Dec 30, 2020 (StockMarket.com via COMTEX) -- Can These Top Tech Stocks Continue Their Momentum Into 2021?
U.S. tech stocks have driven the stock market to record highs despite the coronavirus pandemic plaguing the world. In fact, the tech industry has also become one of the most profitable sectors in the country in recent years. Why is that so you may ask? I would believe that the industry has been able to adapt to the circumstances that came with the pandemic. It could swiftly accommodate the global shift in customer demand and needs.
The tech industry is huge and is filled with companies that specialize in various sectors of the market. For instance, we have software , hardware, and cloud computing . As an investor, this means you can diversify by investing in the various top tech stocks from a variety of sectors. It is undeniable that tech companies have helped shape the face of the stock market today . However, some investors are still looking for bigger and better opportunities in the future. If technology continues to make life easier for everyone, it will also continue to bring huge returns to investors if they can stay one step ahead of the curve. If history was any teacher, you only need to look at tech stocks like Apple ( AAPL Stock Report ) and Amazon ( AMZN Stock Report ) to see how successful they have become today.
How is it that tech companies can perform so well despite the economic volatility caused by the pandemic? It is because of how much we depend on the tech offerings from these companies and it directly influences the way we work, shop, and live. With that in mind, let us take a look at the best tech stocks to buy before 2021.
Best Tech Stocks To Buy [Or Sell] Before 2021: Intel Corporation
Intel ( INTC Stock Report ) is a technology titan that has been in the industry for decades. It is the world's largest semiconductor chip manufacturer based on revenue. It supplies its microprocessors for computer systems manufacturers like HP ( HPQ Stock Report ) and Dell ( DELL Stock Report ).
By looking at the company's latest quarter financials posted in October, we can see that the company made $18.3 billion for the quarter. Intel also reported earnings per share of $1.02. These figures exceeded investor expectations despite pandemic-related impacts in a significant portion of Intel's business. This is also impressive as Intel has managed to weather through the pandemic and economic uncertainty. The company also reports that its third 10nm manufacturing facility, located in Arizona, is now fully operational.
Intel stocks have popped by 6% in yesterday's trading. This was after hedge fund Third Point LLC was reported to be pushing Intel to explore strategic alternatives. The hedge fund wants Intel to consider separating its chip design operations from its manufacturing operations via a manufacturing joint venture. Third Points owns about $1 billion of Intel stocks. Intel also released a statement yesterday that it welcomes input from all regarding enhanced shareholder value in response to Third Point. Could Intel be heading in the right direction and would this be enough for you to have INTC stock on your watchlist?
Best Tech Stocks To Buy [Or Sell] Before 2021: Snap Inc.
Snap ( SNAP Stock Report ) is a tech company that is behind the popular social media app Snapchat. It is also a camera company that is reinventing the camera. The company's stock price briefly hit an all-time high yesterday after receiving a very enthusiastic buy rating from analysts at Goldman Sachs, citing strong ad sales and a growing user base. Nevertheless, it has taken a breather this morning, falling 2% as of 10:00 a.m. ET.
The company has been doing well financially in 2020, to say the least. In the company's latest quarter financials posted in October, Snap reported a revenue increase of 52% year-over-year to $679 million. The average revenue per user rose by 28% to $2.73. The company also reported that its daily active user increased by 18% in this quarter to 249 million. Impressively, the company also says that its average number of Snaps created every day grew by 25% to a year earlier. Will Snap be able to maintain this momentum going into 2021?
I believe so as the company has made a slew of investments into its camera and augmented reality platforms this year. This includes Lens Studio, which is a powerful application designed for artists and developers to build augmented reality experiences for Snapchat users. Last month, the company also launched Spotlight, which is a new entertainment platform for user-generated content. Snap's spotlight product, new ad campaign objectives, and bid types, all have the potential to drive further momentum in engagement growth and provide scale to advertisers. With such exciting growth surrounding the company, will you want to own SNAP stock?
Best Tech Stocks To Buy [Or Sell] Before 2021: Sea Limited
Sea ( SE Stock Report ) is a tech company that is based in Singapore. The company has developed an integrated platform consisting of digital entertainment, e-commerce, and digital financial services. The company owns Shopee, which is the leading e-commerce platform in Southeast Asia and Taiwan. Sea stocks have been up by over 300% year-to-date and are trading at $196.75 as of 4:00 p.m. ET.
In the company's third-quarter fiscal posted last month, Sea reported total revenue of $1.2 billion, up by 98.7% year-over-year. About half of this revenue came from Shopee. Its gross merchandise value (GMV) was $9.3 billion, an impressive 102.7% increase compared to a year earlier. In Indonesia, Shopee is the largest e-commerce platform and has registered over 310 million orders in the quarter. It also continued to rank #1 in the Shopping category by downloads, average monthly active users, and total time spent in-app on Android for the quarter. These are truly commendable feats by the company.
Earlier this month, the company was selected for the award of a license to operate a digital full bank in Singapore. This will allow Sea to offer digital banking services to address the underserved financial needs of young consumers and SMEs in Singapore. Along with its SeaMoney, a digital payments and financial services, Sea is already deeply integrated into Singapore's digital economy. If anything, this license would only propel the company further. All things considered, will you have SE stock in your portfolio?
Is there a problem with this press release? Contact the source provider Comtex at firstname.lastname@example.org. You can also contact MarketWatch Customer Service via our Customer Center.