High Growth Tech Stocks To Watch In December 2024

As we approach the end of 2024, investors are looking for high-growth tech stocks that can continue to deliver strong performance. While the broader market has experienced some volatility, tech stocks have shown resilience, driven by innovation and strong fundamentals. In this article, we will highlight two high-growth tech stocks that investors should watch in December 2024: Apple Inc. (AAPL) and Microsoft Corporation (MSFT).



1. Apple Inc. (AAPL)
- Apple Inc. has consistently been a top performer in the tech sector, driven by its innovative products and strong brand loyalty. The company's revenue growth rate of 0.061 (as of 2024-09-30) may seem low compared to other tech stocks, but it is essential to consider that Apple has already reached a significant market capitalization, making it challenging to maintain high growth rates.
- Apple's earnings growth rate of 0.061 (as of 2024-09-30) is also lower than some of its peers, but the company's strong financial performance metrics, such as free cash flow, indicate that it is well-positioned to continue generating value for shareholders.
- Apple's forward P/E ratio of 30.769434 (as of 2024-12-30) is higher than the established tech giants like Alphabet Inc. (GOOGL) and Amazon.com Inc. (AMZN), but the market expects the company's earnings to continue growing, justifying the higher forward P/E ratio.
- Apple's strong return on equity (ROE) of 42.047695 and return on assets (ROA) of 11.25 indicate that the company is more efficient in generating profits from its shareholders' investments and assets compared to its peers.

2. Microsoft Corporation (MSFT)
- Microsoft Corporation has been another strong performer in the tech sector, driven by its cloud services and AI integration. The company's revenue growth rate of 0.16 (as of 2024-09-30) is slightly below the average growth rate of the Technology sector, but its earnings growth rate of 0.16 (as of 2024-09-30) is in line with the sector's average.
- Microsoft's forward P/E ratio of 28.673153 (as of 2024-09-30) is lower than Apple's, but the market still expects the company's earnings to continue growing, justifying the higher forward P/E ratio compared to established tech giants.
- Microsoft's strong return on equity (ROE) of 35.583263 and return on assets (ROA) of 10.5 indicate that the company is more efficient in generating profits from its shareholders' investments and assets compared to its peers.

In conclusion, Apple Inc. (AAPL) and Microsoft Corporation (MSFT) are two high-growth tech stocks that investors should watch in December 2024. Both companies have strong financial performance metrics, innovative products, and a history of delivering strong returns to shareholders. While their valuations may be higher than those of established tech giants, the market expects these companies' earnings to continue growing, justifying their higher forward P/E ratios. Investors looking for high-growth tech stocks should consider adding Apple and Microsoft to their portfolios, as these companies are well-positioned to continue delivering strong performance in the coming months.