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3 Hidden Tech Stocks to Buy Now (PGY, SEZL, APP)

With tariff negotiations showing signs of progress and volatility easing, it looks like the bull market may be back on track. While household names like the Magnificent 7 and leading AI giants are expected to benefit, investors willing to look off the beaten path may find even greater upside in lesser-known names.

This article highlights three under-the-radar tech stocks that are already showing signs of powerful momentum and may just be getting started. Each of these companies is a high-growth innovator, backed by strong growth forecasts, surging stock price action, and a top Zacks Rank.

Sezzle Inc. ((SEZL - Free Report) ), Pagaya Technologies Ltd. ((PGY - Free Report) ),and AppLovin ((APP - Free Report) ) are three standout names with enormous potential in the current environment. They may not be as widely followed as the giants, but for investors comfortable with higher volatility and looking to ride the next wave of tech winners, these stocks are worth a close look.

Zacks Investment Research
Image Source: Zacks Investment Research

Pagaya Technologies Ltd: The Market’s Next Big Stock

Pagaya Technologies Ltd. is, in my opinion probably the most compelling stock in the market today. The company operates at the intersection of AI and financial technology, using machine learning to enhance credit decisioning and underwriting across consumer lending platforms. Its proprietary AI models help financial institutions expand access to credit while managing risk more efficiently, a massive addressable market with long-term tailwinds.

While the stock took a hit earlier this year following a disappointing Q1 earnings report, the turnaround has been swift and impressive. Pagaya has bounced back with earnings inflecting meaningfully positive and analysts raising their earnings forecasts. Pagaya Technologies now has a Zacks Rank # 1 (Strong Buy) rating.

What makes the story even more compelling is the valuation. Pagaya trades at just 8.3x forward earnings, despite projected sales growth of 20% this year and 16% next year. Even more impressive, earnings are expected to surge 112% in 2025 and another 39% in 2026.

For investors looking for a high-growth, AI-driven stock with serious upside potential and a reasonable valuation, Pagaya could be the market’s next breakout name.

Zacks Investment Research
Image Source: Zacks Investment Research

Sezzle Inc: Shares Remain Cheap Despite Huge Rally

Sezzle Inc. is another stock I’m genuinely excited about and for good reasons. I originally highlighted the company back in the fall of 2024, and since then, it’s become one of the best-performing recommendations I’ve ever made. Sezzle operates in the Buy Now, Pay Later (BNPL) space, helping consumers access flexible financing options, while maintaining a focus on profitability and disciplined growth.

Despite the stock’s impressive rally, valuation remains attractive, with shares trading at just 26.9x forward earnings. That’s particularly compelling when you consider the company is projected to grow sales by 62% this year and another 20.8% next year, with earnings expected to rise 76% in 2025 and 30% in 2026.

Sezzle also holds a Zacks Rank #1 (Strong Buy), reflecting its bullish earnings revision trend. In fact, just today analysts significantly raised earnings estimates, with 2025 estimates up 46.6% and 2026 up 45.2%. For investors seeking growth, momentum, and rising expectations, Sezzle checks all the boxes.

Zacks Investment Research
Image Source: Zacks Investment Research

AppLovin: Top Stock Continues to Get Upgrades

AppLovin  has quickly become one of the standout performers in the tech sector over the last couple years, though it still flies under the radar. The company provides a leading mobile app marketing and monetization platform powered by machine learning, helping app developers scale and optimize revenue through targeted advertising and user engagement tools.

AppLovin has been a huge winner over the past two years, and notably, it was flagged early by the Zacks Rank before its big bull run. Most recently, the stock saw a fresh wave of significant upward earnings revisions, with estimates rising 19.2% for the current quarter, 12.5% for the full year, and 18.8% for next year.

While it trades at a premium valuation of 42.5x forward earnings, the growth outlook helps justify it. Sales are projected to rise 24.3% in 2025 and 16.3% in 2026, while earnings are expected to soar 70.6% this year and 44.8% next year.

With strong fundamentals, accelerating growth, and consistent analyst upgrades, AppLovin remains one of the most compelling and under-followed tech stocks in the market today.

Zacks Investment Research
Image Source: Zacks Investment Research

Should Investors Buy Shares in PGY, SEZL and APP?

For investors seeking high-growth tech exposure beyond the usual big names, Pagaya Technologies, Sezzle, and AppLovin each offer a compelling mix of momentum, earnings strength, and long-term potential. Backed by rising analyst estimates and top Zacks Ranks, these under-the-radar stocks could be early leaders in the next phase of the tech rally.


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AppLovin Corporation (APP) - free report >>

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