Some of the tech stocks have been on a tear throughout the first trading week of 2021. This could be, in part, because of the mess of problems being brought over from 2020. Tech companies have and continue to provide solutions for the general public amidst any chaos faced during these times. Naturally, investors have turned to the sector as a sort of safe haven on the stock market. This could be the case given the constant stream of new innovations being pushed out daily. As such, even with a pandemic, shaky economy, and growing political unrest, investors can see opportunity in the top tech stocks.
Nevertheless, the tech industry has a plethora of offerings for eager investors. Seeing how technology is integrated into most parts of our lives, there will likely be a tech stock suitable for any given investor. Take Veeva (NYSE: VEEV) for example. It is a cloud computing company that specializes in providing industry applications for the healthcare sector. If the health sector isn’t your thing, you could also look at cybersecurity companies like CrowdStrike (NASDAQ: CRWD). Recall its gains of over 270% in the past year. Its technology has played a vital role in providing online security for countless clients. All in all, investors looking for stocks that can benefit from several growing industries would be inclined to turn to tech stocks.
If anything, companies and seasoned investors alike know this. Many have tuned their radars towards the tech industry if they haven’t already. If you are among those who are just doing this now, fret not. Here is a list of the top tech stocks that are making moves.
Top Tech Stocks To Watch Right Now
Avaya Holdings Corporation
Avaya is a North Carolina-based technology company that specializes in cloud-based business communication. The company offers a wide range of cloud communication solutions and multi-cloud applications to its customers. Understandably, the company’s cloud-based business has boomed thanks to increasing work-from-home trends. AVYA stock has risen by over 230% since the March 2020 lows. Interestingly, the company’s share prices jumped by over 11% during Friday’s trading session. This was likely a result of the announcement of its latest partnership.
Late on January 7, news broke that Avaya will be teaming up with leading tech brokerage firm TBI. With this, TBI can offer Avaya’s Cloud Office and One Cloud to its clients from over 40 countries. TBI Senior VP Mike Onystok said, “Avaya’s program represents one of the biggest opportunities that our channel has been presented. Not only are there an enormous amount of existing end-users and partners familiar with the brand, but it’s focused on a set of products that we know very well. We are confident that our partners will see great success with Avaya and their comprehensive cloud offerings.” Considering TBI’s wide client pool, this could bode well for Avaya in the long run with exposure to new clients.
In its recent quarter fiscal posted in November, the company recorded $755 million in total revenue for the quarter. Adding to that, it also ended the quarter with $727 million in cash on hand. Given its current financial position, Avaya could have the means to cater to the latest wave of new customers. Time will tell if AVYA stock can benefit from this in the long run. Will you be adding it to your watchlist this month?
Following that, we have multinational tech company Baidu. Baidu is among the largest artificial intelligence (AI) and internet companies globally. Given the growing prevalence of AI technology in the world around us, the company has been doing well. In fact, its recent entry into the Chinese electric vehicle (EV) market sent waves throughout the industry on Friday. BIDU stock surged by over 15% during the trading day.
In detail, Baidu will be teaming up with automotive giant Geely to create smart EVs. The integration of Baidu’s AI technology with Geely’s automobile manufacturing expertise makes for a powerful alliance. Baidu CEO Robin Li said, “China has become the world’s largest market for EVs, and we are seeing EV consumers demanding next-generation vehicles to be more intelligent.” It seems that Baidu is aware of growing EV demands and aims to provide a top-notch product to match it. With competition such as Tesla (NASDAQ: TSLA) and Nio (NYSE: NIO), the company does have its work cut out for it. For one thing, I would not be surprised if investors are watching BIDU stock closely during these exciting times.
Another thing to consider would be the company’s financials. Seeing as cash is king, the company will need a lot of it to keep up in the intense Chinese EV market. Well, in its recent quarter fiscal, the company posted total revenue of over $4.3 billion. Adding to that, it also ended the quarter with $18.42 billion in cash on hand. Should Baidu play its cards right, BIDU stockholders could be in for an invigorating year ahead. Would you agree?
Shares of Infosys have been on the radar lately. Granted, INFY stock closed last week’s trading session on a new all-time-high. For some context, Infosys is an India-based information technology consulting company. With all the hype around INFY stock, I’d say this warrants a closer look at the company.
In its second-quarter fiscal posted in October, the company reported stellar financials. Impressively, it brought in $3.31 billion in total revenue for the quarter. Aside from that, it also saw a 30% year-over-year increase in cash on hand. This added up to a whopping $3.04 billion in cash on hand by the end of the quarter. The company also raised its revenue and margin outlook for its fiscal year in the same report. Accordingly, investors appear to be anticipating good news as Infosys will report its third-quarter fiscal on Wednesday.
Despite its fantastic second-quarter performance, Infosys is not resting on its laurels. Late last month, the company announced a long-term strategic partnership with Mercedes-Benz parent company Daimler AG. Daimler is looking towards Infosys to restructure its IT operating model and infrastructure across the board. Infosys CEO Salil Parekh said, “Infosys has deep expertise in helping our clients across the globe navigate their digital journeys, and as part of this strategic partnership, we look forward to setting a new standard for the automotive industry.” All things considered, could we be looking at the beginning of interesting times for INFY stock? Your guess is as good as mine.