Technology is omnipresent and omnipotent. The wide reach of cloud-based platforms, AI solutions, AR/VR reality devices, autonomous cars and Internet of Things (IoT) is incredible to say the least. So when it comes to the players in this industry, it will not be too ambitious presume a prosperous journey ahead.
Other than the substantial growth in cloud computing and Internet of Things, artificial intelligence, strong earnings and impressive sales imply that the technology sector’s hot streak should continue throughout 2018.
Market leaders like Amazon, Apple, Facebook and Google dominate the tech industry with consumer-favorite products. We can say that the industry has made substantial gains and reached new heights due to these technology giants.
Yet, these are not the only companies poised to keep growing in the tech space. There are other stocks too outside these household names with a good Zacks Rank that are also great growth stocks.
Which Stocks to Pick?
To cash in on the favorable technology trends, this is the right time to add a few technology stocks that have growth potential.
We have taken the help of the Zacks Stock Screener to make our selection foolproof. To shortlist the stocks from the vast universe of tech companies, we have picked stocks that carry a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
To further narrow down the list, we have selected those thathave a Growth Score of A or B. Our research shows that stocks with a Growth Score of A or B when combined with a Zacks Rank #1 or 2 offer the best upside potential. Also, we've highlighted stocks that are currently trading under $20 per share.
Harvard Bioscience, Inc. (HBIO - Free Report) carries a Zacks Rank #2. The stock has a Growth Score of A. In the last one year, shares of this company have increased 84.6% compared with the industry’s gain of 31.3%. Moreover, the stock is currently valued at $4.80.
The company outpaced the Zacks Consensus Estimate in one of the last four quarters and matched the same in the other three, with an average positive earnings surprise of 25%.
TechTarget, Inc. (TTGT - Free Report) carries a Zacks Rank #2. The stock has a Growth Score of A and is currently valued at $19.46. In the past year, shares of this company have increased 119.9% compared with the industry’s gain of 66.8%.
The company has surpassed the Zacks Consensus Estimate by an average of 39.49% in three out of the trailing four quarters.
QuinStreet, Inc. (QNST - Free Report) carries a Zacks Rank #2 and has a Growth Score of A. Shares of the company have gained 317.9% in the past one year compared with the industry’s gain of 62.8%. Moreover, the stock is currently valued at $14.5.
The company’s Zacks Consensus Estimate for 2018 earnings of 36 cents reflects year-over-year growth of 227.3%. Moreover, earnings are expected to register 34.7% growth in 2019. The stock has a long-term expected earnings per share growth rate of 25%.
Westell Technologies, Inc. , carries a Zacks Rank #2 and has a Growth Score of B. Shares of the company have skyrocketed 41.8% in the past one year compared with the industry’s gain of 13.6%.Moreover, the stock is currently valued at $3.46.
The company has surpassed the Zacks Consensus Estimate by an average of 225% in three out of the trailing four quarters. The company’s Zacks Consensus Estimate of 30 cents for 2018 earnings per share reflects year-over-year growth of 225%.
Zacks Editor-in-Chief Goes ""All In"" on This Stock
Full disclosure, Kevin Matras now has more of his own money in one particular stock than in any other. He believes in its short-term profit potential and also in its prospects to more than double by 2019. Today he reveals and explains his surprising move in a new Special Report.
Download it free >>