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4 Tech Stocks Under $10 to Add to Your Portfolio in 2025
BMBLBumble(BMBL) ZACKS·2024-12-30 14:11

Technology Sector Performance - The technology sector was the backbone of the stock market's exceptional performance in 2024, with the Nasdaq Composite Index surging 31.4%, outpacing the S&P 500's 25.2% rise and the Dow Jones Industrial Average's 14.1% climb [1] - The sector's growth trajectory shows no signs of slowing, driven by AI, cybersecurity, 5G, blockchain, and autonomous vehicles, with worldwide IT spending forecasted to rise 9.3% to 5.74trillionin2025[2]KeyGrowthDrivers−RapidadoptionofAIandhigh−performancecomputingsolutionsfueledgrowth,withsemiconductorcompaniesthrivingduetoenterpriseintegrationofgenerativeAIandadvancedanalytics[16]−Thecloudcomputingboomremainedstrong,withbusinessesadoptinghybridandmulti−cloudsolutionstostreamlineoperationsandcutcosts[16]AffordableTechStocksUnder5.74 trillion in 2025 [2] Key Growth Drivers - Rapid adoption of AI and high-performance computing solutions fueled growth, with semiconductor companies thriving due to enterprise integration of generative AI and advanced analytics [16] - The cloud computing boom remained strong, with businesses adopting hybrid and multi-cloud solutions to streamline operations and cut costs [16] Affordable Tech Stocks Under 10 - Four tech companies trading under 10wereidentifiedaspotentialinvestmentopportunities:Stratasys(SSYS),Phunware(PHUN),Bumble(BMBL),andVTEX(VTEX)[3]−Thesestocksofferexposuretothesector′sgrowthpotentialwhilekeepinginvestmentsaccessible,withfavorableGrowthScoresandZacksRanks[10][18]CompanyHighlights−∗∗Stratasys(SSYS)∗∗:Pricedat10 were identified as potential investment opportunities: Stratasys (SSYS), Phunware (PHUN), Bumble (BMBL), and VTEX (VTEX) [3] - These stocks offer exposure to the sector's growth potential while keeping investments accessible, with favorable Growth Scores and Zacks Ranks [10][18] Company Highlights - **Stratasys (SSYS)**: Priced at 9.15, the company benefits from increased demand for 3D-printed equipment across industries, with a Zacks Consensus Estimate for 2025 earnings moving up to 33 cents per share [5][12][19] - Phunware (PHUN): Priced at 5.73,thecompany′sgrowthisdrivenbyitsmobileengagementplatform,withanarrowedZacksConsensusEstimatefor2025lossto84centspershare[6][13][20]−∗∗Bumble(BMBL)∗∗:Pricedat5.73, the company's growth is driven by its mobile engagement platform, with a narrowed Zacks Consensus Estimate for 2025 loss to 84 cents per share [6][13][20] - **Bumble (BMBL)**: Priced at 8.02, the company's unique women-first approach to online dating drives growth, with a Zacks Consensus Estimate for 2025 earnings moving up to 86 cents per share [7][14][21] - VTEX (VTEX): Priced at $5.75, the company's robust digital commerce platform drives growth, with a Zacks Consensus Estimate for 2025 earnings moving up to 16 cents per share [8][15][22] Macroeconomic Factors - Improving macroeconomic conditions, including Federal Reserve interest rate cuts and stabilizing inflation, boosted investor confidence in growth-oriented tech stocks [9] - Supply-chain recoveries revitalized the hardware segment, contributing to the sector's robust performance [9]