FIRE SALE: 4 Super Tech Stocks That Could Make You Rich

Investors should consider discounted tech stocks like Lightspeed Commerce Inc. (TSX:LSPD)(NYSE:LSPD) as October winds down.

The information technology sector was down marginally on the TSX in late-morning trading on October 29. Today, I want to focus on four tech stocks that look undervalued as October winds to a close. Let’s jump in.

This tech stock has been throttled in recent months

Quarterhill (TSX:QTRH) is an Ottawa-based company that operates in the intelligent transportation system and intellectual property licensing industries worldwide. Its shares have dipped marginally in 2021 at the time of this writing. The stock has plunged 9.9% month over month. The tech stock is set to release its third-quarter 2021 results on November 10.

In Q2 2021, the company reported revenues of $18.8 million, which was up from $16.8 million in the prior year. It posted an adjusted EBITDA loss of $3.0 million. However, the Intelligent Transportation Systems (ITS) segment generation $2.7 million of positive adjusted EBITDA. Meanwhile, consolidated cash generation from operations hit $1.7 million.

Shares of this tech stock are trading in favourable value territory compared to its industry peers. Quarterhill last had an RSI of 29, which puts the stock in technically oversold territory.

Why I’m buying the dip in this exciting e-commerce stock

Lightspeed Commerce (TSX:LSPD)(NYSE:LSPD) debuted on the TSX back in March 2019. The company provides commerce-enabling Software as a Service (SaaS) platform for small and midsize businesses. This tech stock has performed well alongside the e-commerce giant Shopify. Shares of Lightspeed are up 42% in the year-to-date period. The tech stock is down 3.4% month over month.

Earlier this month, I’d discussed whether it was a good time for investors to buy the dip in Lightspeed. In Q1 fiscal 2022, the company delivered revenue growth of 220% to $115 million. Meanwhile, transaction-based revenue surged 453% to $56.5 million. I’m still looking to snatch up this promising e-commerce stock in the face of a short attack.

The supply chain crisis should direct you to this tech stock today

North America has been plagued by a supply chain crisis ahead of the holiday shopping season. Kinaxis (TSX:KXS) is an Ottawa-based company that provides cloud-based subscription software for supply chain operations around the world. This tech stock defied the March 2020 market pullback, largely due to the services it offered, as supply chains were threatened early on.

Shares of Kinaxis have climbed 4.5% in the year-to-date period. In Q2 2021, the company delivered SaaS revenue growth of 18% to $42.3 million. Investors can expect to see its next batch of results early in November. Management expects Kinaxis to generate annual SaaS revenue growth of 23-25% in the mid-term. This tech stock is worth snatching up after its post-September dip.

One more tech stock to buy on the dip

Absolute Software (TSX:ABST)(NASDAQ:ABST) is a Vancouver-based company that develops, markets, and provides cloud-based endpoint visibility and control platform for the management and security of computing devices, applications, and data for enterprise and public sector organizations. Cybersecurity markets are geared up for strong long-term growth over the course of this decade.

Shares of this tech stock have dropped 7.6% in 2021. The stock has plunged 26% in the last half year. The company released its fourth-quarter and full-year 2021 earnings on August 10. Revenue rose 17% from the previous year to $31.8 million. Meanwhile, adjusted EBITDA was flat in the year-over-year period at $8.0 million.

Absolute Software boasts an immaculate balance sheet. It is on track for solid growth going forward.

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 Ambrose O'Callaghan owns shares of KINAXIS INC. The Motley Fool owns shares of and recommends Lightspeed POS Inc., QUARTERHILL, and Shopify. The Motley Fool recommends Absolute Software Corporation and KINAXIS INC and recommends the following options: long January 2023 $1,140 calls on Shopify and short January 2023 $1,160 calls on Shopify.

More on Investing

think thought consider
Tech Stocks

Is CGI Stock a Buy Even With No Dividend Yield?

CGI stock may not have a dividend to speak of. But does that necessarily mean you should ignore this top…

Read more »

A robotic hand interacting with a visual AI touchscreen display.
Tech Stocks

Why Now Is the Time to Invest in Canadian AI Stocks

Are you looking for one of the most solid Canadian AI stocks out there? This one is probably your best…

Read more »

The letters AI glowing on a circuit board processor.
Tech Stocks

Why AI Stocks Should Be in Every Canadian Investor’s Portfolio

AI stocks continue to be one of the best options out there for long-term investing, especially when considering Canadian options.

Read more »

stock research, analyze data
Bank Stocks

Canadian Bank Stocks: Buy, Sell, or Hold?

There are opportunities and risks on the horizon for the Canadian banks.

Read more »

Young Boy with Jet Pack Dreams of Flying
Stock Market

Is Air Canada Stock a Good Buy After Its Q3 Results

Down almost 60% from all-time highs, Air Canada is an undervalued TSX stock that remains an enticing investment in November…

Read more »

cloud computing
Investing

Where to Invest $10,000 in November

Given their solid underlying businesses and healthy growth prospects, I expect these two defensive stocks to outperform uncertain outlook.

Read more »

coins jump into piggy bank
Retirement

Here’s the Average RRSP Balance at Age 44 for Canadians

Holding stocks like Alimentation Couche-Tard (TSX:ATD) in an RRSP is a good way to build your wealth.

Read more »

dividends can compound over time
Dividend Stocks

Want a 7% Yield? The 3 TSX Stocks to Buy Today

These TSX stocks are offering high yields of over 7%, making them attractive for investors seeking steady passive income.

Read more »