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The 3 Most Undervalued Nasdaq 100 Stocks to Buy in May 2024

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The Nasdaq 100 presents a compelling investment opportunity for several reasons. Firstly, it features a roster of top global brands, encompassing influential companies that dominate various sectors like technology and consumer discretionary, making their products and services integral to our daily lives. Its members are at the forefront of innovation, leading advancements in critical domains such as artificial intelligence and other tech. Thirdly, historically strong performance metrics showcase the Nasdaq 100’s ability to outpace broader market indices. Lastly, these companies commit to sustainable practices. This concept aligns with evolving investor preferences toward responsible investing.

These options are among the top three stocks to buy in the Nasdaq 100 as they are highly undervalued but present incredible growth and profit opportunities. You need to invest because these NASDAQ 100 stocks are very undervalued. They provide immense growth and profit opportunity. Invest now!

Intel Co. (INTC)

Intel (INTC) logo is seen outside of the Robert Noyce Building at Intel Corporation's headquarters in Santa Clara, California.

Source: Tada Images / Shutterstock.com

Intel Co. (NASDAQ:INTC) is a leader in designing, developing and producing computing-related products and services. The company’s portfolio comprises mobile, desktop, and graphics processing units (GPUs).

Earnings and, consequently, profits have been sliding consistently since 2021. However, this trend is reversing, and growth shows signs of stabilization. The YoY increase in revenue of 8.60% demonstrates this. Furthermore, the stock is down 35.36% YTD, indicating a strong potential for future growth. 30 analysts predict an average growth potential of 30.45%, further bolstering the positive outlook.

The semiconductors sector is expected to grow at a CAGR of 11.6%. The sector will reach $1.41 trillion by 2032. This promising growth trajectory provides a suitable ramp for Intel to expand on. Intel’s client computing group significantly contributes to company revenue, bringing in 59% last quarter. This segment’s revenue shot up by 31% due to increased demand for AI-enabled devices. Additionally, it is making leaps in building Scalable Silicon-Based Quantum Processors, which will give it a sizable advantage in the future. 

With INTC down 35% YTD and significant growth potential, it remains a tremendously undervalued pick.

Meta Platforms Inc (META)

In this photo illustration the Meta logo seen displayed on a smartphone and in the background the Facebook logo

Source: rafapress / Shutterstock.com

Meta Platforms Inc (NASDAQ:META) is an American multinational technology conglomerate that operates as a social technology company. It provides explicit solutions for social networking, advertising, and business insight. Facebook, the former name, is mainly known as Meta. 

Social Media Management Software market size was valued at $3.25 billion in 2022. The software is expected to expand at a CAGR of 13.9% during the forecast period. It will then reach $7.10 billion by 2028. 

Meta demonstrated a historic surge in Q4 2023. The company reported a staggering $36.45 billion in revenue, reflecting a YoY increase of 27.26%. Net income and diluted EPS, at $12.37 billion and $4.71, respectively, soared over 100% YoY. This exceptional performance not only surpassed expectations on EPS and revenue by 8.10% and 0.64%, respectively but also painted a promising picture of Meta’s potential for growth, instilling confidence in its prospects. 

Meta Platforms Inc.’s strategic investments in AI and metaverse technologies and the ban on ByteDancer’s TikTok in the U.S. are expected to drive more users to Meta’s Instagram and Reels. This forward-thinking approach not only positions Meta to potentially reap significant long-term benefits but also sparks excitement about the company’s future. As a result, Meta stands out as one of the most undervalued NASDAQ stocks, promising a bright future.

Booking Holdings Inc. (BKNG)

The home page of the Internet booking of hotels booking.com on the screen the Chinese Xiaomi smartphone in male hand on a computer monitor. BKNG stock.

Source: Andrey Solovev / Shutterstock

Booking Holdings Inc. (NASDAQ:BKNG) is an American online travel company that books and organizes user hotel and other service reservations. Valued at a visually large $3,577.38, BKNG has experienced strong YoY growth of 35.19% this past year and is projected to push its valuation even further in fiscal year 2024.

The online travel booking service industry, which BKNG is located under, is positioned at strong revenue valuations with projections for the market to increase in the next decade. Currently valued at $560 billion in 2022, the industry is slated to reach revenue levels of $1.13 trillion by 2030, forecasting an 8-year CAGR appraised at 9.0%.

BKNG’s new line of technology-based tools has reportedly boosted their performance, as visualized in recent Q1 performance. Among these new platform capabilities is their latest “connected trip” feature, which has expanded the application of Booking’s utility to more aspects of customers’ travels, including entertainment, flights, and hotel accommodations through the same platform. This ease of use of customer interface development and other recent features has allowed Booking to differentiate from the consumer market, expanding its operations.

On the date of publication, Michael Que did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

The researchers contributing to this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article.

Michael Que is a financial writer with extensive experience in the technology industry, with his work featured on Seeking Alpha, Benzinga and MSN Money. He is the owner of Que Capital, a research firm that combines fundamental analysis with ESG factors to pick the best sustainable long-term investments.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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