7 Tech Stocks To Make You The Millionaire Next Door: October Edition

Stocks to buy

The technology sector will always provide us with constant opportunities in which we can invest to maximize our portfolio returns. Some of these stocks have accumulated generational returns. Investors can benefit from picking popular names that have large market shares and solid financials.

It may be a bit complicated to research each company within the sector, but here are 7 Tech Stocks that have the potential to make you the next Millionaire Next Door. Let’s take a look at these companies.

Sap (SAP)

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Sap (NYSE:SAP) provides tools and services that help companies manage their operations, from finance to sales. Think of it as the behind-the-scenes software that keeps everything running.

They’re a safe bet for investors. Companies rely on them to keep their operations running smoothly, which means steady revenue. Plus, their focus on cloud and artificial intelligence makes them even more exciting, as they are on the cutting edge of technology.

Their cloud revenue is up an impressive 19%, and their cloud earnings are up a solid 20%. This shows that its cloud bet is paying off. In addition, its profits have grown by a healthy 28%.

SAP has big plans. They are about to acquire LeanIX, a company specializing in enterprise architecture management. This allows them to offer even more to their customers and stay on the cutting edge of technology. This demonstrates their commitment to innovation.

Oracle (ORCL)

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Oracle (NYSE:ORCL) is a technology company with a strong and trusted history in database management and cloud services. Having shares of them in your portfolio is like having a financial friend you can rely on to achieve long-term wealth.

Recently, Oracle announced impressive financial results for the first fiscal quarter of 2024. They earned $0.86 per share under standard accounting rules and $1.19 per share adjusted for non-accounting factors. In addition, their total revenue grew 9% in U.S. dollars and 8% in constant currency to $12.5 billion.

Most impressive is its cloud performance, which grew 30% to $4.6 billion. This demonstrates its ability to adapt to the changing technological demands of the market. It’s like watching an athlete at his best. Specifically, its cloud infrastructure (IaaS) grew by a staggering 66%, while its cloud software (SaaS) grew by a solid 17%.

In another exciting move, Oracle has teamed up with Microsoft (NASDAQ:MSFT) to offer Oracle Database@Azure, giving customers access to the best of both companies. This collaboration will simplify cloud application management and accelerate cloud migration, which could be a big step toward financial success.

Accenture (ACN)

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Accenture (NYSE:ACN) is a global technology and consulting company. They help all kinds of businesses leverage technology and improve their processes, from making your bank run better to helping pharmaceuticals find new treatments.

The main reason to consider investing in them is that they are doing very well in terms of money. Their revenue continues to grow, even when the economy is tough. They’re also getting more efficient, which is great for their profits. They’re also making more money per share. On top of that, they are sharing profits with investors, increasing their dividend payments.

Last year, the company made $64.1 billion in revenue and had an operating margin of 13.7%. This shows they are making good money and being profitable.

Accenture recently invested in a company called Aliro Quantum, which works on secure quantum networks. Quantum computing is exciting because it can solve very difficult problems very quickly. But as this technology advances, security is critical.

Salesforce (CRM)

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Without a doubt, Salesforce (NYSE:CRM) is much more than a technology company. This company specializes in providing customer relationship management tools and solutions, which help businesses connect with their customers more effectively and drive revenue.

Their financial results for Q2 2024 are impressive. They generated $8.60 billion in revenue, an 11% year-over-year increase. They also achieved solid operating margins, which means they are managing their expenses effectively. They also have great cash flow and are committed to rewarding shareholders with share buybacks.

In addition to their financial success, Salesforce is an industry benchmark, being named a leader in Gartner’s Magic Quadrant for Sales Force Automation Platforms for 17 consecutive years. This is due to its ability to provide AI-powered recommendations and insights, which helps companies close deals more efficiently and generate revenue faster.

ASML Holding (ASML)

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ASML Holding (NASDAQ:ASML) is a company driving the digital age. It is at the forefront of providing high-tech solutions to the semiconductor industry, the backbone of today’s technology world.

Their Q2 results paint an impressive picture. ASML recorded net sales of €6.9 billion, with a solid gross margin of 51.3% and net income of €1.9 billion. Their net bookings, especially the EUR 1.6 billion in EUV technology, indicate strong demand.

Looking ahead, they are optimistic about the third quarter, expecting net sales of between EUR 6.5 billion and EUR 7 billion, with a solid gross margin of 50%. In addition, they anticipate an astonishing 30% net sales growth in 2023 compared to the previous year.

ASML has partnered with Imec, a leading research and innovation center, to accelerate semiconductor technology. Their collaborative effort involves the development of a state-of-the-art EUV High-NA lithography pilot line at Imec, which promises to open up new possibilities for semiconductor applications and innovative solutions. This venture will also support advances in critical areas such as healthcare, climate change and sustainable energy.

Broadcom (AVGO)

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Broadcom Inc. (NASDAQ:AVGO) is a technology company that is gaining attention as a smart investment choice. Think of it as a technology company that is doing very well in the stock market thanks to its steady growth and innovative ideas.

This company’s financials look pretty solid. In its latest Q3 FY 2023 financial report, it posted revenue of $8.876 billion, up 5% year-over-year. That’s impressive, isn’t it? They also earned $5.801 billion in adjusted EBITDA, which shows that they know how to turn their efforts into profits. In addition, they are giving back to their investors by offering them a quarterly dividend of $4.60 per share and buying back shares.

Looking ahead, Broadcom is maintaining momentum. They expect their fourth-quarter revenue to be around $9.27 billion, up 4% year-over-year. They also estimate adjusted EBITDA of about 65% of expected revenue, which is a clear indicator of their continued profitability.

Beyond its financials, Broadcom is making waves in the technology sector. It recently introduced the Sian BCM85822, a 5nm, 200G/lane optical technology aimed at meeting the growing demand for bandwidth in data centers. This game-changing innovation enables optical transceiver manufacturers to offer cost-effective, high-capacity solutions with lower power consumption.

Synopsys (SNPS)

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Synopsys (NASDAQ:SNPS) is a leading player in the technology world. Their main mission is to help design and verify chips for electronic devices. This ensures that they work efficiently and smoothly before they get into your hands, which is crucial for the electronics we use every day.

Why is Synopsys exciting as an investment? Well, first of all, they are in an ever-growing industry with increasing demand for advanced chips and technology. In addition, their technology and software are fundamental to electronics product development.

They are always on the cutting edge of technology and collaborate with industry giants like Taiwan Semiconductor (NYSE:TSM). This attracts investors looking for companies with steady growth potential.

The company reported an outstanding quarter with record revenues of $1.487 billion, an impressive 19% year-over-year increase. This shows a solid financial path. In addition, its earnings per share exceeded expectations, demonstrating strong financial performance.

Synopsys recently expanded its collaboration with TSMC, one of the world’s leading chip foundries. They have developed an end-to-end solution to simplify the design of multi-chip systems essential for complex devices. This collaboration is intended to increase productivity and facilitate the integration of different components into a single device.

As of this writing, Gabriel Osorio-Mazzilli did not hold (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.

Gabriel Osorio is a former Goldman Sachs and Citigroup employee. He possesses discipline in bottom-up value investing and volatility-based long/short equities trading.

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