5 Best Small Cap Tech Stocks To Buy

3. indie Semiconductor, Inc. (NASDAQ:INDI)

Number of Hedge Fund Holders: 30

indie Semiconductor, Inc. (NASDAQ:INDI) offers automotive semiconductors and software solutions worldwide, catering to applications such as advanced driver assistance systems, autonomous vehicles, in-cabin technology, connected cars, and electrification. indie Semiconductor, Inc. (NASDAQ:INDI) is one of the top technology stocks to buy. The company’s Q1 revenue increased approximately 84% on a year-over-year basis to $40.45 million, beating Wall Street estimates by $0.43 million. However, Q1 GAAP EPS of -$0.55 fell short of market consensus by $0.40.

According to Insider Monkey’s first quarter database, 30 hedge funds were bullish on indie Semiconductor, Inc. (NASDAQ:INDI), compared to 23 funds in the prior quarter. George Soros’ Soros Fund Management is the largest stakeholder of the company, with 3.2 million shares worth $34.2 million. 

Baron Opportunity Fund made the following comment about indie Semiconductor, Inc. (NASDAQ:INDI) in its Q1 2023 investor letter:

“indie Semiconductor, Inc. (NASDAQ:INDI) is a designer, developer, and marketer of automotive semiconductors for advanced driver assistance systems (ADAS) as well as connected car, user experience, and electrification applications. Shares rose during the quarter after the company announced the acquisition of GEO Semiconductor and met or exceeded revenue and gross margin guidance for the seventh straight quarter since coming public. After raising capital in late 2022 to fund acquisition activity – we increased our position size when the stock traded down on this convertible bond deal – early this year indie announced its buyout of GEO Semiconductor for up to $270 million (including potential earnouts), to round out its ADAS sensor portfolio with a leader in camera processing technology. We find GEO Semiconductor to be a synergistic acquisition that accelerates indie’s growth and margin trajectory. The automotive semiconductor vertical remains attractive. We believe indie will continue to deliver on its targeted model of profitability in the second half of 2023, achieving 60% gross margins and 30% operating margins by 2025. We also project that indie continues to rapidly increase revenue, as it fulfills its $4.2 billion, and growing, strategic backlog.”