3 Top-Rated Tech Stocks Wall Street Analysts Are Loving Now: January 2024


  • The experts are doubling down on these top-rated tech stocks.
  • Microsoft (MSFT): Microsoft continues to delight analysts with its AI investments and dominance in critical fields.
  • ACM Research (ACMR): Unsung hero ACM Research provides crucial wafer cleaning services for the semiconductor industry.
  • Alight (ALIT): Alight attracts attention from all who cover it thanks to its HR streamlining business.
Top-Rated Tech stocks - 3 Top-Rated Tech Stocks Wall Street Analysts Are Loving Now: January 2024

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While digital innovation served as the backbone of last year’s resilient market performance, investors moving forward may want to concentrate on top-rated tech stocks. Specifically, these ideas have the endorsement of Wall Street analysts who have pegged the enterprises as strong buys.

Of course, you want to do your own research. And it also pays to understand that experts are, at the end of the day, human. They make mistakes just like everybody else. However, the difference is that these folks didn’t just luck into their lofty roles. Rather, they had to prove themselves – and the pressure is on to keep proving themselves.

When it comes to top-rated tech stocks, the underlying endorsements are like reality TV cooking shows. You’re only as good as your last meal. Keep forwarding lackluster dishes to the judges and eventually, you’ll be on your way out.

Stated differently, a natural incentive exists to put the best foot forward. On that note, below are top-rated tech stocks to consider.

Microsoft (MSFT)

Microsoft logo close up. Microsoft (MSFT) Flagship Store Fifth Avenue, Manhattan, NYC.
Source: The Art of Pics / Shutterstock.com

Perhaps an obvious idea among innovators, Microsoft (NASDAQ:MSFT) as a result might not seem a compelling idea for top-rated tech stocks. However, it meets the criteria. According to TipRanks, the last rating for MSFT came three days ago – a “buy” from Piper Sandler with a $455 price target, implying over 17% upside. Overall, the average price target lands at $429.15.

Fundamentally, Microsoft ranks among the top-rated tech stocks because of its multiple relevancies. Recently, the company has made significant investments in artificial intelligence, particularly large language models (LLMs). Enticingly, Grand View Research states that the global LLM sector reached a valuation of $4.35 billion last year. Further, the sector could hit $35.43 billion by 2030.

Adding to the narrative, Microsoft commands the desktop PC sector, both in terms of operating system dominance along with productivity tools such as the Microsoft Office 365 suite of business-oriented programs. Although MSFT has already gained almost 62% of equity value in the past 52 weeks, analysts see more upside remaining. That’s a very positive sign.

ACM Research (ACMR)

a magnifying glass enlarges the ACM logo on a website
Source: Pavel Kapysh / Shutterstock.com

A global manufacturer of wet processing equipment and production tools, ACM Research (NASDAQ:ACMR) represents one of the most vital top-rated tech stocks. Through its cutting-edge equipment, ACM offers delicate silicon wafer cleaning solutions, a crucial step in chip fabrication. As well, the company provides other important needs such as electroplating and stress-free polishing.

While it might not get the attention of a “frontline” semiconductor play like Nvidia (NASDAQ:NVDA), ACM is critical for the broader chip-manufacturing value chain. As a result, analysts peg shares as a consensus strong buy. This assessment breaks down as four buys and one hold. Further, the average price target lands at $28, with the high-side estimate reaching $32.

Though the wafer-cleaning market equipment industry isn’t the sexiest out there, it does enjoy solid growth projections. In 2022, the sector reached a valuation of $7.11 billion. Experts see the space reaching $13.65 billion by 2030, representing a compound annual growth rate (CAGR) of 8.5%. For a no-nonsense, relevant idea, ACMR offers a compelling look for top-rated tech stocks.

Alight (ALIT)

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To be sure, Alight (NYSE:ALIT) might not be on everyone’s radar. However, it probably should. According to TipRanks, analysts rate shares a unanimous strong buy. Also, we’re not talking about unanimity between two people. Rather, eight voices agree that it’s worth a look – nine if you include Bank of America Securities’ positive assessment from June of last year.

Enticingly, the average price target stands at $12.25, implying over 46% upside potential. Further, the max target shoots to $14, projecting over 67% growth. So, why are the suits on Wall Street so eager to buy in? It may come down to the business. As a human capital management platform, Alight streamlines various HR functions such as payroll, benefits administration and employee health and wellness support programs under one umbrella.

Fundamentally, that may help reduce costs, particularly administrative overhead. Cynically, this directive may enable companies to seek business “accretive” talent as opposed to backend talent such as HR representatives.

In full disclosure, ALIT slipped 7% in the past 52 weeks. Still, it could be an intriguing contrarian idea among top-rated tech stocks.

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. Tweet him at @EnomotoMedia.

Article printed from InvestorPlace Media, https://investorplace.com/2024/01/3-top-rated-tech-stocks-wall-street-analysts-are-loving-now-january-2024/.

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