There is no doubt that there are many big investors who are not exactly very comfortable investing in technology stocks. They believe that it is a highly complicated and difficult to understand the industry and they also believe that it is going downhill because of a number of reasons. However, in spite of such opinions (which actually may not be facts), there are reasons to believe that the growth story of IT will continue to remain bullish and therefore investing in these stocks will well and truly be a good idea. However, it is important to spend some time, do some research and then decide as to which are the stocks in which you can bank upon.
This certainly would call for tapping the right sources of information and knowledge and being in touch with information and service providers like CMC Markets could provide the best possible solutions. We are giving below a list of a few great stocks which are worth investing given their reputation, growth and other such factors.
IBM – International Business Machine
The year 2015 has been reasonably good though it may not have been the best as far as IBM is concerned. It was able to generate sales of 81.74 Billion USD which does not compare too well with the previous year’s figure of 92.79 billion dollars. However, this drop must be looked against the background of the overall slump in business worldwide. The net profit of around 12.68 bio USD dollars is also slightly lower than last year, but it continues to be robust and in line with the market average and in fact slightly ahead of it.
Hence there are reasons to invest in these stocks because the medium and long term outlook looks quite good. It is today trading at round 155 USD and with an EPS of 13.50 it certainly is worth staying invested. It will certainly yield a decent return over the next few months of the year.
Microsoft – Worth Hanging In There
One of the most well known and an iconic name in the field of information technology there is no doubt that when the results for the giant of a transnational is announced, it is bound to create ripples in the industry as a whole. It reported an operating income of $20.18 billion and a net profit of $16.80 billion. The growth of the cloud server part of the business is worth watching and Microsoft believes that this is where the future lies. Hence, it would not be a bad idea to invest in these stocks because it has ambitious plans going forward. Further the Windows 10 version is also expected to give a boost to its revenues quite significantly. It is trading around $53 and it is hoped that by the end of the year there are good chances of the script touch $65 and more. However, if you are planning to buy some stocks with the long term perspective in mind there is no doubt that this is the stock to stay invested in.
Dell – Strong And Solid As Ever
Dell has reported exceedingly good results for the second quarter of 2016-17 with revenues increasing to $13.1 billion. Though this was just around 1 percent when compared to the same period last year, the operating profit surged to $63 million against an operating loss for the previous period last year. This was in spite of the insipid business environment across many countries of the globe. It would also be pertinent to that for the 13th year in a row, Dell continues to be the topmost flat panel monitor supplier across the world.
Accenture – Strong Fundamentals
Accenture has built on its strong performance in the last fiscal and the results of third quarter 2016 are also quite on expected lines. The revenues reported are $8.4 billion which has shown an increase of 9% over the same period last year. This is commendable given the fact that many other IT and tech companies have reported flat growth or even negative growth. Given this robust growth there are reasons to believe that they will be ending the year 2017 on a very strong note. Therefore it would not be a bad idea to stay invested in this script both for the medium and long term.
The above are about major names in the IT and tech industry and there are also many mid sized companies and startups who also have done quite well.