3 Tech Stocks to Buy Now: June 2024

Core Viewpoint - The information technology sector has seen a year-to-date increase of 30%, with potential for further gains driven by leading tech stocks, particularly in the context of an ongoing AI revolution [1][2]. Group 1: Microsoft (MSFT) - Microsoft is highlighted as a top tech stock to buy due to its leadership in AI, bolstered by a partnership with OpenAI and significant investments in AI infrastructure [4][15]. - The integration of AI into its applications, such as GitHub and Microsoft 365, has led to improved productivity and revenue acceleration, with GitHub Copilot seeing a 35% quarter-over-quarter growth in subscribers [5]. - Over 65% of Fortune 500 companies are utilizing Microsoft's Azure OpenAI Service, indicating strong market penetration and demand for its AI offerings [14]. Group 2: AppLovin (APP) - AppLovin is positioned as a key player in the mobile application monetization space, benefiting from AI advancements that enhance its advertising targeting capabilities [7][16]. - The company reported a 16% revenue growth in fiscal year 2023, with a remarkable 47% year-over-year revenue increase in Q1 2024, driven by its AI-powered advertising recommendation engine [8][18]. - AppLovin's software revenues surged from $355 million to$678 million in Q1 2024, showcasing significant operating leverage and potential for stock appreciation as digital advertising expands [17]. Group 3: ACM Research (ACMR) - ACM Research is recognized as a strong investment opportunity due to its role in chip manufacturing, particularly as China aims for semiconductor self-sufficiency [10][20]. - The company experienced a 43% revenue growth in 2023, with analysts projecting a continued growth rate of 26% for 2024 [18]. - ACM Shanghai, a subsidiary, is valued significantly higher than ACM Research, presenting potential value unlocking opportunities for shareholders [11].