Three innovative tech stocks are emerging as game-changers in the sector, poised for a meteoric rise.

The first stock has showcased financial resilience amid challenges in the consumer lending space, driven by its cutting-edge AI platform. The second is a leader in robotic process animation, while the third demonstrates its market strength and profitability.

Explore the potential behind these tech stocks and the impact they could have on the technological sector.

Upstart (UPST)

Despite the challenging environment for consumer lending in 2023, Upstart (NASDAQ:UPST) has maintained financial stability. The company is EBITDA-positive for the second straight quarter, and contribution margins remain near record highs, indicating solid operational efficiency.

Additionally, Upstart continues to invest in its AI platform with the launch of Model 15.0, the latest version of its core personal loan underwriting model. Specifically, Model 15.0 increased model accuracy by about 15%, representing the largest improvement since tracking improvements began in 2018. The AI-driven credit models perform as expected, suggesting Upstart’s focus on innovation and continuous improvement.

Furthermore, Upstart has successfully expanded its offerings beyond personal loans. The company’s auto retail platform saw significant growth, with a major original equipment manufacturer implementing Upstart’s software to support a new vehicle launch. Expanding car dealerships and partnerships with national non-prime auto lenders demonstrate Upstart’s focus on diversifying its business and tapping into new markets.

Moreover, Upstart has made progress in the home equity market by launching the Upstart HELOC (Home Equity Line of Credit) product. The HELOC product is positioned as a prime product with expected annual loss rates of 1% or less, providing a counter-cyclical approach to Upstart’s refinance product. Upstart aims to bring a pricing advantage to the HELOC market and differentiate itself through speed, ease of access, and leveraging its existing platform for customer acquisition.

Finally, despite challenges in the lending environment, Upstart has seen success with credit unions and views them as valuable partners. The company is doubling down on credit unions by enhancing features and connectivity and supporting loan participation, which improves liquidity. Thus, Upstart is actively pursuing committed funding partnerships to strengthen the reliability of loan funding, recognizing the importance of alternative sources.

UiPath (PATH)

UiPath (NYSE:PATH) continues to witness momentum in the financial services and healthcare sectors, where automation delivers significant value. There is a large non-profit health system in the U.S., one of the top 25 customers. The example of the health system, starting with core robotic process automation in 2018 and gradually adopting additional features like attendance automation, document understanding, test suites, and process mining, demonstrates UiPath’s ability to grow and evolve with its customers.

Additionally, UiPath’s lead in landing new logos is highlighted, with companies like Tenable and KIK Consumer Products adopting multiple platform products in their initial purchases. Also, NorthStar, UiPath’s value-based go-to-market tool, focuses on driving deeper customer conversations. Specifically, NorthStar’s impact on existing customers, as illustrated by the case of Sobeys expanding its automation footprint based on a NorthStar roadmap. Hence, this signifies the tool’s effectiveness in maximizing the return on investment for UiPath’s customers.

Furthermore, UiPath’s strategic partnerships, such as the collaboration with SAP (NYSE:SAP) and the expanded partnership with Deloitte, are crucial for expanding its reach and driving increased engagement with Global Systems Integrators (GSIs). The embedding of UiPath’s AI-powered business automation platform into Deloitte’s Ascend service delivery platform indicates the depth of collaboration.

Finally, UiPath’s focus on broadening its technology ecosystem is evident in recent partnerships with Amazon (NASDAQ:AMZN) and Bedrock. Also, the AI-Powered Business Automation Platform is available on the Alphabet’s (NASDAQ:GOOG, NASDAQ:GOOGL) Google Cloud Marketplace. These partnerships facilitate seamless integration and accessibility for automation developers. Therefore, integrating widely used platforms enhances UiPath’s market presence and value growth potential.

Jabil (JBL)

Jabil’s (NYSE:JBL) revenue and operating income are its fundamentals, supporting its value potential. For instance, Jabil’s Q1 fiscal 2024 has an approximately $8.4 billion revenue, near the low end of the guidance range provided in September. The revenue trend is a crucial numerical indicator of Jabil’s financial health. Despite being slightly below expectations, the scale of revenue, $8.4 billion, demonstrates the company’s substantial market presence.

Furthermore, the core operating income for the quarter is revealed to be $499 million, representing 6% of revenue. This is up 1.2% year-over-year, signaling improved operating efficiency and profitability. The improvement reflects a better business mix, normal seasonal mobility patterns, and accounting impacts of assets held for sale. Excluding the impact of assets held for sale, the company reported the core operating margin as roughly 5.3%. Hence, this indicates a still robust margin even when accounting for certain exceptional items.

In the middle of the top and bottom lines, the net interest expense was $70 million, which is $3 million better than expected. This improvement is based on lower quarterly inventory levels due to lower revenue and better-working capital management.

Finally, from a profitability perspective, the diluted earnings per share (EPS) was $1.47. Core diluted EPS for the quarter was reported at $2.60, a significant 13% improvement over Q1 fiscal 2024. Therefore, this improvement in core EPS is considered a positive indicator of the company’s profitability and value generation.

On the date of publication, Yiannis Zourmpanos 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.