Despite previous uncertainties, the future of the U.S. economy in 2024 looks promising. Bipartisan leaders have reached an agreement on federal spending, averting the potential for a government shutdown. Economists are revising their growth projections upwards, indicating stability and continuity in government programs without significant budget cuts. The agreement suggests a positive trajectory for economic growth in 2024. This positive outlook makes now the best time to invest in the stock market, especially tech. These are the three tech stocks that are outpacing the competition that you need to invest in.

Nvidia (NVDA)

Nvidia (NASDAQ:NVDA) is a semiconductor firm specializing in the production of graphics processing units (GPUs). It has an array of products under its belt, appealing to both consumers and businesses.

This organization has rapidly increased in value in the past few years, with current YoY growth of 234.02%. Due to the premium quality and high performance of its GPUs, NVDA has risen to become one of the top-performing tech stocks. 

The company’s financials support this. 47 Yahoo Finance! analysts are setting an average price target of $636.68, above its current price of $543.38. Additionally, it has a profit margin of 42.10%, with an operating margin of 57.49%. Management is quite effective, with a 69.17% return on equity and a debt/equity of 33.15%.

Apart from its flagship GPUs, Nvidia has also entered the AI market, which is projected to reach $738.80 billion by 2030 at a 15.83% CAGR. As it enters the market, Nvidia is conducting regular market surveys to gauge interest and is partnering with various firms to develop AI models by supplying them with chips. 

The combination of great financials and amazing prospected growth makes this stock a buy.

Intel (INTC) 

Intel (NASDAQ:INTC) is a semiconductor company that offers processors and has created the most widely used series of instruction sets for personal computers, the x86.

INTC is down 3.36% YTD. However, many analysts agree that the stock should be rated as a “buy” and are targeting a price of $48.20 from a current price of $47.58.

Intel competes in the semiconductor industry, which has a forecasted CAGR of 12.28%, expected to reach $1,883.7 billion by 2032 from a current valuation of 591.8 billion dollars. The rising investments in electric vehicles provide the semiconductor market with many opportunities. Additionally, the growing use of consumer electronics means that semiconductors will be more essential to manufacturers than ever. 

Intel’s financials have not fared well, but its key catalysts more than makeup for its earlier performance. The company’s revenue was only $63,054 million in 2022, a 20.21% decrease in comparison to 2021. Net income in 2022 was down 59.65% compared to the previous year, and short-term investments were slightly less. Although these financial prospects may seem dim, Intel has been on the road to recovery. The company has emphasized AI, one of the most promising technologies, especially in the semiconductor industry. For example, in collaboration with infrastructure DigitalBridge (NYSE:DBRG), Intel recently launched its generative AI company to support the company’s transition into AI. Intel has also taken steps to push AI into the automotive industry, acquiring Silicon Mobility, a company dedicated to making system-on chips with AI for electric vehicle energy management.

Parsons (PSN)

Parsons (NYSE:PSN) is an American business focused on the technological development of defense infrastructure. Creating products for national defense and military services, PSN has amassed a valuation of $62.67 with a strong year-over-year valuation increase of 44.33%.

PSN’s security market is fully established in the market but shows signs of future growth. Valued at $34.58 billion in 2023, projections expect overall industry revenue to expand to $71.46 billion in 2032, marking a solid nine-year CAGR of 8.4%.

Financially, PSN improved on every metric during Q3 2023. PSN reported $1.42 billion in revenue, marking a YoY increase of 25.05%. Net income and diluted EPS also received massive surges of $47.45 million and $0.42 respectively, both increasing over 55% YoY. Overall, Q3 2023 proved to be successful for PSN, with the company outperforming forecasts on EPS and revenue by 12%.

Parsons is set up for success through recent announcements of AI integration into its services. With an emphasis on the development of artificial intelligence recently, Parsons implemented AI capabilities into its TEMPO software, allowing for enhancements to its combat advantage services. As Parsons continues to include an emphasis on AI, expect PSN valuation to climb as more customers gravitate towards the company’s services.

On the date of publication, Michael Que 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.

The researchers contributing to this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article