5 Non-Tech Nasdaq Composite High Flyers to Buy for More Gains Ahead

Wall Street has been witnessing an impressive rally since the beginning of 2023, barring a few minor fluctuations. The rally has primarily been driven by the technology sector, buoyed by the massive adoption of generative artificial intelligence (AI). Consequently, the tech-heavy Nasdaq Composite Index has surged 27.3% year to date after climbing 43.4% in 2023. The tech-laden index outperformed its peers, the S&P 500 and the Dow in both 2023 and 2024.A qualitative difference between last year’s and this year’s rally is that aside from technology stocks, several stocks from non-technology sectors have also flourished year to date. Despite being a tech-laden index, the Nasdaq Composite also carries a diversified structure. Several stocks from non-technology sectors are included on the index. We recommend investors five non-tech Nasdaq Composite listed large-cap stocks. These are — Axon Enterprise Inc. AXON, United Airlines Holdings Inc. UAL, Intuitive Surgical Inc. ISRG, Sprouts Farmers Market Inc. SFM and Fox Corp. FOX.Buy 5 Non-Tech Nasdaq Composite High FlyersThese five stocks have provided more than 50% returns year to date. Despite the rally, their favorable Zacks Rank indicates more room to run. Each of our picks carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The chart below shows the price performance of our five picks year to date.Image Source: Zacks Investment ResearchAxon Enterprise Inc.Axon Enterprise is witnessing strength across its business. AXON’s TASER segment is driven by solid demand for the newly-introduced TASER 10 devices and higher cartridge revenues. Benefits from acquired assets are likely to drive AXON’s performance in the quarters ahead.The addition of new users and associated devices to the Axon network, and strong response to Axon body cameras and accessories bode well for the Software and Sensors segment’s growth. Driven by strength in its businesses, AXON provided bullish guidance for 2024.Axon Enterprise has an expected revenue and earnings growth rate of 32.8% and 19.1%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 0.4% in the last 30 days. AXON has an expected revenue and earnings growth rate of 22.3% and 21.9%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 0.6% in the last 30 days.United Airlines Holdings Inc.United Airlines has benefited from improvement in air travel demand. While air travel demand is particularly strong on the leisure front, business travel has also made an encouraging comeback. In response to the improvement in air-travel demand, UAL widened the scope of its code-sharing partnership with Azul. UAL’s environment-friendly approach evident from its goal of achieving net-zero emissions by 2050 without relying on traditional carbon offsets looks encouraging.United Airlines has an expected revenue and earnings growth rate of 5.6% and 1.8%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 2.4% in the last 30 days. UAL has an expected revenue and earnings growth rate of 8.2% and 14.2%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 0.6% in the last seven days.Intuitive Surgical Inc.Intuitive Surgical has benefited on the back of continued growth in the company’s da Vinci procedure volume, coupled with strong Ion procedure growth. ISRG’s initiative to increase the pricing of procedures should also continue to aid sales growth in 2024. Improving procedure volume along with better system placements and services across all markets will drive top-line growth of ISRG this year. The launch of da Vinci SP in Europe and da Vinci 5 in the U.S. market should drive ISRG’s system placements higher.Intuitive Surgical has an expected revenue and earnings growth rate of 14.1% and 20.5%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 3.3% in the last 30 days. ISRG has an expected revenue and earnings growth rate of 16.6% and 14.2%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 2.5% in the last 30 days.Sprouts Farmers Market Inc.Sprouts Farmers Market’s focus on product innovation, emphasis on e-commerce, expansion of private label offerings and targeted marketing with everyday great pricing bodes well. SFM has been lowering operational complexity, optimizing production, improving in-stock position and updating to smaller format stores. Buoyed by the performance, SFM provided a decent 2024 guidance. SFM anticipates a 7% year-over-year increase in comparable store sales for the year, contributing to an expected net sales growth of 12%. Sprouts Farmers Market has an expected revenue and earnings growth rate of 11.8% and 29.6%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 1.1% in the last seven days. SFM has an expected revenue and earnings growth rate of 9.7% and 12.2%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 11.9% in the last 30 days.Fox Corp.Fox operates as a news, sports, and entertainment company in the United States. FOX operates through four segments: Cable Network Programming, Television, Credible, and The FOX Studio Lot. The Cable Network Programming segment produces and licenses news and sports content for distribution through traditional cable television systems, direct broadcast satellite operators and telecommunication companies, virtual multi-channel video programming distributors, and other digital platforms primarily in the United States. Television segment produces, acquires, markets, and distributes programming through the FOX broadcast network, advertising supported video-on-demand service Tubi, and operates power broadcast television stations including duopolies and other digital platform and produces content for third parties. The Credible segment engages in the consumer finance marketplace. The FOX Studio Lot segment provides television and film production services along with office space, studio operation services and includes all operations of the facility.FOX has an expected revenue and earnings growth rate of 6.7% and 7.6%, respectively, for the current year (ending June 2025). The Zacks Consensus Estimate for current-year earnings has improved 2.8% in the last 30 days. FOX has an expected revenue and earnings growth rate of 2.1% and 4.5%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 2.1% in the last 30 days.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.7% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report United Airlines Holdings Inc (UAL): Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG): Free Stock Analysis Report Sprouts Farmers Market, Inc. (SFM): Free Stock Analysis Report Fox Corporation (FOX): Free Stock Analysis Report Axon Enterprise, Inc (AXON): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks