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The Great Rotation Won't Last Forever. 3 Growth Stocks to Buy Before Tech Rebounds.

newsfeedback@fool.com (Adria Cimino)
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⚡ Quantum Brief
Investors are shifting from tech stocks to sectors like industrials and healthcare in a trend called "The Great Rotation," but analysts predict this rotation is temporary due to tech’s strong earnings potential. Meta Platforms leads social media with 3.5 billion daily users and is expanding into AI, custom chips, and data centers, making it a bargain at 19x forward earnings. Alphabet’s Google dominates search advertising (72% of revenue) while its Google Cloud unit sees surging demand for AI infrastructure, trading at 26x forward earnings. Nvidia remains the top AI chipmaker, with annual updates like the upcoming Vera Rubin chip, positioned to capitalize on the trillion-dollar AI market growth. All three stocks—Meta, Alphabet, and Nvidia—are undervalued relative to their growth prospects, offering strong buys before an expected tech rebound.
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By Adria Cimino – Apr 6, 2026 at 4:10AM ESTKey PointsInvestors have turned away from tech stocks in recent weeks in favor of other sectors.But the power of tech earnings makes these stocks fantastic long-term investments.The S&P 500 blasted higher over the past few years amid excitement about artificial intelligence (AI) companies -- many of these players set the pace, advancing in the double, triple, and quadruple digits. You'll likely recognize some of the names, such as cloud services giant Amazon and AI chip leader Nvidia (NVDA +0.87%). These companies, part of the Magnificent Seven technology stocks, even started to generate significant revenue from the AI boom. So they saw earnings and stock price take off. In recent weeks, though, we've seen a shift. As part of "The Great Rotation," investors have turned away from these tech giants in favor of a broader range of companies powering the general economy -- from industrials to healthcare companies. But, considering the earnings power of tech companies' products and services, The Great Rotation won't last forever. Let's check out three growth stocks to buy before tech rebounds. Image source: Getty Images. 1.

Meta Platforms Meta Platforms (META 0.82%) is a clear leader in the world of social media, with its ownership of Facebook, Messenger, WhatsApp, and Instagram. More than 3.5 billion people worldwide use at least one of these every day -- advertisers know this, and this is why they flock to Meta to promote their products. And this drives the company's billion-dollar revenue. But Meta isn't just about social media these days. The company has drawn up major AI plans, aiming to add AI to its apps to make them better -- and keep us on them longer. Meta also is revamping the ad experience to supercharge ad performance. All of these efforts should lead to increased ad revenue. Meta's development of chips, a large language model, and its own data centers could also lead to other revenue-generating products and services. All of this makes the stock, the cheapest of the Magnificent Seven, an irresistible buy at 19x forward earnings estimates. META PE Ratio (Forward) data by YCharts 2. Alphabet Alphabet (GOOG 0.15%) (GOOGL 0.57%) is another company that operates a billion-dollar-generating business outside of AI: It's the owner of the popular search platform, Google. And like Meta, advertising revenue -- in this case, across Google -- powers earnings growth. However, Alphabet also is seeing tremendous growth in a second business, and that's cloud computing. The company's Google Cloud unit offers AI and non-AI services to customers and has seen growth explode higher. Demand for capacity is soaring, and this is likely to continue as more and more companies seek to apply AI to their businesses -- they will need chips and complete AI systems to power their platforms.

And Google Cloud provides them. ExpandNASDAQ: GOOGLAlphabetToday's Change(-0.57%) $-1.69Current Price$295.70Key Data PointsMarket Cap$3.6TDay's Range$289.47 - $298.0852wk Range$140.53 - $349.00Volume3.1KAvg Vol34MGross Margin59.68%Dividend Yield0.28% Cautious investors may also like Alphabet because its biggest growth driver remains the advertising business across the Google platform. In the most recent quarter, this business accounted for 72% of total revenue. Finally, Alphabet, also is bargain today, trading at 26x forward earnings estimates, making it a stock to snap up right now. 3. Nvidia Nvidia is probably the world's most well-known AI company. That's because it's the leading provider of the crucial element powering this revolution: the AI chip. Others design AI chips too, but Nvidia's consistently have been the fastest and most powerful -- this is a key selling point as customers are eager to get the AI job done as quickly and efficiently as possible. This AI giant has expanded into many other supporting products, so that it now provides entire systems to its customers. If you're worried about Nvidia's ability to stay ahead, this may reassure you: The company has pledged to update its chips annually and has followed through on this with recent launches -- and now has the Vera Rubin update on the calendar for later this year. ExpandNASDAQ: NVDANvidiaToday's Change(0.87%) $1.53Current Price$177.28Key Data PointsMarket Cap$4.3TDay's Range$171.38 - $177.4852wk Range$86.62 - $212.19Volume12KAvg Vol181MGross Margin71.07%Dividend Yield0.02% Meanwhile, the general AI growth story remains intact, with analysts expecting the market to reach into the trillions of dollars in just a few years. This should continue powering the earnings of Nvidia, the central player in the AI story, higher. Today, Nvidia stock is among the cheapest of the Magnificent Seven at 21x forward earnings estimates, making it a fantastic stock to buy before the tech rebound.Read NextApr 5, 2026 •By James Brumley3 Growth Stocks Down 43%, 28%, and 41% to Buy Right NowApr 4, 2026 •By Parkev Tatevosian, CFABest Stock to Buy: Microsoft Stock or Meta Stock?Apr 3, 2026 •By Daniel Sparks2 Top Oversold Tech Stocks to Buy Before They SoarApr 3, 2026 •By Billy DubersteinWhy Meta Platforms Fell in MarchApr 2, 2026 •By Trevor JennewineNasdaq Correction: Buy 2 Trillion-Dollar AI Stocks With 50% Upside, According to Wall StreetApr 1, 2026 •By Lyle DalyThe Largest Companies by Market Cap in April 2026About the AuthorAdria Cimino is a contributing Motley Fool stock market analyst covering healthcare, technology, and consumer goods sectors. Prior to The Motley Fool, Adria covered the European stock market and U.S. stocks pre-market trading for Bloomberg News, Bloomberg TV, and Bloomberg Radio for more than a decade. Earlier in her career, she wrote about biotech, medtech, and technology companies in Boston for Mass High Tech, an American City Business Journals publication. She holds a bachelor’s degree in mass communications from the University of South Florida.TMFAdriaCiminoX@adria_in_parisStocks MentionedMeta PlatformsNASDAQ: META$574.46(-0.82%)-$4.77AppleNASDAQ: AAPL$255.92(+0.11%)+$0.29AlphabetNASDAQ: GOOGL$295.70(-0.57%)-$1.69NvidiaNASDAQ: NVDA$177.39(+0.93%)+$1.64MicrosoftNASDAQ: MSFT$373.10(+1.01%)+$3.73TeslaNASDAQ: TSLA$360.45(-5.46%)-$20.81AmazonNASDAQ: AMZN$209.77(-0.38%)-$0.80AlphabetNASDAQ: GOOG$294.46(-0.15%)-$0.44*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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