Top Tech Stocks

Arrow Electronics Inc., Analog Devices Inc., and First Solar Inc. are the top tech companies this month.

Arrow’s stock fell late last year, turning the semiconductor distributor into a top value stock when it posting record third-quarter sales amid a depressed electronics market. Analog leads its peers in a key measure of earnings and revenue growth thanks to rising production of electric vehicles that use its chips. First Solar shares have more than doubled in the past year, boosted by passage of the green energy-focused Inflation Reduction Act.

These companies are leading their category as tech stocks, represented by the Technology Select Sector SPDR Fund (XLK), have lost almost a fifth of their value in the past year compared with the 13% drop in the Russell 1000 Index.

Here are the top five tech stocks in each category, 15 in all, with the best value, fastest growth, and most momentum. All data are as of Jan. 19.

Best Value Tech Stocks

Value investing is a factor-based investing strategy that involves picking stocks that you believe are trading for less than what they are intrinsically worth, usually by measuring the ratio of the stock’s price to one or more fundamental business metrics. A widely accepted value metric is the price-to-earnings (P/E) ratio.

Value investors believe that if a business is cheap compared with its intrinsic value (as measured by its P/E ratio, in this case), then its stock price may rise faster than that of others as the price comes back in line with the worth of the company. These are the tech stocks with the lowest 12-month trailing P/E ratio.