• Best stocks to buy now
  • Contact
  • Disclaimer
Friday, August 19, 2022
No Result
View All Result
  • ItalianoItaliano
Best Stocks
  • News
  • Best stocks to buy nowHOT
    Best Stocks To Buy Now

    Best Stocks To Buy Now: August 18, 2022

    9 Best Healthcare Stocks To Buy in 2022

    9 Best Healthcare Stocks To Buy in 2022

    Stockland stock price target

    Best Stocks To Buy Now: August 15, 2022

    Trending Tags

    • BABA
    • DIS
    • TSLA
    • SKLZ
    • NYSE: GME
  • Categories
    • Crypto
    • Dow Jones Today
    • Pre-IPO and Startups
    • Tech Stocks
    • Utility Stocks
  • Data & Tools
    • Indices
    • Portfolio Tracker
    • Stock Quotes
    • Stock Targets
  • About us
  • News
  • Best stocks to buy nowHOT
    Best Stocks To Buy Now

    Best Stocks To Buy Now: August 18, 2022

    9 Best Healthcare Stocks To Buy in 2022

    9 Best Healthcare Stocks To Buy in 2022

    Stockland stock price target

    Best Stocks To Buy Now: August 15, 2022

    Trending Tags

    • BABA
    • DIS
    • TSLA
    • SKLZ
    • NYSE: GME
  • Categories
    • Crypto
    • Dow Jones Today
    • Pre-IPO and Startups
    • Tech Stocks
    • Utility Stocks
  • Data & Tools
    • Indices
    • Portfolio Tracker
    • Stock Quotes
    • Stock Targets
  • About us
No Result
View All Result
Best Stocks
Home Best Stocks to Buy Now

Best ‘left behind’ stocks that could soon double their value

by Elaine Mendonça
January 21, 2022
in Best Stocks to Buy Now
0
Best Stock

Source: Getty Images

11
SHARES
409
VIEWS
Share on FacebookShare on Twitter

Liontrust Asset Management portfolio manager Storm Uru has pointed out three companies that he thinks have “fallen behind,” but have since updated their business strategies to improve their industry competitiveness.

On Friday, Uru said that he liked oil company BP, contract caterer Compass Group, and credit card company American Express.

“Initially, they were kind of left behind, and they were going to find it very difficult to compete” with newer upstarts, according to Uru. However, he stated that these companies had been “working very hard” over the last couple of years to pivot their business models and that they were “starting to become more competitive” in their respective sectors.

Uru owns all three stocks through his co-managed Liontrust Global Dividend fund. American Express is also a holding in the Liontrust Global Equity fund, which he co-manages.

Contents hide
1 BP
2 The Compass Group
3 The American Express Company
4 JP Morgan stock picks

BP

In the case of BP, Uru stated that the oil company had done
Source: Getty Images

In the case of BP, Uru stated that the oil company had done a “very good job of outlining a very good way forward for the company in a low carbon intensity economy.”

Nonetheless, he stated that BP must maintain its target of a return on capital investments in renewable energy of between 8% and 10%.

Furthermore, Uru stated that one of the reasons Liontrust preferred BP over other companies in the same sector was that it was willing to sell “underperforming assets,” which the firm had not seen from other oil and gas conglomerates.

Uru noted that Exxon Mobil, for example, had only recently begun to consider pledging to reduce its carbon emissions to net zero by 2050 — “so there are a lot of companies who are well behind the curve,” he said.

Uru went on to say that BP’s problems over the last decade had been “well documented,” giving the company the “mandate to start with a blank slate, which is what we like about the company.”

The Compass Group

The Compass Group
Source: Getty Images

Previously, Uru stated that Compass Group had tended to cater only to larger companies with more than 300 employees in order to ensure sufficient scale to be profitable on those contracts.

However, over the last two years, he said Compass has begun to pivot its business to serve smaller companies, pointing out that 45 percent of firms in the United States had fewer than 300 employees.

JPMorgan selects global ‘growth bargains’ ranging from energy to technology.

When the delta wave peaks, Fundstrat’s Tom Lee predicts a “everything rally.”

The fund manager highlights three stocks that have been “left behind” that he is currently enamored with.

Twenty strategists predict when and how far stocks will fall in the next big drop.

Compass has set up dark kitchens in major cities, which are workspaces for restaurants to produce food offsite for delivery only. Last year, Compass launched its own click-and-collect app, “Time2Eat,” and acquired food tech start-up Feedr.

Compass, according to Uru, has partnered with Deliveroo to deliver meals to smaller offices in addition to having its own logistics delivery staff.

“So they’ve simply changed who they can service and provided a whole range of new services to a new cohort of customers,” Uru explained, making the company “incredibly appealing.”

The American Express Company

The American Express Company
Source: Getty Images

According to Uru, American Express previously struggled to compete with its main rivals Visa and Mastercard because more retailers accepted their credit cards.

He did, however, say that American Express has been pursuing a “aggressive strategy to acquire more merchants” over the last three years.

In fact, Amex reported that Generation Z and millennial cardholders, as well as small business customers, accounted for the majority of its spending growth in the second quarter.

Uru stated that this demonstrated Amex’s “great uptake” of new customers, and that the results showed that this new cohort was spending on leisure and travel.

He said this was even before international travel had really opened up again with the easing of coronavirus public health restrictions, implying that this was a good sign for Amex, which still relies heavily on travel and leisure spending.

JP Morgan stock picks

JP Morgan stock picks
Source: Getty Images

“There are reasons to be on our toes in August/September,”. “July came in below expectations on some macro metrics,” they added, “but within a landscape that still suggests 2021 will be a year of strong real GDP growth and rising inflation, which should help corporate margins recover from last year’s 15-year lows.”

“As we head into August, we continue to be cautious given our view that activity levels may disappoint as a result of the restrictions imposed by several countries in response to the recent spike in new COVID-19 cases,” the analysts wrote.

“We continue to see 2021 as a stockpicker’s year… some stocks appear overpriced, while others continue to offer plenty of upside!”

The bank launched its “Growth Bargains”. The stocks also have a trailing price-to-earnings (P/E) ratio that is at least 20% lower than the regional industry average, which analysts use to identify potential market bargains. All of the companies chosen are small to medium-sized.

Here is a list of JPMorgan’s bargain stocks, all of which are on the bank’s shortlist of “high-conviction” ideas and are rated overweight.

Centrica, a British energy firm, was described by JPMorgan as “cheap despite many pos [positive] drivers,” including new management, the reinstatement of dividend payments, and the benefit of rising commodity prices.

According to the bank, oil, gas, and marketing firm DCC is trading at a discount to the rest of the small to mid-sized market.

JPMorgan expects car sales to increase as the economy recovers, so auto wholesaler Inchcape has a “good” free cashflow yield and a “compelling theme.” According to the analysts, the stock is trading at a “significant discount” to the rest of the market.

Steel company Acerinox has the strongest balance sheet “in recent history,” according to analysts, who also like its “consistent” free cashflow generation and exposure to the United States’ economic recovery plan.

According to JPMorgan, Maisons du Monde is “down big from highs and trading at a big discount.” According to the bank, the company is also benefiting from a focus on home improvement during the pandemic.

According to the analysts, cloud computing firm SoftwareOne has a “solid balance sheet” and a “below-average valuation.”

Simplo Technology, a Taiwanese battery maker, has “undemanding” valuations “despite [a] solid growth story,” as well as a rising dividend yield and “attractive” growth areas such as electric bikes, according to the bank.

According to the analysts, Indonesian media company Media Nusantara Citra has a “very solid balance sheet” as well as “solid” fundamentals such as growth in digital advertising and a record high market share.

Tags: best stocks to buyCPG StockJP Morgan stock picksLON: CPGNYSE: AXPNYSE: BPStocks to Buy Now
Elaine Mendonça

Elaine Mendonça

My focus is on uncovering early-stage ideas with the potential to have a lasting impact. My educational background includes a bachelor's degree in finance, an MBA, and two tests completed - the CFA and CMT. Over the last nine years, I have managed my investment portfolio using fundamental analysis and value investing, emphasizing long-term time horizons.

Latest

5 Best Water Stocks To Buy Now

5 Best Water Stocks To Buy Now

6 hours ago
3 Best Defensive Stocks To Buy Now

3 Best Defensive Stocks To Buy Now

7 hours ago

Popular News

  • AMZN Stock Forecast

    Amazon Stock Forecast And Price Prediction (Updated August 2022)

    17 shares
    Share 0 Tweet 0
  • Tesla Stock: Buy Now Or After Split?

    15 shares
    Share 0 Tweet 0
  • In response to a Nasdaq request for further information, Vinco Ventures (BBIG) has been put on hold.

    0 shares
    Share 0 Tweet 0
  • Stocks to buy now – April 2nd, 2022

    16 shares
    Share 0 Tweet 0
  • Announcement of a 1:15 reverse stock split by Mind Medicine Inc. MNMD is trading at $0.62

    0 shares
    Share 0 Tweet 0

Free Stocks Recommendations

Get notified everytime we recommend a stock.
Marketing by

DISCLAIMER

Nothing on this website should be considered personalized financial advice. Any investments recommended here in should be made only after consulting with your personal investment advisor and only after performing your own research and due diligence, including reviewing the prospectus or financial statements of the issuer of any security.

The Best Stocks, its managers, its employees, affiliates and assigns (collectively “The Company”) do not make any guarantee or warranty about the advice provided on this website or what is otherwise advertised above.

READ MORE

Follow us on Social Media
Facebook – YouTube – Twitter

Write for us
Finance – Business

Best-Stocks-Logo_dark

Categories
Best Stocks to buy now
Crypto
Dow Jones Today
Pre-IPO and Startups
Tech stocks
Utility Stocks

Data and Tools
Quote
Target
Wealth
Converter
Dow Jones Today

Best Stocks to Buy Now

We are a financial media dedicated to providing stock recommendations, news, and real-time stock prices.

Newsletter

Get free stock recommendations and real-time news. Our portfolio has returned over 100% in 2020.

Marketing by
  • Disclaimer
  • Best stocks to buy now
  • Contact
  • Write for us – Finance, Crypto

© 2022 Best Stocks

No Result
View All Result
  • Home
  • News
  • Best stocks to buy now
  • Categories
    • Crypto
    • Dow Jones Today
    • Pre-IPO and Startups
    • Tech stocks
    • Utility Stocks
  • Data & Tools
    • Indices
    • Portfolio Tracker
    • Stock Quotes
    • Stock Targets
  • About us
  • English
  • Italiano

© 2022 Best Stocks