Goldman Sachs Raises Price Targets on 4 Sizzling Technology Leaders

The Display and Adjacent Markets segment offers products for manufacturing liquid crystal displays, organic light-emitting diodes and other display technologies for TVs, monitors, laptops, personal computers, electronic tablets, smartphones and other consumer-oriented devices, as well as equipment for processing flexible substrates.

Applied Materials stock investors receive just a 0.75% dividend. Goldman Sachs raised its $118 price target to $133, in line with the consensus target of $133.75. The share price fell almost 4% on Tuesday to close at $117.50.

Arista Networks

The analysts see this as an outstanding growth play for 2021, and it resides on the firm’s Conviction Buy List. Arista Networks Inc. (NYSE: ANET) develops high-performance cloud networking solutions, including switches, an advanced Software Defined Networking (SDN) operating system and SDN applications. The company’s low latency switches lower networking costs for high-frequency trading platforms, large internet companies and cloud service providers.

Arista reported solid fourth-quarter results above the Wall Street estimates. In addition, revenue and earnings guidance was also above consensus. The company expects 2021 revenues to grow 14% to 15%, while fourth-quarter revenues grew 17% year over year, mainly driven by Specialty Cloud and Cloud Provider (28% total) growth of 15% due to strength in Specialty Cloud. The analysts have remained bullish on Arista’s growth opportunities across the portfolio for years.

The $288 Goldman Sachs price target on Arista Networks stock was raised to a massive $411. The much lower $345.95 consensus target compares to Tuesday’s closing price of $284.30.

Cambium Networks

This off-the-radar idea could be ready for a huge move higher, and the stock recently was upgraded to Buy at Goldman Sachs. Cambium Networks Corp. (NASDAQ: CMBM) provides wireless broadband networking infrastructure products and solutions for network operators. Its wireless fabric includes intelligent radios, smart antennas, radio frequency (RF) algorithms, wireless-aware switches and network management software.

The company offers point-to-point solutions that are connected to high-speed, high-bandwidth wireline networks, and its wireless broadband backhaul to facilities or point-to-multipoint access points deployed throughout a network over distances of approximately 100 kilometers and at 2 gigabytes per second.

Its cnPilot and Xirrus Wi-Fi solution provides distributed access to individual users in indoor settings, such as office complexes, and outdoor settings, such as athletic stadiums. Its cnReach solutions offer narrow-band connectivity for sensors and devices, while embedded proprietary RF technology and software enables automated optimization of data flow at the outermost points in the network. The cnMatrix cloud-managed wireless-aware switching solution provides the interface between wireless and wired networks.

The Goldman Sachs price objective was raised to $56 from $18, and the consensus target is $50.58. The last trade on Tuesday hit the tape at $44.63, which was down over 4% for the day.

These four top tech companies are leaders in their respective silos, and they all posted solid quarterly results. While much better suited for aggressive growth investors, their stocks all make good additions to portfolios that may need a touch more technology exposure.