While the innovation space seemingly lacks no shortage of interest, not every enterprise benefits from the spotlight, which brings us to tech stocks ready to rebound. Yes, there are indeed certain compelling tech plays that aren’t getting the attention they deserve.
To be sure, the space is speculative. Let’s be real. The usual suspects – your Nvidia (NASDAQ:NVDA) or Microsoft (NASDAQ:MSFT), to name but a few examples – enjoy significant upside momentum in part because everybody else believes in their potential. When you step away from the spotlight, the environment becomes much more adventurous, to put it diplomatically.
Nevertheless, if you’re looking to be a fourth-quarter hero (as in football, not fiscally), then these tech stocks ready to rebound could be right up your alley.
Shift4 Payments (FOUR)
Falling under the infrastructure software category of tech stocks ready to rebound, Shift4 Payments (NYSE:FOUR) provides software and payment processing solutions in the U.S. and internationally. Per its public profile, Shift4 offers multiple products and services, including an omni-channel card acceptance and processing solution platform.
One of the key reasons why FOUR stock should be on your radar is Wall Street’s assessment of the business. Currently, experts rate shares a consensus strong buy with a $93.18 average price target. Further, the high-side estimate calls for a price tag of $105 per share.
Aside from a bum note in the fourth quarter – when Shift4 posted earnings per share of 76 cents against a target of 82 cents – the company was a top performer. In fiscal 2023, the average earnings beat (including the Q4 miss) came out to 25.95%.
For fiscal 2024, experts are looking at EPS of $3.68, well above last year’s print of $2.83. Also, revenue should land at $3.75 billion, up a massive 46% from 2023’s result of $2.56 billion.
LiveRamp (RAMP)
Another entity within the software infrastructure arena, LiveRamp (NYSE:RAMP) operates a data collaboration platform. Per its corporate profile, the company provides a mechanism to unify customer and prospect data to build a single view of the customer in a way that protects consumer privacy. LiveRamp sells its services to many industries, including insurance, retail and automotive, among many others.
As with Shift4 Payments, one of the reasons to consider RAMP is Wall Street’s support. Right now, RAMP enjoys a unanimous strong buy rating. Further, the average price target lands at $48.75, with the most optimistic target reaching $51.
Notably, LiveRamp beat all its quarterly bottom-line targets for fiscal 2023 and by a wide margin. The average positive earnings surprise came out to an impressive 56.78%.
For fiscal 2024, experts see EPS hitting $1.47, above last year’s print of 86 cents. Also, the company could ring up sales of $648.28 million, implying almost 9% year-over-year growth. It’s one of the tech stocks ready to rebound.
Allegro MicroSystems (ALGM)
Listed under the semiconductor segment, Allegro MicroSystems (NASDAQ:ALGM) designs, develops, manufactures and markets sensor integrated circuits (ICs) and application-specific analog power ICs for motion control and energy-efficient systems. Primarily, it provides original equipment manufacturer (OEM) components for the automotive and industrial markets.
A middle-capitalization, Allegro doesn’t receive the attention of some of the heavyweights. Still, ALGM makes a strong case for tech stocks ready to rebound. For one thing, analysts rate shares a consensus strong buy. Further, the average price target comes in at $38.13, with the high-side estimate landing at $45.
While its fiscal performance hasn’t exactly lit up the board, it’s consistently profitable. In 2023, Allegro beat all its quarterly bottom-line targets. Its average positive earnings surprise reached 6.65%. The best performance came in Q4, when it posted EPS of 32 cents against a 29-cent target.
For fiscal 2024, experts believe EPS will hit $1.32, up from last year’s $1.28. Also, they’re looking for sales growth of 7.2% YOY to $1.04 billion.
Intapp (INTA)
Operating under the application software segment, Intapp (NASDAQ:INTA) provides industry-specific cloud-based software solutions for the professional and financial services industry in the U.S., U.K. and internationally. Some of its solutions include a platform that helps manages financial services firms’ market relationships, along with those of prospective clients. Intapp also provides offerings that help its enterprise clients maximize the benefits of artificial intelligence.
As with the other ideas for tech stocks ready to rebound, INTA enjoys strong support from Wall Street. Indeed, the security lands a unanimous strong buy rating. Notably, the average price target stands at $50.44, while the high-side estimate calls for $57.
Fiscally, one of Intapp’s strengths is consistent profitability. Interestingly, experts keep doubting it. For example, in Q1, the company posted earnings of three cents per share against a breakeven target. In Q4, it posted EPS of 11 cents against a target of five cents.
For fiscal 2024, analysts see EPS of 34 cents, well above last year’s print of 11 cents. And revenue could reach $425.04 million, up 21.1% YOY.
Sonos (SONO)
Falling under the consumer electronics category, Sonos (NASDAQ:SONO) designs, develops, manufactures and sells audio products and services in the Americas, Europe, the Middle East, Africa and Asia-Pacific. Per its corporate profile, Sonos offers wireless, portable and home-theater speakers, along with components and accessories. It’s a risky play but a possible improvement in consumer discretionary sentiment could help SONO stock.
Despite the current headwinds, analysts appreciate the enterprise, rating it a consensus strong buy. Enticingly, the average price target reaches $29.52 while the high-side estimate calls for $55. Of course, a main concern is that in the past 52 weeks, SONO has been all over the map.
Fiscally, the problem manifests in the bottom line. Overall, the average surprise in 2023 came in at 0.48%. That’s not exactly encouraging. However, in Q4, the company delivered EPS of 64 cents against a target of 39 cents.
For fiscal 2024, analysts believe EPS will reach 25 cents. If so, that would be a dramatic shift from last year’s print of a loss of eight cents per share. However, investors may need to wait till fiscal 2025 for revenue growth to materialize.
Braze (BRZE)
Falling under the application software segment, Braze (NASDAQ:BRZE) operates a customer engagement platform that provides interactions between consumers and brands worldwide. According to its public profile, the company offers data ingestion products, such as Braze software development kits that automatically manage data ingestion and deliver mobile and web notifications, in-application/in-browser interstitial messages and content cards.
While Braze might not get everyone’s attention, those in the know believe it’s one of the tech stocks ready to rebound. Analysts rate shares a consensus strong buy. It’s only one hold rating shy of a unanimous buy rating. Overall, the average price target reaches $68.86, with the high-side estimate coming in at $80.
While the company isn’t profitable, it is beating its bottom-line target. For fiscal 2023, the average surprise jumped to 45.18%. Its best performance was Q2, when Braze delivered a loss of 4 cents against expected red ink of 14 cents.
For the current fiscal year (2025), analysts are looking for significant growth: $574.15 million on the top line, beating out last year’s print of $471.8 million by 21.7%.
Coursera (COUR)
Listed under the consumer defensive space, Coursera (NYSE:COUR) operates within the education and training services subcategory. That about explains it all. According to its corporate profile, Coursera operates an online educational content platform in the United States, Europe, Africa, Asia-Pacific, the Middle East and internationally. Given the changes in the workforce post-pandemic, COUR could be an intriguing idea for tech stocks ready to rebound.
Now, don’t get me wrong – COIUR is extremely volatile. With that, the analysts’ consensus view comes in at a moderate buy. Still, I suppose the optimist might say that a buy is a buy. Not only that, the average price target of $23.20 will likely pique curiosity among bullish speculators. Also, the low-side target of $15 still implies growth.
Despite the heightened risk profile, Coursera gets the business done. For example, the company posted EPS of 6 cents in Q4, above analysts estimation of a breakeven quarter. It also beat out quarterly projections earlier in the year by a wide margin.
For fiscal 2024, experts see significant growth: a revenue target of $736.45 million or 15.8% up from last year’s print of $635.76 million. Thus, it could be one of the tech stocks ready to rebound.
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.
