Tech stocks have been scorned by the market for practically the whole year. While July was a nice break from the sell-off that has plagued these stocks, many are nowhere near their all-time highs.

This weakness allows investors to buy some stocks at still low prices. Among those I think are still great buys in August are Nvidia (NVDA -10.01%), Alphabet (GOOG -1.10%), and Accenture (ACN 0.28%). All three are still off their highs and have compelling investment cases. Here's why I'm bullish on this trio of tech giants.


Nvidia makes top-of-the-line graphics process units (GPUs) that can be used to power gaming computers, teach artificial intelligence, and run sophisticated engineering simulations. In short, GPUs are useful for any tasks that require arduous computations. In today's digital world, many uses fall under that umbrella.

In Nvidia's first quarter of fiscal 2023 (ending May 1, 2022), the use-case that brought in the most revenue was data centers, which accounted for 45% of total revenue. This segment grew an astounding 83% YOY (year over year) and also revealed the world's first 400 Gbps networking platform, enabling massive data transfers to happen at record-setting speeds. With company projections pointing to  roughly 70% data center growth during Q2, this segment shows no signs of stopping.

For Q2, analysts are looking for about 28% YOY total revenue growth. That marks a significant slowdown of Q1's 46% growth but is reflective of the uncertainty that Nvidia is experiencing during Q2. Its second-largest segment, gaming, draws from both discretionary gaming purchases and cryptocurrency miners. As a result, this division will likely experience significant headwinds and may see negative YOY growth.

Regardless, both revenue and earnings are expected to rise during Q2. With the stock still down over 40% from its all-time high, the market is expecting the worst during its Q2 earnings. Any surprise will likely send Nvidia's stock soaring.


While we can debate all day if we're truly in a recession or not, there are clear signs around us that something is wrong. One of the most obvious signs is a drop in business spending, specifically in advertising budgets. This weakness significantly affected Alphabet during Q2 and caused its revenue to rise by a mere 13% YOY.

However, many investors feared much worse. With its Google search engine showing strong resilience, it was a bullish sign that its largest segment can still find a way to grow even during tough times. Nevertheless, despite the slight growth, Alphabet's profitability dropped, marked by an operating margin reduction from 31% last year to 28% this year.

So, why am I recommending a stock with slowing growth, ravaging headwinds, and falling profitability? Because the future still looks bright.

Eventually, advertising revenue will come back in force, causing Alphabet's revenue and profitability to soar. With the stock trading at 22 times earnings amid a difficult economic backdrop, the stock is well positioned to beat the market over the next three to five years as the economy recovers.


The demand for new technology won't be reduced during a downturn, so consulting companies like Accenture will remain relevant. Accenture provides consulting services in multiple technological fields and provides companies with the expertise necessary to create and maintain solutions for cloud computing, cybersecurity, and much more.

Accenture turned in a solid Q3 (ending May 31), with the company reporting a revenue increase of 22% and a 16% rise in earnings per share. To reinforce Accenture's potential despite a challenging environment, management raised its full-year revenue growth to 26%.

Because Accenture is a global company, the company saw a significant currency effect. But, because it isn't required to convert the currency to U.S. dollars, this is a paper effect, not a business problem.

Accenture also rewards its shareholders handsomely yet responsibly. The company produced $2.9 billion in free cash flow during Q3 and returned nearly $1.6 billion to shareholders through share repurchases and dividends. With a 1.3% dividend yield, Accenture provides investors with both growth and yield, a rare but valuable combination for a stock.

While pricey at 30 times earnings, Accenture is a top company with a return on invested capital (ROIC) of more than 30% for over a decade. While not as well known as Alphabet or Nvidia, Accenture is an excellent buy in today's market.