Bitcoin had a topsy-turvy second quarter, hitting an all-time high of $64,829.14 on Apr 14 and then briefly dropping to $28,600 on Jun 22. It is currently trading at $33,588.74,
down 3.8% on a 24-hour basis and 48.1% from the all-time high, per coindesk.com data. Bitcoin’s dramatic upside run, which was fueled by Tesla’s ( TSLA Quick Quote TSLA - Free Report) announcement of accepting the digital coin as payments for its cars, came to a screeching halt after the EV giant’s CEO Elon Musk cited environmental concerns of mining bitcoins due to heavy power consumption that requires usage of fossil fuels. Moreover, an unexpected hawkish tone of the U.S. Federal Reserve, which is now expected to make its first interest-rate hike in 2023 instead of 2024, also hurt bitcoin’s rally. Further, regulatory crackdown in China, which reportedly mines almost 60% of the world’s currently circulating bitcoins, rattled bitcoin investors. Soaring Tech Stocks a Better Bet
Tech stocks have been benefiting from the ongoing digitalization in the sector. Adoption of cloud computing and the integration of AI and machine learning have been key catalysts.
Moreover, rapid adoption of a hybrid work environment is expected to keep demand for PCs and laptops high. The work-from-home set-up continues to boost demand for cloud-based video conferencing, web conferencing, teleconferencing as well as workspace communication and collaboration solutions. Undoubtedly, cryptocurrencies are high-risk investments and not everybody’s forte due to their inherent volatility. Instead, tech stocks are currently better choices for building a growth-focused investment basket. Here we pick five such tech stocks that have a favorable combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here . Moreover, these stocks have outperformed both bitcoin and the S&P 500’s rally on a year-to-date basis. Per the Zacks proprietary methodology, stocks with such a perfect mix of elements offer solid investment opportunities. Year-to-Date Performance
Image Source: Zacks Investment Research
Top Bets Transcat ( TRNS Quick Quote TRNS - Free Report) is riding on strong demand for its accredited calibration, repair, inspection and laboratory instrument services. Recovery in industrial (accounts 48% of service revenues) and Life Science (accounts 48% of service revenues) end-markets bodes well for the company. Organically, the service segment is expected to grow in the mid-to-high-single digit range while acquisitions are anticipated to drive double-digit growth. Transcat currently flaunts a Zacks Rank of 1 and a Growth Score of B. The Zacks Consensus Estimate for its fiscal 2022 earnings is pegged at $1.42 per share, having been raised 12.7% in the past 60 days. Shares have returned 62.9% year to date. 3D Systems ( DDD Quick Quote DDD - Free Report) benefits from robust healthcare performance driven by strong dental and medical applications end-market. Moreover, rebound in customer activity following pandemic-related shutdowns is a positive. Initiatives to lower costs are expected to boost margins over the long run. 3D Systems has a Zacks Rank #2 and a Growth Score of B. The Zacks Consensus Estimate for its 2021 earnings is pegged at 37 cents per share, having been revised 48% upward in the past 60 days. Shares are up a massive 281.4% year to date. NVIDIA ( NVDA Quick Quote NVDA - Free Report) benefits from strong demand for GeForce desktop and notebook GPUs, which is boosting gaming revenues. Moreover, continuing Hyperscale demand remains a tailwind for the company’s datacenter business. Further, NVIDIA’s GPUs are rapidly benefiting from the proliferation of AI. By applying its GPUs in AI models, the company is expanding its base in other untapped markets like automotive, healthcare and manufacturing. NVIDIA currently carries a Zacks Rank of #2 and a Growth Score of A. The Zacks Consensus Estimate for its fiscal 2022 earnings is pegged at $15.84 per share, having been revised 17.6% upward in the past 60 days. Perion Network ( PERI Quick Quote PERI - Free Report) is riding on strong advertising revenue growth. Recovery in advertiser spending and spike in e-commerce-related ad-spending are key catalysts for this Zacks Rank #2 company. The ongoing change in consumer behavior that has fostered increasing usage of e-commerce services is expected to keep advertiser spending strong in the near term. Perion is also expected to benefit from robust performance of its Search business, driven by strong advertiser demand and partnership with Microsoft’s MSFT Bing. Perion has a Growth Score of A. The consensus mark for its fiscal 2021 earnings has been revised 33% upward to 44 cents per share in the past 60 days. Generac Holdings ( GNRC Quick Quote GNRC - Free Report) shares have returned 82.6% year to date. The company is benefiting from robust demand for its home standby generators. Recovery in Commercial & Industrial markets is a tailwind. Moreover, improved service capabilities along with an extended footprint in the clean energy market bode well. Currently, Generac has a Zacks Rank #2, with a Growth Score of B. The Zacks Consensus Estimate for Generac’s 2021 earnings stands at $10.14 per share, having moved 2.1% north over the past 60 days. Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year. Free: See Our Top Stock and 4 Runners Up >>