It’s always rough to deal with layoffs but if you’re looking at tech stocks to buy from a pure profit standpoint, reduced spending on either non-core units or businesses that just don’t pass muster may be beneficial in the long run. Again, it’s a terrible situation for workers and it’s something that could be increasingly common.

According to The New York Times, Wall Street is loving the pink slips flying. True, investors have been enamored with tech stocks to buy, particularly those centered on artificial intelligence and other happening sectors. However, the ecosystem is also attempting to find its footing after a hiring boom during the Covid-19 pandemic.

Unfortunately for individual employees, management must find a delicate balance between preserving dizzying equity gains and keeping the show running. Invariably, then, some cuts have to be made. It’s a raw deal but you can at least profit from the mess with these tech stocks to buy.

Intel (INTC)

While Intel (NASDAQ:INTC) undoubtedly commands significant respect within the broader ecosystem of tech stocks to buy, it’s also fair to point out that it’s had its fair share of troubles. According to a local ABC report, Intel laid off almost 2,000 California-based employees over one year from December 2022. After leading in its semiconductor specialty, the company is struggling to find its footing.

If that wasn’t worrying enough, INTC got off to a slow start in the new year. Still, investors should remember that shares performed relatively well in 2023. With a more focused approach to the business – specifically businesses where the company is competitive – there’s no reason why Intel can’t turn things around.

For example, Intel carries significant acumen in data center chips. According to Grand View Research, the global data center market size reached a valuation of $194.81 billion in 2022. Further, it could expand at a compound annual growth rate of 10.9% to 2030, culminating in sector revenue of $437.33 billion. Analysts do rate shares a consensus hold. However, the high-side target lands at a very robust $68.

Alphabet (GOOG, GOOGL)

As a giant in internet technologies, Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) probably enjoys permanent relevance. For example, its Google-connected ecosystem is ubiquitous. As well, when people search for whatever they want online, they’re doing so through the Google search engine. It’s not just a platform, it’s a verb, an admonishment and a big component of our cultural identity.

However, this dominance hasn’t exempted Alphabet from harsh business realities. As The New York Times recently noted in its headlines, Google’s once happy offices now feel the chill of layoffs. I’ve expressed this point before but it absolutely stinks for layoffs to materialize. I would know because I’ve been on the other side.

Still, if a substantive positive exists, it’s this: if you’re smart enough to be hired by Google, you’re more than smart enough to be hired anyplace you choose. On Alphabet’s side, it’s an opportunity for the enterprise to be less whimsical and focus on what works, like expanding Google Cloud and Services.

Unsurprisingly, analysts peg GOOG a strong buy with a $163.57 average price target. With its vast relevancies, Alphabet is one of the tech stocks to buy.

PayPal (PYPL)

An enterprise that saw so much promise during the early years of the Covid-19 crisis, digital payments processor and business services provider PayPal (NASDAQ:PYPL) hasn’t been the same since late 2021. Last year, the company demonstrated some evidence of stability but the market eventually submerged shares into red ink. So, the subsequent pink slips weren’t surprising.

At the end of last month, CNBC reported that PayPal will cut 9% of its global workforce. This unfortunate circumstance translates to about 2,500 jobs to be removed. While the company posts a three-year revenue growth rate of 14.2% – beating out 70% of its peers – recent sales expansion has slowed. Thus, the revenue multiple of 2.68X arguably could be better.

Still, with the workforce reductions, management can focus on compelling business units. Further, it could be more competitive in cutthroat areas such as buy now, pay later (BNPL). Despite the many hiccups, analysts rate PYPL as a consensus moderate buy with a $67.61 target. Also, the high-side estimate lands at $85, making PayPal one of the tech stocks to buy.

Microsoft (MSFT)

When it comes to tech stocks to buy, Microsoft (NASDAQ:MSFT) represents a steady-as-she-goes investment. Prior to its big investments in AI player OpenAI becoming a well-known piece of information, Microsoft made its name in software and later video games. Sure enough, with the popularity of its Xbox console, the tech giant reaped the rewards. Still, I suppose it’s possible to have too much of a good thing.

Late last month, the company’s leadership team announced job cuts amounting to around 9% of its gaming unit. The disclosure came a little more than three months after Microsoft closed its acquisition of Activision Blizzard; therefore, the cuts weren’t surprising. At the time, management characterized the reductions as part of an “execution plan’ that would reduce “areas of overlap.”

Over time, the move could prove beneficial. Of course, gaming remains popular, with the market’s value reaching $217.06 billion in 2022. Further, analysts project a CAGR expansion of 13.4% to 2030. Still, other sectors like AI feature a much bigger growth rate.

Analysts like the decision to downsize, rating shares a consensus strong buy with a $469.45 price target.

Uber Technologies (UBER)

While Uber Technologies (NYSE:UBER) reached tremendous popularity through its ride-sharing and eventually food-delivery apps, it has struggled to achieve consistent profitability. In 2023, net income landed at $1.89 billion, a welcome change of pace from the prior four years of losses. Still, the company needs to keep the momentum going to succeed in the current tricky economic environment.

As a result, it wasn’t that much of a shocker to see Uber laying off more than 150 workers recently. This directive stemmed from the company’s dissolution of alcohol delivery service Drizly. In October 2021, Uber completed the acquisition of the delivery service. Back then, the buyout made sense given the unique nature of the pandemic. However, with society fully normalized, the service is less relevant.

Moving forward, Uber can focus on what works – ride-sharing and food deliveries. A more focused approach should help sustain investor support, which has been robust over the past year. Analysts peg shares a consensus strong buy with a $78.65 price target. Further, the high-side estimate lands at $90, making it a solid choice for tech stocks to buy.

Amazon (AMZN)

As the e-commerce giant that has dominated so many other areas of business, Amazon (NASDAQ:AMZN) represents a clutch hitter among tech stocks to buy. Yes, the enterprise attracted serious controversies over the years. However, as an investment, it’s tough to argue against it. AMZN stock printed a strong recovery effort in 2023 following volatility in 2022. Still, management couldn’t avoid layoffs this year.

A few days ago, the company reported that it would be cutting hundreds of jobs at its Amazon Pharmacy and One Medical divisions. The leadership team expressed the need to realign some resources to help accelerate efforts for patients and customers. Sadly, this directive comes with a steep human cost.

Nevertheless, an argument exists that a company could become too big and clunky. Streamlining its myriad businesses should help identify what works and what doesn’t. Financially, Amazon prints a robust 13.1% three-year revenue growth rate so I’m confident it can find its efficiencies quickly.

Analysts also share the same confidence, rating AMZN a unanimous strong buy with a $207.92 target.

General Motors (GM)

Okay, before you send me an email, I fully realize that General Motors (NYSE:GM) is not one of the tech stocks to buy. But an irony exists here that I couldn’t ignore. In December last year, CNBC reported that the automaker will lay off 900 employees or 24% of the workforce of robotaxi subsidiary Cruise.

As you know, autonomous driving platforms present great promise. However, many people remain leery about them. That situation came to a head in October when a woman was found critically injured and trapped underneath one of Cruise’s self-driving vehicles. As I pointed out, context matters. Still, with so much negative attention directed against General Motors, it probably had no other course of action.

Stated differently, GM’s path to success is to not be one of the tech stocks to buy. Instead, it should focus on its core automotive pursuits.

I don’t doubt that GM will continue to innovate in the driverless space. But for now, focusing on main business drivers could be profitable. Analysts rate shares a moderate buy with a $48.12 average price target.

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.