(AI video summary)

This video was created on 5 February 2026 for IG audiences by ausbiz.

Hansen Technologies: a focus on consistent growth

Analysts have identified Hansen Technologies (ASX:HSN) as a promising pick, highlighting its 50-year legacy in software as a service (SaaS) solutions. Specialising in back-end billing infrastructure for telecommunications and utilities like energy, Hansen has pursued a 'Hansenisation' strategy centred on acquisitions and consistent, profitable growth.

Despite a recent 20% decline in its stock price over six months, analysts see this as a buying opportunity, emphasising the company's strong fundamentals and cash flow generation ability. The potential for upside is considered greater than the downside, reflecting a favourable risk-reward balance.

Data#3: tapping into tech service flexibility

The other standout choice, Data#3 (ASX:DTL), is noted for its resilience in the face of technological volatility. Rather than developing new technology, Data#3 focuses on reselling services from established tech giants like Microsoft, allowing it to adapt and remain in demand.

The company benefits from shifting customer dynamics and has defied broader tech sell-offs over the past year. While the stock recently dipped, analysts view the current valuation as fair, expressing confidence in its potential to generate returns.

Investment outlook

Hansen Technologies and Data#3 emerge as promising tech sector picks despite market volatility. Hansen offers strong fundamentals, while Data#3 excels in adaptability.