June 2, 2021 6 minutes to read
This story originally appeared on StockMarket
Do you have these top tech stocks in your portfolio?
While 2020 was a stellar year for tech stocks, the sector appears to be taking a breather this year. Sure, when you think of hot stocks to buy on the stock market right now, most would turn to reopening games. After all, local pandemic conditions continue to improve and consumers are eager to spend their saved funds this summer. However, with tech stocks continuing to find solid foundations this year, some investors may see an opportunity.
It could be as some of the top names in the technology continue to innovate regardless of their stock performance. For example, tech giant Microsoft (NASDAQ: MSFT) recently launched its first Cybersecurity Executive Council in the Asia-Pacific region. This move would be in line with the recent surge in global cyberattacks in recent months. Digital threats are not only increasing in frequency but also in scope. To counteract this, technology companies such as ServiceNow (NYSE: NOW) are continuing to strengthen their existing collaborations with Microsoft in the area of cybersecurity. At the same time, private equity firms also see tremendous value in technology companies. The recent $ 5.3 billion acquisition of cloud computing company Cloudera (NYSE: CLDR) by Clayton, Dubilier & Rice and KKR would be a prime example.
Not to mention, blockchain tech companies like Coinbase (NASDAQ: COIN) are still making headlines right now. Yesterday the company made two important announcements. First, users can now add Coinbase cards to their Apple Pay (NASDAQ: AAPL) and Google Pay (NASDAQ: Demokratie) digital wallets. Next, the cryptocurrency exchange platform will allow Pro users to trade Dogecoin starting this week. Overall, the tech industry clearly has no shortage of exciting news for investors to jump on right now. Therefore, there are three in the focus of today’s stock market.
Tech stocks to buy [Or Avoid] In June 2021
Nvidia Corporation
Right off the bat, we’re going to take a look at the semiconductor chip maker Nvidia. In short, the company develops and markets graphics processing units (GPUs) and system-on-a-chip (SoC) units. With its GPUs, Nvidia meets the needs of the consumer gaming and cryptocurrency mining industries. At the same time, the company’s SoCs serve as important components in the mobile computing and automotive industries. With demand for Nvidia’s merchandise soaring across multiple markets, NVDA stock could now be a viable game for tech investors.
Source: TD Ameritrade TOS
In fact, thanks to the recent announcement, investors could now keep an eye on the company’s stock. Nvidia will be launching its premium RTX 3080 Ti (Ti) GPU tomorrow at a retail price of $ 1,199. According to Nvidia, the Ti delivers 1.5 times the performance of its predecessor of the previous generation. Now there is still immense demand for the company’s current RTX 30 range. Because of this, I wouldn’t be surprised that the Ti is also going to sell out soon.
Additionally, Nvidia saw consistently green in its most recent quarterly results released last week. The company recorded massive increases of 83% in total sales and 108% in net profit compared to the previous year. Nvidia posted earnings per share of $ 3.03 on sales of over $ 5.6 billion, beating consensus estimates. Now that semiconductor chip makers are ramping up production to meet rising consumer orders, NVDA stocks could be in focus. After reading all of this, would you think it worth investing now?
Continue reading
Canaan Inc.
Another tech company to make waves on the stock market now would be Canaan Inc. In some context, Canaan is a China-based computer hardware manufacturer. Essentially, Canaan specializes in the manufacture of blockchain server technology and application-specific integrated circuit solutions. These serve as important components of the Bitcoin mining operation. In addition, the company has an active artificial intelligence (AI) department working on the development of AI-based chips. Yesterday, the CAN share rose over 22% in intraday trading. Investors appear to be reacting to the latest quarterly results.
Source: TD Ameritrade TOS
In particular, the company had a blowout quarter. In terms of total net sales, Canaan saw a massive 489% year-over-year increase. This was followed by a 122.2% increase in total computer power sold over the same period. According to CEO Nangeng Zhang, the recent rally in Bitcoin price increased customer demand for its mining machines during the quarter. Zhang also stated that Canaan had strategically improved its mining equipment by enhancing key foundry partnerships. Because of this, the company also ended the quarter with “a large number of pre-orders from long-term customers,” which significantly improved Canaan’s liquidity position.
In the long term, exciting times could be ahead for Canaan. This would be largely thanks to the growing global customer base. Throughout the quarter, Canaan saw overseas market revenues increase 78.4% year over year. Canaan then plans to continue investing in its overseas customers in order to expand its core business now. Would all of this be a buy recommendation for CAN shares for you?
[Read More] 3 Value Stocks To Watch For Now
C3Ai. Inc.
This is followed by C3Ai Inc., a leading provider of enterprise AI software to accelerate digital transformation. The California-based company offers businesses a comprehensive suite of integrated services. This includes in particular the C3Ai-Suite, Applications, CRM and Ex Machina. The applications for its services range from large-scale AI app development to industry-specific software-as-a-service AI utilities and infrastructure for customer relationship management. Not to mention, the company’s Ex Machina service acts as a no-code AI solution that applies data science to everyday business problems. More importantly, investors seem to be flocking towards AI stocks, as they were up over 16% on Tuesday.
Source: TD Ameritrade TOS
All of this would probably be thanks to the recent expansion of the partnership. In particular, C3Ai and Royal Dutch Shell (NYSE: RDS-A) announced a five-year extension to their existing agreement. The focus of the current agreement is now on accelerating the delivery of C3Ai’s enterprise applications at Shell. In theory, C3Ai’s services through the Shell.ai program would help improve reliability, asset integrity and process optimization in all Shell businesses.
Shell CTO Yuri Sebregts said, “The Shell.ai program was a fundamental element in developing our digital strategy and C3Ai was a key partner in scaling our innovative products.” As Shell is now committed to clean energy and climate initiatives the partnership with C3.Ai is probably more important than ever. All in all, this is a solid game from C3.Ai as it continues to work with an oil industry giant. With all this in mind, are you going to add AI stocks to your portfolio now?
Comments are closed.