As technology advances, new companies and industries rise up, offering unique solutions, services, and products. Not every new tech company makes for a promising investment though. Startup companies are especially risky to invest in because there’s no telling how they’ll perform. Before gauging how well a company can do, it’s important to see how well it has done in the past.
For investors who want a lot of growth going forward, it’s important to see that there has been some significant growth in recent history as well. Below, we outline five tech stocks that have done just that. Each of these companies saw their earnings grow by at least 50% last year. These companies are projected to see their earnings grow by at least 50% this year as well.
NetSol Technologies-(NTWK –Snapshot Report)
NetSol Technologies is a provider of enterprise software and IT services to the financial services industry. The company implements solutions to meet the strategic business needs of its clients. NTWK is a Zacks Rank #1 (Strong Buy), and with a market cap of $72.49 million, it’s the smallest company on this list.
Some key metrics suggest that NTWK is worth buying right now. The company is trading at a price-to-book of 1.0, while the rest of the industry is valued at a price-to-book of 3.80. Another attractive value metric is NetSol’s price-to-sales, which is just 1.29. The company’s earnings grew by 58.7% last year. This year, NetSol is projected to increase its earnings by 140.35%.
Adobe Systems Inc-(ADBE – Analyst Report)
Adobe Systems provides graphic design, publishing, and imaging software for web and print production. The company focuses on developing software products for creating, distributing, and managing various types of information. Adobe is a Zacks Rank #2 (Buy), and its market cap of $47.05 billion makes it the biggest company in this article.
ADBE is not hampered by debt at all, as the company has a debt-to-equity of 0.27. The company is fairly liquid as well with a current ratio of 2.21. Adobe has a net margin of 15.76%, which shows that it is much more profitable than the broader industry. Last year, the industry as a whole had an average net margin of 0.51%.
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