3 Australian Tech Stocks To Own In October 2026

Global tech stocks have come under pressure as enthusiasm for AI related shares cools and investors question how much optimism is already priced in. That pullback can leave some Australian technology companies trading below what their long term potential might justify. If you are hunting for mispriced growth, this is where it gets interesting. This article walks through 3 local tech stocks from our screener that may be worth a closer look.

The stocks discussed below are just a small sample, and the full screen surfaced 23 more tech companies with equally compelling narratives that are not covered here.

To spot ideas that fit your own risk profile and time horizon, head straight into the Undervalued Tech screener to identify, filter, and analyze your highest conviction opportunities.

Bravura Solutions (ASX:BVS)

Bravura Solutions builds the software that powers much of the modern wealth and retirement administration stack, which ties it closely to the Undervalued Tech theme as investors look for cash generative platforms rather than concept-only stories.

Bravura Solutions provides wealth and transfer agency software like Sonata and Sonata Alta across APAC and EMEA, generating about A$79.8 million from APAC and A$203.9 million from EMEA, with a market value around A$1.42b.

"Bravura Solutions is showing a widening gap between revenue growth of 10% to A$283.6m and a much larger lift in cash EBITDA to A$77.1m. This points to further operating leverage that could carry cash EBITDA margins beyond the levels implied in current models and support stronger earnings quality."

How that quiet shift in pricing power plays out from here could be the lever that really moves margins and investor expectations.

If that shift in earnings quality is what you are tracking, the full narrative for Bravura Solutions walks through how Bravura Solutions’ pricing power, contracts, and risks all connect.

Life360 (ASX:360)

Life360 uses a freemium safety app and connected devices to keep track of people, pets, and belongings, putting it firmly in the Undervalued Tech bucket through its software and services focus. The business generates about $572 million from software and programming and carries a market value around A$4.63b.

For the Undervalued Tech theme, Life360 brings something different, with a mobile-first safety platform that already lives on family phones and turns engagement into subscription revenue, which is where the upside or disappointment for this stock is likely to show up.

"New premium services and integrated hardware (e.g., unified Tile and forthcoming GPS pet tracker) deepen Life360's value proposition, increase member engagement, and create higher conversion to paid tiers."

What happens if one quiet shift in how those subscriptions are monetized meaningfully changes both margins and what investors are willing to pay?

If that shift is what you care about, the full narrative for Life360 explains in detail how Life360’s subscription engine, hardware tie ins and risks could be decoupling from today’s sentiment.

Megaport (ASX:MP1)

Megaport plugs directly into the Undervalued Tech theme through its software defined network platform, letting enterprises spin up on demand connections between data centers and clouds. It earns about A$198 million from the Americas, A$70 million from Asia Pacific, A$44 million from Europe, and carries roughly A$3.7b in market value.

Megaport matters here because its software driven connectivity platform sits where cloud, AI and data hungry workloads actually move, and the way that demand flows across its network is central to any Undervalued Tech thesis on this stock.

"Megaport is positioned to benefit from the accelerated adoption of cloud, AI, and data-centric digital transformation, driving strong demand for agile, scalable interconnection and networking solutions, acting as a potential catalyst for ongoing annual recurring revenue (ARR) and top-line revenue outcomes."

What happens to that story if one untested assumption about how quickly this interconnection footprint translates into sustained margins quietly shifts.

If that assumption about how Megaport converts its footprint into durable profitability is nagging at you, the full narrative for Megaport explains where accelerating demand, capacity limits, and execution risk could intersect.

Seeking Alternatives Before The Crowd?

Fresh opportunities can move from quiet to crowded fast as momentum builds, prices start flying, and information goes stale. Scan under the radar for now and act now.

• Spot resilient businesses before they hit the headlines by running your filters through the 15 high quality undiscovered gems while the rest of the market is still distracted.
• Target cash rich balance sheets that can ride out shocks using the curated list of solid balance sheet and fundamentals (12 results) and avoid weaker stories that might struggle when conditions change.
• Focus on real earnings power instead of hype by checking the hand picked 39 profitable AI stocks that aren't just burning cash before the momentum crowd gets fully caught up in the next AI narrative.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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