5 Top Tech Stocks Under $20 That Promise More Gains

Technology has been one of the best performing sectors so far this year and continues to be a profitable area of investment.

Notably, Technology Select Sector SPDR ETF (NYSE:XLK) XLK has returned 26.2% on a year-to-date basis, reflecting strong performance.

Although the ongoing trade war between the United States and China, a slowing China economy and Brexit-related uncertainty are potent challenges, the outperformance is expected to continue due to continuing adoption of IoT, cloud, AI, ML, AR/VR, blockchain, biometrics, and advanced data analytics.

Moreover, the accelerated deployment of 5G technology — the next wireless revolution — is likely to create further opportunities. Additionally, positive trends in overall IT spending and improving PC shipments are encouraging.

Strategy to Pick Potential Stocks

The big and small, all players alike are striving to deliver cutting-edge innovative technologies, which is delivering solid returns. Here we present five low-priced stocks that also possess strong fundamentals. Although these stocks are risky in nature, they do have the potential to offer high rewards.

Today with the help of our Zacks Stock Screener, we’ve highlighted five technology stocks that hold immense growth potential. Each of these stocks is currently trading for less than $20 a share and carries a Zacks Rank #1 (Strong Buy) or #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

To further narrow down the list, we have selected those that have Growth Score of A or B. Our research shows that stocks with a Growth Score of A or B when combined with a Zacks Rank #1 or 2 offer the best upside potential.

Our Picks

Digital Turbine, Inc. (NASDAQ:APPS) offers products and solutions for mobile operators, device OEMs and third parties. The company outpaced the Zacks Consensus Estimate in the trailing four quarters, with an average positive earnings surprise of 125%.

It sports a Zacks Rank #1. The stock has Growth Score of A. The stock, currently priced at $7.32, has returned 300% on a year-to-date basis.

PC-Tel (NASDAQ:PCTI) designs, develops, and delivers wireless solutions. The company outpaced the Zacks Consensus Estimate in the trailing four quarters, with an average positive earnings surprise of 146.4%.

It sports a Zacks Rank #1. The stock has Growth Score of A. The stock, currently priced at $6.78, has returned 58% on a year-to-date basis.

Lattice Semiconductor (NASDAQ:LSCC) designs, develops and markets high performance programmable logic devices and related development system software. The company outpaced the Zacks Consensus Estimate in three of the trailing four quarters, with an average positive earnings surprise of 14.3%.

It carries a Zacks Rank #2. The stock has Growth Score of A. The stock, currently priced at $19.25, has returned 178.2% on a year-to-date basis.

MobileIron (NASDAQ:MOBL) is engaged in providing security and management solutions for mobile applications, content, and devices. The company outpaced the Zacks Consensus Estimate in one of the trailing four quarters, with an average positive earnings surprise of 45%.

It carries a Zacks Rank #2. The stock has Growth Score of B. The stock, currently priced at $6.82, has returned 48.6% on a year-to-date basis.

Telenav (NASDAQ:TNAV) is a provider of location-based services, or LBS, including voice guided navigation, on mobile phones. The company outpaced the Zacks Consensus Estimate in two of the trailing four quarters, with an average positive earnings surprise of 11.9%.

It carries a Zacks Rank #2. The stock has Growth Score of A. The stock, currently priced at $11.47, has returned 182.5% on a year-to-date basis.

To Conclude

Investors looking for lucrative options at lower prices should go for the aforementioned companies as these as these have encouraging financials and are reasonably good choices to start.

Breakout Biotech Stocks with Triple-Digit Profit Potential

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