So we added one final parameter: high projected EPS growth for the next five years. This indicates that Wall St. believes the firms in question are working in a space where they have access to a growing market.
With a screen this detailed, just five tech stocks remained on our list.
Click on the interactive chart below to view data over time.
1.CalAmp Corp. ( CAMP):Develops and markets wireless communications solutions that deliver data, voice, and video for critical networked communications and other applications in the United States. Market cap at $1.11B, most recent closing price at $31.48. However executives explained on an earnings call that this was mostly because Q4 earnings were so high, few within the company thought they could beat it. CalAmp’s main leverage is its MTM software, which facilitates cloud-based communication between devices, an industry that’s expected to grow from 10 billion devices to 50 billion by 2020. 2.Constant Contact, Inc. ( CTCT):Provides on-demand email marketing, social media marketing, event marketing, and online survey solutions primarily in the United States. Market cap at $850.7M, most recent closing price at $27.53. Is in the email and digital marketing space, and has benefitted enormously from a wave of consolidation in the sector. 3.Pegasystems Inc. ( PEGA ):Develops, markets, licenses, and supports software to automate business processes primarily in the United States, the United Kingdom, and Europe. Market cap at $1.75B, most recent closing price at $46.0. Pegasystems is a software and office infrastructure company that offers a suite of products and consulting services to its customers that compete with the likes of IBM (IBM) and Oracle (ORCL). A recent important acquisition of Antenna Software – which develops mobile applications — will allow them to better compete with the giants in this space. The move fueled bullish sentiment on the stock, sending it on a 106% gain for the year. Though the stock is pretty expensive with a P/E ratio above 40, it also pays a healthy dividend.