Deutsche Bank Has 4 Tech Stocks to Buy That Are Delivering Good Earnings

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With all the tech world focused on the so-so results from Apple, quietly other companies that are strong in their segments came in with solid earnings. In what has become a fully valued stock market on most metrics, finding companies that are not only delivering results but are positive on the upcoming quarter and next year are just what the doctor ordered.

A series of new Deutsche Bank research reports hone in on four companies that delivered or are expected to deliver solid results for the quarter, and that look poised to continue on a positive upward trajectory. For aggressive growth accounts, all make sense and look cheap, compared to other companies trading at higher valuation. All four are rated Buy at Deutsche Bank.

Akamai Technologies

This company posted outstanding third quarter numbers, and Deutsche Bank sees growth reaccelerating. Akamai Technologies, Inc. (NASDAQ: AKAM) provides cloud services for delivering, optimizing and securing content and business applications over the internet in the United States and internationally.

The company offers performance and security solutions designed to help websites and business applications operate while offering protection against security threats. It also provides media content delivery solutions that are designed to deliver movies, television shows, live events, games, social media, software downloads and other content on the internet in fixed-line and mobile networks; adaptive delivery solutions for streaming video content; and download delivery solution that offers accelerated distribution for large file downloads, including games, progressive media files, documents and other file-based content.

The company guided fourth-quarter numbers much better than expected, and the analysts noted that the focus on cloud security, which was 40% of the compounded annual growth rate, and enterprise security are potential growth drivers going forward.

Deutsche Bank raised its price target to $75 from $70. The Wall Street consensus price target is $60.22. Shares closed way above that on Wednesday at $67.70.

Corning

This was a huge player in the fiber build-outs in the 1990s and may be ready to ramp back up for new deployments. Corning Inc. (NYSE: GLW) is one of the world’s leading innovators in materials science. For more than 160 years, Corning has applied its unparalleled expertise in specialty glass, ceramics and optical physics.

Its products enable diverse industries such as consumer electronics, telecommunications, transportation and life sciences. They include damage-resistant cover glass for smartphones and tablets; precision glass for advanced displays; optical fiber, wireless technologies and connectivity solutions for high-speed communications networks; trusted products that accelerate drug discovery and manufacturing; and emissions-control products for cars, trucks and off-road vehicles.

Deutsche Bank sees the company being highly leveraged to large spending growth that they expect to see in data center optical connectivity. The firm also ranked Corning as its top pick in the space going into third-quarter earnings, which beat estimates. The report noted:

We were clearly wrong in our bullish view on Hyperscale Clouds as a “near-term” growth driver for Cornings Optical business. Fiber to the Home is clearly the primary near-term driver. Optical missed consensus, due to order timing issues (we believe) versus share loss.

Corning investors receive a 2.35% dividend. The Deutsche Bank price target was raised to $26 from $25, and the consensus target is $22.57. Shares closed Wednesday at $23.02.