WiseTech Global Ltd (ASX: WTC) is a favourite among S&P/ASX 200 Index (ASX: XJO) tech shares.
In fact, the stock was part of the WAAAX group of shares. The group was arguably disbanded upon Afterpay’s removal from the ASX.
At the time of writing, the WiseTech share price is $39.06. That’s approximately flat with its highest point of 2019 and around 35% lower than its highest point ever, reached late last year.
So, what does the ASX tech giant actually do? Read on to find out.
But first, what is WiseTech?
S&P/ASX 200 Information Technology Index (ASX: XIJ) favourite WiseTech develops and provides software solutions to support companies working in global supply chains.
According to the company, its software solutions are renowned for their productivity, functionality, integration, compliance capabilities, and global reach.
The company’s flagship platform, CargoWise, provides customers with an end-to-end global logistics solution, executing more than 72 billion data transactions each year.
WiseTech calls more than 18,000 logistics companies its customers. They span more than 165 countries and include 42 of the top 50 global third-party logistics providers and 24 of the 25 largest global freight forwarders on the planet.
The company has a market capitalisation of around $12.7 billion, according to the ASX.
It joined the ASX in 2016 after offering its shares for $3.35 apiece under its initial public offering (IPO).
At the end of the first half of this financial year, WiseTech had $380 million in cash and no debt. It’s also currently trading with a 0.22% dividend yield.
This year looks to have been a good one for WiseTech on paper. The company released seemingly strong half-year earnings and upgraded its guidance in February.
However, the market appears to have turned on the former favourite. The WiseTech share price has slumped close to 35% year to date.
But it’s worth noting the company hasn’t suffered alone. The ASX 200 info tech sector has tumbled 36% in 2022, meaning WiseTech is performing in line with most of its peers.
As my Fool colleague Sebastian recently reported, rising inflation and interest rate hikes have likely dampened sentiment for ASX tech shares this year.
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