3 high tech stocks to buy for more growth in 2021

Nasdaq reached record highs again on Wednesday, with investors continuing to invest in technology, despite the success that the areas affected by the coronavirus and the most affected cyclicals have had since the beginning of November. That said, the gains have been somewhat silenced since the approval of the new $ 900 billion bailout package, which for the most part was already priced.

Investors are also still trying to digest what the new UK travel bans based on coronavirus could mean, as the U.S. and much of the global economy are gearing up for a harsh winter amid new restrictions. However, the increase in coronavirus cases has not diminished the general optimism, especially with the launch of the vaccine.

Along with the possibility that about 100 million Americans will be vaccinated by February or March, the prospect of gains from the S&P 500 for next year is strong. And it was never too much to emphasize how the low interest rate environment is likely to continue to be for stocks.

This means that optimistic investors are probably looking for stocks to buy for 2021. And the broader technology sector may still be the best place to find winners, despite their race, because it has the prospect of growth and impact in all aspects. of the economy to help justify rising stock prices …

Digital Turbine, Inc. APPS

Digital Turbine’s shares suffered an absolute rupture in 2020 due to its ability to succeed in a vital space that is focused on the growing world of smartphones and applications. Digital Turbine works to connect OEMs, mobile operators and publishers with advertisers and developers for “frictionless apps and content discovery, user acquisition and engagement, operational efficiency and monetization opportunities”. The Austin, Texas-based company is proud to have delivered more than “three billion application preloads for tens of thousands of advertising campaigns.”

APPS has been on Deloitte’s Technology Fast 500 list several times and completed the acquisition of Mobile Posse in March. The deal helps create a more robust offering for customers by adding Mobile Posse’s “highly engaging content discovery product suite”. Revenue from fiscal 2020 APPS increased 34%, which came in over 39% in fiscal 19 and was mostly organic, as it included just one month of Mobile Posse operations.

The company surpassed our estimates for the Q2 FY21 at the end of October, and Zacks’ estimates indicate that its revenue for FY21 will rise 105%, with FY22 projected to come in by another 29% to reach $ 364 million. Meanwhile, your adjusted earnings are expected to rise 215% and 37%, respectively, on this stretch.

As we mentioned earlier, APPS skyrocketed more than 700% in 2020, from $ 7 per share to around $ 60. Digital Turbine overtook other high-profile pandemics like Tesla TSLA, Zoom Video ZM and Shopify SHOP, and hit new records on Tuesday.

Digital Turbine’s earnings prospects have also increased since its last report to help it achieve a Zacks # 2 (buy) rating at the moment. APPS also scored “A” for growth in our style scoring system and three of the five brokerage recommendations that Zacks made for the digital turbine came with a “strong buy”.

Zendesk, Inc. ZEN

Zendesk is a cloud-focused CRM company with a software portfolio focused on sales, support and customer engagement. The company has more than 160,000 customers, from startups to large companies.

ZEN surpassed our third quarter estimates in late October and is poised to grow as more companies in a variety of sectors are forced to accelerate their digital transformations. “Traditional companies are adopting new models of involvement in stores, e-commerce and emerging channels, such as social networks and messages …”, wrote the company in a letter to shareholders last quarter.

ZEN rose 85% last year to double the industry average. This is part of a more impressive race, which has increased by 325% over the past three years. More recently, Zendesk has risen 45% in the past three months and reached a new record of about $ 144 per share on Wednesday.

Zacks estimates that ZEN’s revenue will jump over 25% in 2020 to reach more than $ 1 billion for the period, with the FY21 projected to come in at another 23.5% higher. And its adjusted earnings per share are expected to rise 81%, to $ 0.56 this year, and to rise 37% next year.

Zendesk also destroyed our earnings estimates over the previous three periods and its positive earnings reviews helped it earn a Zacks Rank # 2 (Buy) on the move. And Wall Street remains high with stocks in the middle of its run, with nine of the 14 brokerage recommendations that Zacks has in a “strong buy”, with two more in a “buy” and none below a wait.

CrowdStrike CRWD

CrowdStrike is a cloud-focused cybersecurity company that uses machine learning and AI to protect endpoints and cloud workloads. This is crucial in the cloud era, which is full of rapidly expanding endpoints, which include laptops, desktops, smartphones, IoT devices and more. Remote work and schooling helped put this area of the growing cybersecurity space at the forefront. And the action reached new highs in the wake of the SolarWinds hack.

CRWD crushed our estimates for the third quarter in early December, with sales increasing by 86% and adding almost 1,200 new net subscription customers. Most importantly, the company’s executives raised their prospects. With that in mind, Zacks estimates the company will move from an adjusted loss of $ 0.02 per share in the prior year period to + $ 0.08 in the fourth quarter with 64% stronger revenue.

CrowdStrike is also expected to swing from an annual loss of – $ 0.42 per share to + $ 0.22 in FY21, with FY22 expected to increase by almost 50% to $ 0.32. CrowdStrike’s revenue is projected to jump 78% this year, to $ 859 million, and then increase 40% to reach $ 1.21 billion in FY22. These estimates would top the 93% expansion in fiscal 2020 sales for the company that went public in June 2019.

CrowdStrike’s shares rose 50% last month and reached new records of around $ 227 on Wednesday. More broadly, the cybersecurity company’s stock soared 370% last year, almost tripling the industry average.

The CRWD EPS improvement perspective helps you achieve Zacks Rank # 2 (Buy) and balance the “B” degrees of growth and dynamics. Finally, 12 of the 17 brokerage ratings that Zacks has for CRWD sit on a “Strong Buy” with two more on a “Buy”. Therefore, investors may want to consider CrowdStrike as a growth-focused game and a secular bet on cybersecurity.

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