Tech buyouts have heated up. These 8 companies could be next.

According to the London Stock Exchange Group, the agreements in the technology sector increased by 41% in the first two weeks of September and this year was $ 511 billion this year. It can be with the laundry list of a company that will receive an offer.

In May and then in the summer months, we wrote to wait for the technology opportunities that continue all year. Since the global merger and purchasing transactions were $ 2.83 trillion in the first half of September, the agreement value continues to reach $ 4 trillion this year. As long as technology agreements constitute the same part of the total agreements, the sector may see more than $ 200 billion for the rest of the sector.

Using purchases are stable interest rates, many central banks reduce rates, which makes a purchase more attractive. In the meantime, the earnings of the technology industry remain in growth mode and many technology companies are looking for artificial intelligence assets to include in product portfolios to increase their competitive power.

Palo Alto Networks’ Cyberac software in late July agreed to buy $ 25 billion cash and shares. The market did not like to buy it at first, but the agreement still crossed the end line. For Palo ALTO, purchasing profits instantly increases and improves the software offer package for many companies that invest in cyber security.

For Cybert, the offer was an important premium in market value before the agreement. The market increased by 30% before the market shows that the agreement is close and that the market value of Cyberk is now $ 24.99 billion.

Elsewhere, private capital companies begin to capture technology assets. There are many small AI companies that do not prove that they can reach the scale, so stocks were hit. Technology -oriented PE funds see this as the opportunity to buy small companies cheaply. Thoma Bravo, a private capital company, agreed to buy Dayforce, which has decreased by 18% in the last five years of its stock. August announcement increased his shares Dayforce.

This week, the Wedbush Securities analyst Dan Ives emphasized many other companies that can attract buyers in the current purchasing madness. These include Sentinelone, Telos, Qualys, Tenable, Tripadvisor and Lyft.

Another C3 AI. The AI ​​software company has seen the decline of stock in the last five years and now it is worth only 2.5 billion dollars. Most of the decline came in the first few years of this window. Since 2022, the stock increased by 70%because their jobs were stable.

The story of the story recently increases the chance of C3’s chances of being a M&A target for the next 3-12 months, and strengthens the common ecosystem of C3, which leads to increasing growth and market share, ”he writes.

Buyers can be larger software companies that can combine their existing products with C3 AI or PE funds. Private capital usually buys smaller names, because the company can not create income or cost synergies to justify large acquisition, such as Palo Alto’s purchase of CYBERARK.

“It can be attractive for financial buyers as the company is now, as the company is now offering a lower valuation compared to the rest of the software complex, it has achieved its close -term financial goals,” he writes.

There is also Varonis Systems, a security software provider of $ 6.7 billion. The stock has gained 53% in the last five years and the Little Cap Russell has performed 61% of 2000.

Varonis shareholders can welcome a Reprieve in the form of an offer that may come from a corporate buyer. Many of the larger software and security companies in the United States have enough annual free cash flow and balance sheet money to help finance the acquisition of Varonis, a suitable asset. IVS says AI uses AI to define the threats of its customers correctly and quickly.

Don’t be afraid to have some of these names. Your stocks may come from a package offer.

Write Jacob Sonthine at jacob.sonenshine@barrons.com