Tip Ranks
3 Monster Growth Stocks That Can Withstand Volatility
Volatility is back on the menu. Last week, January closed trading in what represented the worst month in the stock market since October. The GameStop saga made headlines when the retail shopping spree for names with high short-term interest rates increased the possibility that the market might be experiencing bubble behavior. Add to the mix the slow rollout of Covid-19 vaccines and the fear of a delayed return to normalcy, and again, uncertainty engulfs Wall Street. The key to success in this environment is actually the same as in ‘normal’ times. Look for stocks with solid fundamentals and a history of success. Yes, past performance is no guarantee of future returns, but a history of stock price gains is a good indicator. After all, growth stocks do not grow for nothing. We used the TipRanks database to pull in the details of three such growth stocks that have shown sustained gains over the past year – gains of 120% or more. And even better, for investors seeing a growth profile, Wall Street analysts see continued growth ahead. Hyrecar, Inc. (HYRE) The gig economy has exploded in recent years, connecting people with skills to those with needs. Hyrecar fills a gap for drivers without a car, by connecting car owners with inactive vehicles with gig drivers (think Uber and Lyft) who need a vehicle. The Hyrecar service allows drivers to rent time in these vehicles to monetize their transportation or delivery routes, while the car owner earns a passive income from the rental price. Hyrecar operates on the peer-to-peer model and is available to subscribers as an online platform or a mobile app. In the past twelve months, the company’s stock has soared. HYRE is up 228% during that time, especially high as the economies opened in 2H20. To name a few figures on the company’s profit, revenue increased from $ 3.7 million in 3Q19 to $ 6.8 million in 3Q20 (the last quarter reported), a year-over-year profit of 83% . While Hyrecar is currently experiencing a net loss – like many tech-oriented startups – that loss has eased over the course of 2020. In 3Q19, earnings per share were negative 24 cents; in 3Q20 that had improved to -10 cents. In January 2021, the company announced partnerships with AmeriDrive Holdings, a fleet manager, and Cogent Bank’s Specialty Lending Unit to increase the pool of available vehicles. The anticipated increase in vehicle availability has made analysts optimistic about Hyrecar. “New strategic partnerships with HYRE and four key players, including AmeriDrive Holdings (private) and Cogent Bank (private), aim to more than double the vehicle offering on HYRE’s platform in the next 12-18 months … We consider the announcement as a significant gain for HYRE, which we believe creates a tremendous opportunity for HYRE to increase average active rent to ~ 9,000 per day versus ~ 2,800 by 2021, ”noted Maxim analyst Jack Vander Aarde. In line with this optimistic outlook, the five-star analyst places a Buy rating on HYRE along with a price target of $ 18 at that level, his target predicts an increase of 82% in the coming year. (To view Vander Aarde’s track record, click here) In the past 3 months, only two other analysts have thrown in the hat regarding the car-sharing services player. The two additional Buy ratings give HYRE a Strong Buy consensus rating. With an average price target of $ 15.67, investors can take home a 59% profit should the target be met in the next 12 months. (See HYRE Stock Analysis on TipRanks) Alpha and Omega Semiconductor (AOSL) The Next Step, Alpha and Omega, is a semiconductor manufacturer with a broad portfolio of chipsets specifically designed for the power control requirements of advanced electronic devices. AOSL’s chips can be found in a range of commonly used devices, including flat screen TVs, LED lighting, portable PCs, smartphones – and the power supplies for these products. In its fiscal 21st quarter, the company reported revenue of $ 151.6 million, up 28% year over year. Earnings, which were negative prior to the fiscal Q1 report, turned positive with earnings per share of 36 cents. The earnings bodes well for the company’s performance as the pandemic crisis begins to subside. The results of the second fiscal quarter will be published on Thursday, February 4. Alpha and Omega equity performance is also picking up, up 123% over the past 12 months. Such growth certainly attracts attention, and it does. 5-star analyst Craig Ellis of B. Riley Securities commented, “The power of the Comms YE 5G smartphone unit is biasing the upside, and we love CY21’s growth potential of 2x YY … on product and design capabilities. . So we believe that the Comms, Compute and Consumer end markets are performing reasonably well … We expect AOSL growth above industry … “For this purpose, Ellis AOSL assesses a Buy along with a $ 40 price target. This figure implies ~ 40% up from current levels. (Click here to view Ellis track record) While not many people have expressed an opinion about AOSL in the past 3 months, those who have chanted its praise. two analysts rate the semiconductor manufacturer a Buy and the average price target of $ 37.50 implies a ~ 30% rise for the coming year. (see AOSL stock analysis on TipRanks) Lands’ End (LE) The retail landscape has changed dramatically in recent years the change and many venerable names have fallen by the wayside, some have survived however. Lands’ End, founded nearly 60 years ago, has built a reputation for quality in the clothing, footwear niche and home furnishings. The company brought in $ 1.45 billion for fiscal year 2019, the latest with full numbers available.As of 2020 numbers published, it appears Lands’ End is on track for steady growth. It posted year-over-year sales increases in both Q2 and Q3 of 2020, indicating a rapid recovery from the COVID crisis. Third quarter revenue was $ 360 million, up 5.8% from 3Q19 – and an even more impressive 15% increase from 2Q20. In the meantime, the company has revised its Q4 forecast upwards. Sales are expected to be between $ 528 million and $ 533 million, up 4% in the middle. Earnings per share are expected to be between 54 cents and 58 cents, for an average increase of 19%. Solid earnings during a difficult year drove the stock to surge. LE shares are up a robust 126% over the past 52 weeks. Analyst Alex Fuhrman writes of this stock for Craig-Hallum: “Lands’ End defied expectations in 2020 and is well positioned to grow in 2021 and beyond. The company has proven that it can perform in all environments, as well as the strength of its branded e-commerce channel, which has grown by more than 20% in the past two reported quarters … we envision continued growth in ecommerce, in 2020 Growth was likely the result of increased market share from physical enemies rather than pantry loading, while retail and uniform channels have the potential for significant growth. “Unsurprisingly, Fuhrman rates the stock as a buy, and his price target, at $ 35, implies a growth potential of about 27% over the next 12 months. (To view Fuhrman’s track record, click here) Some stocks fly under the radar, and LE is one of them. Fuhrman’s is the only recent analyst review of this company, and it is definitely positive. (See LE stock analysis on TipRanks) To find good ideas for stocks trading at attractive valuations , please visit TipRanks’ Best Stocks to Buy, a recently launched tool that brings together all TipRanks insights on stocks. Disclaimer: The views expressed in this article are only those of the recommended analysts. The content is for informational purposes only. It is very important to do your own analysis before making an investment.