Secure Investment Opportunities: Long-Term Tech Shares to Accumulate for the Coming Decade
In the first half of the current fiscal year, several tech companies have reported impressive financial results, with Snowflake and Salesforce leading the charge.
Snowflake, the data cloud specialist, reported a free cash flow generation of $240.3 million for the first half of fiscal 2026, marking a significant improvement from previous years. The company's remaining performance obligations for the same period stood at $6.9 billion, representing a 33% year-over-year increase. Snowflake's revenue for the first half of the year reached $2.2 billion, a 28.8% year-over-year increase. The company's gross profit also saw a 29% year-over-year increase, reaching $1.47 billion.
Snowflake is not resting on its laurels, as it has announced a collaboration with Acxiom, part of the Interpublic Group of Companies, to build an AI-powered marketing data infrastructure. This move is expected to further bolster Snowflake's position in the data cloud market.
Meanwhile, Salesforce, the customer relationship management giant, reported a free cash flow of $6.3 billion for the first quarter of fiscal 2026, a 3.5% year-over-year increase. The company's revenue for the same quarter was $9.8 billion, a 7.6% year-over-year increase. Salesforce's remaining performance obligations increased by 12% year-over-year to $29.6 billion.
Atlassian, the cloud computing platform provider for team collaboration and work management software, has also seen steady growth. The company's revenue, gross profit, and free cash flow have increased over the past three years. Since the beginning of Fiscal Year 2026, Atlassian's stock on NASDAQ has shown a positive trend, rising around 4.5% to approximately $180.46. Despite current prices being well below the 52-week high of $325.94, analysts expect earnings of about $4.25 per share for 2026. Atlassian expects year-over-year revenue growth of around 18% for fiscal 2026.
Atlassian has identified a $67 billion total addressable market that is growing at 13% per annum. The company boasts more than 300,000 customers across all industries, with the number of customers spending more than $100,000 in annual recurring revenue on the rise. Atlassian's gross profit margin is expected to be 83.5% for fiscal 2026.
Snowflake and Salesforce's financial performances, along with Atlassian's steady growth, highlight the robustness of the tech sector, even in the face of economic uncertainties. Both Snowflake and Salesforce project year-over-year revenue growth of 27% and 12%, respectively, for fiscal 2026. As these tech giants continue to innovate and grow, they are poised to shape the future of the tech industry.
