Growth shares haven't had an easy run of late. Higher interest rates, concerns about valuations, and fears around AI disruption have all weighed heavily on this side of the market.
But history shows that sharp selloffs can set the stage for powerful rebounds once sentiment stabilises.
If confidence returns to growth in 2026, these three ASX shares could be well placed to bounce back strongly according to analysts.
The first ASX growth share that could rebound strongly is NextDC. It operates critical data centre infrastructure supporting cloud providers, enterprises, and government agencies. Demand for data storage and processing continues to rise, particularly with the expansion of AI workloads.
Yet like many ASX growth shares, NextDC has experienced volatility amid broader market weakness.
If investor appetite for infrastructure-backed growth returns in 2026, NextDC's long-term expansion pipeline and exposure to digital infrastructure could support a meaningful rebound.
Macquarie currently has an outperform rating and $22.30 price target on its shares. Based on its current share price of $13.90, this implies potential upside of 60% for investors.
Another ASX growth share that could rebound hard is WiseTech Global.
WiseTech's CargoWise platform sits at the core of global freight and logistics operations. It is deeply embedded in customers' workflows, with high switching costs and recurring subscription revenue.
Its share price has been pressured by broader tech sector weakness and AI disruption concerns. However, this type of software is very complex and would be very hard for AI to disrupt.
If investors begin to refocus on structural earnings growth rather than short-term macro noise, WiseTech could see sentiment recover quickly.
Bell Potter currently has a buy rating and $87.50 price target on WiseTech's shares. Based on its current share price of $47.34, this suggests upside of 85% is possible between now and this time next year.
A final ASX growth share with rebound potential is Xero.
Xero has been caught up in concerns that artificial intelligence could lower barriers to entry in accounting software. While that risk can't be dismissed, the company's platform remains deeply integrated into the operations of small and medium-sized businesses.
Subscriber growth, international expansion, and ecosystem development continue to underpin the long-term story.
After a significant pullback from previous highs, expectations have been reset. If Xero delivers steady execution, even modest positive surprises could drive a sharp share price recovery.
UBS has a buy rating and $174.00 price target on Xero's shares. Based on its current share price of $78.50, this implies potential upside of 120% for investors over the next 12 months.
The post 3 ASX growth shares that could rebound hard in 2026 appeared first on The Motley Fool Australia.
Motley Fool contributor James Mickleboro has positions in Nextdc, WiseTech Global, and Xero. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group, WiseTech Global, and Xero. The Motley Fool Australia has positions in and has recommended Macquarie Group, WiseTech Global, and Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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