Top Technology Stocks by UQS Score

1105 stocks scored · Last updated July 7, 2026

Technology companies dominate the market for good reason: they scale with near-zero marginal cost, build network effects that lock in users, and reinvest cash flow into R&D that compounds over decades. But not every tech stock deserves a premium. The UQS scoring model separates genuine quality — high ROIC, sustainable margins, and real free cash flow — from unprofitable growth stories propped up by stock-based compensation. The companies below combine strong fundamentals with genuine competitive advantages in software, semiconductors, internet services, and digital infrastructure.

Technology Sector Characteristics

The technology sector includes two GICS sectors in our classification: Technology (software, semiconductors, hardware, IT services) and Communication Services (internet platforms, media, telecom). This grouping reflects the reality that companies like Alphabet and Meta are more meaningfully compared to Microsoft and Apple than to traditional media companies. The sector is characterized by high gross margins (often 60-80% for software), significant R&D spending, rapid revenue growth potential, and winner-take-most market dynamics. The best tech companies generate enormous free cash flow once they reach scale, because each additional unit of software or digital service costs essentially nothing to deliver.

Scoring note: Tech stocks are scored with higher quality thresholds (35% ROIC, 45% operating margin) because the sector's economics naturally support wider margins. A 20% operating margin that looks great for an industrial company is mediocre for a SaaS business.

Technology Sector Score Overview

66

Avg UQS Score

76

Avg Quality

52

Avg Moat

61

Avg Growth

80

Avg Risk

67

Avg Valuation

Top Technology Stocks: Who Leads and Why

#1TSMTaiwan Semiconductor Manufacturing Company Limited82

Taiwan Semiconductor Manufacturing Company Limited leads the technology sector with an overall UQS score of 82, combining a 73 quality score with a 82 moat rating. Its margins and returns on capital set the standard for the sector.

#2ADBEAdobe Inc.75

Adobe Inc. ranks second with a 75 UQS score, excelling across quality (96) and growth (46). Its competitive position translates directly into financial outperformance.

#3APPAppLovin Corporation73

AppLovin Corporation earns the third spot at 73, with particular strength in its moat score (53) reflecting deep competitive advantages that protect its market position.

#4KSPIJoint Stock Company Kaspi.kz72

Joint Stock Company Kaspi.kz scores 72 overall, with balanced strength across all five pillars. Its 68 risk score indicates a healthy balance sheet backing its growth.

#5LRCXLam Research Corporation69

Lam Research Corporation scores 69 overall, with balanced strength across all five pillars. Its 95 risk score indicates a healthy balance sheet backing its growth.

Full Technology Ranking: Top 25 Stocks

#	Stock	UQS	Q	M	G	R	V
1	TSMTaiwan Semiconductor Manufacturing Company Limited	82	73	82	77	95	91
2	ADBEAdobe Inc.	75	96	69	46	64	100
3	APPAppLovin Corporation	73	87	53	91	74	54
4	KSPIJoint Stock Company Kaspi.kz	72	85	60	53	68	100
5	LRCXLam Research Corporation	69	77	66	69	95	32
6	DAVEDave Inc.	67	90	28	86	70	67
7	FIEEFiEE, Inc.	67	79	23	81	92	74
8	UIUbiquiti Inc.	67	84	43	67	100	43
9	MSGMMotorsport Games Inc.	67	87	18	56	94	100
10	PEGAPegasystems Inc.	66	74	47	51	83	88
11	RDDTReddit, Inc.	66	69	47	97	82	36
12	GOOGAlphabet Inc.	66	68	84	51	79	37
13	NICENICE Ltd.	65	58	63	35	83	100
14	ASMLASML Holding N.V.	64	75	70	63	67	38
15	AVGOBroadcom Inc.	64	69	60	79	59	48
16	CRDOCredo Technology Group Holding Ltd	64	67	40	100	82	32
17	QCOMQUALCOMM Incorporated	63	72	65	29	74	77
18	NTESNetEase, Inc.	63	73	46	27	85	97
19	ADSKAutodesk, Inc.	63	72	54	49	65	76
20	WDCWestern Digital Corporation	63	68	41	82	86	42
21	KLACKLA Corporation	62	80	57	64	72	30
22	SAPSAP SE	62	56	68	46	72	75
23	PTCPTC Inc.	62	78	47	41	66	85
24	BKTIBK Technologies Corporation	62	73	36	40	100	78
25	QLYSQualys, Inc.	62	82	43	36	85	68

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Frequently Asked Questions About Technology Stocks

Why are Communication Services companies included in Technology?

The GICS classification separates companies like Alphabet, Meta, and Netflix into 'Communication Services,' but their business models — software platforms, digital advertising, cloud infrastructure — are fundamentally technology businesses. We group them with Technology because investors comparing Alphabet to Microsoft get more useful insights than comparing Alphabet to AT&T. The UQS scoring thresholds match this reality: all companies in this grouping are scored against tech-sector margins and returns.

How does the UQS model handle unprofitable tech companies?

Pre-profit tech companies can still score well on growth and moat, but they'll score low on quality (no margins or ROIC to measure) and often low on risk (if burning cash). The overall UQS score reflects this honestly rather than projecting future profitability. For early-stage tech, the growth and moat pillars are the most informative — they tell you whether revenue is accelerating and whether the competitive position justifies the investment in growth.

What technology sub-sectors score highest overall?

Software companies (especially enterprise SaaS) tend to score highest overall because they combine high quality scores (recurring revenue, high margins) with strong moat scores (switching costs, data network effects). Semiconductor companies often score well on quality and growth but face cyclicality that lowers risk scores. Hardware companies typically score lower on moat due to more commoditized competition.