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3 Tech Stocks With More Potential Than Any Cryptocurrency

July 19, 2025
11:54 AM
5 min read
AI Enhanced
investmentstockstechinsurancemarket cyclesseasonal analysismarket

Key Takeaways

Snap, Lemonade, and Aehr Test Systems could soar higher.

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5 min read

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cryptocurrency

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Published

July 19, 2025

11:54 AM

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The Motley Fool

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Key Topics
investmentstockstechinsurancemarket cyclesseasonal analysismarket

Snap, Lemonade, and Aehr Test Systems could soar higher

In contrast, Cryptocurrencies might seem good investments for speculative investors since many of the top tokens dered market-crushing gains over the past decade, given the current landscape

Yet past performance never guarantees future gains -- and a lot of cryptocurrencies still trade on the headlines instead of their scarcity or the utility of their underlying blockchains

Additionally, Instead of loading up your portfolio with risky cryptocurrencies, it might be smarter to invest in some high-growth stocks, instead

At the same time, Here's a look at three of those stocks -- Snap (SNAP 1. 06%), Lemonade (LMND 3 (an important development). 31%), and Aehr Test Systems (AEHR -2

On the other hand, 65%) -- to see why they might be better buys than any cryptocurrency

However, Image source: Getty Images

Additionally, Snap Snap, the parent company of Snapchat, suffered a slowdown in 2023, in light of current trends

The data indicates that was due to Apple's privacy changes on iOS, intense competition from ByteDance's TikTok and Meta's Instagram, and tough macro headwinds, which all throttled the company's ad sales

It also struggled to gain new daily active users (DAUs) in its core North American market

But in 2024, Snap's revenue rose 16%, given current economic conditions

That acceleration was driven by: Robust overseas growth Fresh first-party ad tools that addressed Apple's iOS changes Snapchat+ subscriptions Artificial intelligence (AI)-powered AR lenses Spotlight's recommendations In the first quarter of 2025, the company's DAUs grew 9% year over year to a record high of 460 million (fascinating analysis)

Snap didn't vide any additional guidance because it expects the tariffs and macro headwinds to impact its ad sales to Chinese e-commerce companies

However, But for the full year, analysts still expect revenue to rise 9% to $5. 84 billion as the company's adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) grows 6%

From 2024 to 2027, they expect revenue and adjusted EBITDA to grow at a compound annual growth rate (CAGR) of 10% and 32%, respectively (this bears monitoring)

Furthermore, These are solid growth rates for a stock that trades at just 3x this year's sales and 29x adjusted EBITDA

Nevertheless, If Snap continues to expand, it might impress the bulls again and beat the top cryptocurrencies

Nevertheless, Lemonade Lemonade carved out a high-growth niche in the insurance market with its AI-driven platform, which lines the onboarding and claims cess with chatbots and algorithms

On the other hand, That digital-native apach made it a option for younger and first-time insurance buyers

Moreover, Lemonade initially only offered owners' and renters' insurance but expanded with more term life, pet health, and auto plans after its public debut five years ago

Additionally, It also ceded a portion of the risks from those plans to big reinsurers to insulate itself from bigger losses

What the re reveals is company's growth in customers and in-force premiums slowed down in 2023 as it struggled with delayed rate apvals for its and auto policies in several states

Furthermore, Those delays forced it to apve fewer policies and curb its near-term expansion, in this volatile climate

Meanwhile, But in 2024, Lemonade's growth accelerated again as it secured those new rate apvals, considering recent developments

Nevertheless, In addition, its AI-driven pricing model was apved in more states and it ramped up spending again to gain new customers, in this volatile climate

Nevertheless, In the first quarter of 2025, the number of customers grew 21% year over year to a record high of 2 (which is quite significant). 55 million

From 2024 to 2027, analysts expect Lemonade's revenue to rise at a CAGR of 41% as its adjusted EBITDA turns positive by the final year, in light of current trends

That's an impressive growth rate for a stock that trades at just 4x this year's sales

At the same time, If the company keeps locking in new customers, it could der bigger gains than a lot of cryptocurrencies

However, Aehr Test Systems Aehr duces testing and burn-in equipment for chipmakers

Furthermore, It went public back in 1997 but didn't gain much attention until 2021

That's when investors recognized it as a play on silicon carbide (SiC) chips, which can resist higher voltages, operate at higher temperatures, and run on higher frequencies than traditional silicon chips

That resilience makes SiC chips well-suited for lasers, 5G base stations, radars, and electric vehicles (EVs)

Aehr is one of the few companies that duce testing and burn-in equipment for SiC chips

Aehr's revenue declined in fiscal 2025 (which this May) as it grappled with a soft EV market, tariff-related delays, and a higher mix of cheaper ducts

But from fiscal 2025 to fiscal 2027, analysts expect its revenue to grow at a CAGR of 22%

This analysis suggests that y also expect its adjusted EBITDA to turn positive in fiscal 2025 and grow 58% in fiscal 2026

Aehr's near-term catalysts include the AI market's growing demand for its testing and burn-in tools, the EV market's gradual recovery, the expansion of its portfolio with new gallium nitride (GaN) chips and silicon photonics ducts, and its international expansion

On the other hand, Its stock still looks reasonably valued at 7x this year's sales and could gain a lot more momentum as the EV market warms up and the AI market continues to expand

At the same time, Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors

Leo Sun has positions in Apple and Meta Platforms, amid market uncertainty

The Motley Fool has positions in and recommends Apple, Lemonade, and Meta Platforms

The Motley Fool has a disclosure policy.