‘Stay Invested With Caution’: J.P. Morgan Stays Constructive on Markets – Picks 2 ‘Strong Buy’ Tech Stocks

After a afloat period of unfastened warfare successful the Middle East, the interaction connected vigor markets is hard to ignore. Oil prices are up astir 45%, adding to concerns that higher vigor costs could propulsion ostentation higher. Meanwhile, the S&P 500 is down astir 8% implicit the past month.

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Against that backdrop, J.P. Morgan strategist Fabio Bassi has trimmed his 2026 year-end S&P 500 people to 7,200 (from 7,500). Yet, adjacent aft the cut, it inactive implies a caller grounds precocious and 13.5% upside from here.

“We support the presumption of a resilient concern rhythm into twelvemonth end; however, we are turning much cautious abbreviated word fixed the proviso daze and the imaginable transmission into the maturation outlook and earnings. Geopolitical concerns and higher vigor prices for longer volition resistance planetary maturation little and ostentation higher. We urge investors to enactment invested with downside hedges successful equities, and we clasp to these hedges fixed the humble correction year-to-date,” Bassi opined.

Following from this wide stance, JPM analysts are pointing to 2 tech stocks to bargain for investors who are constructive connected the markets. According to TipRanks’ database, some boast Strong Buy ratings, and JPM’s latest commentary helps explicate the thesis down each. Let’s dive in.

Seagate Technology (STX)

We’ll commencement successful the satellite of representation chips, wherever Seagate focuses connected representation and data. Seagate’s absorption connected representation chips, and its agelong estimation for prime successful the tract – it released the archetypal 5.25-inch hard thrust disk backmost successful 1980 – people enactment the institution successful a dependable presumption to payment from the AI-fueled enlargement of the information halfway industry. Seagate’s banal terms reflects that; the company’s shares are up by 327% implicit the past year, and the company’s marketplace headdress stands astatine conscionable nether $83 billion.

Currently, Seagate’s merchandise lines thin heavy to high-density representation hardware, including specified items arsenic 32-terabyte hard drives, terabyte-range enlargement desktops and SSDs, and high-capacity outer hard drives. Seagate tin proviso representation chips and tools for astir each conceivable need, and its HDDs and SSDs are successful precocious demand. Among the applications for Seagate’s representation and thrust units: endeavor storage, gaming, idiosyncratic backup, and adjacent the surveillance field.

AI and unreality computing enactment a precocious premium connected representation capacity, and Seagate is 1 of the nonstop beneficiaries of that. The company’s representation solutions are applicable to the ‘big data’ industry, peculiarly successful information centers, high-performance computing, and the rising ‘storage-as-a-service’ field. Seagate has products that conscionable the needs of backstage and nationalist clouds, arsenic good arsenic multicloud computing environments. Among the company’s important customers are specified names arsenic AWS and IBM.