Stocks to buy

3 Tech Stocks That May Outperform Apple in 2023

Because of the possibility for expansion and improvement in the industry, traders are attracted to many of the top tech stocks in the market.

One of the most well-known tech corporations is Apple (NASDAQ:AAPL). In the decades to come, innovation is expected to serve a key part in finding answers to problems including energy conservation, robotics, medical care and housing.

This article highlights the top tech stocks that are expected to lead the market this year. These businesses are renowned for developing ground-breaking goods and solutions that influence the years to come, and their shares provide impressive profits.

Among them are three companies that could outperform Apple in 2023.

META Meta Platforms  $233.81
GOOG Alphabet  $117.92
TSLA Tesla  $167.98

Meta Platforms (META)

Source: Aleem Zahid Khan / Shutterstock.com

Meta Platforms (NASDAQ:META) has faced criticism for investing heavily in the metaverse project, which has resulted in losses and a decrease in market cap. However, the company’s strong underlying business should make it an attractive buy at its current range, despite ongoing debates about the metaverse’s potential success.

The company faced challenges in 2022 because of the digital advertising market’s decline. The tech giant’s monetary standing has gotten better though, and the value of its stock has increased by nearly 91% since January.

Over the past year, it has grown by 16%, and its high Altman Z-Score of 7.21 indicates strong financial resilience.

With an average three-year sales increase rate of 20.6% and a dragging-year net profit margin of 19.9%, Meta has outperformed the bulk of its rivals in terms of economic performance. Analysts consider it a moderate buy, with an average price target of $263.12, showing potential growth of over 10%.

In the coming years, Meta Platforms, a significant player in the social networking industry, is expected to flourish.

Besides dominating the online networking industry, the corporation is branching out into new industries including augmented realities and simulated reality, making it one of the tech stocks to watch this year.

Alphabet (GOOG)

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Alphabet (NASDAQ:GOOG) has recently reported a strong financial performance but its AI ambitions have been largely overlooked by the financial media.

Despite being one of the top AI stocks of 2023, Alphabet is not getting enough attention.

For those looking to invest in AI stocks for long-term growth, Alphabet should be considered. In the near term, Alphabet announced profits of $1.17 per share, which was 10 cents per share more than analysts’ expectations.

The business’ earnings of $69.8 billion exceeded the average projection by about $1 billion. Alphabet announced a $70 billion buyback, indicating that its strong cash flow and balance sheet will continue to drive gains.

Even with introducing ChatGPT, Google remains the dominant search engine with a 93.37% share of all search queries across all providers. While Microsoft’s Bing may see some growth, it currently only holds less than 10% of Google’s market share, emphasizing Google’s strong position in the search industry.

Tesla (TSLA)

Source: Roschetzky Photography / Shutterstock.com

Tesla (NASDAQ:TSLA) is still the leading electric vehicle manufacturer in the world, despite controversies surrounding the company and its CEO Elon Musk. The stock remains volatile, but Tesla’s growth is uninterrupted.

The company has announced it will produce 1.8 million to two million vehicles this year, making it well ahead of its competitors in terms of EV production.

Tesla’s stock is still at a reasonable price for investors interested in growth, considering the company’s consistently strong growth despite challenging conditions. Tesla is expected to maintain a strong growth trajectory in the long term by taking advantage of the EV opportunity.

After Musk’s acquisition of Twitter last fall, TSLA’s stock took a hit, but it has since rebounded and increased by 45% since January. Despite a recent earnings miss, there are upcoming factors such as the launch of the Cybertruck and a new manufacturing plant in Mexico that could give Tesla a boost. Therefore, it is currently considered one of the top EV stocks to purchase.

On the date of publication, Chris MacDonald has a position in AAPL, META. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.

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