ASX Tech Stocks Rebound

The ASX technology sector rebounded on Monday after a brief slowdown and the following ASX tech stocks are worth keeping a close eye on as momentum and earnings drivers come back into focus.

WiseTech Global Limited (ASX: WTC)

WiseTech Global Limited (ASX: WTC) surged around 4% on Monday by afternoon trade and has recovered from much lower levels after the stock declined nearly 60% over the past 12 months as valuation concerns weighed on sentiment.

For FY25, the company delivered solid operational performance as revenue rose to US$778.7 million and underlying NPAT increased to US$241.8 million which was supported by strong recurring revenue and scale benefits from the CargoWise platform.

Margins were robust with EBITDA margins above 50% which reflects the scalability of the software-led business model and disciplined cost control despite heavy investment in product development.

A major strategic development during the year was the acquisition of e2open which will expand WiseTech’s addressable market and strengthens its end-to-end global trade.

Management expects strong revenue and EBITDA growth in FY26 with the help of integration benefits and new products.

TechnologyOne Limited (ASX: TNE)

TechnologyOne Limited (ASX: TNE) surged 4.8% on Monday by afternoon trade as the stock has come down from earlier overvalued levels which has taken some valuation risk away.

The decline was part of a massive SaaS selloff across the world and TechnologyOne delivered a strong FY25 result where profit before tax rose 19% to $181.5 million and annual recurring revenue increased 18% to $554.6 million which was ahead of guidance.

The business benefits from its SaaS+ strategy with more than 90% of revenue now recurring while free cash flow rose 55% to $184.2 million and the balance sheet stayed debt free with $319.6 million in cash and investments which provides strong financial flexibility.

A key strategic focus remains long-term growth as TechnologyOne targets $1 billion in ARR by FY30 which is supported by UK expansion, AI enabled products and sustained R&D spend of around 25% of revenue.

Management has guided to a strong FY26 outlook with profit growth expected to stay in the low to high teens which reflects resilient demand for mission critical enterprise software.

Life360, Inc. (ASX: 360)

Life360, Inc. (ASX: 360) rose 3.6% by afternoon trade on Monday and an update on 22 January 2026 confirmed record Q4 2025 performance as monthly active users reached 95.8 million which marks the strongest quarterly user additions in the company’s history.

Paying Circles rose to 2.8 million, with full year 2025 net additions of 576,000 which points to faster monetisation and strong subscription conversion rates.

Financial performance also came in ahead of expectations, with full year 2025 revenue forecast at $486–489 million, up around 31–32% year-on-year while adjusted EBITDA is expected to reach $87–92 million.

Margins continued to improve, with adjusted EBITDA margins of 18–19% which reflects operating leverage and disciplined cost control as the business scales globally.

Growth remained broad based, with international MAUs up 26% year-on-year and management expects around 20% MAU growth in 2026 while it continues to invest in strategic initiatives to expand margins over time.

(Source: Company Reports)