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The tech landscape is a playground of potential, with companies pushing boundaries and revolutionizing the digital world. These corporations invest heavily in cutting-edge technology and continuously enhance their digital frameworks.
Diving into this sector has yielded substantial returns for investors, boasting ample room for growth over the long haul. By opting for stable, ascending companies over risky ventures, one can potentially quadruple their returns. Here are some tech giants worth considering for remarkable gains.
Nvidia (NVDA)
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Nvidia (NASDAQ:NVDA) is swiftly approaching a $2 trillion market cap, trailing only behind Apple (NASDAQ:AAPL) and Microsoft (NASDAQ:MSFT). The remarkable momentum and robust financial growth indicate that Nvidia has the potential to surpass them in the near future.
The stock has amassed a devoted following, partly due to its 214% surge over the past year. Over the last five years, shares have skyrocketed an even more impressive 1,733%. Artificial intelligence has been a key driver propelling the company to achieve 206% year-over-year revenue growth in Q2 FY24.
While experiencing significant growth in gaming and professional visualization segments, Nvidia’s automotive division has also seen revenue gains. However, it is the realm of artificial intelligence that truly sets Nvidia apart. As long as the AI boom thrives, Nvidia’s stock is poised for continued growth.
Mastercard (MA)
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Credit and debit cards have become indispensable financial tools, offering rewards and streamlining payments. Among these, Mastercard (NYSE:MA) stands out as a global tech leader in the payments industry, boasting a significant share in credit and debit cards.
Embedded deep in the industry alongside Visa (NYSE:V), Mastercard’s multigenerational appeal, coupled with strong financials and robust profit margins, has led to sustained growth. The company reported 13% year-over-year revenue growth and 11% year-over-year net income growth in Q4 2023, consistently maintaining net profit margins upwards of 40%.
Mastercard’s commitment to enhancing shareholder value is evident through regular buybacks and quarterly dividends. In 2023, the firm allocated $9.0 billion for stock repurchases and $534 million for dividends, reinforcing its commitment to shareholder wealth.
Alphabet (GOOG, GOOGL)
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Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) captures attention with its strategic ad placements and has businesses flocking to showcase their products. This strategic synergy has enabled a steady influx of advertisers clinging to the tech giant, ensuring a consistent cash flow.
With a proven track record of success, Alphabet ended 2023 with 13% year-over-year revenue growth and a staggering 51.5% year-over-year net income growth. Besides its ad revenue, Alphabet boasts a lucrative Cloud segment, offering secure data storage solutions that appeal to many businesses.
Primed to leverage the AI surge, Alphabet is integrating technology to bolster its search engines and cloud platform, solidifying its market share and financial standing in the process. These innovative strides showcase Alphabet’s readiness to evolve with the industry demands for sustained growth.
On the date of publication, Marc Guberti disclosed holding long positions in NVDA and GOOG. The views expressed in this article belong to the author and are in line with the InvestorPlace.com Publishing Guidelines.
A finance freelance writer at InvestorPlace.com, Marc Guberti hosts the Breakthrough Success Podcast. His work has appeared in prominent publications like U.S. News & World Report, Benzinga, and Joy Wallet.
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The opinions expressed in this article are solely those of the author and do not necessarily reflect the views of Nasdaq, Inc.
