Finding solid stocks to buy is vital for portfolio growth and stability in today’s adverse market environment. Businesses at the forefront of data management, infrastructure solutions and technical innovation provide attractive prospects as industries change quickly.
Here are three exceptional businesses poised to benefit from significant market developments and game-changing technologies, set for a massive bull run driven by the rise of data centers and the increasing demand for computing power.
Indeed, these companies’ contributions are reshaping their respective industries. They span fast technological advancements that power artificial intelligence (AI)-based data centers and electric vehicle (EV) chargers to strategic international market expansions, customized solutions for major enterprises, and dominance in hyper-converged infrastructure solutions for large enterprises. Those looking for solid stocks in 2024 should focus on these companies’ capacity for advancement, market expansion and value-added solution delivery.
Overall, these companies demonstrate resilience and growth potential in a very competitive field by maximizing data storage capacity, improving energy efficiency or simplifying IT systems.
Navitas (NVTS)
Navitas (NASDAQ:NVTS) specializes in advanced semiconductor solutions. The company has taken the lead in important areas. These include industrial applications, solar inverters, EV chargers and AI-based data centers. Higher efficiency and power capabilities in these industries have been made possible largely by adopting their Gen-3 Fast silicon carbide and GaN (gallium nitride) technology.
For instance, improvements in the company’s GaNSafe technology will allow clients to raise the efficiency of the server power supply from 96% to 97% by the end of the year. The company wants to reach 8 to 10 kilowatt capacity.
Additionally, in several areas and sectors, Navitas has greatly increased the number of its clients and the pipeline of projects. Partnerships with significant organizations such as Alphabet’s (NASDAQ:GOOG, GOOGL) Google, Microsoft (NASDAQ:MSFT) Azure, Amazon (NASDAQ:AMZN) AWS, and top automakers for electric vehicle (EV) applications are examples of specific engagements. Since December 2023, the pipeline of possible EV-related projects has risen by more than 50%, with $400 million in deals.
To sum up, Navitas’ lead in these high-growth sectors to benefit from the global push towards energy efficiency and electrification makes it a compelling choice among top stocks to buy.
Data Storage (DTST)
Data Storage (NASDAQ:DTST) provides data management and cloud solutions. By integrating CloudFirst and its flagship subsidiaries, the company has increased efficiency, better leveraged technical teams and improved operations. Along with improving internal resource allocation, this strategic decision increases the potential of the company’s client base for cross-selling and upselling.
Additionally, with the launch of a CloudFirst office in London, Data Storage has begun its global development. The company increased its operational area by over 40% without significantly raising costs. This was when the company moved to a new and expanded headquarters in Melville, N.Y. Hence, their growth plan is supported by this expansion, which can handle more technical, sales and marketing projects.
Further, Data Storage now serves over 450 firms and it is growing both its clientele and its market share. In Q1 2024, Data Storage signed important contracts, including extending an agreement with a global telecommunications firm and obtaining a new agreement with one of the biggest insurance providers in the U.S.
Overall, Data Storage’s extended market reach and ability to secure significant contracts with major multinational firms make it a top mark on the stocks to buy list.
Nutanix (NTNX)
The cloud computing company Nutanix (NASDAQ:NTNX) is a leader in hyper-converged infrastructure solutions and offers cloud software and services to large enterprises. Nutanix signed important agreements, including a large renewal and expansion with a Fortune 500 consumer packaged goods provider and an eight-figure annual contract value (ACV) contract with a Fortune 50 financial services business.
Additionally, these wins demonstrate Nutanix’s capacity to join and grow big companies, demonstrating the strength of its product appeal and edge over competitors. The pipeline for prospects with an ACV of more than $1 million has expanded significantly, indicating a growth in business clients’ interest in Nutanix products.
Moreover, in Q3 2024, the company exceeded the projected range of around 85% to achieve a non-GAAP gross margin of 86.5%. In Q3, the non-GAAP operating margin exceeded the projected range of 7.5% to 8.5% by a substantial margin, reaching 14%. Higher revenue, improved gross margin performance, and decreased operational costs –including one-time gains from partnership agreements — were the main drivers of this increase.
To conclude, Nutanix’s ability to secure substantial contracts, strong market position, and attractiveness in the cloud computing and infrastructure sectors support its presence as one of the top stocks to buy.
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.
