Tech stocks continue to weigh on investor minds. Should you wait or invest now? And if you do invest now, are shares going to drop again?
It’s a pretty stressful image. Yet long-term investors in tech stocks should breathe a sigh of relief. If you’re investing, it should be for the long haul. That is why I would consider these three tech stocks great long-term buys to consider putting back on your watchlist.
WELL Health stock
WELL Health Technologies (TSX: WELL) deserves a place on your tech stocks watchlist. The company rose and fell from outside influence but not from anything the company was doing wrong.
In fact, in an area where layoffs and downsizing has become common, WELL stock continues to expand. The company rose to prominence during the pandemic from the use of its telehealth systems. Since then, it’s become the largest outpatient clinic in Canada and expanded into the United States.
It hasn’t stopped there either, as WELL stock continues to come out with more products for its clients. This includes the use of artificial intelligence to make charting easier to doctors and other care providers.
As for numbers, the company continues to put out record results quarter after quarter. Shares are now up 49% in the last year and 95% year to date. However, it’s still down 39% from all-time highs. And those are highs it’s bound to reach again.
Lightspeed stock
Another one of the tech stocks I would put back on your watchlist is Lightspeed Commerce (TSX: LSPD). Again, this company has solid long-term value attached to it. The company also rose to prominence during the pandemic on the back of its successful point-of-sale platform.
However, Lightspeed stock then expanded into e-commerce, though in a different approach than its peers. The company lands in as many countries as it can and launches from there. This method was slow to start, but since making over $2 billion acquisitions, it’s now managed to land more than just small- and medium-sized businesses.
Yet again, there has been turmoil for the stock. It started with a short-seller report bringing down shares 30% in a day. It continued as tech stocks dropped across the world. And it’s since landed after layoffs and cost restructuring brought the company back to reality.
These days, the company is “doubling down on payments” where it’s seen proven success. Shares are still down 39% in the last year, but they have climbed 12% in just the last few weeks. This could therefore be the turning point investors have been waiting for.
Shopify stock
Now, here’s a tricky one. While investors may be waiting for a turnaround for Lightspeed stock, it’s questionable as to whether Shopify (TSX: SHOP) has already had one. Shopify stock has risen higher and higher over the last year. While it’s still a far cry from its all-time highs, it’s managed to grow 62% year to date.
Investors have been eager to pick up the winner, as the company continues to find ways to bring in cash. This includes cutting 20% of its staff, along with selling its logistics business. Those were the right moves, but they came from management realizing they grew too much, too soon.
So, now it’s back to reality for Shopify stock. We did manage to see strong earnings during its last report, which also helped investors come back to the company. The problem is, it now trades at or near 52-week highs.
With that in mind, Shopify stock certainly should be on your watchlist. More news could see it jump yet again! However, with the market still shaky, and Shopify stock seeing plenty of dips recently, I would wait for the next dip before buying once more.
