Airtasker Leads The Pack Of 3 ASX Penny Stocks To Watch

How do you make sense of the insane? How do you turn the irrational into rational? That's what so many are asking me to do so I will approach it head-on. I will try to justify the valuation of the wild bunch, four stocks that have been as untamed and unfettered as I have ever seen, three that are tried and true, Airtasker (ART), and two others that better be on your radar screen: Integrated Research Limited (IRI) and Energy One Ltd (EOL).

Let me say from the outset that as wild as these stocks are, they actually have legitimate theses, better balance sheets than we thought, and a lasting impact beyond Covid-19, even as it has been a big spur to all but Energy One.

Some companies are flat out revolutionary. Airtasker may be the most revolutionary of all. This company is predicated upon one concept: connecting supply and demand for local services. It does it in two ways: giving you access to a wide range of services and giving it to you at your doorstep. Its platform offers a range of tasks around the home like deliveries, cleaning, gardening, and handyman work to tasks for businesses like office admin, promotional work or computer and information technology support. It provides a range of creative tasks like photography, graphic design and Website and blog support. The platform's user-friendly interface and features, such as task posting, bidding, and reviews, contribute to its success.

Do you know that Airtasker's platform is so good and so cheap that it has expanded into international markets, such as the United Kingdom and the United States, opening up new revenue streams and growth opportunities? The company has experienced strong growth in its UK marketplace, enabling it to generate GMV growth of 20.0% on pcp to $8.6m (£4.5m) and revenue growth of 41.1% on pcp to $1.3m (£0.7m). Following the successful release of a Channel 4 television campaign, UK marketplace demand accelerated with 4Q24 revenue growth of 76.3% on pcp, to $0.5m (£0.25m).



What can be said about the $192.70 million market cap of Airtasker that hasn't been said already? I want to posit something that few are talking about: what happens if Airtasker continues to improve its marketplace reliability, reduce cancellations, and enhance the overall user experience? In other words, we are going to find out why this company's stock has been flying and I think it will justify the move.

These were a time when skeptics thought it was ridiculous that the stock of Integrated Research Limited was bigger than some of its competitors. Now, the company has demonstrated strong financial performance, with a market cap of $176.26 million as of December 27, 2024. Integrated Research Limited is engaged in the provision of technology-enabled online marketplaces for local services, connecting people and businesses who need work done with people and businesses who want to work. The company operates through two segments: Established Marketplaces and New Marketplaces. The operations of both segments relate to online marketplace platforms enabling users to outsource everyday tasks.



Finally, there's Energy One Ltd, a company that has come of age during the pandemic. We have had them on several times and they just pre-announced better than expected earnings last week. Why? I consider Energy One Ltd a sophisticated, technology-driven company that provides energy management solutions for businesses and households. The company's energy management platform, Envirom, helps customers optimize their energy consumption, reduce costs, and improve sustainability. Energy One Ltd's innovative approach to energy management has positioned it well in the market, with a market cap of $124.56 million as of September 3, 2024.



Do these make sense? Do you know I have never considered that a question worth asking. The way to put it is will these make sense and the answer, surprisingly, is very much so if they continue to execute as well as they have.