A number of technology stocks offer good value to investors now. As a result, value investors are looking to take positions in an array of high-tech stocks that look to be bargains.

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Microsoft

For example, Microsoft (MSFT), which reported stellar Q2 results, including a 34.3% free cash flow (FCF) margin, is now trading at a bargain valuation.

The stock is now down over 4.5% in the past week and is off almost 21.5% YTD. As a result, MSFT is at just 22x forward earnings forecast for the year ending June 2023.

That is a very low price-to-earnings (P/E) multiple for Microsft stock. In fact, Morningstar reports that its average forward P/E multiple in the past 5 years has been 28.13x.

This implies that the stock could rise over 27% just to get to an average valuation metric. That would put its price at $334 per share, up from $262.97 today (Aug. 30).

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Alphabet

In addition Alphabet (GOOG) stock is also very cheap. The stock is off 5% in the last week and down over 24% in YTD. That puts it at 21.1x earnings forecast for this year and just 18.5x for 2023.

And again, these multiples are well below the stock's 5-year average forward multiple. Morningstar reports that this has been 26.25x.

That implies GOOG stock could rise 24.4% if it were to trade at this valuation even for 2022's earnings. That would put it at $136.91, up from $110.06 today (Aug. 30).

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Netflix

Another example is Netflix (NFLX) stock, which is off 3.59% in the last week and is now down almost 63% YTD.

Its forward multiple for 2022 is 21.8x and for 2023 its multiple is just 20.6x for the year ending Dec. 2023.

By comparison, the stock's 5-year average multiple has been 71x, according to Morningstar. So, even if the stock rises to half of that metric, it could be up 62.8%.

In fact, at just 30x earnings for 2023, the stock could potentially rise 45.6%. This stock is very undervalued from a historical standpoint.

The company recently reported that it had arrested the decline in global memberships in Q2. That was a major reason why the stock took such a hit. Moreover, for Q3 the company expects to see a 1 million consecutive quarterly growth in memberships over Q2. If that happens, investors might expect to see NLFX stock get a rerating.

Bottom Line: These three tech stocks look particularly undervalued due to their tumble in the past week.

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