5 Best Tech Stocks for 2016

I just listened to a podcast on Zacks (link below). Brian Bolan, one of their resident tech analysts, was the guest speaker giving us his opinion on the five best tech stocks for 2016. Infinera was discussed around 18 minutes into the podcast.


Technology has come to have a broader meaning than just hardware and software companies. It’s no longer just Microsoft and Cisco. Social media and “Internet” companies are now part of the technology landscape.
Tech stocks were some of the big performers in 2015 but there’s still investing opportunities in the sector.

What are Brian’s top 5 technology stocks for 2016?

Is Facebook (FB - Analyst Report) the future of social media? While there are now a billion people using the platform, Facebook is more than just its namesake product.

Amazon (AMZN - Analyst Report) is transforming itself from a retail juggernaut to a leader in the cloud. After not being profitable for years, this 20-year old company is expected to grow earnings 456% this year and another 167% next year. What’s going on?

Fitbit (FIT - Analyst Report) is the latest tech gadget sensation. It has 22% of the wearables market and it looks like this holiday season could be huge for the company. Fitness and wellness are a big market globally which Fitbit is only beginning to tap.

Gogo Inc. (GOGO - Snapshot Report) might not be on your radar but the airlines certainly know it. It provides Internet services in flight and is launching a new system on 550 planes in 2016. Should you take a chance on this growing technology?

Infinera (INFN - Snapshot Report) isn’t in a glamorous part of the technology business, as it provides fiber optic connection gear, but as companies like Amazon and Facebook need and use ever more data, it’s Infinera which paves the way. Earnings are expected to grow 31% in 2016.

But what about valuations? None of these stocks are cheap. Should investors be concerned or should they just buy the growth and be happy?
For those who only can buy just one tech stock next year, Brian also provides his favorite pick out of these 5.

So what is his top pick? For safety and stability he chose Amazon for its diversification in both tech and retail, but, on the other hand Amazon may not have as much steam left to go, whereas a stock like Infinera is probably looking at a double.

Heard it here first with the highest call made so far. PT = 40.00 by end of next year.