Site menu

Search by ticker code:
Generic filters


Search by ticker code:
Generic filters

Search by ticker code:
Generic filters

2 ASX small cap shares I’d buy in October

It’s been a rough month for equity markets around the world. Tech companies seem to have fared the worst.

Here in Australia, we’ve seen some big declines from popular tech companies like Xero Limited (ASX: XRO), Afterpay Limited (ASX: APT), Technology One Ltd (ASX: TNE), Appen Ltd (ASX: APX), Tyro Payments Ltd (ASX: TYR) and NextDC Ltd (ASX: NXT).

Here are two ASX shares I’d be happy to pick up in the month of October.


Smartpay Holdings Limited (ASX: SMP) is a New Zealand-based technology company that provides EFTPOS terminals to its merchants across New Zealand and Australia.

Its shares have lost around 25% of their value over the past six months. This is likely partly due to lockdowns which have seen transaction volumes decline.

Source: Rask Media SMP 1-year share price chart

Notwithstanding this, the Australian business is expanding rapidly in comparison to its more mature New Zealand business.

Its value proposition to its merchants surrounds its pricing. Businesses have to pay usually between 1-2% of the transaction value when a debit or credit card is used to pay for something.

Smartpay can automatically apply the appropriate surcharge, passing the charge onto the customer. This means merchants can often save thousands in fees every year.

To read more about Smartpay, check out my deep dive: My deep-dive into Smartpay Holdings (ASX:SMP) shares.

Kip McGrath

Another company that’s faced some challenges from Covid is Kip McGrath Education Centres (ASX:KME).

Kip McGrath has been tutoring primary and secondary school children throughout the world to improve or extend their learning, particularly in English and Maths. It operates primarily across Australia, New Zealand, and the UK.

Its shares have fallen out of favour recently, but there’s still a strong underlying business that I suspect will improve coming out of COVID due to more lessons being taught in person.

Source: Rask Media KME 1-year share price chart

Kip McGrath has around 10 new corporate centres in its pipeline which are expected to double revenue corporate revenue across FY22.

For more reading, check out Kip McGrath’s latest results here: Kip McGrath (ASX:KME) share price on watch after FY21 result.

$50,000 per year in passive income from shares? Yes, please!

With interest rates UP, now could be one of the best times to start earning passive income from a portfolio. Imagine earning 4%, 5% — or more — in dividend passive income from the best shares, LICs, or ETFs… it’s like magic.

So how do the best investors do it?

Chief Investment Officer Owen Rask has just released his brand new passive income report. Owen has outlined 10 of his favourite ETFs and shares to watch, his rules for passive income investing, why he would buy ETFs before LICs and more.

You can INSTANTLY access Owen’s report for FREE by CLICKING HERE NOW and creating a 100% FREE Rask Account.

(Psst. By creating a free Rask account, you’ll also get access to 15+ online courses, 1,000+ podcasts, invites to events, a weekly value investing newsletter and more!)

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

At the time of publishing, Patrick owns shares in Smartpay Holdings Limited.
Skip to content