For the first time in three years, it’s dead easy to pick a basket of tech stocks for the year ahead. After giant double-digit gains from 2019 through 2021, the Nasdaq Composite Index ended 2022 down 32%. That means that tons of great tech firms are deeply discounted and makes finding bargains a whole lot easierFrom megacap names, such as Apple (ticker: AAPL), down 26% in 2022, to terrific mid-cap companies, such as Qualcomm (QCOM), down 39%, to great small-cap names such as software maker Couchbase (BASE), down 47% last year, there are big discounts across the spectrum of tech investing. As a result, most exchange-traded funds are bound to include plenty of bargains regardless of their theme or industry focus.
Where do you start? The natural place is with excellent companies that suffered the most last year. Considering the theory of mean reversion, or the theory that returns eventually revert to their long-term averages, 2023 should be an excellent year for tech ETFs.
Semis worth a look. Among your best bets are the semiconductor ETFs. This industry’s headlines were among the worst in tech last year, with rapid declines in chip sales and inventory pileups due to declines in big markets, including smartphones and personal computers.
That has led to drops in chip stocks, such as Qualcomm, Nvidia (NVDA), and Advanced Micro Devices (AMD), that are among the worst in tech. The Standard & Poor’s 1500 semiconductor industry segment was down 36% in 2022. That’s worse than the overall information technology segment decline of roughly 28%, and worse than many other industries in tech.From megacap names, such as Apple (ticker: AAPL), down 26% in 2022, to terrific mid-cap companies, such as Qualcomm (QCOM), down 39%, to great small-cap names such as software maker Couchbase (BASE), down 47% last year, there are big discounts across the spectrum of tech investing. As a result, most exchange-traded funds are bound to include plenty of bargains regardless of their theme or industry focus.
Where do you start? The natural place is with excellent companies that suffered the most last year. Considering the theory of mean reversion, or the theory that returns eventually revert to their long-term averages, 2023 should be an excellent year for tech ETFs.
Semis worth a look. Among your best bets are the semiconductor ETFs. This industry’s headlines were among the worst in tech last year, with rapid declines in chip sales and inventory pileups due to declines in big markets, including smartphones and personal computers.
That has led to drops in chip stocks, such as Qualcomm, Nvidia (NVDA), and Advanced Micro Devices (AMD), that are among the worst in tech. The Standard & Poor’s 1500 semiconductor industry segment was down 36% in 2022. That’s worse than the overall information technology segment decline of roughly 28%, and worse than many other industries in tech.From megacap names, such as Apple (ticker: AAPL), down 26% in 2022, to terrific mid-cap companies, such as Qualcomm (QCOM), down 39%, to great small-cap names such as software maker Couchbase (BASE), down 47% last year, there are big discounts across the spectrum of tech investing. As a result, most exchange-traded funds are bound to include plenty of bargains regardless of their theme or industry focus.
Where do you start? The natural place is with excellent companies that suffered the most last year. Considering the theory of mean reversion, or the theory that returns eventually revert to their long-term averages, 2023 should be an excellent year for tech ETFs.
Semis worth a look. Among your best bets are the semiconductor ETFs. This industry’s headlines were among the worst in tech last year, with rapid declines in chip sales and inventory pileups due to declines in big markets, including smartphones and personal computers.
That has led to drops in chip stocks, such as Qualcomm, Nvidia (NVDA), and Advanced Micro Devices (AMD), that are among the worst in tech. The Standard & Poor’s 1500 semiconductor industry segment was down 36% in 2022. That’s worse than the overall information technology segment decline of roughly 28%, and worse than many other industries in tech.
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