Discovering the secret to profitable returns in the fast-paced world of investing sometimes seems like an illusory pursuit. Disruptive tech stocks, however, stand out as opportunities amid the wave of market turbulence.
These innovators and trailblazers are changing the norms of conduct in their respective fields. Tech companies use cutting-edge technology to forge new routes to success. Here, innovation is valued as a currency rather than simply a catchphrase. Welcome to the world of three software giants ready to transform their respective industries and boost profits.
The first is changing the story of consumer connection with its emphasis on real-time engagement solutions. The second’s advertising technology expertise is reaching viewers by engrossing them in a world beyond cookies. Concurrently, the third’s cloud communication technologies are revolutionizing how companies interact, cooperate, and prosper in an increasingly digital environment.
But it’s not simply their cutting-edge products that make these businesses unique—it’s also their persistent dedication to expansion. Explore the complex web of three disruptive companies. Learn how they completely change markets, redefine market leads, and maybe increase investment returns.
Agora (API)
Agora’s (NASDAQ:API) emphasis on growing its clientele is shown in the notable rise in active clients for both Agora and Shengwang. As of Q4 2023, Agora had 1,683 active clients, up 18.4% year over year (YoY).
As of Q4, 4,144 people were active customers of Shengwang, an increase of 11.8% YoY. Thus, the increase in active clients is evidence of Agora’s robust market position and high level of client satisfaction. The company’s ability to adapt to the changing demands of its clientele helps it draw in new business and increase income.
Additionally, Agora attempted to provide new features and improvements to its platform. Agora unveiled a fresh beta version of its cumulative solution, which provides low-latency event notifications and real-time data synchronization across devices and servers. With improved synchronization, storage support, and support for an infinite number of users per channel, the new version is more appealing for various use scenarios.
Overall, Agora improves its competitive position and generates new income streams by consistently developing its technology and product offerings. Hence, the company’s long-term performance and development trajectory are fueled by its ability to adjust to shifting client preferences and market conditions.
Viant (DSP)
The increase in contribution ex-traffic acquisition expenses (TAC) shows that Viant (NASDAQ:DSP) can control traffic acquisition expenses and still make money. The contribution ex-TAC for the fourth quarter of 2023 was $42.6 million, a significant increase of 28% YoY.
A crucial indicator for assessing the financial success of organizations in the advertising technology sector is the contribution of ex-TAC. The notable rise in contribution ex-TAC demonstrates Viant’s ability to effectively control expenses related to traffic acquisition while fostering revenue development.
Moreover, Viant’s capacity to draw in and retain affluent clients indicates the platform’s value proposition. In 2023, there were approximately 20% more clients with contributions above $1 million ex-TAC. The development of high-spending consumers demonstrates Viant’s attraction to marketers with large advertising expenditures.
With robust double-digit growth, connected TV (CTV) represented over 40% of all ad spend on Viant’s platform in Q4. Viant’s platform has a sizable portion of CTV ad expenditure, emphasizing the company’s supremacy in this advertising medium. Overall, Viant’s Household ID solution solves the problems caused by cookie deprecation by allowing marketers to target and measure campaigns efficiently in cookie-free contexts. This is easily one of the top disruptive tech stocks in the sector.
RingCentral (RNG)
The Annualized Exit Monthly Recurring Subscriptions (ARR) of RingCentral (NYSE:RNG) saw a notable increase in Q4 2023, rising by 11% YoY to $2.329 billion. This rise in ARR reflects the company’s ability to establish a sizable base of recurring revenue through the widespread use of its cloud communication products by companies of all kinds.
Furthermore, the mid-market and enterprise ARR grew by 12% annually to $1.458 billion, with the enterprise ARR rising by 13% YoY to $1 billion. This demonstrates how well the business serves larger corporate clients. RingCentral reached a noteworthy benchmark in the enterprise category when its ARR exceeded $1 billion. This indicates the business’s capacity to take market share from major corporations looking for all-inclusive communication solutions.
Moreover, there is a close correlation between these two indicators, as seen by the growth in ARR and the overall increase in topline. The disparate growth rates between enterprise and mid-market annual rate of return underscore the significance of segment-specific tactics in propelling ARR growth.
Overall, RingCentral’s lead in breaking into the enterprise market and hitting noteworthy ARR benchmarks reflects its skillful product placement and targeting. If you are looking for disruptive tech stocks, start here.
On the date of publication, Yiannis Zourmpanos did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
