Why this lesser-known tech stock is set to shine in 2021, says this wealth manager


Stocks are set to ease Tuesday’s session slightly as we make our way towards the long holiday weekend. Investors eventually have a US stimulus bill, but a new Kovid-19 strain in the UK that may be more contagious continues to erode.

If an epidemic year has shown us anything, it is that investors keep returning to technical stocks, which have been distributed this year. Apple AAPL,
+ 1.24%
And Amazon.com AMZN,
+ 0.14%
Over 70% Netflix NFLX,
-1.04%
60% more alphabet GOOGL added,
+ 0.48%
Increased by 29%.

but our Phone of the day Michael Lucas, chief executive of exchange-traded fund provider TruMark Investments, says investors should start digging a bit deeper for young, Hungarian technology companies. Because, as he says, what happens when those big tech stocks start running out of steam?

“We have gone through different waves of technology, and you see some mega caps at Tech right now, and are they really innovating? Not necessarily at this stage. Therefore, we are looking for these killers and category killers, who embrace innovation, which brings some type of competitive technology such as artificial intelligence to the table.

To be sure, those big companies, Netflix and the like, have enjoyed years of dominance as “category killers”, dominating their territories and developing ecosystems that depend on individuals and companies Huh.

Above and Commerce Locus also mixes in another theme he was eager to work on in 2021 – work-to-home from lockdown. That is, the idea that the end of the lockdown will not slow down growth for cyber security and cloud computing companies that benefit from the trend.

For his stock, he points to Okta Okta,
+ 1.37%,
Enterprise-grade, identity management service that can connect anyone with work on any device and in the cloud. Cybertechnology company CrowdStrike CRWD,
+ 3.39%
There is one more, and then Zscaler ZS,
+ 1.91%,
A security platform that connects users and their apps.

These are the shares he puts into Trumark’s ETFs – TrueShares Structured Outcome ETF DECZ,
-0.15%
And Trusher Technology, AI and Deep Learning ETF LRNZ,
+ 1.89%.

As seen from the point of view that the valuation of some people is being increased, he says that there is more reason to see stories of secular development – when the industry changes and there is new demand. “They take you to these category killers and small companies that are gaining market share and have a lot of room to grow over the next few years.”

market

Stock futures YM00,
0.05%

ES00,
+ 0.22%

NQ00,
+ 0.55%
Despite making some gains after Monday’s heavy losses, pressures with European equities are pointing towards easing. And Nikkei Nik,
-1.04%
Led the Asian markets in the South. Concern over virus-related lockdown is pressuring oil CL00,
-1.36%.

The buzz

After nine months of fighting, a second major coronovirus aid package hovered through Congress late on Monday night, but another aid package looms for future battles. A Democrat suggests tossing in an additional $ 300- $ 400 for American Americans vaccinated for Kovid-19.

In the US Economic News, growth is expected in the third quarter, a consumer confidence index and revisions to existing home sales figures.

Taiwan has broken the world’s longest running free of new Kovid-19 cases after a pilot tested positive.

Peloton Interactive PTON,
+ 3.25%
A $ 420 million price agreement to buy rival exercise equipment manufacturer Precor has been agreed, with the hope being that it will help catch all those epidemic-induced back orders.

Technology groups Facebook FB, reportedly a draft draft lawsuit
-1.31%
And the alphabet GOOGL,
+ 0.48%
Have promised to work together if they ever face a distrust of online advertising.

Large American Technology Group, Cisco CSCO,
-1.23%,
Intel INTC,
-2.32%
And Nvidia NVDA,
+ 0.45%
The list of companies that have been suspected of Russian hacking by IT management group Solar Winds SWI have fallen victim,
+ 13.68%.

MGM, the studio behind the James Bond films, is reportedly searching for a sale.

Chart

A December investor survey by RBC found that some investors expect life to return to normal post-Covered 19. “Overall, 61% of investors think that normalcy will return sometime in 2021, another 39% in 2022 or later,” said Lori Calvasina, head of US equity strategy.

RBC

In that survey too, here were investors from the stock sector who wanted to sell:

RBC

buy more:

RBC

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