Saturday, April 13, 2024
HomestocksSix tech stocks to weather volatility: Pros

Six tech stocks to weather volatility: Pros

The ongoing volatility in the once high-flying tech sector leaves investors with prime buying opportunities, says Firsthand Capital Management's Kevin Landis.

Growth has become a scare commodity on Wall Street after a three-day selloff focused on big-name tech stocks, Landis said Tuesday on CNBC's "Squawk Box." He pointed to three stocks that could see renewed momentum—sapphire glass maker GT Advanced Technologies, semiconductor provider LAM Research and digital media stalwart Adobe Systems.

Landis, who owns stocks in the three companies, picked GTAT because it's poised to create sapphire glass used for next generation Apple products. Newer model iPhones already use two small pieces of sapphire glass, a super-strong glass resistant to scratches and cracks, for its camera lens and fingerprint readers, Landis said.

"Sapphire is a great material that's been famously hard to work with," Landis said. "But if you can do it right, you can get a little glass display that's actually a thin sheet and you really, really cut down on the cracked cell phone screens."

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GTAT becomes an even bigger Apple play once the company starts making full displays with sapphire, Landis said. Last fall, Apple agreed to open a sapphire production plant in Arizona with GTAT running the operation.

Though others remain skeptical, Landis said he's confident that sapphire iPhone displays are in the works. Apple currently uses Gorilla Glass from Corning for its displays.

Apple didn't immediately respond to a CNBC request for comment.

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Landis said his other pick, LAM Research, should benefit from a merger between two chief rivals that has become a "bit of a mess." And Adobe has a strong digital media strategy, he added.

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