Technology stocks rose sharply on Monday, with the NASDAQ gaining 1.86% to reach a new record. The rally was led by the chipmaker, which jumped more than 11% after announcing a new AI chip. Focus will remain on the technology sector this week as five of the Magnificent Seven report their third quarter results.
and will report on Wednesday, followed by and Thursday. With the recent optimism around AI investments and the strong earnings recorded so far this season, investors are expecting these companies to post strong results. They are also likely to offer optimistic forecasts, following the trend set by other big tech companies that have already released reports.
Positive earnings from these big tech companies could boost the entire sector, with some smaller players potentially outperforming the Magnificent Seven. Additionally, tomorrow’s planned reduction and the potential trade deal between China and the United States later this week add to the bullish momentum that could keep the tech rally going.
Over the next two days, investors will face three major events: the Fed meeting, the results of five of the world’s largest companies and the negotiations between the United States and China. Each of these elements has strong potential to push markets higher.
10 large-cap tech stocks could go from +22% to +56%
In short, this could be a good time to explore the opportunities offered by big US tech stocks. To test this idea, we used the Investing.com filter to research the US market using the following criteria:
Technology sector Capitalization of more than $10 billion Upside potential of more than 20% according to InvestingPro Fair Value, which combines several recognized valuation models. Upside potential of more than 20% according to analyst estimates
This research helps identify large-cap U.S. technology stocks that appear undervalued and have strong support from analysts.
Here are the 10 values that we were able to identify using these criteria:
Specifically, these stocks are trading 22.4% to 56.2% below their InvestingPro fair value, while analysts expect gains of 23.8% to 45.4%.
That said, these aren’t the only promising opportunities right now. When we expanded our search to…
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