With many of the top technology stocks reporting earnings, it’s clear that tech stocks are performing well. Analysts seem to agree, which is why investors should consider adding stocks such as Apple Inc. (NASDAQ:AAPL), Qualcomm Inc . (NASDAQ:QCOM), and Cadence Design Systems, Inc. (NASDAQ:CDNS) to their portfolio.Technology stocks have been back in favor after a slew of solid earnings reports this quarter. While many of these companies saw their sales sky-rocket last year driven by the move to digital amid the pandemic's lockdowns, many did not expect that performance to continue into this year. For instance, we saw a rotation into cyclical stocks at the end of last year as news of vaccine approvals rolled in.
For many tech stocks, though, it turns out that their business models have set them up for continued success, and Wall Street analysts would agree. Analysts meet with management and other stakeholders to help determine a company's future value based on its financials and growth potential. They use this information to generate earnings estimates and target prices that help them form their overall ratings.
We can find attractive technology stocks if we combine analyst ratings with our proprietary POWR Ratings. This is why investors should consider stocks such as Apple Inc. (AAPL), Qualcomm Inc. (QCOM), and Cadence Design Systems, Inc. (CDNS). All three stocks are loved by analysts, have strong growth drivers, and rate highly in our POWR Ratings system.