WiseTech Global shares face volatility despite positive earnings outlook

WiseTech Global Ltd (ASX: WTC) has experienced significant share price volatility, with its stock declining approximately 45% since the start of 2025 and nearly 60% over the last 12 months. Despite this decline, the company maintains a strong position in the logistics software market through its flagship CargoWise platform, which is utilized by 24 of the 25 largest global freight forwarders.

For the FY27 period, WiseTech has provided guidance suggesting revenue growth between 6% and 10%. While revenue growth appears slower than previous years, earnings outlook remains positive, with underlying EBITDA expected to rise by 12% to 21%. Profit margins are also forecast to improve from 46% in FY26 to a range of 49% to 51%. The company has reported approximately US$115 million in annualized cost savings, including US$64 million from e2open.

Growth prospects are supported by existing contracts, as 61 large global freight forwarders have CargoWise either under contract or in production. Additionally, customer attrition has remained below 1% for the past 14 financial years. In related market news, CSL Ltd is also noted as a company of interest for Australian investors due to its consistent performance in the biotechnology sector.