The S&P 500 climbed more than 28% in 2021. Still managing to come on top for a strong amount of gains still, 2021 saw a large amount of highs and lows for the market. While back in 2020 and 2021 the pandemic crushed many companies share prices and even inflation starting to cause big problems for the rest of us, the overall market still, continues to march higher. That said, big pieces of the market such as cloud computing and innovation stocks are in a terrible downtrend.
This is the weekly market draft. For those of you that have read the blogs the motive of the weekly draft is to pick 5 stocks that should have a good uptrend this week giving you,me and the rest of us a nice weekly gain. So sit back, relax and here are the top 5 picks for this week.
- Molsen Coors brewing co (TAP)
Molson Coors is a large North American brewing company. The company is most known for its venerable brands including Molson, Coors and Carling. In recent years, the firm has evolved to stay relevant, adding craft labels such as Blue Moon while moving heavily into emerging categories such as hard seltzer. Like other beer firms, Molson Coors had a couple of challenging years as the pandemic greatly curtailed on-premise beer consumption at bars and restaurants. However, Molson Coors is turning the corner now.
The company is back to positive revenue growth and analysts see earnings growth on the horizon once again as well. And with the stock already selling for less than 12 times earnings, shares are a bargain at this level even before factoring in more future growth. Morning star agrees that Molson Coors is a compelling opportunity in 2022. Analysts from all over see fair value at $66 per share, which is a more than 30% upside from TAP’s current share price of about $50.
- Goldman Sachs inc. (GS)
Goldman is seeing robust activity across numerous lines of business including wealth management, IPO’s, underwriting and mergers and acquisitions advisory services. to put it in more simpleton terms, with global financial markets booming, Goldman’s investment banking services are at a all time high for demand. If equity markets slump, perhaps Goldman’s earnings will dip considerably in 2022 or 2023. However, if not, the stock could put up another big year given just how much the company is earning. For the full-year of 2021 Goldman expected to earn more than $60 per share. And if this kind of demand transitions into 2022 then we could be seeing a bigger return then just $60 a share.
- Proterra Inc. (PTRA)
Proterra Inc. The electric-vehicle technology company operates in a hot sector and has avoided head-on competition with a crowded field, including, Tesla. It already has products and sales, unlike many EV companies, and profits should be on the way for viewing soon.
What makes Proterra a buy is that its the leader in its own very niche, electric buses. So far Proterra has supplied 700 electric buses already, It has $5 billion in backed funds from the infrastructure bill to supply electric buses for public transportation across the United States and they have three manufacturing companies in the United states which takes the hassle of overseas outsourcing.
- AT&T (T)
Telecommunications and media giant AT&T said Wednesday that it added a net of 1.3 million subscriber ads in the fourth quarter furthermore according to an article from The Barron, AT&T expects free cash flow to increase by more than 10% through 2025.
AT&T agreed last May to merge its WarnerMedia business, which includes HBO, CNN and TBS channels, with Discovery and its TLC and HGTV channels.The European Commission approved Discovery ‘s merger with WarnerMedia earlier this week giving AT&T a nice upward trend on opening day allowing a 0.16% increase after close. No doubt AT&T is making moves and this year will be no different.
- TWILIO INC. (TWLO)
Twilio has been on the list for some time, and finally when I saw it plummeting along with many falling tech darlings on Wednesday afternoon and with the stats coming out Twilio looks like it could be a good pick this week. Twilio’s the leader of in-app communication solutions. It works behind the scenes of some of your favorite apps to let you know that the driver’s at your door with your food order or that your desired vacation villa rental is available for booking. Other solutions include real-time password resets or marketplace authentication solutions.
The stock has never been cheap. Quality high-growth companies are rarely in the bargain bin. However, with Twilio shedding nearly half of its value since peaking 11 months ago, it’s a compelling time to kick the tires. Twilio’s still stepping on the gas. Revenue rose 65% in its latest quarter. Acquisitions padded top-line growth, but organic revenue still rose 38%. Developers swear by Twilio, and that explains why its dollar-based net expansion rate is a healthy 131%. To put it simply, developers on the platform for more than a year are spending 31% more than they were a last year.
Twilio’s expected to turn profitable next year. Trading at an enterprise value of 15 trailing revenue is the lowest we’ve seen with Twilio. I missed the chance to buy Twilio early. Now let’s see if I didn’t get in too late.
And there you have it. Another draft for this weeks top 5 stocks. Now remember the market is never 100% and that doesn’t guarantee any of these stocks will perform at 100% so please, don’t pawn your spouses wedding ring or liquidate your 401k, always trade responsibly unless your willing to lose just as much as your willing to gain.