Stock Watch Lists

Three Stocks to Avoid Now

June 3, 2023

Seeking out great stocks to buy is important, but identifying quality investments is only half the battle. Many would say it’s just as essential for investors to know which stocks to steer clear of. A losing stock can eat away at your precious long-term returns. By taking a proactive approach to avoid losing stocks, you can set yourself up for greater success in your investing journey.

Even the best gardens need pruning and our team has spotted a few stocks that seem like prime candidates for selling or avoiding. Read on to find out why we believe these particular stocks are poor investment choices and learn how to apply our analysis to your own portfolio management strategy…

Bank of Hawaii (BOH)

With the failure of three regional banks (Silicon Valley Bank, Signature Bank, and First Republic Bank) in the past two months it seems wise to avoid struggling regional players like Bank of Hawaii. Policymakers made one thing very clear back in March: Uncle Sam will protect depositors, not shareholders. But the ugly truth is that there must be a limit to this protection. If more banks continue to fail, it could outstretch the government’s capacity to maintain this commitment. With such a steep risk involved, avoiding BOH seems like a no-brainer.

BOH gained nearly 9% last week. In the trailing one-month period, the stock tumbled nearly 23%. And since the start of this year, it printed a loss of 50% of equity value. The 6 pros covering the stock give it a Hold rating with none rating it a Buy.

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Abrdn Income Credit Strategies Fund (ACP)

Closed-end fund, Abrdn Income Credit Strategies Fund offers a high forward dividend yield of 14.35%. However, Over the past year, ACP shares have fallen by more than 20%. Further declines may be ahead for two reasons.

First, higher interest rates have had an inverse effect on the value of ACP’s portfolio of low-rated debt securities. Second, the current economic downturn could increase the default risk of ACP’s holdings. This may also result in another dividend cut, like the 16.7% cut implemented in 2020.

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Adeia (ADEA)

Adeia is an intellectual property licensing firm with a fairly low forward dividend yield of 1.89%. Taking into account downside risk, questionable whether the company can maintain its current rate of payout. Sell-side analysts anticipate ADEA’s earnings will fall by nearly 30% this year. If management’s plan to maximize its portfolio fails, not only could its payout get cut to ribbons. This may result in a steady decline for ADEA stock as well.

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Pump Up Your Returns with These High-Flying Growth Stocks!

Editorial Staff

June 3, 2023

During these volatile and unpredictable times—while also being the case historically—the market has become a battleground where growth and value investing clash. Okay, so why growth stocks?

Value stocks have solid balance sheets and low prices, but cheap pricing doesn’t guarantee long-term worth. Also, value stocks don’t tend to have much impact on the overall market. In contrast, growth stocks show expanding revenue and have the potential to conquer the industries they’re in. Profits are reinvested into research and development, and growth stocks prioritize share price appreciation over dividends. Either way, we investors crave wealth-creating returns, and this is a way to make it happen!

Considering all market sectors, I’ve landed on three outstanding growth stocks that deserve credit for their excellent upside potential. Let’s look at these massive profit opportunities:

PayPal Holdings Inc (PYPL)

The optimism of analysts and investors surrounding fintech favorite PayPal (PYPL) has waned in recent years. Having ended its partnership with eBay, PYPL’s Vemmo platform has had to contend with Cash App and similar applications. Even tech giants such as Apple (AAPL) and Alphabet (GOOGL) have transitioned to using their own payment services. However, there is still hope for PYPL. Despite these recent challenges, PYPL saw a 55% revenue increase from $17.7 billion in 2019 to $27.5 billion in 2022. This tells us that PYPL has been growing and is poised for a comeback. The metrics impress.

With its stock down by 15.46% YTD, PYPL just hit its 52-week low, showing quite a chart dip. PYPL has TTM (trailing twelve-month) revenue of $28 billion at $2.36 per share, from which it made a $2.7 billion profit. At its MRQ (most recent quarter) earnings report, PYPL beat analysts’ EPS and revenue forecasts and showed year-over-year growth in critical areas such as revenue (+8.59%), net income (+56.19%), EPS (+43.82%), and net profit margin (+43.82%). PYPL has $3.42 billion in free cash flow and a 10-day average volume of 19.42 million shares. Analysts give PYPL a median price target of $92, with a high of $160 and a low of $58; this represents a potential 165% jump from current pricing. Buy and Hold.

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ETSY Inc (ETSY)

A global leader in an exciting niche-like sector, ETSY Inc. (ETSY) brings sellers and buyers together through its online marketplace to swap vintage and handmade arts and crafts. ETSY has been popular in this area since its founding in 2005. As ETSY’s customer base expands, its marketplaces grow in value for merchants. With more shoppers, there is a greater demand for ETSY’s unique and handcrafted goods listed by sellers. As more sellers join, the selection of items increases, as does their value for buyers.

ETSY has been trading near the bottom of its 52-week range, and its stock is down by 28.59% year-to-date. However, ETSY’s Q1 2023 results exceeded Wall Street’s expectations, beating analysts’ EPS and revenue projections by 7.61% and 3.21%, respectively. Also notable is that ETSY’s active buyers increased by 1% to 89.9 million, marking the first quarterly growth in that area since Q4 2021. ETSY shows year-over-year revenue growth (+10.64%), primarily driven by transaction fees and improved “Etsy Ads” products. For the 2nd quarter, ETSY is forecasted to show $619.2 million in sales at $0.43 per share. ETSY has a median price target of $120, with a $170 high and a $46 low, representing an almost 99% leap from its current price. Analysts are warming back up to ETSY, telling us to Buy and Hold.

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Constellation Energy Corp (CEG)

A grower for sure, Constellation Energy (CEG), a Baltimore-based clean energy company, has recently expressed its desire to utilize its unallocated capital for mergers and acquisitions. If the Inflation Reduction Act limits such opportunities, CEO Joe Dominguez stated that CEG’s focus would mainly be on share buybacks. CEG has already implemented a $1 billion share repurchase program and has doubled its shareholder dividend compared to last year. CEG’s stock is down slightly year-to-date but boasts a solid 0.98 beta, making it safe from volatility compared to the broader market.

For its most recent quarterly earnings call, CEG reported $7.56 billion in revenue vs. $5.73 billion predicted by analysts, making for a 32.06% surprise; during the same time, it showed year-over-year revenue growth (+35.31%). CEG, for the current quarter (Q2 2023), is forecasted to post $4.5 billion in sales at $0.74 per share. CEG has an annual dividend yield of 1.35% and a quarterly payout of 28 cents ($1.12/yr) per share. With a 10-day average trading volume of 2.4 million shares, CEG has a median price target of $96, with a high of $115 and a low of $81, representing a potential price upside of over 37%. With momentum on its side and a bright future growth outlook, bullish analysts recommend that we buy CEG.

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A.I. Stocks With More Than 40% Upside According to the Experts

Editorial Staff

June 2, 2023

A huge buzz has been forming around AI stocks lately alongside the viral chatbot, ChatGPT’s fervent rise in popularity. According to the latest available data, Microsoft-backed ChatGPT currently has over 100 million users. And the website now generates 1.8 billion visitors per month. This user and traffic growth was achieved in a record-breaking three-month period (from February 2023 to April 2023). Its meteoric rise has sparked much interest in artificial intelligence technology stocks, as evidenced by the recent performance of the $2.12 billion Global X Robotics & Artificial Intelligence Fund (BOTZ), which is up more than 35% YTD.

Investors have been pouring into rapidly developing AI tech names over the past few months, and this is likely just the beginning. According to Grand View Research, the global artificial intelligence market reached a valuation of $136.55 billion in 2022. It’s projected that by 2030 the industry will command a revenue of nearly $1.9 trillion.

Investors looking to profit from the paradigm shift may wonder which companies stand to gain the most as breakthrough advancements are made in the industry. Here we’ll look at three Buy rated standouts from the burgeoning AI group with average projected upsides of 40% or more.

Xometry (XMTR)

Online business-to-business marketplace Xometry uses artificial intelligence to connect businesses with industrial product manufacturers. Goldman Sachs is one of several firms that believe Xometry, which uses artificial intelligence to run its platform’s core, will continue to grow by keeping AI at the heart of its platform while it expands. “Unlike some of the recent shifts in platform investments across our coverage universe, we would highlight that XMTR has historically been built as a platform with AI/ML at the core of its competitive moat,” the firm said in a note to clients.

XMTR Shares have nearly halved this year on macroeconomic concerns, but Wall Street is optimistic about the stock going forward. The ten analysts offering 12-month price forecasts for the stock have an average price target of $24.50, representing a 42% upside from the current price.

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Luminar (LAZR)

Luminar is at the forefront of lidar technology development with products that integrate sensors with AI, giving cars autonomous safety features to support a human driver. EV makers increasingly embrace LiDAR tech for self-driving vehicles, translating into solid revenue growth for Luminar.

Luminar management aims for triple-digit revenue growth every year for the next five years, and its stock has been gaining momentum. After losing more than 70% of its value in 2022, LAZR is up nearly 45% this year. The stock garners a solid “Buy” rating from the 12 analysts offering recommendations. An average price target of $12 represents a 78% upside from the current price.

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FARO Technologies, Inc. (FARO)

It’s not uncommon for small tech companies to lose money for years before finding success. However, it is why investors have been hesitant about three-dimensional measurement solutions developer Faro Technologies since it boosted investment sharply in the last year, with cash burn ramping by 64%. That does raise some red flags, and there’s no solace in the operating revenue growth of 2.4% in the same time frame. Clearly, however, the crucial factor is whether the company will grow its business in the future.

FARO’s latest offering is its cloud-based information platform, Sphere. With Sphere, users can leverage artificial intelligence and machine learning to automate time-consuming and repetitive tasks. Sphere enables faster 3D data capture, processing, and project management for engineering and construction projects. We expect this technology to grow and develop along with AI and don’t see the company’s extra spending as a deterrent.

Its cash burn of $42 million is about 8.7% of its $478 million market cap. That’s a manageable proportion and shows the company is well on top of its spending. Considering the potential for advancement for this micro-cap, the pros on Wall Street are beginning to take notice. The five analysts offering recommendations for the stock say to Buy FARO, with none recommending to Sell. A median 12-month price target of $22 represents an increase of 44% from the current price.

Weekly Radar: Our Top Stock Picks for This Week

Editorial Staff

May 28, 2023

Last week started on a cautious note as sluggish debt ceiling negotiations weighed on investor sentiment. However, as the week progressed, momentum shifted with reports of progress on Capitol Hill. Results across major indices varied significantly. The NASDAQ delivered a solid total return of 2.5%, the S&P 500 saw a modest gain of 0.3%, while the Dow slipped by 1.0%.

As we enter the upcoming holiday-shortened week, the market may face challenges due to lingering rate hike concerns and uncertainty surrounding the debt ceiling as the earnings season continues to wind down. Notable companies scheduled to report this week include Salesforce, HP, Broadcom, Dollar General, Lululemon Athletica, Macy’s, and Dell Technologies. Additionally, the labor market will be in the spotlight, with the release of the JOLTS report for April, ADP’s National Employment Report tracking private sector payrolls, and the Labor Department’s nonfarm payrolls report for May.

Congratulations to our readers who traded alongside us last week and seized the opportunity to invest in NVDA shares ahead of its earnings call on Wednesday. Those who participated in this move witnessed an impressive 24% surge in their investment following the release.

Continue to the full article latest edition of our Weekly Radar, featuring three timely stocks to consider in the coming days. Stay ahead of the game and gain a competitive edge by accessing our latest watchlist here. Don’t miss out on this valuable opportunity!

Exciting investment opportunities sometimes lie in plain sight. Our first recommendation is one of the most undervalued technology names from the S&P 500.

ON Semiconductor Corp (ON)

Semiconductor giant Onsemi is firing on all cylinders with a large market footprint in exciting growth sectors like automotive computing. ON share price is up nearly 300% in the three years since the summer of 2020 and revenue has grown 28.3% over the past twelve months. The U.S. based chipmaker has been solidifying its reputation as a top player among its auto/industrial peers. However, several factors exist that support the case that there’s plenty of runway left for this bet on an electric future.

Following ON’s stellar performance of the past few years, the stock still looks undervalued at just 13.8x earnings and 15.74x 12-months forward earnings. In fact, it’s currently one of the cheapest tech names in the S&P 500.

Onsemi recently initiated a $3 billion share repurchase plan at its final 2022 financial update. The new shareholder return policy is good through 2025. Management is targeting about 50% of free cash flow generated to be returned to stockholders each year. If the company uses up all $3 billion in authorized buybacks through 2025, that would equate to nearly 10% of the current market cap or roughly 3% a year in cash returns to shareholders over the next three-year stretch. Not too shabby.

Bank of America sees ON as a top-3 global/top US vendor of smart power and sensing chips for EVs and they’re alone. Onsemi holds a highly attractive 1.37 (overweight) rating from the Wall Street pros who cover it.

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Amazon.com (AMZN)

Amazon.com stock is still down by a whopping 40% from its all-time high of $186, reached in mid-2021. But its long-term thesis remains sound, and cost-cutting efforts can help position the company to bounce back when conditions improve.

In March, Amazon announced plans to cut 9,000 white-collar employees, mainly from the cloud, advertising, and HR units. The cuts follow an earlier round of layoffs that eliminated more than 18,000 positions. Cost-cutting can create sustainable value for investors because Amazon’s macroeconomic challenges (such as inflation) look temporary.

A potential long-term growth driver is Amazon’s new initiative called project Kuiper. The company plans to launch a fleet of Low Earth Orbit satellites designed to provide affordable broadband connections around the world starting in 2024. All in all, there is a lot to be excited about Amazon, and the current stock price weakness looks like an opportunity to buy the dip.

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LPL Financial Holdings (LPLA)

San Diego-based independent investment advisory LPL Financial generates revenue through a small percentage of the fees and commissions of the 21,000 financial advisors using its technology. In other words, it makes a little from a lot of advisors. LPL allocates client cash to third party banks which pay a fixed or variable rate on the deposits. In a higher stress environment LPL may actually benefit because the deposits the company it provides to banks will be in greater demand.

Due to the larger mix of smaller accounts LPL is less susceptible to cash sorting – where account owners move funds from low-yielding cash accounts to higher-yielding options. Cash sorting may put a dent in revenue for some firms, which benefitted last year from a surge in net interest income. In the first quarter LPL added $21 billion in net new assets, an annualized organic growth rate of 7.5%. Additionally, it recently made two strategic acquisitions for around $150 million, providing a sizeable boost to the number of advisors using its products and services. As of March 31, 2023, LPL Financial’s total brokerage and advisory assets were $1,175.2 billion. Could this lead to higher earnings in the second quarter? The pros on Wall Street seem to think so. The current consensus among 15 polled analysts is to Buy LPLA, with no sell recommendations in the group. A median price target of $242.50 leaves room for a 27% upside.

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Three Stocks to Avoid Now

Editorial Staff

May 25, 2023

Seeking out great stocks to buy is important, but identifying quality investments is only half the battle. Many would say it’s just as essential for investors to know which stocks to steer clear of. A losing stock can eat away at your precious long-term returns. By taking a proactive approach to avoiding losing stocks, you can set yourself up for greater success in your investing journey.

Chesapeake Energy (CHK)

Chesapeake Energy was a solid name to have held in 2022. Like many energy stocks, it had a strong year due to booming energy prices. The company deals primarily in natural gas, which soared last year. As a result CHK stock increased from $66 to $94 in 2022. Of course, 2023 is an entirely different story. The stock has since declined to around $79 per share.

The company provided guidance indicating that 2023 production volume will likely be lower than 2022. And the U.S. Energy Information Administration has forecast lower prices throughout 2023. The company’s forecasted production volume, as well as expected energy prices, are not in Chesapeake’s favor. The company won’t produce 2022-level revenues in 2023, which is a simple reason to avoid CHK stock now.

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Summit Materials (SUM)

Summit Materials has struggled to show consistent growth since its 2015 initial public offering. Over the last eight years, the vast majority of the company’s growth has come from acquisitions, with only 2.9% of its growth coming from organic revenue expansion. Between 2015 and 2022, the company spent more than $1 billion buying other construction material companies, taking on debt to do so. This strategy has weighed on Summit Materials’ balance sheet and share price.

Unfortunately, construction materials isn’t a great business to be in, especially with your average U.S. 30 year mortgage rate now above 6.4% in a cooling market. Investors would be smart to steer clear of this homebuilder stock.

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Adeia (ADEA)

Adeia is an intellectual property licensing firm with a fairly low forward dividend yield of 1.89%. Taking into account downside risk, questionable whether the company can maintain its current rate of payout. Sell-side analysts anticipate ADEA’s earnings will fall by nearly 30% this year. If management’s plan to maximze its portfolio fails, not only could its payout get cut to ribbons. This may result in a steady decline for ADEA stock as well.

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Three ChatGPT Stocks to Grab Before They Explode

Editorial Staff

May 25, 2023

Let me start by saying that, from where I’m sitting, it’s a safe assumption that Artificial Intelligence isn’t going anywhere anytime soon. If there was anything indeed “here to stay,” AI is it, and in seemingly endless ways. While AI isn’t brand new, there’s no question that technology has reached a pivotal moment in our culture and has captured the minds of just about every person not living off the grid. So, we already know how cool AI platforms such as ChatGPT are, but what makes AI such a good investment?

Simply put, AI’s disruptive and transformative nature leaves many opportunities across many industries. As businesses adopt AI to innovate and improve performance, demand for AI-related products and services will inevitably grow, leading to massive returns. Traditional business models will have to face adjustments or take a back seat to the advancements in machine learning. As AI continues to grow, it’s attracting many long-term investors. It’s catching on quickly, too, so now is the time to hop on board.

We have three AI-involved companies whose stocks are each performing well, thanks mainly to the significant strides we see in ChatGPT. I’m eager to break ’em down, so join me here for a look:

Amazon.com Inc (AMZN)

Amazon.com, Inc. (AMZN) is a multinational online retail company. AMZN offers consumer products through online and physical stores, both domestically and internationally. AMZN also provides cloud computing services on a global scale. Founded by Jeff Bezos in 1994, AMZN is headquartered in Seattle, WA. AMZN is up YTD by 39.02%, with a positive SMA. AMZN has a $1.08 trillion market cap, a PEG ratio of 2.25x, a P/B ratio of 2.06x, and YOY growth in critical areas such as revenue (+9.37%), net income (+182.52%), EPS (+181.58), and net profit margin (+175.43). For its MRQ earnings call, AMZN beat analysts’ projections for EPS and revenue by 43.26% and 2.21%, respectively, and it has a free cash flow of just over $9 billion. AMZN has a TTM revenue of $524.9 billion at $0.42 per share, from which it profited $4.29 billion through its 2.54% margin. With a 10-day average volume of 67 million shares, AMZN has an average price target of $134.50, with a high of $165 and a low of $85; this represents a potential 41% price increase from where it sits at the moment. AMZN has 48 buy ratings and 4 hold ratings.

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NVIDIA Corp (NVDA)

NVIDIA Corp. (NVDA) designs and manufactures GPUs, chipsets, and multimedia software for computers. NVDA’s brands, like GeForce, Quadro, DGX, and GRID each apply computing capabilities for various uses, including autonomous systems and gaming devices. Share price exploded for the ticker last week after the chipmaker reported blockbuster earnings and gave stronger-than-expected Q2 revenue guidance. NVDA has stacked on an impressive 164% YTD. NVDA has a $934 billion market cap, and its MRQ earnings report showed an EPS of $1.09 vs. $0.92 expected (+18.80% surprise) and $7.19 billion in sales vs. $6.52 billion predicted (+10.26% surprise). NVDA reports $27 billion in TTM revenue at $1.75 per share, and it made $4.37 billion via its 16.69% net profit margin. NVDA has a 0.05% annual dividend yield and a quarterly payout of 5 cents ($0.20/yr) per share. With a 10-day average trading volume of 40.91 million shares, NVDA has a median price target of $300, with a $460 high and a $175 low, representing a potential 50% price jump. NVDA has 36 buy ratings and 12 hold ratings.

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Baidu Inc (BIDU)

Baidu, Inc. (BIDU) is a tech firm mainly providing internet search and online marketing solutions. BIDU’s products include Baidu App, Baidu Search, Baidu Feed, Haokan, Quanmin, and more. BIDU offers search-based and feed-based online marketing services, while iQIYI is its online entertainment platform. BIDU was founded by Xu Yong and Yanhong Li in 2000 and is based in Beijing, China. BIDU is up YTD by 4.14% and has a safe 0.67 beta. With a $41.64 billion market cap, BIDU has $18.4 billion in TTM revenue at $5.63 per share, profiting $1 billion on a 16.60% margin. BIDU has a P/E ratio of 13.7x, a forward P/E (NTM) of 12.1x, a 0.39x PEG, a P/S ratio of 2.47x, a P/B ratio of 1.36x, and a 37.80% D/E measure. BIDU has beaten analysts’ EPS forecasts for the last 13 consecutive quarters, surprising by 29.1% for its MRQ. BIDU shows excellent YOY growth in revenue (+9.62%), net income (+458.19%), EPS (+652.78%), and net profit margin (+701.39%), with a free cash flow of $16.75 billion and a 10-day average volume of 3.53 million shares. BIDU has a median price target of $173.67, with a high of $230.93 and a low of $110.95, representing a potential 94% price upside. Buy Now and Hold.

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Time to Dump These Overhyped Tech Stocks

Editorial Staff

May 24, 2023

Tech stocks have come roaring back in 2023. But after the stunning rebound, some tech names have little room to run. In addition to industry-specific concerns, the technology sector faces headwinds from rising interest rates and a central bank that hasn’t finished its fight against inflation. As such, now seems like a good time to lock in gains on certain tech stocks that have rallied sharply this year.

Now more than ever, it’s crucial to be selective with your investments and avoid the tech stocks that look vulnerable. Our expert team has analyzed the market and identified specific tech stocks that should be cautiously approached. In particular, these three tech stocks look especially risky and may see severe downside in the coming days and weeks. Don’t let the recent tech sector rebound lure you into making hasty investment decisions. Instead, use our watchlist to make informed choices and avoid the tech stocks that could threaten your precious long-term returns.

Bigbear.ai Holdings (BBAI)

In 2023, BBAI stock is up a startling 230%, with shares advancing from penny stock territory to more than $3/share today. But the current hype cycle around consumer AI products isn’t likely to move the needle for Bigbear.Ai’s business, considering it’s far from a consumer-facing product like ChatGPT. The company has historically struggled to reach profitability from its operations and the stock’s recent run seems dramatically overblown.

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SoFi Technologies (SOFI)

SOFI has stacked on 16% in 2023, but the rebound may be fleeting. Shares have already started to fall back toward pre-earnings price levels. In the months ahead, if current economic challenges worsen or further challenges arise regarding student loans, the impact on revenue could place additional pressure on the stock.

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Uber Technologies (UBER)

Uber shares surged following its Feb. 8 earnings call. The ride-share giant reported substantial numbers, and management provided an upbeat outlook for the current quarter. However, the stock has already given back some of those gains amid recession concerns. UBER’s current valuation may be overly optimistic about subsequent quarterly results. Another big run may not be in store for the ticker anytime soon.

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Seize the Green Wave with These 3 Hydrogen Stocks Today!

Editorial Staff

May 24, 2023

Harnessing clean energy is essential due to the global transition away from carbon emissions and toward clean, renewable energy resources. What’s so special about this “green wave,” though?

For one, there are plenty of alternative clean energy resources available to us, giving investors a variety of options. Secondly, it just so happens that the worldwide green hydrogen sector in particular is growing quickly. The hydrogen industry as a whole was valued at around $676 million as of last year and is on track to hit $7.3 billion by 2027. Expected to grow by 61% annually, that would bring a stunning total return of more than 1,000%. This should excite any investor who both embraces the clean energy transition and is looking for the next big investment.

We want to see strong business metrics, growth, and upside potential (refer to the year-to-date graphic). A number of them pay dividends as well, which always makes for a happier shareholder. So, could this be a key to unlocking the future? Many of Wall Street’s best and brightest say yes, indeed.

I’ve found three green hydrogen stocks with massive potential, so let’s break them down:

New Fortress Energy Inc (NFE)

New Fortress Energy, Inc. (NFE) is an investment holding company that manages integrated hydrogen energy infrastructure. NFE invests in, constructs, and runs natural gas pipelines and provides logistical support for renewable energy technologies. Wesley Robert Edens created NFE on February 25th, 2014,

and its headquarters are in New York, NY. NFE’s stock is down by 33.14% YTD, trading at the very bottom of its existing 52-week range. With a cap of $5.82 billion and an $11.20 billion EV, NFE shows $2.44 billion in TTM revenue—at 51 cents per share—and it profited $106 million in the same period. NFE shows a solid

MRQ earnings report, with an analyst-forecast surprise on EPS by an 8.81% margin, and it displays YOY growth in revenue (+14.65%) and operating income (+59.02%). NFE has an annual 1.46% dividend yield, with a quarterly payout of 10 cents ($0.40/yr) per share on the back of its mammoth 693.88% payout ratio. With a 10-day average volume of 1.11 million shares, NFE has a median price target of $55.50, with a high of $61 and a low of $34; this implies a potential price upside of 95% at its median, 115% at its high point, and, even at its lowest point, a 20% jump. Analysts give NFE 9 buy ratings and 1 hold rating.

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Cummins Inc (CMI)

Cummins Inc. (CMI) is a global company that manufactures and services engines for natural gas and electric vehicles. CMI also offers emission solutions, A/C generators, and electrified power systems, including batteries, fuel cells, and hydrogen production. CMI sells its products to OEMs, distributors, and other customers worldwide. Established originally in 1919 as Cummins Engine Company and headquartered in Columbus, IN, CMI was renamed Cummins Inc. in 2001. CMI is down 10.84% YTD, nearing the bottom of its 52-week high-low. With a strong 0.90 beta, CMI’s market cap is $31.67 billion, and it has a P/E ratio of 12.6x, a forward (NTM) P/E ratio of 11.6x, a PEG figure of 1.32x, a P/S ratio of 1.05x, and a 27.94% ROE. CMI recently crushed analysts’ forecasts for EPS by 20.24% and revenue by 4.01%, with YOY growth in revenue (+32.39), net income (+89.0%), and EPS (+90.07%). CMI boasts a dividend that has grown each year for 14 years, currently with an annual yield of 2.91% and a $1.57 ($6.28) per share quarterly payout. CMI has a 10-day average volume of around 871,170 shares. Analysts assign a median price target of $256, with a high of $299 and a low of $216, indicating a potential 40% price increase from its current position. Check out that YTD dip in the chart. Buy and hold.

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Plug Power Inc (PLUG)

Plug Power, Inc. (PLUG) is a leading provider of alternative energy technology, specializing in hydrogen and fuel cell systems. PLUG’s solutions are primarily used in the material handling and stationary power markets. PLUG offers fuel cell systems that replace lead-acid batteries in electric vehicles, benefiting distribution and manufacturing companies. Founded on June 27th, 1997, by George McNamee and Larry Garberding, PLUG is headquartered in Latham, NY. PLUG’s stock is down YTD by 28.82%, but it’s showing great promise, and I like it for its upside potential. PLUG has a $4.5 billion market cap and TTM revenue of $770 million at $1.32 per share. Recently exceeding analysts’ MRQ revenue forecast by a modest 1.53%, a win is a win. With a P/B ratio of 1.15x, PLUG has YOY revenue growth (+49.65), EPS (+31.56%) growth—30.89% quarterly growth—and profit margin growth (+11.62%). With a 10-day average trading volume of 24.02 million shares, it’s clear that PLUG’s recent business deals to optimize its impact and effectiveness have popularized the stock. Here’s another great thing: PLUG has a median price target of $15, with a $78 high and a low of $7.50, representing the potential for a 785% price increase from where it sits now. Analysts are on to PLUG, too; Buy and hold.

Three Lithium Stocks to Supercharge Your Portfolio

Editorial Staff

May 24, 2023

After a tough few months, lithium — a crucial element in electric vehicle batteries— is back in focus as prices rebound. Lithium futures on the LME were down over 45% year-to-date by the end of April and well off their record highs seen in late 2022. But this month, however, lithium prices started to bounce back. Battery-grade lithium carbonate prices in China rose around 10% this month, according to Refinitiv data.

Though falling spot prices have raised red flags for investors over the long-term outlook of lithium miners, analysts believe spot prices will rise again as we get closer to the end of the year. “We expect pricing to find a bottom in 2023 on the back of strong demand,” said Reg Spencer of Canaccord Genuity.

In the long run, the supply and demand story for the silver-white light metal seems to be in the miner’s favor and now may be the perfect time to strike on some of the beaten-down names from the industry.

Sigma Lithium (SGML)

Last month Sigma Lithium achieved its first production of Green Lithium, officially transitioning the company from developer to producer. The company announced that it has successfully achieved first production of spodumene concentrate at its flagship Grota do Cirilo project in Brazil. Sigma reached output on time, a rare achievement for a lithium development project. As the project ramps to full production capacity, high-quality Green Lithium will be stockpiled and prepared for sale, with an inaugural first shipment of approximately 15,000 tons expected in May.

The company also recently announced that it had obtained its environmental operating license to sell all Green Lithium products from current and future production, including any stockpiled product. SGML currently holds a 75% buy rating from the eight analysts that cover it. A median price target of $46.96 indicates an upside potential of 27%.

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Microvast Holdings, Inc. (MVST)

Headquartered in Stafford, Texas, Microvast Holdings, Inc. designs, develops and manufactures various Li-ion battery solutions for electric vehicles and energy storage systems. The company’s continued focus on R&D and technology investments offers improved battery performance at highly competitive prices. Microvast’s MV-C Gen 4 high-energy lithium-ion battery packs have been specifically designed for commercial vehicle applications, offering a high energy density of 53.5Ah, a long cycle life of 5,000+ cycles, and a modular pack design for easy installation.

“Microvast’s high-performance battery technologies provide the required high energy density, enabling us to deliver the high power and performance our industrial vehicles require to move heavy loads and perform demanding industrial applications,” explained Sven Woyciniuk, Head of Electrical Engineering at MAFI & TREPEL.

Analysts are only starting to take notice of MVST, with only two covering the stock. Nonetheless, both analysts see the stock as a Strong Buy and see a median increase of nearly 600% over the next twelve months. Microvast is a speculative play and may not be for everyone. Investors with a high tolerance for risk may want to consider this ticker for potential 6x gains.

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Lithium Americas Corp (LAC)

Lithium Americas Corp has full ownership of two development-stage operations in Argentina. One of which is approaching initial production, expected to come later this year. The timeline has been disrupted on LAC’s US project –The Thacker Pass, Nevada lithium mine – due to ongoing legal and regulatory discrepancies. However, a US judge recently said she would rule “in the next couple of months” on whether former President Donald Trump erred in 2021 when he approved the company’s right to begin mining the US’s largest-known lithium resource. It seems likely that the case outcome will be positive for LAC, considering Washington’s push to boost domestic production of metals crucial to the green energy transition and wean the country off of Chinese supplies.

The high-growth -potential small-cap has been gaining the attention of the pros on Wall Street. “We believe 2023 could be an eventful year as there could be several key announcements on growth projects and Argentina divesture, which could be catalysts for the share price,” explained HSBC analyst Santhosh Seshadri. To this end, Seshadri recently initiated coverage of LAC with a Buy rating, backed by a $36 price target.

Most analysts agree with Seshadri’s thesis. LAC claims a Strong Buy consensus rating, based on 15 Buys vs. 1 Hold and no Sell ratings. At $37, the average price target makes room for 12-month gains of 87%.

Stay Alert! These Winning Stocks Deserve Your Attention

Editorial Staff

May 22, 2023

As a long-term investment, I think these equities work well, especially given that some analysts’ forecasts feel bleak; we’re experiencing inflation as the Fed is hiking rates, and we aren’t exactly miles away from some type of recession. It’s possible. Personally, I’m not a future teller, nor am I Warren Buffett. However, I am very much “kept up,” if you will — I try to remain an optimist, too — and so I humbly ask you to look at these stocks I happen to like. Let’s not focus too much on sectors or industries right now. In this case, we have a retailer, a home improvement/trade firm, and one from the financial sector. That’s not the point of today’s list, which is simply about three strong stocks to watch and consider.

That said, I’ve considered overall stock performance as usual, and although analysts are sometimes split, it’s only between buy and hold. These are strong equities. Let’s have a look:

TJX Companies Inc (TJX)

TJX Companies Inc. (TJX) operates HomeGoods stores,Marmaxx stores, and, internationally, TJX stores. TJX’s primary focus of operations is dealing in clothing and household TJX International, based in the U.S., runs TJX‘s locations. TJX was founded by Bernard Cammarata in 1976 in Framingham, MA, where its headquarters remain. With its stock down YTD only slightly by 0.83%, TJX has been performing well; it has a market cap of $90.6 billion and a decent beta score of 0.91. TJX shows TTM (trailing twelve-month) revenue of $50 billion, from which it profited $3.5 billion with an even 7% net margin. TJX has a forward P/E (price to earnings) of 22.5x, a P/S (price to sales) ratio of 1.85x, and a PEG (price-earnings-growth) ratio of 1.93x, with an ROE (return on equity) of 56.57%. With almost $2 billion in free cash flow, TJX has a 10-day average trading volume of 4.09 million shares. TJX has a dividend yield of 1.68%, a quarterly payout of 33 cents ($1.32/yr) per share, and a payout ratio of 38.55%. Analysts have marked TJX with a median price target of $88, with a high of $95 and a low of $75, representing a potential 20% or higher jump from its recent price. TJX has 17 buy ratings and 7 hold ratings.

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Realty Income Corp. (O)

Realty Income Inc. (O) is a real estate business that, particularly given its recent pricing, pays decent monthly dividends thanks to a steady income stream. O‘s headquarters are in San Diego, CA, and it was founded in 1969 by William E. Clark, Jr., and Evelyn Joan Clark. O’s stock is down YTD by a slight 2.19% and sits at the bottom of its existing 52-week range, making for a good opportunity considering its profitability as a stock. O has a market cap of $41.2 billion, an enterprise value of $60 billion, a safe 0.80 beta, and an impressive recent track record versus analysts’ earnings projections; O, for the last two fiscal quarters, exceeded Wall Street’s EPS forecasts most recently by 12.08% and 18.86% the quarter prior. O reports $3.3 billion in TTM revenue with a $1.42 per share EPS, profiting $870 million with a net margin of 26.01%. O has a free cash flow of $1.54 billion and a 10-day average trading volume of over 3 million shares. O has a dividend yield of 4.91%, with a quarterly payout of 76 cents ($3.04/yr) per share via a generous payout ratio of 209%. Analysts give O a median price target of $70, with a high of $74 and a low of $65. This will make more sense when looking at the chart below; even the forecasted range’s lowest price would give the stock a 5% jump from current pricing. O has 9 buy ratings and 7 hold ratings.

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Floor & Decor Holdings Inc. (FND)

Floor & Decor Holdings, Inc. (FND)’s primary business activity is the sale of hard surface flooring and accessories. Flooring materials such as wood, stone, vinyl, laminate, and tiles are among its many offerings, and FND also offers installation services. George Vincent West founded FND in 2000, and its headquarters are in Atlanta, GA. Stock-wise, FND is flying pretty high at the moment, so now would definitely be the time to get a piece of it; the stock is up by 38.45% YTD and, with upside, has time yet to continue trending upward. FND has a market cap of $10.4 billion, a 1.86 beta that might just have to be worth the risk (there’s volatility everywhere), an ideal ROE (return on equity) percentage of 20%, and a healthy D/E (debt to equity) of 24.60%. FND shows TTM revenue of $4.26 billion at $2.79 per share, from which it profited $300 million on a 6.99% net margin. FND shows remarkable YOY (year-over-year) growth in all reported areas and has beaten analysts’ EPS projections for the last four consecutive earnings seasons, in reverse order, by margins of 11.95%, 8.17%, 3.74%, and 2.92%, respectively. With a current 10-day average trading volume of 1.3 million shares, the analysts who offer yearly price projections have weighed in, giving FND a median price target of $98, with a high of $120 and a low of $73. This range gives FND a potential upside of 24.50%. FND has 13 buy ratings and 9 hold ratings.

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Bank of Hawaii (BOH)

Abrdn Income Credit Strategies Fund (ACP)

Adeia (ADEA)

PayPal Holdings Inc (PYPL)

ETSY Inc (ETSY)

Constellation Energy Corp (CEG)

Xometry (XMTR)

Luminar (LAZR)

FARO Technologies, Inc. (FARO)

ON Semiconductor Corp (ON)

Amazon.com (AMZN)

LPL Financial Holdings (LPLA)

Chesapeake Energy (CHK)

Summit Materials (SUM)

Adeia (ADEA)

Amazon.com Inc (AMZN)

NVIDIA Corp (NVDA)

Baidu Inc (BIDU)

Bigbear.ai Holdings (BBAI)

SoFi Technologies (SOFI)

Uber Technologies (UBER)

New Fortress Energy Inc (NFE)

Cummins Inc (CMI)

Plug Power Inc (PLUG)

Sigma Lithium (SGML)

Microvast Holdings, Inc. (MVST)

Lithium Americas Corp (LAC)

TJX Companies Inc (TJX)

Realty Income Corp. (O)

Floor & Decor Holdings Inc. (FND)

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