FX.co ★ Top 5 IT companies to invest in 2021

Intel – IT industry’s locomotive

Tech giant Intel tops the list of the leading companies in the electronics and hardware market. Economists project this sector to expand by 5% in 2021. Shares of the US microprocessor maker lost 20% last year as Apple dumped Intel processors. The company’s success depends greatly on its leader. Therefore, experts believe that Intel’s new CEO, Patrick Gelsinger, will breathe new life into the technology company. Gelsinger is a public figure, personal development coach, and architect of the 486 processor. He made people forget about the company’s sell-off and helped raise Intel to unprecedented heights. According to preliminary forecasts, Intel shares will rise by 16% to $67 per share by the end of 2021.

Allegro MicroSystems – niche market leader

The year 2021 will be a good one for niche leaders of the IT sector. These are companies with high-demand products. Allegro MicroSystems, an international manufacturer of microchips for magnetic sensors, is one of them. On a yearly basis, it sells over 100 million devices for self-driving cars, cooling systems, and automotive components. In October 2020, when Allegro MicroSystems went public, its shares traded at a price range of $12– $14 each. Later, the price rose to $29.4 per share. Analysts expect Allegro MicroSystems shares to grow by 20% to $35.3 over a year. In fact, only qualified investors can purchase the company's shares. Currently, the market capitalization of Allegro MicroSystems is $5.6 billion.

T-Mobile - Warren Buffett's choice

T-Mobile, a European mobile communications company, also attracts investors’ attention. The introduction of 5G technologies will become a powerful driver for the telecom industry's B2B segment. Notably, T-Mobile is a leader in this segment. In September last year, Warren Buffett’s Berkshire Hathaway became interested in the company. It invested over a quarter of a billion dollars in T-Mobile. From Buffett’s point of view, the B2B segment offers a lot of prospects for long-term investments. The value of T-Mobile shares soared by 56% in a year, while its market capitalization exceeded $153 billion. Experts suggest that the price of T-Mobile shares will advance by 30% to $160 a share by the end of 2021.

SalesForce - leader in enterprise software

According to Gartner analysts, the enterprise software sector will be recovering at the fastest pace in 2021. They expect a significant spike in cloud services by 19% y/y over the next two years. SalesForce is one of the biggest promising companies operating in the cloud technology market. Its shares climbed by 24% in a year. They soared after SalesForce was added to the Dow Jones Industrial Average last August. Currently, its market capitalization reaches $206 billion. Experts project the price of one SalesForce share to increase by 28% to $287 in 2021.

Fortinet - top cybersecurity company

The popularity of cloud services and an increase in online transactions pose serious cybersecurity threats. Thus, cyberattacks soar by 11% every year. According to the Global Market Insights forecast, the global cyber security market will receive more than $300 billion in revenue in 2024. Fortinet, an American multinational corporation, is one of the dominant companies in this sector. It creates cybersecurity software and offers services in this field. In a year, Fortinet shares jumped by 27% to $146 a share. The company's revenue amounted to $2.6 billion, while its market capitalization reached $23.7 billion. Experts foresee the price of Fortinet shares to grow by 14% to $170 per share in 2021. In fact, the company achieved remarkable success thanks to the integration of Software-defined Wide Area Network (SD-WAN) into its firewalls.