It is safe to say that if you are looking for the best stocks to invest in 2021, consider long-term performance. The recent rollout of Covid-19 vaccines could see the potential rise of travel and entertainment stocks after suffering for the better part of 2020.
In this article, we have compiled the best stocks to invest in 2021 based on potential, index inclusion, profit return, and strong fundamentals. Let’s dive in!
Best Stocks to Invest in 2021: Best Companies to add to your Portfolio
From gaming to technology to entertainment, there are varieties of stocks that have great potential for growth in 2021. If you are looking for outstanding stocks to invest in right now, look no further than these companies do.
They include:
- PayPal
- JPMorgan Chase
- Walt Disney
- Etsy
- NVIDIA
- Netflix
1. PayPal (PYPL): PayPal is a digital payment-processing platform that has over 277 million active account holders. It operates in over 200 markets, globally allowing merchants and consumers to receive money in over 100 currencies. It also has product segments such as Braintree, Xoom, and Venmo. With a market cap of over 340 billion, PayPal is listed on both NASDAQ 100 index and the S&P 500. During the pandemic, the payment-processing platform continues to expand its services into new territories such as cryptocurrency processing.
2. JPMorgan Chase (JPM) JPMorgan Chase & Co. has a history dating back to over 200 years. It is one of the oldest financial institutions in the United States. With a market cap of over 443 billion, it is one of the largest banks in the world today. Assets managed under JPMorgan Chase are worth more than $2.6 trillion. Its stock is among the best in the S7P 500 and the Dow Jones Industrial Average index. It’s occupies the 8th position in Fortune’s Most Admired Companies and the 17th position at Fortune 500. Economically, it is well-positioned to be one of the best stocks to buy in 2021.
3. Walt Disney Walt Disney has also cut the best stock to purchase in 2021. Disney, the companies' streaming service, has amassed over 94.9 million subscribers in under a year. Expectations are the streaming service will hit somewhere between 230-260 million subscribers by year 2024. Although Disney took a hit in 2020 because of the Coronavirus pandemic, the onset of the vaccine should see parks, cinemas, and cruises come back. This should see the value of company bounce back, with stock prices rising steadily. Therefore, be on the lookout for that.
4. Pinterest (PINS) If you are a social media enthusiast, then you are probably familiar with Pinterest. It’s a social media platform that’s built on giving people visual inspiration for things they want. It allows users to share images of projects, objects, or things that they value. For this reason, Pinterest has amassed a vast audience. Unfortunately, Pinterest only earns money from advertising. Therefore, it operates in the red. However, a new partnership with Shopify to allow users to purchase items in just a few clicks may transform Pinterest. Wall Street Analysts and experts predict that the price of Pinterest shares could gain 25% on average over the next 4 years.
5. Etsy Etsy is an online global platform that caters to customers who are looking for products a little out of the ordinary. Their items include handcrafted pieces, vintage items, and accessories. Etsy was doing great before the pandemic. However, after the pandemic, its performance skyrocketed. Thanks to the pandemic, Etsy saw an increase in online adoption, which saw it grow at more than twice the rate of the whole e-commerce market. Thanks to this, its growth opportunity appears to be larger than its current market value.
6. NVIDIA (NVDA) NVIDIA is a leading technology company that manufacturers, designs, and markets GPUs (Graphic Processing Units) used in AI, gaming, and data centers. The company was founded in 1993 and has been in the lead in visual computing through computer graphics. In February 2021, NVIDIA stock prices hit an all-time-high of above $600 per share. There is potential for an even higher gain as the growth of online gaming drives has created a demand for their new GPUs. NVIDIA stocks are stocks you should monitor.
7. Netflix (NFLX) Netflix is currently the world’s leading and largest streaming entertainment platform. It operates in over 190 countries and boasts of about 195 million paid memberships. During the first 9 months of 2020, Netflix reported it got an additional 28.1 million paid subscribers. During the pandemic lockdown, the share price rose by 64% largely fueled by the need for entertainment during lockdown. Currently, the company sits at position 164 in Fortune 500 companies. It is also listed in the NASDAQ 100 index and the S&P 500 index.
Bottom LineWhile this is not an exhaustive list of all the best stocks that you can invest in 2021, it is a brilliant start. Despite the slow progress in 2020, all these stocks have shown great promise this year (2021) based on their performance. As stated earlier, if you looking for the best stocks, then you should consider long-term performance. Use this list to get you started. Start with the ones you feel passionate about and ignore those that do not speak to you. Good luck.
