Technological innovation is reshaping just about everything we do. For example, if you wanted to make a phone call just a few decades ago, you would have had to use a corded phone. But today, cell phones make it easy to make calls from anywhere. And that’s not the only thing technology has changed.
The rise of artificial intelligence (AI) has made it possible to control nearly every aspect of your home, from your blinds to your air conditioner, using a cell phone. Autonomous driving technology may take humans out of the driver’s seat soon rough and advanced microchips have given computers more capabilities than ever before.
As technological innovation continues to reshape our world, it’s creating opportunities for investors. So what opportunities should you look at in the tech space right now? Here are three tech stocks to consider.
Key Points
- NVIDIA has the potential to produce significant gains as a leader in AI.
- Alphabet’s strength as a search and online advertising giant should not be ignored.
- Micron Technology’s innovation in digital memory sets the stage for significant potential growth.
- These aren’t the only tech stocks you should pay attention to. The next NVIDIA could be in the making right now. Don’t miss out.
NVIDIA Is at the Epicenter of AI
AI is driving much of the technological change the world is seeing at the moment. From hand-held personal assistants to smart home management, AI is at the center of technological innovation. And, you can’t talk about AI without talking about NVIDIA (Nasdaq: NVDA).
NVIDIA develops, manufactures, and sells computer chips, processing systems, and other technology that AIs need to work properly. Its technology powers data centers across the United States — centers that house some of today’s most powerful AIs among a wide range of other data.
But, AI and data centers aren’t the only areas where NVIDIA shines. The company’s hardware and software solutions are also at the center of the cryptocurrency mining industry, driving further revenue for the company.
And analysts seem to love the stock. At the moment, 41 analysts are weighing in on NVIDIA, 37 of whom rate it a Buy and four of whom rate it a Hold, for a Strong Buy consensus rating. The consensus price target of $140.85 represents a nearly 10% upside potential.
Alphabet Is a Search and Advertising Powerhouse
Alphabet (Nasdaq: GOOG) has many subsidiaries, which is why its name was changed from Google to Alphabet. But the company is particularly well known for its search engine, Google. Easily the largest and most used search engine in the world, Google has built a brand that has become much more than a brand name — it’s a verb. When you want to know who starred in a particular film, what restaurants are open right now, or the answer to most other questions, chances are that you “Google” it.
Alphabet is also the parent company of YouTube, Adsense, Adwords, and many other well-known brands. The brunt of the company’s income comes from online advertising, whether that advertising is on the company’s website or one of its more than 58 million partner websites.
And Alphabet is likely to continue growing. Not only does it control the majority of the online search market and a meaningful percentage of the online advertising market, but it’s also involved in a wide range of other businesses. In fact, Alphabet has subsidiaries that range from technology to healthcare.
Perhaps that’s why the stock has earned a Strong Buy consensus analyst rating. All nine of the analysts weighing in on the stock rate it a Buy. And with a $200.50 consensus price target, Alphabet seems to have plenty of upside potential.
Micron Technology Is a Clear Digital Memory and Storage Winner
Micron Technology (Nasdaq: MU) develops, manufactures, and sells digital memory and storage solutions. Those solutions include things like USB flash drives and dynamic random-access memory (DRAM) systems. But while the company offers a wide range of memory products, one product represents a significant opportunity — Micron Technology’s high bandwidth memory (HBM) systems.
Micron Technology’s HBM systems are so powerful that even NVIDIA uses them in some of its products. That’s because these systems have the potential to enhance the abilities of artificial intelligence platforms.
AI is already driving meaningful demand for the company’s HBM products. Those who want to get their hands on these products but haven’t ordered them yet will likely have to wait until 2026. That’s because Micron Technology has already sold out of its entire HBM capacity for this year and next.
So, what do analysts think about the stock?
27 analysts have shared opinions on Micron Technology. 25 of those analysts rate the stock a Buy, two rate it a Hold, and none rate it a Sell. That gives the stock a “Strong Buy” consensus rating. At $169.08, the consensus price target on the stock is just as impressive as its rating. Analysts suggest the stock has a more than 32% upside potential!
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