7 Tech Stocks to Catapult You into the Millionaires’ Club

Stocks to buy

Millionaire maker tech stocks boils down to one central theme: banking on the inevitable growth of the broad innovation space for potentially significant, even lifechanging returns. Of course, there’s a huge difference between selecting the right sector versus picking the right individual securities.

To be quite blunt, to assume that investing in tech stocks as a general concept will be rewarding in the long term isn’t breaking any new ground. If you’re only going to venture down this road, you’re better off targeting exchange-traded funds. This way, you’ll get a basket of securities that may help augment your portfolio.

However, the problem with sector-specific ETFs is that while you might be exposed to high return tech stocks, there’s always a chance that you’re exposed to some losers as well. Therefore, your net upside may be mitigated. On the other hand, if you just picked top tech stocks and nothing else, you’re going to bank robust rewards.

Still, if you get it wrong, you’re going to feel it badly. If you can handle the heat, below are the top tech stocks for millionaires (or for minting new ones).

Himax Technologies (HIMX)

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Let’s get right into it with Himax Technologies (NASDAQ:HIMX), a leading supplier and fabless semiconductor manufacturer headquartered in Tainan City, Taiwan. Fundamentally, what makes HIMX a strong candidate for millionaire maker tech stocks centers on the sector’s enormous viability.

According to Fortune Business Insights, the global semiconductor market reached a valuation of $527.88 billion in 2021. From 2022 to 2029, experts project that the segment will command a compound annual growth rate (CAGR) of 12.2%. At the forecast culmination, the sector may hit $1.38 trillion. That’s more than enough reason to consider HIMX when investing in tech stocks.

Financially, Himax continues to delight shareholders, particularly with its three-year revenue growth rate (per-share basis) of 20.8%. This stat comes in above 71% of its peers. Nevertheless, HIMX trades at only 1.25 times trailing-12-month (TTM) sales. In contrast, the sector median value stands at a lofty 2.69X. Given the very attractive discount to revenue, Himax deserves consideration for high return tech stocks.

Ultra Clean (UCTT)

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Headquartered in Hayward, California, Ultra Clean (NASDAQ:UCTT) is a leading developer and supplier of critical subsystems, ultra-high purity cleaning and analytical services primarily for the semiconductor industry. Here, the fundamental case for millionaire market tech stocks to buy centers on the underappreciated relevance of the business.

For example, ReportLinker noted that the global semiconductor wafer cleaning equipment market may reach $10.1 billion by 2030. Given that Ultra Clean only carries a market capitalization of $1.69 billion, there’s plenty of room for growth. Plus, the specialty is in high demand.

Looking at the financials, Ultra Clean prints a three-year revenue growth rate of 24.4%, above 76.61% of its peers. Also, its EBITDA growth rate during the same period clocks in at an impressive 33.3%. Despite these strong metrics, UCTT trades at only 0.75X trailing sales. In sharp contrast, the sector median stat is again a lofty 2.69X. Therefore, it’s well worth consideration for high return tech stocks.

Kingsoft Cloud (KC)

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Based in China, Kingsoft Cloud (NASDAQ:KC) is a leading independent cloud service provider. Per its public profile, Kingsoft built a comprehensive and reliable cloud platform consisting of extensive cloud infrastructure, cutting-edge cloud products and well-architected industry-specific solutions across public cloud, enterprise cloud and age of information (AoI) cloud services. KC is a fast mover, gaining 70% since the start of the year.

Nevertheless, KC may still have some room for additional upside, especially in the long term, thus warranting inclusion for millionaire maker tech stocks. On a financial note, Kingsoft prints a three-year revenue growth rate of 28%, ranked better than 83.59% of its peers. At the same time, KC trades at only 1.42 times TTM sales. Compared to the underlying software industry – which features a median stat of 2.41X – KC appears undervalued.

However, because of Kingsoft’s poor sales decline in the first quarter of 2023, KC represents a huge risk for tech stocks for millionaires. Still, if you want to take a potshot, this could be interesting for the right speculator.

Ebix (EBIX)

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Billed as an end-to-end convergence specialist, Ebix (NASDAQ:EBIX) offers a complete suite of on-demand software and e-commerce services with seamless data flow to its enterprise-level clients. Primarily, Ebix services the insurance, finance and healthcare sectors, per its website. Although a risky name among millionaire maker tech stocks, EBIX attracts the retail investor community.

Since the start of the year, shares gained nearly 31% of equity value. In the trailing one-year period, they’re up almost 38%. Even with the strong upside performance, there’s potentially room for EBIX to qualify as one of the top tech stocks for market gamblers.

On the financials, Ebix rings up a three-year revenue growth rate of 21.6%, above 76.75% of its software peers. Nevertheless, EBIX trades at a sales multiple of 14.95. In contrast, the sector median stands at 27.96x. Also, keep in mind that Ebix features a trailing-year net margin of 5.22%, above 64.51% of sector rivals. And it’s consistently profitable on an annual basis, offering a solid case for high return tech stocks.

GigaCloud Technology (GCT)

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Describing itself as the global commerce hub for furniture and large home goods, Hong Kong-based GigaCloud Technology (NASDAQ:GCT) might be an oddball name among millionaire maker tech stocks. Still, for those that don’t mind taking some risks in exchange for massive upside, GCT might make a case for itself. For example, since the start of this year, the stock gained over 47% of equity value.

Despite the already pronounced return, GCT could still please prospective speculators just coming around to this opportunity. At the moment, the company’s on a tremendous growth curve, printing a three-year revenue expansion rate of 87.6%. As well, its EBITDA growth rate during the same period comes in at 122.6%. Do I expect such magnitude of performance to sustain indefinitely? No. However, it deserves at least some respect for its consistent profitability. Also, it’s worth pointing out that GCT trades at a forward multiple of 5.81X. That’s well below the sector median of 26.82x.

Daqo New Energy (DQ)

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One of the riskiest ideas on this list of millionaire maker tech stocks, Daqo New Energy (NYSE:DQ) won’t be for everyone. Still, it’s tough to get rich if you’re not willing to take some bold risks. And Daqo is quite bold. According to its corporate profile, Daqo is a leading manufacturer of high-purity polysilicon for the global solar photovoltaic (PV) industry.

Naturally, the solar energy industry commands much relevance, especially under the current political and ideological ecosystem. However, economic rumblings – particularly high interest rates and weak consumer demand – have negatively affected the underlying industry. Nevertheless, DQ might make a bullish case for those interested in investing in tech stocks. That’s because right now, DQ trades at a forward multiple of 5.81X. As a discount to projected earnings, Daqo ranks better than 97.29% of the competition.

Here’s the deal. If the solar energy industry doesn’t recover, this low multiple may become a value trap. However, if a recovery materializes, you might end up looking like a genius.

DecisionPoint Systems (DPSI)

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An enterprise mobility specialist, DecisionPoint Systems (NYSEAMERICAN:DPSI) delivers improved productivity and operational advantages to its clients by helping them move their business decision points closer to their customers. Per its public profile, the company accomplishes this by making enterprise software applications accessible to the front-line worker anytime, anywhere. Despite its seeming relevance, DPSI slipped more than 33% so far this year.

Obviously, one would need to have supreme confidence in DecisionPoint before plunking down serious cash. Still, DPSI makes a case for millionaire maker tech stocks on a technical note because it might have found a bottom. In the trailing one-month period, shares gained nearly 8%. And it’s worth reminding that in the past one-year period, DPSI gained over 35%.

Financially, DecisionPoint rings up a three-year revenue growth rate of 31.1%, above 85.49% of its peers. Further, it trades at a forward multiple of 20.25X. Put another way, this stat ranks better than nearly 64% of its peers. If you can handle potential volatility, DPSI may be one of the high return tech stocks to consider.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare.

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