The 3 Best Tech Stocks to Buy for August 2023

These tech stocks dropped by incredible amounts during the tech selloff; however, they’re now making a return to potential greatness once again.

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Tech stocks are having another moment in the sun, as artificial intelligence (AI) and other tech-heavy stocks continue to rise around the world. Yet these tech stocks remain fairly volatile overall, which is why investors need to be careful.

With that in mind, today, we’re going to look at three tech stocks investors should consider adding to their watchlists. Each has fallen in the last week or so by about 5%. However, they remain solid long-term buys based on quarterly performance and overall outlook.

WELL Health stock

WELL Health Technologies (TSX:WELL) was one of those stocks that managed to branch into two areas of growth. Those areas were those related to the pandemic and tech. The company provides digital platforms to healthcare workers as well as virtual healthcare. This proved hugely important during the pandemic, of course.

Yet when shares of pandemic and tech-related stocks dropped, WELL Health stock plunged. That’s despite the amazing growth it’s seen in the last few years. It’s the largest outpatient clinic in the country, and its acquisitions have caused it to expand into the United States as well.

The company announced record revenue during the last quarter and increased its annual guidance for the year. Shares are up 31% in the last year but still down about 15% in the last three months. As this area in virtual healthcare should only continue to increase, and with WELL Health stock’s history of acquisitions, it’s likely we’ll see shares shoot up very soon.

Lightspeed stock

It’s been a slow climb back for Lightspeed Commerce (TSX:LSPD), as the point-of-sale stock was hit hard in the tech selloff. The company expanded quickly through major acquisitions, trying to take on the field of e-commerce head on. However, it’s since scaled back, focusing more on its point-of-sale roots once more.

Lightspeed stock tends to be more cautious when it comes to major announcements, leading to investors that are less excited about investing in the stock. However, it’s this conservatism that makes it a strong long-term investment. Its land and launch approach has been proven around the world, with the company now in over 100 countries.

Shares of the tech stock are still down 17% in the last year but have started to turn around. In the last three months, Lightspeed stock is up 30%! So, now might be a good time to hop back on the bandwagon.

Shopify stock

Speaking of bandwagons, Shopify (TSX:SHOP) certainly has a lot of people hitching themselves to the tech stock lately. Shares have surged in 2023, up 94% in the last year alone as of writing. Yet in the last week or so, as interest rates rose, Shopify stock pulled back by 5%.

Still, there could be another turnaround, offering a chance to buy back into the stock as earnings come around the corner. Shopify stock managed to make some major announcements for cost-saving measures back during its first quarter. It’s now time to see whether these measures are working.

If so, and it’s quite likely, Shopify stock should see a surge in share price once more. Analysts continue to peg the stock as an outperformer for now as well. So, if you’re looking to get back into Shopify stock once more, now might be a great time.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Amy Legate-Wolfe has positions in Lightspeed Commerce, Shopify, and Well Health Technologies. The Motley Fool has positions in and recommends Shopify. The Motley Fool recommends Lightspeed Commerce. The Motley Fool has a disclosure policy.

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