Cloud computing is one of the most important technology trends today, and it will remain so for years to come. The latest estimates show that the public cloud computing market will grow from a market size of $ 270 billion last year to $ 397 billion by 2022.

So how can investors make the most of the growth of cloud computing? By buying stocks of big tech stocks that are leaders in the cloud market. To help you find a few, we asked three Motley Fool contributors for unstoppable cloud stock ideas and they came back with it. Snowflake (NYSE: SNOW), Atlassian (NASDAQ: TEAM), and Amazon (NASDAQ: AMZN).

Let the snow

Danny Vena (snowflake): When Snowflake went public about eight months ago, it took the IPO market by storm. The stock price was initially between $ 75 and $ 85 per share and was eventually raised to $ 120 as demand for the stock skyrocketed. Stocks surged out of the gate and never looked back, opening at $ 245 and closing at $ 255, up 113% on day one of trading, making it the largest software IPO ever. never carried out.

As the excitement around the data warehouse and business analytics provider fades, its future is brighter than ever. Savvy investors can now grab stocks below the IPO price for an unstoppable cloud stock that’s just getting started.

Snowflake offers a cloud-based digital warehouse that makes it easier for users to store, access, analyze and share data. It breaks down data silos, ingesting structured and semi-structured data, helping users extract more actionable insights. Perhaps more importantly, the service is cloud independent, which means its services are available on public cloud platforms, including Amazon Web Services (AWS), Microsoft (NASDAQ: MSFT) Azure and Alphabetof (NASDAQ: GOOGL) (NASDAQ: GOOG) Google Cloud, among others.

For its fiscal first quarter of 2022 (ended April 30, 2021), Snowflake’s product revenue of $ 214 million increased 110% year-over-year, continuing the triple-digit growth it achieved. it generated last year. The company’s forecast for the current year is even more impressive, as Snowflake forecasts FY2022 revenue revenue growth of over 85% in the middle of its forecast. While the company continues to lose money, it expects adjusted free cash flow to improve to break even this year, which should allay concerns about its lack of earnings.

Snowflake’s remaining performance obligation – which is future contracted income but has yet to be recognized – jumped to $ 1.4 billion, up 206% year-over-year (this is not a typo). This helps illustrate the strength of the company’s current subscription revenue.

Equally impressive are Snowflake’s customer metrics. The total number of customers of 4,532 increased 67% year over year, while the growth of those who spent $ 1 million or more in the past 12 months reached 117%. Not only does the business attract new, well-paying customers, existing customers are also spending more, as evidenced by the company’s net revenue retention rate of 168%.

If you need further proof that their customers are delighted with their service, consider this: Snowflake has a Net Promoter Score of 71 – while anything above 70 is considered “world class.”

Some investors will no doubt shy away from valuing Snowflake as the company is priced at 59 times forward sales. It should be remembered, however, that the company’s revenue is increasing by triple digits, which makes its price seem much more reasonable.

Image source: Getty Images.

Feeding teams everywhere

Brian withers (Atlassian): Atlassian’s mission is to “unleash the power of teams”. Combined with his efforts to be a cloud-driven business, he is becoming unstoppable. The latest revenue and customer growth figures are proof that this team-based software specialist delivers incredible value to clients large and small. Although it quickly attracts a large base of active customers, its turnover is growing even faster. This means that once customers get on board, they realize the value of Atlassian’s toolset and increase their spend over time.

Data source: Company earnings reports and earnings calls Note: Q3 2021 ended March 31, 2021. OQ = quarter to quarter. YOY = year after year.

The company is in the midst of a massive transition, migrating customers from its on-premises server platform to a cloud-centric model. This transition allows the research and development team to invest even more in its cloud platform. He’s released what he calls his Point A tools, a collection of five cloud-based apps, but with a twist. The design and functionality of these tools are influenced by the customers who use them. Thanks to early feedback from cloud users, these tools quickly get the best and most requested features to enable customers to get improvements in record time. Customers and the company are seeing positive results from these efforts, and this is a great differentiator for Atlassian products.

But not only does this team collaboration software specialist innovate for his clients, his employees love working there too. The company once again landed on Fortune’s list of Fortune’s Top 100 Companies to Work for and placed eighth in the group of large technology companies. Happy employees make happy customers. Happy customers make happy investors. The next year or two could be a little tough for Atlassian as customers migrate to its cloud-based products, but it will come out of that transition stronger than ever. Investors would do well to get on board today with a few shares of this unstoppable cloud stock.

Image source: Getty Images.

King of the cloud

Chris Neiger (Amazon): Amazon is best known for its e-commerce business, but it’s the company’s Amazon Web Services (AWS) cloud computing segment that makes the most money for Amazon.

In the last quarter, AWS generated $ 13.5 billion in sales for Amazon and $ 4.2 billion in operating profit. This makes AWS the most lucrative company that Amazon has from afar. For context, the company’s online sales in North America totaled $ 64.4 billion in the same quarter, but with operating income of just $ 3.5 billion.

If you’re still not impressed with Amazon’s cloud business, know that AWS is only 15 years old and already the largest cloud infrastructure company, with 32% of the market. and an annual income rate of $ 54 billion.

And AWS is still growing. The company recently mentioned that “the media and entertainment industry continues to move to AWS at a rapid pace” and said that Disney uses AWS to expand its Disney + video streaming service.

Investors may fear that they have missed out on Amazon’s stock price gains and that it is too late to invest in the company. But Amazon’s AWS is still growing, and the cloud computing market still has a lot of room to grow in the years to come. And with Amazon’s online shopping platform leading the ecommerce boom in the United States, the company is tugging at all cylinders in nearly every business it runs.

All of this means that investors looking for one of the best long-term investments in the cloud computing market need look no further than Amazon.