3 Best Technology Stocks to Buy in February

Major market indices continue to experience extreme volatility due to the aggressive increase in interest rates planned by the Fed to control high inflation for decades and growing geopolitical tensions between Ukraine and Russia. Technology stocks have experienced significant sales since the beginning of the year, and the Nasdaq Composite has fallen 11.9% since the beginning of the year.

The technology industry has helped businesses stay operational since the start of the COVID-19 pandemic. Expanding the adoption of cloud, IT service and hybrid business structures by enterprises has led to significant growth for most technology companies. The technology industry is expected to witness further growth due to the rapid adoption of new and advanced technologies and solutions. According to Gartner, global IT spending, which includes data center systems, enterprise software, devices, IT services and communications services, will grow to $ 4.50 trillion in 2022, which is growth of 5.1% from 2021.

That’s why today we highlight 3 promotions from our screen of 10 best technologies, which is only 1 of the 10 screens with the best in our POWR Screens 10 service (more on that below). Internet Initiative Japan Inc. (IIJIY), Extreme Networks, Inc. (EXTR), and Wayside Technology Group, Inc. (WSTG) have a good position to make money on the accompanying wind industry.

Internet Initiative Japan Inc. (IIJIY)

Headquartered in Tokyo, Japan, IIJIY provides Internet connection, WAN, outsourcing, system integration and networking equipment sales services in Japan. The company operates through a network services business and system integration and ATM operation business.

IIJIY’s nine-month revenue, which ended December 31, 2021, increased 6.1% year-over-year to 165.60 billion yen ($ 1.43 billion). The company operating income increased by 60.9% over the same period last year and amounted to 16.29 billion yen ($ 0.14 billion). In addition, its net profit increased by 96.1% over the same period last year and amounted to 11.52 billion yen ($ 0.09 billion). Its earnings per share were 127 yen, up 95.8% from the same period last year.

Analysts expect IIJIY’s profit for fiscal year 2022 to increase 17.2% over the same period last year to $ 1.98 billion. Over the past year, shares have risen 39.7%, closing the last trading session at $ 30.61.

The strong foundations of IIJIY are reflected in it POWR ratings. It has an overall rating of A, which equates to a strong purchase in our patented rating system. The POWR rating is calculated taking into account 118 different factors, each of which is optimally weighted.

The stock has Class A stability and Class B value and quality. It ranks 6th out of 49 shares in Ranking A. Telecom is foreign industry. Click here to see other IIJIY ratings for growth, momentum and sentiment.

Extreme Networks, Inc. (EXTR)

EXTR provides end-to-end cloud networking solutions, services and support. The company provides solutions from the edge of the Internet of Things (IoT) to the cloud. Its products include ExtremeWireless, ExtremeSwitching, ExtremeControl, ExtremeCloud IQ, ExtremeAnalytics, ExtremeLocation, Extreme AirDefense, ExtremeGuest and ExtremeCloud A3.

On September 15, 2021, EXTR announced the acquisition of Ipanema, Infovista’s corporate SD-WAN division with cloud features. This acquisition will expand the ExtremeCloud portfolio from EXTR, adding flexibility, capabilities and security when connecting locations, applications and devices. Adding Ipanema capabilities to the ExtremeCloud portfolio offers new SD-WANs with cloud management and Infinite Enterprise security software.

For the second fiscal quarter ended December 31, 2021, EXTR revenues grew 16% year-over-year to $ 280.90 million. The company’s net profit without GAAP increased by 78% over the same period last year and amounted to $ 28.40 million. In addition, its earnings per share without GAAP were $ 0.21, an increase of 62% over last year.

In the 2022 fiscal year, EXTR earnings and earnings are expected to grow 43.9% and 12.1% over the same period last year to $ 0.82 and $ 1.13 billion, respectively. It topped Street EPS estimates in each of the last four quarters. Over the past year, shares have risen 24.8%, closing the last trading session at $ 12.10.

The POWR EXTR rating reflects reliable prospects. The shares have an overall rating of A, which equates to a strong buy in our patented rating system. It has an “A” rating for growth and a “B” rating for quality and quality. Within Technology – communications / networks industry, it ranks first. To see other EXTR ratings for momentum, stability and mood, Click here.

Wayside Technology Group, Inc. (WSTG)

WSTG operates as a company to disseminate information technology and value-added solutions. It works across distribution segments and solutions. It also offers virtualization / cloud computing, security, networking, storage and infrastructure management, application lifecycle management and other technically complex domains and computer hardware.

On January 11, 2022, WSTG announced its subsidiary Climb Channel Solutions in partnership with IRONSCALES, a world leader in artificial security e-mail security solutions. Climb Channel Solutions CEO Dale Foster said: “We are working with IRONSCALES to provide our customers with a holistic, advanced email security platform that will strengthen their cybersecurity offerings and protect against all forms of phishing before, during and after incidents.”

WSTG’s net sales grew 13% year-over-year to $ 68.91 million for the third quarter ended September 30, 2021. Adjusted gross accounts of the company increased by 32.6% compared to the same period last year and amounted to 226.93 million dollars. In addition, its adjusted EBITDA increased by 128.4% over the same period last year and amounted to $ 4.23 million.

Analysts expect earnings on WSTG shares to increase 22% over the next five years. Over the past year, shares have risen 53% to close the last trading session at $ 30.60.

WSTG’s strong fundamentals are reflected in its POWR rankings. The shares have an overall rating of A, which equates to a strong buy in our patented rating system. It has an “A” rating for growth and a “B” rating for value, mood and quality. It ranks first with 48 shares in Technology – Electronics industry. Click here to see other WSTG ratings for momentum and stability.

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Shares of IIJIY traded at $ 30.01 per share on Monday afternoon, down $ 0.60 (-1.96%). Since the beginning of the year, IIJIY has decreased by -27.20% against the growth of the S&P 500 benchmark index by -7.77% over the same period.

About the author: Dipanjan Banchur

Since he was in elementary school, Dipanjan has been interested in the stock market. This led to him earning a master’s degree in finance and accounting. Currently, as an investment analyst and financial journalist, Dipanjan is very interested in reading and analyzing new trends in financial markets. More …

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