3 Tech Stocks To Ride The Post-Earnings Momentum

As Q2 earnings season comes to an end, it’s time for investors to reflect on our latest round of results and adjust their strategies accordingly. Overall, earnings were strong, and we saw broad-based growth reaching the double digit level for the second quarter in a row, which means investors should be moving from a position of strength right now.

Of course, the technology sector was an impressive performer once again. Tech stocks have been leading the way for most of 2017, and since the recent volatility in the space had no effect on the previous quarter’s earnings, we saw strong results across the board this season.

In fact, according to our exclusive Zacks Sector Rank data, about 70% of the companies in our “Computer and Technology” sector either met or surpassed earnings estimates this quarter. While that means you may have missed a few opportunities to profit from earnings surprises, there’s still plenty of time to ride the tech sector’s post-earnings momentum.

Analysts and large funds take time to digest earnings reports, so the window of opportunity actually stays open a little bit longer than one might think. What’s more, by targeting companies with strong Zacks Ranks and Style Scores, investors can ensure they are finding the best possible stocks in the wake of earnings season.

Check out these three tech stocks to ride the post-earnings momentum:

1.       Nvidia Corporation (NVDA – Free Report)

Nvidia, which is quickly turning into an investor favorite, posted earnings of $1.01 per share in the most recent quarter, surpassing the Zacks Consensus Estimate by a whopping 47%. Since then, positive estimate revisions have been pouring in, and now the company’s current-quarter Zacks Consensus Estimate sits 16 cents higher.

This revision activity has propelled the stock to a Zacks Rank #1 (Strong Buy), and its recent gains have helped it earn an “A” grade for Momentum. Nvidia shares are now up over 50% year-to-date, but the company’s impressive growth prospects could continue to push the stock higher. Looking ahead, Nvidia is poised to benefit even further from widespread adoption of AI technology, as it is an industry leader in this emerging market.