LSPD:CC - 2 Tech Stocks to Buy Hand Over Fist in February
2024-02-07 16:50:00 ET
The tech sector as a whole had a much-needed rebound year in 2023. Tech investors dealt with a year of decline in 2022, but many of those beaten-down stocks came roaring back last year. As a result, there is no shortage of Canadian tech stocks trading near all-time highs right now.
That being said, value investors shouldn’t shy away from the tech sector. There are deals to be had today.
I’ve reviewed two tech stocks that are loaded with long-term growth potential that also happen to be trading at discounted prices today.
If you’re in search of market-beating growth potential, there’s no need to wait for a pullback to load up on either of these two picks. They’re both already trading at opportunistic discounts.
Tech stock #1: Lightspeed Commerce
Much to the delight of long-term shareholders, Lightspeed Commerce ( TSX:LSPD ) is finally starting to gain momentum. The growth stock is up nearly 50% since the beginning of last November. Even so, shares are still down a whopping 80% from all-time highs that were set in late 2021.
We can’t ignore Lightspeed’s massive run that followed the COVID-19 market crash. At one point, shares were up more than 1,000% from its lows in mid-2020.
There’s no question that a substantial amount of growth was pulled forward for the tech stock. What we’ve witnessed over the past couple of years is the levelling out of that.
Despite the fire-sale price, Lightspeed still offers plenty of long-term growth potential. The company continues to gain market share internationally in the commerce space, offering its customers a range of different solutions.
If you can handle the volatility and are willing to be patient, this growth stock has multi-bagger growth potential written all over it.
Tech stock #2: Docebo
Docebo ( TSX:DCBO ) experienced an unsurprising spike in demand during the pandemic. The sudden rise in remote work made the company’s learning management software that much more essential to its customers. But as employees began slowly returning to shared office spaces, the stock naturally began to cool off.
After peaking in late 2021, like many other tech stocks, Docebo spent most of the next 12 months in a downward trajectory. Shares did manage to rebound in 2023, though, increasing by 45%. That puts the tech stock down just about 50% from all-time highs.
Docebo is still a very young company, having joined the TSX in late 2019. Even with the recent pullback, shares are still up a market-crushing 300% since joining the public market.
If you’re bullish on remote work being here to stay, this is a company you’ll want to own.
Foolish bottom line
The tech sector may seem like one of the hottest areas of the stock market today, but that doesn’t mean you need to wait for a pullback to be investing. There are still deals to be had for investors who are willing to be patient.
Lightspeed Commerce and Docebo have the potential to be market beaters for many years to come. Don’t miss your chance to load up while shares of both stocks continue to trade at rare discounts.
The post 2 Tech Stocks to Buy Hand Over Fist in February appeared first on The Motley Fool Canada .
Fool contributor Nicholas Dobroruka has positions in Lightspeed Commerce. The Motley Fool recommends Docebo and Lightspeed Commerce. The Motley Fool has a disclosure policy .
2024