Every year, Americans make substantial amounts of money by trading company stocks. But knowing how to pick successful stocks requires plenty of knowledge and analysis.
After studying several stocks and monitoring their growth patterns, here’s our list of stock options that we believe make excellent investments.
Newmont Corp (NEM)
In times of economic difficulties, hedging through stocks dealing with precious metals provides considerable security. Through cost-effective mining processes, Newmont has managed to stay profitable and deliver a 2.6% dividend yield. Expert analysts predict an upward movement in Newmont’s stocks with an annual rise of about 36% over the next five years.
No matter what business you deal with, chances are that you’ve dealt with some form of Adobe’s range of products. While the company delivers profit margins above 31%, its growth has been consistent over the past few years. With the latest cloud-based services in the pipeline, we see Adobe as a stable investment for high-margin growth.
Alibaba Group (BABA)
With a net value of $725 billion, Alibaba is a well-established e-commerce company. It has proved its mettle by withstanding an economic downturn and still emerging with an impressive 25% growth. Apart from e-commerce, Alibaba Group’s investment in cloud-based solutions shows expansive growth in revenue. With Alibaba’s stocks still at a low price, we find it a great investment opportunity.
Spotify Technology (SPOT)
Spotify has successfully tapped into the online music industry and currently has a rapidly-growing customer base. Through shareable playlists, digital music, and smart investment in podcasts, Spotify gives users a wholesome music experience. With yearly growth close to 30%, Spotify stockholders could see gains as early as 2022.
BJ’s Wholesale Club (BJ)
Valued at $5 Billion and with 219 locations across the nation, discount store BJ’s Wholesale Club is a promising stock. BJ’s financials showed a marked improvement (18.5%) over its last year’s sales, and it currently outperforms its competitors. With the increasing popularity of discount retailers and its foray into digitally-enabled sales, BJ shows excellent growth potential.
While you could have success with short-term trading, we advise buying the above stocks for a longer period to fully take advantage of their growth. Speak with your financial advisor before investing in the stock market.