While every investor likes to see their portfolios go up, corrections can be even more lucrative than strong rallies. Dips present good opportunities for long-term investors and allow them to reduce their cost basis. Good stocks suddenly become cheaper which makes it easier to accumulate more shares.

However, some dips continue to dip. Some stocks crash for a reason and aren’t likely to recover. Staying away from the duds and picking promising tech stocks can lead to higher returns.

The best tech stocks have competitive advantages over their peers. They have thrived in high-growth industries for several years and look poised to gain additional market share. Some tech stocks have high valuations which is the price you often have to pay for impressive growth rates. However, it’s still possible to find reasonably priced investment opportunities within the sector.

These are some of the top tech stocks investors may want to consider.

Tech Stocks: Alphabet (GOOG, GOOGL)

Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) recently demonstrated why it is a good idea to buy on the dip. The stock recovered from its Gemini AI woes and is now up by 9% year-to-date. It’s also the most affordable Magnificent Seven stock with a 22.5 forward price-to-earnings ratio (P/E).

Alphabet stock has been a steady winner. Shares are up by 50% over the past year and have gained 159% over the past five years. Artificial intelligence (AI) is still a powerful technology, but it’s not going to replace Google. It’s similar to how many people thought AI would replace writers, marketers, consultants, and similar professions. 

Alphabet has been cutting costs in a bid to improve profitability. The company reported a 52% year-over-year (YOY) increase in profits in Q4 2023, which indicates that the plan is working. Revenue increased by 13% YOY.

Amazon (AMZN)

Amazon (NASDAQ:AMZN) has the most recognizable online marketplace where millions of people do their shopping. The corporation has become an irreplaceable component of many people’s livelihoods due to the company’s number of products, convenience, and quick shipping.

The company is also thriving with its cloud computing segment. Sales for Amazon Web Services increased by 12% YOY in Q4 2023. Amazon’s overall revenue increased by 14% YOY to reach a record $170.0 billion.

Profit margins have recovered nicely since the company’s ill-guided investments in electric vehicles. Amazon stock is up by 85% over the past year and has more than doubled over the past five years. 

The tech conglomerate has two compelling opportunities that can drive additional revenue growth. Advertising and video streaming are picking up momentum and can become key pieces in the future. Revenue from advertising services reached $14.65 billion in Q4 2023 which was up by 26% YOY. 

Tech Stocks: Crowdstrike (CRWD)

Crowdstrike (NASDAQ:CRWD) is a leading cybersecurity corporation that is gaining market share. While its competitors are sitting headwinds and macroeconomic obstacles, Crowdstrike continued to grow at a fast rate. 

Revenue increased by 33% YOY in the fourth quarter of fiscal 2024. Annual recurring revenue reached $3.44 billion to close out the fiscal year. 

Crowdstrike has always done well with its top line, but the company is now exhibiting meaningful net income growth. The company reported $53.7 million in GAAP net income in Q4 FY24 compared to a net loss of $47.5 million in the same period last year. Profit margins reached 6.25% for the quarter. The stock now trades at an 84 forward P/E ratio.

Crowdstrike has been a winner for several years. The stock is up by 151% over the past year and has gained 402% over the past five years. Crowdstrike’s primary weakness is its valuation, so dips can present great buying opportunities.

Microsoft (MSFT)

Microsoft (NASDAQ:MSFT) has a suite of impressive software products that generate recurring revenue. The firm is also a cloud computing leader that is aggressively taking market share in the AI industry. 

Wall Street analysts believe there is an 11% upside from here. The average rating among 34 analysts is a “Strong Buy” with 32 analysts recommending the stock as a “Buy.” The highest price target of $510 suggests that Microsoft stock can rally by an additional 21%.

The tech giant continues to expand its profit margins despite big investments in AI. Revenue increased by 18% YOY in Q2 FY24 while net income was up by 33% YOY. The corporation also gave $8.4 billion back to shareholders through stock buybacks and dividends. Microsoft has a low dividend of 0.70% but has raised the dividend by at least 10% per year for several years.

The stock has been a consistent winner that looks like a buy on any dip. Shares are up by 53% over the past year and have gained 257% over the past five years.

Tech Stocks: Oracle (ORCL)

Oracle (NYSE:ORCL) has been a beneficiary of the cloud computing industry. Oracle Cloud revenue increased by 25% YOY in the third quarter of fiscal 2024. Overall revenue was up by 7% YOY.

Oracle Cloud requires a monthly subscription, and once a company uses Oracle Cloud, it’s difficult to walk away. Companies store important files and stay organized through cloud computing. These platforms become major components of various businesses. If Oracle raises the prices for its cloud computing solutions, most of its customers will continue to pay.

Remaining performance obligations jumped to $80 billion which is an all-time record. It’s a 29% YOY jump thanks to the company’s large new cloud infrastructure contracts.

Oracle also classifies as a dividend growth stock. The firm has a 1.28% yield and hikes its dividend every two years. Although that’s less frequent than most dividend stocks, the dividend increases are worth the wait. For instance, Oracle raised its quarterly dividend from 32 cents per share to 40 cents per share in 2023. That’s a 25% YOY increase.

Meta Platforms (META)

Meta Platforms (NASDAQ:META) has enjoyed a strong rally. Effective cost-cutting measures and a return to revenue growth have spurred some serious stock gains. Shares are up by 146% over the past year and trade at a 32 P/E ratio.

The advertising giant also recently announced a dividend which demonstrates the company’s commitment to profitability. Meta Platforms was under fire in 2022 for burning through cash and not using its investments as effectively as it could have. The company has righted the ship.

Quarter 4 revenue came in 25% higher than the same period last year. Net income more than tripled to help the firm secure a 35% net profit margin. Meta Platforms anticipates $34.5-$37 billion in Q1 2024 revenue. The company generated $28.6 billion in Q1 2023, so the guidance implies a 20.6%-29.4% YOY growth rate. 

Meta Platforms is back to being a growth stock, and shares will look more enticing during a dip.

Adobe (ADBE)

Adobe (NASDAQ:ADBE) is up by 35% over the past year and has a 43 P/E ratio. The corporation generates steady recurring revenue since many creatives and business owners use the company’s tools to create better visuals and videos.

Revenue increased by 11% YOY to reach $5.18 billion in the first quarter of fiscal 2024. The corporation currently has $17.58 billion in remaining performance obligations. The company has ample cash and used some of its capital to repurchase 3.1 million shares. The company’s total Digital Media annual recurring revenue stands at $15.76 billion. 

Adobe’s guidance indicates more revenue growth is ahead. The firm is targeting $5.25 billion to $5.30 billion in the second quarter of fiscal 2024. The company also expects GAAP EPS to range from $3.35 to $3.40. Both of these figures represent sizable improvements from the company’s $4.82 billion in revenue and $2.82 in diluted EPS in Q2 FY23.

On this date of publication, Marc Guberti held long positions in GOOG, AMZN, and MSFT. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.