June 9, 2021 6 min read

This story originally appeared on StockMarket

Should Investors Be Watching These Top Consumer Discretionary Stocks Now?

As investors navigate a somewhat volatile stock market with meme stocks leading in gains, consumer discretionary stocks could be overlooked. Now, as most investors would know, the economy is on the uptrend as we reach the tail-end of the pandemic. At the same time, businesses that suffered during the onslaught of the pandemic would be in the reopening trade as well. Not to mention, there is also the factor of consumers being eager to spend their discretionary funds during the summer. Given all of this, we could be looking at a perfect storm for the industry now. In fact, even the current economic data estimates appear to be in line with this.

Notably, the consumer price index (CPI) readings for May are due on Thursday later this week. Economists currently estimate that the CPI could rise by 4.7% year-over-year, indicating record figures last seen in 2008. What would all this mean for investors? Simply put, some would argue that consumers are spending heavily as more pre-pandemic services return. Moreover, consumers also have more choices than ever to do so. Because of this, consumer discretionary stocks across the board would be in a position to gain momentum. From cannabis stocks like Grow Generation (NASDAQ: GRWG) or cruise line stocks such as Royal Caribbean (NYSE: RCL), entry points are plentiful. Having read all this, you might be keen on adding some consumer discretionary stocks to your list as well. In that case, here are five making headlines in the stock market today.

Best Consumer Discretionary Stocks To Watch In June

Tilray Inc.

Starting us off today is Canadian-based cannabis giant, Tilray Inc. For some context, the company is a leading name in the global marijuana-lifestyle and consumer packaged goods market now. In terms of scale, Tilray operates in Canada, the U.S., Europe, Australia, and Latin America. Moreover, the company boasts a massive portfolio of over 20 cannabis-based brands spanning 20 countries. The likes of which include comprehensive cannabis offerings, hemp-based foods, and even alcoholic beverages. As it stands, TLRY stock closed Tuesday’s trading session at $20.22. Seeing as it is up by over 110% year-to-date, could TLRY stock have more room to grow this year?

Well, for one thing, Tilray does not appear to be slowing down anytime soon. Earlier today the company launched Symbios, its newest medical cannabis brand. According to Tilray, Symbios will serve to provide a wider array of “formats and unique cannabinoid ratios” at more affordable price points. This would include medical patients getting access to products such as dried flowers and oils among others. It appears that while the recreational cannabis market continues to expand, Tilray is not neglecting its medical portfolio as well. Would all this make TLRY stock a top buy for you now?

[Read More] 4 Artificial Intelligence Stocks To Watch Right Now

Apple Inc.

Following that, we will be taking a look at Apple. Now, this consumer tech goliath needs no introduction. After all, most investors and consumers alike would likely be familiar with its massive array of tech products. From its industry-leading iPhone product line to the increasingly popular MacBook line of personal computers, Apple has a lot to offer. Additionally, the company operates a tightly-knit ecosystem that provides consumers with integrated services throughout their Apple devices. Could now be the time for investors to buy in?

If anything, Wedbush analyst Dan Ives seems to believe so. To point out, Ives believes that Apple could achieve a $3 trillion market capitalization by the year 2022. His reasoning was, “If you look at the innovation, if you look at the supercycle playing out in the services business right now, I believe this is just sort of the next stage of growth.” Adding to that, investors would also be eyeing AAPL stock as the company just posted significant updates on its iOS system via its Worldwide Developers Conference. Will you be doing the same?

Read More

Alibaba Group Holding Ltd.

Alibaba is a consumer discretionary company that focuses on e-commerce and financial services. In essence, it allows businesses to transform the way they market, sell, and operate and improve their efficiencies. The company provides technology infrastructure and marketing to help merchants and brands reach their users and customers.

The company launched a cloud-based live streaming product that is designed for e-commerce on Tuesday. It also announced plans to expand the number of data centers across Asia. Alibaba also believes that its cloud computing segment is a key profit driver for the company in the long term and has been boosting its presence aggressively outside of China. For these reasons, will you consider adding BABA stock to your watchlist?

GameStop Corporation

GameStop is a consumer electronics and gaming merchandise company that has been at the center of the meme stock craze as well this year. As retail traders continue to band and buy GME stock, they have helped push the stock to unprecedented highs. GME stock has been up by over 1,500% year-to-date. The company will be announcing its first-quarter financials for 2021 after the market closes tomorrow.

How has the company been doing financially? In late April, the company announced that it had completed its previously announced equity offering program. GameStop had managed to sell 3.5 million shares of its common stock and generated approximately $551 million. Net proceeds will be used to continue accelerating GameStop’s transformation as well as for general corporate purposes and further strengthening the company’s balance sheet. Given this exciting piece of news, will you consider watching GME stock?

[Read More] 5 Green Energy Stocks To Watch Today

Carnival Corporation

Carnival is a travel leisure company that is also one of the biggest cruise operators in the world. It boasts some of the best cruises in the world, which include AIDA Cruises and Princess Cruises. Princes is the world’s third-largest cruise line based on guest capacity and the company’s ships are renowned for their innovative design and wide array of choices in dining, entertainment, and amenities.

Yesterday, the company announced that its Carnival Cruise Line plans to return to guest operations from Port Galveston on July 3 with Carnival Vista, followed by the return of operations on Carnival Breeze on July 15. As part of the safety measures, these cruises will only be available for guests who have received their final dose of a CDC-approved coronavirus vaccine per current guidelines from the U.S. CDC. All things considered, will you watch CCL stock?

https://www.entrepreneur.com/article/374065

June 7, 2021 6 min read

This story originally appeared on StockMarket

5 Growth Stocks To Watch Now That Have Recently Reported Strong Quarter Earnings

If you are investing in growth stocks today, you may find that they seem to be having nearly the same momentum as they did in the stock market last year. After a rather underwhelming start for these growth names this year, it appears that growth stocks are back in favor. If you’re looking for stocks that could help you weather through the storms while contributing to your overall portfolio, could these tech stocks be great investments?

Considering that many of the top growth stocks making significant moves are mostly tech companies, it wouldn’t hurt to pay closer attention to these hypergrowth names. After all, these are the companies that have outpaced the rest, delivering massive returns to investors. Of course, you would also want to make sure that these hyper-growth stocks in your portfolio are well-positioned to continue delivering big gains. With all that being said, let’s look at some of the best growth stocks to watch in the stock market today.

Growth Stocks That Have Recently Reported Strong Quarter Earnings

1. MongoDB Inc. (NASDAQ: MDB)
2. DocuSign Inc. (NASDAQ: DOCU)
3. Pinterest Inc. (NYSE: PINS)
4. Cloudflare Inc. (NYSE: NET)
5. BigCommerce Holdings Inc. (NASDAQ: BIGC)

MongoDB

While there are many ongoing developments in the cloud space, the database business is no exception. And that’s where MongoDB comes into the picture. The company aims to store all electronic information with its innovative cloud-based solution. While it’s not a major name like Amazon (NASDAQ: AMZN) or Microsoft (NASDAQ: MSFT), its flagship services have gained traction over the years.

The company’s most recent fiscal quarter shows us how fast it has been growing recently. MongoDB’s first-quarter sales came in 39% higher year-over-year to $182 million, comfortably ahead of Wall Street’s consensus estimate of $170 million. A big part of the strong result came from a 73% revenue increase from the cloud-based Atlas database service.

Considering many businesses are taking advantage of MongoDB’s flexible database systems to power their own software and services, MDB stock looks like a solid growth stock to put on your watchlist today.

[Read More] 4 Artificial Intelligence Stocks To Watch Right Now

DocuSign

DocuSign is a company that helps organizations connect and automate how they prepare, sign, and manage agreements. We all know the coronavirus pandemic has accelerated the shift toward remote work, but what many should know is that DocuSign’s digital agreement technology is making this trend a reality.

For those unfamiliar, the company offers the DocuSign Agreement Cloud, a software suite that includes DocuSign eSignature. It is an electronic signature solution that allows an agreement to be signed electronically on a variety of devices.

From the company’s most recent quarterly report, revenue came in 58% higher year-over-year to $469.1 million. More impressively, DocuSign continues to generate cash, with its operating cash flow and free cash flow rising 129% and 275% respectively. You could say that DocuSign has become a pillar of the ‘anywhere economy’ that lets people increasingly do anything in life and work from anywhere.  Given the digital transformation that is happening worldwide, will you consider buying DOCU stock?

Read More

Pinterest

Pinterest is an image-sharing and social media company. Its platform allows users to search for and save information on easy-to-access digital ‘pinboards’. The company has been posting smashing quarterly results in the past few quarters. Some might say the company is set up for sustainable monetization. That’s because Pinterest is more visual and search-based, making advertisements easier and less intrusive for users. From the latest count, the company had 478 million global monthly active users.

From its first-quarter fiscal result, the company’s revenue soared 78.3% from the year-ago period to $485 million. Pinterest’s monthly active user surged by 30% and the average revenue per user came in 34% higher year-over-year.

Furthermore, the company is also continuing to strengthen its cash position. Investors love the company because the company is investing in comprehensive marketing. It has creative content creators that should drive long-term user engagement. Considering its solid fundamentals, would you agree that now is the time to place a pin on PINS stock?

[Read More] 5 Green Energy Stocks To Watch Today

Cloudflare 

Cloudflare may not be a household name today in the cloud computing space, but I’ll not discard the possibility that it might be one in the future. For those unfamiliar with the business, Cloudflare’s aim is to build a better and safer internet. Some of the company’s potential growth drivers include serverless computing, internet of things (IoT), and 5G. These present massive opportunities for the company to tap into. With more businesses moving their operations to the cloud, Cloudflare could see explosive growth in this burgeoning cybersecurity industry. That’s because of its role in safeguarding and speeding up the internet.

From the company’s first-quarter earnings, revenue came in 51% higher year-over-year to $138.1 million. The network security and content delivery network (CDN) provider also sees strong large customer growth, with a record addition of roughly 120 large customers in the quarter.

More importantly, large customers now represent greater than 50% of revenue. Following these earnings, NET stock has surged around 20% over the past month. With NET stock generally showing upward momentum, would you say it’s a winning company that keeps winning?

[Read More] 4 Robotics Stocks To Watch Amid Rising Shifts To Automation

BigCommerce Holdings

When it comes to a leading SaaS (Software as a Service) e-commerce platform that empowers merchants to grow their businesses online, Shopify (NYSE: SHOP) usually tops the list. But did you know that BigCommerce is in the game as well?

And more importantly, it’s finding similar success. The company boasts many high-profile clients using its online store software. Amongst them are Ben & Jerry’s, Gillette, and B-Wear Sportswear, just to name a few. Overall, the company caters to a wide array of customers across numerous industries and 150 countries. 

From the company’s first-quarter earnings, revenue soared 41% year-over-year to $46.7 million. This reflected another quarter of accelerating growth after three successive years of continuous growth. According to the management’s outlook, the company is still on track to reach profitability sometime in 2023. If you have missed the boat for Shopify stock, would BIGC stock be a better growth stock to buy? Considering the latter has a much lower valuation and much more growth runway, an investment in BigCommerce is certainly tempting. 

https://www.entrepreneur.com/article/373936

June 7, 2021 5 min read

This story originally appeared on StockNews
The electric vehicle (EV) industry is currently slowing down—due primarily to a global semiconductor shortage—following its stellar performance in 2020. Because major EV companies have been scaling back production amid rising costs, their current valuations look expensive. Thus, we think it might be wise to avoid Tesla (TSLA) and Workhorse Group (WKHS) for now. Let’s discuss.

The electric vehicle industry (EV) boom last year, driven by rising concerns regarding climate change, multiple government subsidies, and federal plans to phase out fossil fuel powered vehicles, drove a record level of EV sales in 2020. The IEA reported a record 3 million new electric car registrations in 2020, up 41% from the previous year. This sales level came in at a time when the global automobile market contracted by 16% due to the pandemic-led recession.

However, a global semiconductor shortage has emerged as a major hindrance to the growth of the EV industry, worsened by several natural and man-made calamities. According to consulting firm AlixPartners, the global automotive industry is projected to lose $110 billion in revenue in 2021 due to the ongoing chip shortage. Indeed, due to the rising prices of processor chips, EV manufacturers are scaling down their operations as  production costs rise significantly. Consequently, several EV companies’ revenue and earnings growth estimates should remain low for the coming quarters.

Given the bleak growth outlook, the current valuations of Tesla, Inc. (TSLA) and Workhorse Group Inc. (WKHS) seem unsustainable. Thus, we think these stocks are best avoided now.

Click here to checkout our Electric Vehicle Industry Report for 2021

Tesla, Inc. (TSLA)

TSLA is the biggest manufacturer and seller of electric vehicles (EVs). The company operates in two segments: Automotive, and Energy Generation and Storage.

TSLA recently recalled several  of its Model Y and Model 3 EVs due to flawed designs or finishing. On June 3, the company recalled 6,000 vehicles to tighten potentially loose bolts after the NHTSA reported that loose bolts could increase the risk of crash.

Also, CEO Elon Musk’s previous announcement that Tesla would  launch self-driving cars by the end of this year may not be realized. Last month,  TSLA sent a memo to the California Motor Vehicles Department stating that it might not be able to commercially deploy self-driving technology by the end of this year.

In terms of non-GAAP forward P/E, TSLA is currently trading at 130.66x, which is 653% higher than the 17.35x industry average. Its 11.69 forward Price/Sales multiple is 768.6% higher than the 1.35 industry average. The company’s forward Price/Cash Flow and EV/EBITDA ratios of 87.41 and 62.77, respectively,  compare with the industry averages of 15.14 and 11.73.

TSLA’s total revenues have increased 74% year-over-year to $10.39 billion in its  fiscal year  2021 first quarter. Its operating income grew 110% from the year-ago value to $594 million. The company’s non-GAAP EPS has increased 304% year-over-year to $0.93.

The Street expects TSLA’s revenues to rise 86.1% year-over-year to $11.23 billion in the current quarter (ending June 2021). A  $0.96 consensus EPS estimate  for the current  quarter indicates a 118.2% improvement year-over-year. The company has an impressive earnings surprise history as well. It beat the consensus EPS estimates in each of the trailing four quarters.

TSLA has lost 11.1% over the past month, and 15.1% year-to-date.

TSLA’s POWR Ratings are consistent with this bleak outlook. The stock has an F grade of F for Value, and grade D for Stability in our proprietary rating system. The POWR Ratings are calculated considering 118 different factors, with each factor weighted to an optimal degree. Among the 57 stocks in the C-rated Auto & Vehicle Manufacturers industry, TSLA is ranked #38.

To see additional POWR Ratings for Growth, Momentum, Sentiment and Quality, click here.

Click here to check out our Automotive Industry Report for 2021

Workhorse Group Inc. (WKHS)

WKHS designs and manufactures high performance electric vehicles and aircraft. The company  provides C-series electric delivery trucks and package delivery aircraft, and HorseFly.

Several law firms have filed lawsuits against WKHS  alleging  false and misleading statements made by the company to attract investors. Schall Law Firm has filed an investors action lawsuit against the company for violations of the Securities Exchange Act of 1934 and Rule 10b-5 of the SEC. Bronstein, Gewirtz & Grossman, LLC also has a similar lawsuit in place.

WKHS’ 19.09 forward EV/Sales ratio is 1,121% higher than the 1.56 industry average. Its 22.07 forward Price/Sales multiple  is 1,539.8% higher than 1.35 the industry average. The company’s 7.81 forward Price/Book ratio compares with the 3.72 industry average.

WKHS’s gross loss increased 243.4% year-over-year to $5.70 million in the first quarter, ended March 31. Its loss from continuing operations grew 1,750.8% from its  year-ago value to $153.06 million. WKHS’ net loss came in at $120.51 million, indicating a 2631.7% rise year-over-year.

WKHS has lost 40.9% over the past six months. The stock has lost 34% year-to-date.

Analysts expect WKHS’ EPS to remain negative until at least 2022. The company’s EPS is expected to decline 341.4% year-over-year in the current year. Also, the company missed the Street’s EPS estimates in three of the trailing four quarters.

It’s no surprise that WKHS has an overall F rating, which equates to Strong Sell in our proprietary POWR Ratings system.

The stock has an F grade  for Value, Stability, Quality and Sentiment. Among the 57 stocks in the Auto & Vehicle Manufacturers industry, WKHS is ranked #56.

To see additional POWR Ratings for other components, click here.

Click here to checkout our Electric Vehicle Industry Report for 2021

TSLA shares were trading at $606.92 per share on Monday afternoon, up $7.87 (+1.31%). Year-to-date, TSLA has declined -13.99%, versus a 13.26% rise in the benchmark S&P 500 index during the same period.

About the Author: Subhasree Kar

Subhasree’s keen interest in financial instruments led her to pursue a career as an investment analyst. After earning a Master’s degree in Economics, she gained knowledge of equity research and portfolio management at Finlatics. She uses her knowledge as a fundamental analyst to help investors make informed decisions in regards to their investment portfolios.

More…

The post 2 Overvalued Electric Vehicle Stocks to Avoid This Month appeared first on StockNews.com https://www.entrepreneur.com/article/373926

June 6, 2021 7 min read

This story originally appeared on StockMarket

These 5 EV Stocks Are Grabbing Investors’ Attention Right Now

Electric vehicle (EV) stocks are shooting up in the stock market recently. Before we get into it, let’s also acknowledge that the great divide between legacy automakers and electric vehicle startups is fading. And that has created plenty of new opportunities for investors looking for top electric vehicle stocks to buy. This came as these new and legacy players are rolling out their new EVs to diversify their lineups.

Now, we know that renewable energy will be playing a bigger role in our future. Admittedly, most of the attention has been on the latest consumer electric vehicle companies. But let’s not forget EVs for commercial use. Package delivery companies like United Parcel Service (NYSE: UPS) and FedEX (NYSE: FDX) are gradually electrifying their fleets. In April, EV maker Arrival (NASDAQ: ARVL) delivered its first prototype electric van to UPS.

The electric vehicle sector is certainly an exciting place to watch out for in the years to come. But investors have to note that we’re still in the early innings. With the recent comeback of the EV sector, investors are starting to wonder if that optimism could extend throughout 2021. Considering all these, should investors put up a list of top electric vehicle stocks to buy in the stock market today?

Top Electric Vehicle Stocks To Watch Now

1. ChargePoint Holdings (NYSE: CHPT)
2. Tesla Inc (NASDAQ: TSLA)
3. Churchill Capital Corp IV (NYSE: CCIV)
4. Ford Motors (NYSE: F)
5. General Motors (NYSE: GM)

ChargePoint Holdings

If you’re looking for pick-and-shovel plays in the EV space, ChargePoint deserves a closer look. That’s because the EV charging station company is highly likely to benefit from the mass adoption of EVs, no matter who takes the crown in terms of EV sales.

The company reported its first-quarter results after Thursday’s closing bell. In it, revenues came in 24% higher year-over-year to $32.8 million. Networked charging revenue for the quarter came in 36% higher year-over-year to $26.8 million.

With the company’s large market share in the EV charging networks and a comprehensive portfolio of charging solutions available today, it’s not hard to project that the company’s revenue would grow significantly over time as more EVs appear on the road. If the exponential growth projection by BloombergNEF with an estimate of 54 million electric vehicles by 2040 materializes, should you load up on CHPT stock now?

[Read More] Top Stocks To Buy Now? 4 Cruise Line Stocks Making Headlines

Tesla

No list of top electric vehicle stocks to watch is complete without Tesla in it. While considerable attention has been on Tesla’s involvement with Bitcoin recently, making electric vehicles is the story investors should be focusing on. From its most recent quarter, Tesla’s revenue came in 76% higher year-over-year. Deliveries are up 109% while first-quarter orders were the strongest in the company’s history. Simply put, Tesla is firing on all cylinders. But as of late, the bearish stance on TSLA stock seems to have gotten stronger.

It is not the first day there are short-sellers targeting TSLA stock. However, Michael Burry, one of the first investors to call and profit from the subprime mortgage crisis, placed a $530 million bet against Tesla. And that has led many investors to take a more serious look this time.

This time, Burry warned investors that Tesla’s reliance on regulatory credits to generate profits is a red flag. Burry proved many wrong with the mortgage crisis while Musk burnt many short-sellers over the past few years. Is now the time for the shorts to shine? Or would you buy TSLA stock on its recent weakness?

Read More

Churchill Capital Corp. IV 

Churchill Capital Corp. IV is a special purpose acquisition company (SPAC) that is merging with Lucid Motors. If you are looking for a strong contender to compete against Tesla, Lucid Motors seems like a good fit for this role. As the company has amassed an impressive engineering and design team to create a new class of premium EVs, it’s worth giving CCIV stock a shot. The new EV startup commands a world-class technology platform that could possibly compete head-to-head with the EV king, if not better. 

That’s not to say Tesla stock is not worth the investment. What I’m trying to say is, it’s time to have a closer look at companies that could potentially eat away Tesla’s market share. While CCIV stock did not have a good ride like its competitors in the market, its valuation and technology make it worth a closer study.

Of course, at around $23 apiece, the stock is still more than double the SPAC’s IPO price. While no one can be sure if it can ever go back to its previous high again, would it be compelling to buy CCIV stock considering the strong potential it has? 

Ford Motors

Should you have been paying attention to the space, you would know Ford is probably the best performing EV stock as of late. The company’s recent effort to increase its EV investments to $30 billion by 2025 is huge news for the company and the industry as a whole.

More importantly, the legacy automaker also said on Thursday that its U.S. sales came in 4.1% higher in May from a year ago. But the most recent rally of F stock price has to do with the upcoming launch of its new small pickup truck, the Maverick, next week. The Maverick is a so-called “white space” product, filling a market segment that Ford hasn’t previously contested.

Ford earlier this year officially debuted its latest electric pickup truck, the F-150 Lightning. This is the second mass-market EV from Ford, following the Mustang Mach-E. The company received more than 44,500 reservations in under 48 hours, according to a tweet by CEO Jim Farley. This could be a sign of greater things ahead. After all, the model is one of the most powerful F-150s ever made. The company also recently joined forces with BMW to invest in solid-state battery startup Solid Power. Considering all these developments, is F stock an EV stock to buy in the stock market today?

[Read More] 4 Artificial Intelligence Stocks To Watch Right Now

General Motors

Another traditional automaker trending lately is General Motors. The company’s stock price had another boost this week after raising the profit outlook. If anything, this indicates that GM is achieving greater ability in acquiring chips and allocating them among its model lines.

The Detroit automaker also expects first-half profit to be “significantly better” than previously forecast. This is due to the success of shifting scarce semiconductors to boost the production of highly profitable trucks in the North American market.

Like Ford, General Motors also has an impressive lineup of EVs. The company’s Chevrolet Bolt and Chevrolet Volt are among the best-selling EVs in the US. And one major reason they are selling better is because both of the models are much more affordable compared to Tesla’s models. With the improving situation in chip supplies, wouldn’t it make sense to load up on GM stock right now? 

https://www.entrepreneur.com/article/373816

June 5, 2021 6 min read

This story originally appeared on StockMarket

4 Top Software Stocks To Watch This Upcoming Week

We live in a world where software is the driving force in powering our increasing dependence on technology and digitalization. As a result, investors would turn to software stocks when looking for long-term gains in the stock market. It is a given that software companies would constantly be improving their offerings to keep up with the latest tech. Hence, there would be more than sufficient news from the sector to keep investors interested moving forward. After all, the sector comprises some of the largest companies in the world.

Major companies from other sectors would often rely on software companies to improve their services. For instance, Morgan Stanley (NYSE: MS) and Microsoft Corp (NASDAQ: MSFT) announced on Wednesday a strategic cloud partnership aimed at accelerating the former’s digital transformation. Microsoft’s cloud provides a specific view of the challenges of financial services and allows Morgan Stanley to accelerate the modernization of its IT environment. With companies and investors alike eyeing the lucrative software industry now, the hype could be justified. With that in mind, let’s look at some of the best software stocks in the stock market today.

Best Growth Stocks To Buy [Or Sell] Now

Oracle Corporation

Let us start the list with the cloud software company, Oracle. The company provides products and services that address enterprise information technology environments worldwide. Its businesses include cloud and on-premise software, hardware, and services. ORCL stock has been on an upward trajectory for the past few years. In fact, it is at its all-time high price and is up by over 50% year-over-year.

On Thursday, the company announced that its fourth-quarter fiscal 2021 earnings report will be set for June 15, after the market closes. So far, the company has been doing quite well on the financial front. For the three months ended February 28, 2021, the company’s revenues increased by 3% year-over-year to $10.1 billion. Meanwhile, non-GAAP net income was up by an impressive 10% to $3.5 billion. Investors would be on the lookout to see if Oracle could keep up its impressive numbers thus far.

Back in May, the company also announced that its first Arm-based compute offering, OCI Ampere A1 Compute, is now available on Oracle Cloud Infrastructure (OCI). What this means is, customers can now run cloud-native and general-purpose workloads on Arm-based instances with better price-performance benefits. Given ORCL stock’s bullish momentum, would it be worth adding to your watchlist?

[Read More] 3 Top Consumer Stocks To Watch In June 2021

Adobe Inc

Next, we have a diversified software company, Adobe. It operates through three segments, Digital Media, Digital Experience, and Publishing. The company’s flagship product is Creative Cloud, a subscription service that allows customers to download and access the latest versions of its creative products. For example, you could take your new ideas to new places with Photoshop on the iPad, draw and paint with Fresco, and many more. 

On Thursday, the company announced the appointment of David Wadhwani as executive vice president and chief business officer, Digital Media. In this role, Wadhwani will be responsible for the success of Adobe’s Digital Media business. The company president and CEO, Shantanu Narayen has this to say after the appointment, “We’re thrilled to welcome David back to Adobe to lead our Digital Media business. He is a transformational leader with an exceptional record of operational excellence, innovation, and growth.” 

The company has also raised its annual targets based on its impressive first-quarter financial results which were announced back in March. It reported a record quarterly revenue of $3.91 billion, up by 26% year-over-year. Meanwhile, GAAP net income came in at $1.26 billion. These are exciting times for the company based on the tremendous opportunities across its businesses. With that in mind, would you consider adding ADBE stock to your watchlist?

Read More

McAfee Corp

McAfee Corp. is a global computer security software company headquartered in Santa Clara, California. Its personal protection service provides digital protection of the individual and family under the Total Protection and LiveSafe brands. Meanwhile, its device security services include its anti-malware software and secure home platform products. These solutions protect devices from viruses, ransomware, malware, spyware, and phishing.

MCFE stock is yet another software stock that is trading at its all-time high. Impressively, the stock has risen over 55% since the start of the year. Furthermore, its financial results have also been healthy. In its first-quarter earnings report, the company posted revenue of $442 million, reflecting a 25% growth year-over-year. Also, net income came in at $83 million or a net income margin of 19%. This shows that the company can secure its customer’s ever-increasing digital footprint as people are living more of their lives online. 

Back in May, the company announced a significant expansion of its MVISION Extended Detection and Response (XDR) solution. This is achieved by correlating the extensive telemetry of McAfee’s endpoint security solution, Secure Access Service Edge (SASE) solution, and threat intelligence solution. These integrations would protect organizations against the most advanced threats while simplifying security operations. All things considered, will you consider MCFE stock as a top software stock to watch?

[Read More] 4 Artificial Intelligence Stocks To Watch Right Now

Elastic NV

To sum up the list, we have the Dutch information technology company, Elastic. The company offers developers the Elastic Stack, a set of software products for data search and management, namely Elasticsearch, a real-time search and analytics engine and datastore for all types of data. ESTC stock has been up by approximately 18% over the past month after having a rough start to the year.

The stock soared by 10% on Thursday in response to its financial earnings report. For the full fiscal 2021, total revenue was $608.5 million, up by 42% year-over-year. Out of which, Software as a Service (SaaS) revenue was $166.3 million, an increase of 80% for the year. This marks an exceptional year for the company, largely due to the continued adoption of Elastic Cloud and broad-based demand for its search, and security solutions. 

Elastic also announced a new update across its Elastic Security solution in late May. In the 7/13 update, it broadened support for osquery, the open-source host instrumentation framework, with a new host management integration for Elastic Agent. That enables security teams to use osquery results to address cyber threats. Across the board, it appears that the company is showing encouraging signs of moving forward. So, would this be an opportunity to buy ESTC stock?

https://www.entrepreneur.com/article/373797

June 4, 2021 6 min read

This story originally appeared on StockMarket

Reopening Stocks Are On The Rise, Here’s 3 To Have In Focus

With investors figuring out which stocks to buy now amidst the current frenzy of stock market news, consumer stocks stand out. Indeed, the consumer industry as a whole would be in a good position to benefit from the economy recovering now. Evidently, a key factor to consider would be the current state of the labor market. Throughout May, private payrolls gained by 978,000, beating consensus estimates of 680,000 by a landslide. Now, this would mark the largest increase in this figure since June 2020. When you couple this with initial jobless claims falling to an all-time low, things could be looking up for consumer stocks now.

On one hand, you could look at consumer staples stocks such as Boston Beer (NYSE: SAM) and General Mills (NYSE: GIS). With more consumers being employed, spending in the sector would continue to grow stably and steadily. Additionally, investors on the more conservative end of the spectrum would turn to these companies amidst times of market volatility. This is because they are among the highest-paying dividend stocks in the stock market today.

On the other hand, consumer discretionary stocks like Disney (NYSE: DIS) and Lululemon (NASDAQ: LULU) could also be in focus. For the most part, this would be thanks to their stakes in the reopening trade now. In the case of Disney, the company could be firing on all cylinders. That is considering its industry-leading streaming platform and the reopening of its tourist offerings. Meanwhile, Lululemon’s revenue came in 88% higher in its first-quarter fiscal report yesterday. Overall, consumer stocks appear to be gaining momentum. Could one of these three be worth watching in the stock market now?

Best Consumer Stocks To Watch Right Now

Coca-Cola Company

Starting us off today is beverage giant, the Coca-Cola Company. No doubt, Coca-Cola remains a household brand that consumers and investors alike would be familiar with. For a sense of scale, the company’s products are sold in over 200 countries and territories across the globe. Its legendary beverage portfolio consists of brands such as Sprite, and Fanta among other sparkling soft drinks. Moreover, Coca-Cola also boasts products in the sports, juice, and coffee and tea markets. As we head into summer, consumers would be more inclined to grab one of the company’s drinks. Could the same be said for investors and KO stock now?

If anything, Coca-Cola does not seem to be running dry on new ideas anytime soon. Despite serving an estimated 1.9 billion drinks globally every day, Coca-Cola is now entering the hard seltzer market. This is apparent with the recent launch of its Topo Chico Hard Seltzer brand, marking its first move in the alcoholic beverage industry. With the current cocktails-in-a-can craze, Coca-Cola could be making a strategic play here. Notably, Bank of America Securities (NYSE: BAC) currently estimates that the drink category could reach $4 billion in revenue over the next few years. If that wasn’t enough, the company is also reportedly investing in the sports performance beverage market with Gatorade-competitor Bodyarmor.

While the company caters its offerings towards shifting consumer preferences, Coca-Cola continues to flourish financially. In its recent quarter fiscal posted last month, the company raked in total revenue of $9.02 billion. Aside from that, it also ended the quarter with a whopping $8.48 billion in cash on hand. With all this in mind, would KO stock be a top stock to watch now?

[Read More] Best Growth Stocks To Buy Now? 5 Electric Vehicle Stocks To Watch

United Airlines Holdings Inc.

Next up, we will be looking at United Airlines Holdings Inc (UAL). For the uninitiated, the Illinois-based company is one of the most prominent airline operators in the U.S. now. By extension, this would firmly position UAL to make the most of the post-pandemic tourism boom. For one thing, its global operations and massive aircraft fleet would be major factors to consider here. Even now, with more consumers getting vaccinated across the nation, domestic air travel would be on the rise. Namely, UAL announced last week that airline ticket fares have returned to 2019 levels. As we approach the tail-end of the pandemic, investors appear to be eyeing UAL stock, given its year-to-date gains of over 35%.

On the operational front, UAL appears to be kicking into high gear as well. As of yesterday, the company is now in a commercial agreement with Boom Supersonic, a Denver-based aircraft manufacturing company. Said agreement will be to add 15 of Boom Supersonic’s Overture aircraft to its current fleet. According to UAL, these aircraft could half travel times on certain routes and rely completely on sustainable aviation fuel. Now, should Overture meet UAL’s safety requirements, there is also mention of an option for an additional 35 aircraft down the line.

By and large, UAL would be significantly lowering travel times for consumers in a sustainable way. CEO Scott Kirby had this to say, “Boom’s vision for the future of commercial aviation, combined with the industry’s most robust route network in the world, will give business and leisure travelers access to a stellar flight experience.” Having read all this, would you consider investing in UAL stock?

Read More

When it comes to consumer discretionary companies, few can compare to the likes of e-commerce titan, Amazon. This is not only the case in the retail space but also in the cloud computing space as well. Impressively, the company’s Amazon Web Services (AWS) cloud computing arm is now an industry leader, boating revenue of $13.5 billion. Not to mention, Amazon also continues to make waves on the consumer-front through its streaming service Amazon Prime Video. With strong roots in the consumer and tech industries, could AMZN stock be worth jumping on now?

Well, if any company knows about consumer trends, it is Amazon. With consumers eager to spend their current funds, Amazon announced that it will be holding Prime Day on June 21. Indeed, the annual Amazon shopping fiesta is coming back strong in 2021 after being pushed forward last year. With countless deals on electronic gadgets of all kinds, consumers would have a field day on Amazon’s e-commerce platform. According to Amazon, Prime Day will feature millions of deals from top brands as well as small and medium businesses.

That’s not all, the company will also be hosting a star-studded music streaming event to promote Prime Day. It will feature popular artists such as Billie Eilish and Kid Cudi. When you pair all this with Amazon’s recent $8.45 billion acquisition of MGM studios, would you say AMZN stock is a top consumer stock to buy now? 

https://www.entrepreneur.com/article/373774

June 1, 2021 7 min read

This story originally appeared on StockMarket

Are These Top Retail Stocks Worth Investing In 2021?

When thinking of what stocks to buy right now, investors may want to consider retail stocks. After all, most would argue that conventional retailers are among the most viable reopening plays in the stock market today. Why? Well, for starters, retail companies would stand to gain momentum from consumers returning to brick-and-mortar stores. This would be the case as pandemic restrictions continue to loosen nationwide. Aside from that, most of the companies in the industry now likely offer e-commerce services in one form or another. In the long-term, this could boost sales while also making their wares available to a wider array of consumers. Because of all this, I could see retail stocks becoming the best growth stocks to buy now.

For the most part, we can see that retail companies continue to invest resources towards bolstering their services now. Take Bed Bath & Beyond (NASDAQ: BBBY) for example. Although BBBY stock may be considered a meme stock, the company seems keen on leveraging consumer home improvement trends. As of last week, BBBY partnered with DoorDash (NYSE: DASH) to provide same-day delivery services. Meanwhile, retailers such as Dick’s Sporting Good’s (NYSE: DKS) crushed earnings estimates during the recent retail earnings season. As it stands, DKS stock is up by over 150% in the past year and is heading towards new heights. Given all of this, I can understand if investors are looking to invest in the top retail stocks in the stock market now. If you are one of them, here are five in the spotlight this week.

Best Retail Stocks To Watch This Week

Build-A-Bear Workshop Inc.

To begin with, we will be looking at Build-a-Bear Workshop Inc. (BBW). For the uninitiated, the Missouri-based retailer sells teddy bears and other stuffed animals and characters. Also, most consumers would be more familiar with the company’s teddy bear building workshops. BBW organizes and facilitates such activities in over 500 physical stores across the U.S., Canada, China, Denmark, Puerto Rico, and the U.K. Not to mention, the company also operates via third-party retail locations and franchise stores across Asia and Europe among other places. Now, BBW stock would be in focus on account of the company’s latest quarter fiscal reported last week.

In it, BBW saw green across the board. The company posted massive year-over-year surges of 96% in total revenue and 148% in net income for the quarter. To investors’ delight, BBW also reported a significant 146% bump in earnings per share over the same time. According to CEO Sharon Price John, this marks one of the company’s strongest first quarters. All things considered, will you be buying BBW stock?

[Read More] 6 Top Dividend Stocks To Watch For Your Retirement Plan

Koss Corporation

Another retail company in the limelight now would be the Koss Corporation. For some context, Koss was admittedly among the group of meme stocks that received a massive boost from retail investors. Social media hype aside, the Wisconsin-based company designs and manufacture top-of-the-line high fidelity stereophones and audio accessories. If anything, Koss would likely continue to ride existing consumer spending tailwinds given the quality of its audio offerings. More importantly, KOSS stock is currently sitting on gains of over 600% year-to-date. Seeing as this is after it has taken a breather from its Reddit-fueled high, should investors be buying in?

Notably, Koss is a prominent name in the global audio accessory industry now. According to Grand View Research, this market is expected to grow at a compound annual growth rate of 20.3% through 2027. Should this be the case, it would likely be thanks to growing consumer preference for enhanced audio experiences. Given the rising popularity of audio-based entertainment by the likes of the Clubhouse app and Spotify (NYSE: SPOT), Koss’s offerings could remain in demand. Would all this make KOSS stock a buy for you?

Read More

Academy Sports & Outdoors Inc.

Next up, we have Academy Sports & Outdoors Inc. (ASO). In short, ASO is among the leading full-line sporting goods and outdoor recreation retailers in the U.S. The Texas-based company operates via 259 stores across 16 states as of now. Primarily, the company’s portfolio mainly consists of outdoor, apparel, footwear, and sport & recreation wares. Since going public in October 2020, ASO stock has skyrocketed by over 180% and continues to gain towards greater heights.

Namely, investors appear to be reacting to the company’s latest quarter fiscal posted last week. ASO raked in a total revenue of $1.6 billion for the quarter. Following that, the company also saw astronomical year-over-year gains of 415% in net income and 317% in earnings per share. On top of that, ASO revealed plans to reduce its term loan obligations by $99 million, strengthening its balance sheet. Having read all this, will you be adding ASO stock to your portfolio?

Alibaba Holdings Limited

When it comes to retail-focused companies, Alibaba would be one of the more prominent players in the market today. The company’s current empire is built on its massive e-commerce operation business. Now, Alibaba is also involved in cloud computing and other tech-related ventures. While BABA stock may be trading sideways this year, would it be wise for investors to buy on the dip?

Well, former Vice President Al Gore seems to believe so. To explain, his investment firm, Generation Investment Management, doubled its stake in Alibaba recently. At the same time, the firm also sold off all of its Airbnb (NASDAQ: ABNB) stock. Separately, Alibaba continues to bolster its cloud computing services as well. Just last week, the company revealed plans to make its cloud operating system, Apsara, compatible with more processing chips. No doubt, this would help to boost its competitive edge in the field. Would you say that all this makes BABA stock worth investing in now?

[Read More] Best Industrial Stocks To Buy Right Now? 3 Trending Names To Watch

Dollar General

Last but not least, we will be looking at the variety store company Dollar General. For the uninitiated, the massive retail chain operator offers daily necessities in stores across the U.S. at everyday low prices. Even if you’re not a regular shopper in this store, you’re likely familiar with the company. Dollar General operates over 17,266 stores in the U.S. Notably, this far exceeds the combined total U.S. stores of Target (NYSE: TGT) and Walmart (NYSE: WMT). 

From its first quarter result, net sales for the quarter were $8.4 billion. Dollar General also posted a diluted earnings per share of $2.82, an increase of 10.2% year-over-year. It also posted a net income of $677.7 million for the quarter. The company is off to a strong start for its fiscal 2021 and has exceeded expectations. It also sees strong underlying performance across its business. Besides, Dollar General reported that it benefitted from the most recent round of government stimulus payment. Also, it has raised its financial outlook for fiscal 2021. All things considered, is DG stock a top retail stock to buy?

https://www.entrepreneur.com/article/373358

May 29, 2021 4 min read

This story originally appeared on StockNews
The S&P 500 (SPY) has now posted gains in three straight days, even while metrics continue to show an increase in inflation. It seems as though as we are swimming in those calm waters I spoke of on Monday, but I must caution that the last few days have shown lighter trading volume than usual. So, is this the new normal, or will we return to the volatility that was so prevalent the previous two weeks? Read on below to find out….

(Please enjoy this updated version of my weekly commentary from the POWR Value newsletter).

Stocks started the week higher as worries surrounding inflation seemed to subside a bit after multiple Federal Reserve leaders assured investors that inflation would be temporary. Investors pushed stocks higher across the board, with all three major indexes seeing strong gains. Eighty-three percent of S&P 500 stocks rose, while twenty-two out of the 30 Dow components gained.

The market finished lower on Tuesday as investors digested disappointing economic data. The Conference Board’s gauge of consumer confidence eased a bit in May to 117.2 from a downwardly revised 117.5 reading in April. Plus, new home sales fell 5.9% in April following a significant downward revision in March as an increase in property values is limiting demand.

Stocks went back to their winning ways on Wednesday as the CBOE Volatility Index (VIX) hit its lowest point since early May. Though most major indexes were only marginally up as trading volume has thinned recently.

Stocks jumped again on Thursday, with strong economic data lifting cyclical value stocks. Weekly initial jobless claims were better-than-expected. In fact, claims are at a new pandemic low, keeping with a downward trend.

Additionally, capital goods orders rose a stronger-than-forecasted 2.3% in April, the largest increase in eight months. Investors were also waiting on President Biden to unveil his budget on Friday.

The market finished the week higher on Friday, even with economic data pointing to less spending and higher inflation. The core PCE deflator, which is the Fed’s favorite proxy for inflation, rose 3.1% year-over-year last month, the largest jump since 1992. Core PCE inflation is a measure of prices that people pay for goods and services.

Overall, the S&P 500 and Dow Jones are up for the month, with gains of 0.55% and 1.93%, respectively. The Nasdaq Composite, on the other hand, is down 1.53% for May.

Market Outlook

As investors, we are essentially in a wait-and-see period. Many of the positive catalysts that have been driving the market forward are disappearing. The trillions in fiscal stimulus are already moving around the economy. The Fed has nowhere to go but up when it comes to rates, and the first quarter’s earnings season is over.

So, to answer today’s headline, no, I don’t believe the market has turned the corner. While we may see more days like Wednesday, Thursday, and today, with lower trading volume, I still expect to see more volatility in the weeks ahead as investors keep their eyes on inflation and the Fed.

Plus, valuations on most stocks already reflect an improving economy. But the key is, we’re not invested in those stocks. While the overall market may need a new growth catalyst to drive the major indexes higher, we’re in great shape being invested in deeply undervalued stocks.

These companies have shown consistent growth and strong fundamentals, but luckily for us are trading at a discount.

What To Do Next?

The POWR Value portfolio was launched in early May and is off to a fantastic start.

What is the secret to success?

The portfolio gets most of its fresh picks from the Top 10 Value Stock strategy which has stellar +38.63% annual returns.

If you would like to see the current portfolio of value stocks, including the 2 brand new picks we made yesterday, then consider starting a 30 day trial by clicking the link below.

About POWR Value newsletter & 30 Day Trial

All the Best!

David Cohne
Chief Value Strategist, StockNews
Editor, POWR Value Newsletter

SPY shares closed at $420.04 on Friday, up $0.75 (+0.18%). Year-to-date, SPY has gained 12.71%, versus a % rise in the benchmark S&P 500 index during the same period.

About the Author: David Cohne

David Cohne has 20 years of experience as an investment analyst and writer. He is the Chief Value Strategist for StockNews.com and the editor of POWR Value newsletter. Prior to StockNews, David spent eleven years as a consultant providing outsourced investment research and content to financial services companies, hedge funds, and online publications. David enjoys researching and writing about stocks and the markets. He takes a fundamental quantitative approach in evaluating stocks for readers.

More…

The post Has the Stock Market Begun to Turn Around? appeared first on StockNews.com https://www.entrepreneur.com/article/373223

May 29, 2021 6 min read

This story originally appeared on StockMarket

Are These Trending Biotech Stocks On Your June 2021 Watchlist?  

Biotech stocks are one of the most popular stocks in the stock market today. Now, why is that so? Well, largely because most investors are enticed by the idea of a huge profit trade and this sector fits the bill. Of course, when seeking higher rewards, it’s coupled with higher risk as well. This sector can be an amazing opportunity for smart traders. For those who are willing to spend more time researching top biotech stocks, they could be looking at big gains.  

Now, let us look at some of the examples to illustrate why this sector is so appealing to investors. Ever since its IPO back in October 2019, biotech company BioNTech SE (NASDAQ: BNTX) has come a long way. The company’s stock has skyrocketed by more than 1400% thus far and this can be attributed to its partnership with Pfizer Inc (NYSE: NFE) for the development of COVID-19 vaccines. Don’t you agree that not many industries would be able to pull this off in such a short period? Well, if this gets you excited, here is a list of the four top biotech stocks in the stock market right now.

Best Biotech Stocks To Buy [Or Sell] In June

Moderna Inc

First, we have one of the leading biotech companies in the world, Moderna. The company develops therapeutics and vaccines based on messenger RNAs for the treatment of infectious diseases, immuno-oncology, rare diseases, cardiovascular diseases, and auto-immune diseases. Notably, it was also one of the first in the world to receive Emergency Use Authorization (EUA) from the U.S. Food and Drug Administration (FDA) for its coronavirus vaccine. 

On Tuesday, the company announced that the Phase 2/3 study of its COVID-19 vaccine in adolescents has met its primary immunogenicity endpoint. According to the study, participants who received two doses of the vaccine using the primary definition showed no cases of COVID-19. In addition, a vaccine efficacy of 93% in seronegative participants was observed starting 14 days after the first dose using the secondary CDC case definition of COVID-19. This is significant as preventing the infection of adolescents holds the same value as any other age group to curb the spread.  

Furthermore, Moderna also announced an agreement with Samsung Biologics for the fill-finish manufacturing of Moderna’s COVID-19 vaccine. Due to the high level of urgency in supplying the vaccine globally, this is essential to keep up with its commercial distribution. It is a given that MRNA stock has been one of the hottest stocks in the biotech space, more than tripling in price over the past year. Thus, would you still bet on the future of MRNA stock?

[Read More] Hot Stocks To Buy Now? 5 Cyclical Stocks To Watch

GlaxoSmithKline plc

Next in line, we have the global healthcare company, GlaxoSmithKline (GSK). It engages in the discovery, development, manufacturing, and marketing of pharmaceutical products, vaccines, over-the-counter medicines, and health-related consumer products. GSK stock has been trading sideways for the past year. Now, with the company’s progress on its COVID-19 vaccine candidate, could this be a turning point?

On Thursday, the company and Sanofi SA (NASDAQ: SNY) launched a Phase 3 trial for its recombinant COVID-19 vaccine candidate. The study is one of the first late-stage trials that combine tests for boosters and variants as the companies adapt their strategies to deal with an evolving coronavirus. Both companies hope that this will be approved by the end of 2021. Should this come into fruition, it could be a huge boost for the vaccine company.

Most importantly, the company along with Vir Biotechnology, Inc (NASDAQ: VIR) announced on Thursday the U.S. FDA granted a EUA for sotrovimab ( previously VIR-7831), for the treatment of mild-to-moderate COVID-19 in adults and pediatric patients. This is specifically for patients with positive results of direct SARS-CoV-2 viral testing, and who are at high risk for progression to severe COVID-19. We can all agree that while vaccinations remain a priority, treatment for viral disease is of equal importance. With this flurry of development surrounding the company, would this not be a good time to invest in GSK stock?

Read More

Reata Pharmaceuticals Inc 

Reata Pharmaceuticals is a clinical-stage biopharmaceutical company. The company focuses on identifying, developing, and commercializing product candidates for a range of serious or life-threatening diseases. Its leading product candidates include bardoxolone methyl and Omaveloxolone. Admittedly, RETA stock has been rather underwhelming and trading sideways over the past year. However, it has risen over 35% just in May and soared by 8.45% on Thursday. 

This is potentially due to investors responding favorably to the request by the U.S. FDA for the company to submit a request for a pre-NDA meeting for Omaveloxone. Omaveloxone is for the treatment of Friedreich’s Ataxia. The Division of Neurology Products suggested that the company withdraw the current meeting request for a Type C meeting. 

Instead, Reata can request a pre-NDA meeting, which the Division will grant upon receipt. This is significant as it could potentially be a big step for the approval of Omaveloxolone. Given that there is no known cure at this point for Friedreich’s Ataxia, approval of this drug would be monumental for the company. Hence, would you consider adding RETA stock to your portfolio?

[Read More] 5 Tech Stocks To Watch In June 2021

Apellis Pharmaceuticals Inc

To sum up the list, we have Apellis Pharmaceuticals. This is a clinical-stage biopharmaceutical company that focuses on the development of therapeutic compounds. APLS stock has been relatively flat since the start of the year. That said, we are starting to see some price action over the past month.

The stock has risen over 20% over the past month. In fact, it soared by 10.06% in Thursday’s trading session. It is safe to say that this can be attributed to its recent development of the drug EMPAVELI™ (pegcetacoplan). A fortnight ago, Apellis announced that the U.S. FDA has approved its leading drug candidate. This is the first and only targeted C3 therapy for the treatment of adults with paroxysmal nocturnal hemoglobinuria (PNH).

On top of that, there was another report on Tuesday that stated positive top-line results from the Phase 3 PRINCE study evaluating the efficacy and safety of EMPAVELI. It appears that 86% of EMPAVELI-treated patients achieved hemoglobin stabilization compared to 0% of patients on standard of care. Therefore, this combined with previous studies emphasizes the potential for the drug to provide disease control for all adults with PNH. So, could now be the right time to take a bet on APLS stock?

https://www.entrepreneur.com/article/373222

May 28, 2021 6 min read

This story originally appeared on StockMarket

Best Video Game Stocks To Watch For The Summer

The coronavirus pandemic has set many video game stocks on fire in the stock market. This came as restrictions were imposed at the height of the pandemic to curb the spread of the virus. As a result, video gaming has emerged as the perfect entertainment option when bored consumers are stuck at home. The jaw-dropping growth we are seeing in the gaming industry has certainly made analysts revisit the growth assumptions used in their models. 

For months, GameStop (NYSE: GME) has been one of the most popular meme stocks to watch. The enthusiasm for the video game stock has offered a needed lifeline to GameStop, enabling it to raise capital and revive its failing brick-and-mortar gaming business. While such a move may increase the odds of GameStop’s success, some investors may still have concerns about its business model. For this reason, investors have also been on the lookout for top video game stocks to buy. But the biggest question on hand is, can investors expect these successes to be long-term?

The Growth Trends In Video Gaming Is Likely To Continue

The video game industry is looking at long-term growth with more people pursuing it as a hobby. Investors are also keen on its potential monetization avenues including advertising and in-app purchases. Admittedly, the unprecedented growth during the pandemic would most probably slow down as the economy reopens. But there’s still a great chance many new gamers will continue the hobby when the COVID-19 pandemic subsides. 

It’s worth pointing out that video gaming is a large industry. And there are a number of best video game stocks to buy. Effectively, the pandemic has served as an unexpected catalyst. It essentially brought forward years of future growth into the present. With that in mind, investors who build positions in top video gaming stocks in the stock market today could potentially be richly rewarded.

Top Video Game Stocks To Watch In June

1. Roblox Corporation (NYSE: RBLX)
2. Unity Software Inc. (NYSE: U)
3. Activision Blizzard Inc. (NASDAQ: ATVI)

Roblox

Roblox is a video game developer that is based in San Mateo, California. The company was founded with a vision of connecting people through immersive 3D environments. Unlike Electronic Arts (NASDAQ: EA) and Take-Two Interactive Software (NASDAQ: TTWO), Roblox users create games and play games created by other users. The company has achieved massive success through its sticky and self-sufficient ecosystem. You could almost compare Roblox to Alphabet’s (NASDAQ: GOOGL) Youtube, which relies heavily on independent content creators.

Recently, the company released its first-quarter financials. Revenue for the quarter came in 140% higher to $387 million. Its bookings also increased by 161% to a whopping $652.3 million. Roblox also reported that its average daily active users (DAU) were 42.1 million, an increase of 79% year-over-year. User engagement also increased to 9.7 billion hours, almost doubling year-over-year. 

What’s fascinating is that even users who aren’t gamers stick around just to hang out with each other. If you have a kid back home or one of your nieces is in elementary school, Roblox is their Facebook (NASDAQ: FB). It’s the place where they spend most of their time interacting with their friends in their virtual world. I gotta admit that I may be a little old to comprehend that. But we can’t ignore the possibility that Roblox is shaping the future of gaming. With all that in mind, will you consider RBLX stock as a top video game stock to buy right now?

Read More

Unity

For gaming enthusiasts, Unity Software is a name that you may be familiar with. For starters, the company has a 3D software engine that makes it easy for developers to create new video games. The software company estimates that it has a 70% market share among the top mobile games right now. Although U stock has fallen more than 40% since its highs in December, it appears to be regaining interest in recent weeks.

Earlier this month, Unity had announced its first-quarter fiscal results. Revenue came in 41% higher to $234.8 million. The company’s first quarter is reflective of the powerful transition from linear 2D to real-time 3D, which is one of the most important changes in how people interact with technology, according to President and CEO John Riccitiello. He added, “We believe that real-time 3D will continue to grow at an accelerated pace and achieve massive scale.”

Many gaming companies depend on Unity Software to create the latest and greatest that the gaming industry can offer. Companies use Unity’s real-time 3D technology to create immersive and interactive content. As the company commands a huge market share among top mobile games, it essentially gives Unity an indispensable position in the gaming industry. And that could very well fuel the company’s growth in the coming years. All things considered, do you have U stock on your watchlist right now?

[Read More] 5 Tech Stocks To Watch In June 2021

Activision Blizzard

When it comes to shaping the world of interactive entertainment, few companies could play a bigger role than Activision Blizzard. The maker of the ‘Call of Duty’ videogames reported strong quarterly earnings that surpassed Wall Street expectations.

During its first quarter, revenue came in at $2.07 billion, beating estimates of $1.78 billion. Activision Blizzard reported earnings of $0.84 per share, topping analysts’ estimates of $0.70 per share. Following the earnings announcement earlier this month, ATVI stock is up by nearly 10% to date. It’s no secret that Activision Blizzard is an industry leader that is well-positioned to continue delivering gains to its shareholders. 

For years, the company holds a strong record of launching and sustaining new gaming hits. There’s no question that with its strong force of development studios and marketing expertise, it will likely play a leading role in shaping the video gaming industry. Yes, the pandemic lockdown may have been a booster in its gaming traffic. But hey, you’ve got to admit that Activision creates games and experiences that consumers truly enjoy. No company can retain its players if its games aren’t exciting enough. For these reasons, would you consider ATVI stock as a video game stock to buy and hold for the long term?

https://www.entrepreneur.com/article/373212