While the stock market volatility over the past month hasn't been all that great for many investors' portfolios, it has helped in one regard. This recent sell-off has pushed the stock prices of several quality technology companies into bargain territory.
Market corrections -- declines of 10% or more -- are quite common and nothing to panic over. The opportunities they can create for long-term investors generally make up for the short-term anxiety. Let's look at three great tech stocks now trading at more bargain valuations that you might want to consider buying on this latest market dip.
1. Nvidia
Nvidia (NVDA 0.22%) share prices trade down more than 22% from their recent highs (as of this writing), pushing the stock into bear market territory. The stock now has a much more reasonable forward price-to-earnings (P/E) ratio of 26.5 times based on 2025 analyst estimates and a price/earnings-to-growth (PEG) ratio of about 0.5. Stocks with PEG ratios below 1 are typically viewed as undervalued, while growth stocks will often have PEG ratios well above 1.
NASDAQ: NVDA
Key Data Points
Meanwhile, Nvidia has been the ultimate growth stock. The company has more than doubled its revenue each of the past two years, while analysts project its revenue will increase another 54% this fiscal year, ending January 2026.
The company is the leading maker of chips that are used in artificial intelligence (AI) infrastructure. With spending on AI data centers continuing to skyrocket, Nvidia is poised to still be the biggest beneficiary moving forward. More and more AI chips are needed to train advanced AI models, and Nvidia's graphic processing units (GPUs) have become the standard on which much of this AI infrastructure is being built.
With AI looking to still be in its early innings of development and opportunities, Nvidia is a bargain stock investors can scoop up ahead of the next bull run in the stock.
Image source: Getty Images.
2. Alphabet
Trading off about 23% from its recent highs (as of this writing), Alphabet (GOOGL 0.31%) (GOOG 0.48%) is another tech leader that has been tossed in the bargain bin. The stock trades at a forward P/E of just over 18 times for a company with a dominant market position in search, as well as other leading and emerging businesses.
The company has several nice opportunities with AI. It operates the third-largest cloud computing company in the world, where it helps customers build out their own AI models and applications with assistance from its Gemini foundational model. Meanwhile, it has created several promising AI apps that are still in their early days, including its Gemini generative AI app and its Veo 2 text-to-video app.
NASDAQ: GOOGL
Key Data Points
Meanwhile, it is using AI to improve its search results and add AI Overviews to help answer search queries. With the company historically only including ads on 20% of its search results, adding new ad formats to AI Overviews is a big potential opportunity.
In addition, investors get some great emerging businesses such as quantum computing and its Waymo self-driving unit. Investors currently are assigning very little value to these two businesses when it comes to Alphabet's stock, while some competitors that arguably aren't as far ahead have been getting some pretty hefty market values for businesses in these fields.
This all makes Alphabet a great bargain stock to pick up at these levels.
3. Pinterest
Tumbling about 31% from its recent highs (as of this writing), Pinterest (PINS 0.74%) is another solid stock on the clearance rack, trading at a forward P/E ratio of just 17. The stock soared last month after a strong earnings report and outlook, but it has now given back all of those gains and more.
The company, which is best known for its namesake online vision board social media site, invested heavily in the past few years to improve its user experience and to help better monetize its user base. This includes such innovations as using AI and computer vision to recommend similar items consumers can buy within its merchant catalog to simply adding an in-app checkout. Overall, the company has worked to become a shopping destination and improve actionability on its platform.
NYSE: PINS
Key Data Points
It's leaned heavily into AI throughout its business, including using AI tools to help with its internal coding. It's also using AI to improve ad relevancy and optimize ad loads. Meanwhile, it said its new AI and automation Performance+ platform is seeing strong early results in helping advertisers improve their cost per acquisition.
In addition, it has formed partnerships with Amazon and Alphabet's Google. Amazon helps bring shoppable content to its platform, while Google is helping it better monetize international markets where the search giant has a better reach.
At the end of the day, this is all being done to help Pinterest better monetize its large user base. Its average revenue per user has widely trailed competitors, especially leader Meta Platforms, so closing the gap is a huge opportunity for the company.
Pinterest has been making good strides improving its platform and the stock is currently on sale, making it a great time to scoop up shares.
