RJ Scaringe and his team on opening day for the Rivian Manufacturing Campus in Normal, Ill.
The market volatility in recent weeks is enough to worry even the most seasoned investors, especially as they face the omicron Covid variant and the prospect of a Federal Reserve monetary policy tightening.
Top Wall Street analysts are looking past the short-term uproar. These five stocks are potential long-term winners, according to TipRanks, which tracks top-performing stock pickers.
While the semiconductor industry has benefited greatly from the shift to data centers and the digital economy, Marvell Technology (MRVL) is in the process of capitalizing. The semiconductor developer recently smashed its quarterly profits and analysts took a more bullish stance on its multi-year outlook. (See Marvell risk factors on TipRanks)
Hans Mosesmann of Rosenblatt Securities released an upbeat report on the stock, noting that the company saw sales growth of more than 30%, along with a drop and increase in its forecast. In addition, Marvell has so far mitigated impacts on the supply chain.
Mosesmann valued the stock as a buy and raised his price target to $ 120 from $ 100.
The analyst noted that Marvell is experiencing strong demand in “all key infrastructure markets (DC, Carrier, Enterprise / Networking and Auto / Industrial), with all influencing new transitions with integrated circuit / merchant solutions. silicon specific to applications based on 5 nm. in 2H22. ” These chips are precisely what the company is focused on, and their applications are expected to “develop sequentially,” said Mosesmann.
Calling the action a “favorite secular idea,” the analyst said that over the next few years, “the company will see growth and additional revenue from gains in cloud-optimized silicon design, on the rise. power of 5G and increasing dollar content, increasing Automotive Ethernet Conductivity revenue, and the ramp of PAM4 [pulse amplitude modulation with four levels] and ZR products to support strong revenue growth. ”
Financial aggregator TipRanks currently ranks Mosesmann 6th out of more than 7,000 professional analysts. He passed his stock picks 81% of the time and got an average of 79% on each score.
The past few years have been revolutionary for the auto industry as electric vehicle (EV) producers capture the attention of consumers and investors. After being made public last month with great fanfare, the stock of Rivian Automotive (RIVN) appears to have calmed down in volatility, and analysts are largely bullish. (See the analysis of Rivian shares on TipRanks)
Among those analysts is Daniel Ives of Wedbush Securities, who sees Rivian as a “backbone of electric vehicles in the making” because of his trajectory of conquering a largely unpenetrated market. While other electric vehicle manufacturers have mainly focused on sports cars and sedans, Rivian is one of the first to offer luxury SUV and pickup models.
Ives priced the stock to buy and initiated a hedge with a price target of $ 130 per share.
Relatively little competition goes against RIVN, with only General Motors (DG), Ford (F) and Tesla (TSLA) having produced or advertised plans for similar vehicles. When it comes to small businesses, Ives argues that Rivian is “ahead of the pack.”
The analyst noted that RIVN is properly vertically integrated and has tens of thousands of preorders ready to deliver consistent demand going forward. In addition, the company is backed by Amazon and its order for 100,000 vehicles, which has given investors confidence.
Ives believes that “Rivian is poised to create a new category in the electric vehicle space with its groundbreaking debut, a massive Normal, Illinois factory footprint, and create a major brand in the electric vehicle market. electric vehicles over the next decade. ”
Of more than 7,000 financial analysts giving advice, Ives is rated by TipRanks as No.79. His stock quotes are correct 69% of the time and have resulted in an average return of 46.3% each.
Tech giant alphabet (GOOGL) is one of the world’s most valued companies, and it has invested in AI across multiple industries, increasing its revenue in the third quarter. In addition, persistent macro-societal trends at home have played into the conglomerate’s game, with few signs of abating.
Ivan Feinseth of Tigress Financial Partners said the focus on artificial intelligence has benefited Alphabet’s new Pixel 6 smartphone and its general search engine functionality. He also noted that Apple (AAPL) IOS 14.5 privacy changes had minimal impacts on GOOGL’s advertising segment, in part due to the prevalence of the Android operating system. (See Alphabet website traffic on TipRanks)
Feinseth valued the stock at Buy and raised its price target to $ 3,540 from $ 3,185.
Regarding Alphabet’s exploratory innovations, the analyst added that the company has invested in a “natural language research process based on an advanced MUM (Multitasking Unified Model) neural network), which is a thousand times more powerful than BERT ( Representations of bidirectional encoder from transformers). ”
Even with its heavy investments, GOOGL has maintained a sufficiently solid balance sheet to satisfy its shareholders in the short term. The company has expanded its $ 50 billion share buyback program to include both classes of shares and has so far executed $ 36.8 billion this year.
Feinseth is ranked # 55 out of over 7,000 analysts on TipRanks and has been successful 70% of the time. Its ratings have average returns of 35.7%.
With more digitalization and cloud-based solutions for large businesses and personal operations, the threat of cyber attacks has also increased. For investors looking for a way to play in the cybersecurity space, Needham & Co.’s Alex Henderson named SentinelOne (S) “the fastest growing company on our coverage list.”
The security technology company recently posted impressive quarterly earnings, beating and raising its forecast above Wall Street consensus estimates. SentinelOne has extended its distribution reach in part through partnerships with Managed Security Service Providers. The company also made new forays into larger business ventures. (See SentinelOne News Sentiment on TipRanks)
Henderson rated the stock as a buy and declared a price target of $ 82.
The analyst noted that “the multi-tenant, micro-service-based, API-driven platform is particularly well suited to integrate into the MSSP operating environment, enabling SentinelOne to serve this enormous profitable end market opportunity ”.
During the past quarter, new customers quickly adopted SentinelOne’s full product line, as well as a higher rate of customers renewing their subscriptions.
However, given that the six-month lock-in period for its shares recently ended, the share may still be affected by increased volatility in the short term. Despite this, Henderson predicts that SentinelOne will continue to benefit from the great popularity of its Cloud Workload service and other new product offerings, ultimately leading to a long-term uptick.
Out of more than 7,000 financial analysts on TipRanks, Henderson is ranked No. 50. His pass rate is 72% and his stock quotes have averaged 44.1%.
When a pandemic strikes, it affects just about every industry, even waste disposal services. However, the waste connections (WCN) has since reduced its business to pre-pandemic levels, in part thanks to a wave of mergers and acquisitions fostering inorganic growth, a loyal customer base, and strong wage incentives protecting it from a labor shortage. continuous work. (See Waste Connections Insider Trading Activity on TipRanks)
Hamzah Mazari of Jefferies Group elaborated on these positives in his recent report, stating that “WCN has stayed ahead of the curve when it comes to wages and continues to pay its drivers above the market, which has contributed to retention and to the quality of employees ”. In addition, he does not expect mergers and acquisitions to “end any time soon.”
Mazari evaluated the stock to buy and decided on a bullish price target of $ 154 per share.
The analyst noted that the waste disposal company had successfully dampened inflation, having raised prices by as much as 6%, a record high above its previous high in 2008. WCN has a strong installed base in which it has cultivated confidence through accountability. This allows the company to have better price leverage.
With regard to supply constraints, Waste Connections is pursuing a strategy of ordering fleets and equipment well in advance, in order to place itself “on the front line”. Given the high salaries enjoyed by its drivers and employees, these costs may be reduced in the second half of next year if gross margins are too tight, relieving the pressure.
Financial aggregator TipRanks places Mazari 443rd out of more than 7,000 analysts. His stock picks were correct 62% of the time, and they earned him an average of 39.6% each.