2026.

Appen Limited (ASX: APX)

Appen Limited (ASX: APX) is among the best ASX growth stocks right now after it delivered an impressive FY25 result which was supported by demand for generative AI.

The company in FY25 reported revenue of US$230.8 million which was up 4.5% year-on-year while underlying EBITDA before FX rose to US$12.2 million.

Gross margin increased to 40.3% because higher margin generative AI projects made up a larger share of revenue while Appen China recorded strong performance with revenue up 75% to US$102.9 million and EBITDA up 640%.

The balance sheet remains solid with US$59.8 million in cash at year end while management for FY26 has guided revenue of US$270 million to US$300 million with an underlying EBITDA margin of about 5% to 10% which is supported by a strong LLM project pipeline.

Appen could rise further in 2026 if generative AI workloads scale globally because its expertise in data annotation and model evaluation places it at the center of AI model development.

Xero Limited (ASX: XRO)

Xero Limited (ASX: XRO) regained momentum after a broad SaaS selloff as the stock rose more than 8.6% on Thursday.

The company in H1 FY26 reported operating revenue of NZ$1,194 million which was up 20% year-on-year while adjusted EBITDA reached NZ$350.9 million with a 29.4% margin.

Free cash flow was NZ$321 million with a 26.9% margin which was supported by 4.59 million subscribers globally while churn stayed around 1% on a monthly recurring revenue basis which makes it one of the best ASX growth stocks.

The Melio acquisition expanded its US payments footprint which resulted in pro forma revenue growth of 24% and US revenue growth of 53% and helped it scale faster in a large total addressable market.

Xero could surge more in 2026 because it benefits from high switching costs which makes migration complex and time consuming for small and medium businesses.

HUB24 Limited (ASX: HUB)

HUB24 Limited (ASX: HUB) reported a strong 1H FY26 result which reinforces its position as one of the leading ASX growth stocks.

The group reported operating revenue of $245.9 million which rose 26% year-on-year while underlying EBITDA increased 35% to $104.9 million which lifted the margin to 42.7% and reflects the scalability of its platform model.

Platform funds under administration grew 29% to $127.9 billion which was supported by record net inflows of $10.7 billion for the half.

Underlying NPAT rose 60% to $68.3 million while statutory NPAT increased 80% to $59.7 million which shows improving profitability with time.

The company continues to invest in innovation through initiatives such as myhub and appears well positioned to achieve further earnings growth in 2026 which keeps it on watchlists among ASX growth stocks.

(Source: Company Reports)