Should I buy Megaport stock in 2025?

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At HelloSafe, our expert has been tracking Megaport's performance for over three years. Every month, hundreds of thousands of users in Australia trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Megaport.

What is Megaport?

The price of Megaport stock

The price of Megaport stock is rising this week. The current share price stands at $13.68 AUD, reflecting a daily change of -1.94% and a weekly increase of 1.48%. Megaport has a market capitalisation of $2.26 billion AUD, with an average three-month volume of 665,504 shares. The P/E Ratio is a notably high 342.00, while the dividend yield remains at 0%. The stock’s beta is 1.15, indicating slightly higher volatility than the market average. This dynamic profile makes Megaport an intriguing choice for those seeking growth in the Australian tech sector.

Our full analysis of the Megaport stock

We have carefully reviewed Megaport’s latest financial results and stock performance over the past three years, leveraging multiple data sources including financial ratios, technical signals, market comparison, and competitive analysis via proprietary algorithms. This in-depth approach highlights both recent achievements and the emerging strengths underpinning the company’s market trajectory. So, why might Megaport stock once again become a strategic entry point into Australia’s cloud infrastructure and digital transformation sector in 2025?

Recent performance and market context

The last twelve months have seen Megaport’s stock chart impressive gains, with the price climbing 23.7% year-on-year and a dramatic 85% surge over the past six months, now standing at $13.68 AUD. This robust move can be traced to several positive catalysts:

• Recent declaration of Megaport’s first profitable year, solidifying faith in its business model.
• Release of record H1 FY25 results, marked by strong recurring revenue and margin expansion.
• A revitalised executive team under CEO Michael Reid, who has driven operational discipline and sustained expansion.
• Continued global expansion, now spanning more than 20 countries with over 975 active data centres and 2,700+ customers.

The macro environment lends strong support: cloud adoption is accelerating among Australian businesses, the digital economy shows no signs of slowing, and demand for secure, robust interconnection services continues to rise. In such a context, Megaport appears particularly well placed to capture growing market share, particularly as large enterprise clients modernise infrastructure.

Technical analysis

Technical signals reinforce this positive momentum:

• Relative Strength Index (RSI): At 57.8, Megaport’s RSI is in a healthy range, suggesting neither overbought nor oversold conditions and potential for continued positive action.
• MACD: Sitting at 0.32, the Moving Average Convergence Divergence signal maintains a clear buy signal, reflecting short-term upside momentum.
• Moving averages: The 20, 50, 100, and 200-day moving averages all underpin the uptrend, acting as ascending support lines with current levels above major averages ($13.83, $12.79, $11.46, and $9.52 AUD respectively).
• Support and resistance: Key technical supports at $13.49, $13.30, and $13.05 AUD reduce immediate downside risk; resistance at $13.93, $14.18, and $14.37 AUD provide near-term upward targets.
• Global technical consensus: The stock receives a majority of “buy” signals (13 bullish, 6 neutral), echoing institutional enthusiasm and underlying market optimism.

Overall, the technical structure is favourable, with medium- and long-term averages clearly supporting a bullish narrative and marking Megaport as a stock currently in constructive technical formation.

Fundamental analysis

Megaport’s financial foundations have shown spectacular improvement:

• Revenue: FY24 revenue at $206.91 million AUD, with growth continuing at a double-digit pace in H1 FY25 (up 12%), driven by expanding ARR (annual recurring revenue exceeding $226 million AUD).
• Profitability: For the first time, Megaport posted a net profit ($6.04 million AUD for FY24) and record EBITDA, validating its transition from high-growth disruptor to disciplined sector leader.
• Valuation: The current P/E ratio of 342 may appear lofty, but when adjusted for the company’s strong earnings growth and unique global positioning, the valuation signals robust expectations—further supported by a Price/Sales ratio under 9 and a Price/Book ratio of 12.88, not uncommon for cutting-edge tech.
• Strategic strengths: Megaport leads the Software Defined Network (SDN) interconnection market, boasts an agile “pay-as-you-go” model, and cultivates deep client loyalty with a rapidly growing global footprint.
• Innovation and market share: More than 30,000 active services and an impressive client base highlight effective market penetration. The continued rollout of cloud, AI, and financial services solutions position Megaport at the heart of digital transformation, supporting an ongoing cycle of innovation and competitive advantage.

In sum, fundamental trends point to ongoing revenue and profit expansion, with analysts forecasting annual revenue growth near 14% and profit growth above 30%—validating the investment case for a stock that both excites the market and rewards strategic patience.

Volume and liquidity

Institutional confidence is evident in Megaport’s trading metrics:

• Liquidity: The stock’s average daily volume of 665,504 shares far exceeds minimum thresholds for institutional participation, supporting orderly entry and exit for all classes of investors.
• Float: A high free float (156 million shares out of 165 million) optimises price discovery and enhances stability while allowing dynamic reactions to news or results.
• Ownership structure: Major institutional investors—including HSBC Custody Nominees and JP Morgan—provide a stabilising presence, often signalling long-term confidence and commitment to sector winners.

Such sustained trading activity underpins a strong valuation platform, enabling Megaport to continue raising capital for innovation when required and providing confidence for retail and institutional investors alike.

Catalysts and positive outlook

Multiple growth catalysts are setting the stage for new highs:

• Ongoing cloud adoption: The accelerated move toward hybrid and multi-cloud by Australian and global enterprises feeds directly into Megaport’s addressable market.
• Product innovation: Launches in areas such as AI-optimised connectivity and new services for the financial industry respond to rapidly changing customer needs, promising ongoing revenue diversification.
• Global expansion: Entering new regions and expanding relationships with global tech giants, Megaport strengthens its moat and competitive profile.
• ESG commitment: The company’s proactive stance on sustainability and responsible business practices supports an increasingly important facet of modern portfolios.
• Sector momentum: Digital transformation and cybersecurity priorities ensure that demand for Megaport’s capabilities will only intensify.

Looking ahead, the next 12 months include key product launches, new partnership announcements, and strong sector tailwinds, each representing a reason to maintain—or expand—exposure to this fast-growing name.

Investment strategies

Megaport’s profile is attractive whether your investment horizon is short, medium, or long term:

• Short term: With current technical momentum and approaching resistance levels, traders may exploit volatility around earnings or catalyst events for attractive entry points.
• Medium term: Investors seeking operational leverage can target periods ahead of key result announcements or product launches, with the stock historically responding positively to upside surprises and partnership expansion.
• Long term: For those focused on fundamental growth and sector leadership, Megaport’s transition to sustainable profitability, strong revenue growth, and global scaling support a “buy and hold” strategy aimed at the next chapter of the digital economy.

The share price’s current placement near the upper end of its 52-week range (peaking at $14.58 AUD) but with support positioned just below ($13.05 - $13.49 AUD) provides multiple strategic entry platforms for differentiated investment styles.

Is it the right time to buy Megaport?

On balance, Megaport’s combination of operational achievement, accelerating revenue and profit growth, successful global expansion, and a market-leading innovative platform make it a natural candidate for renewed buying interest. While a high P/E may warrant due diligence, current and projected cash flows, positive sector momentum, and an aligned executive team argue for a premium. Chart signals, market liquidity, and analyst consensus only reinforce the case for optimism.

For investors seeking credible exposure to Australia’s burgeoning tech infrastructure sector, Megaport seems to represent an excellent opportunity at the crossroads of profitability, growth, and innovation. The ongoing digital transformation in Australia—and globally—positions Megaport to continue outperforming both its peers and market expectations. Every sign points to the stock potentially entering a new bullish phase, making it a candidate to watch closely, and perhaps very seriously consider, as a core technology holding for the years ahead.

How to buy Megaport stock in Australia?

Buying Megaport stock online is both simple and secure when you use a regulated broker in Australia. You can choose between two main methods: traditional spot buying, where you own the shares outright, or trading Contracts for Difference (CFDs) if you are seeking flexibility and leverage. Each method has its own advantages, risks, and specific costs. For full transparency, you’ll find a broker comparison further down the page to help you choose the option that matches your needs.

Spot buying

A cash purchase of Megaport stock involves buying shares directly on the ASX and holding them in your brokerage account. Most local brokers charge a fixed commission per order, usually around $5 to $10 AUD.

Example of a share investment gain scenario

If the Megaport share price is $13.68 AUD, you can buy around 73 shares with a $1,000 stake, including a brokerage fee of around $5.

✔️ Gain scenario:

If the share price rises by 10%, your shares are now worth $1,100.

Result: +$100 gross gain, i.e. +10% on your investment.

This method is well suited to long-term investors looking for direct ownership and dividends (if available).

Trading via CFD

CFD trading on Megaport shares lets you speculate on price movements without actually owning the underlying shares. With CFDs, brokers typically charge a spread (the difference between buy and sell price) and overnight financing if you hold positions open for multiple days.

CFD Gain Scenario with 5x Leverage

You open a CFD position on Megaport shares, with 5x leverage. This gives you a market exposure of $5,000.

✔️ Gain scenario: If the stock rises by 8%, your position gains 8% × 5 = 40%. Result: +$400 gain, on a bet of $1,000 (excluding fees).

CFDs offer greater flexibility and the ability to trade both rising and falling markets but come with greater risk due to leverage.

Final advice

Before you buy, it’s important to compare fees, available features, and transparency across brokers—see our comparator further down the page. Your choice between spot buying and CFDs should be guided by your investment goals, risk appetite, and desire for ownership or leveraged trading. Take the time to review all options for the approach that suits you best.

Our 7 tips for buying Megaport stock

The latest news about Megaport

Megaport shares rose 1.5% over the past week, outperforming the broader ASX tech sector. Strong capital inflows and renewed investor interest have followed after confirming 12% revenue growth year-on-year and surpassing analyst earnings expectations, positioning Megaport among the most resilient Australian cloud infrastructure stocks.

The company reported continued record EBITDA and accelerating annual recurring revenue, reinforcing its financial momentum. Management disclosed an ongoing boost in profitability, driven by operational efficiencies and robust expansion across all Asia-Pacific markets, which has been particularly well received by the Australian investment community.

Technical indicators signal a renewed buy consensus with 13 bullish signals and neutral momentum on the RSI. The current price at $13.68 AUD is trading near resistance, with MACD and moving averages supporting further positive outlook, suggesting local investors see accumulating Megaport as tactically timely.

Market capitalisation now exceeds $2.26 billion AUD, supported by above-average daily trading volume. Liquidity remains exceptional on the ASX, reflecting growing institutional appetite in Australia and boosting confidence in stable price discovery for professional traders.

Positive market sentiment is further driven by Megaport’s leadership in software-defined networking and partnerships with key Australian data centres. Recent domestic expansion and new enterprise clients highlight ongoing growth opportunities within Australia’s rapidly digitising business landscape, reaffirming Megaport's pivotal role in local IT infrastructure investment strategies.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.