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Highlights

  • WiseTech shares fell as much as 6.4% on tariff-related demand concerns.

  • The company warned of macroeconomic and geopolitical uncertainties affecting FY25.

  • Morningstar analysts reaffirm confidence, noting long-term secular growth potential.

Shares of WiseTech Global Ltd (ASX:WTC) experienced a turbulent session on Tuesday, falling as much as 6.4% to AU$88.11 in early trade before paring losses later in the day. The dip came after the Australian logistics software firm flagged potential demand risks stemming from global trade tariffs and ongoing geopolitical uncertainty.

In a recent update, WiseTech cautioned that geo-political tensions, macroeconomic headwinds, and a volatile trading environment — including the growing threat of trade tariffs — could pose challenges for the remainder of the 2025 financial year. 

Adding to the pressure was broad weakness in U.S. technology stocks overnight, which weighed on Australian tech peers, including WiseTech. The global tech sector has seen increased volatility amid rate uncertainty and geopolitical disruptions.

Morningstar offers reassurance

Despite the negative sentiment, WiseTech shares clawed back some of their earlier losses after Morningstar analysts issued a reassuring note, highlighting that the company’s long-term growth prospects remain intact.

“We view WiseTech’s growth story as one of secular market penetration through technology, rather than cyclical market growth,” Morningstar noted, suggesting the firm's core value lies in its strategic expansion into global supply chain software solutions.

Morningstar also argued that market jitters surrounding the transition of co-founder Richard White from CEO are overblown. 

“WTC shares continue to look undervalued given the long-term growth opportunity,” the brokerage added, reinforcing its positive outlook.

Market performance

Year-to-date, WiseTech shares are down 24.3%, underperforming both the broader market and tech sector benchmarks.