10 Best Tech Stocks to Invest In On the Dip

2. Aehr Test Systems, Inc (NASDAQ:AEHR)

Share Price: $12.80

Year-To-Date Performance: -48.70%

Analyst Upside Potential: 96.54%

Aehr Test Systems, Inc (NASDAQ:AEHR) specializes in providing testing solutions for semiconductor devices. Their main products include the FOX-P family of systems, which are designed to test semiconductor devices at different stages including Wafer Level Testing and Singulated Die Testing. The systems also perform “burn-in” tests, where devices are subjected to stress conditions to identify any early failures. This process helps ensure that the final products are reliable and function properly once in use.

While the revenue of Aehr Test Systems, Inc (NASDAQ:AEHR) was down 36.5% year-over-year to $13.1 million. It was actually above analyst expectations. The slow down in electric vehicle sales has impacted stock negatively and it has dropped 48.70% on a year-to-date basis.

However, what’s impressive about the company is the fact that the company has received its first orders to test AI accelerators. This means that the company has potentially entered a new hyper growth market. CEO, Gayn Erickson mentioned that they are currently in discussions with its first customer for gallium nitride (GaN) semiconductor devices, focusing on volume production testing and burn-in processes.

The company anticipates that the market for GaN devices will expand rapidly, with a projected compound annual growth rate (CAGR) exceeding 40%, potentially reaching over $2 billion in annual sales by 2029. Analysts are also betting high on the stock as their 12 month median price target points towards a 96.54% upside from current levels.