Discover the growth and fundamental stability behind these stocks that could boost valuations in the technology sector
These three great technology stocks offer noteworthy opportunities for investors. The first stock is notable for its deft handling of rising operational costs and careful matching of expenses with growing revenues. Even as costs rise, the company’s cost controls ensure a favorable environment for long-term revenue growth.
Second, the company’s improving financial position is highlighted by growing cash reserves and prudent debt management. The company’s aggressive strategy, including the exit of asset-backed loans,Able) The opening of the facility highlights its commitment to sound financial management and lays the foundation for further expansion plans.
Third, the company is showing strong revenue growth, with a notable increase in net income. This growth trend highlights the company’s attractiveness to investors looking for promising prospects in the market and indicates the company is successfully achieving its strategic objectives. Here are the top 3 tech stocks to buy now.
Immersion (IMMR)
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Immersion (Nasdaq:IMMR)teeth, Meta (Nasdaq:Meta) and Samsung (OTCMKTS:SSNLF) expands access to key patents that are integral to industry-leading hardware, software, virtual reality, computing and gaming products and demonstrates Immersion’s leadership in haptic technology.
In the first quarter of 2024, Immersion’s GAAP operating expenses (OpEx) increased sharply from $3.8 million to $27.2 million, while non-GAAP operating expenses increased from $2.6 million to $26.1 million. Despite this significant increase in operating expenses, Immersion remained profitable and demonstrated effective cost control measures.
Additionally, as of the first quarter of 2024, total cash on hand was $179.1 million. This represents an increase of $18.7 million from $160.4 million in the fourth quarter of 2023. Immersion is in a solid financial position as reflected by its strengthened balance sheet. Therefore, this liquidity will provide room for future expansion plans.
Overall, increased liquidity will improve our ability to fund research initiatives, expansion prospects and strategic investments.
Inseego (INSG)
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Inseego (Nasdaq:Ins) strengthened its financial position in the first quarter of 2024 due to growing cash reserves and a prudent debt structure. The company’s cash balance increased by $4.8 million to $12.3 million as of March 31.
This increased liquidity will improve Inseego’s ability to fund its operations and pursue growth. Inseego also demonstrated proactive debt management by voluntarily repaying and exiting its ABL facility in April 2024, reducing its interest expense burden. This move will enable the company to explore alternative capital structures, such as secured debt.
Additionally, Inseego issued optimistic guidance for Q2 2024, signaling confidence in the company’s continued growth trajectory: the company’s consolidated revenue could reach $52 million to $56 million in Q2 2024, a significant increase from Q1 2024. The forecast therefore suggests continued momentum in revenue growth and customer demand across its product lines.
Finally, Inseego expects second-quarter 2024 adjusted EBITDA to be in the range of $6.5 million to $7.5 million, indicating continued revenue growth and margin expansion compared to first-quarter 2024. This guidance therefore highlights the strength of the company’s operating performance and outlook.
M-Tron (MPTI)
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Another tech stock to buy is M-Tron (NYSE:energy)
Recently, we saw diluted EPS increase by $0.33 to $0.53 in Q1 2024, a significant increase compared to $0.20 in Q1 2023.
The strong increase in diluted net earnings per share signifies robust earnings growth. This growth is driven by a variety of factors including revenue growth, improved gross margins and effective cost management initiatives. Therefore, M-Tron’s fundamental ability to translate revenue growth into higher profitability will enhance its market attractiveness and support its growth initiatives.
Additionally, backlog was $46,130K in Q1 2024, down slightly from $47,831K in Q4 2023; however, it reflects an increase from $45,538K in Q1 2023. Despite the slight decrease quarter-over-quarter, backlog remains solid, implying a sharp pipeline of revenue-generating opportunities. Additionally, the increase in backlog compared to Q1 2023 suggests sustained demand for M-Tron’s products and services.
Finally, Adjusted EBITDA increased $1,234K to $2,262K in 1Q24, a significant increase from $1,028K in 1Q23. Overall, the rapid growth in Adjusted EBITDA reflects M-Tron’s operational advantages and improving cost control measures.
On the date of publication, Yannis Zulumpanos did not hold (either directly or indirectly) any positions in the securities mentioned in this article.The opinions expressed in this article are those of the author in accordance with InvestorPlace.com’s Publication Guidelines.
