12 Best Affordable Tech Stocks to Buy According to Analysts

8. Sensata Technologies Holding plc (NYSE:ST)

Current Share Price: $28.0; Forward P/E: 8.5

Upside Potential: 32%

Number of Hedge Fund Holders: 40

Sensata Technologies Holding plc (NYSE:ST) is a global supplier of sensors, electrical protection devices, and power management solutions. The company serves the automotive, industrial, aerospace, and heavy vehicle markets.

The company is experiencing strong growth driven by rising demand for safer, cleaner, and more efficient products, fueled by both global regulations and changing consumer preferences. These market shifts create significant expansion opportunities, and the company is well-positioned to capitalize on them by leveraging its core strengths and global presence. In 2024, this growing emphasis on safety, sustainability, and efficiency represented a total addressable market of $15.6 billion.

Acknowledging the growth prospects, TD Cowen analyst Joseph Giordano recently reiterated a Buy rating on Sensata Technologies Holding plc (NYSE:ST) with a price target of $45, highlighting management’s strategic improvements under new CEO Stephan von Schuckmann. The analyst emphasized Sensata’s disciplined restructuring, including exiting non-core and unprofitable segments, which has strengthened its cost structure and positioned it well in the challenging automotive sector. He remains optimistic about Sensata’s global growth potential.

Joseph further emphasized that the Gigavac acquisition enhances its EV offerings in Europe and aligns with the shift to next-generation vehicles. In China, the CEO’s expertise is expected to drive deeper market penetration, despite hurdles for multinationals. In the U.S., Sensata benefits from the rising adoption of hybrid vehicles. Additionally, the analyst’s view is also bolstered by strong cash flows and an undemanding valuation at P/E of 10.