Three tech firms worth watching, according to analysts

Technology companies have long dominated the market and attracted investor attention due to their growth potential. Although we often talk about the big players such as members of the so-called "Big Seven", there are other technology stocks that show interesting long-term potential.

This article will therefore show you three companies that analysts believe have a solid foundation for growth 👇

Toast $TOST

Toast operates a cloud-based restaurant management platform that offers owners a wide range of tools from ordering to loyalty programs. The company is quickly gaining popularity for its ability to simplify restaurant operations.

Between 2021 and 2023, the company's revenue more than doubled from $1.7 billion to $3.9 billion. Positive cash flow improved from negative $17 million in 2021 to $93 million in 2023.

Toast plans to expand globally, and there is still a huge space in the market - there are roughly 875,000 restaurants in the US, while the global addressable market is up to 15 million businesses. So of the 127,000 restaurants currently using Toast, market penetration is only 14.5%.

ServiceNow $NOW

ServiceNow provides a platform for automating processes and tasks in businesses, helping clients optimize costs and increase efficiency. It continuously improves its offering through artificial intelligence (AI) and machine learning.

The company's revenue grew from $5.9 billion in 2021 to $9 billion in 2023. Pre-tax profit quadrupled and cash flow reached $2.7 billion. In 2024, the company reported 22.8% year-on-year revenue growth to US$8 billion.

ServiceNow is continuing to invest in expansion - for example, it plans to put US$1.5bn into development in the UK. With the addressable market estimated to be $275 billion by 2026, the company still has room to grow.

Intuit $INTU

Intuit offers a financial technology platform aimed at simplifying accounting and tax filing. Products like QuickBooks and TurboTax are used by approximately 100 million customers worldwide.

Between 2022 and 2024, the company's revenue grew from $12.7 billion to $16.3 billion. Profits increased from $2.1 billion to nearly $3 billion, while free cash flow reached $4.6 billion.

During September's Investor Day, Intuit announced an ambition to double its customer base to 200 million by 2030. The company wants to focus more on AI and global expansion, which should support long-term growth.

Disclaimer: You will find a lot of inspiration on Bulios, but stock selection and portfolio construction is up to you, so always do a thorough analysis of your own.

Source: Yahoo Finance