Tech stocks have quietly drifted back into bargain territory, and if Wedbush analyst Dan Ives is right about a potential 25% upside for the sector this year, we might be looking at a rerating rather than just a short-term bounce. The interesting part? Some big names are trading like they're stuck in neutral when their earnings story says otherwise.
Screening for low forward price-to-earnings ratios inside the NASDAQ-100 reveals a compact group of stocks where valuation, earnings visibility, and market positioning seem oddly disconnected. Micron Technology Inc. (MU) has been grabbing headlines with its recent surge, but it's far from the only opportunity in the mix.
Micron Technology — Momentum With a Single-Digit Multiple
Micron is doing exactly what undervalued stocks are supposed to do: it's moving. Shares jumped sharply heading into year-end and kept climbing in premarket trading, yet the stock still trades at a forward P/E of just 9.8x according to Benzinga Pro data. That's a peculiar valuation for a memory giant positioned at the heart of AI-driven demand and a pricing recovery cycle.
This isn't about chasing momentum for its own sake. It's about the market finally catching up to an earnings reset that's already happening in real time.
Qualcomm — A Franchise Name on Sale
Qualcomm Inc. (QCOM) doesn't generate much excitement, which is precisely what makes it intriguing right now. With a forward P/E hovering around 14.5x, a modest PEG ratio of 0.59, and steady earnings growth baked into expectations, the stock is priced like it has nowhere to go.
But if AI-on-device capabilities, automotive exposure, or licensing revenue surprise even modestly to the upside, Qualcomm's valuation leaves plenty of room for multiple expansion. The market seems to have written off that possibility entirely.
Cognizant — The Unsexy Tech Play That Works
Cognizant Technology Solutions Corp (CTSH) sits at the opposite end of the hype spectrum from most tech darlings. It's slower moving, services-focused, and rarely makes front-page news. Yet it trades at a 14.5x forward P/E with steady earnings growth already priced in.
If enterprise tech spending stabilizes this year instead of collapsing, this kind of valuation quietly delivers. Especially if investors start rotating toward cash-generative tech businesses rather than chasing moonshots with uncertain payoffs.
Adobe — Premium Brand Trading at a Discount
Adobe Inc.'s (ADBE) recent underperformance has pushed its valuation down to levels you don't normally see for a software franchise of its caliber. Trading near a 14x forward multiple, the stock reflects serious skepticism about growth durability, even though earnings and revenue growth remain solid.
If AI monetization turns out to be incremental rather than existentially disruptive to Adobe's business model, that multiple could normalize faster than most expect.
The Real Story Here
Wedbush's bullish tech call doesn't depend on inventing new narratives or betting on unproven themes. It hinges on earnings durability and valuation catch-up. Right now, meaningful chunks of big tech are priced like disappointment is inevitable. That creates upside if the sector does what it's historically done best: surprise to the upside when expectations are low.
Sometimes the best trade isn't finding the next big thing. It's recognizing when quality names are priced for problems that might not materialize.