The tech sector continues to be one of the hot parts of the stock market, providing both highs and lows for a number of investors. As social media and other areas continue to grow and expand, tech stocks have become a lightening rod for the success, and sometimes failure, of the companies involved. Investors are always looking for opportunities, and many wonder whether stocks of companies such as Renren Inc (RENN), Groupon Inc (GRPN), Sirius XM Radio Inc (SIRI), Zynga (ZNGA) and others will be among the rising or falling investments in 2012.
Renren Inc (RENN)
Getting billed as “the Facebook of China” is a guarantee for success, right? While such a lofty billing doesn’t ensure anything, it definitely got people’s attention. With the People’s Republic of China limiting or even banning access to social media from the West, a potential market of more than a billion captive users can create some impressive results.
That is certainly true for RENN, as it has already generated a cash reserve of $1.2 billion and a market cap of $1.42 billion. With a small management team and its great initial push, the company is competing well against Baidu (BIDU) and Sina. (SINA) Renren’s 30% year-to-year revenue growth also helps to make it a very appealing option.
Groupon Inc (GRPN)
Offering a revolutionary way to find coupons on the Internet, founder Andrew Mason turned this deal-of-the-day Internet website into one that sells discounted gift certificates for local goods and services.To continue reading, click here.