Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
Dow Stock Market Trend Forecast Into Mid 2022 - 4th Dec 21
INVESTING LESSON - Give your Portfolio Some Breathing Space - 4th Dec 21
Don’t Get Yourself Into a Bull Trap With Gold - 4th Dec 21
4 Tips To Help You Take Better Care Of Your Personal Finances- 4th Dec 21
What Is A Golden Cross Pattern In Trading? - 4th Dec 21
Bitcoin Price TRIGGER for Accumulating Into Alt Coins for 2022 Price Explosion - Part 2 - 3rd Dec 21
Stock Market Major Turning Point Taking Place - 3rd Dec 21
The Masters of the Universe and Gold - 3rd Dec 21
This simple Stock Market mindset shift could help you make millions - 3rd Dec 21
Will the Glasgow Summit (COP26) Affect Energy Prices? - 3rd Dec 21
Peloton 35% CRASH a Lesson of What Happens When One Over Pays for a Loss Making Growth Stock - 1st Dec 21
Stock Market Sentiment Speaks: I Fear For Retirees For The Next 20 Years - 1st Dec 21 t
Will the Anointed Finanical Experts Get It Wrong Again? - 1st Dec 21
Main Differences Between the UK and Canadian Gaming Markets - 1st Dec 21
Bitcoin Price TRIGGER for Accumulating Into Alt Coins for 2022 Price Explosion - 30th Nov 21
Omicron Covid Wave 4 Impact on Financial Markets - 30th Nov 21
Can You Hear It? That’s the Crowd Booing Gold’s Downturn - 30th Nov 21
Economic and Market Impacts of Omicron Strain Covid 4th Wave - 30th Nov 21
Stock Market Historical Trends Suggest A Strengthening Bullish Trend In December - 30th Nov 21
Crypto Market Analysis: What Trading Will Look Like in 2022 for Novice and Veteran Traders? - 30th Nov 21
Best Stocks for Investing to Profit form the Metaverse and Get Rich - 29th Nov 21
Should You Invest In Real Estate In 2021? - 29th Nov 21
Silver Long-term Trend Analysis - 28th Nov 21
Silver Mining Stocks Fundamentals - 28th Nov 21
Crude Oil Didn’t Like Thanksgiving Turkey This Year - 28th Nov 21
Sheffield First Snow Winter 2021 - Snowballs and Snowmen Fun - 28th Nov 21
Stock Market Investing LESSON - Buying Value - 27th Nov 21
Corsair MP600 NVME M.2 SSD 66% Performance Loss After 6 Months of Use - Benchmark Tests - 27th Nov 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

What Are the Top Stocks to Watch in February?

Stock-Markets / Stock Market 2021 Feb 11, 2021 - 04:15 PM GMT

By: Boris_Dzhingarov


Stimulus + Stimulus = Robust Recovery in the Stock Market

With 2020 behind us, 2021 is shaping up to be a better year for the financial markets. Trader and investor optimism have strengthened, across most markets, including Emerging Markets, the Eurozone, and the United States. The ravages of a short-lived bear market were devastating, but the bulls are stomping their hooves.

This year, markets are expected to rebound on the back of several key elements, notably mass vaccinations of the global populace, multiple government stimulus efforts, and the development of a robust new-age, digital economy. All of these factors are coalescing to create new economic opportunities for growth.

In the US, a concerted effort to drive social spending, courtesy of a $1.9 trillion stimulus package is fast gaining momentum. This, on top of a $900 billion stimulus is rocket fuel to recovering equities markets. Real GDP growth in 2021 is expected to hit 6.0% in emerging markets, 5.2% across the Eurozone, and 3.1% in the United States – data courtesy of the IMF World Economic Outlook, October 2020.

In the United States, strong growth is forecast, particularly as it relates to the digital economy. Remote work assignments, virtual classrooms, online consultations, and teleconferencing have boomed since the pandemic, and massive development of these sectors is expected to continue. Unfortunately, service-related industries where the in-person experience is sacrosanct have suffered tremendously. Hotels, travel, restaurants, and retailers are cases in point.

As far as pro-growth and slow-growth sectors are concerned, the following industries are noted:

– Healthcare, technology, consumer staples, and home improvement have boomed

– In-person food service, travel, retail, and energy have suffered

With that in mind, we turn our attention to the top stocks to look out for in February 2021.

Sunworks Inc. (NASDAQ: SUNW)

Source: Yahoo! Finance

Sunworks, Inc. (SUNW) trades on the NASDAQ, as a clean energy stock. The company's market capitalisation of $505.3 million is relatively small by Wall Street standards, and the prevailing price of $21.20 is markedly higher than its opening price in January of under $5 per share. The 4-fold growth for the YTD is remarkable, even by NASDAQ standards. The 1-year target price of the stock is just $0.80, and the mid-term to long-term performance outlook is bullish.

On a rating scale of 1 (strong buy) to 5 (sell), SUNW is currently at 3, as a hold. The good news is Joe Biden is president, and his agenda vis-a-vis clean, green energy is going to resonate with Congress and companies like Sunworks, Inc – an up-and-coming solar sector company. Once this company gains mainstream appeal, the stock price is likely to reach new highs. This US-based stock is one of many in a hugely popular basket of green stocks to trade.

Hedosophia Holdings Corp. (NYSE: IPOE)

Source: Yahoo! Financial

Social Capital Hedosophia Holdings Corporation (NYSE: IPOE) is currently trading around $23.10 per share, with a neutral performance outlook over the mid-term and long-term. This company’s stock price shot up in 2020, from just $12.20, to its current level. Very little data exists about the actual stock’s performance to date, but IPOE has a market capitalisation of $2.324 billion. This shell company is a financial services enterprise led by top business entrepreneur Chamath Palihapitiya. That alone is reason to stand up and take notice of the stock.

Microsoft Corp. (NASDAQ: MSFT)

Microsoft Corporation (NASDAQ: MSFT) has been a star performer in 2021. Currently, the stock price is hovering around $242.20, from $217.69 at the start of the year. The 1-year target estimate price for Microsoft is $272.69 according to Yahoo! Finance analysts. This stock

is bolstered by way of strong earnings. MSFT has beaten expectations in Q1 2020, Q2 2020, Q3 2020, Q4 2020, and it is expected to beat expectations in Q1 2021 too. On a recommendation scale of 1 (Strong Buy) to 5 (Sell), MSFT ranks at 1.7. The company revenue in 2020 was the highest yet, at over $143.01 billion, with earnings of $44.28 billion.

MSFT remains a growth stock, as it recently was awarded a US Defense Department contract known as JEDI, or Joint Enterprise Defense Infrastructure. The $10 billion, 10 year contract is a major feather in Microsoft's cap. The technical indicators for MSFT remain bullish, with the upper Bollinger Band above the spot price, at $248.76, the median band at $227.89, and the lower band at $207.01. The rapidly rising price outpaces the short-term moving average (50-day MA) of $221.52, and the long-term moving average (200-day MA) of $207.17. By all accounts, MSFT is a buy.

Palantir Tech Inc. (NYSE: PLTR)

Source: StockCharts (NYSE: PLTR)

Palantir Tech Inc is the brainchild of Peter Thiel, the founder of PayPal, along with Elon Musk. PLTR is trading at around $34.05 per share, with a 50-day MA of $27.85 and an undefined 200-day MA. The Ichimoku Cloud indicates bullish sentiment moving forward, with strong momentum. This technology stock’s products havewidespread applications in the cybersecurity arena. In Q3, 2020, PLTR stock beat earnings expectations, and the stock is currently regarded as a Hold – Underperform.

These stocks rank among the top stocks to watch in February 2021. As with any stock, it’s especially important to evaluate the technical and fundamental features prior to trading or investing. Stock prices can turn on a dime, and up-to-date facts are reports are necessary to make the right trading decisions.

By Boris Dzhingarov

© 2021 Copyright Boris Dzhingarov - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

© 2005-2019 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in