On today’s episode of Full Court Finance at Zacks, Ben Rains takes a look at three highly-ranked technology sector stocks that investors might want to consider buying for exposure to growth areas such as cloud software and fintech.
The election is just two weeks away and Wall Street is hoping for a decisive victory. Investors are also focused on the timeline for the second stimulus bill, as they continue to monitor what’s next on the coronavirus front.
Despite the unknowns and the market’s big fall in early September, some of the broader fundamentals continue to flash bullish signals. These include an improving economy and an earnings picture that’s trending in the right direction. On top of that, the interest rate environment will likely continue to help support stock prices. And let’s not forget that the S&P 500 is still up 5% in the past month and 7% in 2020.
With this in mind, we dive into three tech stocks that could turn out to be solid additions to a balanced portfolio.
The first stock we explore is Square SQ. The fintech firm posted blowout Q2 results and it continues to expand its portfolio of services for both businesses and consumers. The company’s ability to expand during the pandemic has impressed Wall Street and SQ has soared in 2020 to crush rival PayPal PYPL.
Intuit INTU offers a variety of financial services and it is arguably most famous for its online tax software, TurboTax. INTU has popped 30% in 2020 and 130% during the past three years to blow by its Software Services market’s 55%.
Salesforce’s CRM subscription-based cloud software offerings were already widely popular with businesses of all shapes and sizes. The pandemic-forced work-remote world has highlighted its strength and it is one of the newest Dow members after the Apple AAPL stock split.