As the Nasdaq flirts with all-time highs, the temptation to cash in on tech stocks that have surfed the wave of interest rate optimism looms. But instead of a sales spree, let’s mull over why adding top-tier tech stocks to your portfolio remains a savvy play. In the realm of prudent selections, consider these three gems for May: Nvidia (NASDAQ: NVDA), Meta Platforms (NASDAQ: META), and CrowdStrike (NASDAQ: CRWD).
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Nvidia: The Growth Juggernaut
Behind Nvidia, the GPU juggernaut, lies a narrative of remarkable growth. With shares climbing over 560% in the past three years, Nvidia remains a cornerstone of the AI market. From a phase of flatlining growth to a meteoric rise in revenue and EPS, the future looks rosy with an anticipated 84% and 93% growth, respectively, for fiscal 2025.
Meta Platforms: Weathering the Storm
Meta Platforms, dominator of social media realms like Facebook and Instagram, may have endured a 1% revenue slip in 2022 but emerged stronger in 2023. Overcoming challenges posed by iOS privacy changes and TikTok’s ascent, Meta Platforms is dishing out solid growth rates with a 24 times forward earnings valuation.
CrowdStrike: Cybersecurity Trailblazer
In the cybersecurity arena, CrowdStrike shines as a fast-growing contender. Deviating from conventional methods, CrowdStrike leverages cloud-native services for robust security offerings. Analysts foresee a 30% revenue boost in fiscal 2025, supporting its premium valuation at 88 times forward earnings.
Before leaping into Nvidia’s stock, ponder this: the Motley Fool Stock Advisor team spurned Nvidia in favor of identifying 10 potent stocks for potential mammoth returns. Over the long term, Nvidia paints a compelling tale, leveraging its market position to transform investments into substantial gains.
Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Leo Sun has positions in Apple, CrowdStrike, and Meta Platforms. The Motley Fool has positions in and recommends Advanced Micro Devices, Apple, CrowdStrike, Meta Platforms, and Nvidia. The Motley Fool has a disclosure policy.