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2 Tech Stocks to Buy for Stellar Post-Pandemic Growth
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Among the broader Zacks Computer & Technology sector the Internet – Content Industry is currently in the top 32% of over 250 Zacks Industries.
A few of these companies have grown substantially following the pandemic. Here are two stocks in particular that are standing out at the moment, sporting a Zacks Rank #1 (Strong Buy).
An IPO in 2020 might have been ill timing due to Covid-19 but with pent-up travel demand following the pandemic, Airbnb’s growth has been accelerated.
Airbnb is continuing to grow rapidly post-pandemic as an alternative to vacationers and travelers seeking a unique experience outside of traditional hotels. Through its online and mobile platforms, Airbnb offers private rooms or homes, and luxury villas by connecting hosts with guests.
Earnings estimate revisions have impressively risen over the last 60 days and continued to rise after Airbnb crushed its Q4 earnings expectations last month and was also able to beat sales estimates as well.
Image Source: Zacks Investment Research
Fiscal year 2023 EPS estimates have soared 20% in the last two months with FY24 estimates up 13%. Airbnb’s earnings are now expected to climb 21% this year and jump another 19% in FY24 at $4.04 per share.
On the top line, sales are forecasted to rise 15% in FY23 and soar another 15% next year to $11.12 billion. More impressive, fiscal 2024 would represent 131% growth from pre-pandemic levels with 2019 sales at $4.80 billion.
Image Source: Zacks Investment Research
Airbnb stock is up +46% year to date to easily top the broader indexes while also outperforming the Internet Content Markets +21%. Since its IPO, Airbnb stock Is now down -13% to slightly trail the Nasdaq’s -7%, with its Zack Subindustry up +4% and the S&P 500 up +7%. However, Airbnb’s impressive growth is reason to believe there could be more upside in 2023 and beyond.
Global advertising technology company Perion Network is another stock investors may want to consider buying for growth. Perion’s synergistic solutions are delivered across the three primary channels of digital advertising; ad search, social media, and display which includes video and CTV advertising.
Perion has grown immensely throughout the pandemic and its earnings estimate revisions are standing out at the moment. This is a good sign that advertisers and businesses are looking to spend more on branding and publishing as they adjust to high inflation.
To that point, Perion easily surpassed its Q4 bottom-line expectations in early February and also beat top-line estimates. In correlation, Perion’s fiscal 2023 and FY24 EPS estimates have gone up 16% and 13% respectively.
Image Source: Zacks Investment Research
Fiscal 2023 earnings are now projected to be up 9% this year and rise another 8% in FY24 at $2.92 per share. Sales are forecasted to jump 14% in FY23 and climb another 12% in FY24 to $821.48 million. Plus, fiscal 2024 would represent 214% growth from pre-pandemic levels with 2019 sales at $261 million.
Image Source: Zacks Investment Research
Perion stock is up +42% year to date to largely outperform the broader indexes and the Internet Content Market with its continued growth indicating there could be more upside. Furthermore, over the last three years, Perion stock is up +478% to crush the benchmark, Nasdaq, and its Zacks Subindustry’s +43%.
Image Source: Zacks Investment Research
Takeaway
Airbnb and Perion Networks’ post-pandemic growth has been stellar and rising earnings estimate revisions are a good sign this will continue. The price return performance of Airbnb and Perion Network stock has been remarkable so far this year and there could be more upside as both companies have somewhat unique businesses that should help protect and sustain growth.
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2 Tech Stocks to Buy for Stellar Post-Pandemic Growth
Among the broader Zacks Computer & Technology sector the Internet – Content Industry is currently in the top 32% of over 250 Zacks Industries.
A few of these companies have grown substantially following the pandemic. Here are two stocks in particular that are standing out at the moment, sporting a Zacks Rank #1 (Strong Buy).
Airbnb (ABNB - Free Report) )
An IPO in 2020 might have been ill timing due to Covid-19 but with pent-up travel demand following the pandemic, Airbnb’s growth has been accelerated.
Airbnb is continuing to grow rapidly post-pandemic as an alternative to vacationers and travelers seeking a unique experience outside of traditional hotels. Through its online and mobile platforms, Airbnb offers private rooms or homes, and luxury villas by connecting hosts with guests.
Earnings estimate revisions have impressively risen over the last 60 days and continued to rise after Airbnb crushed its Q4 earnings expectations last month and was also able to beat sales estimates as well.
Image Source: Zacks Investment Research
Fiscal year 2023 EPS estimates have soared 20% in the last two months with FY24 estimates up 13%. Airbnb’s earnings are now expected to climb 21% this year and jump another 19% in FY24 at $4.04 per share.
On the top line, sales are forecasted to rise 15% in FY23 and soar another 15% next year to $11.12 billion. More impressive, fiscal 2024 would represent 131% growth from pre-pandemic levels with 2019 sales at $4.80 billion.
Image Source: Zacks Investment Research
Airbnb stock is up +46% year to date to easily top the broader indexes while also outperforming the Internet Content Markets +21%. Since its IPO, Airbnb stock Is now down -13% to slightly trail the Nasdaq’s -7%, with its Zack Subindustry up +4% and the S&P 500 up +7%. However, Airbnb’s impressive growth is reason to believe there could be more upside in 2023 and beyond.
Image Source: Zacks Investment Research
Perion Network (PERI - Free Report) )
Global advertising technology company Perion Network is another stock investors may want to consider buying for growth. Perion’s synergistic solutions are delivered across the three primary channels of digital advertising; ad search, social media, and display which includes video and CTV advertising.
Perion has grown immensely throughout the pandemic and its earnings estimate revisions are standing out at the moment. This is a good sign that advertisers and businesses are looking to spend more on branding and publishing as they adjust to high inflation.
To that point, Perion easily surpassed its Q4 bottom-line expectations in early February and also beat top-line estimates. In correlation, Perion’s fiscal 2023 and FY24 EPS estimates have gone up 16% and 13% respectively.
Image Source: Zacks Investment Research
Fiscal 2023 earnings are now projected to be up 9% this year and rise another 8% in FY24 at $2.92 per share. Sales are forecasted to jump 14% in FY23 and climb another 12% in FY24 to $821.48 million. Plus, fiscal 2024 would represent 214% growth from pre-pandemic levels with 2019 sales at $261 million.
Image Source: Zacks Investment Research
Perion stock is up +42% year to date to largely outperform the broader indexes and the Internet Content Market with its continued growth indicating there could be more upside. Furthermore, over the last three years, Perion stock is up +478% to crush the benchmark, Nasdaq, and its Zacks Subindustry’s +43%.
Image Source: Zacks Investment Research
Takeaway
Airbnb and Perion Networks’ post-pandemic growth has been stellar and rising earnings estimate revisions are a good sign this will continue. The price return performance of Airbnb and Perion Network stock has been remarkable so far this year and there could be more upside as both companies have somewhat unique businesses that should help protect and sustain growth.