3 tech stocks on sale at knocked-down prices right now

Take a look at these top tech stocks trading at discounts.

| More on:
retail investors beat professionals shares

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Towards the end of the financial year many investors look to tidy up their portfolios and in particular sell losing positions in order to offset taxable income.

This makes it a particularly good time to scour stocks trading at 52-week lows to identify treasure amongst the trash.

The following three tech stocks are all trading close to their 52 week lows but are quality businesses worth considering for your portfolio.

Hansen Technologies Limited (ASX: HSN)

The provider of billing software to the utilities sector announced a disappointing trading update recently in which it primed investors to expect a subdued result in 2019 relative to this year. I don’t think the news signals any serious long-term problems when viewed in the context of what will be an especially strong 2018. Earnings-per-share (EPS) is expected to increase 24% this year partly thanks to some lumpy project revenue which will not be repeated next year.

The stock pays a 2.8% trailing gross dividend yield, is 33.8% down on its 52-week high and has delivered a five year total return of 284%.

Integrated Research Limited (ASX: IRI)

Integrated Research provides software which helps companies monitor and maintain critical systems and boasts more than 120 Fortune 500 firms as customers. Its share price fell heavily at the end of May and has continued drifting lower in June which may be related to the sale of 15 million shares by founder and chairman Stephen Killelea earlier in the year.

Although large selldowns by management can sometimes signal choppy waters ahead I am not convinced that this is the case on this occasion. Mr Killelea has been selling chunks of shares regularly over the past couple of years during which time Integrated Research has performed very well.

The stock pays a 3% trailing gross dividend yield, is 24.8% down on its 52-week high and has delivered a five-year total return of 239%.

Technology One Limited (ASX: TNE)

It seems the market didn’t like the change to reporting that this government enterprise software provider slipped in when releasing its latest full-year guidance in May. The company has switched from reporting underlying profit growth to simply profit growth. My view is that regardless of which metric is used, it does not change the fact that Technology One has created significant shareholder value over a long period of time.

The stock pays a 2.6% trailing gross dividend yield, is 26% down on its 52-week high and has delivered a five year total return of 177.8%.

Motley Fool contributor Matthew Brazier has no position in any of the stocks mentioned. You can find Matt on Twitter @MattBrazier2 The Motley Fool Australia owns shares of Hansen Technologies. The Motley Fool Australia has recommended Integrated Research Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

asx share price competitions represented by businessmen arm wrestling
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

person reading news on mobile phone
⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »