For a year now – tech has gotten shellacked in stock market…
Eviscerated.
The woes of this industry were one of the driving factors behind the more than $9 trillion lost in the markets during 2022.
That said…
We expected there to be a lag between them hitting bottom – and starting to crawl back to prominence.
You know…
We’ve been looking at them like they’re some kind of zombie industry – moving and kicking and biting – but not really alive.
We figured we’d wait around for the cure for their virus before trusting to let them in the house again.
Well…
We may have overestimated the NEED for a cure – as it seems like the industry is starting to revive itself quicker than we expected.
And while we’ve seen improvements around the horn…
If we look at the recent developments of ONE company in particular – it may reveal that the light at the end of the tunnel…
Is a LOT closer than it appears.
So…
Is Tech on a comeback?
It seems so…
There have been stronger-than-expected numbers being released by MULTIPLE companies recently showing us that things are turning around faster than some analysts predicted.
Both Microsoft (MSFT) and Tesla (TESLA) – both had some very strong numbers coming out of Q4 (and yes – Tesla is a tech company just as much (if not MORE) than it is a car company) …
But there was a surprise comeback that seemed to catch everybody off guard.
Meta Platforms (META) – the former Facebook – reported impressive results recently – surprising investors and analysts alike…
And breaking its streak of bad earnings numbers.
Meta’s investors were mostly likely bracing for yet another bad earnings report when they heard that one of the company’s social media arms – Snap (not SnapChat) – forecasted its first ever quarterly dip in revenue.
Then found themselves pleasantly surprised – as Meta reported 4% user growth across ALL platforms (Facebook, Instagram, WhatsApp, Metaverse, OculusVR) – to hit over 3.7 billion in Q4.
For those keeping track at home…
That’s almost HALF the world’s population.
But that’s not the only shining spot for Meta…
As it also made more money than expected per active user – thanks, in part, to its newer AI investments that are helping to improve user feeds.
And while overall revenue might’ve fallen for the third straight quarter…
It still blew expectations out of the water.
And to add a very big cherry to that report’s cake…
Meta also announced a $40 billion stock buyback program – while reassuring investors of decent revenue for Q1 – and lowering expense forecasts for 2023.
This news sent shares soaring a whopping 19%.
The problem…
That lowered expense forecast is coming at the expense of jobs.
A LOT of jobs…
As Zuckerberg and company are in the midst of cutting about 12% to 14% of its workforce.
That’s a LOT of out of work computer experts…
Which will probably impact the economy – but we’ll have to wait and see.
What I can tell you is that Meta’s mini comeback is a VERY good sign for investors…
And why I’m monitoring a few tech stocks for GorillaTrades next round of recommendations.
While they haven’t hit the metrics we like to see yet with our trading strategy…
They may soon – and you’ll want to be there if they do.
That’s why I’m asking you to join GorillaTrades today…
With tech back on the menu – it may be time to fill our stomachs – but you’ll have to know where to hunt…
But we do.
Consider joining today!
Until next time…
“You grow more when you get more people’s perspective.” – Mark Zuckerberg