3 Tech Stocks For Growth Investors To Buy Now

By their very nature, growth investors are primarily focused on finding companies whose earnings and revenue are expected grow at a rate that outpaces the market. This investment strategy comes with its fair share of risks, but it also brings the exciting possibility of outsized returns—an end goal that every investor desires.

Over the past several years, Wall Street’s most exciting growth stocks have emerged from the technology sector. From industry innovators like Amazon (NASDAQ:AMZN) and Netflix (NASDAQ:NFLX) to exciting foreign stocks such as Alibaba (NYSE:BABA) , tech-focused growth investors have been rewarded with massive profits recently.

Strong earnings and impressive sales imply that the technology sector’s hot streak should continue into 2018. That means that growth investors searching for the next great market-beating stock might want to keep their focus on tech companies.

Luckily, we can pair the proven Zacks Rank with our innovative Style Scores system, which includes a “Growth” category, to find strong growth tech stocks. Investors should note that our Growth category values earnings and sales growth, as well as improvements to a company’s financial statements—including strong cash flows and great return on equity.

With all of this said, check out these three tech stocks for growth investors to consider now:

1. Entegris, Inc. ( (NASDAQ:ENTG) )

Entegris is a leading provider of materials management solutions to the semiconductor manufacturing and disk manufacturing markets. Shares have soared more than 80% on the back of the firm’s expansion in 2017, and our consensus estimates are calling for full-year EPS and sales growth to finish at 46% and 13%, respectively.

Looking ahead, Entegris’ earnings and sales are expected to continue expanding in fiscal 2018. What’s more, the company’s profits are projected to grow at an annualized rate of 11% over the next three to five years.

On top of this, the firm’s RoE of 19 bests its industry’s average of 14%, and its current cash flow growth of 5% underscores its financial improvements. Entegris is currently sporting a Zacks Rank #1 (Strong Buy).

2. Western Digital Corporation ( (NASDAQ:WDC) )

Western Digital is a manufacturer of personal and commercial data storage devices. Thanks to innovation and rising demand in key segments, this decades-old company has emerged as an interesting growth pick, and shares have moved more than 27% higher in 2017 as investors begin to realize this.

Based on our latest consensus estimates, Western Digital is expected to finish the fiscal year with EPS growth of 43% and sales growth of 7%. The firm is also sporting an impressive RoE of 27%, as well as a better-than-industry-average net margin of 7%.

However, the real story for WDC is its cash flow growth. The company is currently generating a staggering $16.31 in cash per share and expanding its cash flow at a rate of 96%. On top of this, Western Digital is currently a Zacks Rank #1 (Strong Buy).

3. Vishay Intertechnology, Inc. ( (NYSE:VSH) )

Vishay Intertechnology is a producer of discrete semiconductors and passive electronic components. The company has a broad portfolio of solutions that are tailored to the “things” being controlled in the Internet of Things, which have been a key growth catalyst for the firm. Shares of VSH are up 40% this year and should continue to rise if expansion projections hold up.

Based on our latest consensus estimates, we expect Vishay to finish fiscal 2017 with EPS growth of 65% and sales growth of 12%. That expansion is expected to continue next year, with current estimates calling for earnings growth of an additional 7% and revenue growth of 6%.

Vishay is expected to improve its profits by an annualized rate of 21% over the next three to five years. The firm’s RoE of 12% and net margin of 4% both stack up well against its competition, and the stock is currently sporting a Zacks Rank #1 (Strong Buy).

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