Since the markets have risen sharply since the beginning of the year, bulls and bears seem to have completely diverged in their hypotheses about the approaching end of the financial year. Some see potential for a surge in the dot-com bubble, others just expect a retreat.
However, it is of the utmost importance for any long-term investor to consider an analysis of company fundamentals when selecting stocks.
That’s why we at TipRanks combed the noise and found the stocks that have selected some of Wall Street’s most accurate professionals as long-term winners. Let’s take a look at what the fundamentals and top analysts have to say.
With little sign of slowing down, cloud computing has been one of the fastest growing sectors over the past two years. All new enterprise digital solutions require security, and CrowdStrike Holdings, Inc. (CRWD) has benefited from its sought-after niche. The cybersecurity firm is seeing increased corporate spending on security, a positive metric heading towards the expected release of results on December 1st. (See CrowdStrike stock analysis on TipRanks)
Needham & Co.’s Alex Henderson recently published his hypothesis about the tech company, saying that “CrowdStrike’s platform offers a powerful mix of smooth deployment and testing, exceptional scalability, and this is leading to rapid growth that we believe is over 50% sustainable is. for the next 3-5 years. ” He was confident enough to say “Investors will be rewarded for buying and holding these stocks”.
Henderson rated the stock a Buy and set a price target of $ 340 per share.
In terms of earnings, the five-star analyst expects another impressive quarter and an increase in the forecast from CrowdStrike, which he describes as currently successful in its field. Meanwhile, increasing cyber attacks and high profile hacks around the world have increased the urgency and demand for companies like CrowdStrike.
Competitive concerns recently rocked investors and strong selling pressures dragged the stock to subdued levels. Henderson believes this reaction is exaggerated as most of the key indicators are showing strong and robust growth, such as direct consumer sales and calculated total bills.
TipRanks ranked Henderson 46th out of more than 7,000 analysts. His stock picks were successful 72% of the time, earning him an average of 52.2% each time.
Another name that quickly became a pandemic winner is Salesforce (CRM), as the digital transformation at company level made its way around the world. The cloud-based customer relationship management software has increased significantly in value over the past two years, although the share recently suffered a decline. Some analysts now see a buying opportunity in the tech stock. (See Salesforce.com website traffic on TipRanks)
Jefferies Group’s Brent Thill described his stance on the stock, claiming the company was heading for a likely increase in earnings on November 30th. The analyst found a high level of customer satisfaction among its users, as well as additional statistics that indicate long-term demand for Salesforce’s services.
Thill named the stock a Buy and raised his price target from $ 325 to $ 360.
According to his data, the analyst reports that 83% of Salesforce customers see productivity in their pipelines. In addition, the partner ecosystem promoted by the company has experienced a healthy acceleration.
The five-star analyst added that “CRM has triple what it means to take a breather from major M&A, focus on integrating Slack and making more margins.” He is encouraged by the stock’s outperformance compared to a similar software-based ETF, the IGV.
The financial aggregator website TipRanks currently ranks Thill 181th out of over 7,000 analysts. It was successful 65% of the time and returned an average of 36.3%.
Despite persistent COVID-19 levels in Western Europe and the US through the third quarter, global travel trends have gained momentum and are expected to gain even more momentum once restrictions are relaxed. Booking Holdings Inc. (BKNG). (See booking risk factors at TipRanks)
Ivan Feinseth of Tigress Financial Partners wrote optimistically that “BKNG’s market-leading position, strengthened by its strong brand value and diversified global presence, along with its solid execution ability, technologically advanced platform and realizing the value from its complementary acquisition strategy will be continued by one To achieve recovery in return on investment. ”
Feinseth rated the stock a buy and reiterated its price target of $ 3,150.
The high demand from Booking for hotels, flights and rental cars strengthened the confidence of the five-star analyst. He also noted that the company has successfully mitigated the impact of the pandemic lows by maintaining a strong balance sheet, which in turn allows it to invest in new initiatives and innovation.
In addition, BKNG’s acquisitions and investments have enabled the expansion of its “travel ecosystem with new land travel services, the integration of land travel into hotel bookings and the expansion of the rental car business to include alternative modes of transport”.
Feinseth is ranked 50th out of more than 7,000 analysts on TipRanks. He was successful with his stock picks 75% of the time, averaging 38.4% per rating.
Global semiconductor shortages have hit many key industries hard, and automobile and smartphone manufacturers are striving to contain the impact. Many of the companies that design and produce the chips themselves are now in high demand and have long backlogs to fill. Analog Devices, Inc. (SURNAME) falls in this case and is now ready, despite a temporary supply-side obstacle, to press ahead with the expansion of capacity and the price increase for its products. (See Analog Devices Hedge Fund Activity on TipRanks)
Quinn Bolton of Needham & Co. reprinted his statement, arguing that, through organic development and strategic acquisitions, we believe Analog Devices has built the leading franchise in analog precision semiconductors, one of the most attractive segments in the entire semiconductor industry.
Bolton maintained a buy rating on the stock and confidently raised its price target from $ 200 to $ 205.
The five-star analyst said the difficulties with the Malaysian shipping routes affected by COVID-19 are being largely bypassed and are no longer a material concern for the company. While capacity constraints can weigh on production in the short term, ADI increases its ability to meet strong demand.
Looking back and in the past, ADI reported a Q3 full of strong gains and an encouraging increase in forecast. For the future, orders will remain at a healthy level and the company’s growth path has become clearer. Bolton was boldly optimistic about the company, writing that Analog Devices is “a core position in every semiconductor portfolio”.
TipRanks ranked Bolton number 1 out of more than 7,000 other financial analysts. His reviews were successful 88% of the time, and he scored an average of 100.9% for each.
As the COVID-19 pandemic pushed the workforce back home, Dell Technologies Inc. (DELL) saw its valuation rise as the home office boosted computer sales. Now that the same people are moving back to the office, company-level purchases support the same metric. The computer technology company recently released its strong third quarter results, beating Wall Street’s consensus estimates for revenue and EPS despite a tough comparison from its previous report. (See Dell Technologies Earning Date and TipRanks Reports)
Amit Daryanani of Evercore ISI said the company is mitigating the challenges posed by the supply bottlenecks and improving its bottom line. Dell has delivered productive free cash flow despite its increased capital spending.
Daryanani listed the stock as a buy and added a price target of $ 63. That target has been raised slightly from its previous one at $ 62.
The five-star analyst went on to say that operational leverage on Dell’s robust balance sheets should pave the way for future share buybacks.
Dell has seen expansion in both its infrastructure and networking offerings and its commercial computer product segments. On the way to the fourth quarter, Daryanani is confident that Dell will achieve its goals.
The analyst reiterated his bullish stance, saying that he believes “the company is doing well in an increasingly challenging delivery environment and believes that its superior supply chain management has been a driver of stock gains”.
Daryanani currently ranks 155th out of over 7,000 professional analysts. His stock picks were right 73% of the time, and they earned him an average of 35% per share.
Disclosure: At the time of publication, Brock Ladenheim had no position in any of the securities mentioned in this article.
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