4 Tech Stocks That Are Breaking Out (Or Will Soon)

tech stocks - 4 Tech Stocks That Are Breaking Out (Or Will Soon)

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U.S. equities are drifting higher on Thursday thanks to a tailwind from a positive GDP reading and more “verbal intervention” by OPEC members about a possible extension to last year’s production cap agreement.

4 Tech Stocks That Just Got a Jolt

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With sentiment somewhat depressed by last week’s disappointment surrounding healthcare reform in Washington, there is the potential for a little flurry to the upside here ahead of the start of the first-quarter earnings reporting season, which kicks off in April.

A number of technology stocks apparently got the memo and are pushing to the upside. It’s an uneven bump — the Technology SPDR (ETF) (NYSEARCA:XLK) is up just 0.15% as of late Thursday’s action. But a few bigger-name tech stocks are putting together moves that are making their charts look increasingly attractive.

Here are four tech stocks that just received a jolt:

Tech Stocks That Just Got a Jolt: Netflix (NFLX)

Tech Stocks That Just Got a Jolt: Netflix (NFLX)Netflix, Inc. (NASDAQ:NFLX) shares have been mired in a tight three-month trading range after surging back in January following solid results. The company reported good subscriber additions, posted 36% revenue growth and issued strong forward guidance. But investors paused for breath amid increasing capital expenditure needs as the costs of original programming increases.

Interest is returning now as the company remains the leader in the fast-growing streaming video on demand industry and is still ramping up its international presence. And earlier this week, I highlighted how aggressively traders bid up a dip in NFLX stock.

The next big potential catalyst for NFLX stock isn’t too far off — Netflix reports its next batch of earnings the evening of April 17. Analysts are looking for earnings of 37 cents per share on revenues of $2.6 billion.

Tech Stocks That Just Got a Jolt: Western Digital (WDC)

Tech Stocks That Just Got a Jolt: Western Digital (WDC)Western Digital Corp (NASDAQ:WDC) has been overlooked due to its lack of sex appeal compared to the likes of Nvidia Corporation (NASDAQ:NVDA), Advanced Micro Devices, Inc. (NASDAQ:AMD) and Micron Technology, Inc. (NASDAQ:MU).

Those who have given WDC some attention, however, have been well-rewarded over the past year, and could be in for even more upside.

Shares are breaking up and over resistance from their January high, ending a three-month pause in an epic 135%-plus rally out of its May 2016 low. Shares surged back in January after a solid earnings report revealed healthy demand for hard drives and confident forward guidance from management. The company continues to push hard in the NAND memory space after acquiring SanDisk in 2016.

Western Digital will next report results on April 27 after the close. Analysts are looking for earnings of $2.12 per share on revenues of $4.56 billion.

Tech Stocks That Just Got a Jolt: Tesla (TSLA)

Tech Stocks That Just Got a Jolt: Tesla (TSLA)Tesla Inc (NASDAQ:TSLA) shares are lifting to challenge the February high near $285. A breakout here would end a long three-year consolidation range bounded by the $285-$290 level.

That’s a big deal, and in theory could lead to the kinds of momentum-fueled upside that investors have been salivating over since 2014 … only to be denied.

Shares have been boosted this week by a $1.8 billion investment by China’s Tencent Holdings Ltd (OTCMKTS:TCEHY), easing concerns about the company’s ability to raise the capital needed to ramp up production of the Model 3 sedan this year. The investment represents a 5% stake in Elon Musk’s electric vehicle (and now solar solutions) company.

Tesla’s next earnings report will be on May 3, after the closing bell. Analysts are looking for a loss of 75 cents per share on revenues of $2.56 billion.

Tech Stocks That Just Got a Jolt: Amazon (AMZN)

Tech Stocks That Just Got a Jolt: Amazon (AMZN)Amazon.com, Inc. (NASDAQ:AMZN) shares are breaking out here, pushing up and over double-top resistance near $860 that has kept the tech giant constrained since October. All other resistance has been obliterated, too — major moving averages and price alike.

Technically speaking, the sky’s the limit, and that has pundits wondering whether AMZN stock can hit $1,000.

The company also enjoyed an upgrade from analysts at Stifel on March 28. Stifel is bullish about the tailwinds from the industry chaos its Prime service has created, and as a result, it raised the price target on AMZN to $1,025 — that represents another 17% of upside from current prices.

Amazon’s next earnings report comes next month, April 27 after the bell. Analysts are looking for earnings of $1.17 per share on revenues of $35.3 billion.

Anthony Mirhaydari is founder of the Edge (ETFs) and Edge Pro (Options) investment advisory newsletters. Free two- and four-week trial offers have been extended to InvestorPlace readers. Redeem by clicking the links above.

Article printed from InvestorPlace Media, https://investorplace.com/2017/03/4-tech-stocks-that-could-break-out-soon/.

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