InvestingDaily.com

Account Information

  • My Account

    Manage all your subscriptions, update your address, email preferences and change your password.

  • Help Center

    Get answers to common service questions, ask the analyst or contact our customer service department.

  • My Stock Talk Profile

    Update your stock talk name and/or picture.



Close
FEATURED STRATEGY

This Two-Minute Market Move Could Make You Rich

This Two-Minute Market Move Could Make You Rich[Revealed] How to generate instant income from the stock market. Over and over again. At will. This technique is so powerful – and safe – we’re guaranteeing you can use it to generate $1 million (or more) in retirement cash. And we’ll even send you a $1,000 check to kickstart your journey. Go here for details.

 

Technology: New Applications, New Growth

By Benjamin Shepherd on April 3, 2017

While the technology sector hit a rough patch last year, with a number of tech CEOs coming out against then-candidate Trump and his immigration reform and trade proposals, it’s been roaring so far in 2017.

As now-President Trump has dialed back his rhetoric on the issues tech insiders found most concerning, many now predict they’ll be able to find ways to work with the administration. They’ve definitely got some motivation now. The technology sector gained nearly 12% in the first quarter, as the tech-heavy Nasdaq blew the broader indices out of the water.

While second-quarter earnings season hasn’t kicked off yet, analysts estimate the sector’s earnings grew about 11% on 7% higher revenue. Despite muted expectations for the industry’s biggest names, such as Apple (NSDQ: AAPL), Alphabet (NSDQ: GOOGL) and Facebook (NSDQ: FB), some analysts say that it will likely be one the of the top three growth sectors.

Growing global demand for technology, whether for hardware or software, and generally positive business sentiment and investment are the drivers of that growth. In fact, technology stocks are setting the tone for markets as far away as China, with Alibaba Group (NYSE: BABA) and Tencent Holdings OTC: TCEHY) among the top performers there.

The tech sector should continue outperforming. Notably, Tesla’s (NSDQ: TSLA) market capitalization has surpassed that of Ford Motor (NYSE: F), as electric and autonomous vehicles gain popularity. Another sign of upward momentum is Intel’s (NSDQ: INTC) recent acquisition of Mobileye, a solid indication that Silicon Valley believes self-driving cars are the future.

The Internet of Things (IoT) is on track to remain a profitable trend, as more and more devices are connected to the Internet to share data. Demand for smart health care devices is expected to be a key driver of IoT growth in the U.S. and Europe, while continued adaption of advanced factory automation systems should lead the trend in Europe. Asia-Pacific is poised to turn in the fastest growth in that area, which is little surprise since many of the leading makers of IoT-enabled devices are based in the region.

Artificial Intelligence (AI) should also prove a profitable niche of the tech sector. Research firm International Data expects spending on AI systems to hit $12.5 billion in 2017, more than double the expenditures in 2016. Self-driving cars are expected to be a major impetus for that spending growth.

Technology giant IBM (NYSE: IBM) continues to make strides in AI, recently announcing that it will begin selling its Watson machine learning analytics system to its mainframe customers. Watson allows for faster, more efficient searches of massive quantities of data.

Presidential spats and occasional Twitter storms aside, don’t count technology out. In fact, given the growing demand for new and emerging solutions, the technology sector could ultimately prove a safe haven.


You might also enjoy…

 

12 Stocks Virtually Guaranteed to Go Up in 2018

You may not believe it, but I have a calendar in my hands right now that tells me the exact date and time when a few stock are practically guaranteed to go up. 

Twelve of them, in fact.

And if you were to invest in them following the simple buy and sell instructions found in this calendar…

You could be making $1,181… $11,814…. and as much as $190,916 more than by using a “buy-and-hold” strategy.

And here’s the best part…

I’m giving away a few copies of this calendar to interested investors (First come, first served).

With this calendar, you could get higher profits with less risk.

Click here to get the full story, and to claim your copy.

Stock Talk — Post a comment Comment Guidelines

Our Stock Talk section is reserved for productive dialogue pertaining to the content and portfolio recommendations of this service. We reserve the right to remove any comments we feel do not benefit other readers. If you have a general investment comment not related to this article, please post to our Stock Talk page. If you have a personal question about your subscription or need technical help, please contact our customer service team. And if you have any success stories to share with our analysts, they’re always happy to hear them. Note that we may use your kind words in our promotional materials. Thank you.

You must be logged in to post to Stock Talk OR create an account.

Create a new Investing Daily account

  • - OR -

* Investing Daily will use any information you provide in a manner consistent with our Privacy Policy. Your email address is used for account verification and will remain private.