How do you invest in Big Data, and profit from the phenomenal growth of this technology industry? Discover the best stocks to buy in 2022.
The Big Data has transformed many industries during the 2010s, and will continue to do so during the 2020s. It is one of the revolutionary technologies of the early 21st century.
The market is developing at an unbridled speedand companies can become very valuable on the stock market. Therefore, investing in Big Data can be a very smart move.
The Data industry is one of the most diverse and complexand it can be difficult to identify all the sectors it encompasses. Some of the areas of this industry include Big Data, Data Science, data analytics or cybersecurity. However, these are only the most well-known.
This diversity may explain why this industry is one of the largest and most lucrative in recent years. It should continue to grow in the future.
In 2019, according to the Market Research Future report, the data analytics industry revenue reached $22,998.8 million. This amount is expected to continue to grow at a rate of 28.9% per year to reach $132.9 billion in 2026.
The Big Data market was estimated at 138.9 billion dollars in 2020. It is expected to reach a value of $229.4 billion in 2025, with a growth rate of 10.6%.
The unbridled growth of the data industry is linked to the growing use of the internetthe adoption of the Internet of Things, and the need for experts. According to a report by Dice Analytics, the demand for Data Scientists has increased by 50% in 2020 in several key industries such as healthcare, telecom, fintech or media.
L’emergence of new trends also contributes to the development of the industry, such as autonomous vehicles, AI drones or the Cloud. This technology allows access to vast lakes of data without having to invest in onsite equipment. Large companies such as Netflix, Hulu, Uber, Alphabet or Airbnb rely on Big Data analytics to make their strategic decisions.
While millions of people use the internet, the global volume of data will continue to grow exponentially in the future. As a result, data-driven businesses will grow in size, and their stocks will gain in value.
So what stocks to buy before their price explodes? Some stocks are volatile and provide quick profits, others guarantee steady gains over the long term.
Market leaders include MongoDB, Elastic, Workiva and Splunk. Early IPOs include Alteryx, Cloudera, Talend and New Relic. We offer you a quick overviewaccording to your investment objectives.
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World-renowned provider of technology solutions and services, IBM is one of the world’s leading in Big Data. Its Cloud & Cognitive Software division provides software solutions for a wide variety of applications, control systems, storage and data analysis.
IBM offers various solutions for Big Data, including Red Hat for managing multi-cloud environments. Other software includes Cloud Paks, WebSphere, DB2 and the Watson AI platform.
Alteryx delivers end-to-end analytical solutions for data analysts and data scientists worldwide. Its Alteryx Designer solution enables data segmentation, fusion and analysis to create visual workflow processing or analytical operations.
The Alteryx Server product Enables the planning, execution and sharing of analytical processes and applications in a web-based environment. The Alteryx Connect collaborative data mining platform enables the discovery of insights and sharing of recommendations across an enterprise.
Finally, Alteryx Promote is a model management product Analytics for data scientists and analyst teams. It allows you to build, manage, monitor and deploy predictive models on production applications in real time.
The company MongoDB develops open-source database for enterprises. Its platform can be run on the cloud as SaaS, on a hybrid environment or on-premises by enterprises.
Its database MongoDB Enterprise Advanced is available on the Cloudon-premises, or on a hybrid environment. Similarly, the MongoDB Atlas hosted multi-cloud database is offered as a “database as a service”. Finally, Community Server is a free download that includes all the features you need to get started.
The firm exceeded its goals in 2021and its share price has soared. Although it has not yet made a profit, its revenues are increasing rapidly.
US-based Splunk specializes in processing data generated by digital systems. Its real-time data processing platform offers data collection, streaming, sorting, search, reporting, Machine Learning and data management capabilities.
This software is calibrated to analyze large volumes of historical data, and specifically to machine-data applications.in 2021, its financial results exceeded expectations.
In the face of fierce competition, Splunk is currently transitioning to a SaaS business model based on the Cloud. Its Cloud division is the fastest growing.
Snowflake delivers the first platform for Cloud-based Data Warehouse. Users can consolidate information from different data sources to obtain actionable insights, develop data-driven applications or exchange data.
Datadog’s Cloud Platform enables data monitoring and analysis for programmers, IT teams or business users. This SaaS platform unifies and automates network monitoring, application performance analysis, log and security management to provide real-time observability of technology stacks.
Cloudera provides a suite of analytics and data management technologies. It offers its solutions in Europe, the United States and Asia.
The Palantir Technologies Inc. software platform is used by the US intelligence community to fight terrorism. Its Palantir Gotham platform is dedicated to administrative operations in the intelligence and defense industries, and allows users to find patterns in data sets. This allows users to react in real time to identified threats.
Amazon is well known for its e-commerce platform, but its most profitable activity is now its Cloud branch Amazon Web Services. It offers many services dedicated to Big Data and Data Science, such as the H2O Driverless AI platform, AWS Lake, Amazon S3 or Amazon SageMaker.
From many world-famous companies use AWS, including Adobe, Airbnb, Autodesk, Bitdefender, Johnson & Johnson, Kellogg’s, Lamborghini, Lyft or McDonalds. This business will continue to grow as small and large companies alike turn to AWS for data analysis.
Elastic N-V provides a technology to search for structured or unstructured data from a wide variety of enterprise and consumer applications.
Its main product, Elastic Stack, includes various data ingestion tools from various sources and in various formats. It also allows data analysis and visualization.
Elastic is based in Mountain View, Californiabut also based in the Netherlands. The company beat expectations in 2021, with revenues up 50% in the first fiscal quarter with a total of 16,000 customers. Its Software as a Service business model is cloud-based.
Workiva offers a cloud-based platformwhich is compatible with mobile devices. It enables the collection, analysis and management of enterprise data.
Customers use this software to Simplify and streamline business processes It connects teams, documents, and data from initial sources to final reports. It connects teams, documents, and data from initial sources to final reports.
This company has beat forecasts in 2021with revenues up 26% in the second quarter for a total of $105.6 million. It has almost 4000 customers.
Teradata Corporation offers Cloud-based data analysis software. It offers software, hardware and services around data analysis.
In April 2021, the analysts have revised their forecasts upwardswith a price target of $26 to $45. The company is expected to benefit from a better spending environment and focus on a cloud-first model. In the first quarter, Teradata also exceeded analysts’ expectations. Its share price has doubled in one year.
This long-time player in the data warehousing market is successfully undertaking its transition from an on-premises database model to cloud computing. The transition is a success, with a sharp increase in revenue generated by the Cloud version of the software.
New Relic Inc
The company New Relic Inc offers its New Relic One Platform in SaaS on the Cloud. It allows the analysis of telemetry data in software.
In the first quarter of 2021, its revenues increased by 11.37%. compared to last year. The firm outperformed analysts’ forecasts.
Based in the United States, Domo Inc is a company developing a cloud-based platform. This platform digitally connects all users and delivers them real-time data and insights.
In June 2021, Domo added an integration for the new Snowpark platform from Snowflake dedicated to developers. This integration simplifies the use of other programming languages and the creation of custom solutions.
As of March 2021, UBS recommends buying Domo shares. The price target has been raised from $40 to $90, due to a strong spending environment on the horizon for cloud and data companies.
How do you start investing in Big Data?
If you have never invested in the stock market before, you should first compare trading platforms. Among the most popular, include Robinhood and eToro. You can also turn to your bank, if they offer to open a securities account.
Open your account, then look for stocks that interest you. Then decide how much you want to invest. Some brokers allow to buy a fraction of a shareothers require you to buy a whole share. For example, on eToro, you can buy a fractional share from $50 regardless of the price of the whole share.
You can then place a buy order directlyor set the platform to buy the stock as soon as it falls below a certain price. Once you’ve bought, all you have to do is monitor the share price daily to decide when you want to sell.
The value of your investment may increase or decrease depending on news, trends, market conditions. It is very important to be aware of the risks before deciding to invest. Big Data can be very lucrative, but no investment is immune to risk. The market fluctuationsthe computer industry, and society as a whole can have an unpredictable impact on the stock price.