As summer inches closer, cracks are starting to form in this resilient bull market. No one can say for certain whether we’re headed for another swoon or a fiery comeback akin to 2023’s summer surge. But one thing’s for sure – you can never go wrong loading up on high-quality stocks for the long-haul. These battle-tested titans rarely disappoint, no matter how choppy the near-term waters get.

Besides, I’ve got a hunch the Federal Reserve could toss us a bone with at least one rate cut this year. Sure, inflation’s been stubborn, but the central bank knows an election-year rally would surely look good on its report card. A smidge of easing could be just what the market needs right now.

If that’s the case, certain tech stocks could post big gains over the summer months. Here are three tech stocks to consider in this light.

InvestorPlace - Stock Market News, Stock Advice & Trading Tips

Tripadvisor (TRIP) image of mobile phone screen displaying tripadvisor logo (TRIP)

Source: Tero Vesalainen / Shutterstock.com

Tripadvisor (NASDAQ:TRIP) hasn’t exactly been a rockstar performer throughout its history on Wall Street. The stock has seen multiple downturns and is still down from 2011 levels. However, this travel tech pioneer has been slowly but surely turning things around. Shares of TRIP stock are up a solid 44% over the past year alone.

I think Tripadvisor can continue outperforming, especially heading into summer’s peak travel season. If consumer spending habits hold up despite high interest rates, we could see a repeat of last year’s travel boom. After all, there are still plenty of jobs out there, and wealthier folks have plenty of discretionary income to burn on vacations. Apollo has also shown interest in taking over the company lately.

The company’s long-term outlook is enticing too. Wall Street sees Tripadvisor’s earnings per share (EPS) rising from around $1.50 in 2024 to $4.00 by 2028, fueled by 7-8% annual revenue growth. Paying just 17-times forward earnings for that margin growth seems like an absolute steal to me. With travel demand still red-hot, this stock has plenty more room to run, especially if it manages to outperform expectations this summer.

Roblox (RBLX) Roblox sign logo at headquarters. RBLX stock

Source: Michael Vi / Shutterstock.com

Roblox (NYSE:RBLX) is a multiplayer online universe that’s home to thousands of games, activities, and virtual hangout spots. It’s basically the metaverse playground that every kid seemingly craves these days, alongside heavyweight games like Fortnite.

However, Roblox Corporation is one of the only pure-play public companies giving investors exposure to this booming virtual gaming space. The company is even partnering with ad tech firm PubMatic to launch immersive video ads on its platform, driving revenue growth.



Now, Roblox isn’t expected to turn a profit until 2027. But the company’s $2 billion cash stockpile should help it weather any near-term storms. This stock could definitely soar once kids get more free time online during summer breaks – they go crazy for Robux these days!

I also wouldn’t rule out a takeover down the line. Roblox has stellar growth prospects, and the company’s business model isn’t overly complex. If Microsoft (NASDAQ:MSFT) was willing to shell out for Minecraft and Activision Blizzard, other big tech names may not hesitate to grab this metaverse pioneer, over a long enough time horizon.

Lyft (LYFT) lyft stock

Source: Allmy / Shutterstock.com

We’re all familiar with Uber (NYSE:UBER) at this point – it’s become a household name for ridesharing. But don’t sleep on the underdog Lyft (NASDAQ:LYFT)! While its market share pales in comparison to Uber’s, this app is still chugging along nicely with very enticing growth prospects.

Lyft is often cheaper than Uber in many cities, and it has a huge runway ahead as it has yet to expand outside the U.S. like its bigger rival. The stock also trades at a much cheaper valuation than Uber at just 27-times forward earnings versus 57-times for UBER.

You’re looking at blistering earnings growth here too, with the company’s earnings per share projected to soar from $0.62 in 2024 to $1.60 by 2028. Revenues are expected to keep climbing in the low double-digits annually over that span. Lyft has been reporting excellent financials lately while guiding impressive 2024 numbers, thanks to the company’s new management team and its successful turnaround efforts. Lyft’s balance sheet is sturdy too, with $560 million more cash than debt.

Notably, LYFT stock is already up a stellar 65% year-to-date. That lags Uber’s 130% surge, but who knows? Perhaps outperformance ahead. The bulk of Lyft’s performance could be driven by its bargain valuation relative to its growth potential. I see major upside from here. In my view, LYFT stock is one of the best options in the tech sector right now for long-term investors seeking growth at a reasonable price.

On the date of publication, Omor Ibne Ehsan did not hold (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.

Omor Ibne Ehsan is a writer at InvestorPlace. He is a self-taught investor with a focus on growth and cyclical stocks that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as cryptocurrencies and penny stocks. You can follow him on LinkedIn.

More From InvestorPlace

The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. It doesn’t matter if you have $500 or $5 million. Do this now.

The post 3 Tech Stocks That Will Post Sizzling Gains This Summer appeared first on InvestorPlace.