Top technology and gaming stocks to explore in 2022

Highlights

• The Dow Jones US Technology Total Stock Market Index grew 38.42% in one year.
• Apple Inc. (NASDAQ: AAPL) is close to reaching a US$3-trillion mark.
• Meta Platforms, Inc. (NASDAQ: FB) has a P/E ratio of 24.15 and a forward P/E one year of 24.65. Its active users for one or more of its services are roughly 3.6 billion.

The US stocks kicked off the first trading session of the New Year with a bang. The technology and gaining sectors were seeing huge traction in intraday trading as traders shrugged off the Omicron concerns. Technology companies sell computers, software, AI devices, etc. Here we discuss six technology and gaming stocks that are likely to stay on investors’ radar this year.

Apple Inc. (NASDAQ: AAPL) 

The Apple stock was up 1.81% to US$180.78 at 11:14 am ET on Monday. The stock traded in the range of US$182.13 to US$116.21 in the last 52 weeks.

Apple, which launched its latest version of products in 2021, was close to hitting the US$3-trillion milestone in market valuation.

Indian regulators had recently ordered a probe into the company’s proprietary payment system that allegedly restricts some app developers.

The Cupertino, California-based company booked net sales of US$365.8 billion, up more than 33% YoY. In FY 2020 and FY 2019, its net sales were US$274.5 billion and US$260.1 billion, respectively, indicating a steady sales growth over the past three years.

Its net income was US$94.68 billion or US$US$5.61 per share diluted in FY21 ended Sept 25, 2021, compared to US$57.4 billion and US$55.25 billion in FY20 and FY19, respectively.

Its current market capitalization is US$2.1 trillion. The P/E and forward P/E for one year are 32.19 and 30.82, respectively. The dividend yield is 0.49%, and the annualized dividend is US$0.88. 

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Meta Platforms, Inc. (NASDAQ: FB)

The Meta stock traded in the range of US$384.33 to US$244.61 in the last 52 weeks. It was trading at US$338.39, up 0.61% at 11:14 am ET on Jan 3, 2022.

The social networking company drew renewed attention in November last year after it changed its name to Meta to align with its metaverse plan. Although it did not bring any significant dividend to the stock, it did raise people’s curiosity in the metaverse.

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According to the company, it has roughly 3.6 billion active users for one or more of its services.

The company earned a revenue of US$84.26 billion for the nine months ended Sept 30, 2021, compared to US$57.89 billion for the same period in 2020. Its net income was US$29.08 billion compared to US$17.93 billion for the nine months ended Sept 30, 2020.

Meta has a current market capitalization of US$953 billion, with a P/E ratio of 24.15 and a forward P/E for one year of 24.65.

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PayPal Holdings, Inc. (NASDAQ: PYPL) 

The Paypal stock moved in the range of US$310.16 to US$179.15 in the last 52 weeks. On Monday, the PYPL stock rose 2.55% to US$193.39 at 11:14 am ET.

The stock saw significant gains over the last two years. The trend is likely to continue in 2022.

The San Jose, California-based company had 416 active accounts at the end of Q3, 2021, compared to 361 at the end of the third quarter of 2020. It launched a ‘buy now, pay later’ service last year and waived off the late fee to attract more users.

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Its total payment value (TPV) increased to US$309,910 in Q3, 2021, versus US$246,691 in Q3, 2020. It booked net revenue of US$18.45 billion and net income of US$3.37 billion or US$(2.84) per diluted share for the nine months ended Sept 30, 2021, compared to the net revenue of US$15.33 billion and net income of US$2.64 billion or US$2.22 per share diluted a year ago.

Its P/E ratio is 46.5 and the forward P/E one year is 54.59. PayPal’s market capitalization is US$227.2 billion.  

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NVIDIA Corporation (NASDAQ: NVDA) 

The Nvidia stock traded between US$346.47 and US$115.67 in one year. On Monday, it was trading at US$304.0782, an increase of 3.39% at 11:15 am ET.

The Santa Clara, California-based technology company designs graphic processing units (GPUs) for gaming, automotive infotainment systems, and data centers.

For the nine months ended Oct 31, 2021, it earned revenue of US$19.27 billion versus US$11.67 billion in the corresponding period of 2020. Its net income was US$6.75 billion compared to US$2.88 billion in the first nine months of 2020.

It has a market capitalization of US$754 billion. The P/E ratio is 93.02, and the forward P/E one-year ratio is 82.88. The dividend yield is 0.05%, and the annualized dividend is US$0.16.

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Source - pixabay

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Palantir Technologies Inc. (NASDAQ: PLTR) 

The stock traded at US$18.265, up 0.30% at 11:15 am ET on the first day of trading in the new year. In the last 52 weeks, the stock traded in the range of US$45.00 to US$17.05.

The Denver, Colorado-based technology company provides solutions for data management to gain insights and achieve outcomes. Palantir’s current market capitalization is US$36.48 billion. 

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The company’s clients include the FBI and the Defense Department. It has been improving its performance every year. Its AI-based data mining tool is expected to help generate robust revenue in the future. It booked revenue of US$1.11 billion for the nine months ended Sept 30, 2021, compared to US$0.770 billion for the same period a year ago.

Its net loss was US$0.364 billion or US$(0.19) per share diluted versus a net loss of US$1.02 billion or US$(1.43) in the first nine months of 2020.

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Roblox Corporation (NYSE: RBLX)

The RPLX stock traded at US$100.14, down 2.93% at 2:26 pm ET, on Jan 3, 2021.

It operates an online video game platform where people can create and monetize their games. The Roblox is based in San Mateo, California. It is also focusing on creating metaverse-driven systems for business management, education, concerts, etc.

For the nine months ended Sept 30, 2021, the company reported revenue of US$1.35 billion compared to US$0.613 billion in the same period of 2020.

Its net loss attributable to common stockholders was US$348 million or US$(0.73) per share diluted compared to US$194.5 million or US$(1.09) for the nine months ended Sept 30, 2020.

Roblox has a market capitalization of US$57.9 billion. The RBLX stock traded in the range of US$141.60 to US$60.50 in the last 52 weeks.

Bottomline

The Dow Jones US Technology Total Stock Market Index grew 38.42% in one year. According to analysts, the tech sector may see volatility this year amid a likely rate hike and withdrawal of monetary stimulus.