The 7 Best Tech Stocks to Buy for June 2022

  • Although the recent market fallout has been particularly cruel to the innovation space, you can now pick up the best tech stocks to buy at a sizable rebate.
  • ASML (ASML): Specializing in lithography, ASML is simply too relevant for the semiconductor industry to ignore, making it one of the best tech stocks to buy.
  • Taiwan Semiconductor (TSM): The company's domination of the foundry business makes it indispensable to other semiconductor firms.
  • Alphabet (GOOG, GOOGL): Despite myriad controversies, Alphabet's ownership of the internet and its groundbreaking research afford it consideration for best tech stocks to buy.
  • Microsoft (MSFT): An all-around workhorse for both corporate America and the gig economy, Microsoft is one of the most balanced among the best tech stocks to buy.
  • Advanced Micro Devices (AMD): Suffering heavy losses from the broader tech fallout, AMD intrigues as an indirect long-term play on cryptocurrencies.
  • Uber (UBER): While the worrisome data for the consumer economy naturally hurt Uber, it's also priced at an attractive premium.
  • Okta (OKTA): Suffering some of the steepest declines in the innovation sector, Okta could still rise as one of the best tech stocks to buy due to its identity controls.
best tech stocks to buy - The 7 Best Tech Stocks to Buy for June 2022

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Among the top beneficiaries during the loony market rally last year, the speculative fervor boosting the technology space apparently reached a top. Today, even the best tech stocks to buy have suffered some of the steepest losses, sending many investors to the sidelines.

However, for the bold contrarian, the fallout could bring about long-term upside opportunities.

Now, let me be clear about this narrative before moving forward: the volatility is likely not over. For one thing, the soaring inflation rate continues to be elevated. Yes, the Federal Reserve has signaled controlling escalating costs is a top priority. However, even if it takes the arguably correct course of raising interest rates, this action might spark a recession. That wouldn’t be good news for even the best tech stocks to buy.

Further, the underlying market segment tends to be growth oriented, which can be more problematic during bearish cycles. Nevertheless, society has become accustomed to myriad innovations, meaning that the best tech stocks to buy cannot be ignored. And with the hefty discount, now may be the time to nibble carefully at the below compelling ideas.

Ticker Company Current Price
ASML ASML Holding N.V. $583.38
TSM Taiwan Semiconductor Manufacturing Company Limited $93.77
GOOGL Alphabet Inc. $2,246.33
MSFT Microsoft Corporation $273.24
AMD Advanced Micro Devices, Inc. $102.26
UBER Uber Technologies, Inc. $23.67
OKTA Okta, Inc. $86.06

Tech Stocks to Buy: ASML Holding (ASML)

Closeup of mobile phone screen with ASML logo on computer keyboard
Source: Ralf Liebhold / Shutterstock

Specializing in lithography or the process of printing complex patterns on silicon wafers, ASML (NASDAQ:ASML) earns its self-proclaimed title of the world’s supplier to the semiconductor industry. Through its innovative processes, ASML helps imbue computer chips with incredible performance metrics across an increasingly smaller surface area. As well, its innovations facilitate a greener profile.

Despite these core attributes previously making ASML one of the best tech stocks to buy, 2022 has not been kind to the company thus far. Since the January opener, ASML finds itself down over 26% on a year-to-date basis. Despite some near-term positive price action, should economic conditions not improve dramatically, ASML could still suffer further declines.

Therefore, investors may want to carefully buy into the dip, taking a small position and adding to it should further discounts materialize. Nevertheless, over the long run, the indispensable nature of ASML makes it one of the best tech stocks to buy for patient market participants.

Taiwan Semiconductor Manufacturing Company (TSM)

image of TSM semiconductor office building
Source: Sundry Photography / Shutterstock.com

Another critical name in the chip-manufacturing space, Taiwan Semiconductor (NYSE:TSM) utterly dominates the foundry business. TSM manufactures and physically materializes the circuits designed by other “fabless” tech firms. In other words, companies like Apple (NASDAQ:AAPL) and Qualcomm (NASDAQ:QCOM) dream it and TSM does it. Therefore, the company and the underlying nation are absolutely critical to the global economy.

Of course, such importance makes TSM vulnerable to geopolitical rumblings. On a YTD basis, shares have plunged 22%, which isn’t that much of a surprise. As you know, the Chinese government has long threatened to invade Taiwan to bring it under its national umbrella. But such an action would have severe consequences to the West, thus sparking recent pushback from the U.S.

But will China actually make the bold move to integrate Taiwan as part of its sovereign borders? It’s speculation on my part but it may be unlikely given how costly Russia’s invasion of Ukraine has been. Therefore, TSM is one of the best tech stocks to buy despite the geopolitical noise.

Alphabet (GOOG, GOOGL)

Alphabet Inc. (GOOG, GOOGL) and Google logos seen displayed on smartphones
Source: IgorGolovniov / Shutterstock.com

As one of the biggest components of big tech, Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) isn’t exactly a feel-good story. For one thing, the company embroils itself in the divisive political arena, constantly fielding accusations of censoring conservative voices. As well, online privacy concerns represent a strong talking point according to the Pew Research Center.

Therefore, it’s not terribly surprising that GOOGL hasn’t enjoyed the best performance so far this year, dropping 22% of market value since the beginning of January. Given the velocity of the decline, it doesn’t seem to have hit a bottom yet, meaning that investors should expect continued volatility. Definitely, GOOGL is something that you should slowly build a position in.

Nevertheless, it’s probably one of the best tech stocks to buy for the long haul. First, the company owns the internet via domination of the search engine space. Second, Alphabet has its arms in myriad innovative industries, such as autonomous systems, that help boost the bullish thesis.

Tech Stocks to Buy: Microsoft (MSFT)

microsoft stock
Source: Peteri / Shutterstock.com

An oldie but a goodie, Microsoft (NASDAQ:MSFT) has long been a balanced play among the best tech stocks to buy. For instance, the company enjoys a strong presence in the burgeoning video game market with its popular Xbox console. At the same time, Microsoft pays a dividend; not a great one, to be sure, but a dividend nonetheless.

Alas, its positive attributes were not enough to spare MSFT from the downturn. On a YTD basis, the stock has dropped nearly 19%, a very tough pill to swallow given its meteoric rise from the doldrums of 2020. However, the company’s ubiquitous software (such as its Office suite of business-and-academia-centric programs) makes MSFT irreplaceable.

Should workers return back to the office as I think they will, Microsoft will enjoy tremendous relevance. If instead the gig economy receives an uptick in volume, the company will benefit regardless. Thus, in my opinion, MSFT is one of the most dependable names among the best tech stocks to buy.

Advanced Micro Devices (AMD)

Close up of AMD sign in Markham, Ontario, Canada. Advanced Micro Devices, Inc. (AMD) is an American multinational semiconductor company.
Source: JHVEPhoto / Shutterstock.com

Specializing in graphics processing units for various applications, Advanced Micro Devices (NASDAQ:AMD) has been one of the fastest-charging names among the best tech stocks to buy. Following a brief dip during the spring doldrums of 2020, AMD again swung higher, delighting speculators to no end. However, global supply chain concerns and rising inflation has knocked the wind out of AMD’s sails.

If you were to just take a snapshot of the underlying stock, the situation doesn’t look pretty. On a YTD basis, AMD shares are down over 28%, reflecting severe anxiety on Wall Street. Further, the decline in the cryptocurrency space has negatively impacted AMD. Without robust demand for crypto-mining-focused GPUs, participants in this market subsegment are feeling the heat.

Still, it’s possible that the cat’s out of the bag regarding cryptos. Having achieved mainstream integration, digital assets could once again fly higher following this corrective period (however long it takes). Therefore, keep an eye on AMD.

Uber Technologies (UBER)

A photo of an Uber placard in the window of a car on a city street.
Source: Shutterstock

Taking a walk on the wild side, ride-sharing giant Uber (NYSE:UBER) is both an intriguing idea and a speculative wager. Thanks to the various societal disruptions associated with the coronavirus pandemic, Uber became a viable coping mechanism because of its food-delivery service. On the other hand, the soaring inflation rate has weighed heavily on the stock.

Suffering the brunt of the damage done to tech firms, UBER has hemorrhaged 43% of market value on a YTD basis. Again, with rising costs, it’s become increasingly difficult for people to justify calling up its services unless absolutely necessary.

However, UBER is now priced very attractively, reaching down to levels not seen since the initial impact of Covid-19. That alone doesn’t make it one of the best tech stocks to buy, to be fair. Still, ride-sharing volume was steadily increasing before the pandemic. After we go through a final normalization period, it’s possible that UBER can regain its mojo.

Tech Stocks to Buy: Okta (OKTA)

A magnifying glass zooms in on the Okta (OKTA) logo.
Source: Lori Butcher / Shutterstock.com

On paper, Okta (NASDAQ:OKTA) should be unquestionably one of the best tech stocks to buy. An identity and access management firm, Okta provides cloud software that helps its enterprise-level clients manage and secure user identification procedures. According to MarketsandMarkets.com, experts project that the global identity verification market size will expand to $18.6 billion by 2026, representing a compound annual growth rate of 16.6% since 2021.

That’s the good news. The bad news is that OKTA stock is not exactly receiving the benefits of this positive implication. On a YTD basis, shares find themselves down 61%, a staggering loss for such a supposedly relevant business. Unfortunately, Okta doesn’t have a great reputation for stable earnings, causing investors to shy away.

But because the financial costs of security breaches and improper access can be catastrophic, it’s possible that corporations will beef up their internal infrastructure. This could provide the gateway for a recovery in OKTA stock.

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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